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TOWNIE: UMB DRUBBING, PAWSOX GRUBBING

UMB DRUBBING, PAWSOX GRUBBING

 

University cuts and a (possible) corporate scam just in time for the holidays

 

November 27, 2017

BY JASON PRAMAS @JASONPRAMAS

 

UMass Boston admin lays off more staff, unions push back

The neoliberal war on public higher education continues unabated in Massachusetts as the UMass Boston administration announced the layoff of 36 personnel last week, and a reduction in hours for seven more. According to the Boston Globe, all of them are “staff who clean the school, help run academic programs, work in the student health office, or in other ways support the daily operations of the university. Some have worked there more than 30 years.” UMB had 2,095 employees in 2016, but has cut 130 jobs so far this year. The university serves over 16,000 students.

 

As of this writing, campus unions are planning protests. Hopefully, such actions will ultimately build a political movement capable of operationalizing the prescriptions of the fine report a coalition of UMB “students, staff unions, and faculty” released in September. Entitled “Crumbling Public Foundations: Privatization and UMass Boston’s Financial Crisis,” it lays the responsibility for the budget crisis currently engulfing the university at the feet of the UMB administration, the UMass Board of Trustees, and the state legislature.

 

As well it should. The legislature has been slashing the state higher ed budget since the 1980s. The board keeps raising the tuition and fees paid by students and families to cover the resulting gap. And the UMB administration continues increasing the number of high-level administrators with questionable job descriptions and fat paychecks who somehow rarely face layoffs—despite costing the school far more per capita than each of the low-level employees who keep getting axed of late. All while expanding the campus in ways that don’t always benefit the urban students that institution was built to serve… running up unsustainable debt loads in the process.

 

The report calls for five major reforms that its authors believe would set the campus to rights:

 

  1. UMass Boston should not be required to show a positive net income in its budget. Instead, it should be allowed to make debt payments using the reserves it’s been forced to build up for the last few years—and the Board of Trustees should “release Central Office reserves” to help with those payments. Rather than compelling students and their families to shoulder such costs through ever-increasing tuition and fees.
  2. The UMB administration should engage in an open and transparent planning process with faculty, staff, and students that will “ensure that the campus can continue to provide an affordable and diverse education along with appropriate support services to its students,” review interest and principal payments, and review the rapid increase in high-level administrator expenses.
  3. The UMass Board of Trustees should endorse the Fair Share Amendment that will levy an additional 4 percent income tax on millionaires and spend the money on public higher education, pre-K-12 education, and transportation if passed by binding statewide referendum next year.
  4. The Mass Legislature should cover the cost of rebuilding crumbling campus infrastructure.
  5. The Mass Legislature should annually increase appropriations for public higher education until we are at least on par with the national average based on our state’s wealth.  The Commonwealth is presently at the bottom of the pack for state appropriations for public higher ed.

 

The white paper concludes with a visionary sentiment that’s worth reprinting in full: “In considering these recommendations, we ask that we all—members of the Massachusetts legislature, the UMass Board of Trustees, UMass Boston’s administration, and the larger community of Boston—remember the purpose with which we are tasked. Chancellor John W. Ryan, at UMass Boston’s 1966 Founding Day Convocation, reminded those gathered that ‘we have an obligation to see that the opportunities we offer… are indeed equal to the best that private schools have to offer.’ This is the expectation that the citizens of our Commonwealth have for themselves and their family members when they come to UMass Boston. This is the responsibility that UMB staff, faculty, and administrators take on each day on behalf of our students. This should be what guides the decision of the Board of Trustees and the Mass legislature as we work to address the crisis at UMB.”

 

PawSox Worcester visit: boondoggle in the making?

Meanwhile, in faraway central Mass, my Worcester Magazine colleague Bill Shaner is tracking what could be another big giveaway of local and state money. Seems that the Pawtucket Red Sox—the BoSox Triple A affiliate team—have been courting Worcester for a few months and might be looking to move there in exchange for lashings of public lucre. Shaner reports that multiple sources said that Jay Ash, secretary of Gov. Baker’s Executive Office of Housing and Economic Development, attended a meeting last week between Worcester officials and PawSox bigs. Though “City and PawSox officials both declined to comment on the meeting, or whether or not it took place.” While “Ash’s staff confirmed he was in Worcester Monday but couldn’t say what for.” All I can say for now is that, like some capitalist Santa Claus, whenever Ash appears corporate leaders can virtually always expect a yuuuuge present from the Bay State and any municipal government in range in the near future. So this nascent Woo-town deal is definitely worth watching.

 

Townie (a worm’s eye view of the Mass power structure) is syndicated by the Boston Institute for Nonprofit Journalism. Jason Pramas is BINJ’s network director, and executive editor and associate publisher of DigBoston. Copyright 2017 Jason Pramas. Licensed for use by the Boston Institute for Nonprofit Journalism and media outlets in its network.

