Methuen Firefighters Memorial

Today was the Methuen Firefighters Memorial, held at the Central Station. The weather was not cooperative, so the service was held indoors. The Firefighters put out a hearty breakfast for after the Memorial that is always delicious. I posted a few photos on Facebook, and I already had one wiseacre ask if I had brought along a food taster. I will have everyone know that the Firefighters specifically told me that they had made a “special plate” for me. Unfortunately a scheduling conflict forced me to leave before I could consume that breakfast plate. It was a nice ceremony, and the last one for Fire Chief Cliff Gallant as Chief. He retires at the end of this month. Thank you to the Firefighters for their hospitality.

Mayor Manzi and Chief Gallant

View the photo set here.

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President Obama Stays on Health Care

The President, for the second consecutive week, stayed on the subject of health care, talking about the importance of health care reform and how our economy is so dependent on real reform. We have a President that understands the vital necessity to our economy of reducing health care costs that are dragging us into the abyss. I will post the Republican plan shortly.

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Governor Patrick on Pension Reform

Governor Patrick talks about the recently passed pension reform bill, and the future of ethics and transportation reform.

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Letter From the Treasurer

Although I did not do a posting on it the Globe has published another hit piece on Treasurer Tim Cahill, citing his support for a retirement under Group 4 for a campaign supporter. Group 4 is the pension category reserved for public safety personnel, and the Globe story paints Cahill as essentially fixing it so a campaign supporter could retire with a better pension. Cahill has been taking a pounding from the Globe, and the blogs, and really has not responded. Today he sent a letter out that he has sent to the Globe defending his actions, and the actions of Josephine Shea, the retiree in question. The Treasurer sees the need at this point to respond, and I believe he needs to engage. Below is the Cahill letter, sent via email.

Dear Friend,

In response to a recent Boston Globe article, below is my letter to the Globe’s editor submitted on June 10, 2009. We expect that an edited version will appear in the Globe in the near future. We thank you for your continued support and hope this letter provides you with a more comprehensive representation of the facts.

As State Treasurer, and someone rumored to be running for Governor, I understand and expect criticism of my record. The fact is, I welcome that examination. Time and again, my record proves to those interested that I have always followed the law in carrying out my duties as a public official.

When, however, speculation of my future plans causes political adversaries to use the Boston Globe to falsely and unfairly attack the accomplished record of a private citizen in an attempt to tarnish my reputation, I feel it necessary to set the record straight.

Josephine Shea served the people of Norfolk County with tireless dedication for over 22 years, working at the Norfolk County House of Corrections. She secured her position there when she was 26 years old and worked her way up the ranks, on her own merits, to the point where there were times that she was running the inmate population of the jail. For more than half of her career, Mrs. Shea worked in job classifications that the law categorizes as Group 4 such as Assistant Superintendent and Superintendent (Provision of Group 4 Recommendations can be found in full text on Treasurer Cahill’s website). Significantly, she also served as acting Sheriff. There were times during her career when circumstances required that Mrs. Shea actually had to have police protection at her home as a result of threats received while working at the Norfolk County House of Corrections.

Josephine Shea earned her retirement based on a lifetime of work in direct and indirect oversight of all aspects of the jail. She qualified for her pension under the law and it was approved by PERAC, which reviews and approves the retirements sent to them by local boards.

The fact is, Mrs. Shea’s only crime is being a supporter of mine during a time when political opportunists are directing the Globe to shine a bright light on my career simply because I have the temerity to publicly challenge the Governor’s policies.

I appreciate Mrs. Shea’s support and, more than anything, I respect and admire the dedication with which she served the people of Norfolk County. Once again, I welcome and encourage an examination of the public record I am so proud of. My supporters can have confidence that we have always done things the right way and that I will not allow corner office politics to wrongfully bring them down without a fight.

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Pension Bill Passes

The Conference Committee of the Legislature dealing with the separate House and Senate Pension reform efforts reported out a bill in the last couple of days, and it contained the deeper reforms that were contained in the original Senate bill. (Reforms enacted to apply to existing personnel.) And those reforms took out some of the most prominent abuses that the existing system had promulgated. The Boston Globe highlighted the changes:

Removing a provision that credits a full year of service to employees after they have worked as little as one day in that year.

Preventing elected officials from claiming a “termination allowance” that has been granted after they have failed to win reelection.

Changing the current accidental disability retirement benefit for individuals who are injured while temporarily filing in for their supervisor. Some firefighters in Boston have collected pension benefits based on their bosses’ higher pay level after they were injured on the job while subbing for them.

