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Weekly Roundup
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October 9th, 2009
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Greetings!
This week, the House and Senate Ways and Means committees held a hearing to reexamine the state's official fiscal 2010 revenue estimate and the Joint Committee of Revenue also held its first listening tour event in Worcester to facilitate a conversation about how to best structure the state's tax system and end the cyclical budget crises that lead to program cuts. Also this week, the Mass Budget and Policy Center published a Fiscal Year 2011 Budget Preview brief projecting an initial gap of at least $2.24 billion. Times are challenging for our state and the public structures we all rely and care about. More than ever we need to have a discussion about what we value in our communities and how we pay for it. It is time to discuss more revenue options and less cuts.
Sign up for the October 22 Insider Budget Briefing with Peter Enrich, Law Professor at Northeastern University and former general counsel to the Massachusetts Executive Office for Administration and Finance. We will take a close look at our Tax Expenditure Budget (sometimes called the "Loopholes"), and what it means for our state's current and future fiscal health.
Here is a look at what else has been going on across Massachusetts:
[Skip Ahead: Civic Engagement | Revenue | Government Reform]
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Civic Engagement
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Goal: By 2013, the voice and input of the state's multi-racial, multi-ethnic communities will create a counterweight to the currently dominant voice and will be tangibly reflected in the public decision making process.
Upcoming:
- October 13. Boston City Council at Large Forum. On Tuesday, October 13, 2009, from 6:30 to 8:00 PM, at UMass-Boston Campus Center join a coalition of more than 30 partner organizations led by MassVote to hear from the 8 candidates for city councilor at large in Boston about their ideas and proposals about how they plan to work to move Boston forward. [Download Forums Flyer]
October 15. As part of Centro Presente's civic participation campaign "Our Voices, Our Vote", Centro Presente would like to invite you to "A New Era of Women in Politics" a panel discussion to talk about how to increase civic participation and equal political representation of women in politics.
 Our own leadership team member Gloribell Mota will be part of the panel. For more information about this event contact Patricia Montes at 617-629-4731 ext. 211 or by email pmontes@cpresente.org
Thursday, October 15th 2009 at 11:00 AM Room B-2, Massachusetts State House
Updates:
Mass Freedom to Vote Act Hearing. On October 7th, a hearing was hold at the State House with coalition members and supporters of the Mass Freedom to Vote Act led by our partner organizations MassVote and Common Cause.
"The Massachusetts Freedom to Vote Act" ties together eight bills into one omnibus package (H 651 / S 348). Proposals include enabling potential voters to register to vote on the day of an election, allowing voters to cast early ballots up to a week before Election Day, allowing military or overseas voters to receive absentee ballots by email, auditing a sample of precinct results to ensure no systemic irregularities, requiring closed captioning of campaign commercials paid for by the campaigns and allowing absentee voting for any reason. [SHNS] |
Revenue |
Goal: By 2013, a fair, adequate, and stable tax system will be implemented. It will raise sufficient revenue so that state and local governments can fund the array of services needed.
Updates:
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Tax collection shortfall forecasts seen approaching $1B. The state's revenue shortfall this fiscal year could reach $1 billion, according to legislative leaders. Michael Widmer president of the Mass Taxpayers Foundation said the largest shortfall from benchmark would likely come in the state's corporate and business tax receipts, as companies continue to send less to the state, despite a massive corporate tax hike passed last year. Second, he said, were sales taxes, which, despite a 25-percent increase that took effect August 1, were $28 million below benchmark, though up $32 million, or 13.7 percent from the year before. [SHNS & Boston Globe]
WBUR interviewed Senate President Therese Murray about her assessment of the state's fiscal health and about options moving forward. [Full interview with audio]
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Gateway Cities leaders argue for tax credits. New Bedford and other struggling cities in the state could revive their economies if given more means to encourage development and historic restoration. That was the message of mayors and other city officials who converged on Beacon Hill on Wednesday to seek the help of state lawmakers. They testified before the Joint Committee on Revenue in favor of a bill designed to spur growth in New Bedford, Fall River and other "Gateway Cities" through tax credits. [South Coast Today]
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Cahill says state could cut aid to cities and towns. Despite signs in the job and housing markets that the state is beginning to emerge from its recession, Treasurer Tim Cahill sounded the alarm on Tuesday saying that budget cuts should be made quickly and local aid must be on the table. "I don't know. Local aid has got to be an option. Health care spending -- about 27 percent of the budget goes to health care," said Cahill, when asked where he would cut. Patrick would need the Legislature to grant him expanded powers before he could cut local aid, something lawmakers did last January that led to a $128 million, mid-year local aid cut. [Sentinel and Enterprise]
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State braces for more cuts as new taxes can't stop revenue dive. Despite spending reductions and massive tax increases, state government continues to exceed taxpayers' price range, new revenue data shows, as September receipts crashed $333 million below a year ago. State tax collections fell $243 million below estimates last month, the Patrick administration said Friday, likely triggering spending reductions just three months into the fiscal year. Monthly revenues were down 15.9 percent from a year ago. [SHNS]
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Meal, room taxes rising. A new local tax on restaurant meals took effect in 30 communities across the state last Thursday, including 10 in Western Massachusetts. And the local tax on a motel room is rising on Thursday in 33 communities, including seven in Western Massachusetts. [MassLive]
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Patrick meets with disabled. Individuals with developmental disabilities and their family members and caregivers launched a vigil Thursday morning in Gov. Deval Patrick's office, where one advocate urged the state's chief executive to consider higher taxes as an alternative to spending cuts that could fall on services the disabled depend on to live independently and get to and from their jobs. [SHNS] |
Government Reform
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Goal: By 2013, a transparent, accessible and accountable state and local policy-making process will be in place.
Updates:
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Lawmakers revisit ethics reform to define "gift". With few legislators on hand, the House and Senate on Tuesday set about quietly working to define the word "gift" as it applies to the recently reformed state ethics laws, which bans lobbyists from giving gifts and prohibits public officials from accepting gifts of "substantial value" because of their position. [SHNS] - Patrick signs bill delaying Lobbying Reform. A slate of reforms touted over the summer as critical to shedding more light on who's lobbying on Beacon Hill will be implemented on January 1 rather than to last week. Pam Wilmot, executive director of Common Cause Massachusetts, said the group supports the delay. "Laws that require reporting should, as a general rule, not go into effect mid-reporting period because of the inconsistent requirements between the new and old laws. Furthermore, a couple of extra months will allow us to educate folks better on the new requirements." [SHNS]
- Lacking agreement, pension panel leaves choices to legislature. Unable to reach consensus on a package of 27 reforms to the state pension system, a special commission studying the way the state pays those who leave state service agreed Thursday to send the package to the Legislature without taking a position on any of its proposals. [SHNS]
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