Rhode Island Policy Reporter

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A look at the lousy situation Rhode Island is in, how we got here, and how we might be able to get out.

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RIPR is a (paper) newsletter and a weekly column appearing in ten of Rhode Island's finer newspapers. The goal is to look at local, state and federal policy issues that affect life here in the Ocean State, concentrating on action, not intentions or talk.

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whole site RIPR back issues

Available Back Issues:

  • Aug 09 (38) - How your government's economic policies have worked against you. What a fake nineteenth century nun can teach us about the tea party protests.
  • Jun 09 (37) - Statistics of optimism, the real cost of your government. Judith Reilly on renewable tax credits. Review of Akerlof and Shiller on behavioral economics.
  • Apr 09 (36) - Cap and trade, the truth behind the card check controversy, review of Governor's tax policy workgroup final report.
  • Feb 09 (35) - The many varieties of market failures, and what classic economics has to say about them, review of Nixonland by Rick Perlstein.
  • Dec 08 (34) - Can "Housing First" end homelessness? The perils of TIF. Review of You Can't Be President by John MacArthur.
  • Oct 08 (33) - Wage stagnation, financial innovation and deregulation: creating the financial crisis, the political rhetoric of the Medicaid waiver.
  • Jul 08 (32) - Where has the money gone? Could suburban sprawl be part of our fiscal problem? Review of Bad Money by Kevin Phillips, news trivia or trivial news.
  • Apr 08 (31) - Understanding homelessness in RI, by Eric Hirsch, market segmentation and the housing market, the economics of irrationality.
  • Feb 08 (30) - IRS migration data, and what it says about RI, a close look at "entitlements", historic credit taxonomy, an investment banking sub-primer.
  • Dec 07 (29) - A look at the state's underinsured, economic geography with IRS data.
  • Oct 07 (28) - Choosing the most expensive ways to fight crime, bait and switch tax cuts, review of Against Prediction, about the perils of using statistics to fight crime.
  • Aug 07 (27) - Sub-prime mortgages fall heaviest on some neighborhoods, biotech patents in decline, no photo IDs for voting, review of Al Gore's Against Reason
  • Jun 07 (26) - Education funding, budget secrecy, book review of Boomsday and the Social Security Trustees' Report
  • May 07 (25) - Municipal finance: could citizen mobility cause high property taxes? What some Depression-era economists had to say on investment, and why it's relevant today, again.
  • Mar 07 (24) - The state budget disaster and how we got here. Structural deficit, health care, borrowing, unfunded liabilities, the works.
  • Jan 07 (23) - The impact of real estate speculation on housing prices, reshaping the electoral college. Book review of Blocking the Courthouse Door on tort "reform."
  • Dec 06 (22) - State deficit: What's so responsible about this? DOT bonding madness, Quonset, again, Massachusetts budget comparison.
  • Oct 06 (21) - Book review: Out of Iraq by Geo. McGovern and William Polk, New rules about supervisors undercut unions, New Hampshire comparisons, and November referenda guide.
  • Aug 06 (20) - Measuring teacher quality, anti-planning referenda and the conspiracy to promote them, affordable housing in the suburbs, union elections v. card checks.
  • Jun 06 (19) - Education report, Do tax cut really shrink government?, Casinos and constitutions, State historic tax credit: who uses it.
  • May 06 (18) - Distribution analysis of property taxes by town, critique of RIEDC statistics, how to reform health care, and how not to.
  • Mar 06 (17) - Critique of commonly used statistics: RI/MA rich people disparity, median income, etc. Our economic dependence on high health care spending. Review of Crashing the Gate
  • Feb 06 (16) - Unnecessary accounting changes mean disaster ahead for state and towns, reforming property tax assessment, random state budget notes.
  • Jan 06 (15) - Educational equity, estimating the amount of real estate speculation in Rhode Island, interview with Thom Deller, Providence's chief planner.
  • Nov 05 (14) - The distribution of affordable houses and people who need them, a look at RI's affordable housing laws.
  • Sep 05 (13) - A solution to pension strife, review of J.K. Galbraith biography and why we should care.
  • Jul 05 (12) - Kelo v. New London: Eminent Domain, and what's between the lines in New London.
  • Jun 05 (11) - Teacher salaries, Veterinarian salaries and the minimum wage. Book review: Confessions of an Economic Hit Man
  • Apr 05 (10) - Choosing a crisis: Tax fairness and school funding, suggestions for reform. Book review: business location and tax incentives.
  • Feb 05 (9) - State and teacher pension costs kept artificially high. Miscellaneous tax suggestions for balancing the state budget.
  • Dec 04 (8) - Welfare applications and the iconography of welfare department logos. The reality of the Social Security trust fund.
  • Oct 04 (7) - RIPTA and DOT, who's really in crisis?
  • Aug 04 (6) - MTBE and well pollution, Mathematical problems with property taxes
  • May 04 (5) - A look at food-safety issues: mad cows, genetic engineering, disappearing farmland.
  • Mar 04 (4) - FY05 RI State Budget Critique.
  • Feb 04 (3) - A close look at the Blue Cross of RI annual statement.
  • Oct 03 (2) - Taxing matters, a historical overview of tax burdens in Rhode Island
  • Oct 03 Appendix - Methodology notes and sources for October issue
  • Apr 03 (1) - FY04 RI State Budget critique
Issues are issued in paper. They are archived irregularly here.

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Creative Commons License Tom Sgouros

Sun, 28 Jun 2009

What about taxes?

