.
.
Are there any politicians out there who actually stand for something? Are there any out there who actually keep their word?
Case in point – Governor Chaffee. He campaigned by stating he was behind the working men and women of the state, including state and municipal union workers. He was labor-friendly, he said. Although there were tough times ahead the sacrifices would be shared, not put squarely on the backs of state and municipal employees. He pointed to his record as the Mayor of Warwick to show that he was a fair negotiator.
Case in point – Mayor Taveras. Not only did he propose a new era in joint communication and cooperation between the City’s labor unions and his Administration at City Hall, but he actually renegotiated and signed contracts which brought about further concessions by the unions which seemed fair to both sides. Also, he was left a financial mess by his predecessor.
Case in point – Congressman Cicilline. Enough has been said about this clown. Everyone knows by now that he never tells the truth. He is a lost cause, and I hope someone runs against him in the Democratic primary.
As far as Governor Chaffee is concerned, he better wake up very quickly. Organized labor put him over the top in the last election because he promised to treat us fairly. Contrary to public opinion labor was not looking for someone to roll over and give away the candy store. We realized that times were tough all over and not getting better very quickly. We knew that there were difficult decisions ahead and that we were going to have to sacrifice just like everyone else. We wanted, however, to be treated fairly in the process. Instead, this governor is proposing what is tantamount to stripping labor of our collective bargaining rights. Giving employers (whether government or private) carte blanche to refashion the employee and retirement benefits of their employees is morally and ethically wrong. It is also probably illegal. He (the governor) is setting the stage for drawn out legal battles which will benefit no one.
Mayor Taveras. Ouch! As a longtime employee of the City I had very high hopes that Mayor Taveras would change things for the better. Indeed, I voted to approve a contract re-opening that gave away some of our benefits in order to help the City through a tough financial crisis and as a good faith gesture that we and the Administration could work together in an atmosphere of mutual respect and trust. What did he do? He decided to attempt to strip my retirement benefits as well. Everything he has done over the last few months has been to steer the City toward the brink of bankruptcy in order to get out from under contractual obligations. While some may applaud him for doing that, I believe he has been negligent in exploring all other reasonable options. There are a couple of options with regards to the pension system which would save as much, or more, than his present plan.
The problem seems to be that if he were to get the concessions required or simply instituted the needed changes and fight the legal fight regarding those changes he wouldn’t be able to get “all” the changes he wants. From what I understand, the meeting he held with retirees to explain the changes he was proposing is one of the things he needed to do if he were to request a judge to let the City out from under the burden of the contracts of retirees (and employees). There was no way he believed that he would be able to forge closer to an understanding with retirees by explaining his proposals at that meeting. Also, although the meeting was said to be about the Mayor explaining his justification for temporarily halting the COLAs, he got up on stage and explained that he also wanted additional changes to their retirement benefits. He wanted them to begin paying 20% of their health care and wanted to require them to join Medicare at 65. These are all costly items to a retiree and the Mayor wants all three of them! That would be a hardship.
I’m speaking about 90% of the retirees facing a hardship by these concessions. The media always points to the 10% of City retirees who receive outlandish pensions due to years of 6% COLAs. Many of these retirees collect a bigger retirement check than the active workers on their old job receive! That’s completely ridiculous.
That would be the first place I would attack if I were the Mayor. I would propose and push a City Ordinance that capped ALL Providence pensions at the current base pay of the individual performing that job now. This is going forward, as well as being applied to current retirees. This would mean a dramatic reduction in a small percentage of pensions but it would be considered, by most reasonable people, a fair solution. No one should ever receive more in retirement than the person working today at the same job!
I would also propose that no employee of the City be able to collect a service pension until he/she were 50 years old. I believe that this could be negotiated into every Providence union’s contract without too much trouble.
