Update on Rhode Island Pension Thefts

I was sitting at a bar with an old friend and former state employee and the conversation shifted to the pension disaster in Rhode Island. I was surprised to hear that the retiree was not as concerned as I was about the loss of our COLA for 19 years. I asked him if he knew how much money he would be losing if the courts don't reverse the pension theft. He responded around $40,000. I was shocked. He had not really looked at the issue in depth. When I told him he is actually losing around $400,000, he gasped. I explained the additive nature of the theft. I'm left wondering how many other retirees are not doing the math.

I guess a lot of smart people are not thinking mathematically, but you can bet your last penny that Gina Raimondo knows the bottom line. The Rhode Island legislature, Gina Raimondo and Lincoln Chafee must really like following in Bernie Madoff's footsteps. $Billions are being stolen from the retirees.

After having another conversation with a different retiree that I respect for her dedication to her profession, I became more concerned about the thought process of retirees as a whole. In this conversation, my friend stated that she is glad the issue is behind us and we will never have to face this problem again. I chuckled and told her that she needs to remember how government works. Once government goes to "the well" for money to bail out their pet projects, they spend all the money and face the exact same dilemmas a few years down the road. When resources dry up, politicians continue to return to "the well". This is the nature of politics as we know it.

I ask you, do you really think this is the end of it? Can't you see the politicians 4 years from now demonizing the public retirees again because they get "exorbitant" pensions? I explained to my friend that this is the very reason why the court has to put a stop to the theft now.

I was a big supporter of Lincoln Chafee when he ran for Governor. At one point he was asked in a union setting his position on the public pension debate. Chafee's response was; a promise made is a promise kept. Chafee went back on his word. Raimondo said at the beginning of the process that all parties would have to pitch in to solve the pension crisis. Raimondo went back on her word. The entire solution was laid in the laps of the retirees and current public employees. No new tax solution was even debated to assist the state with keeping its promises.

Bottom line: Chafee is not trustworthy and Raimondo is not trustworthy. Hope lies with the courts and the unambiguous language found in the Rhode Island Constitution. What these crooks did is not constitutional and all public employees should not rest until the court draws the line. Retirees and public employees should not grow complacent and let the thieves get away with it. If our politicians get away with this one, they will most definitely come back to "the well". Mark my words!!

tomtoak

Profiles in Cowardice

I want to make it clear that what I am about to say is not meant to reflect on those legislators that voted against the Raimondo-Chafee pension reform bill that was passed last week in Rhode Island. I give a special thanks to my local representative, Scott Guthrie, who did the right thing.

The rest of you are truly profiles in cowardice! You have fixed nothing. You have gone after the middle class in this state with a hateful, shameful, immoral and illegal strategy that will put a stranglehold on our state's future. You are asking 50,000 individuals to come up with the $ billions to bail out over 1 million people. You have not lived up to your oath of office; you are thieves and you lack the intelligence to ask the appropriate questions.

Reneging on your oath of office is quite despicable. You all took an oath to uphold the constitution of the state: Am I right? The RI Constitution insists that no ex-post-facto law may be past regarding any contract(Article 1: Section 12): Am I right? The Constitution further stipulates that all taxation will be fair and equitably distributed(Article 1: Section 2): Am I right? To date the superior court has ruled that pensions are in fact contracts and the COLA is a part of that contract: Am I right? You ignored the court's ruling and voted for a bill that, to the best of your knowledge, was unconstitutional: Am I right? You choose to pass a law that uses absurd assumptions regarding the longevity of retirees (87.6 years): Am I right? You choose to tax public employees only, an act so outrageous that the average state retiree ($27,000 annual pension) will lose over $180,000 during a 19 year period: Am I right? You ignored your oath of office by not upholding the Constitution: Am I right? You should all resign immediately: Am I right? You will not resign: Am I right? You are cowards: Right!

General Treasurer Gina Raimondo said in the Providence Journal that as she looked out her window, she felt good knowing that the teacher below will have a pension one day. She was proud of the fact that the system which was less than 50% funded is now over 60% funded. I have news for her! Change the longevity assumption back to a reasonable figure and the pension fund will be 80% funded so the promises made to public employees can be kept.

I just read an article in the "Science News " magazine, February 26, 2011 (this information was available to Raimondo). The title; "U.S, falters in life expectancy gains", discusses the United States falling behind other developed countries in life expectancy gains. The average life expectancy for those over 50 years of age is 79 for males and 83 for females. How dare you rob our future without the appropriate questions being asked.

I hold no allegiance to thieves and I really don't like cowards. Have a nice Thanksgiving.

tomtoak

Is Rhode Island being lied to about pensions II?

OK: The title says it all. We continue to learn about more lies to Rhode Island regarding the proposed pension changes of Governor Chafee and General Treasurer, Gina Raimondo. This article follows a previous article posted on October 4, 2011 in this blog.

