History > 2011 > USA > States (I)
Adam Zyglis
Buffalo, NY, The Buffalo News
Cagle
13 January 2011
L: Jared Lee Loughner
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http://topics.nytimes.com/top/reference/timestopics/people/l/jared_lee_loughner/index.html
New York Allows Same-Sex Marriage,
Becoming Largest State to Pass Law
June 24, 2011
The New York Times
By NICHOLAS CONFESSORE and MICHAEL BARBARO
ALBANY — Lawmakers voted late Friday to legalize same-sex
marriage, making New York the largest state where gay and lesbian couples will
be able to wed and giving the national gay-rights movement new momentum from the
state where it was born.
The marriage bill, whose fate was uncertain until moments before the vote, was
approved 33 to 29 in a packed but hushed Senate chamber. Four members of the
Republican majority joined all but one Democrat in the Senate in supporting the
measure after an intense and emotional campaign aimed at the handful of
lawmakers wrestling with a decision that divided their friends, their
constituents and sometimes their own homes.
With his position still undeclared, Senator Mark J. Grisanti, a Republican from
Buffalo who had sought office promising to oppose same-sex marriage, told his
colleagues he had agonized for months before concluding he had been wrong.
“I apologize for those who feel offended,” Mr. Grisanti said, adding, “I cannot
deny a person, a human being, a taxpayer, a worker, the people of my district
and across this state, the State of New York, and those people who make this the
great state that it is the same rights that I have with my wife.”
Senate approval was the final hurdle for the same-sex marriage legislation,
which was approved last week by the Assembly. Gov. Andrew M. Cuomo signed the
measure at 11:55 p.m., and the law will go into effect in 30 days, meaning that
same-sex couples could begin marrying in New York by late July.
Passage of same-sex marriage here followed a daunting run of defeats in other
states where voters barred same-sex marriage by legislative action,
constitutional amendment or referendum. Just five states currently permit
same-sex marriage: Connecticut, Iowa, Massachusetts, New Hampshire and Vermont,
as well as the District of Columbia.
At around 10:30 p.m., moments after the vote was announced, Mr. Cuomo strode
onto the Senate floor to wave at cheering supporters who had crowded into the
galleries to watch. Trailed by two of his daughters, the governor greeted
lawmakers, and paused to single out those Republicans who had defied the
majority of their party to support the marriage bill.
“How do you feel?” he asked Senator James S. Alesi, a suburban Rochester
Republican who voted against the measure in 2009 and was the first to break
party ranks this year. “Feels good, doesn’t it?”
The approval of same-sex marriage represented a reversal of fortune for
gay-rights advocates, who just two years ago suffered a humiliating defeat when
a same-sex marriage bill was easily rejected by the Senate, which was then
controlled by Democrats. This year, with the Senate controlled by Republicans,
the odds against passage of same-sex marriage appeared long.
But the unexpected victory had a clear champion: Mr. Cuomo, a Democrat who
pledged last year to support same-sex marriage but whose early months in office
were dominated by intense battles with lawmakers and some labor unions over
spending cuts.
Mr. Cuomo made same-sex marriage one of his top priorities for the year and
deployed his top aide to coordinate the efforts of a half-dozen local gay-rights
organizations whose feuding and disorganization had in part been blamed for the
defeat two years ago.
The new coalition of same-sex marriage supporters brought in one of Mr. Cuomo’s
trusted campaign operatives to supervise a $3 million television and radio
campaign aimed at persuading several Republican and Democratic senators to drop
their opposition.
For Senate Republicans, even bringing the measure to the floor was a freighted
decision. Most of the Republicans firmly oppose same-sex marriage on moral
grounds, and many of them also had political concerns, fearing that allowing
same-sex marriage to pass on their watch would embitter conservative voters and
cost the Republicans their one-seat majority in the Senate.
Leaders of the state’s Conservative Party, whose support many Republican
lawmakers depend on to win election, warned that they would oppose in
legislative elections next year any Republican senator who voted for same-sex
marriage.
But after days of contentious discussion capped by a marathon nine-hour
closed-door debate on Friday, Republicans came to a fateful decision: The full
Senate would be allowed to vote on the bill, the majority leader, Dean G.
Skelos, said Friday afternoon, and each member would be left to vote according
to his or her conscience.
“The days of just bottling up things, and using these as excuses not to have
votes — as far as I’m concerned as leader, it’s over with,” said Mr. Skelos, a
Long Island Republican who voted against the bill.
Just before the marriage vote, lawmakers in the Senate and Assembly approved a
broad package of major legislation that constituted the remainder of their
agenda for the year. The bills included a cap on local property tax increases
and a strengthening of New York’s rent regulation laws, as well as a five-year
tuition increase at the State University of New York and the City University of
New York.
But Republican lawmakers spent much of the week negotiating changes to the
marriage bill to protect religious institutions, especially those that oppose
same-sex weddings. On Friday, the Assembly and the Senate approved those
changes. But they were not enough to satisfy the measure’s staunchest opponents.
In a joint statement, New York’s Catholic bishops assailed the vote.
“The passage by the Legislature of a bill to alter radically and forever
humanity’s historic understanding of marriage leaves us deeply disappointed and
troubled,” the bishops said.
Besides Mr. Alesi and Mr. Grisanti, the four Republicans who voted for the
measure included Senators Stephen M. Saland from the Hudson Valley area and Roy
J. McDonald of the capital region.
Just one lawmaker rose to speak against the bill: Rubén Díaz Sr. of the Bronx,
the only Democratic senator to cast a no vote. Mr. Díaz, saying he was offended
by the two-minute restrictions set on speeches, repeatedly interrupted the
presiding officer who tried to limit the senator’s remarks, shouting, “You don’t
want to hear me.”
“God, not Albany, has settled the definition of marriage, a long time ago,” Mr.
Díaz said.
The legalization of same-sex marriage in the United States is a relatively
recent goal of the gay-rights movement, but over the last few years, gay-rights
organizers have placed it at the center of their agenda, steering money and
muscle into dozens of state capitals in an often uphill effort to persuade
lawmakers.
In New York, passage of the bill reflects rapidly evolving sentiment about
same-sex unions. In 2004, according to a Quinnipiac poll, 37 percent of the
state’s residents supported allowing same-sex couples to wed. This year, 58
percent of them did. Advocates moved aggressively this year to capitalize on
that shift, flooding the district offices of wavering lawmakers with phone
calls, e-mails and signed postcards from constituents who favored same-sex
marriage, sometimes in bundles that numbered in the thousands.
Dozens more states have laws or constitutional amendments banning same-sex
marriage. Many of them were approved in the past few years, as same-sex marriage
moved to the front line of the culture war and politicians deployed the issue as
a tool for energizing their base.
But New York could be a shift: It is now by far the largest state to grant legal
recognition to same-sex weddings, and one that is home to a large, visible and
politically influential gay community. Supporters of the measure described the
victory in New York as especially symbolic — and poignant — because of its rich
place in the history of gay rights: the movement’s foundational moment, in June
1969, was a riot against police inside the Stonewall Inn, a bar in the West
Village.
In Albany, there was elation after the vote. But leading up to it, there were
moments of tension and frustration. At one point, Senator Kevin S. Parker, a
Brooklyn Democrat, erupted when he and other supporters learned they would not
be allowed to make a floor speech.
“This is not right,” he yelled, before storming from the chamber.
During a brief recess during the voting, Senator Shirley L. Huntley, a Queens
Democrat who had only recently come out in support of same sex marriage, strode
from her seat to the back of the Senate chamber to congratulate Daniel J.
O’Donnell, an openly gay Manhattan lawmaker who sponsored the legislation in the
Assembly.
They hugged, and Assemblyman O’Donnell, standing with his longtime partner,
began to tear up.
“We’re going to invite you to our wedding,” Mr. O’Donnell said. “Now we have to
figure out how to pay for one.”
Danny Hakim and Thomas Kaplan contributed reporting from Albany,
and Adriane Quinlan from New York.
New York Allows Same-Sex Marriage, Becoming
Largest State to Pass Law, NYT, 24.6.2011,
http://www.nytimes.com/2011/06/25/nyregion/gay-marriage-approved-by-new-york-senate.html
After Years of Cost Cuts, Texas Tries to Find More
April 8, 2011
The New York Times
By JAMES C. McKINLEY Jr.
AUSTIN, Tex. — It is hard to overstate the budget-cutting furor that has
gripped lawmakers in this capital, where the Republicans who control the
Legislature and all statewide offices believe voters sent them an ironclad
mandate last year to shrink the size of government.
But the Texas government was already a relatively lean operation after years of
conservative fiscal policies. So when the Texas House passed its budget bill
last weekend, the depth of the cutbacks necessary for the Republican majority to
stick to its promise of no new taxes became clearer. It was not a pretty
picture.
The bill would slash $23 billion from the current level of state and federal
spending over the next two-year budget cycle — a 12.3 percent reduction that
does not take into account rising costs to meet the needs of Texas’s growing
population.
In a party-line vote, the House slaughtered dozens of sacred cows. The budget
bill makes huge cuts to public education, nursing homes and health care for the
poor. It slashes financing for highways, prisons and state parks. It eliminates
full-day preschool, cuts teacher incentive pay and reduces scholarships for
college students by two-thirds.
“You are cutting to the bone in the state of Texas,” said State Representative
Sylvester Turner, a Houston Democrat. “The Republican game is: ‘We want smaller
government, and we will do whatever it takes by whatever means necessary,
regardless of the cost.’ ”
On Wednesday, conservatives and Tea Party supporters held a rally on the steps
of the Capitol calling on the Legislature to cut even deeper into some programs,
while thousands of state workers marched to protest the House spending plan.
What galls state employees and many liberals in the state is the refusal by Gov.
Rick Perry and his House allies to buffer some of the pain by tapping into the
more than $6 billion left in an emergency fund fed by taxes on oil production.
(Last month, the House approved using $3 billion from the fund to close a
deficit in the current two-year budget.)
But Republican leaders in the House say that the state has to live with its
reduced revenues. Raising taxes would hurt the economy, they say, and dipping
into the Rainy Day Fund is unwise, given the prospect of cutbacks in federal
aid.
“This is the hand we were dealt,” said State Representative Larry Taylor of the
Houston area, the chairman of the Republican Caucus. “That’s how much money we
have. We don’t have a choice in Texas. We can’t print money. We can’t go into
debt.”
The depth of the cuts, however, has caused divisions in the party. Some
Republicans in the Senate are balking at the large reductions in money for
public education and health care for the poor, calling them shortsighted. “The
kids aren’t going away,” said State Senator Robert F. Deuell, a Republican from
Greenville and a physician. “So you can build a school, or you can build a
prison.”
The Senate is currently laying out its own budget bill, and Republican leaders
say it will contain about $10 billion more than the House version, most of it
for public schools and Medicaid. Senate Republicans are looking at various ways
to raise revenue without calling them tax increases, like speeding up tax
collections and eliminating some exemptions.
In a normal year, the Senate and House in Texas enter into negotiations and
split the difference between proposals. The speaker of the House, Joe Straus,
said in an interview that he saw the House bill as the beginning of a long
negotiation. “We are not blind to the issues that are unaddressed,” he said.
But this year the two chambers are so far apart, and the public mood here is so
hostile toward anything resembling a tax increase, that it is unclear how the
two houses will bridge their differences. The House is not likely to accept any
increases in revenue; the Senate is not likely to go along with the deep cuts in
education and health care.
Veteran lawmakers on both sides said they were suffering from the public
reaction against federal spending and the deficit in Washington, even though the
state has little debt. In the Texas House, 31 freshman Republicans were swept in
on the Tea Party tide on a small-government platform, and they are in no mood to
compromise on raising taxes.
“You can’t exaggerate the anger and frustration in Texas with the behavior of
the federal government,” said the State Senate finance chairman, Steve Ogden, a
Republican from Bryan. “And to a certain extent we are thrown into the same
boat.”
The public pressure to reduce taxes makes it difficult to do something about
what many budget experts say is a chronic shortage of revenue in Texas. The
experts said the economic downturn caused only a third of the revenue shortfall
here, as sales tax receipts fell off. Most of it, they said, stemmed from the
state’s decision to overhaul its business tax structure and to reduce local
property taxes in 2006. Various tax exemptions have also weakened revenues over
the years.
“The tax system is out of whack,” Senator Ogden said. “There are more and more
exemptions, and the taxes we do have are not performing as expected.” At the
same time, Texas continues to grow by about 1,500 people a day, and costs are
rising inexorably. “It’s unstable,” he said. “The curves will not cross.”
Given the political climate, however, few in the Capitol expect the Legislature
to perform major surgery on the tax code. The Democrats were sidelined in the
Republican landslide last fall, and moderate Republicans are worried about their
re-election prospects after seeing so many incumbents fall to Tea Party
challengers in the last election. If the final budget resembles the House
version, however, some politicians fear that there could be a price to pay at
the polls next year — a backlash to the backlash.
The House plan would give schools almost $8 billion less than current state law
requires over the next two years. Medicaid would be about $4 billion short of
what officials say is needed to meet the growth in caseloads. One group of
budget analysts predicted that 97,000 teachers and school employees would be
laid off. Other analysts said that the cuts to Medicaid would force hundreds of
nursing homes out of business and would have a devastating effect on rural
hospitals and doctors.
Those sorts of austere budget cuts have not been seen in Texas since Truman was
president, not even during the oil bust in the late 1980s and the recession in
2003, several lawmakers said.
“There is nothing comparable to this since World War II,” said State Senator
John Whitmire, a veteran Houston Democrat who is the vice chairman of the
Finance Committee. “I think we are in a hell of a mess, and I am not sure of the
path out of it.”
After Years of Cost
Cuts, Texas Tries to Find More, NYT, 8.4.2011,
http://www.nytimes.com/2011/04/09/us/09texas.html
Missouri Halts Extension of Pay for Unemployed
March 31, 2011
The New York Times
By A. G. SULZBERGER
KANSAS CITY, Mo. — Citing concerns about the national debt, a handful of
conservative state legislators have blocked a vote to accept federal money to
extend unemployment benefits, effectively cutting financial assistance for more
than 10,000 out-of-work residents next week.
The move, which came despite widespread bipartisan support for extending the
benefits, puts Missouri at the center of a growing national discussion about
reining in unemployment benefits at a time when both the job market and
government coffers remain weakened.
In recent weeks, Republican leaders in Michigan, Arkansas and Florida have taken
steps to limit their states’ contributions by cutting the duration of
unemployment benefits.
But for now Missouri, with an unemployment rate above 9 percent, is the only
state that has stopped accepting dedicated federal money to extend payments to
99 weeks from 79. (A number of states never joined when the program was
initially offered.)
“This is about sending a message to the federal government from the state of
Missouri that enough is enough,” said Jim Lembke, the state senator who, with
three other Republicans, is filibustering the legislation. “The federal
government is sending us money they don’t have.”
Mr. Lembke said he also plans to block a vote needed to accept nearly $190
million in federal education money.
The reauthorization legislation, which was supported by the leadership of both
parties, passed by a wide majority in the House and had been expected to pass
easily in the Senate, where a similar extension passed unanimously last year.
Both chambers are controlled by Republicans. The legislation is supported by
Gov. Jay Nixon, a Democrat.
But senators so far have decided against using a rarely invoked procedure to end
debate. The chamber adjourned Thursday without voting on the matter, missing a
deadline required for the payments to continue uninterrupted.
“This is the angriest I’ve ever been,” said Jolie Justus, a Democratic senator
who gave an emotional speech in favor of extending benefits. “To tell these
thousands of people that they have to get off their backsides and get a job is
so out of touch with what’s going on in Missouri right now.”
In addition to those whose payments will stop immediately, the Missouri
Department of Labor estimated that another 24,000 people would be affected by
the end of the year — totaling $105 million in lost payments.
Senators were still discussing the possibility that a deal could be worked out,
either through compromise or by forcing a vote.
Missouri Halts Extension
of Pay for Unemployed, NYT, 31.3.2011,
http://www.nytimes.com/2011/04/01/us/01missouri.html
Michigan Cuts Jobless Benefit by Six Weeks
March 28, 2011
The New York Times
By MICHAEL COOPER
Michigan, whose unemployment rate has topped 10 percent longer than that of
any other state, is about to set another record: its new Republican governor,
Rick Snyder, signed a law Monday that will lead the state to pay fewer weeks of
unemployment benefits next year than any other state.
Democrats and advocates for the unemployed expressed outrage that a such a
hard-hit state will become the most miserly when it comes to how long it pays
benefits to those who have lost their jobs. All states currently pay 26 weeks of
unemployment benefits, before extended benefits paid by the federal government
kick in. Michigan’s new law means that starting next year, when the federal
benefits are now set to end, the state will stop paying benefits to the jobless
after just 20 weeks. The shape of future extensions is unclear.
The measure, passed by a Republican-led Legislature, took advocates for the
unemployed by surprise: the language cutting benefits next year was slipped
quietly into a bill that was originally sold as way to preserve unemployment
benefits this year.
The original bill was aimed at reducing unemployment fraud and making a
technical change so the state’s current long-term unemployed could continue
receiving extended unemployment benefits from the federal government for up to
99 weeks — benefits that would have been phased out next week without a change
in the state law to make the unemployed in the state eligible to continue
receiving benefits. Republican lawmakers amended it to cut the length of
benefits starting in January.
“It turns the clock back 50 years at a time when unemployment is at historic
highs since the Depression,” Representative Sander M. Levin, Democrat of
Michigan, said in an interview, adding that he worried that the state would set
a precedent that would be followed by other states, including Florida, that are
thinking of curtailing their unemployment programs. “I think that Michigan
should not be to unemployment insurance what Wisconsin has become to collective
bargaining.”
But Republicans and business groups said that cutting benefits was necessary,
because the unemployment trust fund, which was ill-prepared to cope with the
recession, is insolvent. The state owes the federal government $4 billion that
it borrowed to keep its program afloat, and unemployment taxes on businesses
have already been raised, and will need to be raised more, to repay the money.
The Michigan Chamber of Commerce called the new law “a huge win for job
providers,” and said it could save up to $300 million a year.
Mr. Snyder issued a statement after signing the bill trumpeting the fact that it
would preserve the extended benefits this year — and making no mention of the
fact that it would cut state benefits beginning next year. “Snyder Signs Bill to
Protect Unemployed,” was the headline of the news release that his office sent
out. “Now that we have continued this safety net, we must renew our focus on
improving Michigan’s economic climate,” he said in the statement.
Sara Wurfel, a spokeswoman for Mr. Snyder, said in an e-mail that he signed the
bill because 35,000 Michiganders would have lost their extended benefits this
week, and an additional 150,000 would have lost them by year’s end, if the
state’s law had not been altered. She said that about 250,000 people collected
more than 20 weeks of benefits in 2010.
Advocates for the unemployed called it a bad trade. “We have a temporary change
to help some jobless workers that is imposing an indefinite or permanent cost on
future jobless workers,” said Rick McHugh, a staff lawyer for the National
Employment Law Project, which opposed the law. “And that does seem doubly unfair
when the temporary help for current jobless workers is almost totally paid for
by the federal government.”
But business groups saw the state’s need to change its unemployment law as an
opportunity to make the cuts to benefits that they have long sought.
“The business community, the chamber included, were opposed to a one-sided
benefits increase,” said Wendy Block, the Michigan Chamber of Commerce’s
lobbyist responsible for health policy and human resources initiatives, and
unemployment insurance. She said that while the extended benefits were currently
paid for by the federal government, the money comes from a fund that is financed
by federal unemployment taxes on employers. “Employers will ultimately see
higher federal unemployment taxes to pay for this,” Ms. Block said.
More than half the states together owe the federal government more than $46
billion that they borrowed to pay for their unemployment programs during the
downturn. Many states had salted away too little money in their unemployment
trust funds during good times — often because they cut taxes on employers — and
saw their funds depleted by the length and depth of the recession, and the slow
pace at which businesses have begun hiring again. Now some other states are
thinking about reducing unemployment benefits.
In Florida, where the unemployment rate hovers at 11.5 percent, even higher than
Michigan’s current rate of 10.4 percent, lawmakers are zeroing in on a similar
bill. The Florida House also approved a bill this month to reduce the number of
weeks unemployed workers could receive benefits to 20 weeks, from 26, and make
it easier for businesses to deny benefits to applicants. A Senate bill takes a
less stringent approach and does not cut the number of weeks workers can receive
benefits. (It is unclear how the differences will be resolved.) Doing so would
undo a consensus that emerged in the years after World War II that states should
pay up to 26 weeks of unemployment benefits. And it would come as the average
length of unemployment has risen.
