Archive for the 'Economics' Category

Text of Gov. Carcieri’s ‘State of the State’ Address

This is the prepared text of Governor Carcieri’s final State of the State address, to be delivered at 7:00 PM this evening:

The Honorable Donald L. Carcieri
Governor, State of Rhode Island
State of the State Address – January 26, 2010

Mr. Speaker, Madam President, members of the General Assembly, my fellow General Officers, members of the Judiciary, distinguished guests, and my fellow Rhode Islanders. Before I begin tonight, if you’d indulge me, I’d like to take a moment to acknowledge the source of my inspiration, my strength, my motivation, and my comfort – and that’s my wife, First Lady Sue Carcieri, our four children and their spouses, and our fourteen grandchildren. Many of them are here tonight. Thank you for all your love and support.

Let us begin tonight by being mindful of the catastrophic earthquake that has ravaged Haiti. We are all in shock and disbelief, and our hearts break as we see the nightly images of the horrific devastation and loss of life. Those of us who have visited Haiti are keenly aware of the extreme poverty and hardship that so many Haitians endure on a daily basis. I know that Rhode Island is home to several thousand Haitians and that many other Rhode Islanders, both young and old, travel there to be of service to the people of Haiti. In fact, just a few days ago, members of the 143rd R.I. Air National Guard flew two of our transport planes to be deployed to assist Haiti. Tonight, we express our prayers and condolences to all those people who have been so profoundly affected. Please join me for a moment of silence in honor of those who have lost their lives so tragically in Haiti.

Thank you.

Ladies and gentlemen. As I stand before you tonight, our state is facing the most severe economic turmoil of the last 30 years, perhaps longer. This challenge cannot be overstated. We have over 73,000 Rhode Islanders out of work, with little sign that employment will improve significantly anytime soon. We all have neighbors who’ve seen their work hours reduced and their income diminished. They’re scrambling to pay their bills, while they watch their home values decline dramatically. They are substantially reducing their spending just to make ends meet.

Every business, both large and small, is reducing costs as they adjust to lower demand for their products and services.

They’re fighting for survival and trying desperately to keep as many of their workers employed as possible. Lay-offs are a last resort for a business because qualified, trained, and high-performing employees are what make a business successful.

In this climate, at this time, they expect their government at every level, federal, state and local — a government they pay for with their hard earned tax dollars—to reduce and control spending as well. As elected leaders, it is our job to deliver on that expectation—and I intend to do so! Continue reading ‘Text of Gov. Carcieri’s ‘State of the State’ Address’

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Chafee: Leave Union Benefits Alone By Raising Taxes

“THE OPPOSITE OF RIGHT PART V”

CHAFEE’S NEW WAY FORWARD – GENERAL ASSEMBLY VERSION:

At the Rhode Island House Finance Committee yesterday, Gubernatorial Candidate Chafee made it clear once again he is no champion of the property taxpayer but merely a politician who will grovel for the support of the public sector union bosses. He has officially broken his first promise of his new gubernatorial campaign, which was “to be a champion of the property taxpayer” and “a partner with our mayors and town managers … to repeal many of the costly state mandates on cities and towns.” Instead of siding with mayors and town managers in favor of reducing benefits through pension reform (i.e. a minimum retirement age) and a 25% co-share for health care premiums for public sector employees, he “urged” the House Finance Committee “to leave benefits alone” for public sector union employees (ProJo 1/13/10).

Without a doubt, Mr. Chafee does not want his mayoral legacy in Warwick of giving away the store to public sector union members to be tampered with in anyway. He is proud of signing union contracts that allows employees to retire with no minimum retirement age after only 20 years of work. (ProJo 7/29/96). He believes it was his “biggest achievement” as mayor to give public employees big raises while paying no co-share of their health care premium. (ProJo 5/3/94, 10/10/2000) He thinks it is “awesome” to give part time crossing guards “full benefits.” (ProJo 9/3/93) No doubt the public sector unions thought these kinds of these deals were “awesome” too. This is why “local unions were endorsing Lincoln Chafee’s 1998 City Hall reelection bid” and letters were being sent out to “municipal union members on Chafee’s behalf” as a “payoff for the years” Chafee “spent nurturing labor friendships in the state’s second-largest city.” (ProJo 10/10/2000). This is also why, in a prior mayoral campaign, after “Chafee helped the union with a good contract,” the American Federation of Teachers asked other unions to have “the favor be returned” by supporting Chafee. (ProJo 1/6/95).

Rhode Island Republican Party Chair Giovanni Cicione commented: “Mr. Chafee’s old three step plan has not changed one bit – give the public sector unions what they want, get the unions to support your campaign; raise taxes to pay for those sweetheart deals.”

