Category Archives: The Budget

The budget, Newburyport, MA, an estimate of income and expenditure for a set period of time.

Newburyport, Money, Funding and Fiscal Stuff

I worry that I am no longer a Liberal Democrat. Ouch.

On social issues I am probably left of Ted Kennedy. But when it comes to fiscal stuff, ie money, after a year and 4 months plus of blogging, I find that I am more and more a fiscal conservative. Good grief.

And weirdly the 2 seem to be at odds with each other.

How can we as a city support quality education if there is little to no money at the local, state or federal level?

Ditto for a senior center. Ouch.

Ditto for practical things like fire trucks. Ouch

Ditto for the arts in places like the school system. Ouch.

Ditto for really good health care for the people who work hard to serve the city of Newburyport, MA. Ouch.

Ditto for expensive parks or parking solutions. Ouch.

There is a lot of stuff on the “Ouch” list for me.

I am finding that being a “pragmatist” and an “idealist” may in fact, in my case, be an oxymoron.

And as I walk the street of Newburyport, MA and talk to people, I feel a tension in town, brought to a head, most likely, over the concern over our educational system.

Do I feel “hopeful” about the future of our city, at least on May 10, 2007? Honestly, I have my doubts.

I feel very hopeful about the leadership of Superintendent Kevin Lyons. I think that he is one of the best things to happen to our school system in decades.

This is why I am a little confused about the “Advisory Board” put together by the “Yes for Newburyport” folks. I think the leadership of our school system is in the best hands that it has been in for years. Frankly, in my opinion, in a lot better hands than some of the folks on the “Advisory Board” list.

I most definitely think that Dr. Lyons has the leadership ability “to set an agenda to guide Newburyport’s school system into the 21st Century.” And that we would not need an “Advisory Board” for that goal.

But, what we could use an “Advisory Board” for is to provide leadership, as well as a city wide policy, to help us advocate for state and federal funding (that would not trigger anymore very expensive and intrusive state and federal mandates).

And it would be wonderful if all the brain power and all the state and sometimes federal connections this “Advisory Board” has, could be put towards that purpose for the city of Newburyport, MA.

This is where I think these folks could be unbelievably helpful, and we as a city would be most grateful.

Mary Eaton
Newburyport

Newburyport, Override Press Release

I received a press release from “Yes for Newburyport” yesterday evening, and instead of thinking, “Yes, good go’n folks, smart political move,” my reaction was one of being really, really, pisssed.

Now, I’m not sure why my reaction was one of being really, really pissed, so I got the frogs out to take a look at the email/press release.

In the previous post I commented on how useless the frogs have been up to this point on this issue, so you see here, I’m really, really desperate.

First, George Cushing, from Frog Pond at the Bartlet Mall, the political consultant to the Newburyport Blog, took a look at the email and then he was joined by the “Twins,” and eventually by frog activist, Georgiana Tadpole.

george_comp.jpg
George Cushing taking a look
at the email/press release on my computer.

The feeling I had was one of being manipulated and rail-roaded into voting for an override for our schools that, to say the least, I am deeply ambivalent about. (Is that tactful or what.)

The opening quote on the email/press release is from Sheriff Frank Cousins (who I like a lot):

“In the correctional system I see first hand what happens to kids when education is not a priority…”

I have a feeling that Sheriff Cousins didn’t mean it the way it sounded to me which was, “Unless you vote for the override, Newburyport, MA will probably turn out a bunch of criminals.”

A little heavy handed, which is definitely not Mr. Cousins’ style (at least not in my experience).

And then there is a long list of “important” people, who I could have told anyone, would support an override in Newburyport, MA for a whole number of reasons.

They have formed an advisory board.

” “Forming the advisory board lends a level of credibly to the grass-roots organization that will help maintain the group’s momentum long after the May 22nd special election,” said Paul Acquaviva, YES for Newburyport’s chairman.”

Oh.

(I suppose that’s a little catty of me. But gosh darn it, that email/press release brought out the very, very “catty” in me.)

It did say at the very end:

“…the committee has also identified the need to create a broader strategy to address long-term financial issues.” That part works for me.

I guess what doesn’t work for me, is that there is no sense of community in that press release. It has the cumulative effect of a “pep-rally” combined with an “all out war effort.”

I want to be able to live side by side with my neighbor, build bridges, not flip them the bird.

I want this to somehow be a “win-win” situation, where “reasonable people can disagree.” And obviously, I was feeling slightly cantankerous by the time I got through reading that darned press release. (For goodness sakes I hauled out the frogs to take a look at the email/press release, and that’s a little scrunchy, believe you me, when I’m relying that heavily on the frogs!)

Mary Eaton
Newburyport

Newburyport, Meal Tax to Help Municipalities

Well, George Cushing, of Frog Pond at the Bartlett Mall, the “astute” political consultant for the Newburyport Blog was going to roast our State Representative, Michael Costello.

george.pillow.1.jpg
George Cushing being astute

An article in the Sunday Globe, “Option on meal tax stirs debate
Communities could benefit,” by Kathy McCabe, May 6, 2007, caught George’s eye.

The frogs have been feeling left out lately. I haven’t consulted them in this whole school override debate thing. (And quite frankly, between you and me, I haven’t consulted them on this issue because they have been absolutely no help at all. Good grief, aren’t political consultants and aspiring political consultants supposed to be helpful??)

