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Carcieri defends budget plan: 'I'm open to ideas'

12:32 PM Tue, Dec 15, 2009 |
Steve Peoples    Email

PROVIDENCE, R.I. -- Governor Carcieri and his senior staff faced the media Tuesday morning to defend the administration's plans to cut $125 million from cities and towns over the next six months and end automatic cost-of-living increases for thousands of new retired teachers and state workers.

"What I'm saying is, if you've got better solutions, let's hear them. I hear criticism. I hear a lot of criticism. But I don't hear anybody with a better solution," Carcieri said during the morning State House news conference. "Contrary to what you might hear, I'm very open to listening to ideas and solutions."

The proposed cuts are part of a budget-balancing plan released Monday evening that seeks to close a $219-million shortfall for the budget year that began July 1. After years of cuts at the state level, the governor said that the time has come for municipalities to do more.

"I'm fully aware it's not going to be easy for municipalities," Carcieri said. Most local officials were briefed on the governor's plans shortly before a media briefing Monday evening.

The governor proposed cutting $41 million from local school districts (to be partially off-set with plans to cut COLA benefits for teachers not yet eligible to retire when the proposal becomes law) and withholding $65.1 million from local governments' third- and fourth-quarter state reimbursements for car taxes they had been blocked from collecting.

The municipal cuts, outlined in a detailed budget proposal, includes language that explains communities' ability to tax their residents to make up for the lost car tax revenue.

Should there be a new tax burden, Carcieri said, it wouldn't be his fault.

"That's up to the cities and towns," he said. "That's their decision. I'm not forcing anything."

None of the governor's proposals will take effect unless approved by the General Assembly. The powerful House Finance Committee will host the first of a series of budget hearings with Carcieri officials this afternoon.

The governor Tuesday morning called for state and municipal leaders to work together to cut costs.

"Either we've got two choices. We can lob grenades at one another and criticize one another, or face the reality," he said of mayors, who bashed his proposals Monday evening.

"Now they're going to come up here and make their case to the General Assembly. That's their right. And if the General Assembly's got better ideas on how to balance that budget, God bless them. I'm open to all their ideas. But short of that, we've got to pull together and understand that we've in an environment of constrained resources now, and it isn't going to get better soon. And so we've got to open our eyes and open our horizons for how to do things differently."

 

Comments

SD said:

1. Leave the state workers alone. Anytime there's a budget issue, the state workers are always the ones who are affected.

2. Eliminate welfare and social services. Make those feeding off the system work for their money.

3. No more unemployment extensions. I see plenty of now hiring signs inside the malls.



Anonymous said:

I'm sick of it, taxes, taxes, taxes. Pass the blame, it's not his fault, "That's up to the cities and towns," he said. "That's their decision. I'm not forcing anything."

Well, Governor Carcieri, since you are soooo open to listening, why don't you sit down with the average person who lives on a paycheck to payckeck budget or someone who lives on unemployment and we will show you how to balance the budget REAL QUICK! Brilliant idea, isn't it.



Ric said:

People shouldn't get bothered by this. The Governor's bill will most likely be D.O.A. and the the GA will create their own budget that doesn't close the deficit, and pass it over the Governor's veto. One party rule at it's best.



doughboys said:

I suppose its only fitting that since the irresponsible and corrupt GA dumped this on Carcieri that he dump it on the towns and cities but this is coming from the hypocrite who signed a huge budget increase into law this year right?

Hey Don how many people are on welfare here long long after the law says their time is up? There is a law in place stating there is a maximum amount of time and it is being ignored.

Fire those department heads that ignore the law. Fire the workers that ignore the law. Cut those off that should not by law be on the program by law.

Oh yeah and get that $350,000 dollar check you wrote, to the 'volunteers' who helped you write the Medicaid waiver that we haven't saved a PENNY from, back.

After that cut the state budget across the board by 25% and we can all enjoy a tax cut instead of just your friends.