“Mr. Chafee may not have any coherent plans to cut spending, but taxpayers can be certain he will not to cut the generous benefits of public employees – he seems to be going out of his way to protect these outrageous union benefits by raising taxes on groceries and medicine,” concluded Cicione.

Press Release: Rhode Island Republican Party

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Chafee: Tax Our Food and Medicine, Spend It On Fat Pensions

“THE OPPOSITE OF RIGHT PART IV”
CHAFEE’S NEW WAY FORWARD

Within hours of the Mr. Chafee’s campaign announcement earlier this week, the Rhode Island Republican Party made it clear that Chafee’s ‘New Way Forward’ was really just his old three step plan as Mayor:

1. Give the public sector unions what they want;

2. Get the unions to support you; and

3. Raise taxes to pay for those sweetheart deals.

With each passing day, it is becoming clearer that Chafee is ready to raise taxes on anything, including basic necessities, in order to maintain the current generous benefits enjoyed by public sector union employees and win “the endorsement of organized public sector unions” (Warwick Beacon 1/5/10). Said RIGOP Chairman, Giovanni Cicione: “Our seniors and taxpayers don’t need the “Chafee Three Step.”

Mr. Chafee has unequivocally put the generous pensions of “current public employees” off limits to any reform efforts even if it would reduce the cost to taxpayers (ProJo 1/7/10). This makes it clear that Mr. Chafee is more willing to play ball with the public sector labor bosses than even the R.I. House Democratic leadership. Even though the House Democratic leadership has unfortunately put 401k plans for government employees off the table (ProJo 1/4/10), they at least supported some of the Governor’s pension reform efforts which affected current public employees and saved taxpayers millions. (09-H5983Aaa Article 7 House Journal 6/24/09, and 05-H5270Aaa Article 7 House Journal 6/27/05).

“It appears Mr. Chafee thought that these pension reforms went too far since they affected current public employees,” said Cicione. “As a former mayor, Chafee should really have a better handle on the impact of pension handouts and long term municipal budgeting.” “Without reasonable concessions from all state and municipal employees on pensions, cities and towns across the state will face bankruptcy or higher taxes.”

“It appears that Mr. Chafee is not at all serious about reducing government spending,” concluded Cicione. “Simply put, under Chafee’s “New Way Forward”, a 70 year old on a fixed income would have to pay higher taxes on their home, their medicine, and their food in order to subsidize the lifestyle of a 40 year old retired city worker – that’s just wrong.”

News Release: Rhode Island Republican Party

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Married? You’ll Pay More Under ObamaCare

(Told You So.)

Some married couples would pay thousands of dollars more for the same health insurance coverage as unmarried people living together, under the health insurance overhaul plan pending in Congress.

The built-in “marriage penalty” in both House and Senate healthcare bills has received scant attention. But for scores of low-income and middle-income couples, it could mean a hike of $2,000 or more in annual insurance premiums the moment they say “I do.”

The disparity comes about in part because subsidies for purchasing health insurance under the plan from congressional Democrats are pegged to federal poverty guidelines. That has the effect of limiting subsidies for married couples with a combined income, compared to if the individuals are single…

Read More: The Wall Street Journal

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He’s Ba-ack! Former Mayor Steve Laffey Weighs in on the Budget

stevelaffeyDuring an exclusive interview yesterday with The Herald, former Cranston Mayor Stephen Laffey, reportedly planning a run for Governor next year, said that the state’s budgetary problems, and the fact that they’ve become local budget problems, should surprise nobody who has been paying attention.

Governor Donald Carcieri announced on Monday that he was proposing a $125 million cut in aid to cities and towns. The cut would cost Cranston $6.6 million in state aid.

Laffey has been sounding the fiscal alarm in op-ed pieces and talk radio appearances for the last several years. He will not yet acknowledge whether or not he is running for Governor…

Laffey said that every legislator who voted for the budget, and Governor Donald Carcieri, a fellow Republican who signed it, should not be in office.

“Everyone involved should resign. Either they didn’t know it would come to this, or they did and I’m not sure which is worse,” said Laffey.

Sounding every bit like a candidate for Governor, Laffey said the state’s political landscape is in need of a serious makeover. At a press conference to announce the appointment of a new economic development director late last week, talk centered on the need for everyone to “work together” to find solutions. Laffey, however, who didn’t attend the event, suggested that the approach was misguided. Instead, he said the state needs reformers who are ready for a battle.

“The bottom line is we’re going to need somebody, or a group of people, to run for public office who will take the fight to the established political order, and by that I mean the public sector union leaders and the General Assembly,” said Laffey. “There needs to be a direct fight … and unless we do that, we’ll continue on the road to collapse.”…

Read More: The Cranston Herald

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Weekly Republican Address: Rep. Mike Pence (R-IN)

Rep. Pence: “The American people know we can’t borrow and spend and bail our way back to a growing economy. … Republicans have proposals to get our economy moving again, to achieve energy independence and lower the cost of health care.”

