Craig Benson
Encyclopedia
Craig R. Benson is an American politician and businessman. He served as Governor of New Hampshire
from 2003 to 2005. Benson first came to public attention by founding Cabletron Systems
, now known as Enterasys Networks that became one of the largest employers in New Hampshire
.
in Chatham, New Jersey
. After receiving a bachelor's degree
in finance from Babson College
in 1977, Benson attended Syracuse University
, graduating with an MBA
in 1979.
In 1983, Benson and partner Robert Levine started Cabletron Systems
in Levine's garage. The company moved to Rochester, New Hampshire
in 1985 and went public in 1989, with what was then the largest IPO
in Wall Street
history. In 1991, Benson was named "Entrepreneur of the Year" by Inc. Magazine
.
The company grew to have over $1.8 billion in annual revenue, but over time Cabletron faced heavy competition in the industry. Benson resigned in 1999, and Cabletron was dissolved into four separate companies (Enterasys Networks
, Aprisma Management Technologies
, Riverstone Networks
, and Global Network Technology Services) in January 2000. The company's fragmentation brought layoffs, declines in stock price, and shareholder lawsuits.
. In the primaries, Benson spent more than $15 million—$11 million of it his own money—in an effort to defeat former State Senator Bruce Keough and former U.S. Senator Gordon Humphrey to win the Republican nomination, making Benson's victory one of the most expensive in American history. In the general election, Benson overwhelmingly defeated Democratic
state Senator Mark Fernald, 59 percent to 38 percent. Benson successfully made Fernald's support for a statewide income tax the dominant issue in the race. Benson spent more than $9 million, again mostly his own money, in this race.
As Governor, Benson pushed for state agencies to institute across-the-board budget reductions, and used a custom made, extra large "VETO" stamp to reject a state budget he thought was too large. Benson also signed into law a bill that required parental notification for minors seeking an abortion; this law was later challenged and upheld in the Supreme Court
in the case Ayotte v. Planned Parenthood of New England
, but subsequently repealed by the New Hampshire legislature in 2007.
Benson's administration came under criticism following the resignation of Attorney General
Peter Heed, who had been accused of sexual harassment. While an investigation cleared Heed of any wrongdoing, it revealed improper interference by Benson's security commissioner. Further criticism stems from the inappropriate awarding of a nearly $900,000 no-bid contract
by his "volunteer" adviser (and former Cabletron human resource administrator) Linda Pepin, who was not licensed to broker such a deal.
Benson also frequently used "volunteers" in his office to do gubernatorial work, but would not say who they were or what they did. These were not volunteers in the sense that they were unpaid staffers volunteering their time, rather Benson paid their salaries out of his own pocket, making them volunteers in the sense that they did not draw state salaries. This move was controversial, while proponents noted that Benson was generously allowing the state to save money, critics were concerned that it would limit scrutiny of the volunteer staff. Reporters discovered that one of these "volunteers" (and former Cabletron director of operations), Angela Blaisdell, was New Hampshire's official liaison with the federal government on homeland security
. In addition, Benson was accused of engaging in political payback when Dori Wiggin, supervisor of the Department of Environmental Services Wetlands Division in Portsmouth
, was transferred to the department's Concord
headquarters. Under Wiggin, the DES had fined Benson in 1998 and 2003 for excavating beach sand without a permit at his Rye
oceanfront home.
Benson was also criticized, by both supporters and critics, for a management style that was considered "autocratic". In an interview with The New York Times
, Benson stated that one of his first acts after being elected was to purchase a large, high table at which to hold his meetings. Those in attendance were to stand during meetings, and any latecomers were locked out. "It's to remind people we're here to get in and do our business and get out," he explained.
In the 2004 election, Benson lost to Democratic challenger John Lynch—only the second time in 78 years that an incumbent New Hampshire governor was denied a second term—in a very close race, with Lynch securing just 51% of the vote.
with his wife Denise and their two children, and currently serves as an adjunct lecturer at Babson College
, his alma mater. In 1995, he was inducted into the college's Academy of Distinguished Entrepreneurs.
Governor of New Hampshire
The Governor of the State of New Hampshire is the supreme executive magistrate of the U.S. state of New Hampshire.The governor is elected at the biennial state general election in November of even-numbered years. New Hampshire is one of only two states, along with bordering Vermont, to hold...
from 2003 to 2005. Benson first came to public attention by founding Cabletron Systems
Cabletron Systems
Cabletron Systems was a major New Hampshire, USA-based provider of networking computer equipment throughout the 1980s and 1990s. Cabletron's design and sales methodologies dramatically reduced the cost of Ethernet networking equipment, covering a wide range of Layer 1 and Layer 2 networking...
, now known as Enterasys Networks that became one of the largest employers in New Hampshire
New Hampshire
New Hampshire is a state in the New England region of the northeastern United States of America. The state was named after the southern English county of Hampshire. It is bordered by Massachusetts to the south, Vermont to the west, Maine and the Atlantic Ocean to the east, and the Canadian...
.