Richard A. Hobbie, the executive director of the National Association of State
Workforce Agencies, said “at a time when long-term unemployment is worse than
ever, it doesn’t match up well with the trends in the labor market.”
One of the unemployed Michiganders who was warned that her extended benefits
could run out next week without action was Melissa Barone, 42, who lost her job
with a software company in August 2009, and has been collecting unemployment
since then. She has gone back to school to train to be a nurse.
“Maybe what they need to do is look at giving businesses more incentives,” Ms.
Barone said, “rather than taking from the guy that is unemployed and needs those
funds.”
Lizette Alvarez contributed reporting from Miami.
Michigan Cuts Jobless
Benefit by Six Weeks, NYT, 28.3.2011,
http://www.nytimes.com/2011/03/29/us/politics/29michigan.html
The Burden of Pensions on States
March 10, 2011
The New York Times
By MARY WILLIAMS WALSH
For public workers in Wisconsin, there’s more bad news.
Having lost the battle on collective bargaining, they may soon be asked to make
more financial sacrifices.
The state’s workers offered to start picking up part of the cost of their
pensions and health insurance early in their showdown this year with Gov. Scott
Walker. That change will provide immediate relief for struggling towns, school
districts and state agencies, and help them balance their budgets.
But new pension cost estimates, ordered before Governor Walker was elected, are
coming as soon as next week. They are expected to show that the current
contribution levels to the state pension system are too meager. More money, from
employers and employees in some combination, will be needed, and perhaps much
more in coming years.
Other states will also probably find that Wisconsin’s idea of simply dividing
pension contributions between labor and management is an illusory solution to
their long-term financial woes. That’s because several studies have shown that
promises to workers are far more costly than routinely calculated by Wisconsin
and most states.
And the problem seems unlikely to be solved by putting curbs on the collective
bargaining power of state workers. Despite the arguments of some Republican
governors and popular perception, the places with the most unionized work forces
are not necessarily the ones with the most generous pensions, according to a new
study.
Coming up with bigger contributions to pension funds will require states to make
difficult choices about the size of their work forces, their commitment to
public services and the viability of their employee benefits, which are often
said to be irreversible and protected by state constitutions.
“The amount they have to be contributing could potentially be two to three times
as much as they’re contributing now,” said Joshua Rauh, an associate professor
of finance at Northwestern University, who has been challenging the way most
cities and states measure their pension promises. “If you don’t want to count on
the stock market to pay for all this, this is what you’re going to have to
contribute.”
Mr. Rauh and a number of other analysts say the states’ biggest problem has been
a failure to understand how much benefits will really cost. Instead of the
states’ models, these analysts have come up with alternatives that more closely
approximate those used by insurance companies.
Unlike recalcitrant states like New Jersey and Illinois, Wisconsin has been
setting aside money every year for its fund. It has also been thinking of
lowering its reliance on stocks, to reduce its exposure to bear markets.
The issue is whether it has been setting aside anywhere near enough, given the
magnitude of its promises to workers.
The idea that public pensions may cost more than expected angers many union
officials. They say economists like Mr. Rauh are trying to frighten workers, or
build resentment among taxpayers so that public pension funds will be scrapped
and replaced with something less generous.
“We think there’s an agenda,” said Steve Kreisberg, research director for the
American Federation of State, County and Municipal Employees. “These numbers
have become intensely politicized, and they’re being distorted in a way that
does real harm to real people.”
A spokesman for Wisconsin’s governor said Mr. Walker had not factored any
possible increase in pension contributions into his budget proposal or talks
with the unions. “That was never discussed,” said the spokesman, Cullen Werwie.
An analysis being prepared for the state agency that operates Wisconsin’s
pension system — and which is to be presented to the agency’s board on Wednesday
— is expected to show that it has been relying on too high a figure for
investment gains. If the system’s trustees accept those findings, overall cash
contributions will have to rise.
The actuary preparing the analysis is not tipping his hand, but any increase at
this point is likely to be small. The state estimates that 12 percent of all
public workers’ pay will need to be set aside annually for the pension fund.
Lowering investment expectations sharply, to 7 percent a year from the current
7.8 percent, could push the contribution rate up to perhaps 16 percent, meaning
an additional $2,000 to $3,000 a year apiece for workers nearing retirement.
Based on the 12 percent figure, workers agreed earlier this year to contribute
5.8 percent of their pay to the pension fund, leaving their employers to pay the
remaining 6.2 percent. Workers also agreed to cover a portion of their health
costs. How to pay for health benefits for retirees is still being discussed.
Workers in Wisconsin point out that their payments in retirement are hardly a
king’s ransom. Their average annual benefit is about $26,500, and they believe
they have been wrongly portrayed as greedy chiselers who game the system and
walk away with six-figure pensions.
But it can be a huge burden for states and municipalities to provide even a
modest, $26,000-a-year pension to hundreds of thousands of people, at least in
today’s economic environment, and especially if those people are able to retire
well before 65 and collect that money for many years.
“When interest rates are low, these plans are really expensive to run,” said
Gordon Latter, an actuary at Voyageur Asset Management whose clients include
both corporate and public pension funds.
Despite the furor in Wisconsin, collective bargaining does not appear to be the
main factor driving pension costs higher.
Sylvester J. Schieber, an economist and independent consultant, recently
compared public pensions in each of the 50 states, ranking them from richest to
poorest. Instead of looking at dollar values, like Wisconsin’s $26,500 a year,
Mr. Schieber looked at what part of the average worker’s paycheck his pension
was designed to replace in retirement. The method eliminates regional
disparities and certain other problems with benefit-cost data.
Mr. Kreisberg of the public workers union said he considered the approach fair.
Mr. Schieber said he expected to find that the most generous states were the
ones with collective bargaining for public workers, but he found no correlation
whatsoever. “I was surprised at the result,” he said. “I had expected that the
unions would be a significant force.”
Wisconsin turned out to have the eighth-richest pensions of any state, replacing
on average 57 percent of a worker’s pay in retirement. But the most generous
state by far is Colorado — even though it has granted collective bargaining to
only a fourth of its public work force. In Wisconsin, roughly half are covered,
according to Unionstats.com, a database that uses Census data to track union
membership.
Colorado offers pensions that replace 90 percent of salary, with generous annual
compounding that more than keeps up with the current rate of inflation. (The
state has tried to reduce this compounding; retirees have sued.) Colorado’s
pensions are unusually rich because its public workers are not permitted to
participate in Social Security — the state pension is the only one they get.
The second-richest state is New York, which replaces 77 percent of a worker’s
income, even though New York’s public work force earns Social Security benefits
as well. A New Yorker’s public pension benefit, combined with Social Security,
replaces more than 100 percent of his pay, Mr. Schieber found.
That might appear to be the fruits of collective bargaining, since New York
State grants that right to more of its public work force than any other state.
But the third most generous state is Georgia, replacing 68 percent of a
retiree’s former paycheck on average. And Georgia is a right-to-work state with
one of the lowest rates of collective bargaining in America, just 14 percent of
its public work force.
Nonunion Georgia’s public pensions are, in fact, three times as generous as
those of labor-friendly Vermont, where more than half the public work force has
collective bargaining. Vermont replaces just 20 percent of a retiree’s previous
pay, the lowest of any state.
Mr. Schieber said he was at a loss to explain these findings. He had expected
rich pensions would go hand in hand with collective bargaining.
But his research, to be published in the Journal of Pension Economics and
Finance, does shed light on how a seemingly modest $26,000-a-year pension can be
considered unaffordably rich. One reason is low interest rates; another is that
public employees can often start claiming their pensions in their 50s.
Wisconsin’s pension plan allows people to retire at 57 with a full pension, as
long as they have 30 years of service. Police officers and firefighters can
retire at 53, with 25 years of service.
In the private sector, pensions like that “have just kind of dropped off the
radar screen,” Mr. Schieber said. At the dwindling number of companies that
still grant full pensions below age 65, people seldom take them, for fear of
giving up their health insurance before they qualify for Medicare. Labor
statistics show a marked increase in the number of 60- to 65-year-olds still
working.
Public employees have so far dodged that bullet. They can still generally retire
several years younger, which means their states or municipalities must pay their
benefits over a longer period. That adds up. It also means the money for their
benefits has fewer years to compound, so more must be set aside years in
advance.
“By the time the typical private-sector worker has retired, the teachers, the
highway patrolmen and these folks have already gotten $200,000, $300,000,
$400,000 in pensions,” Mr. Schieber said. “Plus, they’re getting a pretty rich
retiree health benefit. That’s why these benefits are so expensive. ”
The Burden of Pensions
on States, NYT, 10.3.2011,
http://www.nytimes.com/2011/03/11/business/11pension.html
Largest crowds since Vietnam War march in Wisconsin
MADISON, Wisconsin | Sun Feb 27, 2011
12:03am EST
Reuters
By James Kelleher and David Bailey
MADISON, Wisconsin (Reuters) - A crowd estimated at more than
70,000 people on Saturday waved American flags, sang the national anthem and
called for the defeat of a Wisconsin plan to curb public sector unions that has
galvanized opposition from the American labor movement.
In one of the biggest rallies at the state Capitol since the Vietnam War, union
members and their supporters braved frigid temperatures and a light snowfall to
show their displeasure.
The mood was upbeat despite the setback their cause suffered earlier this week
when the state Assembly approved the Republican-backed restrictions on union
collective bargaining rights over fierce Democratic objections.
"I'm deeply honored to be here with you," said Peter Yarrow, a veteran of many
social protests during his 50-year folk music career and a founding member of
the group Peter, Paul and Mary. "If you persist, you will prevail."
What began two weeks ago as a Republican effort in one small U.S. state to
balance the budget has turned into a confrontation with unions that could be the
biggest since then President Ronald Reagan fired striking air traffic
controllers nearly 30 years ago.
Republicans still must push the measure through the state Senate, which has been
unable to muster a quorum for a vote because of a Democratic boycott.
If the plan is approved in Wisconsin, a number of other states where Republicans
swept to victory in the 2010 elections could follow. Already, other legislatures
including Ohio, Indiana, Iowa, Idaho, Tennessee, and Kansas are working on union
curbs.
Unlike previous protests, the rally on Saturday brought out thousands of union
workers not directly affected by the bill, including the state's firefighters,
exempted along with police from the Republican proposal. Dozens of private
sector unions were represented as well at the event.
No "Tea Party" supporters of the proposal championed by Republican Gov. Scott
Walker were spotted on Saturday. They staged a smaller rally of their own in
Madison a week ago.
PARTY ATMOSPHERE
The rally felt more like a party than a protest.
"This is one of the largest sustained protests we have seen in Madison since the
Vietnam War. And to my knowledge there were absolutely no problems," Madison
Police spokesman Joel DeSpain said.
Scott Sumer, a teacher from Rockford, Illinois, just south of the Wisconsin
state line, said he hoped the sustained and broad-based opposition to the
Wisconsin bill would discourage lawmakers in other states from considering
similar measures.
"Other governors are going to see this and think, 'I don't want to go there.'"
Sumer said. "The tenacity of this movement and civility here are impressive."
Demonstrators chanted "Hey hey, ho ho, Scott Walker has got to go," as they
stood directly under the office window of the state's new governor, who
introduced the controversial measure as part of a budget deficit cutting bill
that is moving in the Wisconsin legislature.
The stakes are high for labor because more than a third of U.S. public employees
such as teachers, police and civil service workers belong to unions while only
6.9 percent of private sector workers are unionized. Unions are the biggest
single source of funding for the Democratic party.
Some of the demonstrators carried signs, others pushed baby carriages, and
others walked with their dogs by their sides.
The overwhelming anti-Walker sentiment of the demonstration was telegraphed in
many ways, including a sign that read: "Scott Walker for President ... of
Libya."
U.S. labor groups also staged rallies across the country to show solidarity with
Wisconsin in fighting the proposal they see as trying to break the union
movement.
BETTER WEATHER
Wearing thick outerwear and her 10-month-old son strapped to her belly, Tamarine
Cornelius, 36, carried a sign that read "If Wisconsin is gonna become
Mississippi than I am gonna want better weather."
"I understand that there are tough times ahead, things are going to be difficult
no matter what. I think most people understand that," said Cornelius, who works
for the non-profit Wisconsin Council on Children and Families.
People in the state capital of Madison, which is home to unionized state
government agencies and the University of Wisconsin, are overwhelmingly opposed
to the governor's plan. But Republicans said they believe there is a silent
majority who voted Walker into office, and support the efforts.
Republicans appeared defiant in the face of the union protests. In Phoenix,
potential Republican presidential candidate Tim Pawlenty, a former governor of
Minnesota, a neighbor of Wisconsin, drew applause from "Tea Party" activists
when he blasted President Barack Obama for supporting the Wisconsin unions.
"It says in the Constitution: 'In order to form a more perfect Union.' ... Mr.
President, that does not mean coddling out of control public employee unions,"
he told some 2,000 partisans gathered for a conference.
The Wisconsin changes sought by Walker would make state workers contribute more
to health insurance and pensions, end government collection of union dues, let
workers opt out of unions and require unions to hold recertification votes every
year. Collective bargaining would be allowed only on wage increases up to the
rate of inflation.
(Reporting by James Kelleher, David Bailey and Stefanie Carano in Madison;
Additional reporting by Tim Gaynor in Phoenix; Editing by Greg McCune)
Largest crowds since
Vietnam War march in Wisconsin, R, 27.2.2011,
http://www.reuters.com/article/2011/02/27/us-wisconsin-protests-idUSTRE71O4F420110227
Thousands March on Capitols as Union Turmoil Spreads
Published: February 22, 2011
The New York Times
By SABRINA TAVERNISE and A. G. SULZBERGER
COLUMBUS, Ohio — First Wisconsin. Now Ohio and Indiana.
Battles with public employees’ unions spread on Tuesday, with
Republican-dominated Legislatures pressing bills that would weaken collective
bargaining and thousands of pro-union protesters marching on Capitol buildings
in Columbus and Indianapolis.
After a week of upheaval in Madison, Wis., where the thumping din of protesters
has turned almost celebratory, the battle moved to Ohio, where the Legislature
held hearings on a bill that would effectively end collective bargaining for
state workers and drastically reduce it for local government employees like
police officers and firefighters.
Several thousand pro-union protesters filled a main hall of the state courthouse
in Columbus and gathered in a large crowd outside, chanting “Kill the bill,”
waving signs and playing drums and bagpipes. There were no official estimates,
but the numbers appeared to be smaller than those in Madison last week. One
Democratic state legislator put the figure at 15,000.
In Indiana, nearly all of the Democratic members of the state’s House of
Representatives stayed away from a legislative session on Tuesday in an effort
to stymie a bill that they say would weaken collective bargaining. By late
Tuesday, they seemed to have succeeded in running down a clock on the bill,
which was to expire at midnight. Representative Brian Bosma, the speaker of the
Indiana House, said the bill would die when the deadline passed.
Fleeing was not an option for Ohio Democrats because the Republicans had enough
members on their side for a quorum. Republicans have a 23-to-10 majority in the
Ohio Senate, and the bill needs 17 votes to pass. It was not clear when it would
be voted on.
The bills have amounted to the largest assault on collective bargaining in
recent memory, labor experts said, striking at the heart of an American labor
movement that is already atrophied.
“I think we are looking at the future of the labor movement being defined in
rotundas in several states,” said Harley Shaiken, a professor at University of
California, Berkeley, specializing in labor issues. “This is a structural change
with profound repercussions.”
The Ohio bill was introduced this month by a Republican senator, Shannon Jones,
who said it was intended to give state and local governments more control over
their finances in hard economic times. But opponents say the bill is about
politics, calling it a direct attack on the unions, which have long been
reliable Democratic supporters.
“They’re using a fiscal challenge as an excuse to consolidate political power,”
said former Gov. Ted Strickland, a Democrat, who was in the crowd of protesters
in Columbus.
Rob Nichols, a spokesman for Gov. John R. Kasich, a Republican, strongly denied
that characterization.
“This is nothing more than an effort to reduce the cost of governance so we can
start to create jobs,” he said by telephone. “This is an effort to save the
state, no agendas.”
Ohio is facing an $8 billion budget deficit, about 15 percent of its two-year
budget, far less than states like California, Illinois and New Jersey, but still
significant, and Mr. Kasich says drastic steps are required to plug the gap.
“The state is at a point of no return,” said Chris Kershner, a Dayton Area
Chamber of Commerce vice president, who testified last week before the Senate
committee overseeing the bill. “Change must happen now if Ohio emerges solvent
from the current fiscal situation.”
Some in the Columbus crowd compared themselves to protesters in Egypt: a growing
movement of people who will not take it anymore. But labor experts and political
analysts were skeptical.
Unionized workers represented just 6.9 percent of all workers in the private
sector in 2010, according to the Bureau of Labor Statistics down from about 36
percent in 1955. The number of unionized workers in the public sector has held
steady at about 35 percent since the late ’70s.
“Seven percent in the United States makes them a very rare breed,” said Richard
Freeman, an economist at Harvard. “I don’t think there’s a high probability that
this will be an explosive event where the average American says, ‘Wait, this is
what’s left of the middle class — what are you doing?’ ”
In Wisconsin, Senate Democrats remained in hiding across the state line,
depriving the chamber the quorum needed to take up the budget repair bill, which
includes provisions they view as an attack on public sector unions.
Meanwhile, Gov. Scott Walker, who introduced the legislation, warned that if the
bill was not passed, layoff notices could be sent to state workers as early as
next week.
Seeking to increase pressure on Mr. Walker to compromise, the South Central
Wisconsin Federation of Labor announced on Tuesday that it had endorsed a rare
labor action — a general strike that would begin if he signed the bill that
would curb collective bargaining rights.
The federation, which represents 45,000 unionized workers in the Madison area,
said it was not a formal call for a general strike, but the first step toward
preparing for an eventual strike. .
The Ohio bill, if passed, would do away with the legal protections passed in
1983 governing collective bargaining for state workers, including prohibitions
on hiring alternate workers during a strike. Bargaining power would be weakened
for local workers, doing away with binding arbitration, an option favored by
police officers and firefighters, who are not allowed to strike.
It would also slice into public-worker benefits by taking health insurance off
the bargaining table and requiring government workers to pay at least 20 percent
of the cost. It would strip automatic pay increases and mandatory sick days for
teachers.
The bill could have political repercussions for Ohio Republicans, who draw some
of their votes from union members. Jeremy Mendenhall, president of the Ohio
Troopers Association, who is an active duty sergeant and a registered
Republican, said he was angry with his party for pushing it.
“People won’t forget this in 2012,” he said.
But Republicans could also gain, said Gene Beaupre, a political science
professor at Xavier University in Cincinnati. Taking a cost-cutting position
against unions is part of the mantra for far-right groups like the Tea Party,
and not necessarily unpopular.
“There is a strong sentiment against pension benefits and all that has accrued
over the years as a result of organized public labor,” Mr. Beaupre said.
For the working class in Ohio, government jobs are highly desirable, with the
median salary about 20 percent more than in the private sector, according to
2009 data from the Census Bureau. This is partly because employees tend to be
more skilled: more than half of state and local workers have college degrees,
far more than in the private sector. But among college graduates, public workers
make less than those in the private sector.
Public employees say they have sacrificed. The Ohio Civil Service Employees
Association said they had taken five pay cuts in nine years with a savings to
the most recent budget of about $250 million.
Monty Blanton, 50, who worked for 31 years as a food service worker and an
electrician in a state facility for mentally retarded people, made a gross
salary of $44,000 before retirement. His pension, he said, stands at $19,500,
barely enough to live on.
“We’re barely making a living wage,” he said. “I don’t think they understand how
hard it is in southeastern Ohio.”
Sabrina Tavernise reported from Columbus, and A. G. Sulzberger from Madison,
Wis. Reporting was contributed by Bob Driehaus from Cincinnati, Steven
Greenhouse from Madison and Robert Gebeloff, Sarah Wheaton and Timothy Williams
from New York.
Thousands March on
Capitols as Union Turmoil Spreads, NYT, 22.2.2011,
http://www.nytimes.com/2011/02/23/us/23ohio.html
Court Weighs the Power of Congress
February
22, 2011
The New York Times
By ADAM LIPTAK
WASHINGTON
— The Supreme Court heard arguments on Tuesday in a case that touched on the
most pressing constitutional question of the day: just how much power does
Congress have to regulate matters ordinarily left up to the states? The fate of
President Obama’s health care law will turn on how that question is answered.