PRESS FAIL: AS GE CEO STEPS DOWN, BOSTON JOURNALISTS MUST DO THEIR JOB

AH-GE-TOP

 

June 14, 2017

BY JASON PRAMAS @JASONPRAMAS

recent column by the Boston Globe‘s Shirley Leung perfectly encapsulates the problem with local media cheerleading for General Electric’s decision to move its headquarters to Boston. The title alone says it all: “Will GE’s new CEO remain committed to Boston?” Because, like so many pieces on the subject by Leung and company, it fails to ask the key question: why did state and local government shovel huge amounts of public money to a private enterprise, and put it in a position to potentially cause grievous harm to a major city’s economy, to begin with? And why did the region’s newspaper of record — and much of the Boston press corps — back the scheme so uncritically?

But now, after all the prattle by fawning journalists about the days of wine and roses to come, it turns out that the various moves GE CEO Jeff Immelt made to reinvent the conglomerate as an “innovation” company came at the expense of a significant drop in profits. And it looks like the GE board balked and forced Immelt out — although the official line is that he “stepped down.” Doubtless after noting a rise in share prices in March after activist investors told Fox News that he might be pushed into retirement. He’s been replaced with a new CEO from within GE’s own ranks, John Flannery. Who hails from Chicago, and may not have the same warm fuzzies for the Hub that Immelt at least pretended to have. If Flannery doesn’t back the Boston deal as strongly as Immelt that could mean disaster for everyone who shilled for it. And if GE’s stock prices continue to tank, fuggedaboutit!

In that spirit, it’s worth recalling that the whole boondoggle was dumped on the public by Mayor Marty Walsh and Gov. Charlie Baker as a done deal in January 2016. There were no public forums on the plan, no deliberation by the state legislature or the Boston City Council, and certainly no referendums. The whole thing was cooked up on the quiet by high level politicians, their aides, and top GE brass. In the end, over $145 million in state and city tax breaks and direct aid was promised to GE — together with another $25 million in state money to fix up the area around the site of the company’s new Fort Point HQ, and up to $100 million in repairs to the Old Northern Ave. bridge. Up to $270 million in public money in total. Although the bridge project is now up in the air; so the final total — as with all final totals in public spending — remains to be seen. Still, a huge amount of money to spend on a vast multinational any way you slice it. Especially when GE is not yet being asked to pay rent for the 20 year lease on the public property its new headquarters is using.

As my own series of columns on the deal showed last year, GE has a decades-long track record of screwing government at all levels, communities it operates in, and its own workers six ways from Sunday. Which is why unearthing corporate crime after corporate crime by way of demonstrating why the people of Massachusetts have absolutely no reason to trust the company did not require much new reporting on my part. It was a relatively simple matter of looking at major investigative stories on GE by several news outlets — including the Globe itself. What I found was disturbing in the extreme. Yet the largest Boston news outlets were virtually silent about the very obvious downsides to championing the payoff of a corporate behemoth to relocate its HQ to our fair city. And now the most prominent of them is clearly getting worried about its violation of the public trust.

To review, General Electric has done a lot of bad stuff over the last forty years — much of it in Massachusetts. It slashed tens of thousands of good unionized jobs here. Destroying the economies of Bay State cities like Lynn, Pittsfield, and Fitchburg in the process. GE played highly illegal games with municipal bond investment funds nationwide — and got away with it. It wreaked havoc with the environment in many of the places it did business. Notably in Pittsfield and the Housatonic River valley south to Long Island Sound. Which it polluted with carcinogenic PCBs. A horrendous mess that it partially cleaned up after a protracted struggle with the EPA and local activists. Yet it continues to try to weasel out of finishing the job to save some small fraction of its annual profits. Like it did in a similar Hudson River cleanup. GE also played a major role in creating the toxic housing debt that led to the 2008 financial crash, and was then bailed out by the federal government with boatloads of practically free public money. In exchange for ruining the lives of thousands of poor mortgage holders. And it did all this while paying hardly any taxes at all relative to its huge size.

Ultimately, far too many area journalists dropped bags of balls with the GE Boston Deal story. If they had been doing their job — instead of engaging in a particularly crass form of unthinking civic boosterism that one would expect of low rent PR consultants for a down-on-the-heels rust belt city — Boston might not be in the position it’s now in. Stuck with a bad deal and light a bunch of money that the city and state desperately need during our ongoing fiscal crisis. Which was created by the very neoliberal playbook that still guides both government policy and kid glove news coverage of same.

But that’s what passes for thinking on economic development in the American press of today. My colleagues in major news media generally don’t push for regional planning controlled by democratically elected politicians and overseen by the public in real ways. They don’t support a grassroots process directly involving local communities that start by asking “what do working families need, and how might those needs be best served?” No, they just figure “let’s encourage the pols to throw public money at big corporations, and then they’ll come to Boston, and we’ll have a great economy.”

Well an economy that’s not great for working people is not a great economy. It’s a bad, unequal economy. And that’s the root of most of our major societal woes in this era.

Whatever happens going forward, I hope that next time top politicians cook up another backroom deal with corporate titans that the rest of the Boston news media will join my teammates and I at DigBoston in calling it what it is: corruption. Those who won’t should just go ahead and get jobs in the sleaziest PR operations they can find. Because they’re not fit to be journalists.

 

Apparent Horizon is syndicated by the Boston Institute for Nonprofit Journalism. Jason Pramas is BINJ’s network director, and executive editor and associate publisher of DigBoston.

Copyright 2017 Jason Pramas. Licensed for use by the Boston Institute for Nonprofit Journalism and media outlets in its network.