Monday, March 21, 2011

MMA seeks local aid resolution. You can help

The Massachusetts Municipal Association has called on the leadership of the state legislature, the General Court, to issue a resolution detailing the amount of state aid that cities and towns are likely to receive in the upcoming budget.
LOCAL AID RESOLUTION NEEDED NOW!

Please Call Your Legislators Today and Ask for Action in March

Cities and towns are working hard to prepare their fiscal 2012 budgets, facing extremely difficult funding decisions and clear fiscal distress. With the state facing a $1.8 billion budget crisis of its own, the Governor and Legislature have already announced that their own spending plan will bring a fourth straight year of local aid cuts. Communities cannot make timely and informed decisions unless Legislators let local officials know as early as possible what the minimum level of local aid will be for fiscal 2012.

Last year, House and Senate leadership released a special “statement” on March 12 announcing minimum levels of municipal and school aid prior to any legislative budget debate. In 2009, both branches approved Local Aid Resolutions before the budget debate. This year, legislators have started to warn local officials not to count on the Governor’s local aid numbers released in January and to anticipate deeper cuts. The House and Senate budget committees wrapped up hearings on the Governor’s budget on March 4, and the House is expected to release a budget bill in mid-April. Cities and towns cannot afford to wait four weeks to learn what Beacon Hill is contemplating regarding local aid levels. It is time for both branches to tell cities and towns what to expect!

The Legislature faces a difficult task in balancing the state’s fiscal 2012 operating budget. Even though tax collections are forecast to grow by $741 million next year, the temporary federal revenues used over the past three years are nearly exhausted and state Medicaid cost trends are more than eclipsing all revenue growth. The Legislature has been evaluating the measures proposed by the Governor ...

...in January to balance the budget, including his aggressive savings initiatives in health programs, spending cuts and new revenues. None of them are easy or popular.

Please call your Representatives and Senators today and tell them that a Local Aid Resolution or statement is needed NOW to help prepare municipal budgets and to inform local decisions on spending. Remind them that you face your own set of difficult choices about program funding, staffing levels and raising revenues. Tell them about the choices your community is facing. Without a formal local aid notice that commits to a basic level of local aid, final numbers may be delayed until the Legislature votes a fiscal 2012 budget bill sometime in June. Please let your Legislators know that this is too late and that minimum municipal and school aid numbers are needed today!


If you value good government, call or email Representative Chris Markey and Senator Mark Montigny and ask them to pass a local aid resolution.
The continuing shortfall of revenue makes this a very challenging year. Dartmouth managers and decision makers need to know what they have to work with. You can help by clicking the links associated with our state legislators names above and ask for enactment of a local aid resolution
Click here to read on!

Finance Committee adgenda for 3/24/11

Please post the following Finance Committee agenda for Thursday, March 24, 2011:
6:30 p.m. Pledge
6:31 p.m. Board of Health – Ms. Wendy Henderson
Animal Control

7:00 p.m. Natural Resources – Mr. Cressman/Mr. Barnes
Conservation
Town Buildings

7:30 p.m. Post Employment Charges and Possible Allocation to Enterprise Funds – Mr. Barnes, Mr. Walker

8:00 p.m. RFT – Additional Tax Title Funding (anticipated) – Mr. Barnes

8:05 p.m. Schedule A Revision – School Transportation – Mr. Barnes
Other Revisions/Updates to Schedule A since February 2010

8:15 p.m. Minutes – March 10 (final) & March 17 (draft) – Mr. Walker

8:25 p.m. Any additional items not known at least 48 hours in advance of meeting posting.

8:30 p.m. Adjourn

there is no more Click here to read on!

Saturday, March 12, 2011

Mass Budget look at Republican budget

The Massachusetts Budget and Policy Center (Mass Budget) has published a fact sheet on the effects in Massachusetts of the proposal from US House Republicans that slashes federal spending. Here is the link.

Here's what Nobel Laureate Paul Krugman has to say.
What do you think?
Click here to read on!

Tuesday, March 8, 2011

Post retirement benefit obligations

The Massachusetts Budget and Policy Center (Mass Budget) has published two reports, Workforce Characteristics and Wages in the Public and Private Sectors and Demystifying the State Pension System. Both are relatively brief and are very informative.
Accounting rules for government retiree pension contributions were changed by the Government Accounting Standards Board (GASB)in 1999. The Commonwealth required that municipalities meet the requirements, as they apply to pensions, within 20 years. Most municipalities had accounted for pension benefits on a pay as you go basis until that time. As a result, towns had to catch up with millions of dollars in actuarial based pension costs. That process is underway and towns have been making normal contributions as well as catch up payments to the pension funds. The General Court has extended the date for compliance on a couple of occasions when market shocks resulted in reductions in the value of assets held by pension funds. The target date to be in compliance is now 2026. Our town's plan, the Bristol County Retirement System (BCRS), is on track. The BCRS estimates the plan will meet the required funding by 2024.
Pension costs are not the only post retirement benefit costs for which towns are obligated. GASB issued new rules for those other post employment benefits (OPEB) in 2004. The new rule, commonly called GASB 45, once again required the benefit obligations to be calculated on an actuarial basis. Once again, most municipalities were accounting for these costs on a pay as you go basis.
However, unlike the situation with pensions, ...

... the actuarial calculation of health care obligations resulted in obligations so large that most towns could not reasonably be expected to fund. The exploding costs of health insurance is the primary driver of the high cost estimates. As was discussed at last Monday's Select Board meeting, the GASB 45 calculation of Dartmouth's OPEB was pegged at $53 million dollars. It will take a long time and a lot of effort for our town to meet ever that obligation.
The Massachusetts Taxpayers Association (MTA) has published a report, Retiree Health Care: The Brick That Broke Municipalities’ Backs. The report posits that most communities cannot pay the obligations. It says,

There is a serious question whether many communities can afford to continue to provide any sort of retiree health care, particularly in combination with their pension obligations and the escalating costs of employee health care. At a minimum, the extraordinarily generous retiree benefits must be scaled back, and the sooner communities act the more likely they will be able to preserve some form of those benefits.
Unfortunately, communities have limited flexibility to address this problem since so many of the benefits are mandated by state law. Nevertheless, cities and towns have some opportunities to make changes on their own, which they should seize.

