Skip to comments.Unfunded costs choking budgets in Massachusetts
Posted on 01/11/2014 2:52:29 PM PST by Lorianne
BOSTON The state's cities and towns have shed more than 15,000 jobs in the past six years, and pension obligations, health care and borrowing costs will continue to squeeze budgets for the foreseeable future, according to a report issued on Tuesday.
Municipalities face a total of nearly $45 billion in unfunded liabilities, according to The Massachusetts Taxpayers Foundation, an independent, business-backed organization. Meeting those responsibilities could divert resources from schools, public safety and other services, the group warned.
In its annual report on municipal finances, the foundation also noted what appeared to be a declining appetite among voters for property tax overrides. Cities and towns raised $11 million from overrides in the 2013 fiscal year, down from $15 million the previous year and the lowest total since 2000. By contrast, voters approved a total of $49 million in overrides in 2006.
The state law known as Proposition 2 1/2 limits municipalities from raising the annual property tax levy more than 2.5 percent without approval from voters.
(Excerpt) Read more at washingtonexaminer.com ...
Public service unions are a fraud. How to solve the problem? Don’t pay them their fat pensions that really weren’t earned and are nothing but stealing taxpayer’s money.
It’s not like anyone vested into these “funds”.
What a shock and a surprise. I’m surely glad this won’t happen on a national basis. The federal government does a much better spending and reducing costs than any state ever could. So I guess we are all safe.
Soon you will have huge local taxes and no local employees working
It’s sure a good thing the failure of Romneycare didn’t come up before the election, we might have lost.
I have not read all of the political BS, so three questions:
How much did each employee pay into the fund?
Were the pay-ins determined to be sufficient by a qualified actuary?
Were the funds invested with a reputable wealth management firm in such a way that they could not be robbed the way SS has been robbed?
Obviously not because if they had, the people now retired would have funded their own retirement.
So it is a big ponzi scheme that can only last as long as new money can be recruited. The payees have to pay in more than the retires require.
So the minute you cut back on the number of employees, the boat sinks.
Should I cry for them?
I think not.
I say let these liberal cities, counties and states drown in their own B.S.
The only thing necessary is to find a way of keeping the denizens from migrating to where the people who understand how things work live.
Just hike all taxes.
Aren’t libs always talking about how taxes are the “cost of civilization”?
They should be glad to pay it.
1.) The bad pain injections that killed many and injured many. The State is on the hook for the liability, since they licensed the compound pharmacy.
2.) The crooked Forensic Specialist that fudged evidence. They State of MA may have to let up to 10,000 criminals go and may have to pay some of them.
3.) The Welfare Benefits are the greatest in the Nation and it is costing the State a fortune.
* Add to that Romneycare which is costing them as well....
All this will add up to Billions...
The last time back you could see it if you looked close. Road repair and ancillary systems, guardrails greenbelts etc were all in very poor maintenance. It is a screed that they don't have the money and no one dare speak it...
Billy Bulger is my favorite old-age pensioner in MA.
Almost $200,000.00 per year.
We are in the midst of a huge PONZI scheme right now....not looking forward to its end...
Messachusetts state Debt to GDP Ratio = 22.41% (one of the highest in the nation)
Meh, just raise taxes.....
States with sane adults in charge have said no to Obamacare’s Medicaid expansion. May they stay sane.
Remember ya’ll...this is the cradle of American liberty. Men like Franklin, Revere, Jefferson, etc. walked the streets.
Isn’t hard to believe when you see a state trooper sitting in a squad car with the rollers on outside of every small piece of street construction in this state.