But, both George and I think the 1-2% meal tax that would help municipal coffers to pay for stuff like the schools and fire trucks, would be a really, really good idea. (Never mind that the Massachusetts Restaurant Association doesn’t like it, of course they wouldn’t like it. Is anybody actually surprised by this? No.)

At the end of the article in the Boston Globe, May 6, 2007 by Kathy McCabe, there is this quote:

” “This tax has been talked about before,” said Michael Costello, executive director of the Cape Ann Chamber of Commerce in Gloucester. “This tax gives a glimmer of hope to communities. . . . But all it really does is unfairly tax businesses, to right the municipal ship.” ”

Well, George Cushing proceeded to get his panties all in a bunch (do frogs wear panties??) that Michael Costello would not be for the proposed meal tax that would help his very own city of Newburyport, Massachusetts.

Whoa. But wait a minute here.

Good thing I am the editor of the Newburyport Blog and George Cushing is not.

On closer inspection this morning, the Michael Costello in the article is the “executive director of the Cape Ann Chamber of Commerce in Gloucester.”

Am I massively confused or what? How many people by the name of Michael Costello could there possibly be? And is our State Representative moonlighting as the “executive director of the Cape Ann Chamber of Commerce in Gloucester?”

How to resolve this weirdness. Do I call Michael Costello’s government office in Boston, and ask, “Are you working for Gloucester too??” Or do I call the Gloucester Chamber of Commerce and ask, “Is Michael Costello a state representative??” Which would be less embarrassing for moi?

In the end I decided to try the Gloucester Chamber of Commerce, and yes, I had the feeling when they answered my question that they thought I was completely nuts.

But, the mystery of our State Representative Michael Costello working in two places at once is solved. He’s not. There are, low and behold, 2 Michael Costellos. Who knew?

So, I have spared George Cushing the embarrassment of making a total fool out of himself (lucky George).

I have no idea how our State Representative feels about the meal tax. I am presuming that he is for it, since he knows first hand how municipalities are struggling. But neither George or I have checked that pertinent piece of information out.

We were way too busy checking out just how many Michael Costellos there happened to be within a certain proximity. I guess we’ll find out State Representative Michael Costello’s position on this very important matter at some later date, whenever.

Mary Eaton
Newburyport

Newburyport, The Partnership Act and Money for Cities and Towns

Helping Massachusetts cities and towns with their property tax “crisis” –Governor Deval’s “Partnership Act.”

One of the things I really like about the “Partnership Act” (Municipal Partnership Act– its official name) is that it would close a property tax exemption created in 1915 that exempts telecommunications companies from paying property taxes on their (telephone) poles.

I believe that we are talking about Verizon here.

And as I understand it electric companies are paying taxes on their half of (telephone) poles, that they share with telecommunication companies that are exempt.

Good grief. That seems crazy to me.

“The best figures I have show that fairly taxing telecomm companies would add $261,330.00 in sorely needed revenue for Arlington.”
Bluemassgroup.com, Tuesday, April 10, 2007

That’s an unofficial figure for one town, but folks, that’s a good chunk of change.

The argument against ending this antiquated loophole would be that Verizon would leave the state and run for the hills (I think that it’s unlikely Verizon would run for the hills, they appear to have way too much invested in the state of Massachusetts).

The other argument is that Verizon would pass this added expense onto the consumer.

“The governor discounted the arguments of Verizon Communications that closing the telecommunications tax loophole would lead directly to higher rates for consumers. He said Verizon has raised its rates by 30 percent even while its overall tax bill has gone down 46 percent.

The 92-year-old law, originally designed to bring telephone service to all corners of the state, exempts telephone companies from paying property taxes on poles and wires, an exemption worth an estimated $78 million, according to the governor.”
“Local officials, governor urge passage of Municipal Partnership Act” by MMA Publications/Web Director John Ouellette, Tuesday, April 10, 2007.

So as we are thinking about the fiscal crisis facing Newburyport, MA and a whole lot of other cities and towns across the Commonwealth of Massachusetts, getting Verizon to pay for their half of the telephone poles works for me.

It just seems like plain old common sense.

Mary Eaton
Newburyport

Newburyport, Tax Relief

Now that I’ve chit chatted about the Republican point of view towards local fiscal woes, George Cushing, the political consultant for the Newburyport Blog felt it was really time to take a look at the Democrat point of view.

Ok, George. Good idea.

And that means taking a look at Governor Deval’s “Partnership Act” (The long version, the “Municipal Partnership Act.”), which I gather is still being “tweaked.” And I gather the Partnership Act is not support by one and all. Gee, what a surprise.

Let’s start with something simple in the proposal:

The Partnership Act would allow cities and towns to adopt a sales tax on meals of up to 2 percent in addition to the 5 percent state tax.

25 percent would go to property tax relief for seniors.

“Local officials, Patrick testify on behalf of partnership act”
mma.org, Tuesday, April 10, 2007

“Patrick described the local option taxes on meals as “purely a local decision.”

“The idea is to trust local communities to make those judgments by themselves according to their own circumstances,” he said.

He cited studies showing that New York, Chicago, San Francisco and Seattle all have higher meals taxes than Boston would if it were able to enact the local option tax.

“In all those places the restaurant business is booming,” Patrick added.

Twenty-five percent of the revenue generated by the local option meals tax and room occupancy tax would be used to reimburse cities and towns for property tax exemptions that senior citizens are eligible for.”