Early life and business career
Benson attended Chatham High SchoolChatham High School (New Jersey)
Chatham High School is an American four-year comprehensive public high school located at 255 Lafayette Avenue in Chatham Township, in Morris County, New Jersey, operating as part of the School District of the Chathams. The school serves students in grades 9-12...
in Chatham, New Jersey
Chatham, New Jersey
Chatham refers to two neighboring municipalities in Morris County, New Jersey – Chatham Borough and Chatham Township. The two are separate municipalities, the first a municipality that was settled in 1710 as a colonial English village in the Province of New Jersey...
. After receiving a bachelor's degree
Bachelor's degree
A bachelor's degree is usually an academic degree awarded for an undergraduate course or major that generally lasts for three or four years, but can range anywhere from two to six years depending on the region of the world...
in finance from Babson College
Babson College
Babson College is a private business school located in Wellesley, Massachusetts near Boston.- History :Babson College was founded by Roger Babson on September 3, 1919, as the Babson Institute. It was renamed "Babson College" in 1969...
in 1977, Benson attended Syracuse University
Syracuse University
Syracuse University is a private research university located in Syracuse, New York, United States. Its roots can be traced back to Genesee Wesleyan Seminary, founded by the Methodist Episcopal Church in 1832, which also later founded Genesee College...
, graduating with an MBA
Master of Business Administration
The Master of Business Administration is a :master's degree in business administration, which attracts people from a wide range of academic disciplines. The MBA designation originated in the United States, emerging from the late 19th century as the country industrialized and companies sought out...
in 1979.
In 1983, Benson and partner Robert Levine started Cabletron Systems
Cabletron Systems
Cabletron Systems was a major New Hampshire, USA-based provider of networking computer equipment throughout the 1980s and 1990s. Cabletron's design and sales methodologies dramatically reduced the cost of Ethernet networking equipment, covering a wide range of Layer 1 and Layer 2 networking...
in Levine's garage. The company moved to Rochester, New Hampshire
Rochester, New Hampshire
Rochester is a city in Strafford County, New Hampshire, United States. As of the 2010 census, the city population was 29,752. The city includes the villages of East Rochester and Gonic. Rochester is home to Skyhaven Airport and the annual Rochester Fair....
in 1985 and went public in 1989, with what was then the largest IPO
Initial public offering
An initial public offering or stock market launch, is the first sale of stock by a private company to the public. It can be used by either small or large companies to raise expansion capital and become publicly traded enterprises...
in Wall Street
Wall Street
Wall Street refers to the financial district of New York City, named after and centered on the eight-block-long street running from Broadway to South Street on the East River in Lower Manhattan. Over time, the term has become a metonym for the financial markets of the United States as a whole, or...
history. In 1991, Benson was named "Entrepreneur of the Year" by Inc. Magazine
Inc. (magazine)
Inc. magazine, founded in 1979 and based in New York City, is a monthly publication focused on growing companies. The magazine publishes an annual list of the 500 fastest-growing private companies in the U.S., the "Inc...
.
The company grew to have over $1.8 billion in annual revenue, but over time Cabletron faced heavy competition in the industry. Benson resigned in 1999, and Cabletron was dissolved into four separate companies (Enterasys Networks
Enterasys Networks
Formed in March 2000 as a spin-off of Cabletron Systems, Enterasys Networks is a networking company catering almost exclusively to large enterprises...
, Aprisma Management Technologies
Aprisma Management Technologies
Aprisma Management Technologies was created after Cabletron Systems was broken up into 5 smaller pieces, as the business unit to continue the highly successful SPECTRUM network management suite. It was acquired in early 2005 by Concord, which in turn was acquired by Computer Associates....
, Riverstone Networks
Riverstone Networks
Riverstone Networks, was a provider of networking switching hardware based in Santa Clara, California. Originally part of Cabletron Systems, and based on an early acquisition of YAGO, it was one of the many Gigabit Ethernet startups in the mid-1990s...
, and Global Network Technology Services) in January 2000. The company's fragmentation brought layoffs, declines in stock price, and shareholder lawsuits.
Political career
Benson began running for governor of New Hampshire in 2001, promising to use technology and greater efficiency to save money in state government, and he was elected governor on November 5, 2002, in an open race to succeed the retiring governor, Jeanne ShaheenJeanne Shaheen
Jeanne Shaheen is an American politician, a member of the Democratic Party, and the Senior United States Senator from New Hampshire. The first woman in U.S. history to be elected as both a Governor and U.S. Senator, she was the first woman to be elected Governor of New Hampshire, serving from...
. In the primaries, Benson spent more than $15 million—$11 million of it his own money—in an effort to defeat former State Senator Bruce Keough and former U.S. Senator Gordon Humphrey to win the Republican nomination, making Benson's victory one of the most expensive in American history. In the general election, Benson overwhelmingly defeated Democratic
Democratic Party (United States)
The Democratic Party is one of two major contemporary political parties in the United States, along with the Republican Party. The party's socially liberal and progressive platform is largely considered center-left in the U.S. political spectrum. The party has the lengthiest record of continuous...
state Senator Mark Fernald, 59 percent to 38 percent. Benson successfully made Fernald's support for a statewide income tax the dominant issue in the race. Benson spent more than $9 million, again mostly his own money, in this race.
