# New Gov's Budget Chief Warns Of New Taxes



## kwflatbed (Dec 29, 2004)

_Kirwin Says State May Not Be Able To Cut Property Taxes _

*BOSTON -- *Gov.-elect Deval Patrick's new budget chief said Thursday that local option taxes on meals, hotels and other services should be one of the things the state considers as it seeks to create a stable long-term financial picture.

Leslie Kirwan also said she isn't sure she can find the $735 million in wasteful spending Patrick said he wanted to eliminate during this fall's gubernatorial campaign.

At the same time, the outgoing financial official for the Massachusetts Port Authority said she isn't sure the state can cut property taxes, as Patrick said he hoped to do when he said he opposed a rollback in the state income tax rate during this fall's gubernatorial campaign.

Kirwan, a former aide to Democratic Gov. Michael Dukakis and Republican Gov. William Weld, did say she will undertake a top-to-bottom review of state finances so they can plot the most financially secure course for achieving the governor's policy goals.

"I think it's a matter of how you approach them and what the ramp-up is, and I think there will be options for introducing these policies in the first budget and building on them over time," Kirwan said as she joined the governor-elect at a news conference in a downtown hotel.

Patrick himself said he wants his new Administration and Finance secretary to "lean forward" as she seeks creative solutions to state financial problems, and to improve the state's relationship with city and town governments.

"I have today directed Leslie to give me an honest account of our financial condition in state government, a clear-eyed and candid assessment of just what our resources are and where our opportunities lie, so that we can begin to sequence in how we move on some of our legislative agenda," Patrick said.

The governor-elect, whose first budget is less than a month after he takes office, repeated that his first priorities are fielding 1,000 new police officers across the state, as well as working toward universal all-day kindergarten.

At the same time, Patrick rebuffed any suggestion he selected Kirwan to dispel any notion he will be a free-spender as governor. Weld, Kirwan's most recent gubernatorial boss, fashioned himself an anti-tax governor in the example later followed by Gov. Mitt Romney and Lt. Gov. Kerry Healey.

As the Republican gubernatorial nominee, Healey charged that Patrick's spending proposals would cost $8 billion over four years.

"This notion never came from me," said the governor-elect. Patrick said he always talked about phasing in his priorities, and focusing on growing the state's economy to help support any programs he favored.

"I haven't selected Leslie Kirwan because of either her Weld bona fides or her Dukakis bona fides," Patrick said. "I selected her because of her thoughtfulness, her experience, her reasonableness, her creativity and her record of depth in dealing with financial challenges and finding creative solutions."

The appointment was widely celebrated.

"She's got a strong financial management background in the public sector, broad public policy interests and skills, experience in A&F and in the Statehouse, and a particular expertise in state-local relations," said Michael Widmer, president of the Massachusetts Taxpayers Foundation. "She brings a strong hand to what will be a very difficult role."

Geoff Beckwith, executive director of the Massachusetts Municipal Association, said: "Clearly she will be working for Governor Patrick and the people of the commonwealth, so we will have to advocate for local government interests. But she is a listening leader, someone who has actively reached out and sought to understand what is important to cities and towns."

Kirwan, 49, is known for her reserved demeanor and appears unflappable, two traits on display during the news conference.

Asked how she hoped to manage expectations in the first Democratic administration in 16 years, she said, "Very factually." Asked whether she felt she could keep Patrick's promise to eliminate $735 million in wasteful spending, she replied, "We will approach that on a factual basis."

Later, when asked whether she could help the governor-elect keep his property-tax pledge, Kirwan replied, "I think the opportunity would be to stabilize and be predictable about the amount of local aide that can be available."

Finally, when asked about the possibility of locally approved taxes on meals, hotels and other expenses currently taxed on by the state, she replied: "I think that local option taxes should be one of the things that we consider in empowering communities to have more independence and flexibility in their own budgeting, in their own financial situation."

Kirwan will be paid $150,000, which Patrick noted is "more than me" but the same as Thomas Trimarco, the current secretary of Administration and Finance.

Kirwan said she will explore how to handle any payout for the unused sick days she has accrued at Massport, an independent state authority.

Employees currently retiring receive 100 percent of the value of any sick time they have accumulated, and 50 percent if they resign. That is more generous than regular state employees receive, although the Massport board recently voted to bring the two into alignment for sick time accumulated after Dec. 31.

Patrick criticized the policy during the campaign and again labeled it "lavish" on Thursday.

"I didn't select the policy," he said. "I selected the person."

Kirwan, who would receive between $27,000 and $54,000 under the existing policy, said she was exploring the regulations and "would follow the rules."

_Copyright 2006 by The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed._


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## capesgt (Mar 16, 2004)

more taxes!!!! surprise. Like you though he was going to lower taxes. 1,000 more officers, sorry can't do it without raising taxes. All day kindergarden, sorry can't do it without raising taxes.


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