By MMA Associate Editor Mitch Evich

A Republican response to this, aside from the fact that it’s yet one more tax on top of all the other taxes is this:

“Deval’s local tax hike scheme actually gets worse in the details. The reason, friends, is that communities that make the mistake of raising these local taxes only get to keep 75 percent of the hike. The rest goes into (hold your breath) a state fund that would reimburse communities that provide property tax abatements for senior citizens.”
blog.worcestercountyrepublicanclub.com, February 28, 2007

Liberal Democrat that I am, I think 25% towards a property relief for seniors is a good thing. That one really works for me.

Mary Eaton
Newburyport

Newburyport, Override Opinions

In my hunt for what Barbara Anderson was referring when she was talking about “fighting for reforms that would save money,” I learned a lot.

I discovered 2 really good blogs. One is a Democratic blog, BelowBoston.com and one is a Republican blog, worcestercountyrepublicanclub.com. Two really good blogs from two completely different points of view. I highly recommend them.

One of these blogs directed me towards the The Patriot Ledger where I found this quote about Barbara Anderson (who I gather is a Republican).

“Barbara Anderson, president of Citizens for Limited Taxation, the group that led the campaign to adopt Proposition 2 ½ in 1980, predicts that voter support for overrides will continue to erode as long as municipal employee benefits continue to exceed those in the private sector.


“People are starting to connect these tax requests with the general inability of elected officials to deal with these issues,” she said. “The people they’re asking for the overrides are the ones themselves trying to afford health insurance.”

The Patriot Ledger, April 7, 2007, “More towns face grim possibility of tax overrides,” By Rick Collins

The same article also says:

“Lean increases in state aid, empty rainy-day accounts and continuing double-digit increases in personnel costs mean many communities can no longer afford to provide services at current levels.


“Scores of communities are reaching a point where they simply don’t have the revenue, no matter how much they squeeze, to support the existing level of services,” said Michael J. Widmer, president of the Massachusetts Taxpayers Foundation.

Many predict communities will continue to experience money problems unless they make drastic cuts in payrolls, benefits and services, or they hike taxes.


The issue, some say, is not just the number of town employees – most communities have fewer now than they did before 2004 – but rather employee benefits such as pensions, guaranteed pay hikes and relatively low-cost health care.


Health care costs for municipalities increase an average of about 10 percent annually and consume larger amounts of a community’s budget.”

The Patriot Ledger, April 7, 2007, “More towns face grim possibility of tax overrides,” By Rick Collins

Michael J. Widmer I gather is also a Republican (I’m a Liberal Democrat) and it appears he is not much liked by BelowBoston.com. BelowBoston.com does not appear to like Barbara Anderson much either.

So, I’m on a huge learning curve here. Anderson and Widmer are new names to moi. And even though I am a Democrat, I am very interested in their point of view.

Mary Eaton
Newburyport

Newburyport, Coffee and the Override

On Saturday, April 21, 2007 at 8:30 in the morning I was invited to have coffee at one of my “young” neighbor’s house (I think that they are adorable, the “young” family), to have a civil discussion about the $1.58Million override for our schools. (Election May 22, 2007)

I’m not exactly “on the planet” at 8:30 on a Saturday morning. And I had my doubts about whether a civil discussion would be possible on the override, should their be different points of view.

I managed to get there about 9:30 and mouthed the word “coffee” to my very adorable young neighbors, and they very graciously handed me a cup of coffee ASAP.

The Vice-Chair of the Newburyport School Committee was there as well as the chair for the “Yes for Newburyport” pro-override group.

When everyone had left, my neighbors and the chair of the “Yes for Newburyport” pro-override group asked me what it would take for me to change my mind about the override for our Newburyport schools.

And this is what I told them (in no particular order).

1) We all agreed that the “eye rolling” (or what I call the “eye rolling attitude”) was a huge mistake, and needed to come to an end ASAP. There was unanimous consent on that one. They had become well aware of the “eye rolling” problem.

2) Just last December 2006 we were talking about an override for, in my opinion, an unbelievably expensive and ridiculously elaborate building plan for our elementary schools. The plan is still on the Newburyport School’s website and to my knowledge, the plan has not been voted off the table. This is very confusing to the voters of Newburyport, MA. My suggestion was for the Newburyport School Committee to vote that plan off the table ASAP.

They agreed.

3) One of my major concerns is the fact that health care for the city of Newburyport, MA is a skyrocketing expense, and in 2-3 years could make an investment in an override for our schools moot, by gnawing away at the proposed tax increase.

My suggestion, was for the “Yes for Newburyport” pro-override group to come up with a long term state and local plan to address that issue, whether it is from a Republican point of view, or a Democratic point of view, and lead the way to beginning to solve that “Pac-Man” (does that date me or what) of an issue.

They agreed.

4) I suggested that they talk to all the Newburyport City Councilors who originally voted against the override (all 7 of them), and ask them about their ideas to curb the skyrocketing expenses concerning our city budget. The idea being, instead of preaching to folks, to ask them for their input, knowledge and ideas. To build bridges instead of razing them.

They also thought that was a good idea. (I’m batting 4 for 4 here.)

One of the things that they said to me was, “Mary, we are really new at this and we need all the help that we can get.” They also said that they had learned a lot.

As a city, we have a young, very intelligent and very well educated group of people who have all of a sudden become very involved in the political process. My great hope is that this new group would be able to see the bigger picture and how it involves them. And then help us as a city, problem solve the very difficult and complex issues that are before us, our schools being one of many pressing problems at hand.