First and foremost, we now learn that the General Treasurer is using 87.6 years as the projected life expectancy of the average retiree. No wonder why she says that the state contribution to the pension has to increase to 35% of salary. How truly foolish is this? The U.S. government says the age should be 78 years. (I'm not linking a source because I read this in the Providence Journal and I do not want people to migrate to that site to make more money for that rag). I just attended a Bar Mitzvah where the oldest person was 85. She was frail and had trouble walking because of a previous stroke. While we all know some people that make it past 87.6 years, start counting all of the people you know that did not make it to that age.

Here is another lie to confuse the issue, courtesy of the Providence Journal. A recent article listed "myths" surrounding the pension system. One myth that they tried to tackle involves issues surrounding the state's required contributions. The Journal clearly states that this issue is simply not true, the state made all of its contributions except for some $60 million in payouts to rescue the wealthy in this state during the banking crisis (they didn't say the "wealthy" - I did because our Governor chose to meet all obligations in bank accounts that exceeded $100,000). Your public employees paid for your bailout.

Here is the rub! Even the General Treasurer has the intelligence to say the following: "The state made contributions "as required by law" (note the quotation marks). When I was working budgets, I was livid when Governor DiPrete tapped into the pension contribution for the first time. I remember seeing half of the state's contribution disappear. This trickery continued during the Sundlun administration and yes, they cooked the books to please the legislature. Gina Raimondo is right when she says that unrealistic numbers were used to justify the state's robbery of its pension accounts. The robbery continued. Don't tell me that the state always made it's contribution. When union bosses have robbed the pension accounts of its members, people go to jail. Nobody in this country has been jailed for pulling corporate pension funds or public pension funds. The Journal rag is lying to everyone when it refuses to make this point perfectly clear. The Providence Journal was absent from these facts at a time when it needed to let the public know. We all know that the Journal wanted to be absent because they never liked public pensions because it makes their newspaper operation look cheap in their worker's eyes. The state did not meet it's pension contribution for over 2 decades. The employees made every contribution and also took a 20% pay cut to bailout the banks. We bailed out the banks with our pensions and our salaries. Thank you very much!

Additionally, the $60 million that the Journal seems to brush aside today would be approximately $232 million out of the projected $7 billion shortfall that Raimondo is claiming because we are all going to live to be 87.6 years of age. Yea!

tomtoak

RI General Treasurer's pension plan will devastate businesses

It's curious why General Treasurer, Gina Raimondo would propose her pension reform act before the RI Supreme Court rules on the constitutionality. To date, she has lost in the courts. After seeing her jubilant waves to the "Engage Rhode Island" rally and her refusal to speak to the retiree rally on October 26, 2011, it became clear to me that she only cares about her political future. She should have been saddened by having to be the instrument of broken promises. The jubilation was a shameful act.

The Providence Journal’s pension reform chart (COLA Wars, October 27, 2011) tells an interesting story. Raimondo’s plan is the largest business killing legislation that anyone could dream of. How can the Rhode Island business community and the Governor wave the flag?

The average state retiree will have a cumulative income loss of between $185,500 and $139,386 and the average public school retiree will experience a cumulative income loss of between $227,406 and $146,464 over the next 19 years. With over 50,000 retirees in the system at any one time, the loss to Rhode Island’s economy will be close to $10 billion during the next 19 years. Now let’s assume a subset of retirees is pissed off enough to move out of state. If 20,000 people with their spouses move to states without a state income tax and the family income is $60,000, the state’s economy will be losing an additional $1.2 billion each year. Over the 19 years the total loss to the state’s economy could be well over $30 billion. Make a COLA adjustment but don’t eviscerate retirees and businesses.

I’m glad I don’t own a small business in Rhode Island. If I did I would be fighting this legislation. Be careful what you wish for.

tomtoak

Random Reasonings XVII

An occasional column of random thoughts and observations:

