Tag Archives: Jeb Spaulding

Is This the Worst Job in Vermont?

A fond farewell to Parwinder Grewal, the president of Vermont State University who didn’t even make it to the first day of VSU’s existence.

Grewal has “resigned for personal reasons” without further explanation from himself or anyone affiliated with the nascent university. I can think of two ways this might have gone down, and neither is flattering to the VSU board.

First, Grewal realized he had an impossible job and decided to GTFO. He was tasked with merging three institutions into one while imposing severe spending cuts and somehow making the thing more attractive to students, but couldn’t count on the backing of the board or Vermont’s political class. In fact, he’s the guy who was encouraged to go out on a limb only to turn around and realize all his friends are wielding saws.

Second, the board got cold feet and fired the guy. That would be a spectacular display of gutlessness. It’ll be interesting to see what kind of severance package he’s getting, all at taxpayers’ expense of course.

Look, I was loudly and repeatedly not a fan of Grewal’s plan to close the system’s libraries. In addition to all its flaws, it seemed unlikely to save any money. But the board thought enough of him to hire him in the first place, and then they balked at the first sign of trouble. I wonder what kind of luck they’ll have in their search for a successor. If you were a potential candidate with the kind of administrative chops needed to guide VSU into a successful future, would you want to step into this political briar patch? I don’t think so.

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So Why Is VSCS Really Closing Its Libraries?

The president of the soon-to-be Vermont State University, Parwinder Grewal, ruffled some feathers and rattled some bones last week when he announced, with no advance warning, that the system’s libraries would close by July 1. That’s bad enough. What makes it worse is that I can’t figure out why he’s doing this. His public pronouncements don’t add up.

You might think this is a cost-saving move. After all, the VSU merger is being driven largely by costs. The member institutions have been underfunded by the state for decades, to the point where then-Vermont State Colleges chancellor Jeb Spaulding felt compelled in 2020 to suddenly announce the closure of three VSCS campuses. Predictably, the plan was killed. Predictably, he lost his job.

And less than a year later, his successor went before the Legislature and testified that preserving the colleges and campuses would require $203 million over five years — on top of the system’s base appropriation, which at the time was $30.5 million.

So it’d be understandable if Grewal engaged in a little belt-tightening. Or a lot.

But he has not even suggested that closing the libraries will save any money.

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The Unlikeliest Superhero

When Jeb Spaulding became newly-elected governor Peter Shumlin’s top cabinet official in January 2011, his little-known deputy was chosen to serve out the remainder of his term.

That deputy went on to become, arguably, the most popular officeholder in the Vermont Democratic Party. She routinely got loud, sustained ovations at VDP gatherings, and was at the top of many Democrats’ wish lists as a candidate for governor. But she had no interest in being anything other than Treasurer.

And now Beth Pearce has announced her retirement as Treasurer at the end of her term, when she will have served 12 years in the office.

First and foremost, all the luck in the world to Pearce as she battles cancer. Having watched Pearce in action, I have to say cancer has no idea what it’s in for.

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The Ghost of Jeb Spaulding Returns

Somewhere, Jeb Spaulding is saying “I told you so.”

The former chancellor of the Vermont State College System fell on his professional sword last spring by unveiling a plan to decimate VSCS in order to save it. In the ensuing uproar, he resigned.

Well, the new leadership has totted up the cost of saving the system — and it’s one hell of a price tag. On Tuesday, Spaulding’s successor Sophie Zdatny (pronounced just like it’s spelled) told the House Appropriations Committee that the state needs to pour another $203 million into the system over the next six fiscal years.

That’s on top of VSCS’ base appropriation of $30.5 million a year.

And that’s in addition to round after round of projected cost-cutting that would mean significant reductions at all VSCS campuses.

None of which would begin to address the system’s $150 million in deferred maintenance. Well, if VSCS sells or demolishes buildings in the downsizing process, that cost would go down somewhat.

All of this is necessary, Zdatny said, to return the system to fiscal sustainability. (Her presentation can be downloaded from the committee’s website.)

There’s one significant difference between Zdatny’s plan and Spaulding’s. The latter called for the closure of both Northern Vermont University campuses plus the Randolph campus of Vermont Technical College. Zdatny would keep all the system’s campuses open — but with a substantially reduced footprint at each location.

In order to follow through on the plan, the system would need $51 million on top of the $30.5 million base for fiscal year 2022. The additional need would decrease over time, from $51M in FY22 to $18M in FY27. After that, VSCS could maintain operations on the $30.5 million base.

How? By slashing $5 million a year off expenses in each of the next six years.

Seems as though Jeb had a point after all.

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Fixing the State College System Will Be a Big Heavy Lift

Room rater! Best: Campion, okay background but great lighting. Honorable mention: Helen Mango; the pot lights give a delightful UFO vibe. Worst: Tie between Thomas “Total Eclipse Of The” Chittenden and Andrew “Blank Slate” Perchlik. C’mon, buy a poster or something!