Mary Eaton
Newburyport

Springtime and Money for Newburyport, MA

On Saturday I went for a walk downtown and along Newburyport’s beautiful boardwalk, that runs along the mouth of the Merrimac River from the Black Cow Restaurant to the Customs House Maritime Museum.

It was as if after a long dormant winter, Newburyport, MA had come alive on this gorgeous spring day.

And I hate to say it folks, and I didn’t count the cars, but the Newburyport Redevelopment Authority lot down by the Customs House Maritime Museum was full. And all those tourists brought $$ to Newburyport, MA.

I am an artist, I do not have a Political Science degree or a Business degree, so when I blog about many of the issues on the Newburyport Blog, I often feel like a complete neophyte.

But the more I understand the fiscal crisis that Newburyport, MA is facing, the more I understand how important it is for the city of Newburyport, MA to have a commercial base.

One of the blogs I have discovered is the “Milton View.” The blog’s author, Philip Mathews, discusses many of the same problems that Newburyport, MA is confronted by. I highly recommend it.

According to the “Milton View,” Milton, MA relies almost solely on its residential property tax and has a lack of commercial development that has led to a lopsided tax base. And Milton relies on “overrides” to pay for a myriad of things.

Luckily, Newburyport has a vibrant downtown and the Industrial Park, all of which, one would assume, could help with our municipal taxes.

I’ve never paid much attention, to the “business” part of Newburyport, MA, but I guess I may start to pay more attention now. Because it appears that escalating residential property taxes may not be a long term solution for Newburyport, MA.

Mary Eaton
Newburyport

Newburyport, Municipal Partnership Act

My question:

If the spring $1.58 million override for Newburyport’s schools does pass, what would be the next thing folks would advocate for?

If the spring $1.58 million override for Newburyport’s schools does not pass, what would be the next thing folks would advocate for?

And that brings me to my mucho research and major learning curve- the governor’s Municipal Partnership Act. (You see I’m trying to do the “unite” folks thing here.)

“Gov. Patrick called the soaring property tax burden in Massachusetts “a crisis,” and said cities and towns desperately need the ability to broaden their revenue options and reduce reliance on the property tax. He said his proposal would provide “real property tax relief.” ”
Massachusetts Municipal Association (www.mma.org) April 10, 2007

* Opening the state Group Insurance Commission to municipal workers, thereby saving money on health-insurance premiums.

* Realizing better investment returns for retirees’ pensions and lowering the administrative costs of managing the local pension funds.

* Allowing cities and towns to vote on a 1 or 2 percent tax on meals and hotels. 25 cents of every dollar generated by this option would go directly to property tax relief for seniors.

* Updating a century-old provision that exempts telecommunications companies from paying property taxes on their poles.”
www.patricdeval.com

For the entire explanation please press here.

Folks in opposition to the Municipal Partnership Act:

“The plan is to impose a new tax to take care of that pesky old tax.”
blog.worcestercountyrepublicanclub.com, February 27th, 2007

And to deal aggressively with unions:

“The increase is driven mostly by exploding increases in health insurance and retirement costs taxpayers pay for our union town employees – our policemen, firemen, and teachers. This is because public workers pay as little as 10 percent towards their own health and retirement benefits – taxpayers pay the rest. Citizens in the private sector generally pay a much higher percent of their own health and retirement benefits – and many are lucky to have these benefits at all…

What can you do to make the new contracts fairer for taxpayers?

…demand that taxpayers be relieved from paying such a high and unfair percentage of the health and retirement benefits in the new union contracts…”
blog.worcestercountyrepublicanclub.com, February 28, 2007

So, depending on your point of view, there does appear to be ways that folks could advocate for control on local spending and relief from local property taxes, all of which have nothing to do with a local override, which appears to me to be polarizing the community of Newburyport, MA.

Mary Eaton
Newburyport

Newburyport, Reforms that Would Save Money

It appears to me that Newburyport, MA is hardly alone in its financial “crisis.” Whether it applies to the Newburyport schools, or all the other myriad of financial issues.

It appears that Mayor John Moak could be seriously thinking of asking the people of Newburyport, MA to pay for those extra financial items (2 to 4 million according to the Newburyport Daily News, April 13, 2007), by possibly putting another vote for tax increases on the November ballot (in addition to the spring override for the Newburyport schools, $1.58 million).

In the Boston Globe, April 1, 2007 there is an article by John C. Drake called “50 towns tackle property tax hikes, Walpole says no; Scituate vote is split.” And at the end of that article there is this quote:

“Barbara Anderson , executive director of Citizens for Limited Taxation and one of the state’s leading proponents of Proposition 2 1/2, said towns seeking state tax reform are doing themselves a disservice by depending on overrides.

“It’s so much easier to put an override on the ballot and whine about the fact there’s not enough local aid, instead of fighting for reforms that will in the long run save the money,” she said.”

I would love to see all the energy presently directed at the override for Newburyport’s schools (for and against) and all the people that have been newly engaged in the political process, directed towards long term solutions. Fighting for “reforms” would seem like a long term solution to me.

I had never heard of Barbara Anderson, but in the small amount of research that I’ve done, Barbara Anderson is big stuff.

I have no idea what “reforms” Barbara Anderson could be referring to, but I would love to know.

If any of the readers of the Newburyport Blog do know, I am looking for information and education on this subject, for myself and to pass on that information and education to the readers of the Newburyport Blog.