WayToGo said:

I hope this wakes up those 37 or so cities and towns to finally realize that joining forces for Education, Fire, and Police is not just some space cadet "theory" but an economic necessity. Nobody likes cuts, but what can this Governor do with hands tied by a GA like ours? C'mon Rhode Islanders, get over yourself the individual. We're small enough to join forces without compromising one bit of safety. Just think about all those "cushy" jobs that will be cut if we regionalize municipal services. And to think: ALL WILL BENEFIT.



dave from ashaway said:

Look, the democrats got license plates and indoor prostitution taken care of. The governor is left to deal with the real troubles. Where are the democrats ideas? The union sheep are told to blame the governor all the time, doesn't that get old or at least raise an eye brow now and then?



RI Is a Joke said:

Wow - How about cutting back on some of the social service programs that have NO outcome data to support their existence? How about reducing the over-inflated state workforce? How about eliminating the excessive corruption? How about eliminating redecorating offices everytime someone new moves in? How about eliminating the legislatures frivolous food expenditures? How about develop a fair bidding system for contracts? How about develop a position that welcomes small businesses to this state? Is this really so hard?



Ken Perry said:

1st ,we need to get evulating these HIGH PAYING
JOBS at the State Level, and the City and town level. This need to be done, so the people will see they are not the only one's having to SACRAFICE. Let's get the message out. NOW

The people should be calling their REPS, Senators
and demamding that they do something about this mess they the DEMOCRATES, and their Leaders,
Rep. Murphy created.



Ted said:

SD, You are so wrong that it is not funny. How dare you say stop the unemployment extensions. That is the only lifeline for millions of people that did work hard all their lives. The mall is hiring people? They have half the staff they had even last year.

I made quite a good living until I was laid off earlier this year. There aren't any jobs available in my field anywhere. I would take any job if I had to in order to hang onto what I worked so hard for all my life. There is nothing there period.

I agree with the governor they need to bring state workers, teachers, etc in line with the private sector period.

Get your facts straight before you post such ludicrous remarks!



JB said:

The Governor doesn't want to raise taxes. What on earth does he think will happen by cutting aid to towns? Does he really think the towns are going to cut spending? They haven't yet! At least have the testicular fortitude to raise taxes on your own instead of making the towns do your dirty work if that's what you intention is.

Keep the welfare benefits going, because at this rate all of us middle class people are going to be on welfare in order to afford to live.

If I could find someone crazy enough to move to NP, I would be out of this state in a nanosecond.



CHaz said:

SD, You would still be at status quo. The unions are killing us!! Its the state and local pension plans. They do not pay for themselves and its costing the taxpayers $$$$$$$$$$ that we don;t have. They need pension reform or better yet, they need to be paid out and let the workers buy into a 401K like all of the rest of us. This is the biggest cost to the state. Its time to make very hard decisions. As for welfare, yes you are very right. In fact, I know someone from welfare that just had elective "Buyon" surgery on State $$$$. Prov Journal, maybe its time for some very in-depth investigation here.



Stephen said:

Hey Ted, so i guess then we the State workers should be out of a job like you so we can be in line with you in the "private Sector". Hey Ted dont hate us State workers becouse you lost your job without us you wouldn't get your unimployment check evey month oh yeah and don't forget to file for your extention.



Chaz said:

Stephen, I don;t think anyone is against the public workers. Its a fact, the state and local pension systems are costing the taxpayers too much. We cannot afford it. Oh... You should be more sensitive to those who are out of a job and need to collect. If you don't like your job at the state and having to deal or better yet HELP the unfortunate right now. Please quit. Oh... Maybe you can retire at age 50!! on OUR dollars. You pay in but not nearly enough. You yourself will eventually be on state welfare (that is pensions paid by the taxpayer).



bill said:

tax the rich more.eliminate the office of lieutenant governor and her staff.aliminate the position of spokesman you politicans cant speak for yourself?send the greek lady home that is a million dollars wasted.tax dues that go into the unions.cut the ga 50 percent they are useless anyway.buyout the retirement benefits state is way to generous.messing around with cities and towns is a bad idea.you are going to force more people out of their homes and this state.i would lower property taxes to keep people here.any new business that starts up in rhody should be tax free the first year.the general assembly will not fight you.the ga only cares about themselves.you are sinking ri much quicker by holding back money from cities and towns.moderate party must be looking forward to next years elections.republicans dont have a party democrats only care about their unions thank god we have a 3rd choice.