• No COLA for 19 years is what Rhode Island's General Treasurer came up with? I was willing to give some back for the benefit of everyone but I am not going to get raped without fighting.
• Regarding the RI rape of retirees; I wrote the governor, treasurer and every single legislator. You should all do the same. I wrote the Providence Journal today that reported the average retiree ($27,000 pension) will lose $9,286 over the first 10 years of the treasurer's plan. Fact checkers at the Providence Journal are too stupid to do the math as is the treasurer's office. The $9,286 is the loss of income in year 10 alone. What about year 1 through 9? The average state employee will lose $48,805 in the first 10 years and $165,142 in the 19 years of the treasurer's plan.
• Barack Obama has been the greatest foreign policy president in my life time. I wonder if he was born in the United States?
• Did you hear that Mitt Romney said Obama's job program would make everyone millionaires and then we would all have to pay higher taxes? Nice one Mitt: make me a millionaire, the 99% are all for it.
• Did Dick Cheney's pace maker stop? I thought I heard a sucking sound!
• That sucking sound was actually public employee retirees leaving Rhode Island and moving to New Hampshire or Florida to avoid paying state taxes on their pensions.
• Only democrats can overthrow terrorist regimes without losing a single U.S. troop. Obama - great job in Libya and Clinton - great job in Bosnia.
• Funny; the Iraq war is over but the Republicans are still fighting it. I guess they are still looking for the WMD.
• Herman Cain - be serious - order pizza!
• Rick Santorum - do you still practice rhythm - I hope so.
• If the General Treasurer of Rhode Island is raping the retirees, can we all have access to abortion?
• There is no truth to the rumor that Sarah Palin has a "thing" for Herman Cain. There may be truth to the rumor that Sarah had a "thing" for Barack Obama. He was a black basketball player and they both spent time in Hawaii. Was that before Hawaii was a state?
• What Tea Party?
• What will happen when 10% of Rhode Island's population moves out of state because of General Treasurer, Gina Raimondo? I would not even invest in a McDonald's in this state.
• Obama has delivered on almost all of his campaign promises, the exception being the closing of Guantanamo Bay prison.
• Raimondo and Chafee make Wall Street look like it has compassion on a par with Mother Teresa.

tomtoak

Letter to Governor Chafee and public pensions

Below you will find my recent letter to Governor Chafee that addresses problems with the actions taken in Central Falls regarding the stripping of publicly earned pensions. While the jury is still out on this, it was important for me to state my position and hope that government does the right thing. We can't exist like Germany in the 1930's with wealth being stripped from a select group of people. In Germany, it was the Jews while in America, it seems to be the public employees. Republicans continue to scapegoat public employees and it needs to stop. Besides the attack on public pensions, this year in Rhode Island all longevity increases for state employees was stricken from the law. In Rhode Island, employees enjoyed a 5% bump in pay 4 times throughout their career. That right was taken away without negotiation. Let's hope that Rhode Island's Governor can make a national statement. He has before.

The Honorable Governor Lincoln Chafee

Office of the Governor

222 State House

Providence, RI 02903-1196 July 21, 2011

Dear Governor Chafee:

I could not get much sleep last night thinking about the plight of retired public employees in Central Falls. What is currently happening is reprehensible, morally wrong and, quite possibly, illegal. This country is approaching a precipice and I think it is up to you to stand strong and correct injustice.

The consequence of government action amounts to the taking of wealth from a select group of people (public employee retirees) and reminds me of the taking of wealth from the Jews by the Germans of the 1930’s. Removing the hard earned rights to a pension will result in a waterfall of events that include; foreclosures, personal bankruptcy, inability to enjoy your last years by eating out in Central Falls restaurants, court actions involving alimony payments and significant marital stress.

Beyond the consequences, I want to talk about the legality of such takings. To begin with, the United States Constitution has established priorities for payments of public debt. “The validity of the public debt of the United States…including debts incurred for payment of pensions … shall not be questioned.” U.S. Constitution, Article XIV, Section 4. While the clause uses the “United States”, Congress has clearly elevated the importance of paying pensions when considering the public debt. If I read this amendment like most people read the second amendment (eliminating part of the sentence) than the taking of pensions is unconstitutional.

I want to look a little closer at the Rhode Island Constitution and Article 1, Section 2 says a whole lot. I’m talking here about tax burdens being equally distributed. “…the burdens of the state ought to be fairly distributed among its citizens…” Confiscating wealth of retirees is an unfair distribution of the burden of debt. Government has its way to correct short budgets through taxation. This taxation should be equally shared by all and retirees should not have to folk over half of their earned pensions. By doing so, the public employee becomes the scapegoat, stripped of earned benefits, robbed of their future and paying a higher tax levy to government.

Additionally, Rhode Island has not exhausted its taxing potential and laws that eliminate the sales tax from the boats and yachts that line Narragansett Bay is not constitutionally sound. In this instance, wealthy citizens that can afford the toys of the Bay are excluded from taxation forcing higher burdens on everyone else.

Furthermore, when discussing options for solving pension issues for state employees, the Rhode Island Constitution is very clear. “No ex post facto law, or law impairing the obligation of contracts, shall be passed” RI Constitution, Article 1, Section 12. It is my strong belief that retiree agreements in state government must be met. I have no problem with amending the system for future retirees, but existing retirees should not be obligated to pay a higher tax burden. The Constitution of RI is clear; the burden must be shared equally.

Governor Chafee; I have seen you stand tall many times in the past. I could never forget you standing tall in the Senate when it came to Iraq. I remember you standing tall on the changing of the name of the State of Rhode Island and Providence Plantations by pointing out that the U.S. Constitution would have to be changed. You brought this to light after years of hemming and hawing in this state. I fully appreciate your understanding of constitutional law.

