Thank you!
Your support is sustaining the future of local news in our communities.

State budget shortfalls — not the worker’s problem

There is an old saying: If you borrow a couple of hundred thousand, it is your problem; if you borrow a couple of million, it is the loaner’s problem. I called the New York State Dormitory Authority (NYDA) and the Office of Mental Health (NYOMH) and asked them a simple question: How much of their budget goes to paying the bonds raised to build the various NYOMH buildings across the state? The responses I got ranged from “we don’t have that information” to “why are you asking” all the way to “that is confidential information available through the governor’s office only.”Here is why I was asking: The Dormitory Authority had held the title to the 850-acre Harlem Valley Psyche Center (HVP) because of outstanding bonds, all $16 million of them, which had been used to finance capital projects at the psychiatric center. The NYDA sold it all for $3.95 million to Dover Knolls Development Company. So, what did they do with the original $16 million construction and refurbishment bonds? Did they pay them off? Nope. Did they defease them? Nope. They simply moved them from an NYDA line item in the state budget to “another line item” somewhere. Taxpayers are still paying off those bonds. When we were first looking at changing the HVP in the early 1990s to private use, the problem was the bonds, big fat bonds, Michael Milken and Ivan Boesky bonds paying “investors” (bond holders) 22 percent and 24 percent a year. Yes, you read that right, almost a quarter of the original investment paid, every year, to Wall Street bondholders.Now, let’s not make a big deal out of one psych center. Never mind that there are 29 such centers in New York state alone. Let’s ask where the other New York state junk bonds are while taxpayers lay out horrendous interest. Airports, tunnels, bridges, highways, power grids, schools — all sorts of bond issues were arranged by Milken and Boesky for mega-interest payments. Across the nation it was happening everywhere. I have no doubt Wisconsin has these same higher-than-normal bonds in its budget. Barron’s magazine estimates that revenue bonds comprise 65 percent of all state debt, up from 40 percent in 1975.I doubt any journalist has ever done due diligence in rooting them out. Why is this a difficult task? Because the politicians want to get re-elected and it is hard to tell the taxpayers to tighten their belts, pay more tax, when your cronies and previous politicians have so poorly run New York state’s finances that taxpayers cough up, at least, $2.5 billion a year in sky-high interest. If the interest rate was closer to commercial rates, the bonds for New York state could only cost $320 million. And what is the state’s deficit projection? $4-plus billion? Seems to me that is reason enough for someone to look into regaining some $2 billion a year.When Argentina was bankrupt and could not pay its international loans, the government there defeased them overnight. In short, they cancelled them, passed a law shredding the contracts, and said, “You money lenders have made enough profit on our backs.” What happened? Outrage in Washington and Europe. Action? War? Sanctions? None. New loans were made in weeks at 1 percent and 2 percent interest. Argentina balanced its national budget within three years and that country is now booming. And they are still playing hardball with outstanding loans at 8 percent, wanting 2 percent! Why not? The country of Argentina is not leaving anytime soon. Simply put, they cannot default, so why pay higher-than-usual rates?I have a suggestion to states’ governors: Stop siding with the fat cats in Wall Street, stop being “honorable” while your predecessors sold the farm from beneath you. Stop blaming the civil servants you hired, the ones you have an honorable contract with, the ones who have paid into pension funds you have raided for decades. Try doing the really honorable thing: Defease the bonds, to hell with bondholders who have profiteered for decades, balance the states’ budgets and bring the economy back. Peter Riva, formerly of Amenia Union, lives in New Mexico.

Latest News

Cornwall Historical Society celebrates Connecticut’s Black patriots

On Saturday, Oct. 24, at the Cornwall Historical Society, author and genealogist John Mills will breathe new life into the stories of some of Connecticut’s more underappreciated patriots. The reason these heroes were forgotten? They were Black.

At a time when white colonists were fighting for their own liberty and political independence, many Black men who fought alongside them remained enslaved. Some risked their lives only to return to bondage. Though enslaved people were promised freedom from both sides of the Revolutionary War in exchange for their service, Great Britain, too, was still deeply dependent on slavery. For Black people in America, the war presented both extraordinary risks and uncertain paths to the freedom that white colonists were demanding for themselves.

