Readers of this blog will remember back in January when we did a story on a report from the Wilmington News Journal confirming an allegation made during the 2010 U.S. Senate campaign that New Castle County was broke. Dace Blaskowitz, a political independent, found that the "NCCo government is simply unsustainable" and that the answer to their rampant overspending has consistently been higher and higher property taxes and sewer fees. You may also remember that Mr. Blaskowitz found that 75% of New Castle County government costs are tied up in personnel and that is after a 2.5%paycut in 2009 and anotherin 2010.
Blaskowitz suggested a reduction in staff levels and contraction of benefit obligations yet New Castle County has gone on a hiring spree lately. He also suggested some minimal concessions from the unions with regard to pay/benefits might be necessary to close the gap between revenue and expenditures. The Clark Administration has said that it will work with the unions but that it is getting serious about the County finances. Today however, sources within the County unions confirm that a deal has been reached and will be signed tomorrow. The deal is reported to be a two year deal with county employees contributing $1200 per year to a healthcare savings fund. In exchange for this surcharge payment, county employees will get a 5% increase (covering their two 2.5% reductions in the past 2 years) plus 3 new paid fulough days each year. County employees will not have any holidays or current off time taken away. Sources say that County Council Executive Paul Clark will sign the deal tomorrow afternoon.
Does this mean that our County finances are back in order? Just a month ago when County Council passed the FY 2012 budget, Clark was talking about another 2.5% cut and other concessions from the unions. In fact, his budget passed, despite strong opposition from Council President Kovach with the specific plan to make those cuts. Kovach cited concerns that the budget did not properly address the current debt and also questions as to how unions would rollback 5% of their pay and then agree to ANOTHER cut of 2.5%. Also, is it possible that the 3 extra paid furlough days are equal to that 2.5% cut?
Showing posts with label Paul Clark. Show all posts
Showing posts with label Paul Clark. Show all posts
Monday, June 27, 2011
Thursday, January 20, 2011
New Castle County is more BROKE than we thought
Recently, the News Journal broke stories (2 months too late) that prove Chris Coons is nothing short of a liar. Both were from a report by Independent observer Dace Blaskovitz. Coons spent more than 6 months telling Delawareans (especially New Castle County residents) that he was responsible with the County finances and that it was not in trouble. He told us that everything was fine and that he was able to save the county from the brink of a fiscal meltdown. Today, the News Journal's Chad Livengood has another story on the fiscal woes of New Castle County. The new County Executive, Paul Clark (the man of a thousand ethics problems), has put in place a 30 person transition team ($$$$) to figure out how to get the county out of the HUGE hole it's in.
What hole you ask? If you've only been listening to Chris Coons, Paul Clark, Tim Sheldon and the rest of the Democrats in New Castle County government you would be unable to see the huge hole in county finances that they were hiding. If County Council did not know the MASSIVE gap between spending and revenue existed then it is time to fire every single one of them (and this includes Councilman Weiner if he knew and was silent). Folks, this is an absolute TRAVESTY of justice. New Castle County began the new millennium with a $200 million SURPLUS and by 2015, if nothing changes, we will be $68 million in debt. It will have swung 134% in the opposite direction. This is DESPITE an increase in sewer fees of more than 60%, increases in other fees including the introduction of a new fee on contractors and a 54% increase in property taxes. Does this sound like fiscal responsibility to you? Could you do this at home? Let's say you already had a huge savings account but were spending more than you made and you asked your boss for a raise of more than 60% and got it. Now your pay has increased by more than 60%, you are spending all of your income and you still are eating into your savings account at more than 6% per year . You are to the point where you will be IN DEBT within 4 years. Would it be time to go your boss for another raise or perhaps to address your spending habit?
Well according to Clark's transition team ($$$$) it's time to come to you for a raise. Oh, Clark doesn't think that you property owners can afford more property taxes. Instead he and his team will focus their "revenue enhancements" on "raising sewer bills to pay for federally-mandated improvements, charging for inspections of rental homes, cutting grass in county parks less frequently and county-wide reassessment of property values." No mention of selling county land BACK to the private individuals who managed it before (like Carousel Park which was a net PLUS before the County took it over). The report also calls for personnel cuts but it does not get specific except to say that the county should hire MORE employees in key areas. In fact, the finance committee ($$$$) stated that it did not want to recommend specifics to actually FIX the structural problems with County government yet later in the report they call for Clark to lobby the General Assembly for the same 911 tax that Chris Coons lobbied for in 2007.
