[Note: Yes, I know I've been a little slack in updating the blog. Chalk it up to selling a house (sort of), buying a house, sloth, an earthquake, a hurricane and other writing projects. I promise to be more diligent. Until I'm not.]
Virginia Governor Bob McDonnell announced this week that state employee retirement benefits might need to be cut, because the system has $18 billion in unfunded liabilities.
He's right about the unfunded liability. Over the next 75 years it does total $18 billion.
But that's not the state employees' fault.
McDonnell has done little to endear himself to state employees. Last year he pushed a measure to require them to pick up part of their own retirement costs.
That doesn't sound unreasonable on the face of it. Why shouldn't they pick up part of the cost? But the way McDonnell structured his proposal, it would have cut the take home pay of every state employee. The General Assembly intervened and gave state employees a pay raise sufficient to offset the retirement contribution. That was in line with the original deal which led to the state picking up the employees' contribution -- it was done in lieu of a raise.
The legislature showed much better common sense and a greater sense of justice than the governor on this issue.
It's odd that McDonnell, who doesn't have the reflexive anti-government instincts of a lot of Republicans -- former governors George Allen and Jim Gilmore for instance -- would be taking another swing at state employees.
Maybe McDonnell, recently chosen to lead the Republican Governor's Association, feels he need to do it to have some street cred with his peers. From Scott Walker in Wisconsin to Rick Scott in Florida to Chris Christie in New Jersey, it seems like wherever you have a new Republican governor these days, he's at war with his state employees.
Thursday, September 15, 2011
Governor going after state employees ...again.
Posted by Virginia Pundit at 9:40 AM 0 comments
Labels: Bob McDonnell, Virginia Retirement System
Thursday, July 21, 2011
Washington is psychotic
"You'll get mesmerized /By alibis/ And limbo dance in pairs/ Please lock that door/It don't make much sense/That common sense/Don't make no sense/No more"
But it's true.
With about ten days to go until the Aug. 2 deadline for raising the debt ceiling, Washington has shown that it's gone from being dysfunctional to being psychotic.
Our capital and our government have been dysfunctional for a number of years due to the inability of Democrats and Republicans to work together on anything. That had negative effects on the presidencies of Bill Clinton and George W. Bush, but the cancer of partisanship has metastasized in Barack Obama's administration.
There's enough blame to go around for both sides. But in the debt ceiling debate, the Republicans are acting crazier than the Democrats.
While Obama has laid out plans that include up to $4.5 trillion in deficit reduction over the next ten years, Republicans have turned them down flat. Why? Because, in addition to a lot of spending cuts that would trim programs that help lower and middle-income families, Obama has included tax increases on corporation and one the wealthiest Americans.
So have the "Gang of Six" in the Senate, which includes Virginia's Mark Warner.
But Republicans, who have clamored loudest about the deficit (which they discovered about the time Obama was sworn in), have said that deficit and debt reduction needs to be done with budget cuts only. Some of the cuts they advocate are sweeping and would change Medicare and Social Security, as we know them.
It's an example of just how unserious about deficit reduction they are. As recently as January they fought tooth and nail to retain the Bush era tax cuts, which contribute to the deficit.
This attitude led David Brooks, a mainstream Republican columnist, to say that Republicans aren't operating more like a normal political party.
He's got a point.
Republicans are now acting more like a religious cult than a political party. They've raised a "no tax increases ever" ideology to level of Gospel. It's the Church of Ronald Reagan, except that it's run by people who have made commandments out of a few of the dumbest things Reagan ever said and ignore what he actually did while in office.
Posted by Virginia Pundit at 11:10 AM 0 comments
Labels: Congress, debt ceiling, Eric Cantor, Taxes
Thursday, June 16, 2011
Finding a way to govern again
I read a fascinating article in The Atlantic this week called "How to Turn Republicans and Democrats into Americans."
It's written by Mickey Edwards a former Republican congressman from Oklahoma.
I think Edwards has articulated what many of us have come to suspect of the two parties, that they are more interested in vying with each other for political power than they are in actually doing what it takes to govern the county. A large part of what it takes is compromise. We don't see that out of members of Congress who are increasingly selected from one-party districts or by primary electorates who hold positions far to the left or right of the general public.
Edwards notes that when Nancy Pelosi became Speaker of the House she said her job was to elect more Democrats and that Senate Minority Leader Mitch McConnell said the most important thing that Republicans could do with their increased numbers after 2010 was to insure the defeat of Barack Obama in 2012.