These 2 changes would solve the long-term problems of the City’s pension system. It wouldn’t immediately replace the hundreds of millions of dollars the City has neglected to pay into the system overnight, but it would create a sound and sustainable pension system. This crisis wasn’t created in a day, so why would we think we should fix it in a day. This is a long-standing crisis which requires a thoughtful and fair, long-term solution.
Tom Kenney
Saturday, March 17, 2012
Tuesday, March 6, 2012
Quick & Fair Resolution to Providence's COLA Dispute
While reports seem to always showcase the City’s “top 25” retirees, no one seems to want to talk about the average (the majority) retiree from Providence who is making somewhere between $20K - $40K – in many cases for 30+ years of service to the City.
Taveras’ plan does nothing to separate the financial burden of these two groups – and that is just plain wrong.
While most of us (if not all) would agree that making more in retirement than a current employee in the retiree’s old job is wrong, Taveras’ proposals do nothing to correct this imbalance. The mayor should consider making a single proposal, capping all current and future pensions at 100% of the current active employee in the position from which the pensioner retired. This would be a “fair” solution to the unfunded liability problem for the current and future stability of the system, even if not a popular move to some of the current retirees who would be immediately affected.
I would like to see a savings projection if this were to be implemented. My guess is that it would be substantially more than Taveras’ target of $29 million.
Taveras’ plan does nothing to separate the financial burden of these two groups – and that is just plain wrong.
While most of us (if not all) would agree that making more in retirement than a current employee in the retiree’s old job is wrong, Taveras’ proposals do nothing to correct this imbalance. The mayor should consider making a single proposal, capping all current and future pensions at 100% of the current active employee in the position from which the pensioner retired. This would be a “fair” solution to the unfunded liability problem for the current and future stability of the system, even if not a popular move to some of the current retirees who would be immediately affected.
I would like to see a savings projection if this were to be implemented. My guess is that it would be substantially more than Taveras’ target of $29 million.
Monday, February 13, 2012
Who is to blame for Providence’s possible bankruptcy?
Active Providence firefighters and retirees explain that they never missed a payment into their retirement system. They say it was mismanagement (bordering on criminal mismanagement) by elected officials which has lead to the unfunded liability which threatens the entire system. They say the pension provisions, including COLA’s, have been negotiated fairly and are protected as part of their CBA, which was signed by the mayor and ratified by the City Council. They say it is not fair to blame them and the City cannot break a contract…period!
City and state officials, general taxpayers, bloggers, newspapers and other media say the taxpayers can’t afford it. There is no other choice than to nullify the contract and make the necessary unilateral cuts they deem to be fair…period!
Neither side believes they should have to find any compromise between the two positions. Something has to move.
No one wants to talk about the fact that the City of Providence (as are all other municipalities in the State of RI) is struggling in their financial efforts to avoid bankruptcy due primarily to the millions of dollars in state aid to cities and towns which have been pulled out from under them by former Governor Carcieri.
No one wants to talk about the fact that the last three mayors of Providence (Cianci, Paolino & Cicilline) continually failed to meet the City’s annual obligation in funding the pension system…or the fact that Cianci raided the pension on more than one occasion to “borrow” money from the system.
No one wants to talk about the fact that Mayor Cianci is the sole person responsible for the 5% & 6% COLA’s which are responsible for creating the obscene pensions often mentioned in reports about the outlandish sums being paid to some fire and police department retirees. He, and only he, signed the contracts for the city which awarded these unsustainable COLAs.
No one wants to talk about the fact that these previously mentioned factors are the reasons Providence’s police and fire pension system has been unsustainable…not the pensions being paid to 90% of the retirees from this system who are being paid 3% COLA’s on a much smaller based pension.
No one wants to talk about the fact that there have been numerous concessions and changes to the Providence police and fire pension system over the past several years as a result of both fire and police unions negotiating give-backs to the city when called upon to participate in “shared sacrifice” to help the city through tough economic times.
No one wants to talk about the fact that the highest single cost for employees and retirees is an out-of-control health insurance system that need to be brought under control and not just absorbing or passing on the already obscene premiums.