Last year, the Vermont Legislature put off many unpleasant decisions by creating study committees. Well, one of them has come back to roost, and it brings a passel of bad news.

I’m talking about the Select Committee on the Future of Higher Education in Vermont, because the longer the name, the better the work product. The SCFHEV was tasked with studying the money-starved Vermont State College System and charting a path to sustainability. It issued a preliminary report in early December. That document was presented to the Senate Education Committee Tuesday afternoon. (The preliminary report can be downloaded from Senate Ed’s website. The panel’s final report will come out in April, with some changes likely and a lot more detail assured.)

The high points, if that’s what they are: The system needs dramatic restructuring to cut costs; even so it needs a much larger ongoing commitment from state government; and it also has to cut tuition rates, which are staggeringly high compared to public institutions in other states.

Well, that’s quite a lot.

The path ahead is long and arduous. It will involve multiple committees in the House and Senate, discussion of politically unpopular cutbacks, a search for funding at a time when demands for state money are everywhere, and scrounging for legislative time in what’s likely to be the most demanding session in years. Like I said, a big heavy lift.

Besides that, hey, things are going great.

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Jobs for the Boys (and Girls)

Patricia Moulton just became the latest high-ranking rat to leave the Good Ship Shumlin. The Commerce Secretary, under whose watch the EB-5 scandal went on undetected for years, has herself a soft landing spot as interim president of Vermont Technical College.

Moulton is one of those seemingly unmovable fixtures of Montpelier life — a species that moves effortlessly between government, private sector, and government-related nonprofits. She’s served in the last two administrations, Douglas and Shumlin; and I wouldn’t be at all surprised if she turned up in a hypothetical Phil Scott cabinet.

What are her credentials to lead an educational institution? Pish tosh. Who needs relevant experience when you’re one of the cross-partisan In Crowd?

“… I can bring to that institution great knowledge about education and workforce for the state of Vermont,” Moulton said in an interview Thursday.

Well, that’s one way to spin it.

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Now that I have their attention

Funny thing happened Thursday, unprecedented in my three-plus years of political blogging.

My sources. Not exactly as illustrated.

My sources. Not exactly as illustrated.

I got calls from not one, not two, but three different top Democrats seeking to gently upbraid me for stuff I’d written this week, and offer some guidance toward alternative views. Their own views, of course.

Which is nice for the ego. They read, and they care.

Also, their messages were valuable. They did offer some good information. But I’m not completely convinced.

The callers offered some pushback on the subject of newsdumps. They insisted that what appear to be newsdumps — the offloading of bad news when people are least likely to see it — were not newsdumps at all, but simply cases of the calendar conspiring against them.

There was a second message: the upcoming round of budget rescissions do not single out Human Services. They don’t deny that AHS is going to feel the pain, but the problem, as they explain it, is that vast areas of the budget are off-limits for rescissions, which makes AHS the only real target of substantial size.

They made some good points. The problem is this: the Shumlin administration has a well-earned reputation for (1) deviousness, (2) political gamesmanship, (3) newsdumps, and (4) targeting Human Services. Their own track record colors my views of recent events. In other words, if I was overly cynical, I put much of the blame on their doorstep.

I’m sure those inside the administration don’t see it that way. For the most part, they honestly believe they’re trying their best to move the state forward through tough times. But the 2014 election should have been a wake-up call: their view of things is often at odds with others’ views. Say, the voters’ views.

Let’s take their points, shall we?

First, on Human Services having to make almost two-thirds of the cuts in the upcoming rescissions. It’s true, but the reason is that AHS takes the lion’s share of general fund money. And only general-fund programs are open to rescission. Schools and transportation don’t get much money from the general fund, for instance.

According to outgoing Administration Secretary Jeb Spaulding, appearing on VPR’s Vermont Edition Friday, AHS accounts for 40% of the total budget — but 75% of General Fund spending.

Which sounds reasonable to me. But…

1. This wouldn’t be the first time the administration targeted AHS. The most notorious case is Shumlin’s ill-fated effort to slash the Earned Income Tax Credit, one of our best bulwarks against the rising tide of income inequality.

2. The rescissions list was released on the Thursday before Thanksgiving. This may or may not have been a newsdump (see below), but it gave little or no opportunity for journalists and bloggers to seek clarification of the raw numbers. When I saw the raw numbers, they looked really, really bad for AHS.

And now, on to newsdumps. I had identified three: the rescissions release, the deadline for submitting rescissions, and the Governor’s release of his single-payer financing plan at the end of this month.

The rescissions release on Thanksgiving Eve wasn’t a newsdump, my callers insist. They had put together the list and informed agency officials earlier that week. Many agencies wanted to tackle the budget-cutting immediately — over the holiday weekend. That meant releasing the list on Wednesday, so the process could begin.