Our town has taken some of those limited steps the report mentions.
As I said at Monday's Select Board meeting, it is the cost of health care which is bankrupting our town, our states, our country, our businesses, and many families. I wrote a post about that here, Health Care Reform or Bust! If the Commonwealth and nation do not reform health care and reduce the increase in costs, towns will not be able to fund their OPEB obligations. Click here to read on!

Massachusetts public employee compensation

David at Blue Mass Group was this very informative and well documented post about the compensation level of public employees in the Commonwealth. The media has been extensively focused on public employees because of the issues raised by several Republican governors around the country. This issue of compensation, as you can see from David's post, is a red herring. There are no teachers or public employees becoming wealthy at the public trough. Public employees are doing their jobs and are being fairly compensated.
The brouhaha about what public employees get paid or what they get for their benefits is a distraction from the reality ...

...that the wealth of this nation goes almost exclusively a few people at the very top. These oligarchs largely control not only the wealth of the nation but also the media and our elected representatives. They don't want any attention focused on the ever widening gap between themselves and everyone else, so we are bombarded with news and opinions seeking to foment division and get the rest of us ripping each other apart over the scraps that we have left.
Wages and benefit levels (real levels, adjusted for inflation) for the vast majority of citizens have been stagnant or declining for the past thirty years. That is true for both public and private employees. Watch John Stewart of the Daily Show expose the double standard being peddled by our media. What more evidence do you need?
Click here to read on!

Tuesday, March 1, 2011

Please, raise my taxes!

Citizens groups in a coalition called Raise Revenue and Stop the Cuts have endorsed a bill, "An Act to Invest in Our Communities" sponsored by Rep. James O'Day and Sen. Sonia Chang-Diaz [House Docket 02261 & Senate Docket 1012]

The act proposes an increase in the income tax rate from 5.3% to 5.95%, including an increase in personal exemptions from $4,400 (single)/$8,800 (married) to $7,900 (single)/$15,800 (married). It also proposes an increase of the dividends and interests rate from 5.3% to 8.95%, with an exemption for low and middle income seniors and disabled persons.
The proposal would yield up to 1.2 billion dollars in new revenue, necessary to taking a more balanced approach to the current budget gap and continuing to support our public structures.

I fully support this initiative. My tax rate will increase by .65%. Will I pay an additional tax of less than 1% of my income? Do I really want to pay more? Absolutely, YES, I do. Over the last few weeks, I have heard that there are over 900 homeless families in our Commonwealth. A teacher told me she knew a boy who kept his clothes in a middle school locker because his family lived in their car. Our public school systems will not receive promised state aid. Teachers, firefighters and police across the Commonwealth are facing layoffs. Needed health insurance for my fellow citizens is being cut. It may take decades to get a rail line from Boston to Fall River and New Bedford. Our community colleges and state universities have raised tuitions and cut teaching staff.
So Governor Patrick, state Representatives and state Senators, please, raise my taxes and give housing to those families.
I am willing to pay to fully fund our commitment to public education and public safety. Take a few more dollars a week to keep classroom sizes down and to maintain adequate first response staffing.
Don't let anyone in our Commonwealth go without treatment for lack of health insurance, I can afford .65% more for them.
If adding this small amount will get rail in our area ...

... to increase economic development and expand employment opportunities, I'll pay it.
My children and I have attended community colleges and public universities. We owe our middle class incomes to the affordable educations we got through these universities. If it takes more revenue to continue investing in the people of the Commonwealth through publicly supported higher education, I owe that debt and I would happy to pay it forward.
Let's not be penny wise and pound foolish. Raise revenue through a modest increase in the income and investment taxes and stop the cuts. As this bill's name says, it's an investment in our communities!
Click here to read on!

Saturday, February 26, 2011

Governor Patrick on 'This Week'

Friends:

I want to let you all know that Governor Patrick will appear on ABC's This Week with Christiane Amanpour. He will take part in a panel discussion with other governors from across the United States, talking about the current state and future of our country. Topics will include the economic recovery and health care reform.

Like other states, Massachusetts continues to face difficult challenges. It is because the Governor ...

... chooses to confront the tough decisions and take necessary action that we are now a leader nationally in student achievement, job growth, and health care coverage.

This is a very important time for our nation, and while others seek to create deep divisions within our national discourse, we in the Commonwealth remain committed to our shared values and to turning to each other--not on each other--for solutions.

Please tune in this Sunday at 10:00 AM on ABC.

Sincerely,

David O'Brien
Click here to read on!

Providence sends layoff notice to all teachers

The City of Providence faces a severe budget crunch and has sent dismissal notices to all its teachers. This action has generated a lot of comments on other threads. I would note the notices were not necessarily sent to get rid of bad teachers, rather due to a budget crisis. This Providence Journal article says the seniority system is being bargained and a deal is expected.
Providence mayor Angel Taveras said,

"Spending reductions are inevitable. It is also inevitable that some portion of cuts will come from the school budget. This is why we faced the difficult decision of sending letters to all teachers: we do not yet know what actions will be required and believe it was only fair to let all teachers know about the severity of the situation."

Some comments to other posts have raised the question on ...

... how to get rid of teachers who do not get results. This is a problem in public schools under collective bargaining. I think the answer is first to provide training and guidance to those teachers who are not getting good results. Of course, the crux of the matter is how you measure teacher performance. I have not a clue. But this is not rocket science, there are schools who have consistently good instruction. Find out the how and why and implement that. If after a period of time, a teacher's results do not improve then it is appropriate to talk about termination.
Before anyone gets their undergarments in a wad, I am not trying to supplant or circumvent the School Committee here. I am just providing a forum to debate the issue which was already taking place in comments to other posts.
UPDATE: AFT leader suggests teacher evaluations
Click here to read on!