Some of these changes are listed below:
1. Providence firefighters have paid an extra 1.5% toward pension & OPEB (other post employee benefits) costs than the Providence police for the last 15 years or so. This 1.5% is officially being held for OPEB by the City of Providence (or at least it should be) via contract agreement. Providence police have no such agreement and don’t pay the additional 1.5% over the base pension contribution of 8% despite being in the same pension system as firefighters and having some benefits not accorded firefighters including a 5% pension bump up at 25 years and 30 years.
2. Providence firefighters earn the right to retire at 50% of base pay at 20 years of service. As of our last contract any member who chooses to retire after 20 years will have to wait for 5 years before they are able to begin collecting their pension and an additional 3-4 years before collecting any COLA. This is a change from being able to collect their base pension immediately upon reaching 20 years and the waiting 3-4 years for COLAs to begin.
3. As of our last contract Providence firefighters are required to utilize Medicare coverage as their primary health care coverage for themselves and their spouse once they turn 65 years of age. This change will add over $5,000 per year in costs to retirees plus additional co-pays and prescription costs.
4. The accidental disability pension rate for current retirees is under 20% compared to the 90-95% during the late 80’s and 90’s. Any suspected abuse of the disability pension system has been cleaned up over the past 10-15 years.
There are some things that could be done to amend Providence ’s police and fire pension system which would most certainly be welcomed by the active membership of both unions and the City should at least attempt to negotiate with the retirees.
The first (and most immediately important) is to address the COLA issue. Retirees should NEVER make more in retirement than the person who is actively performing the same job. This is common sense and although the retirees have no legal requirement to give up their annual raises they must certainly be worried about the issue going to court once again and the outlandish amount of their pension being judged by the public, the media and by a judge.
1. Cap the pensions of 5% & 6% COLA retirees where they are. No more raises…period!
2. Cap the pensions of 3% COLA retirees at 75% of the current active member’s base pay for the job the retiree left.
3. Calculate future COLA’s to coincide with active members’ raises. This way if an employee retires at a pension of 75% of his base pay his retirement will never exceed 75% of an active member’s base.
4. Negotiate a change for new employees to be required to reach a minimum age before being eligible to collect a service pension.
5. Have an audit of the system and determine if a raise in contribution percentage is required for current employees.
City and state officials, general taxpayers, bloggers, newspapers and other media say the taxpayers can’t afford it. There is no other choice than to nullify the contract and make the necessary unilateral cuts they deem to be fair…period!
Neither side believes they should have to find any compromise between the two positions. Something has to move.
No one wants to talk about the fact that the City of Providence (as are all other municipalities in the State of RI) is struggling in their financial efforts to avoid bankruptcy due primarily to the millions of dollars in state aid to cities and towns which have been pulled out from under them by former Governor Carcieri.
No one wants to talk about the fact that the last three mayors of Providence (Cianci, Paolino & Cicilline) continually failed to meet the City’s annual obligation in funding the pension system…or the fact that Cianci raided the pension on more than one occasion to “borrow” money from the system.
No one wants to talk about the fact that Mayor Cianci is the sole person responsible for the 5% & 6% COLA’s which are responsible for creating the obscene pensions often mentioned in reports about the outlandish sums being paid to some fire and police department retirees. He, and only he, signed the contracts for the city which awarded these unsustainable COLAs.
No one wants to talk about the fact that these previously mentioned factors are the reasons Providence’s police and fire pension system has been unsustainable…not the pensions being paid to 90% of the retirees from this system who are being paid 3% COLA’s on a much smaller based pension.
No one wants to talk about the fact that there have been numerous concessions and changes to the Providence police and fire pension system over the past several years as a result of both fire and police unions negotiating give-backs to the city when called upon to participate in “shared sacrifice” to help the city through tough economic times.
No one wants to talk about the fact that the highest single cost for employees and retirees is an out-of-control health insurance system that need to be brought under control and not just absorbing or passing on the already obscene premiums.
