General Assembly gets ready to kick-off
By JR Hoeft | Wednesday, January 12th, 2011 | Columns, Policy
In just a few minutes, the General Assembly will begin their 46 day “short session.”
To watch live-streaming of events and get great updates, visit the General Assembly’s website. Also, be sure to tune in tonight and live-stream the governor’s “State of the Commonwealth” address at 7 p.m.
Thousands of bills will be presented, so to keep track, use a great tool called “Richmond Sunlight.” This website gets better and better every year. Kudos to Waldo Jaquith for his efforts.
For my take on the start of the session, check out my column today in the Daily Press…
The governor’s transportation plan includes spending $3 billion in borrowed money over the next three years for projects and adds another $400 million in budgeted funds for good measure.
While that debt might cause some concern among fiscal hawks, the state has been told that its bond-rating will remain AAA.
What is the reaction from Democrats? What do you think? Raise taxes.
Also check out Kimball Payne’s excellent preview.
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About the author
Conservative to the core; liberal with his opinion! J.R. has been involved in politics for over a decade and has worked on several campaigns in Hampton Roads. He has served on the Executive Committee of the Republican Party of Chesapeake and the Central Committee of the Republican Party of Virginia. He is also the director of “Blogs United” in Virginia. E-mail J.R.. Follow J.R. on Twitter.
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32 Responses to "General Assembly gets ready to kick-off"
“No man’s life, liberty, or property are safe while the legislature is in session.”
-Gideon J. Tucker
Wow, what an incredible performance playing the Governor of Virginia where all citizens are handsome and all children are above average. Smoke and mirrors; All his initiatives have to be paid for somehow, and the cuts in the budget, while necessary, will not remain covered up by the splendid performance and the scripted applause. Please consider, who is the fiscal conservative? Illinois that just raised its income tax to preserve needed services, or Virginia that seems posed to allow its Governor to borrow $3 B without identifying a funding source. In other words, McDonnell gets praised for short term transportation investment yet requires future Governors/Legislators/taxpayers to pay for his initiatives. Legislators must see through the smoke.
I have no problem with the bonds to pay for roads. It’s a good idea and now is a great time to do it. But the governor hasn’t identified a funding source to service the debt. The legislature needs to do that for him.
So far, I have been favorably impressed by Gov. Bob, although I still think that the ABC privatization scheme is very short-sighted. However, he is starting to look and sound like Jim Gilmore on taxes and spending and look where that got us.
I think his proposal to raise taxes on every state city and school system member across the entire state is really going to cost him alot. He is actually raising taxes on hundreds of thousands of voters in the Commonwealth with his proposal. Think of all the folks who will take a cut by paying into VRS when in reality it wasn’t the employees fault that state failed to fully fund VRS for 10 of the last 18 years…
Oh and before somebody starts preaching to be that it is time for emplyees to pay, I’d support it once the state catches up all they own into VRS. Once it is fully funded AND we study the funding levels required to sustain it…only then I’ll support all the state, city and school employees contributing into it. You screwed it up, so you fix it first is my theme.
That is “owe” not the “own” as I accidently wrote in the second para…
If there is an area where I commend the Governor it is his decision to proceed with reform of the VRS system. His proposals will not totally make the system sound, but it is a giant step forward. Sure, employees will complain, but his action may preclude a much more drastic reduction in benefits if the system deteriorated further. This action should shore up the system so long as Legislators find the money to make the additional payments to make up for past actions. This will be a tough vote, but a needed one, and city and school boards must follow suit.
Sorry, but VRS is a sacred cow that needs butchering. No where in either the public or private sectors are such generous retirement plans still funded, except in those states that are facing bankruptcy such as California. If you want to see where such generous pension plans will eventually take us, look at General Motors or many of the EU countries such as Greece, Ireland, and France. It is not sustainable.
Sacred cows make the tastiest hamburgers.
You all make me laugh. Do you all even read the comments or do you just respond to have something to say? IMO: More dumb comments that show factual ignorance about “generous retirement benifits” when in reality a VRS retirement is just above the poverty level for most VRS retirees. Look at the facts…but that wasn’t my point or the discussion. I just mention it because of the stupity of your remarks.. Sorry but it is what it is.
Anyway, I said it is something I’d support the proposal when they payback what they failed to fund AND (MY MAJOR POINT) IT IS GOING TO COST A LOT OF VOTES…
Don’t think those hundreds of thousands of state, city and school system voters are going to vote for any elected officials who raise their taxes thru a pay cut and paying into VRS. Call it whatever you choose but they are raising the taxes of hundreds of thousands of employees in every city, town and county all across Virginia. THAT IS A LOT OF VOTES!!!! It will not come without a high price.