But based on the justices’ comments, the lurid facts of the case and the odd
posture in which it reached the court, the eventual decision will probably offer
only limited guidance on the health care law’s prospects.
The case heard Tuesday, Bond v. United States, No. 09-1227, arose from a
domestic dispute. Carol A. Bond, a Pennsylvania woman, did not take it well when
she learned that her husband was the father of her best friend’s child. She
promised to make her former friend’s life “a living hell,” and she drew on her
skills as a microbiologist to do so.
Ms. Bond spread harmful chemicals on her friend’s car, mailbox and doorknob. The
friend suffered only a minor injury.
Such matters are usually handled by the local police and prosecutors. In Ms.
Bond’s case, though, federal prosecutors charged her with using unconventional
weapons in violation of the Chemical Weapons Convention of 1993, a treaty
concerned with terrorists and rogue states.
At the argument, Justice Samuel A. Alito Jr. suggested that Congress had gone
too far. Suppose, he said, that Ms. Bond had “decided to retaliate against her
former friend by pouring a bottle of vinegar in the friend’s goldfish bowl.”
“As I read this statute, Justice Alito said, “that would be a violation of this
statute, potentially punishable by life imprisonment.”
Ms. Bond’s lawyer, Paul D. Clement, said that a chemical used by his client was
not much more exotic than vinegar. “There is something sort of odd about the
government’s theory that says that I can buy a chemical weapon at Amazon.com,”
he said.
In her appeal to the federal appeals court in Philadelphia, Ms. Bond argued that
Congress did not have the constitutional power to use a chemical weapons treaty
to address a matter of a sort routinely handled by state authorities. She cited
the 10th Amendment, which says that “the powers not delegated to the United
States by the Constitution, nor prohibited by it to the states, are reserved to
the states respectively, or to the people.”
The appeals court ruled that Ms. Bond did not have standing to raise a 10th
Amendment defense. Only states, it said, can invoke the amendment.
Federal prosecutors initially embraced that line of argument, but the Justice
Department abandoned it in the Supreme Court, now saying that Ms. Bond was free
to try to mount a defense based on the amendment.
Since Ms. Bond and her nominal adversary agreed on the central issue in the
case, the court appointed a lawyer, Stephen R. McAllister, to argue for the
position the government had disowned.
The outcome of the case on the standing point did not seem in much doubt on
Tuesday.
Chief Justice John G. Roberts Jr., for instance, said it would be “pretty harsh”
to forbid Ms. Bond from challenging her conviction on the ground that the law
under which she was convicted exceeded Congressional authority.
But the justices struggled with two other distinctions. One was how to
disentangle claims that Congress had exceeded its enumerated powers in Article I
of the Constitution from ones based on the 10th Amendment. The other was whether
there were at least some 10th Amendment claims that could be pressed only by
states.
Justice Elena Kagan suggested that the case could be decided simply on the
ground that Congress had exceeded the powers listed in Article I of the
Constitution.
“Are there any peculiarly 10th Amendment claims that you’re making?” she asked
Mr. Clement. He replied that Ms. Bond relied “principally” on the argument that
Congress had exceeded its powers but that it was possible the 10th Amendment
played a role as well.
Justice Anthony M. Kennedy added that individuals had a role to play in cases
that at first blush seem to implicate only a clash between federal and state
sovereignty.
“Your underlying premise,” Justice Kennedy told Mr. McAllister, “is that the
individual has no interest in whether or not the state has surrendered its
powers to the federal government, and I just don’t think the Constitution was
framed on that theory.”
Court Weighs the Power of Congress, NYT, 22.2.2011,
http://www.nytimes.com/2011/02/23/us/politics/23scotus.html
Wisconsin Leads Way as Workers Fight State Cuts
February 18, 2011
The New York Times
By MICHAEL COOPER and KATHARINE Q. SEELYE
The unrest in Wisconsin this week over Gov. Scott Walker’s plan to cut the
bargaining rights and benefits of public workers is spreading to other states.
Already, protests erupted in Ohio this week, where another newly elected
Republican governor, John Kasich, has been seeking to take away collective
bargaining rights from unions.
In Tennessee, a law that would abolish collective bargaining rights for teachers
passed a State Senate committee this week despite teachers’ objections. Indiana
is weighing proposals to weaken unions. Union members in Pennsylvania, who are
not necessarily facing an attack on their bargaining rights, said Friday that
they planned to wear red next week to show solidarity with the workers in
Wisconsin.
In many states, Republicans who came to power in the November elections, often
by defeating union-backed Democrats, are taking aim not only at union wages, but
at union power as they face budget gaps in the years ahead.
The images from Wisconsin — with its protests, shutdown of some public services
and missing Democratic senators, who fled the state to block a vote — evoked the
Middle East more than the Midwest.
The parallels raise the inevitable question: Is Wisconsin the Tunisia of
collective bargaining rights?
Governor Walker, in an interview, said he hoped that by “pushing the envelope”
and setting an aggressive example, Wisconsin might inspire more states to curb
the power of unions. “In that regard, I hope I’m inspiration just as much as
others are an inspiration to me,” he said.
FreedomWorks, a Washington group that helped cultivate the Tea Party movement,
said it was trying to use its lists of activists to turn out supporters for a
variety of bills aimed at cutting the power of unions — not just in Wisconsin,
but in Tennessee, Indiana and Ohio as well.
And officials seeking to curtail labor’s power in other states said that by
focusing attention on public-sector unions, the tense standoff in Wisconsin
could give them momentum.
“We think that what’s going on in Wisconsin actually helps us here in Ohio,”
said Rob Nichols, a spokesman for Governor Kasich, who is supporting a bill that
would limit collective bargaining rights.
But Wisconsin is also proving to be a catalyst for Democrats and labor leaders,
as they take heart from the way thousands of workers have rallied to the cause.
With the falling popularity of unions in recent years, some union leaders see
the attempt to take away bargaining powers as an effort that could shift the
question from whether public-sector workers are overpaid to whether they should
have the right to negotiate contracts at all.
To that end, unions and Democrats are preparing their own post-Wisconsin
campaigns in a number of states against what President Obama called “an assault
on unions” in a television interview this week.
As Gerald W. McEntee, the president of the American Federation of State, County
and Municipal Employees, the main union of state employees, put it: “Workers’
rights — including the fundamental right to organize and bargain for better pay,
benefits and working conditions — are under attack in states from Maine to Ohio,
from Wisconsin to Florida.”
Governor Walker’s plan would limit collective bargaining for most state and
local government employees to wages, barring them from negotiating on issues
like benefits and work conditions. It would also require workers to contribute
more to their pension and health care plans, cap wage increases based on the
Consumer Price Index and limit contracts to one year. And it would take on the
power of unions by requiring them to take annual votes to maintain
certification, and by permitting workers to stop paying union dues. Police and
fire unions, which have some of the most expensive benefits but who supported
Mr. Walker’s campaign for governor, are exempted.
“If they succeed in Wisconsin, the birthplace of A.F.S.C.M.E., they will be
emboldened to attack workers’ rights in every state,” Mr. McEntee said. “Instead
of trying to work with public employees at the bargaining table, they’ve decided
to throw away the table.”
On paper, Wisconsin might seem an unlikely candidate for an assault on unions.
Like many other states, it has grappled with large spending gaps during the
economic downturn, but its projected deficits for the next two years are nowhere
near the worst in the country — more like in the middle of the pack.
Its 7.5 percent unemployment rate is below the national average. Its pension
fund is considered one of the healthiest in the nation, and it is not suffering
from the huge shortfalls that other states are facing.
Those facts have groups on both sides thinking if it can happen there, it can
anywhere.
In Columbus, Ohio, Tea Party organizers said they had 300 to 500 people turn out
on Thursday for a counterdemonstration against several thousand union members.
“We weren’t well-versed in everything about the bill and why they’re doing what
they’re doing except that we’re broke as a state,” said Adriana Inman, an
organizer with the Fairfield Tea Party in Southwest Ohio, who attended the
rally. She said that her group had many union members.
Some union members who are trying to preserve their rights have been cheered by
what they have seen in Wisconsin.
Joe Rugola, executive director of the Ohio Association of Public School
Employees and an international vice president of A.F.S.C.M.E., said that 4,000
protesters gathered at the Columbus Statehouse on Thursday to preserve union
rights. “Yesterday at the Statehouse, everyone was talking about the images they
had seen in Wisconsin, and it gave them great heart and made folks determined to
equal that effort.”
Tennessee, a right-to-work state, where workers cannot be required to join a
union, is likely to become a staging ground for a collective bargaining battle.
State Senator Jack Johnson, a Republican who sponsored a measure to curtail
collective bargaining rights for teachers, said he expected the bill to become
law. “Collective bargaining between teachers and the school boards has been an
absolute dismal failure,” he said.
In Indiana, Gov. Mitch Daniels, a Republican who is considered a possible
presidential candidate in 2012, issued an executive order on his first day as
governor in 2005 that ended collective bargaining for state employees. Now he is
supporting a measure to limit negotiations by teachers to wages and benefits.
Some state lawmakers have called for steps that would go further, but Mr.
Daniels has said that he does not think their legislation should be passed this
year because it has not been publicly vetted.
Not all new Republican governors plan to take aim at collective bargaining
rights.
In Pennsylvania, which faces a $4 billion deficit, a spokesman for Gov. Tom
Corbett, the state’s new Republican governor, said the governor wanted to shrink
the government while being mindful of a 40-year-old law giving state employees
the right to organize.
“We’ll begin negotiations with the public-sector unions and anticipate we’ll
conduct those in good faith,” said Kevin Harley, a spokesman for Governor
Corbett.
Michael Luo and Kate Zernike contributed reporting from New York, and Monica
Davey from Wisconsin.
Wisconsin Leads Way as
Workers Fight State Cuts, NYT, 18.2.2011,
http://www.nytimes.com/2011/02/19/us/politics/19states.html
A Watershed Moment for Public-Sector Unions
February 18, 2011
The New York Times
By STEVEN GREENHOUSE
In the half century since Wisconsin became the first state to give its public
workers the right to bargain collectively, government employee unions have
mushroomed in size and power — so much so that they now account for more than
half of the nation’s union members.
But the legislative push by Wisconsin’s new governor, Scott Walker, a
Republican, to slash the collective bargaining rights of his state’s public
employees could prove a watershed for public-sector unions, perhaps signaling
the beginning of a decline in their power — both at the bargaining table and in
politics.
Three-fourths of the states allow collective bargaining by some or all of state
or local government employees. And labor’s friends and foes alike agree that if
the Wisconsin legislation passes, it will create momentum for similar bills in
Ohio, Indiana and other states.
“These kinds of high-profile public-employee battles have enormous stakes,” said
Benjamin Sachs, a professor of labor law at Harvard. “We’re still feeling the
consequences of President Reagan confronting the union in the air controllers’
strike. For anyone interested in union rights, the fight in Wisconsin couldn’t
be more important.”
From Florida to California, many political leaders are seeking to cut the wages
and benefits of public-sector workers to help balance strained budgets.
But Mr. Walker is going far beyond that, seeking to definitively curb the power
of government unions in his state. He sees public-employee unions as a bane to
the taxpayer because they demand — and often win — generous health and pension
plans that help push up taxes and drive budget deficits higher.
To end that cycle, he wants to restrict the unions to bargaining over just one
topic, base wages, while eliminating their ability to deal over health care,
working hours and vacations. Moreover, he wants to require unions to win an
employee election every year to continue representing workers.
By flooding the State Capitol in Madison with more than 10,000 protesters, labor
unions are doing their utmost to block Mr. Walker’s plans. They helped persuade
Democratic state senators to slip out of the building this week to deny
Republicans the quorum they needed to pass the legislation.
Democrats say the governor’s “budget repair bill” — strongly supported by the
Republicans who control both legislative houses — is political payback, intended
to cripple public-sector unions, which spent more than $200 million to back
Democrats across the country in November’s elections.
Mr. Walker denies any such notion, saying he simply wants to curb union
bargaining rights and bring public workers’ wages and benefits in line with the
private sector. “It’s not about the unions,” he said this week. “It’s about
balancing the budget.”
Christopher Policano, a spokesman for the American Federation of State, County
and Municipal Employees, said his union was willing to negotiate concessions
with Mr. Walker, “but he wants to throw out the bargaining table.”
Mr. Walker has repeatedly argued that most Wisconsin residents back his
legislation. After visiting a factory this week, he said that private-sector
workers often complain that public employees receive more generous health and
pension benefits than they do.
There is no question that public-sector unions and the thousands of contracts
they have negotiated over the years have improved wages and pensions of
government workers and made government service more attractive. But union
leaders are quick to point to studies showing that overall compensation for
government employees is slightly lower than for private-sector employees of
comparable age and education.
Also embedded in the Wisconsin debate — and reaching well beyond that state — is
a more fundamental dispute over the role, even the legitimacy, of public-sector
unions. Like Mr. Walker, Ohio’s new governor, John Kasich, and Indiana’s
second-term governor, Mitch Daniels, both Republicans, see public-sector
bargaining as something to be banned or severely restricted because of its
effect on taxpayers and government budgets.
Some Republicans quote President Franklin D. Roosevelt, a Democrat, who bridled
at public-sector unionism and once said, “The process of collective bargaining,
as usually understood, cannot be transplanted in the public service.”
Republicans say the Democrats have embraced the government employees’ cause
because weaker unions would reduce crucial political support for Democratic
candidates. Republicans have often denounced what they say is a squalid deal in
which public-sector unions spend generously to elect allies to office and then
those allies lavish generous wages and benefits on union members.
Ever since Wisconsin gave its government employees the right to bargain in 1959,
it has generally been Democrats who have extended that right in other states. In
1962, President John F. Kennedy gave most federal employees the right to
unionize and bargain collectively.
The national importance of the Wisconsin fight is clear. President Obama weighed
in on labor’s behalf on Wednesday, calling Mr. Walker’s proposals “an assault on
unions.” And the House speaker, John A. Boehner, Republican of Ohio, praised Mr.
Walker for “confronting problems that have been neglected for years at the
expense of jobs and economic growth.”
Citing an anticipated budget deficit of $137 million this year and a $3.6
billion shortfall over the next two years, Mr. Walker argues that his measures
to curb union power and bargaining are essential to help balance the budget.
Union leaders say that several of Mr. Walker’s proposals — including the one
that would require elections each year to determine whether a majority of public
employees want to keep their union — are really intended to cripple unions, not
balance the budget.
Other governors, Democrat and Republican, are also grappling with budget
deficits. But many of those governors, like Jerry Brown of California and Andrew
M. Cuomo in New York, both Democrats, and Rick Snyder of Michigan, a Republican,
are not trying to strip bargaining rights. They are instead using public
pressure and the threat of layoffs to persuade public-sector unions to make
far-reaching concessions.
“Wisconsin has become ground zero for the process of pushing back against
unions,” said Steve Meyer, a professor of labor history at the University of
Wisconsin-Milwaukee. “People are waiting to see what happens here. That’s why
the labor movement has become so deeply involved trying to stop this process.”
As happens so often in today’s increasingly partisan politics, the battle
reflects how differently Republicans and Democrats view a particular subject —
in this case, unions and their power. Many Republicans see public-sector unions
as greedy, powerful special interests that are taking too many taxpayer dollars.
Many Democrats see them as natural allies and a vital part of a labor movement
that has helped build the nation’s middle class.
The furious demonstrators in Madison have shown that public-sector unions still
wield real power. But if the Legislature enacts Mr. Walker’s bill, a tipping
point might well be reached, with the power of public-sector unions tilting into
decline.
A Watershed Moment for
Public-Sector Unions, NYT, 18.2.2011,
http://www.nytimes.com/2011/02/19/us/19union.html
Angry Demonstrations in Wisconsin as Cuts Loom
February 16, 2011
The New York Times
By MONICA DAVEY and STEVEN GREENHOUSE
MADISON, Wis. — As four game wardens awkwardly stood guard, protesters,
scores deep, crushed into a corridor leading to the governor’s office here on
Wednesday, their screams echoing through the Capitol: “Come out, come out,
wherever you are!”
Behind closed doors, Scott Walker, the Republican who has been governor for
about six weeks, calmly described his intent to forge ahead with the plans that
had set off the uprising: He wants to require public workers to pay more for
their health insurance and pensions, effectively cutting the take-home pay of
many by around 7 percent.
He also wants to weaken most public-sector unions by sharply curtailing their
collective bargaining rights, limiting talks to the subject of basic wages.
Mr. Walker said he had no other options, since he is facing a deficit of $137
million in the current state budget and the prospect of a $3.6 billion hole in
the coming two-year budget.
“For us, it’s simple,” said Mr. Walker, whose family home was surrounded by
angry workers this week, prompting the police to close the street. “We’re
broke.”
For months, state and local officials around the country have tackled their
budget problems by finding trims here and there, apologetically resorting to
layoffs, and searching for accounting moves to limp through one more year.
Events in Wisconsin this week, though, are a sign of something new: No more
apologies, no half-measures. Given the dire straits of budgets around the
country, other state leaders may take similarly drastic steps with state
workers, pensions and unions.
“I’m sure we’re going to hear more from other states where Republican governors
are trying to heap the entire burden of the financial crisis on public employees
and public employees’ unions,” said William B. Gould IV, a labor law professor
at Stanford University and a former chairman of the National Labor Relations
Board.
“I think it’s quite possible that if they’re successful in doing this, a lot of
other Republican governors will emulate this,” Mr. Gould added.
Here, in a state with a long history of powerful unions, Mr. Walker’s plan was
upending life in the capital city.
Madison schools were closed on Wednesday after many employees called in sick to
help lobby. Thousands of teachers, state workers and students filled a square
around the Capitol, chanting “kill the bill” and waving signs (some likening Mr.
Walker to a dictator and demanding his recall).
And a hearing on the issue that had started at 10 a.m. Tuesday ran through the
night and into Wednesday afternoon, as protesters with sleeping bags camped out
near the Capitol’s rotunda and bleary-eyed lawmakers gulped coffee from paper
cups.
Protesters shared stories of their families’ deep history in unions, people
struggling to pay their mortgages, workers considering moving away, switching
careers, retiring.
Kim Hoffman, a middle school music teacher, said she and her husband, also a
teacher, would lose $1,200 a month under the plan — too deep a cut to manage.
“I love teaching, but I’d have to start looking for another job, period,” she
said.
While union leaders here set up makeshift offices in the Capitol, distributing
fliers and planning vigils and “teach-outs,” national officials from more than a
dozen unions pledged millions of dollars, as well as phone banks and volunteers,
to block such efforts in Wisconsin and elsewhere.
“We view the events in Wisconsin as one of the worst attacks on workers’ rights
and their voices in the workplace that we’ve ever seen,” said Kim Anderson,
director of government relations for the National Education Association in
Washington, where 150 people were calling teachers and union supporters in
Wisconsin, urging them to demonstrate or call lawmakers.
Kevin Gibbons, a leader of a union here representing teaching assistants at the
University of Wisconsin, said, “I think Governor Walker is using this financial
crisis as an excuse to attack unions, and if Wisconsin goes, what will be next?”
Already, tensions were rising in other states, particularly in places where
Republican victories in November have altered the political landscape.
Earlier this week, in Ohio, workers protested outside the Statehouse in Columbus
to protest a bill that would limit collective bargaining for state employees
there. In Indianapolis, teachers rallied against a bill that would limit
contract bargaining for teachers’ unions. In Tennessee, a legislative committee
was considering a similar bill.
For his part, Mr. Walker said he did not believe that most Wisconsin residents
had a problem with his proposals. In a tour on Tuesday around the state — to
private companies — Mr. Walker said he spoke with plenty of private employees
who told of paying far more for their retirement plans and health care than
state workers.
Mr. Walker would require state employees to contribute 5.8 percent of their pay
to their pensions, where most now pay far less, and require state employees to
pay at least 12.6 percent of health care premiums (most pay about 6 percent
now). The average salary for a Wisconsin state worker is $48,348, according to a
recent report by the liberal-leaning Economic Policy Institute in Washington.
Some national polls, too, have suggested that many people would back cuts to
pensions and benefits of government workers.
“To the average citizen — to middle class, working class families — they’re
paying a whole lot more right now,” Mr. Walker said. As recently as Wednesday
morning, Mr. Walker spoke with Gov. John Kasich of Ohio — to “commiserate” a
bit, he said.
“Obviously there is a lot of protest out there, but in the end, it’s the right
thing to do,” Mr. Walker said, adding, “We didn’t get elected to worry about the
politics.”