Some of these changes are listed below:
1. Providence firefighters have paid an extra 1.5% toward pension & OPEB (other post employee benefits) costs than the Providence police for the last 15 years or so. This 1.5% is officially being held for OPEB by the City of Providence (or at least it should be) via contract agreement. Providence police have no such agreement and don’t pay the additional 1.5% over the base pension contribution of 8% despite being in the same pension system as firefighters and having some benefits not accorded firefighters including a 5% pension bump up at 25 years and 30 years.
2. Providence firefighters earn the right to retire at 50% of base pay at 20 years of service. As of our last contract any member who chooses to retire after 20 years will have to wait for 5 years before they are able to begin collecting their pension and an additional 3-4 years before collecting any COLA. This is a change from being able to collect their base pension immediately upon reaching 20 years and the waiting 3-4 years for COLAs to begin.
3. As of our last contract Providence firefighters are required to utilize Medicare coverage as their primary health care coverage for themselves and their spouse once they turn 65 years of age. This change will add over $5,000 per year in costs to retirees plus additional co-pays and prescription costs.
4. The accidental disability pension rate for current retirees is under 20% compared to the 90-95% during the late 80’s and 90’s. Any suspected abuse of the disability pension system has been cleaned up over the past 10-15 years.
There are some things that could be done to amend Providence ’s police and fire pension system which would most certainly be welcomed by the active membership of both unions and the City should at least attempt to negotiate with the retirees.
The first (and most immediately important) is to address the COLA issue. Retirees should NEVER make more in retirement than the person who is actively performing the same job. This is common sense and although the retirees have no legal requirement to give up their annual raises they must certainly be worried about the issue going to court once again and the outlandish amount of their pension being judged by the public, the media and by a judge.
1. Cap the pensions of 5% & 6% COLA retirees where they are. No more raises…period!
2. Cap the pensions of 3% COLA retirees at 75% of the current active member’s base pay for the job the retiree left.
3. Calculate future COLA’s to coincide with active members’ raises. This way if an employee retires at a pension of 75% of his base pay his retirement will never exceed 75% of an active member’s base.
4. Negotiate a change for new employees to be required to reach a minimum age before being eligible to collect a service pension.
5. Have an audit of the system and determine if a raise in contribution percentage is required for current employees.
Friday, December 16, 2011
Worcester Rescue One / Rescuers to Victim
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.
We all know that this can happen
Any time we go out that door
Although we seldom give it any thought
This is what we signed on for
Ours can be a dangerous profession
There’s no way around it
We try to take every precaution
The situation will permit
Another fire in a wooden three-decker
In this old New England town
Houses built too close together
Worn, damaged and run down
Everyone’s asleep at four in the morning
Assuming they’re safe in their beds
A spark or an ember go too long unnoticed
The fire slowly but surely spreads
It consumes more fuel gaining momentum
Before it’s finally detected
Smoke and fire are silent killers
They strike when unexpected
By the time the first alarm was sounded
And trucks were on the scene
Smoke was thick and flames were raging
The night air filled with screams
The first-in Engine reports heavy fire
They see flames while on the way
The Chief calls for a second alarm
Reinforcements for this fray
Occupants are lead from the building
But not all are accounted for
The firefighters must conduct a search
By going floor to floor
As they search for victims trapped inside
And put water on the fire
The building begins to lose its integrity
As the flames just grow higher
The order to evacuate the building
Is given by Command
All firefighters depart the structure
Their hoses left unmanned
At just this time a civilian insists
His roommate is still inside
Second floor in the rear apartment
If he hasn’t already died
Time for a search and rescue team
To make one last try
Get in and out as quickly as possible
Before things can go awry
Two brave men from Rescue One
Attempted to test fate
Reach the victim and pull him out
Before it was too late
As they made their way up the stairs
The building just let go
Burying them both amidst the rubble
And trapping them below
One would live and one would die
As fate played its hand
Why God took one and not the other
Is tough to understand
The Jakes who work in Worcester, sadly
Have been here once before
It’s tough to think that again this Christmas
They’ll go through this hell once more
The holidays should be a joyful time
A time without such heartache
But once again our brothers in Worcester
Must bury a brother Jake
Firefighters from all around the country
Will bid firefighter Davies farewell
For he died the same way he had lived
While answering the bell
.
