Sunday, May 3, 2015

Alarming spike in Charlestown unemployment

CCA Party’s apparent answer: raise property taxes
By Will Collette

The last time we had numbers for Charlestown, unemployment was December and the rate was 6.1%. Just a couple of days ago, DLT released new numbers and our rate is now 8.5%. That's a jump of almost 40%!

After waiting almost three months to update Charlestown’s unemployment rate, the state Department of Labor and Training posted three months’ of data, covering January through March. They also revised the figures for the last quarter of 2014 as part of an overall year-end review and revision.

The resulting numbers for Charlestown are terrible. Until these new data emerged, the last number we’ve had for Charlestown unemployment was a December rate of 6.1%. It turns out that number was wrong – the actual figure was 7%, and the data for October and November were also revised upwards. Charlestown ended 2014 with an average unemployment rate of 8.7%, a full percentage point higher than the state’s annual 2014 average of 7.7%.

Going into 2015, it gets even worse for Charlestown. The figures for the months of January, February and March show Charlestown unemployment climbing to 8.7%, 8.4% and 8.5% respectively, again far worse than the rest of the state[FN1]. In each month, more than 350 Charlestown workers were collecting unemployment benefits[FN2].

On top of high unemployment, Charlestown working families also face yet another major property tax increasethe seventh in a row – when the data show one out of every 12 Charlestown workers is out of a job. At this month’s regular Council meeting, the Town Council comprised entirely of members of the Charlestown Citizens Alliance is expected to send an unjustified 2.36% property tax hike before voters in a special June 1 election. The hearing on this proposal will

Lots more below the fold so please continue reading to put these numbers in context

Though our surprisingly harsh winter took its toll on the local economy and no doubt boosted Charlestown’s unemployment numbers, our winter snowfall and cold was less harsh than northern Rhode Island. As the winter progressed, Charlestown unemployment climbed even though the unemployment rate for the rest of Rhode Island fell. We can’t blame the weather for Charlestown’s problems.

"We're in power...we don't care about you and we don't have to!"
Our CCA-controlled town government doesn’t even acknowledge that we have an unemployment problem or that Charlestown is an unfriendly place for existing businesses and an inhospitable one for business prospects.

Why should they when the CCA Party’s leadership, prime constituency and donor base are upscale retirees? And many of them, including three out of them CCA board members, live out of state for most of the year.

In a sick way, raising property taxes - again - may be a logical reaction for the CCA Party since it might added encouragement some struggling working families to leave Charlestown and take their school-age children with them. Getting rid of families with children has been a pretty clear goal of the CCA Party since its inception.

While Charlestown has no control over the larger economic and political forces, there are many things that Charlestown could do – on its own, with the resources it has in hand – that could help change our dismal unemployment statistics.

In fact, I’ve reported in a number of specific, realistic things Charlestown could do, on its own and with little or no expense, to improve the local economy. I summarized them here, but they are just a start.

My brother-in-law told me about a great idea they use in the town of Dartmouth, MA where he works as the town’s chief environmental officer. If a business wants to move into Dartmouth or a local business wants to do some major expansion or project that involves any regulatory issues, the town sets up a one-stop meeting. That way, the business owner can sit down with all the right town officials at the table and cover all the issues at one time. It not only costs Dartmouth nothing, it actually saves the town money by streamlining the process.

It also builds good will.

In Charlestown, we make businesses undergo the Death of a Thousand Cuts before the CCA-controlled Planning Commission and Zoning Board. Indeed, it seems that the only kinds of businesses that get a free pass to operate from the CCA Party are quarries and gun shops.

It’s a matter of priorities. Charlestown under the CCA places a higher priority on acquiring more open space and, truth be told, in encouraging people and businesses to leave, while discouraging new residents and businesses from coming into town.

For the well-off retirees and vacation home owners, life is better with fewer people and more open space. On May 4, I expect a good number of them will come out to speak in support of a proposed $2 million bond issue to buy more open space, when half of Charlestown’s land is already open space.

Despite that, the CCA Party will argue that it’s good for our tax base to take more land off the tax rolls. Seriously. Better grazing land for unicorns.

I expect this same CCA Party constituency to scream their disdain for a citizen petition to put a $1 million bond question before the voters to improve and expand the recreational facilities at town-owned Ninigret Park. Many within the CCA base want to see human activity curbed in Ninigret Park and will howl with rage against any expansion plan.

The state’s new unemployment data for Charlestown puts many of these issues into stark relief and raise the question of sustainability. 

How long can this town ignore the problems of working families largely living in north of Route One while pandering to the expensive demands of the wealthy retirees and part-time residents who own property south of Route One?

How long will the CCA Party continue to raise property taxes before people stop believing their high-heaped bovine excrement about how low our taxes are?

How long can we let the CCA and its political supporters wage class war on middle-class Charlestown residents before we fight back?

Maybe we’ll be surprised on Monday night and some voices might be raised against our narrow-minded and short-sighted town leadership.



FOOTNOTES


[1] Here’s how bad Charlestown compares with the rest of the state for the first quarter of 2015. In January, our unemployment rate was 7.4% compared to the state’s 8.7%. In February, we were at 8.4% compared to the state’s 7.0%. In March, we hit 8.5% which the state average was only 6.9%.

[2] Of course unemployment statistics only cover those workers who are collecting benefits. It does not include those long-term unemployed who have exhausted their benefits. Nor does it include people who are only working part-time when they want to work full-time, or who are otherwise underemployed (e.g. working in a job for which they are grossly over-qualified). It doesn’t include people who have given up or decided they would prematurely “retire.”