Lawmakers here were expected to vote on the issue by week’s end. Into the
evening on Wednesday, there was talk that lawmakers might amend the plan,
perhaps to restore some union bargaining rights.
But many predicted that the outlines of Mr. Walker’s proposal might survive
votes in the Assembly and Senate, both of which are controlled by Republicans.
Still, some lawmakers here appeared rattled by the crowds cramming the building.
Scott Fitzgerald, the Republican leader in the State Senate, slipped out of the
Capitol Wednesday morning with his sunglasses on, head down. Protesters had gone
to his home earlier in the week, forcing his family (including his wife, a
school guidance counselor) to go elsewhere for a bit.
Monica Davey reported from Madison, and Steven Greenhouse from New York.
Angry Demonstrations in
Wisconsin as Cuts Loom, NYT, 16.2.2011,
http://www.nytimes.com/2011/02/17/us/17wisconsin.html
Florida’s Scott Rejects Tampa-Orlando High-Speed Rail Line
February 16, 2011
The New York Times
By TIMOTHY WILLIAMS
Gov. Rick Scott of Florida on Wednesday rejected plans for a high speed rail
line between Tampa and Orlando, in the process turning down $2 billion in
federal funds and a key piece of President Obama’s goal of building a national
high-speed rail network.
Florida is the third state with a newly elected Republican governor to turn down
a portion of the administration’s high-speed rail project, joining John Kasich
of Ohio and Scott Walker of Wisconsin. The Republican majority in the House of
Representatives has also questioned the White House’s rail strategy.
The Obama administration has called for spending $53 billion on passenger trains
and high-speed rail projects over the next six years as part of the president’s
goal of making high-speed rail accessible to 80 percent of Americans within 25
years.
But critics said the need to link Tampa and Orlando — separated by 84 miles —
paled in comparison with the necessity of high-speed rail along the busy
Northeast corridor between Washington and Boston.
In a statement Wednesday, Mr. Scott said cost overruns related to the project
could leave Florida taxpayers with an additional $3 billion tab. He also said he
believed the federal government’s ridership and revenue estimates were too
optimistic, and state taxpayers would be left to pay for ongoing subsidies.
Mr. Scott also said that if Florida started to build the project and then
determined it was too costly to continue, the state would have to return $2.4
billion to the federal government.
“The truth is that this project would be far too costly to taxpayers, and I
believe the risk far outweighs the benefits,” he said.
Florida’s Scott Rejects
Tampa-Orlando High-Speed Rail Line, NYT, 16.2.2011,
http://www.nytimes.com/2011/02/17/us/17rail.html
Relief
for States and Businesses
February 9,
2011
The New York Times
So many
people now receive jobless benefits that 30 states have run out of their
unemployment trust funds and are borrowing $42 billion from the federal
government. Three of the hardest-hit states — Michigan, Indiana and South
Carolina — have borrowed so much that they triggered automatic unemployment tax
increases on employers, and the same thing is likely to happen to 20 more states
this year.
The crisis could prove to be a point of friction between Republican governors
and members of Congress. On Tuesday, the Obama administration unveiled a smart
proposal to delay those tax increases and provide some relief to both employers
and state governments. Congressional Republicans reflexively objected to the
idea, which could produce higher taxes in three years, but this plan provides
relief that might stimulate hiring now when it is most needed. Republican
governors in desperate states like Michigan and Indiana are likely to find that
more attractive than party members in Washington do.
Under the plan, which is subject to Congressional approval, there would be a
two-year moratorium on the increased taxes that employers would otherwise have
to pay to support the unemployment insurance system, which could save businesses
as much as $7 billion. During those same two years, states would be forgiven
from paying the $1.3 billion in interest they owe Washington on the money they
have borrowed. The stimulus bill provided a grace period, but it expired last
year.
In 2014, when the economy will presumably have recovered somewhat, employers
will have to make up for the moratorium by paying higher unemployment taxes to
the states. Specifically, they will have to pay taxes on the first $15,000 of an
employee’s income, instead of the current $7,000. But, even then, unemployment
taxes will be at the same level, adjusted for inflation, as they were in 1983,
when President Ronald Reagan raised them.
The administration is proposing to cut the federal unemployment tax rate in 2014
so that employers would pay the same amount to Washington as they do now.
States, if they choose to do so, could collect more from each employer to repay
the federal government and restock their own unemployment trust funds.
Republicans immediately derided the proposal as an irresponsible tax increase.
On his blog, Representative Eric Cantor, the House majority leader, criticized
the higher taxes in 2014, but he did not mention the two-year moratorium on the
automatic tax increases in 20 vulnerable states.
The proposal is not a bailout for the states or employers but rather a
recognition that the automatic tax increases built into the benefits system
could put a brake on hiring — and in precisely the states where employers need
the most incentive to bring people back to work.
Over the next decade, as more people return to work and the states repay their
debt more quickly, the proposal is expected to bring more dollars back to the
federal government than the temporary moratorium will cost, so the long-term
effect on the deficit should be positive. The full details of the plan’s costs
and benefits will be available when President Obama submits his 2012 budget to
Congress next week. When he does, both parties should take a close look at the
numbers and seize the opportunity to keep this fundamental safety net solvent.
Relief for States and Businesses, NYT, 9.2.2011,
http://www.nytimes.com/2011/02/10/opinion/10thu1.html
Texas Governor Offers Optimism on Budget Shortfall
February 8, 2011
The New York Times
By JAMES C. McKINLEY Jr.
AUSTIN, Tex. — Gov. Rick Perry of Texas cannot be faulted for lack of
optimism. Facing a two-year budget gap of at least $15 billion, Mr. Perry struck
a defiant stance in his annual address to the Legislature, calling the state
economy “the envy of the nation” and promising the budget would be balanced
through spending cuts alone.
“Now the mainstream media and big-government interest groups are doing their
best to convince us that we’re facing a budget Armageddon,” he said. “Texans
don’t believe it, and they shouldn’t, because it’s not true. Are we facing tough
choices? Of course, but we can overcome them by setting priorities.”
To be sure, Texas fared better than many other states during the recent
recession, but sales tax revenues were badly hurt as people curbed spending. The
depth of the state’s revenue shortfall was also hidden because it employs a
two-year budget cycle and had used billions in federal stimulus money to avoid
cutbacks in 2010. Now the state finds itself in a budget crunch not unlike those
in New York, California, New Jersey and Illinois.
Even if one does not account for the natural growth in school enrollment and
Medicaid rolls, the state would need at least $15 billion of new revenues over
the next two years just to keep spending flat.
To continue services at current levels and accommodate growth in the population,
however, lawmakers in Austin would have to come up with $27 billion in new
revenues.
Republicans, who control every statewide office as well as both houses of the
Legislature, are beginning to confront what it means to close the budget gap
solely with cutbacks. About 10,000 state employees are in danger of getting pink
slips. House and Senate leaders have said they plan to cut aid to schools by $10
billion, a move that would force the layoffs of thousands of teachers and
increase class sizes. Lawmakers are also contemplating slicing Medicaid payments
to doctors and other providers by 10 percent.
At Statehouse hearings in recent days, advocates for schools, the poor, the
disabled and the elderly laid out in detail how Texans would be hurt by
cutbacks. They forecast a near future in which nursing homes and rural health
clinics would have to close, schools would be consolidated and nursery schools
shuttered.
But Mr. Perry, who has worked to raise his national profile as a fiscal
conservative, vowed again in his speech not to raise taxes. He also said he
would not tap into the state’s reserve fund of about $9.4 billion, fed with oil
excise taxes, saying it would be irresponsible to use emergency funds on
salaries and other recurring expenses.
Instead, the governor proposed consolidating several state agencies, like the
Department of Agriculture and the Department of Rural Affairs. He also proposed
temporarily doing away with others, among them the Historical Commission and the
Commission on the Arts. It was time, he said, to reinvent the government.
“If ever there was a time to truly reform our approach to governance and
streamline our organization, it is now,” he said.
Democrats said Mr. Perry and Republican legislative leaders, who have big
majorities in both houses, are ignoring reality to curry favor with Tea Party
conservatives. They point out that the governor regularly boasts about people
moving to Texas but has not budgeted for the costs of rising school enrollment.
“It’s totally unrealistic,” said Representative Garnet F. Coleman, Democrat of
Houston. “He runs around during the election saying we don’t have any problems,
and he’s still saying we have no problems here. It’s clear he can’t add or
subtract.”
Even members of the governor’s own party are saying privately that they would
support dipping into the rainy-day funds to cushion the blow to schools and
nursing homes.
Many lawmakers think Mr. Perry is more concerned about laying the groundwork for
a run for national office than averting painful budget cuts. Though Mr. Perry
has said repeatedly he is not interested in running for president, others see
his themes of low taxes, limited services and tight regulation as a platform for
a possible run in Republican primaries.
Texas Governor Offers
Optimism on Budget Shortfall, NYT, 8.2.2011,
http://www.nytimes.com/2011/02/09/us/09texas.html
Obama
Wants Jobless Aid Help for States
February 7,
2011
Filed at 8:56 p.m. EST
The New York Times
By THE ASSOCIATED PRESS
WASHINGTON
(AP) — The Obama administration is proposing short-term relief to states saddled
with unemployment insurance debt, coupled with a delayed increase in the income
level used to tax employers for the aid to the jobless.
The administration plans to include the proposal in its budget plan next week.
The plan was described late Monday by a person familiar with the discussions on
the condition of anonymity because the budget plan is still being completed.
Rising unemployment has placed such a burden on states that 30 of them owe the
federal government $42 billion in money borrowed to meet their unemployment
insurance obligations. Three states already have had to raise taxes to begin
paying back the money they owe. More than 20 other states likely would have to
raise taxes to cover their unemployment insurance debts. Under federal law, such
tax increases are automatic once the money owed reaches a certain level.
Under the proposal, the administration would impose a moratorium in 2011 and
2012 on state tax increases and on state interest payments on the debt.
In 2014, however, the administration proposes to increase the taxable income
level for unemployment insurance from $7,000 to $15,000. Under the proposal, the
federal unemployment insurance rate would be adjusted so that the new higher
income level would not result in a federal tax increase, the person familiar
with the plan said.
States, however, could retain their current rates, meaning employers could face
higher unemployment insurance taxes beginning in 2014.
Though the administration could face criticism for enabling states to increase
taxes, the thrust of the administration's argument is that federal taxes would
not increase and that the move is fiscally prudent because the federal
government ultimately would be repaid at a faster rate than if it did nothing.
The person who described the plan said only 13 of the 30 states that owe the $42
billion would be expected to repay their share of the money in the next nine
years under current conditions. The administration's proposal would allow 15
more states to repay the money, this person said.
Obama Wants Jobless Aid Help for States, NYT, 7.2.2011,
http://www.nytimes.com/aponline/2011/02/07/business/AP-US-Obama-Unemployment-Insurance.html
Their Real Agenda
February 6, 2011
The New York Times
As states groan and stumble through the recession, some politicians are
trying to exploit their financial crises for ideological purposes. Many
Republicans want to use hard times to fundamentally reduce the role of states
and public employee unions, in the same way federal tax cuts forced a debate on
how to cut the deficit.
Some want to cut back severely on federal aid to the states, no matter how much
new joblessness that may cause, while others want to ensure that Washington will
never bail out a state close to defaulting on its bonds.
The latest pernicious idea, pushed by Newt Gingrich, Jeb Bush and several
members of Congress, would allow the states to declare bankruptcy, for the
principal purpose of tearing up union contracts and negating pension
obligations.
It is true that many public employee unions have done well during a time of
hardship for most Americans. The problem, though, isn’t the existence of those
unions; it is the generous contracts willingly given to them by lawmakers
because of their lobbying power and bloc-voting ability. In New York, unionized
state employees have had a 14 percent raise over four years, and now make an
average of nearly $67,000. Iowa’s state workers last year won a 6 percent raise
over two years.
Dozens of states give pension and health benefits far more generous than in the
private sector. Their costs have resulted in significant cutbacks to basic state
services for the poor and middle class.
But bankruptcy would fight fire with gasoline, spreading instability to the bond
markets, scaring off investors who might think they would never get repaid, and
making it much harder and more expensive for states to raise desperately needed
capital. Some bond experts say even talk of allowing states to declare
bankruptcy has rattled markets.
Magic-bullet ideas like this one are no substitute for the hard work of
governing responsibly. Union contracts and benefits need to be changed at the
bargaining table, and budget-cutting governors have all kinds of leverage. Gov.
Andrew Cuomo of New York got the attention of state unions last week by
threatening to lay off 9,800 workers if the unions don’t give up at least $450
million in payroll cuts and other givebacks. Other governors are talking about
changing collective bargaining laws.
Governors also have a huge megaphone at their disposal, and should not hesitate
to remind both the public and union members that financial emergencies require
sacrifice. Government employees accept a special civic responsibility when they
go to work for the taxpayers that is not always shared by their private
counterparts — they are working to serve their state’s needs, not just
themselves. (That point would be easier to sell if the sacrifice were universal.
Giving tax cuts to billionaires and asking middle-class employees for givebacks
makes little financial or moral sense.)
Though the bankruptcy proposal has not caught fire in Washington, it
demonstrates that some conservatives are serious about experimenting with
volatile new ideas. To contain the damage, lawmakers and unions need to get
equally serious about dealing with costs that are beginning to infuriate the
people who pay the bills.
Their Real Agenda, NYT,
6.2.2011,
http://www.nytimes.com/2011/02/07/opinion/07mon1.html
Va. to Ask Supreme Court to Rule on Health Law
February 3, 2011
The New York Times
By KEVIN SACK
Virginia’s attorney general announced on Thursday that he hoped to bypass an
initial appellate review by asking the United States Supreme Court to consider
the constitutionality of the Obama health care law on an expedited basis.
Only rarely does the Supreme Court grant such hearings, and it has already
rejected a similar request in another legal challenge to the health care act.
But the commonwealth’s attorney general, Kenneth T. Cuccinelli II, said the
legal and governmental confusion sown by conflicting lower-court opinions
demanded a rapid resolution.
“Currently, state governments and private businesses are being forced to expend
enormous amounts of resources to prepare to implement a law that, in the end,
may be declared unconstitutional,” Mr. Cuccinelli said in a statement.
In December, Mr. Cuccinelli became the first plaintiff to win a challenge to the
health care act, when Judge Henry E. Hudson of Federal District Court in
Richmond, Va., struck down a provision that requires most Americans to obtain
insurance. The judge ruled that the insurance requirement exceeded Congress’s
authority under the Constitution to regulate interstate commerce.
Two other federal judges, including another in Virginia, had previously upheld
the law. Then on Monday, Judge Roger Vinson of Federal District Court in
Pensacola, Fla., joined Judge Hudson in striking down the insurance mandate. But
unlike Judge Hudson, Judge Vinson invalidated the entire law.
The law, enacted last year by a Democratic Congress and signed in March by
President Obama, aims to cover 32 million uninsured Americans by ending insurer
discrimination against those with pre-existing health conditions and by
providing government subsidies to make coverage affordable.
The Justice Department, which is defending the Obama administration in the
health litigation, has already filed a notice of appeal of Judge Hudson’s ruling
in the Court of Appeals for the Fourth Circuit in Richmond. Because of the
geographic distribution of the four lower court rulings, three different courts
of appeal are likely to hear the cases on their way to the Supreme Court.
Tracy Schmaler, a spokeswoman for the Justice Department, said the agency
continued “to believe this case should follow the ordinary course” so that legal
arguments could be fully developed before being presented to the Supreme Court.
She pointed out that the insurance mandate does not take effect until 2014 and
that the Fourth Circuit has already expedited its schedule by setting oral
arguments for May.
The Justice Department also is considering whether to seek a stay of the Florida
decision in order to clarify confusion about whether the health care act remains
in effect in the 26 states that are plaintiffs in the case.
Mr. Cuccinelli said he recognized that an expedited Supreme Court review would
be exceptional. But he said that this case and the others challenging the
constitutionality of the Patient Protection and Affordable Care Act, as the law
is known, were “truly exceptional in their own right.”
In November, the Supreme Curt refused to review another challenge to the health
care act that had been dismissed by a California judge on grounds that the
plaintiffs did not have standing to sue.
Va. to Ask Supreme Court
to Rule on Health Law, NYT, 3.2.2011,
http://www.nytimes.com/2011/02/04/health/policy/04virginia.html
Court Allows Emanuel on Ballot for Chicago Mayor
January 27, 2011
The New York Times
By MONICA DAVEY
CHICAGO — Rahm Emanuel’s bid to become mayor of this city may proceed, the
Illinois Supreme Court ruled on Thursday, ending a week that had turned this
city’s politics upside down, then back again.
The unanimous decision brought a close to months of legal debate over whether
Mr. Emanuel qualified for the ballot, specifically whether his time in
Washington as President Obama’s chief of staff meant that he had given up his
residency status in Chicago, where he was born.
By Illinois state code, candidates for mayor are required to have resided in
Chicago for at least one year before Election Day. Mr. Emanuel left the White
House in October, and the election is Feb. 22, but Mr. Emanuel argued that he
was still a Chicago resident because he owned a house here, paid taxes here,
voted here, and left his most cherished possessions in the basement of his house
here.
Moments after the ruling was issued late Thursday, Mr. Emanuel was shaking hands
with voters at a downtown “L” train stop,, where many had yet to hear the
outcome, and asked what had happened.
Mr. Emanuel, who appeared cheery as a mob of cameras rolled, said that he had no
control over what had occurred but was pleased that the voters now had some
sense of certainty for the election ahead.
“We stayed focused on the concerns of the voters,” Mr. Emanuel said of a week
that had, however briefly, sent voters, election workers and other candidates
into a tangle of confusion. The word “resident,” Mr. Emanuel advised, would no
longer be permitted in his family’s regular Scrabble games. Then he was off to a
televised debate of the candidates.
Legal experts said the State Supreme Court’s decision was probably a final
answer to Mr. Emanuel’s situation, which has left this city puzzled and reeling,
even as early voting is to start on Monday.
“This is the end of the road,” said Burt Odelson, a lawyer who represented two
Chicago residents who had challenged Mr. Emanuel’s status, driven, in part, by a
notion, that if city workers are required to live within city limits, a
candidate for mayor should, too.
Throughout the challenges to Mr. Emanuel’s candidacy, he had confidently
asserted that he would be allowed to run, and had proceeded with routine
campaign events as if there was no crisis.
The decision is certain to come as a disappointment to the campaigns of other
candidates — especially Gery Chico, a former mayoral chief of staff, and Carol
Moseley Braun, a former United States senator — who would have benefited
enormously from Mr. Emanuel’s removal from the ballot, and had seemed to have
entirely new prospects of becoming mayor.
Not surprisingly, though, the other candidates were quick to play down the
significance of the entire episode, insisting that they were pleased to at last
move on with a real debate over Chicago’s crucial issues.
“Emanuel’s residency drama has made this election into a circus instead of a
serious debate about the future of Chicago,” Mr. Chico said in a statement
issued within moments of the decision. “With less than 30 days to go until
Election Day, there is no time to waste. Game on.”
Miguel del Valle, the city clerk and another candidate, sounded a similar note:
“As I have said throughout my campaign, this has served as a real distraction
that has kept people from focusing on the issues that are of concern to the
neighborhoods of the city of Chicago — our neighborhood schools, public safety,
and fixing our budget deficit.”
Ever since Mayor Richard M. Daley, this city’s longest-serving mayor, announced
in September that he would retire, Mr. Emanuel has been viewed as something of a
front-runner. A wide array of would-be candidates has shrunk to six, and Mr.
Emanuel has held significant leads in polling and fund-raising.
The election is nonpartisan, but all the major candidates are Democrats.
Before this past week of fast-shifting announcements — that he was off, then
back on the ballot — some voters had begun to wonder not if Mr. Emanuel would
win, but when. If no candidate receives more than 50 percent of the vote on Feb.
22, the top two vote-getters will move on to a runoff election on April 5.
In recent months, challenges to Mr. Emanuel’s candidacy were dismissed by a
local election board, then by a trial judge. But on Monday, a panel of the
Illinois Appellate Court ruled that Mr. Emanuel did not qualify to run, saying
he had to physically live in the city — not just own property and pay taxes here
— to run.
Mr. Emanuel’s lawyers balked at the interpretation, and appealed their case to
the State Supreme Court, even as elections officials struggled with which ballot
to print.