We all know that this can happen
Any time we go out that door
Although we seldom give it any thought
This is what we signed on for
Ours can be a dangerous profession
There’s no way around it
We try to take every precaution
The situation will permit
Another fire in a wooden three-decker
In this old New England town
Houses built too close together
Worn, damaged and run down
Everyone’s asleep at four in the morning
Assuming they’re safe in their beds
A spark or an ember go too long unnoticed
The fire slowly but surely spreads
It consumes more fuel gaining momentum
Before it’s finally detected
Smoke and fire are silent killers
They strike when unexpected
By the time the first alarm was sounded
And trucks were on the scene
Smoke was thick and flames were raging
The night air filled with screams
The first-in Engine reports heavy fire
They see flames while on the way
The Chief calls for a second alarm
Reinforcements for this fray
Occupants are lead from the building
But not all are accounted for
The firefighters must conduct a search
By going floor to floor
As they search for victims trapped inside
And put water on the fire
The building begins to lose its integrity
As the flames just grow higher
The order to evacuate the building
Is given by Command
All firefighters depart the structure
Their hoses left unmanned
At just this time a civilian insists
His roommate is still inside
Second floor in the rear apartment
If he hasn’t already died
Time for a search and rescue team
To make one last try
Get in and out as quickly as possible
Before things can go awry
Two brave men from Rescue One
Attempted to test fate
Reach the victim and pull him out
Before it was too late
As they made their way up the stairs
The building just let go
Burying them both amidst the rubble
And trapping them below
One would live and one would die
As fate played its hand
Why God took one and not the other
Is tough to understand
The Jakes who work in Worcester, sadly
Have been here once before
It’s tough to think that again this Christmas
They’ll go through this hell once more
The holidays should be a joyful time
A time without such heartache
But once again our brothers in Worcester
Must bury a brother Jake
Firefighters from all around the country
Will bid firefighter Davies farewell
For he died the same way he had lived
While answering the bell
Friday, September 30, 2011
The Greatest Geneation vs. Our Generation
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Tom Brokaw wrote a book chronicling the character of “The Greatest Generation” of Americans. That was the generation of our fathers or grandfathers – depending on our age. They were not self-absorbed people who put their own interests in front of society’s, regardless of the cost. Just the opposite, they realized that their own prosperity (and freedom) was also intertwined with the prosperity and freedom of the rest of society. This strength of character was not limited to one group of citizens either, it was equally shared between the haves and the have-nots.
In 1932, in the middle of the Great Depression, when the country and many of its citizens were in unprecedented distress, the top tax bracket rose from 25% to 63%. In 1940, when the country joined the struggle in World War II and the country had to ration and struggle to support the war effort, it rose to 81.1%. And in 1944 when the country began to emerge from WWII and attempt to get its economy back on track, it again rose to 94% and the lowest tax bracket rose to 23% from only 4.4% just three years prior.
The rate fluctuated to a 70% top tax bracket when President Carter left office. It dropped from 70% to 28% during the Regan Administration alone, but eventually rose to 39.6% under Bill Clinton during the 90’s – arguably the best economic times this country has enjoyed in almost a century. The stock market and the housing market were booming and unemployment was at an all time low.
When George W. Bush took office and began lowering the top tax bracket from 39.6% to 35% he also lowered the Capital Gains tax from 20% to 10% - another tax break exclusively for those who could afford to make investments rather than simply struggle to pay the bills. He also shifted many federal funded programs to the state level - which devastated state budgets across the country. These shortfalls were passed on to municipalities via shrinking state funded financial assistance. The result of these shrinking funds on the municipal level was inevitably passed on to the property holders in the form of higher real estate and property taxes.