The countywide reassessment of property values would be painful to some and easing on another. The fact is that it MUST be done. Homeowners today have their land values assessed at the 1983 level. That's the same value as houses built almost 30 years ago. Also addressed by the transition team is the suggestion that Clark address the county employee pay and benefits. Currently many (mostly union members) county employees are receiving step increases annually and have MASSIVE pensions that are coming due more and more rapidly. About 45% of the 1,400+ full-time county employees currently receive "step raises". On the pension front, the report calls for the county pensions to be rolled into a more manageable 401(k) plan that is in line with private sector benefits. This has of course, set the public employees unions into a tizzy. Some of the county leaders have shouted that Coons and Clark have filled vacancies and then forced current employees to take pay cuts thereby punishing current employees. ENOUGH! I'm sick and tired of this stupid argument, hurting current employees by hiring new ones. FOR YEARS the suggestions from every transition team and independent audit has been to deal with two things:
Folks, how long will we continue to sit back and let these people take every dollar we make in taxes? When is enough going to be enough? A sewer fee is no different than a property tax folks. It's a tax in a different area of our life but it is a tax. Are we that STUPID New Castle County? Where is the line? Please tell me, comment here, let me know, where do we draw the line? When do we hold Chris Coons, Paul Clark, Tim Sheldon and the rest of these people accountable? Electing Tom Kovach doesn't hold them accountable, Tim Sheldon is still on County Council. Electing Tom Kovach is a STEP in the right direction but folks we need to elect people who will actually TAKE these steps that need to be taken. We need to stop the union control of the county and work to bring the county back in line. By balancing county government we will be able to focus on job creation in the private sector, returning companies like Dupont and others to prosperity by opening up new opportunities to bring their business efforts BACK to Delaware. I say the time is now, what say you?
What hole you ask? If you've only been listening to Chris Coons, Paul Clark, Tim Sheldon and the rest of the Democrats in New Castle County government you would be unable to see the huge hole in county finances that they were hiding. If County Council did not know the MASSIVE gap between spending and revenue existed then it is time to fire every single one of them (and this includes Councilman Weiner if he knew and was silent). Folks, this is an absolute TRAVESTY of justice. New Castle County began the new millennium with a $200 million SURPLUS and by 2015, if nothing changes, we will be $68 million in debt. It will have swung 134% in the opposite direction. This is DESPITE an increase in sewer fees of more than 60%, increases in other fees including the introduction of a new fee on contractors and a 54% increase in property taxes. Does this sound like fiscal responsibility to you? Could you do this at home? Let's say you already had a huge savings account but were spending more than you made and you asked your boss for a raise of more than 60% and got it. Now your pay has increased by more than 60%, you are spending all of your income and you still are eating into your savings account at more than 6% per year . You are to the point where you will be IN DEBT within 4 years. Would it be time to go your boss for another raise or perhaps to address your spending habit?
Well according to Clark's transition team ($$$$) it's time to come to you for a raise. Oh, Clark doesn't think that you property owners can afford more property taxes. Instead he and his team will focus their "revenue enhancements" on "raising sewer bills to pay for federally-mandated improvements, charging for inspections of rental homes, cutting grass in county parks less frequently and county-wide reassessment of property values." No mention of selling county land BACK to the private individuals who managed it before (like Carousel Park which was a net PLUS before the County took it over). The report also calls for personnel cuts but it does not get specific except to say that the county should hire MORE employees in key areas. In fact, the finance committee ($$$$) stated that it did not want to recommend specifics to actually FIX the structural problems with County government yet later in the report they call for Clark to lobby the General Assembly for the same 911 tax that Chris Coons lobbied for in 2007.