Really? The county is involved in three (and counting) wars, the unemployment rate is north of 9% and the most important thing the parties have to do is score political points off each other?
As Edwards notes, campaigning has become perpetual in Congress, at the expense of governing.
He worries that Congress has virtually ceased to function as an independent branch of government. The members of Congress in the party that holds the presidency have become almost an auxiliary part of the executive branch and the other party the reflexive opposition to the executive.
Which should concern everyone, liberal, conservative or moderate.
While both parties are fond at times of saying that this or that branch or department of government has overstepped "its Constitutional bounds," the parties themselves are well beyond their Constitutional roles.
Because the Constitution gives them no role.
Posted by Virginia Pundit at 11:11 AM 0 comments
Labels: Congress, party politics, third parties
Monday, May 2, 2011
Now that Bin Laden in dead, what's next?
Nearly every American hailed the news late Sunday evening that American Special Forces had killed Osama Bin Laden in a raid on his safe house in Pakistan.
Democrats, Republicans, Tea Parties, Greens, independents, we were all brought together in a way that we really haven't been since 9/11 itself.
That excludes a few, who in the tradition of 9/11 "truthers" and "birthers," decided that the Osama had not really been killed and that it was all an elaborate political hoax. I dub this new crop of morons "deathers." I'm sure we'll hear a lot from them in the next couple of years.
For those of us grounded in reality, the question becomes, what's next? What effect does justice finally catching up with the mastermind of the 9/11 attacks on the World Trade Center and the Pentagon have on the world?
Well, from a crass political perspective it probably makes it more likely that President Barack Obama is re-elected in 2012. The odds had been leaning that way anyway, given the lack of a popular challenger on the Republican side. Even Republicans don’t seem enamored with their likely candidates.
With Obama having corrected the largest failing of both his and his predecessor's administrations, he'll see a surge in his poll numbers. However, military success doesn't always lead to re-election. If it did, the first President Bush would have been re-elected in the wake of Desert Storm.
The details of Bin Laden's capture -- he was found in a more than $1 million compound in a wealthy suburb of the Pakistani capital, Islamabad that U.S. sources described it as an area where numerous retired Pakistani military officers lived -- are troubling. The compound was built in 2005, apparently to house Bin Laden.
Those facts make it almost unthinkable that the Pakistani government, which has taken billions of dollars in U.S. "anti-terrorism" assistance and was officially our "ally" in the war on terror, knew where he was hiding and didn't tell us.
That suggests the need for, at the least, a re-thinking of our relationship with Pakistan. That re-thinking may have begun when we didn't inform them of the operation against Bin Laden until it was over.
In a larger sense, the end of Osama Bin Laden could well mean it's time to re-think our entire Afghanistan deployment.
It may even be time to question if the era of the "War on Terror" is over.
Posted by Virginia Pundit at 12:36 PM 0 comments
Labels: Barack Obama, Osama Bin Laden, terrorism
Monday, April 11, 2011
Senate slugfest looms
With former Gov. Tim Kaine announcing last week that he plans to run for the Senate seat being vacated by Democrat Jim Webb in 2012, a potential slobberknocker of a U.S. Senate race is shaping up. One that could decide partisan control of the Senate.
Kaine isn't a lock for the Democratic nomination -- yet. Third District Congressmen Bobby Scott has said he'll announce in June or July if he's interested in the seat. A Kaine/Scott Democratic primary would likely be closely fought. But I'd be surprised to see Scott enter the race now that Kaine is in. He doesn't have a lot to gain and he'd be giving up a pretty safe House seat.
So, the smart money is on Kaine as the Democratic nominee.
The same is true of former Gov. and Sen. George Allen, the man Webb beat in 2006, on the Republican side.
Allen does have opposition for the nomination. Tea Party activist Jamie Radtke has announced, as have two even lesser known candidates. Rumor has conservative gadfly Del. Bob Marshall, who lost a bid for the Senate nomination in 2008, and anti-illegal immigration activist Prince William Board of Supervisors Chairman Corey Stewart, eyeing the race. A trial balloon for Rep. Rob Wittman (R-1st) went up a few weeks ago, but garnered little attention.
While polling a year away from the primary date doesn't mean all that much, Allen easily leads all announced or rumored candidates now. That's not surprising. As the star of Virginia Republicans resurgence in the 1990s, he has far higher name recognition than his opponents.