Source: House Republican Conference

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Gov. Carcieri Reloads Economic Development Efforts

gdcLast week, Governor Donald L. Carcieri officially signed into law legislation that reconstitutes the Economic Development Corporation (EDC) board of directors and defines the term of employment for an EDC executive director.

The legislation expands the board of directors from nine members to 13 members, and defines the term of employment for the position of executive director of three years, allowing for the state to better attract and retain a candidate and to maintain a consistent economic development policy free from political changes.

“Throughout the course of my administration, we have made it a priority to put forward-thinking measures in place to make both government and our state work better. This legislation will serve as a strong foundation for us to foster progressive economic change for Rhode Island,” said Governor Donald L. Carcieri. “It will also help us chart a more stable course of action to make Rhode Island more competitive, create jobs, assist us in our efforts to attract new growth industries to our state, and spur the growth of a knowledge-based economy.”

News Release: Office of the Governor

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RNC Raises Record $8.8 Million in October

elephant-donkeyThe Republican National Committee (RNC) raised an off-year record $8.8 million in October, it will announced in its yet-to-be filed report.

The RNC’s performance comes a month after it learned it was outraised by the Democratic National Committee (DNC) for the first quarter since 2004.

The GOP committee now has $11.2 million cash on hand. The DNC has yet to released its figures.

“The elections in Virginia and New Jersey clearly showed the American people oppose bigger government, reckless federal spending, and higher taxes, and this enthusiasm for common-sense Republican principles is strongly resonating with our generous and motivated donors,” RNC Chairman Michael Steele said in a statement. “Thanks to our many contributors, the RNC is on solid financial footing as we continue build an organization to support our candidates and state parties in the election of 2010 and beyond.”

Source: Republican National Committee

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U.S. National Debt Tops $12 Trillion ($12,031,299,186,290.07 to be Exact)

shakedownBoy, are we sure glad that President Obama is holding the line on spending!

Technically, the debt hit the new high yesterday, but it was posted on the Treasury Department website just after 3:00 p.m. ET today. The exact calculation of the debt is a 16-digit tongue-twister and red-ink tsunami: $12,031,299,186,290.07

This latest milestone in the ever-rising journey of the National Debt comes less than eight months after it hit $11 trillion for the first time. The latest high-point is not unexpected, considering the federal deficit for the just-ended 2009 fiscal year hit an all-time high at $1.42-trillion – more than triple the previous year’s record high…

…The same document projects that by the end of the decade, the National Debt will hit $24.5 trillion — exceeding the Gross Domestic Product projected for 2019 of $22.8 trillion.

Source: CBS News

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Top 10 List of (Wasteful) Federal Stimulus Projects

That’s only if you consider bug research in Connecticut to be wasteful, of course…

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Source: Street Signs (CNBC)

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Gov. Schwarzenegger Really, Really Vetoes Spending Bill

For some reason, we can’t quite see Governor Carcieri doing this (but perhaps, he should give it a shot, in light of some of the messed up legislation heading his way). Yes, this is a copy of an authentic veto message California Gov. Schwarzenegger sent back to its General Assembly.

veto

Source: SF Gate

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Gregg: U.S. Could Be on Path to a ‘Banana Republic’ Situation

bananamationIf you recall, Sen. Judd Gregg was tapped by President Obama to be the Secretary of Commerce — and initially accepted, but eventually turned it down.

CNN – A leading fiscal mind on Capitol Hill and a one-time Obama Cabinet pick sounded the alarm Sunday over the projected long-term financial challenges the country faces.

“This deficit is driven by us,” New Hampshire Republican Sen. Judd Gregg candidly said Sunday on CNN’s State of the Union when asked about the federal government’s projected $1.42 trillion operating deficit for the 2009 fiscal year…

The figures, Gregg told King, “mean we’re basically on the path to a banana-republic-type of financial situation in this country. And you just can’t do that. You can’t keep running these [federal] programs out [into the future] and not paying for them. And you can’t keep throwing debt on top of debt.”…

Read More: CNN Political Ticker

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Town Hall Meeting w/ Mayor Allan Fung | October 14

allanfungJoin Mayor Fung for a Town Hall Meeting

Cranston Mayor Allan Fung will be hosting his next Town Hall Meeting on Wednesday, October 14th, 2009 from 6:00 P.M. to 8:00 P.M. at the Temple Torat Yisrael, located at 330 Park Avenue, Cranston, RI 02905.

This event is free and open to the public.

The Mayor will discuss the current financial state of the City and answer residents’ questions.

Please make every effort to attend and show Mayor Fung our support.

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