On Thursday, the Supreme Court’s seven justices overturned the ruling of the
appeals panel, though two of the justices issued their own reasoning for
allowing Mr. Emanuel to run. In the majority’s opinion, which was written by
Justice Robert R. Thomas, a Republican, the justices raised sharp questions
about what the appellate court had concluded, suggesting that such issues of
residency had essentially been settled in this state for 150 years — until this
week.
“Things changed, however, when the appellate court below issued its decision and
announced that it was no longer bound by any of the law cited above,” Justice
Thomas wrote, continuing later, “but was instead free to craft its own original
standard for determining a candidate’s residency.”
The opinion repeatedly cited a case from 1867, in which an Illinois resident had
been appointed as a judge, but had been challenged for not meeting a five-year
residency requirement because his family had lived in Tennessee for eight
months. That long-ago ruling — in the judge’s favor — focused on his intent (he
refused to sell his Illinois law books, for instance), not on his physical
location, the justices found. The same principles, the justice wrote, control
Mr. Emanuel’s case, “plain and simple.”
Under the appellate court’s decision, the justices said, all sorts of
circumstances would now come into question: Where does a member of Congress who
spends several days a week in Washington reside legally? What about a state
legislator?
“Under the appellate court’s test, considerable doubt would arise as to whether
any of these people could meet a residency test that requires one year of
‘actually living’ or “actually residing’ in the municipality,” the majority
wrote.
Two of the justices, Anne M. Burke and Charles E. Freeman, concurred with the
overall outcome, but wrote that they did not consider the case “as clear-cut as
the majority makes it out” to be. “Suffice it to say, therefore, that this court
has not always spoken clearly on what is meant by residency, and the majority
should acknowledge this fact,” the two wrote. They construed the case more
narrowly, finding that the fact that Mr. Emanuel had rented out his Chicago home
(still occupied by renters) did not mean he had given up his “permanent abode.”
Richard L. Hasen, an expert on election law who is a visiting professor at the
University of California, Irvine, law school, said, “The decision puts the
matter back where it belongs — in the hands of the voters.”
For election officials the ruling was a relief — not particularly for its
content but for its finality. They started the week printing hundreds of
thousands of ballots without Mr. Emanuel’s name (as the appellate court had
ordered), but by Thursday night were about halfway through printing two million
more, this time with his name (as the Supreme Court ordered when it agreed to
consider the case).
Emma Graves Fitzsimmons contributed reporting from Chicago, and John Schwartz
from New York.
Court Allows Emanuel on
Ballot for Chicago Mayor, NYT, 27.1.2011,
http://www.nytimes.com/2011/01/28/us/politics/28chicago.html
Utah’s Gun Appreciation Day
January 26, 2011
The New York Times
By GAIL COLLINS
This week in Washington, Senator Frank Lautenberg of New
Jersey introduced three very modest gun regulation bills, including one making
it more difficult to sell guns to people on the terror watch list.
Meanwhile, in Salt Lake City, the State Legislature is considering a bill to
honor the Browning M1911 pistol by making it the official state firearm.
Guess which idea has the better chance of passage? Can I see a show of hands?
Oh, you cynics, you!
Yes, a committee in the Utah House of Representatives voted 9 to 2 this week to
approve a bill that would add the Browning pistol to the pantheon of official
state things, along with the bird (seagull), rock (coal) and dance (square).
Also, although it really has nothing to do with this discussion, I have to
mention that the Utah Legislature has provided its citizens with an official
state cooking pot, and it is the Dutch oven.
“This firearm is Utah,” Representative Carl Wimmer, the Browning bill’s sponsor,
told The Salt Lake Tribune. He is an energetic-looking guy with a huge forehead
who has only been in office four years yet has, according to one of his videos,
“sponsored and passed some of the most significant pieces of legislation in Utah
history.”
Capitol observers say the Browning bill has an excellent chance of becoming law.
Meanwhile, Lautenberg will be lucky to get a hearing. The terror of the National
Rifle Association is so pervasive that President Obama did not want to poison
the mood of his State of the Union address by suggesting that when somebody on
the terror watch list tries to buy a gun, maybe we should do an extra check.
“But people are now commenting on the fact that the president didn’t talk about
it in his speech. That hasn’t happened for years,” said Paul Helmke of the Brady
Campaign to Prevent Gun Violence, whose job really does require an inordinate
amount of optimism.
Lautenberg’s bills are extremely mild, and no one seems eager to argue in public
against the one that would end easy access to 30-bullet magazines that allow
someone with a semiautomatic pistol to mow down a parking lot full of people in
a matter of seconds. Instead, they just refuse to come to the phone or toss out
platitudes.
“The people that are going to commit a crime or are going to do something crazy
aren’t going to pay attention to the laws in the first place. Let’s fix the real
problem. Here’s a mentally deranged person who had access to a gun that should
not have had access to a gun,” said Senator Tom Coburn on “Meet the Press.”
Another of Lautenberg’s bills would tighten a loophole in current law so a
mentally deranged person who should not have access to guns could not go to a
gun show and buy one without the regular security check. But never mind.
On Monday, the Utah State Capitol celebrated Browning Day, honoring John Moses
Browning, native son and maker of the nominee for Official State Firearm. There
were speeches, a proclamation, a flyover by a National Guard helicopter, and, of
course, a rotunda full of guns. “We recognize his efforts to preserve the
Constitution,” Gov. Gary Herbert said, in keeping with what appears to be a new
Republican regulation requiring all party members to mention the Constitution at
least once in every three sentences.
It is generally not a good policy to dwell on the strange behavior of state
legislators since it leads to bottomless despair. If I wanted to go down that
road, I’d give you Mark Madsen, a Utah state senator who tried to improve upon
the Browning Day celebrations by suggesting they be scheduled to coincide with
Martin Luther King Day since “both made tremendous contributions to individual
freedom and individual liberty.”
But it’s a symptom of a new streak of craziness abroad in the land, which has
politicians scrambling to prove not just that they are against gun regulation,
but also that they are proactively in favor of introducing guns into every
conceivable part of American life. National parks. Schools. Bars. Airports.
“There is abundant research suggesting in cities where more people own guns, the
crime rate, especially the murder rate, goes down,” Utah’s new United States
senator, Mike Lee, told CNN.
Actually, there’s a ton of debate about this, which is hard to resolve given the
fact that, as Michael Luo reported in The Times, the N.R.A.’s crack lobbyists
have managed to stop almost all federal financing for scientific research on
gun-related questions. But Lee has definitely made the list of most creative
commentators on these matters, ever since he dismissed calls for a calmer
political rhetoric after the Tucson massacre by arguing that “the shooter wins
if we, who’ve been elected, change what we do just because of what he did.”
Feel free to say whatever you like about the senator’s thinking. Be frank.
Otherwise, the shooter wins.
Utah’s Gun
Appreciation Day, NYT, 26.1.2011,
http://www.nytimes.com/2011/01/27/opinion/27collins.html
Lawmakers in Many States Pushing for Abortion Curbs
January 21, 2011
The New York Times
By ERIK ECKHOLM
Newly energized by their success in November’s midterm elections,
conservative legislators in dozens of states are mounting aggressive campaigns
to limit abortions.
The lawmakers are drafting, and some have already introduced, bills that would
ban most abortions at 20 weeks after conception, push women considering
abortions to view a live ultrasound of the fetus, or curb insurance coverage,
among other proposals.
In Florida and Kansas, legislators plan to reintroduce measures that were vetoed
by previous governors but have the support of the new chief executives, like
ultrasound requirements and more stringent regulation of late-term abortions.
“I call on the Legislature to bring to my desk legislation that protects the
unborn, establishing a culture of life in Kansas,” Gov. Sam Brownback said last
week in his first State of the State message.
“This is the best climate for passing pro-life laws in years,” said Michael
Gonidakis, executive director of Ohio Right to Life, expressing the mood in many
states. “We’ve got a pro-life governor and a brand new pro-life speaker. Our
government now is pro-life from top to bottom.”
Abortion opponents plan marches in Washington and elsewhere this weekend and on
Monday to mark the anniversary of the 1973 Supreme Court decision, Roe v. Wade,
that established a woman’s right to an abortion.
Republicans in Congress hope to strengthen measures to prevent even indirect
public financing of abortions, but laws in the states have the greatest impact
on access to them. Abortion opponents have been emboldened by major changes in
the political landscape, with conservative Republicans making large gains.
Although social issues were often played down in the campaigns, many of the
newly elected governors and legislators are also solidly anti-abortion, causing
advocates of abortion rights to brace for a year of even tougher battles than
usual.
The biggest shift is in the state capitols, with 29 governors now considered to
be solidly anti-abortion, compared with 21 last year. “This is worrisome because
the governors have been the firewall, they’ve vetoed a lot of bad anti-choice
legislation,” said Ted Miller, a spokesman for Naral Pro-Choice America.
In 15 states, compared with 10 last year, both the legislature and the governor
are anti-abortion, according to a new report by Naral, and those joining this
category include larger states like Michigan, Ohio and Wisconsin, as well as
Georgia and Oklahoma. Maine and Pennsylvania are now strongly anti-abortion as
well, if not quite as solidly.
Just which measures will pass is impossible to predict, particularly because
many states are bogged down by budget crises.
Elizabeth Nash, who tracks state policies on abortion for the Guttmacher
Institute, a research organization, said that while states would be preoccupied
with budget issues, it appeared rather likely that more measures would pass this
year than in 2010, which anti-abortion advocates considered a banner year, with
more than 30 restrictive laws adopted in at least nine states.
The elections brought even more gains for their side than expected, said Mary
Spaulding Balch, state policy director of the National Right to Life Committee,
leading her group to call in its affiliates for a special strategy session on
Dec. 7.
While many anti-abortion measures have been adopted or debated over the years,
including requiring parental consent for minors and waiting periods, advocates
have set a few top priorities for the months ahead:
¶Banning abortions earlier in pregnancy. Most states place restrictions on later
abortions, often defined as after fetal viability, or around 22 to 26 weeks
after conception. But last year, Nebraska set what many advocates consider a new
gold standard, banning abortions, unless there is imminent danger to the woman’s
life or physical health, at 20 weeks after conception, on a disputed theory that
the fetus can feel pain at that point. The measure has not been tested in court,
but similar measures pushing back the permissible timing are being developed in
Indiana, Iowa, New Hampshire, Oklahoma and other states.
The 20-week law in Nebraska, which took effect in October, forced a prominent
doctor who performed late-term abortions to leave the state. Jill June,
president of Planned Parenthood of the Heartland, said women suffering from
complicated pregnancies but are not yet sick enough to qualify for an emergency
abortion would be forced to travel to other states. Or, she said, doctors
fearing prosecution will wait until such women become dangerously ill before
considering an abortion.
¶Pressing women to view ultrasounds. While several states encourage women
seeking abortions to view an ultrasound, Oklahoma last year adopted a
requirement that doctors or technicians perform the procedure with the screen
visible to the woman, and explain in detail what she is seeing. The measure is
under court challenge, but the Kentucky Senate has passed a similar bill, and
variants are expected to come up in states including Indiana, Maryland, Montana,
Ohio, Texas, Virginia and Wyoming.
In Florida, former Gov. Charlie Crist vetoed an ultrasound bill. The new
governor, Rick Scott, attacked him for that veto and is expected to support a
new proposal.
¶Banning any abortion coverage by insurance companies in the new health
insurance exchanges. Numerous states are poised to impose the ban on plans that
will be offered to small businesses and individual insurance buyers under the
Obama administration health plan.
The shifts to conservative governors, in particular, have opened new
opportunities for abortion opponents. In Kansas, legislators said they would act
quickly to adopt measures that were previously vetoed, including regulations
that will make it harder to open abortion clinics or to perform abortions in the
second trimester.
“There’s pent-up demand in the Legislature for these changes,” said State
Representative Lance Kinzer, the chairman of the Judiciary Committee in the
Kansas House. Once these long-debated steps are taken, he said, the Legislature
will consider more sweeping restrictions, including banning most abortions after
the 20th week.
The politics of abortion have changed profoundly in some larger states including
Michigan, Pennsylvania and Wisconsin.
“We’re facing the biggest threat to reproductive rights we’ve ever faced in this
state,” said Lisa Subeck, executive director for Naral Pro-Choice Wisconsin.
In Michigan, because of the switch to an anti-abortion governor, “the dominos
are lined up well for us this time,” said Ed Rivet, legislative director for
Right to Life of Michigan. For starters, advocates hope to pass a state ban on
the procedure opponents call partial-birth abortion that had been vetoed twice.
After that, he said, “We have quite a list.”
Many defenders of abortion rights argue that because the election hinged largely
on the economy and the role of government, officials did not receive a mandate
for sweeping new social measures. “This last election was not about these issues
at all,” said Cecile Richards, president of the Planned Parenthood Federation of
America. “We now are concerned about a real overreaching by some state
legislators and governors that will make it very difficult for women to access
reproductive health care.”
Daniel S. McConchie, vice president for government affairs with Americans United
for Life, responded that laws restricting abortion have been adopted right along
by the states and that while he expected large gains in the year ahead, they
will be part of steady trend.
The abortion rate in the United States, which had declined steadily since a 1981
peak of more than 29 abortions per 1,000 women, stalled between 2005 and 2008,
at slightly under 20 abortions per 1,000 women, according to a new report from
the Guttmacher Institute.
Robbie Brown contributed reporting from Atlanta, Dan Frosch from Denver and
Emma Graves Fitzsimmons from Chicago.
Lawmakers in Many States
Pushing for Abortion Curbs, NYT, 21.1.2011,
http://www.nytimes.com/2011/01/22/us/politics/22abortion.html
Path Is Sought for States to Escape Debt Burdens
January 20, 2011
The New York Times
By MARY WILLIAMS WALSH
Policy makers are working behind the scenes to come up with a way to let
states declare bankruptcy and get out from under crushing debts, including the
pensions they have promised to retired public workers.
Unlike cities, the states are barred from seeking protection in federal
bankruptcy court. Any effort to change that status would have to clear high
constitutional hurdles because the states are considered sovereign.
But proponents say some states are so burdened that the only feasible way out
may be bankruptcy, giving Illinois, for example, the opportunity to do what
General Motors did with the federal government’s aid.
Beyond their short-term budget gaps, some states have deep structural problems,
like insolvent pension funds, that are diverting money from essential public
services like education and health care. Some members of Congress fear that it
is just a matter of time before a state seeks a bailout, say bankruptcy lawyers
who have been consulted by Congressional aides.
Bankruptcy could permit a state to alter its contractual promises to retirees,
which are often protected by state constitutions, and it could provide an
alternative to a no-strings bailout. Along with retirees, however, investors in
a state’s bonds could suffer, possibly ending up at the back of the line as
unsecured creditors.
“All of a sudden, there’s a whole new risk factor,” said Paul S. Maco, a partner
at the firm Vinson & Elkins who was head of the Securities and Exchange
Commission’s Office of Municipal Securities during the Clinton administration.
For now, the fear of destabilizing the municipal bond market with the words
“state bankruptcy” has proponents in Congress going about their work on tiptoe.
No draft bill is in circulation yet, and no member of Congress has come forward
as a sponsor, although Senator John Cornyn, a Texas Republican, asked the
Federal Reserve chairman, Ben S. Bernanke, about the possiblity in a hearing
this month.
House Republicans, and Senators from both parties, have taken an interest in the
issue, with nudging from bankruptcy lawyers and a former House speaker, Newt
Gingrich, who could be a Republican presidential candidate. It would be
difficult to get a bill through Congress, not only because of the constitutional
questions and the complexities of bankruptcy law, but also because of fears that
even talk of such a law could make the states’ problems worse.
Lawmakers might decide to stop short of a full-blown bankruptcy proposal and
establish instead some sort of oversight panel for distressed states, akin to
the Municipal Assistance Corporation, which helped New York City during its
fiscal crisis of 1975.
Still, discussions about something as far-reaching as bankruptcy could give
governors and others more leverage in bargaining with unionized public workers.
“They are readying a massive assault on us,” said Charles M. Loveless,
legislative director of the American Federation of State, County and Municipal
Employees. “We’re taking this very seriously.”
Mr. Loveless said he was meeting with potential allies on Capitol Hill, making
the point that certain states might indeed have financial problems, but public
employees and their benefits were not the cause. The Center on Budget and Policy
Priorities released a report on Thursday warning against a tendency to confuse
the states’ immediate budget gaps with their long-term structural deficits.
“States have adequate tools and means to meet their obligations,” the report
stated.
No state is known to want to declare bankruptcy, and some question the wisdom of
offering them the ability to do so now, given the jitters in the normally staid
municipal bond market.
Slightly more than $25 billion has flowed out of mutual funds that invest in
muni bonds in the last two months, according to the Investment Company
Institute. Many analysts say they consider a bond default by any state extremely
unlikely, but they also say that when politicians take an interest in the bond
market, surprises are apt to follow.
Mr. Maco said the mere introduction of a state bankruptcy bill could lead to
“some kind of market penalty,” even if it never passed. That “penalty” might be
higher borrowing costs for a state and downward pressure on the value of its
bonds. Individual bondholders would not realize any losses unless they sold.
But institutional investors in municipal bonds, like insurance companies, are
required to keep certain levels of capital. And they might retreat from
additional investments. A deeply troubled state could eventually be priced out
of the capital markets.
“The precipitating event at G.M. was they were out of cash and had no ability to
raise the capital they needed,” said Harry J. Wilson, the lone Republican on
President Obama’s special auto task force, which led G.M. and Chrysler through
an unusual restructuring in bankruptcy, financed by the federal government.
Mr. Wilson, who ran an unsuccessful campaign for New York State comptroller last
year, has said he believes that New York and some other states need some type of
a financial restructuring.
He noted that G.M. was salvaged only through an administration-led effort that
Congress initially resisted, with legislators voting against financial
assistance to G.M. in late 2008.
“Now Congress is much more conservative,” he said. “A state shows up and wants
cash, Congress says no, and it will probably be at the last minute and it’s a
real problem. That’s what I’m concerned about.”
Discussion of a new bankruptcy option for the states appears to have taken off
in November, after Mr. Gingrich gave a speech about the country’s big
challenges, including government debt and an uncompetitive labor market.
“We just have to be honest and clear about this, and I also hope the House
Republicans are going to move a bill in the first month or so of their tenure to
create a venue for state bankruptcy,” he said.
A few weeks later, David A. Skeel, a law professor at the University of
Pennsylvania, published an article, “Give States a Way to Go Bankrupt,” in The
Weekly Standard. It said thorny constitutional questions were “easily addressed”
by making sure states could not be forced into bankruptcy or that federal judges
could usurp states’ lawmaking powers.
“I have never had anything I’ve written get as much attention as that piece,”
said Mr. Skeel, who said he had since been contacted by Republicans and
Democrats whom he declined to name.
Mr. Skeel said it was possible to envision how bankruptcy for states might work
by looking at the existing law for local governments. Called Chapter 9, it gives
distressed municipalities a period of debt-collection relief, which they can use
to restructure their obligations with the help of a bankruptcy judge.
Unfunded pensions become unsecured debts in municipal bankruptcy and may be
reduced. And the law makes it easier for a bankrupt city to tear up its labor
contracts than for a bankrupt company, said James E. Spiotto, head of the
bankruptcy practice at Chapman & Cutler in Chicago.
The biggest surprise may await the holders of a state’s general obligation
bonds. Though widely considered the strongest credit of any government, they can
be treated as unsecured credits, subject to reduction, under Chapter 9.
Mr. Spiotto said he thought bankruptcy court was not a good avenue for troubled
states, and he has designed an alternative called the Public Pension Funding
Authority. It would have mandatory jurisdiction over states that failed to
provide sufficient funding to their workers’ pensions or that were diverting
money from essential public services.
“I’ve talked to some people from Congress, and I’m going to talk to some more,”
he said. “This effort to talk about Chapter 9, I’m worried about it. I don’t
want the states to have to pay higher borrowing costs because of a panic that
they might go bankrupt. I don’t think it’s the right thing at all. But it’s the
beginning of a dialog.”
Path Is Sought for
States to Escape Debt Burdens, NYT, 20.1.2011,
http://www.nytimes.com/2011/01/21/business/economy/21bankruptcy.html
Budget Worries Push Governors to Same Mind-Set
January 17, 2011
The New York Times
By MONICA DAVEY
CHICAGO — The dismal fiscal situation in many states is forcing governors,
despite their party affiliation, toward a consensus on what medicine is needed
going forward.
The prescription? Slash spending. Avoid tax increases. Tear up regulations that
might drive away business and jobs. Shrink government, even if that means
tackling the thorny issues of public employees and their pensions.