I am no lawyer, but what is occurring now in Rhode Island will spread throughout this country. We need to be making statements about the importance of maintaining the public trust. I was almost denied a mortgage refinance because the bank held feelings that public pensions may be pulled. We need you to stand tall and do what is right. Please do what is morally right. Protect public pensions and share the burden of taxation to fix the problems. Please make a statement now that gets the attention of everyone across this country. You have done it before and I hope you will do it again. I’m counting on you. You are my friend.

Sincerely,


tomtoak

The saga of getting your opinion before the people

While I'm grateful that the Providence Journal finally published my opinion piece this week, I am distressed about some things that happened along the way. For out of state readers, I know this may be a little boring. I'll head to national issues in my next post. For now, here is the story.

The "Journal" endorsed Linc Chafee for governor who ran on a platform of changes and expansion of the sales tax. His plan was to reduce the tax from 7 to 6% and create a second tier of 1% on some items and services. The "Journal" has continually attacked the plan. Not only had the paper been attacking the plan, they have allowed a stream of opinion pieces for key state figures (two who ran against Chafee and lost) who are well known in political circles. The "Journal" gave these writers almost a half page space.

I noticed that there was absolutely no balance on the opinion page which drove me to write my piece. After over 3 weeks and no luck seeing publication, I wanted Governor Chafee to feel that he had support in the community regardless of the one-sided attempt to control thought by the "Journal". I copied my opinion piece, mailed it with a cover letter to Governor Chafee on a Friday. The following Monday I was contacted by the "Journal" as it had become clear that they would publish. My suspicion is that it took an act of the Governor's office to jog the article forward, but I have no evidence of this.

On Thursday, April 7, 2011, the "Journal" printed the article. That's fine but what really upsets me is a simple change they made to improve their position in this thing. At one point in the article the conversation goes as follows: "The "Journal" writes that " state employees continue to receive annual pay increases"". My response was; "this is not true". The "Journal" changed my response to, " this is grossly misleading" (view my previous post of March 25 2011).

I want to say that "grossly misleading" was not my statement and is not accurate. There have been many years that I could point to where state employees got no pay raises. The "Journal" is trying to split hairs here because in any given year, some employees may receive a longevity increase which happens 4 times in a career. This happens in any given year for a small percentage of employees but should never have been part of the "Journal's" blanket statement. The "Journal" tried to create the idea in the head of the readers that state employees get raises every year and that is absolutely not true.

On the "Truth-O-Meter", the Providence Journal fails this test and rates a "Not True". Enough of this topic already!

tomtoak

Tax cuts for the rich killing the middle class

The title of this article says it all, but nobody could say it better than Berkley Bedell. Berkley is a businessman and former politician that dedicated his life to making things better for other people. You have to read his own story (click here).

Yes, America is badly hurt by tax cuts for the rich. There may have been a time to reduce taxes on the wealthy, but that time is not now. The wealthy are continuing to pay a smaller and smaller percentage of tax while the middle class struggles to pay bills on a daily basis. Reaganomics has gone too far. Supply side economic theory has done nothing but make the wealthy wealthier while impoverishing the middle class. Enough is enough!

By the way; my letter to the Providence Journal in support of Governor Chafee's tax plan finally was published. I applaud the Journal for publishing my thoughts, although I must say there is a story within the story that I will not repeat here. I must say that you need a very thick skin to publish these days. Individual opinion seems to mean less in this country. It seems like you have to belong to a "tea party" or something. Offer your opinion and you get swamped by brickbats that do not have a clue about what you are saying. The comments to my opinion piece were largely attacks on my person that had no foundation. The authors of those attacks have probably listened to talk radio for far too long and have no right to question my integrity.

If you have read this blog, you will know that many of Berkley Bedell's comments have been discussed here for some time. Berkley is the age of my mother and he makes me realize that there are still great Americans in this country with the age and wisdom to guide us forward. Thank you Berkley for you service to us all. Please make sure you read Berkley's story (click here).

tomtoak

Chafee's tax plan in Rhode Island makes sense

The following article was a recent letter to the editor of the "Providence Journal" which has not yet been published. It is my hope that they will quickly print this letter as day after day Governor Chafee is taking a beating in this newspaper over his proposals to raise taxes to close a budget deficit. How the hell do the Republicans always think that they can close deficits by reducing taxes for the wealthy? It's refreshing to see a governor take an approach that includes raising revenue as well as reducing spending.

Journal misses the boat on Chafee tax plan

I must say that the “Providence Journal” misinforms when advising citizens on Chafee’s tax plan (Editorial; “Chafee tax plan’s flaws” March 13, 2011). Consider this; Governor Carcieri reduced the number of state workers by 3000, reduced state pensions for future retirees, reduced state income taxes for the wealthiest, furloughed state employees for 12 days, and the deficit grew as did the unemployment rate. Something is not working, but what?