Nice graphics, That's what I'm talking about, Willis

Dave Gilson and Carolyn Perot have a graphic presentation on income distribution and growth in the US at this link to Mother Jones magazine.
Can you say, Plutocracy?

How can the US boost entrepreneurs and win the future. Matt Yglesias has this post about what one study found.
Click here to read on!

Friday, February 25, 2011

The poor are with us always.

HesterPrynne at Blue Mass Group has this post about our Senator Brown's vote against providing summer jobs programs for disadvantage youth. Just a few weeks ago,

In his 60 Minutes interview, he acknowledged that he had come "perilously close to being a juvenile delinquent," and that he had benefited from a federal youth jobs program called CETA.

There is much talk about the "middle class" and their plight in the news. No one talks about the poor at all. Hence, the Congress votes to defund food programs for women and children, cut medical care for the poor, and not provide jobs for disadvantaged youth all without a peep from our corporately controlled media or most Democrats, who also need corporate money for their campaigns.
I guess the American Dream is to be reserved only for those at the top. I think the American Dream is a lie. There is no longer a path for many Americans to reach a comfortable standard of living. Many are one car repair bill, oil tank fill up, or medical emergency away from living in their car and have no foreseeable prospect for improvement. The richest, meanwhile, accumulate more and more of the nations wealth.
The rest of us can buy lottery tickets I guess.
. Click here to read on!

Monday, February 21, 2011

What's going on in Wisconsin?

I believe that the current system in our Commonwealth for public employee pensions and health care needs reform. We need to move public employees to a defined contribution plan (e.g. 401k Plans) rather than defined benefit plans, such as pensions. Even so, I would negotiate these changes with the collective bargaining units.
That said, Wisconsin governor Scott Walker is way off the reservation with his attempt to essentially de-certify public employee unions. Wisconsin state Representative Mark Pocan has a blog where he gives his assessment of the current budget brouhaha in that state. His take, Walker has made this crisis up out of whole cloth.
The Standard Times ran this story last week about New Bedford's unfunded pension and health care liabilities of some $480 million ...

... and Dartmouth faces a similar, albeit, smaller problem($50 million). The Select Board recognizes the issue and had proposed a Town Meeting article last fall to start paying down the liability. It was a drop in the bucket but a lack of a quorum prevented even that from being appropriated. It will be brought up again at the Spring town Meeting.
I am sure to get comments on the incentive for the public bargaining units to accept the change. First, they will have to face having fewer town employees as funds are diverted to pay our obligations unless changes occur. Second, they live here too. They want the town to prosper and have adequate services, just like you and me.
What are your thoughts on any of this stuff? Tell us on comments.
Click here to read on!

Friday, February 18, 2011

Krugman on federal deficit talks

Professor Krugman says,

The bottom line, then, is that while the budget is all over the news, we’re not having a real debate; it’s all sound, fury, and posturing, telling us a lot about the cynicism of politicians but signifying nothing in terms of actual deficit reduction. And we shouldn’t indulge those politicians by pretending otherwise.
Read the whole column here
Ever wonder how a surplus as Clinton left office, turned into a deficit?Well,we gave the money away to the wealthiest Americans in tax cuts and are continuing to do so. Now we are going to cut funding for food to children and women and for heat for elderly and low income people so that the wealthy can keep their tax cuts. And as I said here, health care reform is the way to reduce deficits. It seems a Nobel Laureate economist agrees with that assessment. Click here to read on!

Thursday, February 17, 2011

Governor addresses health insurance costs

The Patrick administration has introduced a bill aiming to rein in skyrocketing health insurance costs. David at Blue Mass Group has this post about the bill, sent to the General Court. This is the next step required in providing universal coverage. Romneycare was the first step, cover everyone, and that has largely been accomplished. Now with everyone in the system, the challenge is to restrain the growth of costs so that the programs are sustainable. Massachusetts continues to lead the way on dealing with health care reform.
The corporate media and corporate Congress have established a narrative where Social Security and medical insurance programs (Medicare and Medicaid) are lumped together when talking about deficits. The truth of the matter is ...
...Social Security is not a major driver of future deficits. Rather the exploding costs of health care insurance are driving deficits. Read what Noble Laureate and Princeton professor Paul Krugman has to say about that at this link and this one.
If you acknowledge that medical insurance costs are a major driver of deficit spending, then the Republican opposition to health care reform makes no sense. Reducing the growth of health care costs are the only chance of returning to fiscal balance unless we are going to allow the elderly and poor to go without treatment.
The national health care reform law mirrors the Commonwealth's approach in many aspects. Steps such as proposed by Governor Patrick are the logical next step and will be needed to keep the Commonwealth and country solvent. Unfortumnately we can not have a discussion based upon the realities in our media and Congress. It is to the detriment of us all.
Click here to read on!

Wednesday, February 16, 2011

State House leaders will talk budget in Fall River

The Fall River Herald News reports that Senator Rodrigues of Westport will host a budget talk on Wednesday, March 2nd. This article has the details. Municipal leaders and the public are encouraged to attend.
See you there. Click here to read on!

No chalkboard, just straight talk.

Bob Neer over at Blue Mass Group posted this interview with Columbia University professor, Jeffrey Sachs. The link takes you to his post, click on the link he provides to watch the 8 minute interview.
I think Professor Sachs is spot on in his remarks.
As Bob points out, the two newsreaders can't wrap their heads ...

... around his forthright exposition of the truth. It doesn't fit their narrative. I am sure Sachs won't be invited back.
Click here to read on!