I asked the likely gubernatorial candidates what they think about Rep. Scott Guthrie's proposed amendment to the budget last Wednesday. This amendment would have frozen the "flat tax" rate at the current 7% limit and appropriated the savings to revenue sharing for cities and towns. The amendment failed 23-52. Do they concur with the House leadership that this was not a good idea?

Frank Caprio:

"We need comprehensive tax reform, and we need to start by thinking about having a singular, consistent approach, not a dozen continuously changing tax policies. Our tax strategy needs to focus on helping businesses, particularly small businesses, create jobs."

Elizabeth Roberts:

"No one element of tax policy can be considered in isolation. What RI needs is a coherent, integrated tax policy that meets the goals of: fairness to all Rhode Islanders, regional competitiveness, lowering the tax burden on the middle class and working Rhode Islanders, and supports a comprehensive economic development plan."

These, of course, are not what you'd call answers to my question. Patrick Lynch and Lincoln Chafee both declined to comment, both saying it was because they're not official candidates yet.

In other words, none of them were willing to express an opinion about how our government ought to be funded.

00:47 - 28 Jun 2009 [/y9/jn] link

Sat, 20 Jun 2009

Investment: It's not all good

I just finished reading an interesting report, out last week from the Rhode Island Coalition for the Homeless and RI Legal Services, about the plague of foreclosures and evictions upon us. It's an interesting read, and filled with useful maps about where evictions have happened, and which banks are doing them. (See rihomeless.org.)

Sadly, many foreclosures happen on rental property, and many banks routinely evict all the tenants when that happens. Since sales rates are way down, lots of these properties end up boarded up and vandalized, while the evicted families end up, well, evicted. It is just as dumb as it sounds, but these banks have chosen not to be in the property-management business, an understandable business decision -- if you ignore the damage they're doing to our state.

See more ...

14:14 - 20 Jun 2009 [/y9/cols] link

Thu, 18 Jun 2009

The California Budget Challenge

Check out the California Budget Challenge. It's good for one's humility.

19:18 - 18 Jun 2009 [/y9/jn] link

Sat, 13 Jun 2009

Bill numbers for Covanta trash bill

The bills that would reverse Rhode Island's incineration ban and qualify waste-to-energy as a renewable energy source are H6053 and S933. Please tell your representative or senator to oppose them. Read below for more.

21:19 - 13 Jun 2009 [/y9/jn] link

Like flies to a subsidy

I was passing through Portsmouth a couple of weeks ago, and couldn't help noticing that the town is now home to a second giant wind turbine, which seemed pretty cool to me. The new turbine is owned by the town, and generating electricity that the town sells to National Grid. Electricity isn't the only thing Portsmouth sells, though. They also sell something called Renewable Energy Certificates (REC).

An REC is sort of like a green blessing for a megawatt of electricity. Better yet, think of it as the bragging rights for using that green electricity. If you have the certificate, you have a legal right to claim you've used a megawatt-hour of renewable electricity. Portsmouth is allowed to issue one REC for every megawatt-hour they produce.

RECs are important because electrons are electrons, and they don't come with little labels saying how they were generated. An electron that comes out of the socket in your wall is the same whether it was generated by Portsmouth's wind turbines or by an ancient and filthy coal-fired generator in Ohio.

See more ...

21:13 - 13 Jun 2009 [/y9/cols] link

Tue, 09 Jun 2009

Dept. of Reaping What's Been Sown

On the news that George Tiller's family is not interested in being picketed, protested or shot. From the Times

Even some abortion opponents, who had long devoted their efforts to closing down Dr. Tiller's clinic, said they did not wish to see it happen under these circumstances. Last week, Troy Newman, the leader of Operation Rescue, had said that closing the clinic now would send a worrisome message. "Good God, do not close this abortion clinic for this reason," he said in an interview with The New York Times. "Every kook in the world will get some notion."

Wonder where they will have gotten it from?

14:21 - 09 Jun 2009 [/y9/jn] link

Sat, 06 Jun 2009

The fun only lasts until the music stops

A couple of weeks ago, during a hearing at the Senate Finance committee, chairman Daniel DaPonte (D -- East Providence and Pawtucket) made some disparaging remarks about our cities and towns. In response to a witness who made a comment about how cuts in municipal aid were forcing cities and towns to raise property taxes, Senator DaPonte said, "There's no evidence that giving cities and towns more money will result in property tax cuts. We've raised municipal aid and property taxes haven't come down."

In fact, the chairman is right that municipal aid has gone up a lot, but he's wrong, too. Municipal aid grew from $28 million in 1990 to $234 million in 2008. What are the towns doing with all that money? Flushing it down the toilets in town hall?

In fact, they can't flush it because they don't get even half of it. That number serves to nurse the standard story about what's wrong with local government, but it doesn't have much to do with paying bills at town hall. You see, to make the sum as large as $234 million, the state budget writers include $135 million in reimbursement for car taxes. This is real money, certainly, but it goes to taxpayers, not towns. It does not help balance municipal budgets

See more ...

08:01 - 06 Jun 2009 [/y9/cols] link

Fri, 05 Jun 2009

My favorite part of the Cairo speech

It's a story with a simple truth: that violence is a dead end. It is a sign of neither courage nor power to shoot rockets at sleeping children, or to blow up old women on a bus. That is not how moral authority is claimed; that is how it is surrendered."

I think the moral high ground is routinely undervalued in discussions of international (and national) affairs. The contrast between South African and Palestinian history of the last 50 years could hardly be more stark.

07:53 - 05 Jun 2009 [/y9/jn] link

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