In years past, new governors have introduced themselves in inaugural remarks
filled with cheery, soaring hopes; plans for expansions to education, health
care and social services; and the outlines of new, ambitious local projects.
But an examination of more than two dozen opening addresses of incoming
governors in recent days shows that such upbeat visions were often eclipsed by
worries about jobs, money and budget gaps. Those speeches are the best
indication thus far of the intentions of this class of 37 governors — 26 new and
the others re-elected.
“The rhetoric has grown very similar,” said Scott D. Pattison, executive
director of the nonpartisan National Association of State Budget Officers. “A
lot of times, you can’t tell if it’s a Republican or Democrat, a conservative or
a liberal.”
In Wisconsin, the new Republican governor, Scott Walker, says that any prospect
of a tax increase is off the table, and that he wants to “right-size” state
government, meaning, he says, that it would provide “only the essential services
our citizens need and taxpayers can afford.”
In California, the new Democratic governor, Jerry Brown, lists as one of his
guiding principles (second only to his tenet to “speak the truth”) support for
new taxes only if voters want them. And he says it is time to examine the
state’s system of public pensions — an increasingly vitriolic political issue in
states around the country — to ensure that they are “fair to the workers and
fair to the taxpayers.”
Without question, this emerging consensus comes in a wide range of degrees.
Exceptions have also emerged.
Here in Illinois, a state that has wrestled with some of the most dire financial
circumstances in the country, including some $8 billion in unpaid bills to
social services agencies and others and a desperately underfinanced pension
system, Gov. Patrick J. Quinn, a Democrat, pledged after renewing his oath of
office simply to “stabilize our budget.” Three days later, on Thursday, he did
the reverse of what so many governors are urging, and signed a 66 percent
increase in the state’s income tax rate.
And in Minnesota, where Gov. Mark Dayton, another Democrat, faces a $6.2 billion
deficit and a Legislature controlled by Republicans, he has advocated for a tax
increase on the wealthy.
After being sworn in this month, Mr. Dayton told the crowd, “To those who
sincerely believe the state budget can be balanced with no tax increase —
including no forced property tax increase — I say, if you can do so without
destroying our schools, hospitals and public safety, please send me your bill,
so I can sign it immediately.” Otherwise, Mr. Dayton said, he hoped his
colleagues would work with him on “this challenging, complicated and essential”
budget process.
Though public remarks in the moments after being sworn into office may be the
first signal of a governor’s true intentions, actual policies can be another
matter entirely. Those can depend, not least of all, on the decisions of
legislatures. And governors of all political stripes have a tendency to talk
tough in their early days.
The difference now, experts say, is that the financial circumstances leave
little room to do nothing, and governors will soon be tested on their words — as
early as in the next few weeks, when many of them must propose budgets for next
year.
Some states seem better off (North Dakota) and others worse (California), but
the shared, essential problem in many states is simple: not enough money coming
in to pay for all that is going out.
While state revenues — shrunken as a result of the recession — are finally
starting to improve somewhat, federal stimulus money that had propped up state
budgets is vanishing and costs are rising, all of which has left state leaders
bracing for what is next. For now, states have budget gaps of $26 billion, by
some estimates, and foresee shortfalls of at least $82 billion as they look to
next year’s budgets.
This class of governors arrives in a wave of Republican victories in the 2010
elections for state legislatures and governorships, a trend that may be
affecting everyone’s approach. Even in states where the fiscal struggles have
been less pronounced, new governors are sounding warnings and talking, again and
again, of waste, frugality, simplicity, shared sacrifice and painful choices.
“Some of our sister states and some cities within them face the very real
possibility of bankruptcy because of their mountains of deficits and debt,” said
Dennis Daugaard, the newly inaugurated Republican governor of South Dakota, who
has asked departments in his state to cut spending by 10 percent and has
announced that he would cut his own annual salary to $98,000 from the $115,331
his predecessor collected.
“They have promised their citizens something for nothing,” Mr. Daugaard said of
other states during his inauguration in Pierre this month, “and created a
society where everyone wants to be carried and no one wants to pull their own
weight.”
Governors appeared to be girding residents for a rocky road ahead — a path they
seemed to sense residents may not yet grasp, given headlines of improvements in
other parts of the economy.
Many called for bipartisanship in their efforts (the words “Republican” and
“Democrat” are not mentioned in the Maine Constitution, reported Gov. Paul R.
LePage, a Republican), and alluded to past moments of crisis (hurricanes, yellow
fever outbreaks, even a “dark day” in 1780 when daytime skies were said to
mysteriously appear nightlike in New England) as rallying points for the current
gloom.
In his speech, Rick Scott, the new Republican governor of Florida, called for
eliminating a business tax and reducing property taxes. He dubbed taxation,
regulation and litigation “the axis of unemployment.” And he issued a warning:
“No job — public or private — should be immune from accountability.”
On the other side of the country, and in the other major political party, John
Kitzhaber, the new governor of Oregon, elaborately described the state, which
needs to bridge a projected budget deficit of $3.5 billion, as an old house in
need of an overhaul.
“There are too many rooms, and they aren’t the right size,” Mr. Kitzhaber said.
“There’s no insulation, and the windows are drafty. And the cost of keeping this
house is more than the family can afford. The roof needs to be replaced, and the
siding is falling off.”
In New York, Gov. Andrew M. Cuomo, another Democrat, sounded a similar call. “We
must right-size the state government for today,” said Mr. Cuomo, who added that
New York had no future if it intended to be “the tax capital of the nation.”
Emma Graves Fitzsimmons contributed research.
Budget Worries Push Governors to Same
Mind-Set, NYT, 17.1.2011,
http://www.nytimes.com/2011/01/17/us/17governors.html
For California’s Budget Examiner, an Ease With Diplomacy and
Dollar Signs
January 16, 2011
The New York Times
By JESSE McKINLEY
SACRAMENTO — If the California budget process sometimes resembles an
extremely expensive food fight, with the name-calling, hair-pulling and that $25
billion deficit, Mac Taylor is the adult in the room.
Mr. Taylor — a tall, gray-haired fellow with an amiable smile — is California’s
legislative analyst, head of an independent, nonpartisan office that is charged
with taking a hard look at what are often soft numbers in the state’s
chronically troubled budget.
Every January, armed with a staff of number crunchers, policy wonks and other
arithmetic-minded assistants, Mr. Taylor studies the spending plans offered up
by the governor and gives a steely assessment of what is realistic, and what is
less so.
As such, Mr. Taylor, who has spent more than three decades examining
California’s books, is considered one of the more reliable, least political
voices in a state in which budgetary gimmickry is a time-honored tradition.
Not, of course, that he would say that.
“The term ‘smoke and mirrors,’ people will put different things in that
category,” he said during a recent interview in his office, which looks out on
the California Capitol. “For example, is a one-time sale of an asset smoke and
mirrors? Well, no, it’s not, if you can get the money you estimated.”
Mr. Taylor’s job is one that involves equal parts diplomacy and dollar signs.
Last Wednesday, for example, he presented his overview of the $85 billion
general fund proposal made two days earlier by Gov. Jerry Brown, who has
promised to give Californians the unvarnished truth about the state’s financial
mess.
Mr. Taylor, 57, who joined the legislative analyst’s office during Mr. Brown’s
first go-round as governor in the late 1970s, mixed in a few compliments — the
budget seemed “reasonable” and a “good starting point” — with more skeptical
statements.
“There is,” Mr. Taylor wrote, “significant work ahead.”
All of which can earn either praise or scorn, or both, depending on how the
state’s politicians decide to spin it. Despite some of Mr. Taylor’s supportive
words for Mr. Brown, Republicans were generally happy that he had raised
questions about the Democratic governor’s plan to ask for five years of tax
extensions.
“Assembly Republicans share the legislative analyst’s concerns about
‘significant risks’ within the governor’s budget plan,” the Assembly’s
Republican leader, Connie Conway, said shortly after Mr. Taylor released his
review. That sentiment was echoed a day later by another Republican leader,
Assemblyman Jim Nielsen, who cited Mr. Taylor’s support for proposed spending
cuts.
The depth of California’s financial dysfunction is well-documented. The state,
which faces a $25.4 billion deficit over the next 18 months, has been late on
passing a budget, due July 1, for several years, and suffered a record 100-day
delay in 2010. The budget problems have damaged the state’s reputation with
investors and creditors alike.
Unlike the federal Congressional Budget Office, which does not offer its
opinions on matters of policy, California’s legislative analyst is required to
make recommendations, something that sometimes puts the office at the heart of
the debate. In 2007, the office’s dour budget analysis was considered a major
factor in killing a proposal, backed by Gov. Arnold Schwarzenegger, to provide
universal health coverage for all Californians.
For all that, Mr. Taylor — who is technically part of the legislative staff —
plays down the influence of his office.
“Clearly either side can disagree with what you do, and that’s fine,” he said.
“They’re not there to take our advice. We’re here to provide them with good
information and thoughtful recommendations, and they can do with it what they
want.”
But California’s continuing budget crisis — the state has faced
multibillion-dollar deficits for the last several years — has certainly enhanced
the profile of the legislative analyst’s office. And the recession, which laid
low the state’s housing industry and drove unemployment over 12 percent, has led
to what Mr. Taylor called “constant budget mode for the last 2 ½ years.”
Still, Mr. Taylor, who is married with three politics-averse children in their
20s — “I can’t get any of them to take an economics course” — says he holds out
hope that the Legislature will somehow find its way to passing a budget on time
this year.
“And then,” Mr. Taylor said, “I can take off on July 1.”
For California’s Budget
Examiner, an Ease With Diplomacy and Dollar Signs, NYT, 16.1.2010,
http://www.nytimes.com/2011/01/17/us/17taylor.html
Arizona, in the Classroom
January 16, 2011
By THE NEW YORK TIMES
Last week’s memorial service in Tucson, which began with a blessing by a
professor of Yaqui Indian and Mexican heritage, showcased Arizona’s rich
diversity as well as the love and tolerance of many of its citizens.
Unfortunately there is another Arizona, one where its state government all too
often promotes discord and intolerance. This was painfully clear in the state’s
immigration law, which empowers the police to demand the papers of suspected
illegal immigrants. And it is painfully clear in a new education law that
injects nativist fears directly into the public school classroom.
The law, which took effect Dec. 31, bans any courses or classes that “promote
resentment toward a race or class of people” or “advocate ethnic solidarity
instead of the treatment of pupils as individuals.” Arizona’s new attorney
general, Tom Horne, immediately used it to declare illegal a Mexican-American
ethnic-studies program in the Tucson Unified School District.
Mr. Horne, who wrote the law when he was superintendent of public instruction,
accused the program of “brainwashing” Latino students, of teaching “ethnic
chauvinism” because it uses works by authors critical of the United States’
historical relationship with Latin America and its past treatment of Latinos. He
has not gone after similar programs for black, Asian or American Indian
students.
It’s hard to object to the portions of the law that discourage the overthrow of
the government. But Mr. Horne goes way overboard in trying keep high school
students from studying works like Paulo Freire’s “Pedagogy of the Oppressed,” a
classic educational text, or any effort to deepen students’ understanding of
history, and their place in the world. Tucson school officials say that far from
stoking teenage resentment, the program has helped students keep their grades up
and stay in school.
The school district has been put in a bind: shut the program down or lose state
financing. Eleven teachers have sued to block the law. The school board,
regrettably, did not join the lawsuit.
Educators and parents across the state should resist this effort to clamp down
on education. Justice demands it. And even this ill-considered law suggests that
Mr. Horne has badly overreached. One passage reads: “Nothing in this section
shall be construed to restrict or prohibit the instruction of the Holocaust, any
other instance of genocide, or the historical oppression of a particular group
of people based on ethnicity, race or class.”
Arizona was rightly criticized in the 1980s and early 90’s when it refused to
join the nation in declaring Martin Luther King’s Birthday a holiday. It finally
agreed in 1992, and the whole country has since traveled closer toward racial
harmony. Arizona’s political leaders shame themselves and their citizens when
they preach and promote the opposite.
Arizona, in the
Classroom, NYT, 16.1.2011,
http://www.nytimes.com/2011/01/17/opinion/17mon2.html
Illinois Wakes Up
January 16, 2011
The New York Times
For years, Illinois, like so many states, pretended that it had not fallen
off a budgetary cliff. It was spending too much and taking in too little
revenue, but every year it would kick its problems into the next. Unable to pay
its bills, it finally accepted reality last week and raised taxes on incomes and
businesses — a first step toward getting its house in order.
The action was immediately ridiculed by several governors around the nation who
are still pretending that they can cut their way out of the enormous shortfalls
they face, without raising taxes. Wisconsin and Indiana predicted a windfall of
angry corporations and residents would head their way from Illinois. Even Gov.
Chris Christie, the New Jersey Republican, vowed to fly to Illinois to invite
businesses there to defect to his state.
That makes great political theater. But businesses and voters in Illinois, and
around the country, should take a closer look at the facts and figures,
including their own.
After 22 years of not raising income taxes, Illinois saw its budget shortfall
grow to $15 billion. It had the lowest state credit rating in the nation, and it
wasn’t paying its bills to hospitals and schools.
The Illinois tax rate was low before and remains low for big states. The income
tax will rise from a flat 3 percent to a flat 5 percent. That will cause pain at
the lower and middle levels of the economic scale, but the state’s millionaires
will probably stay put. (The top rate is 10.55 percent in California, 8.97
percent in New Jersey and New York, and 7.75 percent in Wisconsin.)
Illinois’s corporate tax is going up to 9.5 percent from 7.3 percent, but that
by itself is unlikely to send businesses packing. What businesses crave most is
a stable environment in which to make profits, and Illinois was anything but
stable. Businesses tend not to like it when health and education systems break
down.
By taking this step, which will raise about $6.5 billion, the Illinois
Legislature has begun to show residents and corporate leaders that it is serious
about fixing the budget. It still has a lot more to do. It must brave union
opposition and bring down the cost of excessive health and retirement benefits
for state employees, and examine all state salaries to make sure they are in
line with the private sector. It must adhere to a new system to rebuild the
budget each year, based on available revenues.
Almost every state is in deep fiscal trouble this year, but only a few others
have admitted that cutting spending will not be enough.
Gov. Jerry Brown of California has proposed $12.5 billion in painful cuts that
will hit the poor and higher education particularly hard. He is also rightly
warning voters that the pain will be much worse if they do not extend sales and
income tax increases for five more years. Oregon raised income taxes at the high
end last year, and Kansas and Arizona raised sales taxes.
In too many states, though — including New York, New Jersey, Maryland and
Washington — voters or governors have rejected higher taxes on high incomes,
even though those at the top have experienced a windfall at the federal level.
Governor Christie, who calls his state “broke” and faces an upcoming deficit
that may be more than $10 billion, has even rejected raising New Jersey’s
gasoline tax, one of the lowest in the nation.
With federal stimulus aid ending, states are in for their worst year in
generations, and they cannot get out of it by either cutting or taxing alone.
Illinois is figuring that out, finally. Too many other states are still in
denial.
Illinois Wakes Up, NYT,
16.1.2011,
http://www.nytimes.com/2011/01/17/opinion/17mon1.html
Illinois
Legislators Approve 66% Tax Increase
January 12,
2011
The New York Times
By MONICA DAVEY
CHICAGO —
With only hours left before new state lawmakers were to take over, Illinois’s
State Legislature narrowly approved early on Wednesday an increase of about 66
percent in the state’s income tax rate.
The vast size of the increase, the rarity of such increases here — the last one
came two decades ago — and the hour of the vote (in the wee hours of Wednesday)
all reflected the urgency and depth of this state’s fiscal crisis.
Even grudging supporters of the tax increase, which won no Republican support in
a state capital controlled by Democrats, voiced a desperate sense of regret over
the circumstances in which Illinois finds itself. State Representative Elaine
Nekritz, a Democrat who voted for the increase, described her decision as an
alternative “between bad and worse.” Another Democrat cautioned his colleagues:
“We don’t have a better choice today.”
Many states are struggling with anemic revenues and the prospect of an end to
additional federal funds, but Illinois faces a budget deficit of as much as $15
billion, owes some $8 billion in unpaid bills to social service agencies,
doctors, dentists and others, and is receiving mounting signs of worry from bond
investors.
Under the legislation, the income tax rate would, at least temporarily, rise to
5 percent from its current rate of 3 percent. Lawmakers had talked about an even
steeper increase, but set that aside as the hours went by and the debate grew
increasingly emotional. The rate for corporate taxes would rise to 7 percent
from its current rate of 4.8 percent. As part of the deal, the state’s spending
growth would be limited from one year to the next over the next four years.
Gov. Patrick J. Quinn, a Democrat whose signature would be needed to make any
rate increase final, has indicated in the past he believes a tax increase is
necessary.
The tax hike irked Republicans in Springfield, the state capital, and business
owners around the state. Again and again, Republicans argued that the state
needed to make significant spending cuts to solve its deficit before it even
began considering a tax increase.
On the Statehouse floor on Tuesday night, Roger L. Eddy, a Republican
representative, said that lawmakers were essentially “making up for our
mistakes” on the backs of taxpayers, while one state senator called it a “train
wreck.” Representative David Reis, another Republican, warned of the “sucking
sound” he imagined would now be heard of businesses leaving the Illinois.
The fallout of the vote remains to be seen: Will Illinois businesses really now
flock to neighbors Wisconsin and Indiana as opponents have suggested? Will the
increase impress investors and quickly improve the state’s sunken bond rating?
And, perhaps most of all, will the change be enough to turn around the financial
woes of a state where the deficit has grown to the size of half of the annual
general fund?
Democrats, who control the state’s House of Representatives and Senate, had been
racing to push through the tax increase before noon on Wednesday, when
legislators elected in November arrive in Springfield and a new legislative
session begins.
In the new session, Democrats will continue to control both chambers, but their
margins will shrink. Some leading Democrats viewed this as the only time when
such a politically difficult vote might be possible: a moment when departing
legislators need not fret over how voters might react.
In the House, where until noon on Wednesday Democrats hold 70 seats, the bill
passed 60 to 57. In the Senate, which had shown earlier willingness to raise
taxes, the measure passed 30 to 29 in a vote that was tallied after 1 a.m.
Central time.
Illinois Legislators Approve 66% Tax Increase, NYT,
12.1.2011,
http://www.nytimes.com/2011/01/13/us/13illinois.html
Sweet Home Arizona
January 10, 2011
The New York Times
By AURELIE SHEEHAN
Tucson
I SPENT early Saturday morning writing a short story set in
Tucson. I’ve lived here for a decade, but it’s only recently that I’ve felt I
can claim the place as a subject. The impetus for writing about it hasn’t been
love so much as anxiety, a sense that it’s in danger somehow — on many fronts.
That feeling of danger hit hard when I slouched out of my office to get another
cup of coffee and my husband, mid-chat, looked up from his computer to tell me
Representative Gabrielle Giffords had been shot, as had several other people. At
a Safeway, of all places.
We stared at the local news Web site, trying to understand this new reality. A
headline for an earlier article describing a lesser calamity still dominated the
page: “BB Gun Killed 80 Bats Found Under East-Side Bridge, G & F Concludes,”
with a picture of a frail bat clinging to an embankment. To the right of this,
the stark words of a breaking news bulletin: Gabrielle Giffords, 40, shot
point-blank in the head.
Our 11-year-old daughter came out of her bedroom. She was wrapped in her fuzzy
blanket, ready to listen to Taylor Swift or play Fruit Ninja on her iPod.
Instead she listened to her mother tell of the shooting of our congresswoman
and, as the news came in, the killing of her aide, a federal judge, a 9-year-old
girl (who, like our daughter, had served on her student council) and three
elderly citizens. She watched her mother cry.
My daughter knew Gabby Giffords as a politician, as someone we’d supported in
the last election. We talk a lot about politics at our house, and she’s an
attentive listener, fierce about what she thinks is wrong and right. But her
response that morning wasn’t politically motivated, nor was ours. It was the
shock of violence, the fear and anger and sorrow that comes from hearing about
deaths close to home.
We know that Safeway; we know the bakery where people ran to safety. The
shopping center is both pleasant and mundane: an adobe and brick building with
the Santa Catalina Mountains rising up behind it, a sleepy, easy place to get
groceries or a muffin on a weekend morning. Given a modest shift in
circumstance, we might have been there.
Earlier, over breakfast, my husband and I had shaken our heads to see our
adopted city as the dateline of an article on the front page of The Times under
the headline “Citing Brainwashing, Arizona Declares a Latino Class Illegal.”
