FY 2008 budget preview

Fasten your seatbelts: details of Governor Patrick’s first budget have been leaked to the Globe, and there’s no doubt more to come at the big unveiling on Tuesday night (which, by the way, will take place at a public meeting in Melrose and will be broadcast live on NECN starting at 7 pm — if you want to attend the meeting yourself, here’s how).

The bottom line appears to be this: lots of new money for municipalities and for public safety (especially community policing).  Not much for anyone else [though see UPDATE below].

That strikes me as very smart, and as probably the best way to make lemonade out of the billion or so dollars worth of lemons that Romney/Healey left lying about.  Bumping up local aid pays off in all kinds of productive ways: helps the schools, helps local police and fire departments, helps avoid Prop. 2-1/2 overrides, and (along with the other initiatives already announced) helps improve the environment for property tax cuts — or at least for avoiding more increases.  And getting community policing moving again is desperately needed around the state.  Also, the 1,000 new cops was an important campaign pledge that this should help fulfill (at least, as I understand it).

So here’s hoping that the Sal & Trav show can get behind what sounds like a pretty sensible agenda.  In particular, DiMasi needs to get over his newly-developed revenue phobia.  For God’s sake, he was the one who was pushing the payroll tax in the new health care bill, only to lose out to Romney and Trav.  Why is he so skittish about closing corporate tax loopholes and about local option meals taxes?  Because those weren’t his ideas, but rather came from someone else?  Nah — that couldn’t be it.

Could it?

UPDATE: Turns out there are some significant health-related increases in the budget as well.  Specifically:

  • $24.8 million for an expansion in the Universal Immunization Program — this includes access to three new vaccines (rotavirus, meningococcal conjugate, and HPV).
  • $21.6 million for expanding and reconfiguring the Health Promotion and Disease Prevention Program, which includes screening programs for various cancers and other diseases, and the largest increase to the smoking prevention and cessation program since FY 1999.
  • $3.8 million to expand Early Intervention.

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Discuss

18 Comments . Leave a comment below.
  1. Small Increase in Local Aid/Large Lobbying Effort Needed for Munis

    As Geoff Beckwith of Mass Municipal Assn notes, it's comparitively a small increase (will the state pay more in increased health care costs this year than local aid, bet they will ...), which makes it essential that the various pieces of the municipal assistance package also be enacted.

    Good piece by Mike Jonas today in City Weekly (which those of you outside of Boston don't see), getting Trav to note that the local option tax has been adopted by the Senate before, (once during his tenure as President and once before, when it went to Gov Swift's desk).  The speaker has voted once in favor of the meals tax, and once against it.  About 60-70 current members of the House have voted for a meals tax at one time or another, so the task of adding 10-15 votes in the House should be doable.

    What is needed now is a strong effort to engage people, particularly outside of Boston, to support the municipal package. Business leaders, labor, teachers should all be enlisted to support the legislation and get the necessary votes.  Ironically, the piece that clearly helps every community, the elimination of the telecom tax break, will be the toughest to achieve due to the opposition from these companies.  Also, someone asked about "whatever happened to civic engagement"?  Well, engage guys, and get your supporters to back this legislation (I got an e-mail invite from the DP Committee for the Melrose speech, why didn't I get Talking Points, or even better, Action Points, on the muni package?  It's ok though, it's still early.)

    Kudos, by the way, to Tim Murray, who came back at House Taxation Chair Binienda for casually dismissing these proposals to help our communities.  Tim has been a strong fighter for these provisions as a mayor and it's good to see him stand up for fight for what should be an Administration priority.

  2. HPV!

    Well, I'm certainly impressed.

    From boston.com

    Every Massachusetts girl between the ages of 9 and 18 would be eligible to receive a free vaccine against the virus that causes cervical cancer under the state budget plan to be unveiled by Gov. Deval Patrick.

    Context:

    BMG Diary: Texas Republican uses common sense, promotes cancer-free sex. Hooray! BMG Comment: Speaking of responsive government...

  3. A solid downpayment

    on a central theme of his campaign.

    Backed up with some new funds for cities and towns to fight fires, educate kids, operate libraries, catch crooks, help seniors, and all the other essential things they do.

    I'll leave for another post the reasons why I wish the tax cut were broader and the new funds more. Nonetheless this keeps faith with the promise of his campaign. I hope it survives the legislature's ingrained hostility to all things not done on Beacon Hill.

  4. show me the money

    From this post it sounds as though the only relevant observation of the governor's budget is all the "new money" for local aid, and public health initiatives. What I want to know is, where are the cuts? My understanding is that revenue is set to increase at about the rate of inflation, while many costs, particularly large pieces of the HHS' budget are set to increase at 3 times or so the inflationary rate. Given that scenario, level funding across the board will be a huge challenge and yet so far, I've heard only of modest increases, and no mention of cuts. David remarks on new money for local aid and "not much for anyone else." But I would imagine the budget must be more severe than "not much" in the way of increases for any one else, but rather "painful cuts" and the like for SOMEONE else.

    Am I missing something here?

    • What you're missing

      is a seat on board the Happy Talk Express. Service cuts make people upset. And as you know, we can't engage people by talking about things that make them upset.

      But then the cost of government bums people out, too. So kindly don't bring that up, either.

      Now would you please take your critical thinking elsewhere? You're making our brains hurt.

      Thank you, The Patrick-Murray Love-In

  5. goog globe editorial

    Good editorial in the Globe today on the budget and tax proposals: http://www.boston.co...

    • Really?

      To me, it sounded like the editors were nostaglic for the middle-minded muddlings of Cathy Young, a remarkably thick woman on a lifetime mission to find a compromise between the fire brigade and the fire. Never sure whether to move foward or backward, her intellectual compass typically split the difference, taking a sharp right into the guardrail.

      This editorial was much the same. For one thing, it's amusing how studiously they overlooked the obvious in these two statements:

      According to the liberal Massachusetts Budget and Policy Center, the state ranks from 43 d to 49th in its level of corporate taxation

      and

      nearly every other state has emerged from the recession

      Hmmmm....

      In any case, the editorial was rife with on-the-other-handism--reducing every policy debate to he-said she-said, with no effort to validate claims or put them into context.

      For instance:

      It's fine to talk about combined reporting and other changes, Widmer responds, but now is hardly the time to implement major business tax increases, with Massachusetts still 150,000 jobs below its 2001 peak,

      Is there any evidence at all that businesses who have benefitted from these loopholes have created more jobs than those who have not? Seems like that's essential to the argument, no?

      Well, not to the Globe.

      • Michael Widmer

        I was surprised at Michael Widmer's comments as quoted in the Globe. I thought he was an old TEAM guy who would have no problem with closing the loopholes mentioned. Especially in the light that it would be a fair way to increase revenue.

        I guess Mass Taxpayers Foundation are paying the bills now so closing a loophole amounts to a tax on the poor business sector. Pity that poor property tax payer trying to make ends meet and wonder why he or she always votes against overides.

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