And Mike is just trying to rake his share off the backs of the local employees so he and Runneymead can get a sweatheart deal from the taxpayers pockets to build some more strip shopping centers along his proposed lightrail path. Don’t think for a second he has anyone’s interest at heart except for his own. Again it is what it is…
William Bailey,
It would really help your credibility here if you would knock off the insults and try to stay away from THE CAPS LOCK KEY!!! You really come off sounding like a hyperventilating mouth-breather.
A typical school teacher or other state employee in the VRS who has 33 years of service and an end salary of $55,000 can retire at age 55 with a basic benefit of about $31,000. That is hardly “poverty level,” esp. when the retiree still has anywhere from ten to 15 years of working life left while drawing that retirement. Kindly show me anywhere in the private sector today where you can retire at age 55 with 56% of your salary.
As to this proposal costing votes for the Republicans, who do you think you are kidding? Do you really think that members of the teachers’ unions or other public sector employee unions typically vote Republican?
I will stop here before I go any further and stoop to your level.
Thanks for the gratuitous slap in the face William. Your anger and resentment reveals you inability to analyze a situation rationally. The shift that occurred in the late ’70s to make the 5% contribution for the employee share was a mistake, and it is time to correct it. But that is the least of the public employee worries, as the subsequent shift to a defined contribution plan will be next. Virginia Beach Vision has supported pension reform for five years, to the derision of you and others, but frankly, it is the correct policy decision at this time. Perhaps at some point you will raise you head and see the truth; if you don’t, your idle threats at the ballot box will be revealed for all to see.
Hello? Anyone home? FYI: You do know that the vast majority of state, city and school employees are not in any type of union… You must know that republican or dem candidates for that matter can not win any election without the state, city/town and school system employee votes. Duh… Try using your head as it is simple math.
And yes. I do expect many union members to cast republican votes just as I have. I vote who I think is the best candidate and do not toe a R or D party line. And I have been working around state, city, military service members and school employees all of my life so I happen to know what I’m talking about when it comes to working men & women.
See the vast major part of your problem is you don’t know what your talking about… FYI: You’re going to need a lot of help with your credibility. LOL
William Bailey,
“You must know that republican or dem candidates for that matter can not win any election without the state, city/town and school system employee votes. Duh… Try using your head as it is simple math.”
You would have us believe that at least 10-20% of all active voters are public employees? And that they trend Republican because the GOP is so much more favorably disposed to public spending than the Democrats? That is hardly what I would call ‘simple math.’ More like fantasy math if you ask me. If your assertions were correct, then Brian Moran would have been the Democratic nominee in 2009 and won by a landslide.
I suspect that the Republicans will reform VRS and just take their chances at the polls.
I expect they will take there chances at the polls. I’m counting on it.
Mike: That is funny as hell.
Virginia Beach Vision? I do not remember every electing anyone from that group to represent me or any other the other citizen of VB. Let’s talk about that closet behind the scenes government. They are nothing more that legalized racketeers who take from the taxpayers on a daily basis under the guise of doing what is best for the city. They use their development, real estate, banking and construction businesses to buy politicians and push their agenda as if it were the citizen’s. I hate to break it to you but they and you do not represent the 435,000 citizens in VB…
In reality, it is their individual profit and income that is the driving force in VB Vision. Transparency in VB Vision? I haven’t seen it and in reality they hide like roaches. If we are going to talk about head in the sand then we’re going to turn on the lights on VB Vision’s leaders, profits, communications, hidden agendas and self serving interests in Virginia Beach. You want to provide the financial books, communications and other data for the Vision members? If you provide transparency and data, we can review it and see if they and you represent the citizens of VB and Virginia. I don’t expect you or they will. Instead, I expect you to continue to speak for Vision as their mouth piece and slither off to push your latest and greatest idea.
Frankly the politics in this city are as dirty as can be and you and your little team of behind the scene roaches are to be expected to push your own interests over the best interests of the community. I’ve come to expect it and watched it for over ten years. You personally play politics on both sides to profit and further your and the visions income. Criticize the R’s, Bash the D’s and all the while, making a profit from both sides. It’s sad but true…
Now you need to know I don’t care really about the 5% or a defined contribution system as it will be what will be. I can retire any day that I choose and move on. I stay because I care. I care about the citizens, children and taxpayers of this state, city and my own neighborhood. As you move the community forward in your own vision and interests to increase your income, you put all the services provided at risk statewide. While I agree things will change at the state level with VRS and in the local cities/towns and school systems employee salary/benefits, the employees are also reducing their efforts, concerns and dedication to serving. My fear is reality as it gets worse everyday as employees care less and less as the reality sets in that they are just a number without value to the citizens and taxpayers. Education declines, public safety is reduced, trash pick up isn’t a priority and the list goes on and on as the employees reduce their commitment, effort and job professionalism declines.
