Monday’s Pension Reform Commission had a couple of recommendations that deserve follow-up and discussion. They appear headed to a full commission recommendation of extending the funding schedule by another 10 years and to allow any future expansion of liabilities to be amortized over 20 years. To put it in perspective, Massachusetts figured out in the late ’80s that a pay-as-you-go pension system was not sustainable and started to sock money away in pension funds. Of course, a huge liability had been accrued that couldn’t be paid all at once. So, it was decided that we would pay that liability off over 40 years, culminating in fully funded pension plans in the 2020s. However, for a variety of reasons — expanded […]

(Ed. Note — Pioneer Institute urges compliance with all local, state, and federal laws.) I used to be one of those people who crept through the Fast Lane readers, believing that it needed time to read my transponder. Then a gentleman who made part of the transponder’s insides informed me that they can read at very high speeds. Meanwhile, State Auditor Joe DeNucci has found that a number of folks are being overcharged by the FastLane system. Peter Samuel of Toll Road News looks into the issue and finds that, at low speeds in bumper-to-bumper traffic, the system can’t distinguish between the break between vehicles. What that means is that the person in the first car is getting charged for […]

Today’s FT reports that “study after study shows that overall the highest level of health spending in the world does not deliver anything like the best results”. And I’ve seen similar variations elsewhere. I’d point you in the direction of a recent paper from the Population Studies Center at UPenn. In it, mortality rates for prostate cancer are considered, as prostate cancer responds well to early detection and treatment. The study shows that mortality rates for the disease have declined significantly in comparison to a number of European countries. Does it disapprove the initial assertion? Not close to completely, but it does provide some evidence that factors beyond ineffective healthcare spending are causing some of the poor results in other […]

This post is week late, but I think it’s still worth getting on the record. At last Monday’s Pension Reform Commission meeting, Alicia Munnell staged a robust defense of the Commission’s original intention to be cost-neutral. While a number of the committee members demurred, giving the now shop-worn ‘maybe we need to invest in the system’ defense, she was insistent. I’ve shared this story with a number of folks. And, to a person, they are dumbfounded. “Cost-neutral?! I thought there would be savings” is a typical response. But trust me, if you were in that room, you would understand that Professor Munnell is saving this Commission from themselves. A handful of other observations: 1) Wow, PERAC Executive Director Joe Connarton […]

The MBTA board is meeting at 1 PM today to ponder General Manager Dan Grabauskas’ future. Right now, 4 of the 7 board members (not including Sec’y Aloisi) have come out in support of the GM, including Grace Shepard, a recent Patrick appointee. However, this morning’s Globe reports that Sec’y Aloisi has “targeted a specific board member, a Grabauskas supporter, as a potentially changeable vote“. Who do you think that might be? I’ll be interested to see who flips on the GM, given the strongly worded letter that was sent in support of Grabauskas just one week ago.