budget

Our governor and Legislature are at a critical juncture, faced with the choice between making sweeping cuts that could have far reaching consequences for the health and well being of the state or raising new revenue to support the public structures that keep our state and its economy functioning smoothly.

At its deepest level, the conversation is about what kind of state we want to live in and how we are going to pay for it.

But so far, the discussion has been relegated to cuts. Governor Patrick’s announcement he plans to lay off 2,000 employees sent shockwaves through the state yesterday. State officials are anticipating a revenue shortfall of $600 million for this fiscal year and $2-3 billion for next year.

As advocates point out, cutting 2,000 jobs doesn’t simply mean 2,000 people are out of work. It also means services and programs will be cut. Higher education, public health, human services are all on the chopping block. Patrick is also seeking powers under state law, to make cuts in the judiciary branch and to Local Aid. This means the cuts could also affect everything from the judiciary branch to schools, fire and police departments.

In times like these, the public systems we have built in Massachusetts are more important than ever – job training programs, social services, our public higher education system which is training the skilled workforce that attracts businesses to our state and grows our economy.

The Legislature’s Joint Committee on Revenue made the first of its six stops on its listening tour yesterday, hosting a session on taxes and municipal budgets at the Academy at Worcester Polytechnic Institute.

Revenue Committee Co-Chairman Rep. Jay Kaufman, who convened the meeting, said the aim of the listening tour is to facilitate a conversation about how best to structure the state’s tax system and end the cyclical budget crises that lead to program cuts like those likely to come from the governor’s next round of 9c cuts.

The meeting, titled Tax Policy and the Challenges of Local Government, featured a presentation by Massachusetts Municipal Association Executive Director Geoff Beckwith.

When asked about whether Massachusetts needs to increase taxes due to a possible $1 billion deficit in the fiscal year 2010 budget, and an even larger deficit next year, Beckwith noted that while there is no consensus on any new revenue proposals at his organization at this time, the group has consistently supported revenue measures put forward by the Legislature or Governor.

There are a wide variety of revenue options to look at, he said, including broadening the sales tax to include services and increasing the income tax rate.

Other options discussed at the meeting included a call for a local income tax option for Massachusetts communities. Virginia McIntyre of Concord said her town’s over-reliance on the property tax has made it difficult for the 40 percent of households there who earn less than $60,000 a year. The average property tax bill there is $12,000 a year.

Wonderful piece called Locked out on Beacon Hill from MetroWest political columnist Rick Holmes.

A lot of good sharp stuff about the lack of transparency in the process. Here's just a couple of paragraphs from the middle.

Read the whole thing. 

Democrats on all sides of the building are already spinning. They heard the voters' outrage and made the tough choices. They passed a good budget in the midst of an economic calamity. They stood up to the special interests, bucking the police unions to bring in civilian flaggers and cut Quinn bill benefits.

They took on the state employee unions on health care and pensions, even taking away some perks that fatten the pockets of legislators. Sacred cows are bleeding all over Beacon Hill.

There's truth to their story, but will the public give them credit? Don't bet on it. Most of the reforms are technical corrections: reorganizing transportation agencies, changing benefit formulas, tightening ethics rules. They mostly fix problems that have generated ugly headlines over the last year or so. They aren't institutional reforms; they don't change the game.

Nor are they likely to change public perception, at least not soon. There will always be another loophole for an unethical pol or a public employee to exploit.

There will always be a detail cop drinking coffee when he should be directing traffic. Howie Carr isn't about to stop talking about government hacks.

 

Since being passed into law in 2001, The Community Preservation Act has helped communities across the state save public areas threatened by development, rescue historic gems from the erosions of time, and create much-needed affordable housing units. These funds are currently being threatened by the lack of state funds sustaining the CPA, while a recent bill, filed by Sen. Cynthia Creem, is designed to close these loopholes, and secure state funds for the CPA. More information on communities that are working to utilize the CPA, and how your community can realize the benefits of the Act can be found at the Community Preservation Coalition.

Local newspapers all across the state are full of stories about Proposition 2½ .

Read as single-serving, town-by-town, vote-by-vote media blurbs, they don’t pack much of a punch.

Take a minute to browse through the ONE Massachusetts News Roundup, however, and a much larger story emerges. Residents in towns and cities across the Commonwealth are talking with their friends and neighbors about what kind of local government they want and how to pay for it.