You get what you pay for and I support that premise. However, I still live in Virginia. When you and Vision finish and take your profit running back into the darkness, the citizens in the Commonwealth will be left holding an empty bag. Mark my words: things are in decline and it will only get worse.
“My fear is reality as it gets worse everyday as employees care less and less as the reality sets in that they are just a number without value to the citizens and taxpayers.”
God, I hope that you’re not a school teacher.
As to public employee dedication and morale, I think that was in the toilet about 30 years ago if the Virginia DMV was any kind of a bellwether.
FYI: The teachers in this city(VB) have not had a pay raise in three years, health insurance and every other family expenditure(power, fuel, food etc..) has increased during the past three years and now they are proposed to pay 5% into VRS. If you were to honestly evaluate that reality as a teacher, you want to bet the teachers are not going to react? I’m surprised more of them aren’t pulling the plug moving on to other careers, cutting back on the students time or working to their basic contract.
Frankly it isn’t just the schools in my city, it is statewide. Teachers and other employees are cutting back and saying oh well: Minimum pay means minimum output. I don’t think it is wide spread yet but its coming. As I said above, I expect it will get worse in the coming years and decades as the reality to employees sets in and there is no true value placed by the taxpayers on the public employees service.
You’ll get what you pay for… Congratulations!
William,
Your comments are like a car wreck–I know that I should just look away, but somehow I can’t.
I’ve got news for you: the cost of living over the past three years has decreased. That is why this January 1 was the third year in a row that Social Security retirees received no COLA raise. So you think that teachers deserve a raise while the elderly living on Social Security don’t need one? As Church Lady would say, “Isn’t that Special?”
As to teachers pulling the plug and moving on, go ahead and do it. But you won’t because you’ve got a sweet job with a fat retirement plan.
Go ahead and “work-to-rule.” The backlash from parents will be to just cut your benefits even more.
Yeah, you get what you pay for…and you also get paid for what you do. Threatening to hold your breath until you turn blue is not an effective negotiating strategy. Quite frankly, the less contact someone like you has with students the better off they will probably be.
Son, I’m not a teacher. Try to keep up…
Just a different Union, Bill.
While unemployment stays so high for so long, however, I doubt many citizens are going to shed tears over people that aren’t getting raises.
A whole lot of people were fired, laid off, or are simply making less than they used to.
They’d take the same money they were making three years ago in a heartbeat.
Eh, I’m not sure William is right about everything, but he is right that teachers and public employees in Virginia don’t belong to unions…they are legally banned from doing so.
VEA is not a union, Brian. It can’t strike. It can’t collectively bargain on pay or benefits or working conditions.
It’s a professional association, no different than the bar association or the medical association.
SV,
The Professional Air Traffic Controllers Organization (PATCO) wasn’t a union, either. They (theoretically) couldn’t strike and were no different than the bar association or the medical association. Their motto: “Don’t worry. Reagan can’t fire all of us.”
Yeah, that’s why William’s non-union logo has AFL-CIO on it. Because it’s just like a bar association.
Well, it is a bar association, but a totally different definition of bar.
If you can’t collectively bargain, you’re not a union. Virginia law bars collective bargaining for public employees. Therefore, those aren’t unions.
Question: Do Virginia teachers participate in SS? Or is this plan (VRS) the state’s replacement plan for social security benefits?
Teachers and state employees pay into Social Security.
Steve, I know, but do you think the members call it “the professional association” meetings? Do you think they talk about “professional association” business?
I know they have no teeth, but that doesn’t mean they’ve realized that yet.
Thanks Steve! So under the McDonnell plan:
-Employees will now contribute 5% (of salary/ pretax dollars) into the VRS.
-To offset portion of contribution “cost”, participant receives 3% salary increase.
-In addition, the plan increases the school system’s VRS contribution from 3.93% to 7.16% of salary.
-New employees (hired after July 1, 2010) are required to participate.
-Each school system may (but is NOT REQUIRED to) include employees hired before July 1,2010.
Based upon news reports and other data, I crunched numbers (and count on BD readers to correct any errors). All figures use average public school (K-12) teacher’s salary in Virginia ($57,873.00).
5% employee contribution = $2893 per year
3% employee raise = $1736 per year
Difference (paid by employee) = + $1157 per year
Change in employer contribution:
Old plan: 3.93% = $2274 per year
New plan: 7.16% = $4143 per year
Difference= + $1869 per year
The old plan invested $2274/year in this teacher’s retirement plan.
The new plan invests $5039/year in this teacher’s retirement plan.
Of the $2765 additional dollars paid into this teacher’s retirement account (per year) … $1157 comes from employee’s pocket / $1608 comes from the state (employer) i.e. every $1 employee contribution is matched by $1.40 contribution from employer.