Keep ReadingShow less

A sanctuary for second chances

A sanctuary for second chances

Stephanie Saetta runs Charlie Chicken Bones, a sanctuary in Salisbury.

Madi Long
You only get one or two of these soul connection dogs, so I do this in his honor.
— Stephanie Saetta

Stephanie Saetta has spent much of her life caring for others. A physician at White Plains Hospital, she has another calling at home in Salisbury — one that has four legs and a wagging tail. She runs Charlie Chicken Bone Sanctuary, a nonprofit dog rescue that brings dogs from overcrowded pounds and the streets of Texas to foster homes in northwestern Connecticut, where they can begin again.

The sanctuary is named for Charlie, the dog who taught her how special a bond between a person and rescue animal can be.

Keep ReadingShow less
Big ideas come to Lenox for inaugural field festival

Hunter Runnette, founder and board chair of field, has spent years fostering arts and cultural programming in the Berkshires.

Provided

What do joy, gardening, artificial intelligence, the American experiment and the creative process have in common? Quite a lot, as it turns out, at least when some of the world’s most compelling thinkers get together to talk about them.

From Friday, Oct. 23, through Sunday, Oct. 25, Lenox, Massachusetts, will host the inaugural field festival, a three-day gathering of writers, artists, scholars and cultural figures at Shakespeare & Company. Billed as a festival of ideas, entertainment, learning and discovery, field brings together an impressive roster of voices to explore everything from the deeply personal to the profoundly political.

Keep ReadingShow less
google preferred source

Want more of our stories on Google? Click here to make us a Preferred Source.

The Pink House AM is serving up community

Mare Rubin and Maggie Levine of the Pink House AM.

Madi Long

It all started with a yoga class. Mare Rubin was working on her second act after leaving the Upper West Side, where she’d raised a family and worked in corporate marketing. Newly empty nesters, she and her husband decided to move to the wilds of northwestern Connecticut, where they had spent 15 years as weekenders, to see what life in the woods had in store for them.

Rubin started teaching yoga classes at the Union in West Cornwall, a space designated by the town of Cornwall as a community hub with couches, Wi-Fi, occasional events and a growing yoga class schedule. She was adjusting well but missed one important thing about city life: a casual coffee shop.

Keep ReadingShow less
Sons of Astro are musicians, friends and bandmates — in that order

The Sons of Astro will be at the Common Pub in Housatonic on Oct. 24 and the 2nd Home Lounge in Winsted on Nov. 14.

Provided

No matter where they are in the world, musicians seem to find other musicians. There’s a shared language, a shared experience of being on stage and performing, and a shared enthusiasm for making those melodies by themselves or together. Such is the case with Norfolk and Brooklyn-based cosmic Americana band Sons of Astro.

That magnetic musicians’ bond drew Brooklyn-based singer-songwriter and multi-instrumentalist Mike Cobb into the orbit of singer-songwriter and multi-instrumentalist Matt Statler. The two neighbors took to each other right away and were soon playing open mics together. As an ethics professor at NYU’s Stern School of Business, Statler made the case that if he sat in for Cobb’s set and Cobb sat in for Statler’s, they could play together and double their stage time. Clearly, these men wanted to make as much music as possible. That became a little harder when Cobb and his family moved up to Norfolk, Connecticut.

Keep ReadingShow less
One more weekend to get inside the art at ArtEast

The participating artists in this year’s ArtEast open studios.

Provided

ArtEast’s annual October Open Studio Tour is already underway, but there’s still one more weekend to step inside the creative worlds of artists working throughout eastern Dutchess County. On Saturday and Sunday, Oct. 24 and 25, artists will once again open their studio doors, inviting visitors to see where the work happens, meet the people who make it and perhaps discover something worth taking home.

Now in its 21st year, the ArtEast October Open Studio Tour offers a self-guided journey with participating studios in Holmes, LaGrangeville, Hopewell Junction, Pawling, Patterson, Poughquag and Wingdale. Visitors can explore painting, photography, sculpture, mixed media and other artistic practices, and get some leaf-peeping in at the same time.

Keep ReadingShow less
google preferred source

Want more of our stories on Google? Click here to make us a Preferred Source.

google preferred source

Want more of our stories on Google? Click here to make us a Preferred Source.