As Governor, Benson pushed for state agencies to institute across-the-board budget reductions, and used a custom made, extra large "VETO" stamp to reject a state budget he thought was too large. Benson also signed into law a bill that required parental notification for minors seeking an abortion; this law was later challenged and upheld in the Supreme Court
Supreme Court of the United States
The Supreme Court of the United States is the highest court in the United States. It has ultimate appellate jurisdiction over all state and federal courts, and original jurisdiction over a small range of cases...
in the case Ayotte v. Planned Parenthood of New England
Ayotte v. Planned Parenthood of New England
Ayotte v. Planned Parenthood of Northern New England, 546 U.S. 320 , was a decision by the Supreme Court of the United States involving a facial challenge to New Hampshire's parental notification abortion law. The First Circuit had ruled that the law was unconstitutional and an injunction against...
, but subsequently repealed by the New Hampshire legislature in 2007.
Benson's administration came under criticism following the resignation of Attorney General
Attorney General
In most common law jurisdictions, the attorney general, or attorney-general, is the main legal advisor to the government, and in some jurisdictions he or she may also have executive responsibility for law enforcement or responsibility for public prosecutions.The term is used to refer to any person...
Peter Heed, who had been accused of sexual harassment. While an investigation cleared Heed of any wrongdoing, it revealed improper interference by Benson's security commissioner. Further criticism stems from the inappropriate awarding of a nearly $900,000 no-bid contract
No-bid contract
The term "no-bid contract" is a popular phrase for what is officially known as a "sole source contract". A sole source contract implies that there is only one person or company that can provide the contractual services needed, and any attempt to obtain bids would only result in one person or...
by his "volunteer" adviser (and former Cabletron human resource administrator) Linda Pepin, who was not licensed to broker such a deal.
Benson also frequently used "volunteers" in his office to do gubernatorial work, but would not say who they were or what they did. These were not volunteers in the sense that they were unpaid staffers volunteering their time, rather Benson paid their salaries out of his own pocket, making them volunteers in the sense that they did not draw state salaries. This move was controversial, while proponents noted that Benson was generously allowing the state to save money, critics were concerned that it would limit scrutiny of the volunteer staff. Reporters discovered that one of these "volunteers" (and former Cabletron director of operations), Angela Blaisdell, was New Hampshire's official liaison with the federal government on homeland security
Homeland security
Homeland security is an umbrella term for security efforts to protect states against terrorist activity. Specifically, is a concerted national effort to prevent terrorist attacks within the U.S., reduce America’s vulnerability to terrorism, and minimize the damage and recover from attacks that do...
. In addition, Benson was accused of engaging in political payback when Dori Wiggin, supervisor of the Department of Environmental Services Wetlands Division in Portsmouth
Portsmouth, New Hampshire
Portsmouth is a city in Rockingham County, New Hampshire in the United States. It is the largest city but only the fourth-largest community in the county, with a population of 21,233 at the 2010 census...
, was transferred to the department's Concord
Concord, New Hampshire
The city of Concord is the capital of the state of New Hampshire in the United States. It is also the county seat of Merrimack County. As of the 2010 census, its population was 42,695....
headquarters. Under Wiggin, the DES had fined Benson in 1998 and 2003 for excavating beach sand without a permit at his Rye
Rye, New Hampshire
Rye is a town in Rockingham County, New Hampshire, United States. The population was 5,298 at the 2010 census.-History:The first settlement in New Hampshire, originally named Pannaway, was established in 1623 at Odiorne's Point. The first settler in Rye was William Berry...
oceanfront home.
Benson was also criticized, by both supporters and critics, for a management style that was considered "autocratic". In an interview with The New York Times
The New York Times
The New York Times is an American daily newspaper founded and continuously published in New York City since 1851. The New York Times has won 106 Pulitzer Prizes, the most of any news organization...
, Benson stated that one of his first acts after being elected was to purchase a large, high table at which to hold his meetings. Those in attendance were to stand during meetings, and any latecomers were locked out. "It's to remind people we're here to get in and do our business and get out," he explained.
In the 2004 election, Benson lost to Democratic challenger John Lynch—only the second time in 78 years that an incumbent New Hampshire governor was denied a second term—in a very close race, with Lynch securing just 51% of the vote.
Personal life
Benson resides in Rye, New HampshireRye, New Hampshire
Rye is a town in Rockingham County, New Hampshire, United States. The population was 5,298 at the 2010 census.-History:The first settlement in New Hampshire, originally named Pannaway, was established in 1623 at Odiorne's Point. The first settler in Rye was William Berry...
with his wife Denise and their two children, and currently serves as an adjunct lecturer at Babson College
Babson College
Babson College is a private business school located in Wellesley, Massachusetts near Boston.- History :Babson College was founded by Roger Babson on September 3, 1919, as the Babson Institute. It was renamed "Babson College" in 1969...
, his alma mater. In 1995, he was inducted into the college's Academy of Distinguished Entrepreneurs.