Week Ending January 14, 2011
This Saturday marks the deadline for Governor Patrick and the Senate and House Democratic leadership to reach a consensus on the tax revenue collection estimate that will inform the FY2012 budget. The estimate will be used to allocate funds for the upcoming fiscal year that starts on July 1, 2011. Tax revenues for the current fiscal year are $750 million above benchmarks. However, since FY2011 began, the Governor and the Legislature have authorized about $750 million in supplemental spending. Further, it has been estimated that the state is facing a $1.5 – $2 billion budget deficit for FY2012. According to Senate President Murray, an agreement on tax revenue collection estimates is expected by next week. The Governor will file his FY2012 budget the week after next.
Following up on his speech during the swearing in of new members last Wednesday, Speaker DeLeo elaborated on his legislative priorities in greater detail this week. According to DeLeo, before tackling major spending issues such as health care payment reform and the state budget, the Legislature should take up reforms to the Massachusetts probation and parole systems. Speaker DeLeo said that in light of recent controversies with the Probation Department and the state’s Parole Board, regaining the public’s trust in these institutions is of paramount importance to the Legislature.
On Thursday, Governor Patrick accepted the resignations of five members of the Massachusetts Parole Board, including the board’s chairman, Mark Conrad. The five members of the board resigned after Dominic Cinelli, who they had all voted to grant parole to in 2008, attempted to rob a bank and murdered a police officer last month. This sparked an investigation into why Cinelli was granted parole in the first place. According to a report conducted by the Undersecretary of Public Safety John Grossman, the Parole Board did not receive complete information prior to granting Cinelli parole. In response to this, Governor Patrick made his intention clear this week to file legislation that would strengthen sentencing guidelines for habitual offenders. This would include a requirement that a third serious felony conviction would mean an offender receives the maximum prison term.
The Associated Industries of Massachusetts (AIM) released the findings of the survey they use to measure business confidence in the state this week. The survey showed a .3% rise since November, bringing the confidence level to 52.4%. A score of 50 is considered neutral and any rating above 50 signifies generally positive sentiments about business confidence in the state. For the 4th quarter of 2010, the average reading was 53.3, compared to 47.9 for same period in 2009. If the business confidence in the state stays at its current level, it will be at its highest level since the end of 2007. The index reached its all time low in February 2009.
John Nunnari, Assoc AIA
Executive Director, AIA MA
jnunnari@architects.org
617-951-1433 x263
617-951-0845 (fax)
MA Chapter of American Institute of Architects
The Architects Building
52 Broad Street, Boston MA 02109-4301
www.architects.org