Tuesday, February 15, 2011

Capital vs.operating expense, parte deux

I opened an email from Select Board member Ms. Stone today and found it included a statement from Scholl Committee member, Mr. Jones. talking about the budgeting process, he said, in part,

While this process plays out we have also met with the Select Board and Finance Committee to discuss the upcoming year's budget, discuss ways to implement additional efficiencies and finally ratify a written financial policy that the entire town will use as a guideline going forward. I will use this newsletter to focus on the last item as I believe it contains some very important policy guidelines that I think should be understood.
The policy for capital expenditures is noteworthy because our school system has benefited greatly in recent years by advocating, along with others, a more comprehensive definition of what constitutes a capital expense. The policy states that a capital expense is one whose cost, in aggregate, exceeds $10,000, and whose life expectancy exceeds 5 years. Look up most any definition of a capital expense and you will see some variation on that theme. The town's definition is a fair one in my opinion (and mine as well- Lara Stone)
For the past two years the schools have made a successful case that both the new K-6 English Language Arts and K-5 Math programs are in fact a capital expense. Each of these programs cost in excess of $375,000. The programs in use prior to their replacement were in place for over 8 years. The replacement programs are expected to last at least as long. During the two years when we advocated to the Select Board and Finance Committee for the need for these programs the town, (including the schools) through considerable streamlining and efficiencies, was able to generate significant sums of year end so-called 'free cash'. (Free cash is that money that was budgeted but not spent by year's end. Typically the town does not 'overbudget' but in any budget of some +$70m, there will be some money left at the end of the
year. People retire unexpectedly, take a leave of absence and are not replaced etc.) We made a strong case that a portion of that free cash be used for the purchase of these two programs as capital expenses. The case was strong enough in fact that it received near universal approval from the Select Board the Finance Committee and both Town Meetings. Other town departments made cases for a portion of that free cash and were successful as well.
The schools have never sought to use this free cash to purchase simply 'text books'. In fact we agree that a simple series of grade level texts do not constitute a capital expense and should be purchased out of our yearly operating budget. However there is a significant difference between replacing a series of 9th grade science texts whose cost might be $8-10,000 for example and the purchase of a program whose scope encompasses texts, software, professional development training, and workbooks for an entire elementary school system of some 1,000 children. These programs are most successful when purchased as a whole so that each student's knowledge is built from year to year by a program that is designed from the start to be consecutive and continuous. To purchase one grade level every year as the operating budget allows would one, be much more expensive and two, be qualitatively inferior because entire grades of students would not get the benefit of the new program.
Why is this important now? Didn't the schools succeed the previous two years in getting Town Meeting to fund these purchases? Yes they did, however it has become clear after our recent joint meeting that at least one member of the Select Board feels the schools have overstepped their boundaries in asking for funding for capital expenses for what he feels are ordinary 'operating expenses'. The agreed upon definition of a capital expense matters not to some it seems. From my correspondence with the Select Board member in question it is clear that since the schools receive Required Minimum Net School Spending (RMNSS) we should be happy to sit quietly and not advocate for what we feel are legitimate needs within the system.
Just so you know, the RMNSS comes from a state derived formula whose results insure an 'ADEQUATE' operating budget for a school system-and that amount places us at #305 out of 328 school districts in terms of per pupil spending. I am not sure when anyone was satisfied with adequate. I am also not sure that you would be very happy with central administration or anyone of your school committee members if we thought RMNSS was where we stop advocating for education here in Dartmouth.
What I am sure of is that we are entitled to make our case just like any other department within town. We have made that case on at least these two items and are very grateful to the Town for their support of them. I do not take that support for granted and I do not expect that we will be successful every time we present a case to the various town bodies. It is no secret that with every year 'free cash' dwindles. As every department cuts and streamlines their operations it is only natural that less money will be available to spread to other departments to address their legitimate needs at year's end. There is no secret here and I understand that. I also understand that it is important for a continued working relationship to have mutual trust between all parties.
In my opinion having to look back and re-fight the same battles over and over again even in the face of an agreed upon written definition of a guiding policy frays that trust. Where does that leave us? I think overall the various boards and committees within Town have and continue to work well together. The very nature of school/town funding almost guarantees a certain amount of tension between the school and town, it is to be expected and I don't see that changing any time soon. Yet in spite of that I think the cooperation and mutual understanding between both 'sides' has resulted in a markedly improved school system.
In three year's time the town has seen fit to assist the schools in starting a tuition-free full day kindergarten program, fund the purchase of the above mentioned ELA and Math programs, and purchase a significant number of replacement computers throughout the school district. This commitment to the schools above RMNSS shows that we have sought ways to cooperate to the benefit of all.
What I hope this particular newsletter will accomplish is to let you know that we must be grateful for what we have been given but also know that we need to be cognizant of how funding works within town and that knowledge will allow us to continue to make successful arguments when necessary to protect our schools in the face of a very difficult economy.