And if you would be able to help, please email me. And also please include specific sources where I can verify the information. I’m looking for good solid facts, not opinion.

Thanks so much,
Mary Eaton
Editor of the Newburyport Blog

Newburyport, Override Politics

My experience is that in politics as an election gets closer, people forget nuance, people forget logical thought process. It almost always comes down to an emotional, two or three sentence, gut level response.

And in politics folks are basically trying to “sell” you their point of view.

Think about something as benign as juice drinks. Do you think about the nuance of why one juice drink might be better than the other? No. You think about which juice drink stinks, and which juice drink will “change your life.” (Slight exaggeration.)

Would political issues be any different? Personally I don’t think so.

Remember that famous political phrase, “It’s the economy stupid.” Another words, vote for the other guy and your future will go down the drain. And it worked.

There are many thoughtful folks on either side of the override issue (the Spring override for the $1.58 Million for the Newburyport Schools) and well thought out reasoning on both sides as to why the override should or should not be voted for.

But I think basically it’s going to come down this:

1) If you vote against the override, you don’t care about the children. It’s for the kids. Our children are our future. You will force young families to leave Newburyport, MA in droves and Newburyport will no longer be a vibrant city.

Or

2) If you vote for the override you will force the elderly and the lower and middle class folks who are just getting by out of their homes and destroy their lives. Newburyport will become a place that only the wealthy can afford.

And both sides would scream that I am absolutely wrong, that I could not possibly be right. But you know in your heart of hearts that I most probably am. (If you haven’t already, keep an eye on those Letters to the Editor. They have and would most likely aim for right for the gut.)

And also, I think it often comes down to which side folks feel has the most integrity. Who do you like? Who do you trust?

Small slips, much less big slips can turn a campaign in a completely different/wrong direction. Once that happens, it’s very hard to recover.

It’s like going to a restaurant. One bad meal, and unless there is incredible loyalty, most folks don’t go back.

Mary Eaton
Newburyport

Reasons to Move to Newburyport, MA

When I moved here in 1981 (I was 29… Oh, to be 29 again…) it didn’t take much of a gander at Newburyport, MA to know that if “excellent” schools were at the top of my list of “must haves,” that Newburyport, MA was not the place to move to.

If a really good school system was at the top of my list, I would have considered moving to places like Hamilton, Wenham or Wellesley, wealthy suburban communities.

But I didn’t want to live in a “wealthy suburban” community. I wanted to live in this wonderful small seacoast city, that was actually a city, not a suburb. That was a short drive from miles of gorgeous beach along the Atlantic Ocean. And that had an historic quality that was just downright captivating. And I thought it was one of the most beautiful places I had ever seen.

And I still think that today.

And this was before Maudslay or the Tannery ever existed.

Many of my friends and acquaintances home schooled (home schooling was very big back then) and many took advantage of the many first rate private schools in the area on all grade levels. I never expected the Newburyport public schools to be “excellent.”

When the bambino arrived I thought long and hard about my options. And I made a very conscious choice to choose Newburyport’s public schools.

An “excellent” education was not at the top of my list. “Life lessons” were. And I decided that life lessons for my child would be best learned in the Newburyport Public Schools, which I rated anywhere from a C+ to a B+. Certainly not an A+ or even an A-.

And I also felt that Newburyport as a community had so much to offer (which is one of the reasons why I chose it) from the Pioneer League, to the Newburyport Art Association, to Theater in the Open etc. etc. etc., that whatever deficiencies the Newburyport school system might have, the City of Newburyport offered a wealth of tangible and intangible gifts that would last in my son’s soul far longer than what he might find in a traditional educational system.

In my mind, the many assets that Newburyport has to offer contributed to my son’s acquisition of knowledge.

And I found my to my surprise that this was confirmed in an article linked to by the “yesfornewburyport.org” website, “Buyers will pay a premium to live near top schools.” (April 11, 2007).

“School, what is it good for? When it comes to home prices, school matters. Buyers will pay a premium to live near top schools.”
By Sarah Max, senior writer

“Not true everywhere

Of course, not everyone has school on the brain.

According to an NAR (National Association of Realtors) survey of buyers in 2003, 25 percent of buyers in the suburbs cited schools as an important factor in their buying decision. But in urban areas, only 12 percent of buyers ranked schools high on their list of priorities. Shopping, recreation and entertainment proved more important. In resort areas, meanwhile, only 8 percent of buyers ranked schools high on their list.

“There are only two places we have found school values going out the window,” said Bainbridge. One is beach property and the other is what he calls “historically preserved areas,” urban areas that are being redeveloped.”
CNN/Money, August 30, 2004

So it is quite possible that historic preservation and gorgeous beaches might be part of the reason that Newburyport, MA has become so desirable. And that the Newburyport school system could be part of a larger equation.

Mary Eaton
Newburyport

Newburyport, Property Values and Consequences

When I moved here in 1981, I bought my 1890 house for $74,000. I was upset because the people who sold it to me had bought if for $34,000 the year before. Eat your heart out. (Ok, interest rates were off the charts high, but still, that’s quite a price.)

I fixed my house up and seven years later ended up selling it, for what back then was a tidy profit.

Were my neighbors pleased? No.

My neighbors had roots. They planned to live here till “death do us part,” and then pass their homes onto their children.

What I did for my neighbors was make their property taxes go way up, and made it more difficult for them and their children to live in Newburyport, MA.