Arizona has been in the national news a lot lately, and never for the right
reasons. Now, as we senselessly hit refresh on our computers, we felt more than
ever caught in a place where the tenor of America’s political discourse was
spinning out of control. The state felt as if it was closing in on us.
Over the weekend, that slowly changed.
Saturday night we had signed on to go to a benefit concert for a small
organization that develops music programs for at-risk children in the Southwest.
It was organized by a talented 12-year-old boy who took guitar lessons alongside
our daughter, and we had been looking forward to it. Now no one really wanted to
go — we were all too beaten down by the day. But we went anyway, to support the
young guitarist and the nonprofit group.
We sat down in the school auditorium, restless, a little ill at ease, scattered
in our thoughts. About 200 people were there. The lights went down and, after a
weirdly protracted pause, Brad Richter, the nonprofit’s co-founder, took the
stage.
He talked quietly about what had happened that morning. He had played guitar at
Gabrielle Giffords’s wedding, in 2007. And that evening he played an original
composition for us, something she had requested he play then: “Elation,” the
song was called. The feeling of community in the room was palpable, and if
elation was beyond our reach, we were at least consoled.
The next night, my daughter and I stopped in front of Ms. Giffords’s office on
the corner of Pima and Swan. Hundreds of candles and flowers, many teddy bears,
peace signs, handwritten notes and a dreamcatcher — vast, radiant displays of
support and hope — were arrayed at our feet. A TV newscaster was putting on lip
balm, readying for another round of pronouncements. A group of college students
huddled in their hoodies, awkward and silent and sad, and a lone young woman sat
by the edge, in prayer.
It’s been a tough couple of years here since the presidential election, and our
friendships with some Republicans have grown strained. In the wake of this
attack, I don’t know if we will be able to talk to each other more now, if we
will reach out across the political divide, or if the sides will become further
entrenched, if this is the harbinger of more divisiveness.
But experiencing the steadfast and determined ways so many people of this city
are trying to keep it together, trying to reach out and make this a better place
— Gabrielle Giffords being one of them — has made me understand how much this
flawed, complex desert town means to me, how much it feels like home.
Aurelie Sheehan is the director of the creative writing program
at the University of Arizona and the author of “History Lesson for Girls,” a
novel.
Sweet Home Arizona,
NYT, 10.1.2011,
http://www.nytimes.com/2011/01/11/opinion/11sheehan.html
In Tucson, Guns Have a Broad Constituency
January 10, 2011
The New York Times
By JO BECKER and MICHAEL LUO
TUCSON — “I have a Glock 9 millimeter, and I’m a pretty good shot.”
The quip, by Representative Gabrielle Giffords, was made in an interview last
year with The New York Times, when tensions were running high in her district.
It speaks not only to her ability to defend herself but also to the passionate
gun culture in Arizona, which crosses political lines and is notable for its
fierceness, even in the West.
Indeed, the federal judge who was killed on Saturday in the shootings here, John
M. Roll, had his wife and many people who worked with him take lessons at the
Marksman Pistol Institute, an indoor range downtown. One of the doctors who
operated on Ms. Giffords after the shooting rampage was a member of the Pima
Pistol Club, an outdoor range where federal and local law enforcement personnel
were practicing on Monday.
Arizona’s gun laws stand out as among the most permissive in the country. Last
year, Arizona became only the third state that does not require a permit to
carry a concealed weapon. The state also enacted another measure that allowed
workers to take their guns to work, even if their workplaces banned firearms, as
long as they kept them in their locked vehicles.
In 2009, a law went into effect allowing people with concealed-weapons permits
to take their guns into restaurants and bars.
It is unclear whether the attack on Saturday will do anything to shift attitudes
about guns in this state. But at the federal level, gun control advocates have
quickly zeroed in on the “high-capacity” ammunition magazine used by the
suspect, Jared L. Loughner.
Gun magazines that hold more than 10 rounds were banned under the federal
assault weapons ban until the statute expired at the end of 2004. Today, just
six states and the District of Columbia limit the sale of such magazines.
The magazine of Mr. Loughner’s semiautomatic pistol held more than 30 rounds
when, law enforcement officials say, he opened fire on a crowd outside a Tucson
supermarket on Saturday.
It was only when he stopped to reload that bystanders were able to tackle him.
“The reason he was able to be tackled was he had to pause to reload,” said
Dennis Henigan, vice president of the Brady Center to Prevent Gun Violence, a
group that works to change gun laws and the gun industry. “The problem is, he
didn’t have to pause to reload until he’d already expended 30 rounds.”
Representative Carolyn McCarthy, Democrat of New York, is preparing legislation
to prohibit high-capacity magazines and could introduce a measure as early as
this week, said Shams Tarek, a spokesman.
Mr. Tarek said Ms. McCarthy’s office had been in talks with the staff of Senator
Frank R. Lautenberg, Democrat of New Jersey, about working together on the
issue. “We’re trying to come up with something that’s reasonable, that has a
chance to go somewhere,” Mr. Tarek said.
Public support for stricter gun control, however, has dropped significantly over
the last couple of decades, and there is little evidence to suggest that mass
shootings change opinions.
In a Gallup poll conducted in October, just 44 percent of Americans said the
laws covering the sale of firearms should be made stricter, matching Gallup’s
record low on the question set in 2009. The 1999 Columbine and 2007 Virginia
Tech shootings appear to have had little, if any, effect on these views.
In Arizona, the liberalization of gun laws has accelerated over the last two
years, after Jan Brewer, a Republican, succeeded Janet Napolitano, a Democrat,
as governor in 2009, putting Republicans in control of both the Legislature and
the governor’s office.
In the last two weeks, two bills were introduced relating to the right to carry
guns on college campuses, one allowing professors to carry concealed weapons and
one allowing anybody who can legally carry a gun to do so.
“Here in Arizona, it’s very difficult to change the culture,” said Hildy Saizow,
president of Arizonans for Gun Safety. “But we’re going to try.”
Federal laws bar anyone who has been “adjudicated as a mental defective,” as
well as those involuntarily committed to a mental health facility, from buying a
gun. Administrators at Pima Community College banned Mr. Loughner from the
school last year because they had concerns about his mental well-being, but the
episode would not have risen to the level in which it would have shown up on a
computerized background check, or legally barred him from buying a gun, legal
experts said.
Similarly, federal law prohibits “unlawful” drug users and “addicts” from buying
guns, based on recent convictions, or multiple arrests over the past five years.
Mr. Loughner was arrested in 2007 for possession of drug paraphernalia; he
successfully competed a court diversion program, which resulted in the charge’s
being dropped from his record. He failed a drug test when trying to enlist in
the Army in 2008, Pentagon officials said. But, it does not appear that any of
this would have been enough to bar him from buying a gun, at least in Arizona.
A handful of other states, like New Jersey, Illinois and Massachusetts, where
more extensive investigations of individuals seeking gun licenses are conducted,
might have picked up some of these issues, said Josh Horwitz, executive director
of the Coalition to Stop Gun Violence.
Mr. Loughner legally bought his Glock 19, the same type of 9 millimeter pistol
that Seung-Hui Cho, the Virginia Tech gunman used, on Nov. 30 at Sportsman’s
Warehouse in Tucson, according to law enforcement officials. Not long before the
shooting on Saturday, Mr. Loughner went to a Wal-Mart in the city to buy gun
ammunition, but left the store before the sales person came back with the
bullets, according to a person with knowledge of the situation who spoke only on
the condition of anonymity because of the criminal investigation.
The individual said that Mr. Loughner then bought the ammunition he had sought
at another Wal-Mart in Tucson.
F.B.I. agents visited local gun ranges here on Monday, trying to reconstruct his
movements after he bought his gun. At the Marksman Pistol Institute, an agent
entered shortly before noon, questioning the owner over the dulled popping
sounds of gunfire.
The owner, Barbara O’Connell, had already checked the logs. Mr. Loughner had not
been there, according to her paperwork, and no one recalled seeing him. The
story was the same at another outdoor range.
Most people at the ranges said that, if anything, the shooting would cause more
people to carry guns as a means of self-defense, rather than cause a
retrenchment in the form of stricter laws.
“The criminals are going to have guns, so why should we as law-abiding citizens
be punished for what a criminal does?” said Ms. O’Connell.
Ms. O’Connell lamented the death of Judge Roll, who was well known at the range:
“He knew how to shoot, but he’d just been to church, and he probably didn’t have
his gun.”
Serge Kovaleski and Dalia Sussman contributed reporting from New York.
In Tucson, Guns Have a
Broad Constituency, NYT, 10.1.2011,
http://www.nytimes.com/2011/01/11/us/11guns.html
Talk Radio Hosts in Arizona Reject Blame in Shooting
January 10, 2011
The New York Times
By SAM DOLNICK and TIMOTHY WILLIAMS
TUCSON — During Tucson’s first rush hour since a weekend shooting left six
people dead and 14 wounded, including Representative Gabrielle Giffords, talk
radio hosts pushed back against arguments that their heated political rhetoric
had played a role in the tragedy.
Phone calls poured in to stations across the AM dial to denounce Sheriff
Clarence W. Dupnik, who said at a news conference over the weekend that Arizona
had become “the mecca for prejudice and bigotry” and that local TV and radio
hosts should do some “soul-searching.” “I would say that his comments have
incited stupidity around the world,” said Garret Lewis, host of The Morning
Ritual on 790 AM. “People have the image now that we’re a bunch of racist bigots
and there are shootouts in the streets. Again he has absolutely no proof that
any of this is true.”
Steve, a caller on the Jon Justice Show on 104.1 FM, said Mr. Dupnik’s
statements “showed him for the buffoon he is.” Later, a called named Lee called
the sheriff “a blithering idiot.” Caller after caller came up with their own
colorful descriptions.
In the incredulous language of the AM dial, Mr. Justice defended his show, and
dismissed the notion that Arizona’s heated political culture served as the
backdrop to the shooting or an inspiration for the suspect, Jared L. Loughner.
“This is a crazy person!” he said. “Politics is out the window — you’re a
nutbag! No amount of controlling talk radio is going to change that!”
“People need to go and point fingers,” he said. “It’s unfortunate but some
people do. They have to find somebody to demonize.”
Some callers however made it clear that they believed the state’s
conservative-leaning radio hosts bore responsibility.
“You ought to be ashamed,” said a caller named Dale to Mr. Justice’s program.
“You are part of the problem.”
Mr. Justice, his voice cracking, responded: “There’s nothing I have said on this
radio station that could have inspired” this guy.
A caller who identified himself as Rick told the host Mike Gallagher of KKNT,
960 AM, in Phoenix that “individuals like yourself instill fear” in people.
“Was Jared Loughner a Mike Gallagher listener?” the host asked. “You’re
dishonest, Rick.”
On Wake Up Tucson on 1030 AM, the hosts said their political conversations were
more reasoned than inflammatory.
“When we take an issue on, we really, really understand where we’re going,” said
Joe Higgins.
“Ninety-nine percent of the stuff that we’ve ever talked about, we’re dead on,”
said his partner, Chris DeSimone. “We’re constantly doing our homework.”
On the Morning Ritual, it was barely light outside when Mr. Lewis began knocking
down arguments that after the shooting, gun control laws should be tightened.
“We can’t always depend on the police, the sheriff’s department or anyone else
to protect us,” he said. “At some point, we have to do it ourselves.”
Most callers to the shows agreed with the hosts and defended their right to
speak.
“I don’t know what you did wrong,” said a caller to Mr. Justice’s show named
John. “Keep the freedom of speech going.”
Sam Dolnick reported from Tucson, and Timothy Williams from New York.
Talk Radio Hosts in
Arizona Reject Blame in Shooting, NYT, 10.1.2011,
http://www.nytimes.com/2011/01/11/us/11radio.html
Shooting Casts a Harsh Spotlight on Arizona’s Unique Politics
January 9, 2011
The New York Times
By JENNIFER STEINHAUER
Arizona is not a world apart, but its political culture has often resided at
a distance from much of the nation.
But after the fatal shooting of six that left Representative Gabrielle Giffords
critically injured, Arizona has shifted from a place on the political fringe to
symbol of a nation whose political discourse has lost its way.
The moment was crystallized by Clarence W. Dupnik, the Pima County sheriff, who,
in a remarkable news conference on Saturday after the shooting, called his state
“the mecca for prejudice and bigotry.”
On Sunday, the state found itself increasingly on the defensive against notions
that it is a hothouse of hateful language and violent proclivities. It was as if
Arizona somehow created the setting for the shocking episode, even though there
was no evidence to support the claim.
Arizona’s United States senators, John McCain and Jon Kyl, both Republicans,
moved quickly to defend their home state, denouncing before national audiences
the man accused in the shooting, and, in Mr. Kyl’s case, suggesting that Sheriff
Dupnik, a Democrat who was elected to office, had overreached. “I didn’t really
think that that had any part in a law enforcement briefing last night,” Mr. Kyl
said Sunday on “Face the Nation” on CBS.
Other elected officials were pressed to explain why the assault might have taken
place in their state. “Arizona’s the epicenter of a lot of division and a lot of
hard politics,” Representative Raul M. Grijalva, Democrat of Arizona, said on
“Meet the Press” on NBC. “From the top to the bottom of not only our elected
leadership, but community.”
In recent years, where much of the nation has seen intolerance, Arizona has
cited security. What other Americans have viewed as outlandish, Arizona has
interpreted as independence. It is one of the few states in America that would
produce a politician like Ms. Giffords: a staunch defender of the Second
Amendment, tough on border issues, and a Democrat passionate about the health
care overhaul.
Its unusual mix of residents largely born and raised outside of the state, its
three-way political divide — independents are as numerous as Republicans and
Democrats — bifurcated urban and rural culture and strong pro-gun laws give the
state an independent, and at times almost isolated, streak.
While the individual components of Arizona are shared by other states, the mix
of the state’s border proximity, rapid growth and dire fiscal circumstances have
combined in the last few years into a riveting and sometimes chilling theater of
fiscal, political and cultural tensions.
The shooting comes soon after the passage of a strict anti-immigration measure
that is being challenged by the federal government, the killing of a rancher
that led to the law and the revelation that the state has stopped paying for
some transplants for critically ill patients. There is also the state’s role as
an early promoter of the effort during the 2010 Senate campaign to write the
children of illegal immigrants out of the 14th Amendment provision that grants
citizenship to anyone born in the United States.
“Just when we were starting to emerge from the P.R. trauma of the immigration
law, and with the eyes of the nation upon us for the college football national
championship all week for Monday night’s game, we offer up our state as the land
of Oswalds,” said Jason Rose, a native Arizonan and a well-known political
adviser in Phoenix. “This tragedy can’t help but curtail, at least for some
time, Arizona’s role as a Wild West incubator.”
Talk radio, which has a long tradition in Arizona, has been particularly heated
as the state has struggled with immigration. “You’ve got a lot going on in
Arizona that feeds into the kind of discourse that some people think is creating
a contentious climate in this country,” said Michael Harrison, editor of Talkers
magazine, which covers the industry. “I wouldn’t say that talk radio is more
contentious or extreme or radical in Arizona, but they are just closer to the
issues at hand. It’s a national story elsewhere; there, it’s a local story.”
Arizona has found itself in the position of self-defense against a critical
nation before. Shortly after taking office in 1987, Gov. Evan Mecham rescinded
the state holiday honoring the Rev. Dr. Martin Luther King Jr., a move that
enraged state workers and caused a boycott of the state, which was the last to
finally embrace the holiday.
“Arizona’s at the tip of the spear,” said Kelly Townsend, a co-founder of the
Greater Phoenix Tea Party. “I think people are getting to the pressure point
where they can’t restrain themselves anymore in expressing their feelings.
“I don’t mean restrain themselves in terms of violence, but calling names. It’s
a reaction to all the pressures we’re facing. It’s not that anyone is trying to
hurt anyone. It’s just that our budget is so incredibly stressed right now that
we can’t afford to be paying for so many people coming into our state. There’s a
lot of pressure on the backs of everyone, and so the anger and these kinds of
statements are made underneath that pressure.”
While many states have nonrestrictive gun laws, Arizona’s zeal for weapons has
often made headlines. It recently became one of just a few states with a law
that allows people to carry concealed guns without a permit. Last summer, Ms.
Giffords’s Republican opponent, Jesse Kelly, had a campaign event in which
voters were invited to “shoot a fully automatic M-16” with him to symbolize his
assault on her campaign.
The state also allows for weapons in bars, which is unusual. Last year, an
unsuccessful candidate for Congress, Pamela Gorman, ran on a pro-gun platform; a
campaign video depicted her firing off rounds several times.
Arizona may now stand at a crossroad, in which the state’s more moderate,
independent political factions begin to seize the state’s political discourse,
in the spirit of Barry Goldwater and the pre-2008 Mr. McCain, or becomes all the
more polarized. But, said Mr. Rose, who at one point was a spokesman for J. D.
Hayworth, the former radio host who challenged Mr. McCain in the primary last
year, “Either way, a giant collision is about to occur.”
Reporting was contributed by Sharon Otterman, Sarah Wheaton and Kate Zernike.
Shooting Casts a Harsh
Spotlight on Arizona’s Unique Politics, NYT, 9.1.2010,
http://www.nytimes.com/2011/01/10/us/10arizona.html
Bloodshed and Invective in Arizona
January 9, 2011
The New York Times
She read the First Amendment on the House floor — including the guarantee of
“the right of the people peaceably to assemble” — and then flew home to Arizona
to put those words into practice. But when Gabrielle Giffords tried to meet with
her constituents in a Tucson parking lot on Saturday, she came face to face with
an environment wholly at odds with that constitutional ideal, and she nearly
paid for it with her life.
Jared Loughner, the man accused of shooting Ms. Giffords, killing a federal
judge and five other people, and wounding 13 others, appears to be mentally ill.
His paranoid Internet ravings about government mind control place him well
beyond usual ideological categories.
But he is very much a part of a widespread squall of fear, anger and intolerance
that has produced violent threats against scores of politicians and infected the
political mainstream with violent imagery. With easy and legal access to
semiautomatic weapons like the one used in the parking lot, those already
teetering on the edge of sanity can turn a threat into a nightmare.
Last spring, Capitol security officials said threats against members of Congress
had tripled over the previous year, almost all from opponents of health care
reform. An effigy of Representative Frank Kratovil Jr., a Maryland Democrat, was
hung from a gallows outside his district office. Ms. Giffords’s district office
door was smashed after the health vote, possibly by a bullet.
The federal judge who was killed, John Roll, had received hundreds of menacing
phone calls and death threats, especially after he allowed a case to proceed
against a rancher accused of assaulting 16 Mexicans as they tried to cross his
land. This rage, stirred by talk-radio hosts, required marshals to give the
judge and his family 24-hour protection for a month. Around the nation, threats
to federal judges have soared for a decade.
It is facile and mistaken to attribute this particular madman’s act directly to
Republicans or Tea Party members. But it is legitimate to hold Republicans and
particularly their most virulent supporters in the media responsible for the
gale of anger that has produced the vast majority of these threats, setting the
nation on edge. Many on the right have exploited the arguments of division,
reaping political power by demonizing immigrants, or welfare recipients, or
bureaucrats. They seem to have persuaded many Americans that the government is
not just misguided, but the enemy of the people.
That whirlwind has touched down most forcefully in Arizona, which Pima County
Sheriff Clarence Dupnik described after the shooting as the capital of “the
anger, the hatred and the bigotry that goes on in this country.” Anti-immigrant
sentiment in the state, firmly opposed by Ms. Giffords, has reached the point
where Latino studies programs that advocate ethnic solidarity have actually been
made illegal.
Its gun laws are among the most lenient, allowing even a disturbed man like Mr.
Loughner to buy a pistol and carry it concealed without a special permit. That
was before the Tucson rampage. Now, having seen first hand the horror of
political violence, Arizona should lead the nation in quieting the voices of
intolerance, demanding an end to the temptations of bloodshed, and imposing
sensible controls on its instruments.
Bloodshed and Invective
in Arizona, NYT, 9.1.2011,
http://www.nytimes.com/2011/01/10/opinion/10mon1.html
Rift in
Arizona as Latino Class Is Found Illegal
January 7,
2011
The New York Times
By MARC LACEY
TUCSON —
The class began with a Mayan-inspired chant and a vigorous round of coordinated
hand clapping. The classroom walls featured protest signs, including one that
said “United Together in La Lucha!” — the struggle. Although open to any student
at Tucson High Magnet School, nearly all of those attending Curtis Acosta’s
Latino literature class on a recent morning were Mexican-American.