Of course, I am the Select Board member with whom he takes exception. I wrote about the subject in this previous posting.
I would like to make ... ...a few points about Mr. Jones' remarks.
First, I have no quarrel with the definition of capital spending. It has been adopted and I agree with it. The area that he and I disagree is where the line is drawn between one time capital funds, which in Dartmouth mainly come from unspent appropriations called free cash, and on-going expenses which are needed to fund operations. I would classify educational materials or police cars as ongoing operating expenses. While both meet the criteria for capital expenditure, we cannot run our schools or our police department without educational materials or vehicles respectively. I think as a matter of good policy, expenses needed for on-going operations must come from recurring revenue. Capital funds are not recurring revenue and therefore should not be used. That is exactly the policy which we have adopted, no one time revenue to support operations. Therefore I have opposed using capital funds for educational materials, and also police cars, and I will continue to do so. I simply think it is bad policy.
My question to Mr. Jones, and for you readers to consider, is this, 'What will the school department do to get current educational materials if there is not enough one time revenue to purchase them?' It seems that we should plan for such an eventuality as it seems likely to occur. I am certainly not asking to rehash any old arguments about what constitutes a capital expense. I am asserting that our adopted policy is that one time revenue should not be used to support on going operations and purchasing educational materials with one time revenue goes against that policy.
Consider for a moment that prior to the last couple of years, these materials were purchased from within the school department budget. How was this done? One possible way would be to plan for the expenditure in advance. Unlike all the other town departments, which must return any unspent appropriation to the town's General Fund at the end of a fiscal year, (this is how the free cash is generated) the school department is allowed to retain a percentage of their budget and carry it forward to a new fiscal year. In this way, large purchases can be funded by saving up a reserve to fund them over several years. Most school departments handle the purchase of large textbook series in this fashion. I think it would be a better fiscal policy to plan for replacement of educational materials in that way, rather than rely on the possibility that sufficient one time cash will be available. This is the crux of the disagreement.
Mr. Jones makes mention of Required Minimum Net School Spending (RMNSS). Some continue to insist that Dartmouth finds the school department at this level when, in fact, the town's appropriation is hundreds of thousands more than the RMNSS level. The school appropriation amount(while more than RMNSS) does not take into account the $1.5 million that the town appropriated for educational materials and technology over the past several years, the $300,000 a year for full day kindergarten, the $130,000 per year appropriated so the school committee would reduce or eliminate fees for activities and transportation. I am happy that the town has been able to provide these funds. Nonetheless, we continue to hear that the schools are not getting more than RMNSS funding. Not true.
Finally, the way in which school funding is assessed to the towns by the state has the effect of shifting the expenditures from all other town departments to the school department. That is the current state of affairs. The school department is not to blame for the formula, but they benefit from it and result has real consequences for operating the town. For instance, the town committed $300,000 from a new sales tax surcharge on meals and hotels to fund full day kindergarten. That amounts to about 1/2 of the revenue generated by the tax. However, if you follow school funding formula closely, you find the other half was automatically given to the school department due to the increase in local receipts applied within by the formula. So while the town appropriated half to the schools, the state required the rest to be appropriated in the funding formula. Net result, the entire meals and hotel tax revenue goes to the school department which leaves no increase at all for the other town departments.
Now some seem to think that I have bad feelings toward the school department. That is not the case. However, the school department is just one of several town departments providing services to the populace. I hope to balance the needs of all departments in order to continue to provide the services that residents expect. One way to do so is to insist upon sound fiscal policy.
Click here to read on!

DHCD pans Lincoln Park plan

The Department of Housing and Community Development(DHCD) has informed the developers for the Lincoln Park parcel that the plan to locate 57 single family market rate homes on the site does not pass muster with the 40R Smart Growth statute or the town's bylaw. They have not approved the plan. The developers and town are left to come up with a new plan that meets the criteria. The DHCD makes some suggestions for resolving the conflict in their letter which I will post here when I have a chance.
Any development on this site will require a substantial investment for infrastructure before any housing can be built. That may be the sticking point from the developer's standpoint at this time.
Click here to read on!

Monday, February 14, 2011

Finance Committee agenda for 2/17

From Chair ML Nunes

6:30 p.m. Pledge

6:31 p.m. Estimate Receipt Discussion – Gregory Barnes
7:00 p.m. Mr. Michael Shea, Greater New Bedford Regional Vocational Superintendent Discussion of proposal for $15 million addition, impact on Dartmouth Finances
7:30 p.m. Consolidation Discussion
7:50 p.m. Schedule A review, budget planning, etc.
8:10 p.m. Approval of Minutes from February 3, 2011 and February 7, 2011
Update on web posting of minutes
8:15 p.m. RFT (if any)
8:20 p.m. Any other business not known 48 hours prior to meeting.
8:30 p.m. Adjourn

This is an unofficial agenda. Official agendas might be found on the Town Website. Click here to read on!

Please shovel your sidewalk

The Standard Times has this article about the intention of the town to begin enforcement of the ordinance requiring home owners to clear snow and ice from the sidewalk in front of their home.
No one really wants to fine anyone. Just clear your walk after a storm. If your neighbor needs help, clear their walk too. Good karma, bro. Click here to read on!

One time revenue and operating budgets

I have been having an email converstion about a comment I wrote on this post. The issue arises from a sentence in that comment which was mostly about the declining amount of free cash available,
That sentence is,

There are also several disturbing trends, one being the reliance by the school department on one time revenues to update their teaching materials. What happens when that money is not available?

I am being taken to task for not raising this as an issue during the joint meeting on Monday with the Select Board, School Committee and Finance Committee.
To which I replied,
My position on buying educational materials with capital money is not that you cannot make a case for calling it a capital expense. A majority have decided that is the case and I accept that decision. Rather I think that using one time revenue, i.e. capital money, for a operational and continuing need, such as educational materials, is bad policy. I have been consistent in that belief and raised the issue throughout the meetings you mentioned. Have no misconception, I am glad that the town was able to provide the funds to purchase the materials as they are important to the current education of children. However, it is also apparent to me that the school department now hopes to have a continuing recourse to capital funds to renew the educational materials that are required to run the district. I think that is a dicey proposition and has not been settled as a matter of policy. Perhaps you disagree it is not settled policy since the town has made the recent purchases. Nonetheless, it is quite likely these funds will not be available and my question is, what then? How will the school department update their educational materials in that instance?
Due to budgetary constraints, the town has deferred maintenance and needed upgrades to much of our infrastructure and is also facing costly retirement benefit needs which must be addressed in order to maintain our roads, bridges, and buildings and ensure the town's fiscal health. Those needs are going to be in competition for the very funding which the school department seem to be counting on for the ongoing operation of the schools. That is the issue I have raised ...
.
... and I believe it to be a valid one.
During the meeting on Monday, I voted to accept the financial policies that were presented. I have no philosophical opposition to any of those policies but I do have reservations on some specifics. There is no mention in those financial policies of using one time capital money to fund on going operations. In fact, the opposite is true, the policy prohibits such use. While the school department is free to continue to ask for and may receive funds from one time capital money to buy educational materials, I continue to believe that to be poor public policy and will continue to advocate against such use. I believe my position to be consistent philosophically with the policies adopted.