Flip forward to 1996. After some very difficult years, housing prices in Newburyport, MA start to go up again. No one in their wildest dreams thought any house in Newburyport, MA would ever sell for $400,000, much less more than $400,000.

And now, flip forward to 2005. Housing prices have skyrocketed. There are million dollar houses plus for sale and selling. And a new influx of people who can afford “unbelievably expensive homes” have moved into Newburyport, MA.

What happens, yup, property taxes go sky high, making it really difficult for folks with “roots” to live here. And making it almost impossible for their children and grandchildren to live here as well.

Are they happy? No. (Can you blame them?)

And then, to add insult to injury, it is perceived that the prosperous young families who have paid “astronomical” prices, want to further raise taxes, so that their children could have a better education.

As they say New York City, “forgetta about it.”

From the people who have the “roots” point of view, this is one explosive mixture.

And I would imagine that from the viewpoint of the young families who have moved here and paid those “astronomical” prices, they would like a school system worthy of what they paid for their homes.

My. Two very different and disparaging points of view.

How this would all play out? We will all see. But it certainly has the making of some Newburyport drama. Is this an understatement or what? George Cushing, of Frog Pond at the Bartlet Mall, the political consultant to the Newburyport Blog and the other frogs seem to think so too. (But then again, you have to remember, that some of those frogs just love drama.)

Actually, what the frogs croaked to me as we watched the Newburyport City Council on TV last night, after the spring election for an override for $1.58 million was voted in (can you picture it, me with four frogs lined up next to me) was, “Let the games begin.”

Mary Eaton
Newburyport

Newburyport, Override Backlash

My guess would be, that now that it appears that a vote to vote for a special spring election for an $1.58 Million override for the Newburyport Schools would most likely pass (see previous posts) at tonight’s Newburyport City Council meeting, we as a community may well begin to see an “override backlash.”

In fact, putting a political ear to the proverbial ground, one can almost hear the waves pulling back into the ocean for one tsunamis of an override backlash.

Asking people to increase taxes for anything is not an “issue” so much as a “political process.” It often comes down to not whether an issue is worthy or not, but whether political waters are successfully navigated.

When Mayor Lisa Mead took office, officially ushering in the new era of the “newcomer” in power, there was one heck of a backlash. And it was relentless. More like a backlash tsunamis combined with an ongoing backlash hurricane.

One thing that happened as I recall, was that Newburyport City Hall unionized. One could say that it was in response to all kinds of things, but I think basically it came down to 2 things, my father’s 2 succinct phrases (see previous posts). Folks were afraid that in this “new era” they would “lose their town.” And that this “new era” would destroy the soul of the city.

As anyone who was part of the “new era” could tell you, being part of that “new era” was not fun. They call Newburyport “cannibal city” for a reason. And I’ve always said that politics in Newburyport, MA is a “contact sport” and definitely not for the faint of heart.

Maybe it is why I so wanted the Newburyport School Committee and the supporters of the override, to wait. Get all ducks in a row. Think “Newburyport political.” Because even if the parents and the Newburyport School Committee win the special election, the backlash could well be unrelenting. They may have “won the battle,” but an unrelenting override backlash may well feel like “losing the war.”

And it remains to be seen how the pro-override folks could take this backlash. It won’t be pretty. Would they decide to pack up and leave (wouldn’t be the first folks to do that)? Or would there be a determination to be committed to the city of Newburyport, MA, a decision to put down permanent roots?

Mary Eaton
Newburyport

Newburyport, Losing Our Town

My Dad is 89, lives on his own in New York City, goes to work everyday and is one smart cookie. He also loves politics. On the political thing, the apple did not fall far from the tree.

I wanted his opinion on the hostility over the whole issue of the override for our Newburyport Schools.

The parent side was easy. The parents care about their children and want them to have a good education. Good schools are a good community investment. (My own feeling too, is the decibel sound may be so loud, at least to my ears, because parents may feel that up to this point, no one has been listening. “Bingo”??)

But how to articulate what the folks against the override feel? And my Dad, smart cookie that he is, had this to say… they feel like the override folks are going to “take over.” They feel like “they are going to lose their town.” A definite “Bingo” in my book.

And yes, I’ve been wandering around town on my walks and talking to folks, and what people say to me boils down to my father’s 2 succinct phrases.

What I hear is that, the folks (for the most part) who are pushing for an override do not have roots here. Their kids may not stay in the system. And they may not stay here at all.

The folks pushing for the override don’t see the big financial picture. All of Newburyport is in a fiscal crisis, just not the schools.

And yes, there are definitely already people on the financial edge, not only “seniors” but folks who moved here in the 70’s and early 80’s and, who in many instances, are not in high paying jobs.

That taxes would become so high, that people not only would want to move, but they might not be able to move, because no one would want to move into a town that would be so unaffordable, especially in an economic downturn.

That a place like Salisbury is becoming the “it” town, because compared to Newburyport, a middle income family could afford to live there.

And that by driving out the people who “made” this town, the soul of the city would be lost.

That for years, the children of the people who live in Newburyport, have not been able to afford to live here, and that trend would only escalate. (One of the things that Gardiner Bacon told me was that he was running for mayor now, because once he goes off to college, he would never be able to afford to live in Newburyport, MA again.)

All of that is of course a much more “tactful” version than what I was actually hearing.