For all of that and more, Mr. Acosta’s class and others in the Tucson Unified
School District’s Mexican-American program have been declared illegal by the
State of Arizona — even while similar programs for black, Asian and American
Indian students have been left untouched.
“It’s propagandizing and brainwashing that’s going on there,” Tom Horne,
Arizona’s newly elected attorney general, said this week as he officially
declared the program in violation of a state law that went into effect on Jan.
1.
Although Shakespeare’s “Tempest” was supposed to be the topic at hand, Mr.
Acosta spent most of a recent class discussing the political storm in which he,
his students and the entire district have become enmeshed. Mr. Horne’s name came
up more than once, and not in a flattering light.
It was Mr. Horne, as the state’s superintendent of public instruction, who wrote
a law aimed at challenging Tucson’s ethnic-studies program. The Legislature
passed the measure last spring, and Gov. Jan Brewer signed it into law in May
amid the fierce protests raging over the state’s immigration crackdown.
For the state, the issue is not so much “The Tempest” as some of the other texts
used in the classes, among them, “The Pedagogy of the Oppressed” and “Occupied
America,” which Mr. Horne said inappropriately teach Latino youths that they are
being mistreated.
Teaching methods in the classes are sometimes unconventional, with instructors
scrutinizing hip-hop lyrics and sprinkling their lessons with Spanish words.
The state, which includes some Mexican-American studies in its official
curriculum, sees the classes as less about educating students than creating
future activists.
In Mr. Acosta’s literature class, students were clearly concerned. They asked if
their graduation was at risk. They asked if they were considered terrorists
because Mr. Horne described them as wanting to topple the government. They asked
how they could protest the decision.
Then, one young woman asked Mr. Acosta how he was holding up.
“They wrote a state law to snuff this program out, just us little Chicanitos,”
he said, wiping away tears. “The idea of losing this is emotional.”
At a recent news conference, Mr. Horne took pains to describe his attack on
Tucson’s Mexican-American studies program as one rooted in good faith. He said
he had been studying Spanish for several years and had learned enough to read
Mexican history books in Spanish and to give interviews on Univision and
Telemundo, two Spanish-language broadcasters.
Asked whether he felt he was being likened to Bull Connor, the Alabama police
commissioner who became a symbol of bigotry in the 1960s, Mr. Horne described
how he had participated in the March on Washington in 1963 as a young high
school graduate. He said of his critics: “They are the ‘Bull Connors.’ They are
the ones resegregating.”
Mr. Horne’s battle with Tucson over ethnic studies dates to 2007, when Dolores
Huerta, co-founder of the United Farm Workers, told high school students there
in a speech that Republicans hated Latinos. Mr. Horne, a Republican, sent a top
aide, Margaret Garcia Dugan, to the school to present a different perspective.
He was infuriated when some students turned their backs and raised their fists
in the air.
The Arizona law warns school districts that they stand to lose 10 percent of
their state education funds if their ethnic-studies programs are found not to
comply with new state standards. Programs that promote the overthrow of the
United States government are explicitly banned, and that includes the suggestion
that portions of the Southwest that were once part of Mexico should be returned
to that country.
Also prohibited is any promotion of resentment toward a race. Programs that are
primarily for one race or that advocate ethnic solidarity instead of
individuality are also outlawed.
On Monday, his final day as the state’s top education official, Mr. Horne
declared that Tucson’s Mexican-American program violated all four provisions.
The law gives the district 60 days to comply, although Mr. Horne offered only
one remedy: the dissolution of the program.
He said the district’s other ethnic-studies programs, unlike the
Mexican-American program, had not received complaints and could continue.
John Huppenthal, a former state senator who took over as Arizona’s schools
chief, said he supported Mr. Horne’s 11th-hour ruling. Mr. Huppenthal sat in on
one of the Tucson classes taught by Mr. Acosta, and said that Benjamin Franklin
was vilified as a racist and a photo of Che Guevara was hanging on the wall.
Besides that, he said, Tucson’s test scores are among the lowest in the state,
indicating that the district needs to focus on the fundamentals.
Officials here say those enrolled in the program do better on state tests than
those of the same ethnicity who are not enrolled.
The battle means that Tucson, a struggling urban district, stands to lose nearly
$15 million in an already difficult budget environment. So far, the school board
has stood by the program, declaring that it considers it to be in compliance
with the law.
If financing were pulled, the district would have an opportunity to appeal, and
school officials were already talking about the possibility of the matter ending
up in court. Meanwhile, 11 teachers, including Mr. Acosta, have filed suit in
federal court challenging the constitutionality of the state restrictions.
A discrimination suit against Tucson’s schools in the 1970s prompted a
settlement in which an African-American studies program was created. Later,
other ethnic-studies programs were added.
To buttress his critique of the Tucson program, Mr. Horne read from texts used
in various classes, which in one instance referred to white people as “gringos”
and described privilege as being related to the color of a person’s skin, hair
and eyes. He also cited the testimony of five teachers who described the program
as giving a skewed view of history and promoting racial discord.
“On the first day of school, they are no different than students in any other
classes,” said John Ward, who briefly taught a Latino history class in Tucson.
“But once they get told day after day that they are being victimized, they
become angry and resentful.”
Augustine F. Romero, director of student equity in the Tucson schools, said the
program was intended to make students proud of who they are and not hostile
toward others. “All of our forefathers have contributed to this country, not
just one set of forefathers,” he said. “We respect and admire and appreciate the
traditional forefathers, but there are others.”
The debate over the program’s future, Mr. Romero said, proves more than ever the
need for the program. “There’s a fierce anti-Latino sentiment in this state,” he
said. “These courses are about justice and equity, and what is happening is that
the Legislature is trying to narrow the reality of those things.
“Who are the true Americans here — those embracing our inalienable rights or
those trying to diminish them?”
Rift in Arizona as Latino Class Is Found Illegal, NYT,
8.1.20111,
http://www.nytimes.com/2011/01/08/us/08ethnic.html
Georgia
Facing a Hard Choice on Free Tuition
January 6,
2011
The New York Times
By KIM SEVERSON
ATHENS, Ga.
— Students here at the University of Georgia have a name for some of the fancy
cars parked in the lots around campus. They call them Hopemobiles. But there may
soon be fewer of them.
The cars are gifts from parents who find themselves with extra cash because
their children decided to take advantage of a cherished state perk — the Hope
scholarship. The largest merit-based college scholarship program in the United
States it offers any Georgia high school student with a B-average four years of
free college tuition.
But the Hope scholarship program is about to be cut by a new governor and
Legislature facing staggering financial troubles.
The lingering effects of the recession and the end of federal stimulus funds
have sunk many states into a fiscal quagmire. The seriousness of the problem,
and a growing concern over how much worse it might become, have many states
struggling to find ways to trim services or raise revenues.
In Georgia, that means taking a slice out of the Hope scholarship.
When it was begun in 1993, the program was covered easily by Georgia’s state
lottery. Politicians enjoyed how happy it made middle-class constituents.
Educators praised the way it improved SAT scores and lifted Georgia from the
backwaters of higher education.
It was considered so innovative that 15 states copied it. And while the
lottery-based scholarship programs in states like Tennessee are dipping into
reserves to cover the costs, none have fiscal woes as big as Georgia’s.
Part of it is the program’s popularity. A majority of freshmen in Georgia have
grades good enough to qualify for Hope, which covers tuition, some books and
fees — but not housing costs — at any Georgia university or technical school.
And even though as many as two-thirds of Hope students let their college grades
slip so much that they no longer qualify — “I’ve lost Hope,” they joke when it
happens — Georgia still gives away more financial aid per student than any other
state. Since the program started, 1.3 million Georgia students have received a
total of $5.6 billion in educational support. The program offers as much as
$6,000 a year for some students.
But the program has become so popular it cannot sustain itself. Lottery sales,
which by law can pay for only the Hope scholarship and a free prekindergarten
program, will be short $243 million this fiscal year and as much as $317 million
the next, according to state budget estimates.
Last year, lawmakers had to pull millions of dollars from the state’s reserve
fund just to cover the cost. But this year, there is nowhere to turn.
Like the other states that are facing the worst fiscal crisis in recent memory,
Georgia heads into its legislative session next week staring at a budget deficit
of as much as $2 billion. And that is after billions of dollars in cuts over the
past two years that have reduced the state’s spending power to $17.9 billion for
fiscal year 2011.
But trim the program that for years has paid to educate the children of the most
reliable voters in the state?
“Undoubtedly, this is, in every sense of the word, a very strongly ingrained
entitlement for a certain segment of voters, and politicians are indeed
reluctant to touch it,” said Christopher Cornwell, a professor of economics at
the University of Georgia, who has studied the effect of the Hope scholarship on
the state, including an analysis of the positive impact the scholarship has had
on car sales.
Politicians are hoping for mercy as they begin this month to make decisions that
will surely have the parents of college-bound students scrambling to find new
ways to pay for tuition.
“We trust and we hope the people in the state of Georgia understand the position
we’re in,” said State Representative Len Walker, a Republican who leads the
House Higher Education Committee.
They do and they don’t.
Cathy Ottley, a part-time office manager, and her husband, a management
consultant, are raising three children in Marietta, north of Atlanta. One is a
sophomore at the University of Georgia, courtesy of the Hope scholarship. A
daughter who is a high school senior had her heart set on the University of
North Carolina but has come to see an in-state college as the practical way to
go. And then there is the youngest, a high school freshman with a promising
future in athletics. Without the scholarship, Ms. Ottley said, college for her
children would be a stretch at best.
“This just gives you options,” she said. “I don’t have peace about kids just
starting out at 22 with $200,000 in debt for their education.”
Mr. Walker said no one was talking about cutting the program completely.
“It appears at this point that it will not be a 100 percent scholarship. It
might be 90 percent. It might 80 percent,” he said. But the cost of books and
fees will most certainly be eliminated.
Other options include raising the required grade-point average, which would cut
the number of students who qualify, or giving more to exceptional students and
less to merely above-average performers.
“That would make it so much harder,” said Myisha Price, a junior at Clayton
State University in Atlanta, who relies on the scholarship and also works. “I
don’t go to clubs. I don’t drink. I don’t smoke and I don’t party and it’s
already hard.”
Another idea is to work economic need into the equation, though that idea does
not have much support, both lawmakers and educators said.
The most likely plan, and one that Governor-elect Nathan Deal, a Republican, has
indicated he supports, would be to create a flat rate for each student,
regardless of the tuition bill.
At a cafeteria table here this week, a group of Hope recipients defended the
program and debated a range of ideas to keep Hope alive, including raising
taxes.
Allie McCullen, who is majoring in English and women’s studies, is in her fourth
year at Georgia. She is the only child of a single mother who in 2006 lost her
job in the mortgage industry. Ms. McCullen pieces together her living expenses
and extra book costs through a small grant and two jobs.
“If I didn’t have it, I might not be able to attend at all,” she said. “Or I
would just be in such severe debt that I might not ever be able to get out of
it.”
If the scholarship ends or gets cut drastically, it could send the most
promising students out of state and even end the era of new cars for incoming
freshman.
Lauren Rice drives a Hopemobile (though, she concedes, it is only a Honda
Civic). Her parents told her she could go to college anywhere. She was
considering Auburn in Alabama. But her parents offered her what she called “the
car incentive.” That, plus the daunting out-of-state tuition helped her select
the University of Georgia.
But without Hope, Ms. Rice’s decision might have been different.
“If you’re going to have a bill in-state anyway,” she said, “then what does it
matter?”
Georgia Facing a Hard Choice on Free Tuition, NYT,
6.1.2011,
http://www.nytimes.com/2011/01/07/us/07hope.html
Son of
Former Speaker Has His Prison Term Cut
January 3,
2011
The New York Times
By IAN LOVETT
LOS ANGELES
— With just hours left in his term, Gov. Arnold Schwarzenegger commuted the
sentence of a former State Assembly speaker’s son who is in prison for his role
in a 2008 killing.
Esteban Nuñez, the son of the former speaker, Fabian Nuñez, pleaded guilty to
voluntary manslaughter after a drunken fight near San Diego State University led
to the stabbing death of Luis Santos. Mr. Nuñez, now 21, was sentenced to 16
years in state prison, but Mr. Schwarzenegger reduced the sentence to seven
years.
In a statement released Sunday — his last night in office — Mr. Schwarzenegger
noted that although Mr. Nuñez had no prior criminal record and was not the one
to deliver the fatal blow, he had received the same sentence as Ryan Jett, a
fellow defendant who already had two convictions and killed Mr. Santos with a
stab to the chest.
“I believe Nuñez’s sentence is excessive,” the statement said. “He was not the
actual killer.”
As speaker until 2008, Mr. Nuñez had been one of the most powerful politicians
in California. High-profile politicians were involved in the case from early on,
with former Gov. Pete Wilson among those who sent letters in support of the
younger Mr. Nuñez.
Brad Patton, Esteban Nuñez’s lawyer, said he thought the judge had delivered a
harsh sentence to avoid the appearance of buckling to political pressure.
“The outcome that the governor created is how the case should have resolved in
the first place,” Mr. Patton said. “There was no reason that Esteban Nuñez
should have gotten the same sentence as Ryan Jett.”
But the San Diego district attorney and Mr. Santos’s parents said they were
shocked at the commutation. His parents said they learned of it when they began
getting calls from reporters on Sunday night.
“This has everything to do with politics, nothing else,” said Mr. Santos’s
father, Fred Santos. “He waited until the last minute and tried to sneak it in
and commute the sentence during the holidays.”
The Nuñez commutation was part of a flurry of activity on Mr. Schwarzenegger’s
final night as governor.
In addition to issuing several other commutations and pardons, Mr.
Schwarzenegger also announced dozens of political appointments, including one
for the spouse of his chief of staff.
Son of Former Speaker Has His Prison Term Cut, NYT,
3.1.2010,
http://www.nytimes.com/2011/01/04/us/04pardon.html
Strained
States Turning to Laws to Curb Labor Unions
January 3,
2011
The New York Times
By STEVEN GREENHOUSE
Faced with
growing budget deficits and restive taxpayers, elected officials from Maine to
Alabama, Ohio to Arizona, are pushing new legislation to limit the power of
labor unions, particularly those representing government workers, in collective
bargaining and politics.
State officials from both parties are wrestling with ways to curb the salaries
and pensions of government employees, which typically make up a significant
percentage of state budgets. On Wednesday, for example, New York’s new
Democratic governor, Andrew M. Cuomo, is expected to call for a one-year salary
freeze for state workers, a move that would save $200 million to $400 million
and challenge labor’s traditional clout in Albany.
But in some cases — mostly in states with Republican governors and Republican
statehouse majorities — officials are seeking more far-reaching, structural
changes that would weaken the bargaining power and political influence of
unions, including private sector ones.
For example, Republican lawmakers in Indiana, Maine, Missouri and seven other
states plan to introduce legislation that would bar private sector unions from
forcing workers they represent to pay dues or fees, reducing the flow of funds
into union treasuries. In Ohio, the new Republican governor, following the
precedent of many other states, wants to ban strikes by public school teachers.
Some new governors, most notably Scott Walker of Wisconsin, are even threatening
to take away government workers’ right to form unions and bargain contracts.
“We can no longer live in a society where the public employees are the haves and
taxpayers who foot the bills are the have-nots,” Mr. Walker, a Republican, said
in a speech. “The bottom line is that we are going to look at every legal means
we have to try to put that balance more on the side of taxpayers.”
Many of the proposals may never become law. But those that do are likely to
reduce union influence in election campaigns, with reverberations for both
parties.
In the 2010 elections, Republicans emerged with seven more governor’s mansions
and won control of the legislature in 26 states, up from 14. That swing has put
unions more on the defensive than they have been in decades.
But it is not only Republicans who are seeking to rein in unions. In addition to
Mr. Cuomo, California’s new Democratic governor, Jerry Brown, is promising to
review the benefits received by government workers in his state, which faces a
more than $20 billion budget shortfall over the next 18 months.
“We will also have to look at our system of pensions and how to ensure that they
are transparent and actuarially sound and fair — fair to the workers and fair to
the taxpayers,” Mr. Brown said in his inaugural speech on Monday.
Many of the state officials pushing for union-related changes say they want to
restore some balance, arguing that unions have become too powerful, skewing
political campaigns with their large war chests and throwing state budgets off
kilter with their expensive pension plans.
But labor leaders view these efforts as political retaliation by Republicans
upset that unions recently spent more than $200 million to defeat Republican
candidates.
“I see this as payback for the role we played in the 2010 elections,” said
Gerald W. McEntee, president of the American Federation of State, County and
Municipal Employees, the main union of state employees. Mr. McEntee said in
October that his union was spending more than $90 million on the campaign,
largely to help Democrats.
“Now there’s a bull’s-eye on our back, and they’re out to inflict pain,” he
said.
In an internal memorandum, the A.F.L.-C.I.O. warned that in 16 states,
Republican lawmakers would seek to starve public sector unions of money by
requiring each government worker to “opt in” before that person’s dues money
could be used for political activities.
“In the long run, if these measures deprive unions of resources, it will cut
them off at their knees. They’ll melt away,” said Charles E. Wilson, a law
professor at Ohio State University.
Of all the new governors, John Kasich, Republican of Ohio, appears to be
planning the most comprehensive assault against unions. He is proposing to take
away the right of 14,000 state-financed child care and home care workers to
unionize. He also wants to ban strikes by teachers, much the way some states bar
strikes by the police and firefighters.
“If they want to strike, they should be fired,” Mr. Kasich said in a speech.
“They’ve got good jobs, they’ve got high pay, they get good benefits, a great
retirement. What are they striking for?”
Mr. Kasich also wants to eliminate a requirement that the state pay union-scale
wages to construction workers on public contracts, even if the contractors are
nonunion. In addition, he would like to ban the use of binding arbitration to
settle disputes between the state and unions representing government employees.
Labor leaders, who argue that government employees are not overpaid, worry that
many of these measures have a much better chance of enactment than in previous
years because of Republican electoral gains and recession-ravaged taxpayers’
reduced sympathy toward government workers.
The A.F.L.-C.I.O.’s internal memo warned labor leaders, “With the enormous
losses in state legislatures around the country, we will face not only more
attacks on working families and their unions — we will face more serious
attacks, particularly in the formerly blue or purple states that are now
controlled by a Republican trifecta.”
It pointed in particular to six states, including several former union
strongholds, where Republicans control the governor’s mansion and both houses of
the legislature: Indiana, Maine, Michigan, Ohio, Pennsylvania and Wisconsin.
Naomi Walker, the A.F.L.-C.I.O.’s director of state government relations, said
many voters would oppose the antiunion efforts. “I think folks in these states
are going to ask whether this is the right time to weaken unions when
corporations are amassing more power than ever,” she said. “We’ve been fighting
against privatizing Social Security and sending jobs offshore and to get the
best deal for the unemployed. It would be a lot easier for Republicans if unions
weren’t there to throw up these roadblocks.”
Union leaders particularly dread the spread of right-to-work laws, which prevail
in 22 states, almost all in the South or West. Under such laws, unions and
employers cannot require workers to join a union or pay any dues or fees to
unions to represent them.
Unions complain that such laws allow workers in unionized workplaces to reap the
benefits of collective bargaining without paying for it. Pointing to lower wages
in right-to-work states, unions say the laws lead to worse wages and benefits by
weakening unions.
But lawmakers who are pushing right-to-work laws argue that they help attract
investment. “The folks who work day-to-day in economic development tell us that
the No. 1 thing we can do to make Indiana more attractive to business is to make
Indiana a right-to-work state,” said Jerry Torr, an Indiana state representative
who backs such legislation.
Some union leaders say that proposals like right-to-work laws, which have little
effect on state budgets, show that Republicans are using budget woes as a
pretext to undercut unions.
“They’re throwing the kitchen sink at us,” said Randi Weingarten, president of
the American Federation of Teachers. “We’re seeing people use the budget crisis
to make every attempt to roll back workers’ voices and any ability of workers to
join collectively in any way whatsoever.”
A group composed of Republican state lawmakers and corporate executives, the
American Legislative Exchange Council, is quietly spreading these proposals from
state to state, sending e-mails about the latest efforts as well as suggested
legislative language.
Michael Hough, director of the council’s commerce task force, said the aim of
these measures was not political, but to reduce labor’s swollen power.
“Government budgets have grown and grown because of the cost of employees’
pensions and salaries,” he said. “Now we have to deal with that.”
Strained States Turning to Laws to Curb Labor Unions, NYT, 3.1.2011,
http://www.nytimes.com/2011/01/04/business/04labor.html
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