Gov. Paul LePage should order an immediate investigation into how state property was sold for less than 40 percent of its assessed value to a state official.
Fortunately for taxpayers, Attorney General William Schneider last week voided the sale, pointing out that state law forbids such obvious conflicts of interest.
LePage has since suspended all sales of state property until stronger policies are put in place.
The issue arose in June when the Department of Administrative and Financial Services sold three state-owned houses and 5.2 acres to the warden of the Maine State Prison in Thomaston.
The sale was part of an effort to convert surplus state properties into revenue for the cash-strapped state.
The prison sale included a house where wardens have customarily lived. However, a state official told the Portland Press Herald that the state is not obligated to provide the warden with housing.
In May, the state signed the property over to Warden Patricia Barnhart and her partner, Sheehan Gallagher. Afterward, Barnhart and Gallagher leased one of the properties back to the state for $1 in exchange for lawn care services.
While the deal seems suspicious on the surface, what happened afterward confirms as much.
Shortly after the sale, Barnhart approached the Thomaston Planning Board about subdividing the property into seven house lots, strongly suggesting she knew the state properties were undervalued.
All of which shows why such sales of surplus state equipment and property should be put up for competitive bid.
Selling the property on a no-bid contract to state insiders may be quick and easy, but it almost guarantees taxpayers get the short end of the stick.
The opinions expressed in this column reflect the views of the ownership and editorial board.
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