The deadline, Friday Dec. 5, they say, wasn’t a newsdump because they hadn’t planned to release anything on Friday. It was an internal deadline only.

I can accept that. But once again, history informed my cynicism. When I see something bad happening on a Friday or a holiday eve, my Weaselometer begins to howl.

Finally, the long-awaited and catastrophically overdue reveal of the single-payer funding plan (which VTDigger’s Morgan True appears to have uncovered the substance of already) on either Monday December 29 or Tuesday December 30. Many voters will be out of town or otherwise occupied during that time; media outlets will have bare-bones staffing. So of course it looked like a newsdump. 

Not so, insist my callers. They blame the calendar, mostly. You see, the 29th and 30th are on Monday and Tuesday. They couldn’t release it on Friday the 26th, and New Year’s Eve would be universally viewed as a newsdump.

The week before is problematic as well. The 24th, 25th, and 26th are out. Monday the 22nd or Tuesday the 23rd would hardly be any better than the 29th or 30th. And the week before that is too early; the plan may not be completely done by then.

Okay, spin it ahead. New Year’s Day is a Thursday; Jan. 2 is not only the day after a holiday, it’s a Friday, so that’s no good.

Which brings us to Monday the 5th — only two days before the Legislature convenes. That week is likely to be a circus, what with Scott Milne’s Dance of the Seven Veils, various ceremonial activities, and other hard news. (Such as the RAND Corp. report on marijuana legalization.)

The fear, so I’m told, is that a single-payer unveil on Jan. 5 could get lost in a blizzard of news. It would also give lawmakers less time to look it over. And, I’m told, lawmakers wanted to get their hands on it as quickly as possible. Hence, a pre-New Year’s release.

Again, it all makes sense. And again, given the administration’s iffy history, you can understand why an outsider would look at a late-December release and scream “Newsdump!”

This all illustrates how much the administration will have to do, to repair its tattered and battered public image. Much of those batterings were self-inflicted, as the administration acted out of unwarranted hubris and, sometimes, arrogance.

They may not believe they acted badly in the past. But a lot of Vermonters, including a whole lot of liberals, are convinced that they did. That’s why Shumlin’s pre-election approval numbers were so dismal, and why his very expensive campaign hardly moved the numbers at all.

And that’s why I’ve said the Governor should avoid newsdumps or anything that looks like a newsdump, or anything that looks like a political maneuver or a transparently bogus explanation. He’d be better served by standing up in broad daylight and owning the bad news, instead of reinforcing his reputation.

Of course, he’d be far better off by having an administration that didn’t produce so much bad news. But that’s another matter.

Callers, thanks for reading theVPO and taking it seriously. And thanks for calling.

A moment of sanity in the corner office

Apparently the Governor realized it wasn’t a good idea to begin a new biennium with an inter-branch standoff over budget cuts.

The Shumlin administration has decided not to unilaterally cut $6.7 million from the current fiscal year’s budget. The rescissions instead will be included in the executive branch’s budget adjustment proposal to the Legislature in January.

Can we hear a brief rendition of Fanfare For A Single Kazoo?

[Administration Secretary Jeb] Spaulding said the administration agreed to wait on rescissions, but will “slow down” spending in the meantime.

“(G)etting into a fight with the Legislature on this would be counterproductive,” he said in an email.

In the words of some great philosopher somewhere, “Well, DUHHHHH.”

The Administration, for those just joining us, had claimed the authority to cut current-year spending by up to one percent without legislative approval. And, as reported in this space (and, regrettably, nowhere else), the outlined cuts were very heavy on Human Services. Which probably would have caused even more conflict with the Legislature, as it has done on previous occasions when the Administration sought to balance the budget on the backs of the working poor.

Lawmakers weren’t convinced by the Administration’s legal rationale for unilateral action, even though Attorney General Bill Sorrell rubber-stamped it. Legislative Council had a different view:

In a draft memo drafted Nov. 24, Legislative Council attorney Rebecca Wasserman said the rescissions already approved by the Joint Fiscal Committee in August preclude the administration from making unilateral cuts now.

I hate to say it, but I’ll take Wasserman’s word over Sorrell’s. Finance Commissioner Jim Reardon somehow managed to make a big concession sound like a veiled threat:

“We do believe we have the authority based on the consultation with the AG’s office,” Reardon said. “But for the sake of working with the Legislature, we decided we will propose all of the budget adjustments in January.”

“For the sake of working with the Legislature,” meaning, “We let ’em have this one, so they’d better play ball come January.”

Perhaps I read too much into this. And perhaps, in a more cooperative atmosphere, the massive Human Services cuts will be mitigated. We can but hope.