I was not able to win over my correspondent to my position on the expenditures.
What do you think about this practice? Tell us in comments.

Click here to read on!

I am running unopposed

I dropped off my nomination papers for re-election to the Select Board this morning at the Town Clerk's office. Last Friday was the deadline for taking out nomination papers. The Clerk informed me that only Robert Gauvin had taken out papers for the race. Mr. Gauvin had called me last week and said he would not be returning his papers if I was going to run. I assured him that I was. So it seems that I will not have an opponent on the ballot. Of course, there could be a write in campaign.
I intend to campaign for the office despite the lack of a declared opponent at this time. I will be putting out signs and attending any candidate functions to which I am invited.
Not having an opponent is a change in the recent history of Select Board races. Only Mr. Michaud has been returned to office among our recent Select Board incumbents and he ran in a tightly contested race.

I want to thank those rvoters who signed my nomination papers and the residents of the town for supporting me. I'll be blogging about issues and projects I would like to get accomplished during the next few years. Stay tuned.
Click here to read on!

Friday, February 11, 2011

I guess this is an example of the markets at work

I find these two posts,
http://thinkprogress.org/2011/02/10/chamberleaks-target-families/
and
http://thinkprogress.org/2011/02/10/lobbyists-chamberleaks/
startling and very disturbing.

This is an example of how corporate interests in this country are operating.
I think it should give everyone pause and I hope that our Congress will find a way to regulate or eliminate the influence that corporations have gained in elections following the Citizens United decision from our Supreme Court. The ruling in that case was ...

... that corporations have the same right of free speech as individual citizens, therefore, campaign finance laws limiting their participation were not constitutional.
I think it was a bad decision, wrongly decided. Whether our largely corporately funded representatives will do anything about it remains to be seen.
Click here to read on!

Egyptian people triumph

I have been watching the events unfold in Egypt with some interest. I just read that their President, Mr. Mubarak, has resigned. WOW! I have been inspired by the courage and tenacity of the people of Egypt in rising up against over a half century of dictatorial rule.
This uprising has taken tremendous courage and shown remarkable restraint. Good luck to the people of Egypt, you have certainly earned a chance for greater democracy and freedom. I hope the future holds both for them. Click here to read on!

Health care funding in the FY2012 state budget

The Massachusetts Budget and Policy Center(Mass Budget) published this paper on the health care spending portion of the Governor's budget. Essentially, the governor is level funding the health care programs which provide services for about 1.5 million of our fellow residents. I don't see how this funding level can possibly be adequate. The average increase in health care costs over the past few years is between 7 and 8% annually. Something doesn't add up. Of course, the state can try ...

... to reduce or freeze the payments to providers but the truth of the matter is the Commonwealth is not a big enough player in the market to extract those sort of concessions. Providers would chose not to accept the patients, rather than accept the new reimbursements. This is an illustration of the fecklessness of trying to control health insurance costs via a mish-mash of government subsidized programs. A single payer system for every resident of the Commonwealth would solve the problem, allowing cost control via a negotiated agreements with providers.

What do you think?
Click here to read on!

Monday, February 7, 2011

Preliminary school funding numbers

The Department of Elementary and Secondary Education (DESE) has issued preliminary school funding numbers. A summary chart showing foundation enrollment, foundation budget, Chapter 70 aid, and required local contributions for each school district including our own can be found here.
District DARTMOUTH
Enrollment 3,964
FY12 Foundation Budget $34,643,309
FY12 Required local contribution $27,284,947
FY12 Chapter 70 aid $8,983,576
Net School Spending 36,268,523
The complete calculation spreadsheet can be downloaded as an Microsoft Excel spreadsheet from this link
Last fiscal year these figures were ...

FY11 required local contribution $26,783,708
FY11 Chapter 70 aid $8,935,606
FY11 Net School Spending $35,719,314

The end result is about a $500K increase in school spending.
Not a large increase at all, which is good and bad. Good because the town won't have a large increase to fund. Bad because the school department won't get much to work with.
What do you think?
Click here to read on!

The Governor's budget in depth

The Massachusetts Budget and Policy Center (Mass Budget) had previously released a quick look at the Governor's 2012 budget. They have followed up with a more in depth look that can be found at this link.
Mass Budget does a great job of tracking the budget as it moves through the appropriations process. The Governor's budget proposal has gone to the state House ...

... where it is designated, House 1. As the various budget items are considered and revised by the House, it becomes the House Ways and Means budget and then is forwarded to the state Senate for similar consideration. The Senate considers and revises the budget and then a joint budget is passed by both bodies. Finally the Governor, who has line item veto power, can markup th final and then the legislature may override his vetoes or not.
The whole process takes several months. municipalities would like the budget sooner rather than later as they must make decisions on their own budgets and state figures impact their decisions
Click here to read on!

Town and school should integrate functions for savings

The Town of Barnstable has more closely integrated town and school functions in order to increase transparency, improve service and save money. This report from the Pioneer Institute gives some of the details.
I am intrigued by the concept and would like to see the Town explore the possibilities. The report lists several steps which should be taken when embarking upon a plan such as this. The steps are
1. Gauge the Political Will
2. Know the Goal and Assess the Capacity
for Change
3. Draft a Clear Plan on which All
Parties Agree
4. Implementation
5. Constant Evaluation and External Input
The Town and School Department currently duplicate some functions when it comes to managing budgets. By consolidating these functions within the Town Budget and Finance department duplication might be avoided and efficiencies might be increased.
The school department has the most employees of all the town departments by a wide margin. The school department generally does a good job with their personnel administration with one or two exceptions. In contrast, ...

...the other town department personnel functions are a mishmash. Some departments handle their own personnel functions, others rely on the Office of Budget and Finance, and some do little at all. Since the School Department does the bulk of the work now and does a better job than some Town departments, it makes sense to me that they could take over those functions for most or all other departments. Once again, there may be reduction in duplication and efficiencies that arise from such a consolidation.
This evening the Select Board, Finance Committee and School Committee willl meet jointly to discuss the upcoming budget process. I plan to raise the issue of consolidating functions in order to investigate the first step needed in this process, Gauge the political will.
What are your thoughts about such a plan? Tell us in comments.
Click here to read on!

