Editor’s note: This op-ed is by Pat McDonald, Vermont Republican Party Chair.
Do you know why the Vermont Democrat legislative leaders are saying it’s “the most boring session in a long time”? It’s because there is a supermajority in place with little or no room for other ideas or alternative viewpoints to be heard.
Some may say “good,” but most would agree that the best bill is “the third bill,” the one that results from compromise after putting all viable alternatives and choices on the table.
But with a supermajority those opportunities are not as available as they should be. There is little or no balance in Montpelier. On numerous occasions throughout the session, questions were asked and alternative ideas presented by Republican legislators but most time they were dismissed. Outcomes were for the most part predetermined with the decisions and choices made well in advance by the supermajority.
Gov. Peter Shumlin categorizes the 2011 Legislative Session as a session of “Getting Tough Things Done” – but the Vermont Republican Party would challenge that statement. Yes, there was progress made in some areas to include broadband, the “buying local” initiative, tougher penalties for DUI offenders, and government transparency.
But the list of accomplishments touted by the Democrat leadership said very little about those issues that relate directly to Vermont’s economic future, the cost of living and the difficulty of doing business in Vermont. The governor and the Democratic supermajority did not get the tough things done; in fact, in some instances they made things tougher for Vermonters.
For example:
• Raised Taxes.
$20 million in new tax revenues were levied against several segments of the health care field as well as $4.3 million against tobacco products. Property taxes are expected to increase due to the premature elimination of the Pre-Kindergarten cap resulting in expanded access to Pre-K programs and a $23 million reduction in general fund transfers to the education fund.
• A Lack of Focus on Job Creation.
Shumlin was quoted as saying “I ran because I wanted to make a difference and create jobs for Vermonters.” The job creation and economic development bill (H.287) does not live up to that statement and is weak at best. It did little to foster investments into the creation of meaningful and sustainable jobs to improve opportunities for Vermonters while ensuring that Vermont is a welcoming place to do business.
• A Budget Too Dependent on Federal Funding and One-Time Money.
While balanced, the budget is once again too dependent on federal funding and does not respond to the real possibility of further reductions in federal funding. Instead of making the tough choices now, a special session has been planned for Oct. 18th to deal with any pending crisis. In addition, $57 million of one-time money was used as a way to balance the budget – rather than making the hard decisions to reduce spending for the long-term. Vermont House Republicans offered twelve amendments in an attempt to reduce expenditures by as much as $24 million, but none were accepted by the House super majority. Also, when you look closely at the “cuts” the governor talks about, you will find that they are primarily cuts to increases above the base. In addition, both the governor and Democratic leaders are already anticipating a $70 million budget shortfall next year.
• A Plan to Plan for a Single Pay System.
While there is no disagreement that health care costs need to be contained and coverage made available to all at an affordable price, H.202 provides nothing more than a plan to plan. The bill is focused on one approach – with no consideration of other viable choices, some of which have been clearly articulated. It also leaves unanswered the most basic questions Vermonters are asking such as: What benefits would be provided, who would pay, who would be exempt, and how much would it cost employers and individual Vermonters? The bill creates a five-member board at an estimated cost of $1.3 million with unprecedented powers over 20 percent of Vermont’s economy. It also creates a health care exchange that as envisioned would result in the disappearance of consumer choice. While over-arching questions of basic coverage and supplemental coverage will not be answered until the five-member board makes its decision, we do know that as currently written illegal aliens will be covered and that the exemption for military personnel covered under the military’s insurance program TRICARE has been removed. The timeline for deliverables indicates that information regarding financing won’t be available until January 2013, after the November 2012 elections.
• Tax Structure.
A Blue Ribbon Tax Commission was put in place last year to look at Vermont’s tax structure. It is no surprise that the supermajority in the House and Senate, directed by Shumlin, took education off the table. But with a total expenditure of $1.4 billion for education, there has to be room for thoughtful cost containment and reduction in property taxes while ensuring continued support for students and teachers while strengthening the quality of education. The final report of the Blue Ribbon Tax Commission remains in the committee of jurisdiction with Democratic leadership saying they would like to look at income taxes “next year.”
Vermont’s motto is Freedom & Unity. That motto – and the state seal upon which it is printed – has great meaning: We are all individuals, with our own hopes and aspirations, yet we exist within a larger community. Making it work requires finding the right balance and involvement. We need to bring a sense of balance back to Vermont and its governing bodies. Working together we need to develop proposals to grow the economy, create more and better paying jobs and make Vermont more affordable.
