Best of the States

AP analysis: Sports betting has not been the jackpot some states expected

When the Supreme Court allowed all states to offer betting on sports, some lawmakers across the country saw an opportunity: Here was a way to bolster state budgets with revenue from an activity that was already happening in the shadows. But an AP review showed that actual tax revenue has yet to match expectations in the majority of states that legalized sports gambling.

State government team reporter Geoff Mulvihill, based in New Jersey, and Rhode Island statehouse reporter Jennifer McDermott looked through monthly state revenue reports and then compared the tax revenue generated to the original estimates in the legislation that authorized sports betting. They found that in four of the six states that legalized it last year – Rhode Island, West Virginia, Mississippi and Pennsylvania – tax revenue was far below what the state had projected it would be.

The revenue story was the latest in a string of distinctive stories from reporters working the sports betting beat. Many of the stories, including the state revenue piece, have been accompanied by a data set compiled by Mulvihill that tracks every piece of legislation related to sports gambling. It is being made available to all AP customers who subscribe to our data distribution platform and has been promoted to local reporters as a way to add context to their stories.

For revealing the difference between lawmakers’ promises on tax revenue and the reality, Mulvihill and McDermott win this week’s Best of the States prize.

Best of the Week — First Winner

AP Exclusive: Secret diplomacy behind Venezuela’s self-declared interim president

The world watched enthralled on Jan. 23 as little-known Venezuelan opposition leader Juan Guaido declared himself president of the struggling South American nation and called on socialist President Nicolas Maduro to resign. More surprising still, the United States, Canada and a host of Latin American countries recognized Guaido almost immediately as the country’s rightful leader.

The timing was clearly no coincidence, but what exactly had happened?

Andean News Director Josh Goodman, Canada Bureau Chief Rob Gillies and Washington newsman Luis Alonso shared first-rate source work to scoop everyone, revealing a coordinated behind-the-scenes push to back Guaido that read like a spy novel. For weeks, a coalition of Latin American governments had launched secret diplomatic efforts, including encrypted messages and a furtive trip by Guaido to Washington, Bogota and Brasilia to build a strategy around the baby-faced Assembly president.

So far, the AP is the only media outlet to have told this story, and it has been widely used inside and outside Venezuela. Even embattled President Maduro praised the AP scoop to supporters at a rally over the weekend.

For their resourceful and consequential news break on one of the top stories in the world, Goodman, Gillies and Alonso win AP’s Best of the Week.

Beat of the Week

(Honorable Mention)

APNewsBreak: US mediation expert to push Venezuela political dialogue

for an APNewsBreak that uncovered an effort promoted by Sen. Bob Corker to jumpstart political dialogue in deeply polarized Venezuela. Deep source reporting by Goodman revealed secret efforts by Corker’s office to bring a Harvard-trained conflict resolution expert to Caracas for closed-door workshops with representatives of Venezuela’s socialist government and the opposition. https://bit.ly/2OMGg5m

Best of the States

Oklahoma Republicans targeted by GOP colleague, dark money

Oklahomans widely assumed that 12 Republican state lawmakers who lost their bids for re-election came up short at the polls because of their opposition to raising pay for the state’s public school teachers.

While opposition to education funding may have been one factor in incumbent losses in the GOP primaries, Oklahoma City-based reporter Sean Murphy began hearing scuttlebutt about an organized effort from within the Republican Party to kick out incumbents from their own party.

Using campaign finance reports and solid sourcing at the Capitol, Murphy was alone in showing that the rumors were true.

Public records showed a top state House GOP leader had given money to opponents of two of his own colleagues, and the opponents unseated the incumbents. Murphy also leveraged a relationship developed over years of reporting to get the lawmaker to talk. He acknowledged a plan to punish fellow Republicans for taking hardline stances that forced a compromise with Democrats on a plan to raise taxes to pay for teacher raises.

For combining shoe-leather reporting with smart document work, Murphy wins this week’s Best of the States award.

Best of the States

Jobs boom favors Democratic counties over Trump strongholds; social issues motivate GOP base

President Donald Trump has long asserted that his tax cuts and other policies would accelerate job growth, which, in turn, would serve the “forgotten” men and women who had helped propel him to the White House in the 2016 election.

Washington, D.C.-based economics reporter Josh Boak wondered: Had that actually occurred so far? And how much was job growth a motivating force for Trump supporters?