Thursday, February 3, 2011

Congressman Frank will run in 2012

The recent US Census results in a loss of one of the Commonwealth's ten Congressional seats. There has been rampant speculation about how this will affect our current delegation. Congressman Frank's declaration for 2012 puts the other members on notice that he intends to run for one of the remaining nine seats.
David at Blue Mass Group has a post with Mr. Frank's statement at this link.
One thought is that one of our currently serving Congressmen will run against Scott Brown for Senate. Mr. Brown yesterday voted for repeal of the national health care reform law. That law is modeled on one here in the Commonwealth...

... that he voted to institute while state senator. Go figure. He was for it before he was against it.
In other news, Senator Brown has a substantial sack of funds left over from his last race. According to the Boston Globe, much of it from the banking industry. That sort of cash may give pause to those considering a run against him.
What do you think? Who will run against him? Can they unseat our newest Senator?
Click here to read on!

Thursday, January 27, 2011

Governor Patrick proposes 2012 budget

Governor Patrick has issued his 2012 budget proposal. It has been submitted to the House and will be referenced as the House 1 budget. The House will review and modify the budget and send it to the Senate for review and modifications. The two bills will be reconciled,...

... passed by both houses and then sent to the Governor. Massachusetts governors have line item veto power, so the Governor can veto some items and return the bill to the House. The House and Senate can vote to override the veto. At that point, the budget is finished.
The Massachusetts Budget and Policy Center has a preliminary review of the House 1 budget at this link.
Click here to read on!

Thursday, January 20, 2011

School spending and achievement

Matt Yglesias has an interesting chart in this post. The chart shows that student achievement does not closely correlate with spending per student.
Obviously, there are other factors which are important. Spending is a part of the solution but is not the solution in itself.
For instance, this article in the Boston Globe caught my eye.

The sprawling Wake County School District has long been a rarity. Some of its best, most diverse schools are in the poorest sections of this capital city. And its suburban schools, rather than being exclusive enclaves, include children whose parents cannot afford a house in the neighborhood.

Not in the article but from other sources, ...

... polls show over 96% of parents in the Wake County system were happy with the education their child was receiving.
Go figure what is going on here.
Click here to read on!

Finance Committee to meet with CPC tonight

The Finance Committee will be meeting with the Community Preservation Committee to hear a report this evening in Room 315 at teh Town Hall. The FinComm will also hear from Executive Director Cressman about the cost to raze a partially collapsed barn on the Dutch Belt Farm. A reserve fund transfer may be needed to pay for its demolition.
I am unable to attend the meeting as I had a previous commitment ... .
... to attend a budget review given by One Massachusetts at Bristol Community College, Building G at 6PM.
You can view a presentation from the Massachusetts Budget and Policy Center (MassBudget) called, "The State Budget -Difficult Choices and our Future" by clicking the preceding hyperlink.
MassBudgetr has previews of the Commonwealth's budget shortfalls and Chapter 70 local school aid at this link.
Click here to read on!

Elderly housing at the COA

Last year, Deb Raymond, the COA Director, mentioned to me that it would be an ideal situation if the town could build elderly housing on town owned land to the east of the COA and DeMello school. The siting would place the residents within easy access to the COA and its activities and to the Bullard health clinic. Additionally, some or all the housing may count toward the town's affordable housing stock. Perhaps we could encourage an inter-generational partnership between the school and the residents (reading buddies, tutors, etc.) It seems like a great idea.
What is missing is a plan. Together with the Dartmouth Housing Authority ...

... and the Community Preservation Committee (CPC), the town needs to develop a plan to implement this idea and to identify funding and grants for the project.
I hope to work with interested partners to get this started. The cost will not be something the town can do in one year, but if we have a plan, we can take it to the various funding sources and see if they will support it.
One of the areas where the CPC has spent the least funds is affordable housing which is part of their mission. I would like to see funds from the CPC tax surcharge held in reserve every year and earmarked for this project.
What are your thoughts about this project?
Click here to read on!

Wednesday, January 19, 2011

Looking back at Senator Brown's record

SmallTownGuy over a Blue Mass Group has a review of Senator Brown's accomplishments (?) in the last Congress at this link.
What do you think of our junior Senator's record?
I find it mixed, I'm pleased that he voted to repeal Don't Ask Don't Tell and irked that he raised a filibuster against extending unemployment benefits during the worst economic downturn in my lifetime.
Click here to read on!

I am seeking re-election

I stopped by the Town Clerk and picked up nomination papers for Select Board.
I have been weighing whether or not to do so. It is often a stressful task just for me to get to a Select Board meeting on time. I work at a seafood processing plant and must rush home and get cleaned up before rushing out the door. I often don't have time for dinner. I tend to find the exercise stressful, others might not. I do.
I decided to take out the papers because there are things I would like to see the Town accomplish.
Here is a list of a few:
1. Traffic light priority systems to allow emergency vehicles to get a green light in their approach direction on traffic signals along the Route 6 corridor
2. Continued sound fiscal policy
3. Wind turbine installation
...

4. Create a fund to implement the SRPEDD recommendation to fix the Route 6/ Tucker Road/ Hathaway Road intersection
5. Create a plan and start to set aside CPC funds to build senior housing near the COA and Bullard Clinic.
6. Continue to investigate and implement consolidation of town departments, privatizing services if warranted, regionalizing services with our neighboring towns.
There are a few others as well.
I may expand on some of above items on this blog over the next few weeks
What would you like to see done in town?
Click here to read on!

