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Reform and Renewal - Coke is not “it”

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* For once, it doesn’t look like this move was blatatantly politically motivated…

The state’s recent decision to award an exclusive vending contract to Pepsi has left a bad taste with rival Coca-Cola officials, who have challenged the pending deal.

The Illinois Department of Revenue announced in late July it intends to strike a 10-year arrangement with PepsiAmericas Inc. of Schaumburg to stock soft drinks in nearly 2,400 vending machines at most state-owned properties. The deal would net for state government coffers and four participating universities between $14.4 million and $64.2 million over a decade, depending on sales, the agency has estimated.

The other soda giant that sought the contract, Coca-Cola Bottling Co. of Chicago, is formally protesting Pepsi’s selection. Kevin Morris, the company’s vice president of public affairs and communications, sent an Aug. 3 letter to state officials alleging the state did not provide “critical information” to Coke earlier this year as it sought to make an offer.

There was this at the bottom of the piece…

PepsiAmericas is represented by lobbyist William Filan, a cousin of top Blagojevich aide John Filan.

But that’s a big reach. Bill Filan is Speaker Madigan’s former Issues Staff director. And the two Filan’s aren’t exactly close. If anything, he’d be at a disadvantage here.

Not mentioned in the story (this stuff never is) is that Coke’s lobbyists include Chicago Ald. Mike Zalewski, who is Bill Lipinski’s guy. Lipinski is tied closely with Blagojevich. Another Coke lobster, Elgie Sims, is strongly allied with Senate President Emil Jones, and is Jones’ former appropriations director.

Also not mentioned is that Coke has given more than twice as much to the governor’s campaign fund than Pepsi, $14,304.50 vs. $6,212.68.

So, this seems to be general incompetence rather than nefarious.

I don’t know whether to cheer or boo.

posted by Rich Miller
Wednesday, Sep 12, 07 @ 8:24 am

Comments

  1. Why oh why is the government allowing the sale of soft drinks in any government facilities. There is scads of research which shows, for example, that women who drink soft drinks have a significantly higher rate of diabetes. And that’s just the bit of research I remember.

    I thought Blago was the Health Governor.

    Comment by Cassandra Wednesday, Sep 12, 07 @ 8:33 am

  2. Agreed with Cassandra.

    There is no need for the state to profit off products that make people’s health worse. Why not ink a deal for vending machines that sell healthy products (juice, fruit, etc)?

    Comment by Pat the Bat Wednesday, Sep 12, 07 @ 8:39 am

  3. Why does the state feel like it has to limit the kinds of soft drinks it offers in its buildings? Isn’t there enough room for both Pepsi and Coke?

    We get mired down in this kind of muck, but our budget still isn’t finalized.

    Comment by Fan of the Game Wednesday, Sep 12, 07 @ 8:44 am

  4. First I agree with “FOTG”. However it just goes to show, even the players dont know whats going on!

    Comment by Just Because Wednesday, Sep 12, 07 @ 8:45 am

  5. Why not check how much has been spent on the monthly retainer for the sports marketing company hired by Lon Monk. Is this the first accomplishment in 5 years?

    Comment by Anon Wednesday, Sep 12, 07 @ 8:56 am

  6. Sigh,,,,,, Sept 12, budget is not done, CTA is shutting down (as if that affects me), schools are going without money that was promsed 5 years ago, and the person that some call Governor is pondering which type of soda to have in all the state facilities and who he can sue next.

    Stick a fork in him!!!

    AB

    Comment by ABolt243 Wednesday, Sep 12, 07 @ 9:00 am

  7. I agree with AB what an absolute incompetent boob this governor is. Oh for the return of Nehi.

    Comment by downhereforyears Wednesday, Sep 12, 07 @ 9:40 am

  8. The Two Filans….sounds like a tv mini series.

    Comment by amy Wednesday, Sep 12, 07 @ 9:57 am

  9. Who cares about the politics and health side effects… Pepsi tastes like poo! I want to see results of the government employee taste test…

    Comment by Bill S. Preston, Esq. Wednesday, Sep 12, 07 @ 10:35 am

  10. Why do I feel like we’re in middle of the old SNL Cheezebooger cheezebooger cheezebooger skit.

    No Coke! Pepsi!

    Comment by Chicago Cynic Wednesday, Sep 12, 07 @ 12:40 pm

  11. Give me an RC Cola and Moon Pie any day. Of course I will settle for a pack of Nabs and a Pepsi! I agree with the others in that there is room for both at all the State offices. What’s one more way to fatten us up. It’s bad enough that Dell’s and Pease’s Chocolates are within walking distance. But hey, the Governor has our best interest at heart by relieving us of the tremendous pressure and valuable time wasted trying to decide between which soft drink to kill ourselves with. Sure beats spending his time running the state efficiently.

    Comment by Justice Wednesday, Sep 12, 07 @ 1:19 pm

  12. Isn’t this the same governor who took soda out of the schools?

    Comment by Thunder 2 Wednesday, Sep 12, 07 @ 5:44 pm

  13. How is the preference for disabled/blind vendors impacted by this?

    Comment by Cat Wednesday, Sep 12, 07 @ 5:46 pm

  14. Many of you keep asking that government be run like a business, and then criticize the governor when he does it. You can’t have it both ways. All the governor is doing here is taking something that is at best revenue neutral currently and turning into a revenue producer by selling rights. That’s exactly what private industry does.

    Comment by steve schnorf Wednesday, Sep 12, 07 @ 9:32 pm

  15. What about the blind vendors? Will Pepsi compensate them for the losses incurred when folks who do not want Pepsi stop buying? What about correction facilities? Whay aren’t they part of this arrangement? What other sites are not part of this structured agreement? What happens to Aquafina water that Pepsi has to relabel due to misrepresentation? This whole contract needs investigation. How much to Team America? For what services?

    Comment by Loyal Alumn-Uof I 65 Wednesday, Sep 12, 07 @ 10:54 pm

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