Pleaidan said:

Raise the taxes, raise the taxes and bring down this god forsaken state that is absent of any logic. I'm sick of the slow RI descent, let's crash it now so we can rebuild it better. Without a spectacular failure we'll be doomed to mediocrity.



ted said:

Hey Stephen, it is a known fact that state workers have been draining the state economy for some time. Everytime someone in power trys to do the right thing and draw in the reins, the union puts a stop to it and strangle holds te state. State workers have nothing to do with us getting an unemployment check. Yes, I will file for my "extention" when it is time for me to do so. I am not against state workers because I lost my job. I have always been against state workers even when I was working. There are too many of you and the benefits you get are killing us. They are not in line with the private sector. Years ago the benefits were made especially good because the pay wasn't. That changed years ago and now it needs to be adjusted. We all know there are too many of you. The state could get along fine with a lot less of you. Everyone knows this.



Former Rhody resident said:

Can someone please tell me what you want this governor to do?
There is only a certain amount of money coming in to spend on the budget, so please tell me and the other people here on this board where he will get it.



Drained said:

Too many takers. Not enough givers. The well is dry and our GA can only deal with license plates, boat lights, fishing fees and nonsense that amounts to nothing.



ccitizen said:

If there's one thing the 50 state Governors and legislatures have found out, it's that income, sales and property taxes are awfully sensitive to the general condition of the economy. Folks, we had (and continue to have) a bubble-based economy built on housing and finance. When homes were being flipped faster than pancakes, appraisers were being pressured to come in with the right number, and the banks were lending to anyone with a pulse, the tax revenue flowed like honey. Who knew it could all change so fast? Guess we're now finding out that the "damage" from a free-wheeling financial rodeo can go far beyond just the folks who borrowed too much money to buy too much house. Huh, who knew regulations and oversight put in place in the 1930s had some solid reasoning behind them?



Craven Moorehead said:

Wow Ted, that's some expose you have there. I had doubts as to the veracity of your bold statememts, But when you told us it was a "known fact" well that proves it. But you weren't done were you? You left no doubt when you declared "we all know" there are too many of you. And yet, to erase any doubt, you finished with, "everyone knows this". Well, debate over. Just one thing genius, exactly which state workers can we do without? I'll check back later, I know Oprah is coming on...



Ted said:

C'mon Craven. What is so bad about saying that it is a known fact. I have been hearing this for years and so have you. I am not making this up. It is a known fact. What is it? Let me guess. You work for the state. Enough said!



cwa said:

Suggestions? MERGER OF TOWNSHIPS AND CITIES. A state this size has NO BUSINESS having so many municipalities.



Tom Hewes said:

The governor, time and time again aims to balance the RI budget shortfalls on labor. Meanwhile, 250,000/year economic advisors, sweetheart pensions for judges and administrative pay increases never catch a blink. This conservative governor attacks places where he is likely to kill off the most liberals. We needs to elect a liberal governor so someone can shoot back at those dastardly conservative, Dan York loving, right wing ideologs.



kissmytax said:

We have way too many state and municipal workers for a tiny little state like RI. I agree we must combine services. Stop all automatic COLAs for workers and retirees. No free medical for anybody.Tax the rich at a higher rate; do it NOW!

Perhaps the people who make a lifetime habit of living on welfare should be required to perform community service to learn skills and earn their checks. No benefits for illegal aliens; deport them.

How about getting rid of the majority of city and state owned vehicles that employees are using for non-essential reasons; no more take home vehicles. Eliminate all the extra perks too.



Matthew55 said:

This whole thing flat out stinks. I don't know about anyone else, but I am sick and tired of living in a state whose government can't seem to get out of it's own way.

What is the point of have state elections if the people we choose to represent us and govern us, can't even manage to balance the state budget? We are in a very bad situation here, and have been for the last 5 years.

We have year over year budget deficits, and every year we go through the same non-sense and finger pointing from both sides with no resolutions.

I think it is high time that the voters take a seriously long look at the way our state has declined over the past 5 years, and make some tough decisions next November.

As Einstein once said, "the definition of insanity is doing the same thing over and over again, and expecting different results."

We have no alternative but to clean house on election day. The people we have in power now, just can't get the job done.