The countywide reassessment of property values would be painful to some and easing on another. The fact is that it MUST be done. Homeowners today have their land values assessed at the 1983 level. That's the same value as houses built almost 30 years ago. Also addressed by the transition team is the suggestion that Clark address the county employee pay and benefits. Currently many (mostly union members) county employees are receiving step increases annually and have MASSIVE pensions that are coming due more and more rapidly. About 45% of the 1,400+ full-time county employees currently receive "step raises". On the pension front, the report calls for the county pensions to be rolled into a more manageable 401(k) plan that is in line with private sector benefits. This has of course, set the public employees unions into a tizzy. Some of the county leaders have shouted that Coons and Clark have filled vacancies and then forced current employees to take pay cuts thereby punishing current employees. ENOUGH! I'm sick and tired of this stupid argument, hurting current employees by hiring new ones. FOR YEARS the suggestions from every transition team and independent audit has been to deal with two things:
- Public employee Pensions
- The cost of the size of government (a.k.a. personnel costs)
Folks, how long will we continue to sit back and let these people take every dollar we make in taxes? When is enough going to be enough? A sewer fee is no different than a property tax folks. It's a tax in a different area of our life but it is a tax. Are we that STUPID New Castle County? Where is the line? Please tell me, comment here, let me know, where do we draw the line? When do we hold Chris Coons, Paul Clark, Tim Sheldon and the rest of these people accountable? Electing Tom Kovach doesn't hold them accountable, Tim Sheldon is still on County Council. Electing Tom Kovach is a STEP in the right direction but folks we need to elect people who will actually TAKE these steps that need to be taken. We need to stop the union control of the county and work to bring the county back in line. By balancing county government we will be able to focus on job creation in the private sector, returning companies like Dupont and others to prosperity by opening up new opportunities to bring their business efforts BACK to Delaware. I say the time is now, what say you?
Thursday, January 6, 2011
Blaskowitz lays out his report
Yesterday, Dace Blaskovitz, who set New Castle County a buzz with his report on county government finances and their dire situation, wrote an op-ed in which he detailed what he believes is the problem with county government. His report received lots of attention when columnist Ron Williams wrote his own opinion piece agreeing with Dace. Blaskovitz states that "NCCo government is simply unsustainable" in his report and points out that "from 2005 to 2010, NCCo property tax rates increased 55 percent. Sewer rates increased more than 60 percent from 2005 to 2011." Despite these increases, New Castle County government outspent revenues and blew through a previous surplus. "From 2000 to 2009, pension assets increased $9 million, while the county's unfunded accrued actuarial liabilities increased over $140 million." This includes problems like "The county pension assets currently total about $350 million", and "The retiree health care cost is a nearly $250 million unspoken future black cloud."
Blaskovitz takes particular aim at the county's pension, retiree health care and the number of employees because the county has let things get so out of control. He cites an example of retired New Castle County police officers who "receive a never-ending, no-cap 3 percent compounding COLA. Therefore, most NCCo police will average...the same compensation in their retirement as when they were employed. For reference, an NCCo police officer with five years experience is paid around $85,000 a year (in salary alone)." Dace points out that 75% of the county's spending occurs in the personnel field. The size of county government is astounding, the county employs around 1,500 people and most are full time employees. This places New Castle County government in the list as the 5th largest employer in the State of Delaware, with more employees than Barclays Bank and ING Direct combined (state government is the largest). New Castle County has "Almost 100 full-time county employees are paid close to or more than $100,000. With few exceptions, gold-plated health care extends to the grave."
Blaskovitz smacks readers in the face with his honest assessment of the county financial situation (where was this in October when former County Executive Chris Coons was lying to the public about New Castle County I wonder) when he writes, "after years of delaying executive decisions, hoping an economic bounce would magically undo the dilemma, dwindling reserves are now forcing a day of reckoning." Dace further points out that the unions aren't done asking for more and more county tax payers. He doesn't just spotlight the county problems, Dace presents solutions that I for one agree with. He suggests that "citizens should demand a reduction in head-count. NCCo's actuary has pension and health care proposals waiting for action. Salaries have to reflect the balance sheet. Perhaps a spending oversight board would assist in fiscal restraint." He even calls for the possibility of merging or consolidating New Castle County, municipal and city infrastructure where practicable which is something that Republican County Council President candidate Tom Kovach has pointed to as an area he would work to attack immediately. While the Democrats who joined Blaskovitz and Republican Wayne Smith on the committee that put together the report issued a suggestion that the county raise taxes AGAIN, Dace suggests that " it is unconscionable for "revenue enhancements" to even be mentioned in our report." He calls for county government to tighten its belt instead of heaping their bad financial practices on the people of Delaware.