You'd have to think the nomination is Allen's to lose. But then, he lost an election in 2006 that was his to lose.
Posted by Virginia Pundit at 10:28 AM 0 comments
Labels: 2012 Senate Race, George Allen, Tim Kaine
Monday, March 21, 2011
Please split up my 'community of interest'
It's redistricting time.
The General Assembly meets next month to draw the new lines for the state's 11 Congressional districts, 100 House of Delegates district and 40 State Senate districts.
This year we've had an appetizer, since the governor's commission on redistricting (which only has advisory status), college students participating in a redistricting contest, and the incumbent members of Congress have given us sneak peeks at maps they like.
To no one's surprise, the plan the congressmen came up with protects all 11 incumbents, which requires at least two egregious gerrymanders: the continuation of the snake-like 3rd District which winds its way down I-64 in search of African-American voters, and a new "Gerry-mander" in the 11th to give Rep. Gerry Connolly a more Democratic district than the one he almost lost last November.
The other maps are more interesting because they try to create compact, contiguous districts without regard for politics and try to keep "communities of interest" intact. (That's not something the congressmen care about, they created a 5th District that includes Danville and parts of Loudoun County).
That was one of the governor's charges to his commission. It also echoes the major concern I've always heard expressed by local government leaders, and by voters, in the previous rounds of redistricting. "I just hope they don't split up my city/county."
That concern is very important to people. But I've never understood why.
Posted by Virginia Pundit at 11:02 AM 0 comments
Labels: redistricting
Thursday, March 3, 2011
Not a bad year, all things considered
The 2011 regular session of the Virginia General Assembly is in the books.
Compared to recent years, I'd say the legislature did pretty well.
Sure, they took an extra day to get the budget worked out, but that happens more often than not these days. And it's not really partisan gridlock that causes the problem, because the General Assembly had longer budget standoffs when Republicans controlled both the House and the Senate.
Of course one reason this session looks better is that state revenues exceeded forecasts, meaning not only that we didn't have to have another round of big budget cuts but that legislature was actually able to restore some cuts made last year, particularly in the area of public education. Things always run smoother in Richmond when there's more money to spread around.
The final budget seemed to be a pretty fair compromise between the positions of the Senate and the House. The Senate managed to minimize the amount of the general fund money spent on transportation, an issue the Senate has been adamant about under both Republican and Democratic leadership. The House won on putting more money in the state's Rainy Day Fund.
The House also prevailed on one of the biggest issues of the session, state employees contributions to the Virginia Retirement System.
Gov. Bob McDonnell had proposed that employees begin picking up a 5% contribution that had previously been paid by the state, in exchange for a 3% raise.
The Senate proposed to ignore McDonnell and continue the status quo. The House chose instead to go along with the 5% employee contribution but to couple it with a 5% raise to hold state employees harmless.
Actually, it doesn't hold them quite harmless. Due to higher taxes, state employees will still see a small decrease in their take home pay. It would have taken about a 5.2% salary increase to hold them totally harmless. But, in return for that small decrease in take home pay, state employees will see higher retirement benefits, which are figured on their highest three years of compensation.
That fact makes one wonder if any progress has been made toward McDonnell's stated purpose in making the VRS changes - to address a shortfall in the pension fund. More money will go into the fund in the short term due to this year's change, but higher benefits will have to be paid out on the back end.
How does that affect what we're told is a $17 billion shortfall in VRS? Well, there are a couple of things to remember about that. What you seldom hear mentioned when the VRS shortfall is discussed is that it's a shortfall over the next 80 years, which is how far into the future VRS figures its liabilities. The other thing to remember is that the shortfall was not caused by state employees not paying their share of the contribution. It was caused by past governors and legislatures deciding in tough economic times not to make the full payment required to keep the system fully funded -- as McDonnell and the General Assembly did last year by shorting the pension more than $600 million -- and by bad recent returns on VRS's investment portfolio.
While the investment returns will likely average out in the long run, the state's elected officials should probably stop looking at the pension fund as a piggy bank to raid when they need money. That's part of what sent Jimmy Hoffa to prison. We might consider a constitutional amendment that would require the correct payment is made. In years when we have extra funds, the General Assembly probably should consider paying back past shortfalls, with interest.
Posted by Virginia Pundit at 12:05 PM 0 comments
Labels: 2011 General Assembly, Bob McDonnell, General Assembly