Bill T said:

I think the first thing the state needs to do is to eliminate the lieutenant governor position. What is the purpose of this office? The second thing wrong with this state is that the government is to big. Why does a state this size have 39 cities and towns. You want to talk about waste roughly 39 Police chiefs fire chief ect...
The state needs to be restructured. The next thing is the general assembly needs to pay 20% of their medical benefits. Some do but most don't. The fourth thing that needs to happen is an over hall of the education system. Once again roughly 39 different education systems. The state should run the education system for the entire state. They already run the pension system for teachers. Finally Rhode Island has become the welfare state. I know people are going to read this and think I'm bashing the poor but this is the truth. The rules for welfare need to be follow. If you can't pick yourself up after five years and improve your situation then the state needs to say sorry but your time is up and reinvest that money into citizens who are trying to improve themselves.



State Emp. said:

Boy, everyone keeps saying put the state into line with the private sector. I would love that. When I left the Private sector 12 years ago it was because it was foreseen that the private sector was going to take hits. Enron started having problems, so I left it and went into the low paying but secure future of being a state employee. I would love to be in line with the private sector. I miss the bonus check of $116,000, after taxes only 73,000. I have not received a bonus like that in a long time. And for anyone who thinks, oh you don't receive that in the private sector. The person who has the same job as I did many years ago just received a $200,000 bonus. Lets get in line with the private sector.



hw said:

According to an article in the June 24, 2009 Projo, "Ocean State Action, a coalition of advocacy organizations and labor unions, passed out detailed lists of flat-tax beneficiaries by municipality.

Of the 2,267 taxpayers who filed for the flat-tax alternative for tax year 2007, a total of 838 were Rhode Island residents, according to information provided by the state Division of Taxation.

There were 64 in Barrington, for example, out of 8,032 total filers.

The state will forgo an estimated $34.7 million in tax revenue next year because of the flat-tax option, according to an analysis by the State Budget Office.

In tax year 2009, the rate is scheduled to drop from 7 to 6.5 percent. If frozen at the current rate, the state could recover $12.2 million in tax revenue for the coming fiscal year, according to the governor’s budget office."

Govenor, get rid of the Flat tax. Those living in Rhode Island will pay increased taxes while the majority of those beneifitng from the flat tax live outside of the state.



Alice said:

State/municipal workers the end is near for you people. You won't get paid because no one has any money to spend because so no taxes are being collected. I'm so glad I left this loser state



walkman56 said:

Sad to see you people in RI have your own version of Deval Patrick. A millionaire governor so far out of touch with reality,hiring people at absurd salaries while crying poverty,and passing the buck to the average joe who can hardly maintain everyday necessities. Classic reason to vote out every incumbent. Case closed.



geno3145 said:

lay oofs lay offs pay cuts pay cuts 40% co-pays
40% co-pays freeze raises for the next 5 years get rid of the dead weight walking around scratching thiers trying to figure out what they
are doing here



Liberal Democrat said:

If the state workers and teachers won't accept wages and benefits comparable to the private sector, lay them off in droves.

Half the time they do zero work anyway, as anyone who's been in a government office lately can tell you.

And the state should keep its hands out of the funds due the cities and towns. Then maybe the legislature and Governor would get serious about a reasonable budget.



Don said:

It's time for Rhode Island's cities and towns to immediately suspend ALL State and Federally mandated programs that are not funded dollar for dollar. Unfunded mandates are 90% of the problem with property tax rates. Both the State and Federal governments are capable of raising tax revenue, they should, BY STATUTE, be forced to fund their mandated programs DOLLAR FOR DOLLAR!



geno said:

gov. hire the woonsocket school committee for your budget woes



RBM said:

Everyone wants to avoid the truth. Spending, both at the local and state levels, has gotten out of hand. In the real world, there are only two ways to address the problem, spend less (now there's a novel idea) or increase revenues (raise taxes).

The argument over state aid is a disagreement among fools. Regardless of state aid, the money still comes from we taxpayers. The only advantage to state aid is that local government can be a little less prudent about expenses since it gives the appearance that local taxpayers don't have to fund the spending. But obviously, the money comes from somewhere.

This is all about accountability, folks. State aid allows local governments to be somewhat less accountable to local taxpayers. And that is NEVER a good idea.




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