Fewer employees means more outsourcing of government work and privatization costs may very well be playing a significant role in driving deficits. We have seen in past “Journal” reports the exorbitant costs associated with outsourcing work to private concerns by some state agencies. Right-sizing state government may lead to significant savings and assist in improving pension liabilities.

The “Journal” comments that, “state employees continue to receive annual pay increases”; this is not true. Your editorial staff is always looking to balance the budget to the detriment of state employees. This will have a limited effect, and here’s why. From previous “Journal” reports, the estimated annual cost of each state employee is just under $100,000. With approximately 14,000 employees, all salary, fringe and pension cost approximate $1.4 billion. The state budget is estimated to be $7.5 billion this year. Employees account for around 18.5% of total spending. You can’t fix the problem with a focus on only 18.5% of cost, reducing income from the wealthiest while blindly outsourcing government work.

Additionally, you attack the sales tax as being “regressive” and “not exactly what you want to expand”. On the very same day, the “Journal” reports; “Federal Reserve Chairman Ben S Bernanke, at the National Governors Association winter meeting …… advised governors that lowering their sales tax rate while broadening the variety of goods and services to which the tax applies would result in a steadier stream of revenues, better positioning states ….” (“Chafee says he’s trying to ‘share the sacrifice’” March 13, 2011).

Governor Chafee is doing exactly the right thing, managing government with his brain and not a lopsided ideology. Does Chafee get it all right? No. The Chafee administration needs to really perform the “Big Audit” of privatized service cost which may be significantly driving deficits and study “right-sizing” government strategies. I would further advise Chafee to reduce the recommended 6% tax on car repairs to 1% and tax the yachts that line Narragansett Bay at the 6% rate. Until the toys of the wealthiest among us are taxed on a par with the taxes facing the middle class, Rhode Island is missing the boat.

Sincerely;

tomtoak

Public Pensions and the Fight Ahead

Governor Scott Walker, Republican ideologue from Wisconsin has done something that I did not think possible a few months ago. Walker has mobilized unions that will serve as counterweight to any Tea Party movement in this country. Governor Scott has ruined chances for Republican leadership in my estimation. Good for him; keep talking Scott Walker, Sarah Palin and Michele Bachmann, you guys are the best thing to happen to the Democratic Party since Franklin Roosevelt had to step in and clean up the Republican mess left by ideologues like you. Remember Republicans; Democrats won 5 consecutive Presidential elections and they only lost because a moderate for all of the people stepped forward to rescue the ideological bankrupt Republican Party. Dwight was a guy for all of the people.

Walker's attempt to strip employee unions of power has nothing to do with the reality of state financial burdens. Everyone needs to read the current McClatchy Report; Why employee pensions aren't bankrupting states. This is a great report that underscores the true reason why Republicans are trying to gain political capital by scapegoating public employees and attacking their pensions.

In Rhode Island, our new Democratic Treasurer, Gina Raimondo has had the nerve to say that she believes that retirees may not own their pensions nor do state employees. Oh really: Who the hell do you think put the money into the fund? Employees put 8.75% of their income and school teachers put 9.5% into the system over their careers of 30+ years, and the state matches that whenever they feel like it (this is the problem), and now you say that system is taxpayer money? Gina Raimondo, you border on delusional and do not belong in a position to speak for the citizens of a free country! You will not get my vote next time around and never will get my vote unless you apologize to all of the hard working public employees across this state.

Governor Lincoln Chafee will be proposing steps to help secure the state's financial position tomorrow. One recommendation will be to increase state employee and teacher contributions to 11.5% for an interim period until a comprehensive pension overhaul can be achieved. Rhode Island employee contributions are already the highest in the Nation and now the move is to increase that by 2% for teachers and 2.75% for state employees?

At first I was really angry at the idea, then I realized it may well be brilliant. The Congress just reduced contributions to Social Security for workers and employers by 2%. This is something that Obama should never have agreed to do. Republicans will use this loss of revenue to argue for privatization of social security. Chafee's plan will result in little change in take home income for public employees that pay into state retirement as well as social security. Money that formerly was going to the Federal Government will now accrue towards the state's retirement plan.

Union workers do not want their pensions decreased. My guess is that most union workers will see this as a step toward fully funding the promises. I must admit though, until the state of Rhode Island taxes all of the yachts in Narragansett Bay, I find it hard to take money away from the hard working middle class.

One last comment that I have already made a half dozen times before in this blog. Donald Carcieri, our past ideologue governor attacked pensions and attacked public employees every day for eight years. Carcieri took 3000 state employees out of the system and yet his final budget proposal called for a 9% increase (from $7 billion to $7.8 billion). Employees are not the problem as salary, fringe and benefits of all employees account for 17% of the entire budget on an annual basis. Public employee pensions are not bankrupting the system. Republican privatization practices are bankrupting the system (more money to their friends).

tomtoak

What Can I Say?