The Bush tax breaks to the very rich were intended (so he claimed and Republicans continue to claim) to stimulate businesses and investors to create jobs thereby helping the lower and middle income families. Has that happened? Since the Bush tax breaks have been in place the level of unemployment has risen to historic highs. Not since the Great Depression has America’s lower and middle income families been in such dire financial shape. Maybe it’s time to raise the top tax bracket in the USA back to 63% to get us out of this Depression.
The Greatest Generation stepped up and showed their true integrity and character when things looked bleakest. Our present generation is setting an example for our kids and grandkids just as our parents and grandparents did for us. What are we showing them? We’re teaching them that if governmental promises and contracts are placing too much of a burden on us we can simply ignore them and walk away.
I don’t think we’ll have any books praising our generation any time soon!
Tom Brokaw wrote a book chronicling the character of “The Greatest Generation” of Americans. That was the generation of our fathers or grandfathers – depending on our age. They were not self-absorbed people who put their own interests in front of society’s, regardless of the cost. Just the opposite, they realized that their own prosperity (and freedom) was also intertwined with the prosperity and freedom of the rest of society. This strength of character was not limited to one group of citizens either, it was equally shared between the haves and the have-nots.
In 1932, in the middle of the Great Depression, when the country and many of its citizens were in unprecedented distress, the top tax bracket rose from 25% to 63%. In 1940, when the country joined the struggle in World War II and the country had to ration and struggle to support the war effort, it rose to 81.1%. And in 1944 when the country began to emerge from WWII and attempt to get its economy back on track, it again rose to 94% and the lowest tax bracket rose to 23% from only 4.4% just three years prior.
The rate fluctuated to a 70% top tax bracket when President Carter left office. It dropped from 70% to 28% during the Regan Administration alone, but eventually rose to 39.6% under Bill Clinton during the 90’s – arguably the best economic times this country has enjoyed in almost a century. The stock market and the housing market were booming and unemployment was at an all time low.
When George W. Bush took office and began lowering the top tax bracket from 39.6% to 35% he also lowered the Capital Gains tax from 20% to 10% - another tax break exclusively for those who could afford to make investments rather than simply struggle to pay the bills. He also shifted many federal funded programs to the state level - which devastated state budgets across the country. These shortfalls were passed on to municipalities via shrinking state funded financial assistance. The result of these shrinking funds on the municipal level was inevitably passed on to the property holders in the form of higher real estate and property taxes.
The Bush tax breaks to the very rich were intended (so he claimed and Republicans continue to claim) to stimulate businesses and investors to create jobs thereby helping the lower and middle income families. Has that happened? Since the Bush tax breaks have been in place the level of unemployment has risen to historic highs. Not since the Great Depression has America’s lower and middle income families been in such dire financial shape. Maybe it’s time to raise the top tax bracket in the USA back to 63% to get us out of this Depression.
The Greatest Generation stepped up and showed their true integrity and character when things looked bleakest. Our present generation is setting an example for our kids and grandkids just as our parents and grandparents did for us. What are we showing them? We’re teaching them that if governmental promises and contracts are placing too much of a burden on us we can simply ignore them and walk away.
I don’t think we’ll have any books praising our generation any time soon!