Friday, January 14, 2011

Reversal of Town Meeting votes

Several comments to this post have discussed the mechanism for reversal of a representative Town Meeting action. The basis for a reversal is Massachusetts General Law (MGL) Chapter 43A section 10 which says, in part,

"If, within said seven days, a petition, signed by not less than three per cent of the registered voters of the town, containing their names and addresses as they appear on the list of registered voters, is filed with the selectmen asking that the question or questions involved in such a vote be submitted to the registered voters of the town at large, then the selectmen, after the expiration of five days, shall forthwith call a special meeting for the sole purpose of presenting to the registered voters at large the question or questions so involved."

This section of MGL differs from the Town Charter section 2-15(b) which contains this requirement.
"If, within said eight days a petition, signed by not less than six per cent of the registered voters of the town, containing their names and addresses as they appear on the list of registered voters, is filed with the select board asking that the question or questions involved in such a vote be submitted to the registered voters of the town at large"

The General Laws and the Town Charter differ on several points as shown here...

... and throughout the applicable sections of the MGL and Town Charter. Which would prevail if an Town Meeting action was challenged and the differences brought to court is not clear.
A comment asked if a permanent list of voters could be filed with the Town Clerk in opposition to every appropriation by Town Meeting.
"I ask you to check with town counsel for a legal opinion, to see if a permanent number of town voters, willing to sign a permanent override petition with the required number of registered voters and to be kept at the town clerks officer allowing any tax payer, to obtain and file for an override on expenditure that exceed 200,000 thousand dollars and presented to the B.O.S.
If this can be done, than it should be done."

I have not consulted with Town Counsel (his advice is not free, there would be a cost associated with the request) and I am not an attorney, but it seems clear the language of both the MGL and Town Charter are talking about a petition which is intiated following a Town Meeting action and pertaining specifically to that action
"Each question so submitted shall be in the form of the following question, which shall be placed upon the official ballot:—“Shall the town vote to approve the action of the representative town meeting whereby it was voted (brief description of the substance of the vote and by what vote thereon if such vote was tabulated)?” If such petition is not filed within said period of seven days, the vote of the representative town meeting shall become operative and effective upon the expiration of said period."

What do you think? Tell us in comments
Click here to read on!

Saturday, January 8, 2011

Commonwealth budget preview

The Massachusetts Budget and Policy Center (Mass Budget) has a preview of the Commonwealth's 2012 budget shortfall at this link.
Mass budget also has a preview of the effect of the Commonwealth's budget shortfall on Chapter 70 school aid at this link

There are going to be significant cuts to local aid and school aid this year.
There are likely to be consequences for our town's budget as a result.
What do you think are areas where the town can reduce costs? Tell us in comments.
Click here to read on!

Lincoln Park development update

The Town has been notified by the state Department of Housing and Community Development (DHCD) that adequate progress has not been made on the Lincoln Park 40R development and the Town will forfeit the $300,000 grant that was provided. The Executive Administrator is seeking an extension of the three year time frame for progress on the plan so the town will not have to repay the DCHD grant.
The developers of the Lincoln Park project recently submitted revised plans for review by town departments. These plans call for 57 single family homes ...
...on the southern part of the site, none of which would be affordable as defined by the DHCD. The developers are seeking to have the DHCD approve a phased plan where affordable housing apartments would be constructed by the developers at a later date. That DHCD approval of that plan has not occurred as far as I am aware.
Read more on the history of the Lincoln Park development at these links

http://dartmouthhitcingpost.blogspot.com/2009/12/lincoln-park-district-and-eminent.html

http://dartmouthhitcingpost.blogspot.com/2008/10/lincoln-park-development-in-news.html

http://dartmouthhitcingpost.blogspot.com/2008/07/lincoln-park-project-redux.html

http://dartmouthhitcingpost.blogspot.com/2008/07/lincoln-park-project.html

As I have noted before, the Town does have some recourse in the eventuality that the grant must be refunded.

"Since the town is under obligation under Chapter 40R to produce affordable housing by April 2010, the following schedule is required of the developer by the permitting authority.

By May 1, 2009. the developer must submit application for Phase 2 development to contain at least 16 dwelling units.
By Sept 1, 2009, the developer must obtain approval from the permitting authority for Phase 2,
By January 15, 2010, the developer must obtain a building permit for the dwellings.

Failure to meet this time line allows the town to seek relief under Mass General Law Chapter 40A or Chapter 40R or the permitting authority may elect to require the developer to convey one acre of the property to the Dartmouth Housing Authority or other designee to allow them to obtain a permit for Building H on that acre."

However these remedies are not a particularly desirable outcome. Rather I would like to see the developers continue with the development. Click here to read on!

Barn near collapse at town owned property

A barn roof on the Dutch Belt farm has partially collapsed and the remainder of the building has been declared derelict (Notice of Unsafe Structure by the Building Commissioner) and must be razed. This farm was purchased by the town with Community Preservation (CPC) funds. The Executive Administrator is currently working to determine whether the barn contains any hazardous materials (asbetos shingles), solicit proposals for demolition, ...
... and identify a source of funding to carry out the work.
The outbuildings at the farm on Old Fall River Road and Faunce Corner are also showing signs of distress. That farm was purchased by Town Meeting with CPC funds as well.
Click here to read on!

Dartmouth proposes library MAR change

Dartmouth has suggested changes to the Municipal Appropriation Requirement (MAR) funding formula used by the state Board of Libraries when considering library certification. This letter from Mr. Cressman to the Massachusetts Municipal Association (MMA) lays out the changes that are proposed.
The MMA sent the email, and will follow up with a letter, to the Executive Office of Administration and Finance asking that the proposal to change the Library Municipal Appropriation Requirement (MAR) be included ...


... in House 1 (the Governor's budget) or any municipal relief bill that the governor might file this month.
With many municipalities struggling with their budgets, a substantial number of cities and towns are in a similar circumstance. The funding problem is actually sort of a "down in the weeds" issue, but in a nutshell, the yearly MAR is the average of the prior three years appropriations or the MAR whichever is higher raised by 2.5%. The result is that once a town does not achieve the MAR, that town must play catch up which is difficult or impossible in the current environment.
Click here to read on!