Let me start by saying that I am sorry for being away so long. I'm actually dizzy from the actions of the new Congress and disappointed that the voting public is so stupid. That's right; at times the voters are just amazingly stupid. You need only look to the re-election of Richard Nixon to know that.

There is so much to talk about since I've been away, I don't know where to begin. How about this new Congress that wants to cut $60 billion from this years appropriations. I have no problem with cutting $60 billion; I have a problem with where the bone heads want to make those cuts. John Boehner and crew want to cut the money from the Environmental Protection Agency, The Security and Exchange Commission, The Consumer Protection Bureau, and the Commodity Futures Trading Commission. What kind of memory do these Republicans have? Can't they remember that our economy was taken to its knees at the end of the Bush administration because of the pro Wall Street attitude? My dog has a better memory than the current Republicans in Congress.

How about the idiot in Wisconsin; that would be the Governor, who does not have the guts to negotiate with any union. What a weak kneed example of America patriotism! He blames the state employees while he cuts the taxes of Wisconsin's big corporations. Then this idiot expects only the public employees to pay the bill! Outrageous!!!!

I miss Keith Olbermann! You can always connect to him at his new site, the Fok News Channel.

On the positive side of reality, Senator Lincoln Chafee is now Governor Lincoln Chafee who provided me the energy to create this web site. If you want to learn more about this, just follow all of the Chafee links. I was there on election night when this Republican turned Independent garnered enough votes to become Governor (37% in a 4 way race). Since his election, he has done nothing but impress me with his approach to leadership. While Linc is no longer a Republican, he represents what Republicans used to be. One small example of Linc's efforts to deal with the deficit in this state; instead of attacking state employees and teachers, his administration did announce the reduction in payments to outsourced law firms by 15%. What a great idea! Privatization is killing government and this is the area where real savings can be found.

Tomtoak

Donald Carcieri and his Tax on us all!!!!!

Sitting on the deck of a popular East Greenwich restaurant with East Greenwich Bay in the background, I look out over a "sea" of recreational boats. The toys of the rich. Our proud Governor smiles at the thought that these great folks deserve no taxes, sales tax or excise tax, on these "very necessary" cornerstones of our society. I don't fault the wealthy for playing in Narragansett Bay, if I had the money, I would proudly own one of those 42 footers. Why in the world should taxes be excused on these toys when the middle class citizens in this state have to pay all applicable taxes on their camping vehicles. Is not camping a viable component of our economy?

I'm sick and tired of the Republican mantra - "fight for the rich". The rich are not paying their fair share in this country and I can't point to one f____g job created in this state with that strategy. Somebody please explain to me why the Rhode Island budget grew 9% last year ($7 billion to $7.8 billion) at a time when our state is bleeding? Please explain to me how this can be when the state has eliminated 3000 workers, slashed pensions, and furloughed remaining state workers? Please explain to me why aid to cities and towns have been cut by millions of dollars when the budget for the state has grown by 9%? Please explain to me why the wealthiest among us are seeing their taxes slashed yet again; when the last time Carcieri did it, our unemployment rate continued to spiral out of control? Please explain to me why anyone buys the argument that the only way to job growth is to cut taxes on the wealthy? Somebody please explain to me why Donald Carcieri is still governor? Also, somebody explain to me why the conservative "nut job" radio commentators support this idiot and his idiotic financial policies?

Most of all; somebody explain to me why middle class, well meaning citizens don't get it? Why are so many supportive of such destructive fiscal policy? Can't the middle class draw the obvious conclusion when they see their vehicle excise taxes skyrocket across the state?

Four more months of this tragedy of leadership in our state; and as he's going out the door, he's giving away another sweet heart deal to a political pal, Curt Schilling. That's a $75 million dollar sweet heart deal that won't change a thing.

I have answers to all of the questions I posed; however, I think asking the questions is more important. If people of Rhode Island want some thought put into how this government is run, they need to vote for a person who thinks with his brain and not his bank account! Linc Chafee is the candidate of choice from my perspective. He has not been afraid to call outrageous public policy, "outrageous". Donald Carcieri and the Republican philosophy in this nation is outrageous.

I think it is finally time for the "Big Audit"! Rhode Islanders will know what I'm talking about.

tomtoak

A Few Thoughts to Ponder!

Where the hell is T Boone Pickens when you need him?