Limiting the definition of “compensation” to wages and salary and specifically excluding housing benefits, annuities, or the use of motor vehicles. This would prevent presidents at the state’s public colleges and universities from counting housing and transportation allowances as compensation.

Eliminating a current provision that allows certain officials to establish pension credits for holding unpaid jobs.

And while everyone agreed that this change was badly needed, it is clear that it is only a first step. The Massachusetts Pension system is in tatters.

State lawmakers characterized the pension legislation as a first step, one that largely addresses the symbolic abuses that resonate in the public, and they vowed to make further changes in the future that could save the state substantial money. The legislation calls for establishing a commission to review broader changes and issue a report by Sept. 1.

The press announcement of the conference report really highlighted the bruised feelings that still exist between the big three. Therese Murray treated Governor Patrick like he was radioactive waste. And although the Governor seems to be taking more than a few bows here the real credit belongs to Senate President Murray, whose chamber produced a bill that applies to current employees, and held the line when the House tried to limit reforms to future employees. As has been noted elsewhere the Governor did not produce a pension reform bill.

pensionreport

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McAuliffe Crushed in Virginia

State Senator Creigh Deeds easily cruised to victory in the Democratic primary for Governor, crushing Clintonista Terry McAuliffe 50% to 26%, with Brian Moran coming in at 24%. Deeds will face off against former state A.G. Bob McDonnell, who defeated Deeds in a very close race for A.G. in 2005. Deeds had been shown by the latest Suffolk poll to be the candidate with momentum, and that was borne out by the final numbers. As Terry Mcauliffe licks his wounds today maybe he is thinking of that old Beatles tune “Money Can’t Buy Me Love”. And maybe some of the Obama folks have not quite forgotten his zeal for Hillary.

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Health Care Deal in Methuen

I am very pleased to announce a health care deal in Methuen between the City and the Coalition representing the municipal unions on health care. This health care agreement will save Methuen taxpayers $1.2 million dollars in FY 2010. The insurance coalition, chaired by Teachers Union President Donna Gogas, has representatives from all municipal unions, including Police, Fire, and the Laborers Union. The potential for an increase of that magnitude shows how far out of whack our national health care system is, but I digress. The Coalition agreed to a new menu of co-pays and a new plan for prescription drugs. The new menu includes co-pays that did not exist in the prior plan, and increases to existing co-pays. It required a huge change in the plan, and I am grateful to the coalition for all of their hard work to produce a plan that not only saved the City money, but holds premium increases in the Tufts plan to 33 cents per week for an individual, and 88 cents per week for a family plan. We have incorporated several innovations to our plan, and a key to our success has been the willingness of Donna Gogas, the Coalition President, to work on health care all year round, not just at budget time. Read the Tribune story on this announcement here. Donna Gogas joined me for yesterdays announcement.

Methuen Teachers Union President Donna Gogas and Mayor Manzi

Posted in Methuen, Municipal Finance | Tagged , | 4 Comments

Terry McAuliffe Slugs it Out in Virginia

Virginia will have its Democratic primary for Governor shortly, and recent polls have State Sen. Creigh Deeds leadingTerry McAuliffe, who has outspent the field in a large way. McAuliffe is the establishment candidate, and Deeds the insurgent in this fight. But Deeds is the homegrown candidate, and knows the terrain well. Our old friends at Suffolk University just conducted a survey, and it shows Deeds with a slight lead over McAuliffe, at 29% to 26%. Brian Moran is just behind them at 23%. Should be an interesting fight to the finish. McAuliffe attempts to exploit the fact that Deeds has lost to the presumptive Republican nominee Bob McDonnell in a race for Attorney General several years ago with this ad.

editedvamarginalsfinaljune42009

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The Sales Tax Revisited

Today’s Herald had a story about what a boon the sales tax increase would be to New Hampshire. As the Mayor of a border community the Herald asked me my thoughts, which remain the same. The increase is a jobs killer, and an economic development killer. State tax policy has already made border communities like Methuen an economic orphan, and this increase will only make a bad situation worse. Cost side reform is what is needed now. Beacon Hill will soon find out that no level of tax increases will get us out of this jam. Read the numbers. They just don’t work!

Read the Herald story here.

Posted in Methuen, Municipal Finance, State News | Tagged | 1 Comment

The Obama Message on Health Care

This week President Obama talks health care in his weekly message. The President has spoken about health care before, but it has never been more important. Without cost containment in health care the entire economy is in danger, in my view. Even in this downturn we would not have the problems that we have without health care consuming ever greater portions of our economy. As the health care system gobbles more and more of our resources it leaves us fighting hard amongst ourselves for what is left. There are some real differences in approach, but more of the same will not do.

Posted in Municipal Finance, National News, State News | Tagged | 3 Comments