Wednesday, July 8, 2015
State Budget Reflects Senate Republican Caucus Policy Initiatives
MBTA
Reform, Olympic Games Spending Freeze & Insurance Surcharge
Boston-
Key policy reforms initiated by the
Senate Republican Caucus are contained in the Fiscal Year 2016 annual state
budget now moving to Governor Charlie Baker’s desk.
Major
reform elements included in the final version of the budget are expected to
produce a sweeping overhaul of the troubled MBTA. In February, as winter storms continued to
expose management and maintenance gaps, members of the Senate Republican caucus
filed legislation to move the failing agency under the auspices of a Fiscal
Control and Management Board, a change which would create a stronger line of accountability
to Governor Charlie Baker. The Senate,
in May, ultimately unanimously approved the reform plan proposed by Senate
Minority Leader Bruce Tarr (R-Gloucester). Bi-partisan support, following collaboration
with Senate Transportation Committee Chairman Tom McGee, grew into a unanimous
vote of the Senate.
“For far too long, the management at the T allowed
the system to fail, a grave disservice to their riders, taxpayers, and our
economy. By adopting the amendment with
bi-partisan support, the Senate created momentum to the idea of giving Governor
Baker the tools he needs to begin to end the hardship that the T has generated,
pursue greater efficiencies, and restore faith with those who pay the bills,”
said Senator Tarr.
Vinny deMacedo (R-Plymouth), the Senate Republican member
of the budget negotiating committee added, “We were honored to share what we
believe is a common sense approach to governing. We lived within our fiscal
means, we tackled challenging issues by giving the Administration the tools
necessary to govern effectively and we address the most significant challenges
that we as a Commonwealth face.”
Components of the MBTA control board include:- Securing financial and performance stability of
the MBTA;
- Implementing uniform budget and planning guidelines and procedures for all departments;
- MBTA fare protections for riders;
- Inspector General required to review service
and procurement contracts;
- Executing capital budgets and borrowing
authorizations to finance or refinance any debt;
- Maintaining authority to appoint, remove,
supervise, and control all MBTA employees and personnel matters;
- Developing a long range plan for MBTA financial
and structural sustainability; and
- Accountability measures including requiring the filing of a quarterly report to the House and Senate Committees on Ways and Means detailing revenues and expenses.
In
addition to the control board, the final budget includes targeted relief from
an anti-privatization law that has obstructed savings and reform. A temporary suspension of the so-called
Pacheco law is expected to provide the MBTA with project and maintenance
savings and greater program efficiencies otherwise not available. Independent
budget and policy experts have suggested that the Pacheco law has resulted in
added costs of hundreds of millions of dollars.
“I am happy to see that the Conference Committee
included the significant MBTA reform advocated for by Senate Republican Caucus
in our final budget proposal. The eleven cities and towns I represent in the 2nd
Hampden and Hampshire District will benefit greatly from the establishment of
the control board and contract oversight by the Inspector General,” said Donald
Humason (R-Westfield). “Assuring that cost reducing measures and contract
evaluations are performed will help to put an end to what has been years of
wasteful spending that impacts residents across the Commonwealth—including
Western Massachusetts.”
Senate Minority Leader Tarr also successfully
advocated for the inclusion of legislation he authored to assure that no state
agency or department spends any state funds connected to the 2024 Olympic Games
in Boston unless a special act of the Legislature is signed into law by Governor
Baker.
“Inclusion
of our amendment ensures that the Legislature and Governor, as responsible
stewards of the Commonwealth’s resources, are putting taxpayer’s interests and
needs first,” said Tarr.
The
conference committee included the legislation, which received support from a bi-partisan
group of Senate co-sponsors, to provide greater oversight on the use of state
money as the International Olympic Committee considers which city will be
awarded the games. Under the plan, money can only be spent for due diligence
and analysis of Boston 2024 organizer’s plans.
“This final budget represents a victory for not only
Senate Republicans and the Baker Administration; it is a victory for the people
of Massachusetts. Major reforms and taxpayer protections, from the Pacheco law
freeze at the MBTA to the continuance of the income tax reduction to 5%, were
included as well as my local priorities for the towns I represent. I’m proud to
vote for the budget,” said Ryan Fattman, (R
Webster).
Tarr also received support by the committee when it accepted his plan to
shield motorists from costly insurance surcharges for failing to use headlights
when foul weather requires they turn their windshield wipers on. Under the Tarr proposal, the $5 moving
violation will no longer trigger a six year auto insurance surcharge currently
included in state law.
“Our
goal is to enhance public safety. We
shouldn’t be penalizing drivers by spiking their car insurance bill year after
year,” said Tarr. “The Senate Republican
Caucus took action in the Senate version of the budget to strike the new law and
restore commons sense; the motoring public needs to know that our members are
on their side.”
“The budget proposal put
forward here today is reflective of not just the priorities of the Senate, but
the priorities of the people of the Commonwealth,” said Senator Ross (R-Wrentham). “I am proud of the hard work of this body
in crafting a budget that implements necessary reforms, invests in essential
programs, and puts our hardworking taxpayers first.”
The conference committee did not include the Senate
backed freeze of the Income Tax rate nor a tax increase on flavored tobacco. Following expected approval by the full House
and Senate, the budget will next go to the desk of Governor Charlie Baker for
his approval.
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