About those rescissions, part 1

On Thanksgiving Eve, the Shumlin Administration took out some trash. And before I go on, may I just say that pre-weekend newsdumps — and especially pre-holiday newsdumps — are a cowardly way to govern? If you guys think you’re smart enough to manage this state, have the courage to own the bad news. A newsdump might help minimize the immediate impact, but you’d be better off to face the bad news head-on. Be honest with the people who elected you.

(There was a similar Administration newsdump the Friday before Labor day. That one was a damning review of the management of Vermont Health Connect’s IT infrastructure. I look forward, not at all, to the news we might get on Christmas Eve.)

This newsdump concerns a second round of budget rescissions, made necessary by shortfalls in income tax revenue. Which were caused by an anemic economic recovery that has left the middle and working classes behind. Stagnant wages, stagnant tax revenue. While the top earners continue to depress their tax bills through loopholes and high deductions.

The Shumlin Administration wants to cut $17 million from this year’s spending. I’ll have more to say about the specifics in a later post. For now, I’m focusing on the Administration’s claim that it can cut $6,7 million without the Legislature’s approval. The Administration has an Attorney General’s opinion that approves its legal argument for doing so.

That doesn’t sit well with top lawmakers:

Legislators on the House and Senate’s Joint Fiscal Committee share the administration’s sense of urgency, but do not believe that the Shumlin administration has the legal authority to make most of the planned cuts. The Legislative Council, which advises lawmakers on legal matters, supports that position.

“The statute does not give them the authority to do this,” said Sen. Jane Kitchel, D-Caledonia, co-chair of the Joint Fiscal Committee.

I guess we can conclude that Governor Shumlin’s post-election period of listening and learning has come to an end. One seemingly obvious result of the razor-thin gubernatorial election was that Shumlin would need to repair relations with the legislature and act in a more cooperative manner.

Seems like a lesson unlearned there. And it’s not exactly a good portent for what’s going to be, at best, a contentious and difficult biennium.

So it was a push, not a jump

Media reports posted after my initial VPO piece on Doug Racine’s departure make it clear that Racine was fired as Human Services Secretary; he did not resign. And he was fired in a sudden and coldblooded way. The best reporting comes from Paul “The Huntsman” Heintz, who got the skinny from the firee himself.

In a phone interview, he said he was summoned to the 5th floor of the Pavilion State Office building at 4 p.m. Monday for a meeting with Shumlin chief of staff Liz Miller and Secretary of Administration Jeb Spaulding.

“I went in and sat down. They said, ‘The governor wants to make a change at your agency.’ I said, ‘Who would that be?’ Jeb looked at me and said, ‘You,’” Racine recalled. “We talked about it for a few minutes and then I went to the office and cleaned out my desk.”

So now we know who wields the hatchet in the corner office. Shumlin did give Racine a call about an hour after the meeting, and it was relatively cordial; but hell, couldn’t he do the actual deed himself? Especially since Racine had handled the hardest and most thankless job in state government for three and a half years?

There was also a Profiles In Courage moment Tuesday afternoon, when Shumlin went kinda wishy-washy on the nature of Racine’s departure, i.e. voluntary or not:

Asked what, specifically, prompted Racine’s exit, Shumlin said, “Specifically answering your question is exactly what I’m not going to do.”

Well, at least it was a head-on refusal to answer instead of the usual “bury ’em in bullshit” routine.

When I call AHS Secretary the “hardest and most thankless job,” here’s what I mean. It handles a whole lot of disparate programs aimed at helping our most unfortunate. It’s a huge agency by Vermont standards. As I noted earlier, it was hit hard by the Douglas Administration’s ill-fated Challenges for Change initiative, not to mention its misadventures with technology contracts (which were at least as bad as Shumlin’s). And it was ground zero for the health care reform effort and all the attendant troubles.

In addition, AHS’ challenges were compounded by Tropical Storm Irene, which left a whole lot of people in need of help — and which scattered the agency’s personnel to rented spaces in multiple communities because of the flooding in Waterbury. And they are still scattered today. Not to mention the flooding and forced closure of the Vermont State Hospital and the ensuing years of chaos in the mental health care system. 

Doug Racine handled all of that with grace and dignity. He kept his nose to the grindstone and almost never uttered a discouraging word in public. I’d think that was a good thing, but apparently he was too quiet for Shumlin’s taste:

According to Racine, the governor wanted a secretary more willing to engage with the news media and interest groups.

“If anything, it was perhaps not being out there enough,” Racine said.

I always thought Racine’s quiet style was perhaps exactly what Shumlin wanted from his longtime political rival. Either that, or Racine himself opted for the low-profile approach because he didn’t want to come across as bitter or as a potential political threat.

As I said in my previous post, I understand the need for a sacrificial lamb. And between the problems with health care and DCYF, I can see why Racine got the axe. But the way it was done? I think Racine deserved better.