Boak hit on a possible way to hold the president’s claims to a fair test. He turned to a relatively obscure report issued by the government’s Bureau of Labor Statistics, then merged those economic figures with the AP’s 2016 election returns, broken down by county.

The result, under multiple calculations, was clear: The bulk of U.S. hiring under Trump had so far occurred in Democratic counties.

Boak then spent three days in Beaver County, Pennsylvania, an area that had voted decisively for Trump and had lost jobs in the past 12 months. He reported that Republican voters appeared to be motivated more by social issues – opposition to gun control, for example. “Our No. 1 motivating factor,” the county Republican chairman told Boak, “is Second Amendment issues.”

For exclusively documenting how job growth under Trump has disproportionately underserved his geographic base and for illustrating that trend in a community that reflects it, Boak earns this week’s Best of the States award.

Best of the States

AP investigation: Pence family’s failed gas station empire cost taxpayers millions to clean up

Indianapolis correspondent Brian Slodysko’s investigative story started from one sentence buried in a news release. It said that the public was paying for environmental cleanup at a contaminated petroleum storage site in Indianapolis that Vice President Mike Pence’s family abandoned after their gas station empire went bankrupt in 2004. The release didn’t mention Pence, just Kiel Brothers.

After attending a demolition celebration, where he photographed a crew tearing down a massive tank that had long-blighted a neighborhood, Slodysko worked over the coming months to detail how extensive contamination from the business was – and quantify the public cost.

The result: Indiana taxpayers paid more than $21 million to clean up after the company, in all likelihood a conservative figure because many of the documents were redacted, missing or incomplete.

But cost alone doesn’t tell the whole story. Slodysko’s review of public records showed that the Pence family business – which was run by Mike Pence’s older brother Greg, who is now running for Congress – repeatedly received favorable treatment from the state.

The story ran, or was teased, on the front page of at least eight Indiana papers, including the Indianapolis Star, which ran the story and photo across the top. It was also featured on the website of the Columbus Republic, Mike Pence’s hometown newspaper.

For an investigation that revealed the millions of tax dollars used to clean up more than 85 contaminated sites in three states, Slodysko earns this week’s Best of the States award.

Best of the Week — First Winner

Inside story: How Russia hacked the Democrats’ emails and Putin’s foes

“Hi,” the email from Google began, before turning more ominous. “Someone just used your password to try to sign in to your Google Account.” Change your password immediately, it urged, by clicking here. But the email wasn’t actually from Google, and it wasn’t sent randomly. It was from hackers connected to Russia who were targeting Hillary Clinton’s presidential campaign.

What eventually emerged from the successful hack – thousands of embarrassing emails from campaign chairman John Podesta and others – was widely reported in the summer and fall of 2016. But the anatomy of how that hack occurred had never been revealed, until now. That investigative story, by Raphael Satter, Justin Myers, Jeff Donn and Chad Day, and a companion piece about wider Russian efforts targeting an array of Kremlin opponents, is this week’s Beat of the Week.

Best of the Week — First Winner

AP team leads media fight for photo access at OJ Simpson parole hearing

What happens when the state of Nevada announces it intends to use its own photographer to cover the parole hearing of O.J. Simpson, and exclude all others?

The Associated Press steps up, rallies the media and forces the state to backtrack. For their efforts to ensure news photo access to a high-profile story, the team of Stephanie Mullen, Ken Ritter and Tom Tait is awarded Beat of the Week.

Best of the States

AP Exclusive: Anti-outsourcing senator's family business uses Mexican labor

One of the most vulnerable senators up for re-election in 2018 – Democrat Joe Donnelly of Indiana - has staked his nearly two-decade political career on opposition to outsourcing and free-trade agreements that ship American jobs abroad.

Following up on a tip from Washington, D.C., colleague Erica Werner, Indiana Statehouse reporter Brian Slodysko pulled together public documents and customs records to reveal that Donnelly has benefited financially from the very free trade policies he has decried since his first run for Congress. As Slodysko reported in his “Only on AP” story, Donnelly earned thousands of dollars in 2016 alone from stock in the arts and crafts business his family has owned for generations, which ships raw materials to its Mexican factory that produces ink pads and other supplies.

For shining light on something a politician would have preferred left unknown to his constituents, Slodysko wins this week’s Best of the States award.