Wednesday, August 17, 2011
10 Year Tribute to the FDNY
Ten Seconds…Ten Years
Ten years is a very short time
A blink of an eye to God
For us it’s been our eternal reward
For those left behind, it’s been hard…
Ten seconds is a very long time
When that’s all you have left to live
There’s time enough to make your peace
But not time enough to give…
…to give your sweetheart one more kiss
Or to squeeze her oh so tight
Not time to assure your kids
Everything will be alright
From the moment I began this job
I’ve prepared myself for this day
So now as He suddenly calls me home
I already know the way
I remember…
Kaboom, kaboom, kaboom, kaboom
Like a freight train bearing down
I instantly knew how this would end
That’s when I felt His peace surround…
…surround my body, surround my soul
Surround my brothers in arms
I felt His love, like a giant cloak
Sheltering us from harm
While answering the call that day
I saw the second plane
It glided through the cloudless sky
Then burst into fire-like rain
It rained down fire, it rained down dust
It rained down bodies, too
It seemed no matter how we tried
There was nothing we could do
We knew the people trapped above
The hole ripped into the tower
Could never escape with their mortal lives
Without the aid of His holy power
I prayed that day, a silent prayer
As I stepped inside the lobby
I knew that without His intervention
We’d be merely recovering bodies
We began climbing the narrow stairs
While others were heading out
As we passed these frightened civilians
Some began to shout…
“God bless you, our brave firemen
you’re heroes to us all.”
But we were simply doing our jobs
Just answering the call
We knew when we began the fight
We all would not survive
But risking our lives for those of others
Helps keep our hopes alive...
...our hopes that good will conquer all
And God will help us through
Rewarding us all with eternal life
As our souls begin anew
I saw the face of God that day
As He led me from this place
His will, not ours, will always be done
Accept this fact with grace
I understood, at once, that day
What firemen were sent here for
Watch over His endangered as best we can
Of no man could He ask more
Ten seconds is a very long time…
...ten years is a very short time…
Ten years is a very short time
A blink of an eye to God
For us it’s been our eternal reward
For those left behind, it’s been hard…
Ten seconds is a very long time
When that’s all you have left to live
There’s time enough to make your peace
But not time enough to give…
…to give your sweetheart one more kiss
Or to squeeze her oh so tight
Not time to assure your kids
Everything will be alright
From the moment I began this job
I’ve prepared myself for this day
So now as He suddenly calls me home
I already know the way
I remember…
Kaboom, kaboom, kaboom, kaboom
Like a freight train bearing down
I instantly knew how this would end
That’s when I felt His peace surround…
…surround my body, surround my soul
Surround my brothers in arms
I felt His love, like a giant cloak
Sheltering us from harm
While answering the call that day
I saw the second plane
It glided through the cloudless sky
Then burst into fire-like rain
It rained down fire, it rained down dust
It rained down bodies, too
It seemed no matter how we tried
There was nothing we could do
We knew the people trapped above
The hole ripped into the tower
Could never escape with their mortal lives
Without the aid of His holy power
I prayed that day, a silent prayer
As I stepped inside the lobby
I knew that without His intervention
We’d be merely recovering bodies
We began climbing the narrow stairs
While others were heading out
As we passed these frightened civilians
Some began to shout…
“God bless you, our brave firemen
you’re heroes to us all.”
But we were simply doing our jobs
Just answering the call
We knew when we began the fight
We all would not survive
But risking our lives for those of others
Helps keep our hopes alive...
...our hopes that good will conquer all
And God will help us through
Rewarding us all with eternal life
As our souls begin anew
I saw the face of God that day
As He led me from this place
His will, not ours, will always be done
Accept this fact with grace
I understood, at once, that day
What firemen were sent here for
Watch over His endangered as best we can
Of no man could He ask more
Ten seconds is a very long time…
...ten years is a very short time…
Thursday, August 11, 2011
RI Municipal Fiscal Crisis “For Dummies”
In keeping with the title of this post, I will not discuss or use any specific numbers to support my argument – only theoretical (and very simple) examples. Also, this same scenario is playing out in cities and towns throughout RI and the U.S.
Step 1:
In the year 2000, presidential candidate George W. Bush proposed a sweeping tax cut if he was elected. Despite the fact that it was pointed out that the wealthiest 1% of the citizens of the USA would be the biggest benefactors of such a plan Mr. Bush was determined to downsize federal government – and, perhaps coincidentally, help out his rich friends as well.