My father, good Liberal Democrat that he is, was all for education, and pointed out that there’s “no free lunch.” His solution, which was very much like the solution by a gentleman in a Letter to the Editor in today’s Newburyport Daily News, was to raise state taxes, and then the state would have enough money to pass onto local cities and towns.

He was not optimistic that we would see any money for our fiscal woes any time soon from the Feds.

Mary Eaton
Newburyport

Newburyport, Multiple Overrides

One of my questions is, is this the only override that the Newburyport School Committee would be asking for, or is this the start of a series of overrides that the citizens of Newburyport, MA would be asked to vote for?

The answer appears to be that this would be just the beginning of override requests for the Newburyport Schools.

The information on this question of mine came from the website of “Yes for Newburyport,” A pro-override group of concerned citizens who would like to improve the quality of public education in Newburyport, MA.

To quote from the website of “yesfornewburyport.org”:

“…the dire financial climate indicates that Newburyport has several overrides in its immediate future.”

The website elaborates:

“Newburyport Schools operating costs have been increasing at about 6% per year, which is typical of many school districts across the state. Cost increases are due to standard inflationary forces, including increased salaries and energy costs.

In addition, the city’s revenue is down and its costs are up. In fact, the city’s FY2008 health care cost increases alone almost completely consume its property tax revenue increase. As a result, all departments in the city are facing level funding and even declining funding for FY2008, including the schools. The School’s FY2008 expense is expected to increase at 5.8%, assuming the District continues to operate as it did in FY2007.”

“The financial outlook for Newburyport’s schools does not improve in the next several years. The current economic stagnation of the State, and the shortage of new growth within Newburyport, both indicate that State and Local revenues will remain close to level over the next two to three years. Meanwhile the District’s costs will continue to increase at roughly the same rate as in the past, probably in the range of 5% to 6% per year.

To overcome this financial hurdle, the School District must work to increase revenue. Cost reduction is not the answer. It is likely that after the dust settles on the FY2008 budget, there will be absolutely nothing left to cut without a dramatic impact on student achievement. The only answer left is to increase revenue. Some of the new revenue must come from overrides.”

The website does go on to say in bold letters:

“But, more importantly, the District needs to work with the City’s leaders and citizens to plan and execute a future for Newburyport that can naturally afford an excellent school system without having annual overrides.” Amen to that.

What I would like to see the pro-override folks do is come up with that plan now. No easy feat. However, if we have a leader as creative as Superintendent Kevin Lyons who comes up with incredibly problem solving solutions to seemingly impossible dilemmas, then maybe there is someone out there who can come up with equal problem solving solutions, so that no one would ever think of asking the citizens of Newburyport, MA for multiple overrides for the Newburyport City Schools.

Mary Eaton
Newburyport

(Editor’s Note: The quotations above were taken from the website of “yesfornewburyport.org” on April 4, 2007. The website “yesfornewburyport.org” has since been added to, amended and “tweaked.”)

Override Friction in Newburyport, MA

As I understand it, basically whether or not the city of Newburyport, MA has a special election for a $1.58 million override comes down to a decision by the mayor. To quote from the Newburyport Daily News, April 4, 2007, “Mayor John Moak has pledged to find the money in the current budget to fund it (the election for the $1.58 million override).”

That money was awfully hard to find a couple of weeks ago.

I would say that the pressure must have been pretty intense for Mayor John Moak to be willing to come up with $17,000 for a special spring election.

During last Monday’s Newburyport City Council Meeting both Steven Hutcheson and James Shanley stated that they did not want to write a blank check to the Newburyport School Committee, they wanted to know exactly how the money would be spent, they wanted to hear the report from the Office of Educational Quality and Accountability (EQA). And I imagine they also would have liked a vote on Superintendent Kevin Lyons’ school reconfiguring plan.

All of that took place, and it appears that the two Newburyport City Councilors kept their word.

The other Newburyport City Councilors against the Newburyport School Committee override, stated that they thought, given the unfortunate fiscal state of the city of Newburyport, MA, and the already existing high taxes, that it would be a mistake to have a permanent tax hike. That’s 5 City Councilors.

I would bet my bottom dollar that no one in city government, the Newburyport City Councilors or Mayor John Moak, has enjoyed this process in the least. It has been a nightmare.

And with the mayor of Newburyport, MA coming up with the funds, unless someone changes their mind, the vote to let people vote will pass, with a narrow margin.

And the tension in the city of Newburyport, MA hasn’t lessened. The tension in the city of Newburyport, MA has gone way up. And I don’t imagine that the friction will go down any time in the foreseeable future, which is really unfortunate.

It feels as if the city of Newburyport is at one of these awful growing pains, crossroads again. The ill feeling that is here now reminds me of the kind of tension that existed when Mayor Lisa Mead took office for the first time. And a huge “us vs. them” hostility that had been simmering for a long time, came up to the surface.

I’ll have to think on this one. But it feels like the hostility around the override is an indication of something more significant that is happening in the city of Newburyport, MA.

Mary Eaton
Newburyport

Newburyport, Election for School Override

It looks to me as if the special election for the spring override for the Newburyport schools could be a go.

Last night the Newburyport School Committee answered many of the Newburyport City Council’s questions.

1) The Newburyport School Committee voted for Superintendent’s Kevin Lyons’ reconfiguration plan.

2) The Newburyport School Committee voted on what exactly would be in the override. (Please see Editor’s Note)

3) According to the Newburyport Daily News April 3, 2007, the Office of Educational Quality and Accountability “told the committee that the district’s performance is disappointing, and in several cases is in violation of state law.” Not a good report.