Those readers outside of Rhode Island are probably not aware of the antics of the RI Commissioner of Education, Deborah Gist, even though she was named by Time Magazine as one of the top 100 influential people. She supported the firing of the staff of Central Falls High School because of poor classroom performance. She needed to make a name for herself so why not cause a national incident? Obama should be ashamed of himself for supporting the decision. It's not that change is required, its just that a Central Falls diploma is now downgraded by every college in this nation because of the negative publicity. Talk about a disservice to the students!!! Well, our little Republican Commissioner is smiling broadly at her new found fame and saw that it was necessary to pay a speech writer $10,000 to prepare her 15 minute speech to the RI legislature. Now that's Republican thinking. Please; anyone that is listening, I will write your speech for $5000!!!

The problem with the military's position on "Don't Ask, Don't Tell" is that it really eliminates the possibility of future drafts during national emergencies. Anyone could easily avoid the draft by simply saying; "I'm Gay"!!!

They have finally done it in Rhode Island! Our Governor Donald Carcieri has been trying for 8 years to lower or eliminate taxes for the wealthiest citizens. The top taxation rate has been reduced from around 9% down to around 5%. What this means is that all of the middle class citizens in this state will be paying the bills for years to come while the millionaires reduce their taxes by thousands each year. Further, Carcieri's reductions in community support will cause the middle class to pay higher property taxes. I'm smart enough to see the stupidity. Unfortunately, all of the radio talking heads and a lot of the middle class are just too dumb to understand. When their taxes skyrocket, they will blame Obama. Of course the RI Democrats played right along so I have to lay the blame squarely in their lap. The Democrats had the numbers to say "no"!! The Democrats are just greedy little fools; those in power are very well off!

For all of you Republican libertarians out there that hate big government; did you see Orin Hatch's latest proposal? Mr Republican wants to keep government off of your back so now if you are unemployed, he wants to drug test you. Now that's what I call "freedom and liberty"!!! How about "justice for all"!!!!!!

I enjoyed the Democratic reception a few weeks ago here in RI for Governor Tim Kaine from Virginia who is the national Democratic Party Chair. He does know a little about forestry as I spoke to him about forestry in his state.

I helped Linc Chafee move his office from Pawtucket to Warwick a week ago Friday. I had a great time and I like the way he goes about getting a job done. Deborah Gist would have put out a contract and paid $50,000 for the move.

Don't forget; I'll write your speech for you - $5000 for 15 minutes if you are a Democrat - $10,000 if you are a Republican. Come on Republicans, you will really enjoy my speech

Keep smiling if you think the Republicans are on your side.

tomtoak

Linc Chafee for Governor

Lincoln Chafee announced his intention to run for Governor of Rhode Island yesterday. I'm sorry I missed the official kick-off, but I had a long time friend spending a few days with me. Linc chose a most unusual way to announce his candidacy. He spoke directly to the people of Rhode Island. You won't find others in the race that will speak honestly.

Linc started his campaign by outlining a sales-tax plan that will result in more goods being covered by a two-tiered sales tax program. He was right when he suggests that people can make personal decisions to buy things, but increasing the property tax in this state leaves people without choices. Practical, honest and sincere are words that come to mind when reading the news of his announcement. Linc will be far more able to achieve this structural change than the right wing plans designed to end government as we know it. I think Linc Chafee will be able to get some things done.

What Rhode Islanders constantly hear from the Republicans in this state is that Rhode Island has the 2nd highest sales tax rate in the country. What Republicans fail to tell you is that most states have sales tax on a much wider variety of goods than does Rhode Island. Maybe Linc can actually get some sales tax out of the state's richest citizens that line Narragansett Bay with their yachts.

The Republicans will continue to tell us that government needs to be smaller. They have an uncanny ability to never look at the big picture - the bottom line so to speak. While the Carcieri crowd has attacked state employees and now municipal employees as being the problem, they continue to grow the budget in unprecedented ways (9% increase this year). Republican spending is all about putting our money in the hands of their few connected friends. Once again, I will reflect on the bottom line of the state's budget. Carcieri's budget called for $7.8 billion, an increase of almost $1 billion from the previous year. The entire cost of paying state employee salaries, benefits, pensions, etc. is approximately $1.3 billion annually, a mere 17% of the entire state budget.

So to you Carcieri lovers out there that think that he knows what's wrong with government, think again! There's plenty of cost savings to be found, but don't expect the Republicans to find it because they are not going to take it away from their well connected friends that spend half the year in Florida. Lincoln Chafee appreciates the work of state and municipal employees and understands the need to balance government's needs with the needs of those that pay the bills.

Lincoln Chafee for Governor!

tomtoak

Why the Decision on Iraq was Wrong!

Lincoln Chafee stood tall when it came to a vote in Congress on the U.S. involvement in Iraq. He was a Republican Senator, and he had severe reservations about the intelligence presented by the Bush administration. Why did Lincoln Chafee doubt the administration and why did he take the principled stand to oppose the war in Iraq?