This appears to be a VERY good plan for VRS members. Or am I missing something?
We can debate it forever but that would be a waste of time. Here is what our Gov. Bob McDonnell said about the 5% VRS issue on 13 April 2010:
“The men and women who serve the Commonwealth in our state and local governments have devoted their professional lives to public service. It is important that we treat that service with the respect it deserves. Current state and many local employees took their jobs with the expectation that their retirement contributions would come from their employer. We cannot turn our back on that agreement. To do so would be unfair to Virginians who work hard for our Commonwealth every day. We should make necessary changes to our retirement system and I do support changes to the contribution requirements for future state employees, and for future local employees if a locality chooses to make such a change. For current government employees a promise was made, and it should be kept.”
So much for respect,fairness and promises from the Gov. and the GOP… I’d expect better from him & them but once again you can’t believe a word they say.
SV,
“If you can’t collectively bargain, you’re not a union.”
Pardon me, but that is patently false. Many public sector unions cannot collectively bargain and even have no-strike clauses. However, they are recognized and certified to represent the class of workers they encompass, esp. in a Right-To-Work state like Virginia. The Fraternal Order of Police is a prime example. Try firing a teacher without negotiating with the VEA or try suspending a cop without the concurrence of the FOP.
If it walks like a duck, quacks like a duck…
“We should make necessary changes to our retirement system and I do support changes to the contribution requirements for future state employees, and for future local employees if a locality chooses to make such a change. For current government employees a promise was made, and it should be kept.”
William, I think Governor Bob kept that promise – the new plan, as I understand it, is mandatory ONLY for employees hired 6 months ago (July 1, 2010) – new hires. Current employee (prior to July 2010 hires) participation will be decided at the local school system level, not by the state.
My numbers were off in the previous post (according to VRS rates in this article) …
Last year, former Governor Tim Kaine proposed an increase in VRS rates, from 15.64 percent to 17.52 percent which would have resulted in an increase in expenses for school divisions during a tough budget year. However, by the time the final General Assembly budget was formed, the increase in VRS became a decrease, from 15.64 percent to 9.81 percent resulting in $1.2 million in VRS savings for Orange County, money which was used to restore positions and fund non-reoccurring costs.
Now this year, McDonnell is reclaiming those savings, hoping to increase employer VRS contributions by 2 percent. Grimesey said the VRS rate is expected to increase from 9.81 percent to 11.04 percent or higher.
“In all fairness to the governor, this is exactly what we were told would happen.”
http://www2.orangenews.com/news/orange-news/2011/jan/05/schools-prepare-vrs-impact-ar-754828/
HisRoc: “The Fraternal Order of Police is a prime example. Try firing a teacher without negotiating with the VEA or try suspending a cop without the concurrence of the FOP.”
The FOP in Virginia is a social club… It represents nobody, doesn’t negotiate for anything but does have a nice bar, pool tables and fun dances. Your example is wrong on every level. I repeat: WRONG!
Once again, your credibility is gone. Your comments and example shows you do not know what you are commenting about. Sorry but if it walks like a duck, quacks like a duck…
Jay D: I really can’t believe you honestly believe that statement- “kept his promise.” Only here can a man say one thing and do just the opposite and supporters will try and cover for him. Frankly I’d say The Gov just flat lied but I have take the high road so I will not. As the Gov presents himself as a conservitive christian man, I would have expected he would honor his words…
While I am not one of his supporters, I do expect all men and women to keep thier word and honor their committments and promises. In this case disapointment is the result but I’m not surprised.
WB: I do not worship at the McDonnell alter; he’s misguided, uninformed, and flat out wrong (IMO) on many issues – but not this one… and I see no facts supporting unkept promises: 1) to change contribution requirements for “future” employees” (which this plan does) 2) to keep faith with “current government employees” (which this plan also does).
In 2008, JLARC presented VRS solvency options, which included requiring employees to contribute up to 2% of salary (augmented by another .05% when salary increases were funded). The legislature delayed action (until 2010) because “…the struggling economy has resulted in layoffs and uncertainty for the state workforce.” ~Delegate Cox, Commission Chair. (www.vml.org/UP/PDFUPs/UP08/UPOct1708.pdf) In 2009, when the shortfall was at $11 billion, Governor Kaine again proposed employee contributions in his final budget. We didn’t act; the shortfall now stands at $17.6 billion.
The VRS plan (like SS) is non-sustainable. If not this solution, what? Only 2 states now pay the employee’s share: Virginia and North Dakota… and it appears ND will soon shut down it’s own dinosaur defined-benefit plan (to new hires), to be replaced with a deferred-contribution system (similar to private sector 401k).
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