And it appears that the city of Newburyport might now pay for the special election. The money would come out of the city’s coffers and not the Newburyport School Committee’s coffer’s. Therefore a transfer would not be necessary.

If a transfer was necessary, the special election would need 8 votes to occur.

With the money possibly coming out of the city’s coffer’s, the special election would only need 6 votes to take place.

And it is my understanding that at least a couple of the Newburyport City Councilors were satisfied after last night’s Newburyport School Committee meeting. The Newburyport School Committee may have the 6 votes needed to have the spring special election happen.

Mary Eaton
Newburyport

(Editor’s Note: Press here to see the items that Newburyport School Committee voted in for the proposed $1.58M Override.)

Newburyport, Magical Thinking

I worry that we’ve gotten to a state of magical thinking about how we could solve our Newburyport school’s dilemmas.

Instead of the frenzy dying down after last Monday’s Newburyport City Council meeting, the volume, at least to my ears, has gone way up.

I think it came as a big, and very disappointing (is this a vast understatement? yes) surprise, my last post… that yes, in black and white and with an email from Mass DOR’s legal department, no less, that an $1.6 million dollar override would only be allocated, legally, to the schools for one year. And then that money goes into the general funds.

I can almost sense, the panic and the fear and the anger of the parents and concerned folks who read that paragraph.

But to be determined that it is not so, unhappily, is magical thinking.

And the other reality is that expenses go up and $1.6 million dollars plus its 2 ½ increase would diminish.

I pay for my own health insurance. It went up 10% this year. The city of Newburyport’s health insurance expenses, just like everyone else’s health expenses go up a whole lot more than 2 ½ % each year. Heating bills, electric bill. Mine have sure gone up. I bet so have yours.

We had department heads this year that got 5.5% raises (not that they didn’t deserve them). That’s more than 2 ½ %. Negotiations are coming up with most of the city’s unions for new contracts. We have all just lost 2 fire trucks. $450,000 to replace one. And one was purchased 1968. A very old fire truck.

There are no silver bullet answers. And it is my opinion that the $1.6 million dollar override that permanently raises taxes, is not a silver bullet answer.

I have a very old friend, who is a doctor, who told me a wonderful story. He was a resident and it was back in the days when doctor’s still made house calls (so, yes, this is a very old friend). He received a message that there was an emergency and he rushed over to where it was. Before he knocked on the door, he stood for a moment and straightened his tie, calmed himself down and then went in and coped with the calamity.

His supervisor asked him what was the most important thing that he did, in that crisis. My friend looked at his supervisor, and with some hesitation said, “straightening my tie?” And the supervisor, said yes, that was the most important thing that this, then young intern did.

We have a wonderful example of a gentleman in our community, in the situation that we face with our schools, who has done and is doing (at least to my knowledge) just that, “straightening his tie.” And that is Newburyport School Superintendent Kevin Lyons. A remarkable example of leadership.

It doesn’t appear to be courage, it appears to be leadership, it appears to be “tie straightening.”

I think it might be a good idea for all of us who are caught up in this drama to pause and to do a little “tie straightening.” It’s important to deal with the facts of a crisis in a calm way, because magical thinking may be comforting, but, unfortunately it will not solve this very complicated Newburyport school dilemma.

Mary Eaton
Newburyport

Newburyport, School Funding

After reading Mr. Cole’s post(s) about the Newburyport School override, I was still confused about whether or not the entire amount of the $1.6 million override would be allocated to the Newburyport schools after one year, or if the money would go into Newburyport’s general fund. That is if the Newburyport school override would be voted in.

So I went on a hunt. And I talked to a whole lot of people. And spent a whole lot of time at the Mass DOR website.

“Proposition 21⁄2 establishes a limit on the annual property tax levy and approval of an override or exclusion question only increases the amount a community may raise in taxes. It does not authorize or require spending for the purpose of the question.”

“The additional funds raised by the override are “earmarked” for the stated spending purpose only in the first fiscal year.” (Mass DOR’s underlines, not mine)

For PDF version, please press here.

So as I understand it, an override for the Newburyport schools would only be earmarked for one year. After that, the money would be allocated with all other funds as part of the annual budget process.

Whether or not the override would continue to be allocated to the Newburyport schools, as I understand it, is a very grey area. There are no guarantees.

The only guarantee that an override would be allocated for the schools permanently, is if it were for purposes of funding a Stabilization Fund or a “Rainy Day Fund,” a change made to Massachusetts General Law in 2003.

The one thing that is definite, is that if an override would pass, it would be a permanent tax increase.

Mary Eaton
Newburyport

Editor’s Note: I received this email from Mass DOR which I will pass onto the readers of the Newburyport Blog:

“Mary:

In order for an override for schools to be effective to increase the town’s levy limit, any appropriation for the specific purpose of the override must be at least the amount of the override, in the first year. That does not necessarily mean that additional appropriations have to be made to the schools, dependent on the specific language of the override purpose. After the first year, there is no requirement that the override amount be appropriated to the schools in order for the override to provide additional levy capacity. See our publication entitled Proposition 2½, part IV.A.1 on page 9 (PDF version), which also provides more information on Proposition 2½.

Gary A. Blau, Tax Counsel
Bureau of Municipal Finance Law
PO Box 9569
Boston, MA 02114-9569
617-626-2400
blau@dor.state.ma.us”