I can't speak for Lincoln Chafee, but I think that the same things that were going through my head went through Linc's head. Let's take a look at some key points.

I was 12 years old during the Cuban Missile Crisis; I think that Linc was near to my age. We all feared the possibility of nuclear war with the Soviet Union. This was a gut wrenching time in American history. We stayed glued to our TV sets and watched transfixed as Adlai Stevenson presented the United States case before the United Nations. Stevenson presented irrefutable evidence of Soviet missiles being placed in Cuba, a country just 90 miles from the United States (the video does not show the entire United Nations episode). The evidence was compelling. There were pictures of missiles, silos under construction, and Soviet ships delivering the cargo at Cuban ports. Nobody could deny the reality of the situation.

Some 40 years later; Colin Powell makes a similar presentation to the United Nations regarding weapons of mass destruction in a far away place, Iraq. The presentation was weak and was based on intercepted conversations that the intelligent listener had to question. There was no visible evidence accept a picture of a truck that later proved to be an agricultural vehicle.

I sat and watched the Powell presentation before the United Nations and asked myself; How the hell could 40 year old technology used in 1962 be superior to the technology available today? We can actually read license plates on automobiles from space based satellites; and, all we get is an agricultural truck? In 1962, we had pictures of airfields, excavations, ships, missiles and ground personal working to employee missiles; and 40 years later with much improved technology , we get a milk truck?

Eventually, we find out that Colin Powell was mislead on the claim of weapons of mass destruction in Iraq. Powell goes on to say that we should never have invaded Iraq. Powell resigns from the Bush administration and eventually endorses, Barack Obama as the next President.

I think that a reasoned person that had the opportunity to live the United Nation's moments surrounding the Cuban Missile crisis should not have been fooled by the presentation by our government on Iraq. Powell's presentation before the world was pathetic in hindsight. Powell himself agrees. Those that are too young to have first hand knowledge of the Cuban Missile crisis should view the linked videos. Those of you that watched Adlai Stevenson in 1962 and then watched Colin Powell 40 years later; and did not question the believability of the Iraq threat, should be ashamed of yourselves.

tomtoak

Lincoln Chafee for Governor of Rhode Island

I want to be among the first to endorse former Senator Lincoln Chafee for governor in 2010. I know; this is awfully early and Chafee has not formally announced his intentions. Today, Chafee did say that he will spend the next months laying the groundwork for a potential Independent campaign for governor. I want to give a few reasons why I think he can be successful.

First and foremost; Lincoln Chafee has always followed his own heart and mind. Nobody controls Lincoln Chafee. To me he has been a true "profile in courage". I must admit though, I did not always vote for him. Lincoln always had my vote until his last senatorial election, when through no fault of his own, circumstances got in the way. I owe Lincoln Chafee; big time! The election of 2006 was the hardest decision I ever had to make in a voting booth. At stake was control of the U.S. Senate following the many years of Republican leadership that tarnished the Nation. I felt ill voting against Linc. This is something I'll always remember; control of the Senate rested upon the shoulders of Rhode Island voters. I made a promise that day to myself; if given a chance to make it right, I would offer my support.

Lincoln Chafee always seemed to take reasoned pathways through politics. He never stuck to ideology when reason took him in an opposite direction. He stood tall when the country was facing the blunder that would become Iraq. He not only stood tall, he stood alone at times and faced the snickering response of his fellow Republicans. Lincoln Chafee was right, the snickering hoards were wrong!

I remember Linc being interviewed on national TV following the vote on Iraq in the Senate. He was standing on the Capitol steps and he simply stated; what if we're wrong? What if there are no weapons of mass destruction? He argued that the evidence presented was thin (more on this in tomorrow's post). He argued that we would lose stature throughout the world. He was right. Thank you Lincoln Chafee for not following the crowd.

Another important point that is seldom discussed but needs to be part of the debate on our Iraq decision; the Constitution only gives the U.S. Congress the power to declare war. Legislators that voted to give away their constitutional authority to one man, President Bush, did not live by their oath of office. The Congress simply authorized Bush to make the decision. Every legislator that voted to empower Bush in this way should have been impeached for breaking their oath. I'm including John Kerry, Hillary Clinton and every other congressperson charged with protecting our freedoms. Some of these folks took away our freedom with their vote on that painful day. Linc Chafee voted to protect our freedom.

Following Linc's defeat, he wrote an incredibly powerful book that all progressives should read. The book; "Against the Tide - How a Compliant Congress Empowered a Reckless President" is one book that you just can't put down. I must admit though; my 87 year old mother was so upset when I gave it to her to read, she stopped half way through and returned it. She said she was losing sleep over it. There's no meanness in the book; there is only statement of fact and discussion of experiences that make you seriously question the leadership of the entire Bush administration.

Good luck Linc while you make your decision. You have my vote.

tomtoak