In January of 2001 he took office. He proceeded to push through his tax cut and, indeed, cut many of the federal programs he saw as being better served by individual states (RI included). This meant much less funding of social programs by the federal government. Millions of people around the US were faced with losing social programs to which they’d come to depend on.
Unfortunately the need for these social programs didn’t disappear when the federal funding did. The responsibility for funding was merely shifted to the state (RI). But…most of us were paying lower (oh so slightly) federal income taxes. The wealthiest 1% of the population, however, saved millions of dollars in taxes!
Step 2:
The states (including RI) were now scrambling to offset the decline of federal funding to help with their budgets. At the same time there were a growing number of citizens in the state who were in desperate need of social and economic government programs to aid in their daily survival due to these same federal cuts. They now turned to the state (RI) to provide a continuation of these services. At this same time RI (having an income tax that piggy-backed the federal system) was forced to raise it’s percentage of the federal tax in order to maintain the same level of income via resident’s income tax payments.
Although this wasn’t truly an ‘increase’ in taxes by RI, it sure looked that way to the casual observer. A rise in tax would come eventually. The last thing a governor wants to do, particularly a republican governor like Donald Carcieri, is to raise taxes and expand government’s responsibility in social programs. So, as the burden on the state grew he was forced to choose between raising taxes or cutting programs and reducing the aid to the cities and towns.
Just as the president had done at the national level, Governor Carcieri decided these programs were better run by the local governments as opposed to by the state. After all, he didn’t run for office to expand state government – he ran to ‘cut big government’ (as all good republicans do). He cut social programs and cut funding to the individual cities and towns and desperately attempted to balance his budget without the need to raise taxes. Tens of thousands of people were facing the possibility of losing the governmental assistance and programs that had helped them get by on a day to day basis. That responsibility now shifted to the cities and towns. But…most of us were paying lower (oh so slightly) federal income taxes, and about the same amount in RI tax. The wealthiest 1% of Americans (as well as RIer’s) were still saving millions!
Step 3:
Around this same time Central Falls, Providence, Pawtucket, Woonsocket and West Warwick (not coincidentally the cities and towns affected the most by these hard economic times), being urban centers, have always had a disproportionate number of the state’s lower income citizens in the most desperate need of the social programs that were cut on the national and state level. Therefore, these cities and towns quickly became one of the biggest losers in a country led by Bush and a state led by Carcieri.
Thousands of people were now dependent on their city or town to provide the funding for their needs. Crap runs downhill, and the cities and towns are at the base (bottom) of our governmental ladder. There was no other entity to pawn off this responsibility. With no other choice, the city began to spend much more than it was earning via its main source of income – property taxes. Inevitably the city had to raise its tax rate to bring in additional revenue. Home owners in these cities and towns began to foot the bill for the federal tax cuts – the trickle down effect run amuck.
A typical home owner in one of these cities or towns was paying about $200 lower federal tax and about the same in RI tax, but they were paying about $500 more in property tax per year – with no end in sight.
Addendums:
As things got progressively worse ProJo and other media began to point their fingers at the municipal unions. Their outrageous salaries and benefits, it seems, has pushed the city over the edge. It doesn’t seem to matter that these union members are “working” people of RI always paying their fair share of income taxes and property taxes. These lower middle income citizens and families are accused of breaking the financial backs of RI and its cities and towns.
The emphasis has been strongly toward giving the upper income citizens and corporations more tax relief in order to create jobs and stimulate the local economy. All this at a time when investors on Wall Street are reaping the benefits of record setting profits despite the dire financial picture for the average citizens of the U.S. Corporations are paying back federal stimulus money in order to allow them to pay outrageous bonuses to their CEO’s and upper management people, as well as lift what they consider unfair restrictions on their businesses such as outsourcing jobs overseas. Corporate greed is once again the norm.
Is this the way we Americans want our system to work? The more we “right the ship” on the backs of working class people the more we are destined to create a “have and have-not” social structure – eliminating the middle class altogether.
Tom Kenney
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