Blaskovitz takes particular aim at the county's pension, retiree health care and the number of employees because the county has let things get so out of control. He cites an example of retired New Castle County police officers who "receive a never-ending, no-cap 3 percent compounding COLA. Therefore, most NCCo police will average...the same compensation in their retirement as when they were employed. For reference, an NCCo police officer with five years experience is paid around $85,000 a year (in salary alone)." Dace points out that 75% of the county's spending occurs in the personnel field. The size of county government is astounding, the county employs around 1,500 people and most are full time employees. This places New Castle County government in the list as the 5th largest employer in the State of Delaware, with more employees than Barclays Bank and ING Direct combined (state government is the largest). New Castle County has "Almost 100 full-time county employees are paid close to or more than $100,000. With few exceptions, gold-plated health care extends to the grave."
Blaskovitz smacks readers in the face with his honest assessment of the county financial situation (where was this in October when former County Executive Chris Coons was lying to the public about New Castle County I wonder) when he writes, "after years of delaying executive decisions, hoping an economic bounce would magically undo the dilemma, dwindling reserves are now forcing a day of reckoning." Dace further points out that the unions aren't done asking for more and more county tax payers. He doesn't just spotlight the county problems, Dace presents solutions that I for one agree with. He suggests that "citizens should demand a reduction in head-count. NCCo's actuary has pension and health care proposals waiting for action. Salaries have to reflect the balance sheet. Perhaps a spending oversight board would assist in fiscal restraint." He even calls for the possibility of merging or consolidating New Castle County, municipal and city infrastructure where practicable which is something that Republican County Council President candidate Tom Kovach has pointed to as an area he would work to attack immediately. While the Democrats who joined Blaskovitz and Republican Wayne Smith on the committee that put together the report issued a suggestion that the county raise taxes AGAIN, Dace suggests that " it is unconscionable for "revenue enhancements" to even be mentioned in our report." He calls for county government to tighten its belt instead of heaping their bad financial practices on the people of Delaware.
Friday, December 24, 2010
Vince Meconi is back (again)
This guy just won't go away! Vince Meconi, longtime Delaware government bureaucrat and Democrat insider is back on government payroll. Meconi has been at top levels of Delaware government since 1993 and one of those posts, as the head of DHSS led him to the land of infamy. He was the head of the agency that was responsible for the Delaware Psychiatric Center abuses. Meconi presided over rapes, assaults and retaliations against whistle blowers at DPC and yet was given a generous pension for his inaction. While he led DHSS, Meconi hauled in a whopping $143,000 and his pension for all his failures is $7,633.56 per month ($91,602.72 per year). Heck of a pay cut for someone who is used to a 6 figure salary but not to worry. While Meconi was out of work when Minner left office, the new Democrat leadership under Markell was just as corrupt and as such, a lifetime bureaucrat holdover from Minner is useful. That's why Markell hired Meconi and invited him to double dip. While still receiving his pension pay, Meconi was given a job with the new administration, short term of course (the job lasted nearly a year) pulling down just $73,125 in taxpayer funds. All together, Meconi's annual take of taxpayer funds came to nearly $165,000.
Even the establishment politicians in the Republican Party see Meconi as a problem. Greg Lavelle, one of the more establishment of the establishment Republicans, filed a FOIA request to look into the Meconi hiring. Now Vince is back, this time at the County level. Incoming New Castle County Executive Paul Clark has hired good old Vince to be the deputy chief administrative officer of New Castle County. This is a post he first held with the State government under Tom Carper. Is it any wonder that Delaware elected Chris Coons and John Carney to Washington? The people of this state are gluttons for punishment and they love being taken for fools and having lifelong politicians steal millions from the taxpayers. This just goes to show that in Delaware, just when you think you're out, they pull you BACK IN!
Background:
DPC stories
DPC Unions expect inquiries
Timeline of abuses
Even the establishment politicians in the Republican Party see Meconi as a problem. Greg Lavelle, one of the more establishment of the establishment Republicans, filed a FOIA request to look into the Meconi hiring. Now Vince is back, this time at the County level. Incoming New Castle County Executive Paul Clark has hired good old Vince to be the deputy chief administrative officer of New Castle County. This is a post he first held with the State government under Tom Carper. Is it any wonder that Delaware elected Chris Coons and John Carney to Washington? The people of this state are gluttons for punishment and they love being taken for fools and having lifelong politicians steal millions from the taxpayers. This just goes to show that in Delaware, just when you think you're out, they pull you BACK IN!
Background:
DPC stories
DPC Unions expect inquiries
Timeline of abuses
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