AFSCME Privatization Update

Source: By Mary R. Mannix, Cary LaCheen, Henry A. Freedman, and Marc Cohan From May-June 2008 Clearinghouse Review (subscription req.)

More states are contracting with private vendors to administer benefit programs and "modernizing" program administration by closing welfare offices in favor of "call centers" and online access. These changes affect low-income people--changes that are potentially beneficial but too often harmful, especially for vulnerable population groups such as those with disabilities or limited English proficiency. Advocates in four states that have implemented privatization or modernization have had some successes in protecting clients from harmful effects and have gained experience relevant in other states that pursue similar policies.

Posted by Info Center at 1:58 PM in Social Services | Permalink

Source: By Jennifer D. Jordan, Providence Journal (RI), Friday, June 20, 2008

A moratorium on opening new charter schools is expected to quietly expire next week, clearing the way for more of the alternative public schools to open in coming years.

There are several charter school proposals before the state Department of Education, but no new schools will open this fall because of a lack of state financing.

Under pressure from teachers' unions, lawmakers suspended charter school openings in 2004, to determine how effective the 11 existing charter schools were before financing more.

Posted by Info Center at 2:48 PM in Laws/Legislation | Schools K-12 | Permalink
Tags: Rhode Island

Source: By Kristen A. Graham, Inquirer (PA), July 1, 2008

Days after claiming it was not responsible for the safety of its pupils, Edison Schools Inc. has settled a lawsuit brought by the family of a boy raped in one of its Philadelphia schools.

...... Stetson, in Kensington, was managed by Edison from 2002 until the end of this school year. Edison lost contracts to run Stetson and three other schools after the district found the schools lacking in academic performance and school climate, a measure that includes violent incidents. Two other schools run by different providers were also taken back by the district.

In 2004, a 12-year-old boy was sexually assaulted by an 11-year-old classmate in Stetson Middle School after the two argued over a ball. The 11-year-old pleaded guilty to the assault.

Posted by Info Center at 2:45 PM in Horror Stories | Schools K-12 | Permalink
Tags: Pennslyvania

Source: BY STEVE PEOPLES, Providence Journal (RI), Tuesday, July 15, 2008

The state Supreme Court will not review the constitutionality of Rhode Island's controversial privatization law. Governor Carcieri sought an advisory opinion from the high court after arguing that the law -- passed near midnight in the waning days of the 2007 General Assembly session -- essentially blocked his ability to save money by replacing state workers with temporary contractors. The use of contractors can save tax dollars largely because they don't receive health and retirement benefits from the state. The fight largely epitomized the Republican governor's clash with organized labor and its supporters in the Democrat-dominated General Assembly.

...... Specifically, the amended law requires the administration to give union leaders six months notice of attempts to replace union workers. And it requires the administration to provide a detailed cost analysis 60 days before asking private staffing firms to bid on the service in question.

Posted by Info Center at 2:40 PM in Laws/Legislation | Permalink
Tags: Rhode Island

Source: Food & Water Watch, June 19, 2008

Washington DC - A future favorable to investor owned water utilities will result in higher rates, fewer consumer protections, a limited or non-existent federal safety net for low income communities and large infrastructure investments built to maximize profit, not the interest of the public, according to a Food & Water Watch analysis of investor briefs.

"Corporations have a financial incentive to oppose conservation, protection of drinking water sources and other policies and programs that would save money and help offset the economic burden on communities across the nation," said Food & Water Watch Executive Director Wenonah Hauter. "Wasted water drives up a company's revenue, which flows from people's water bills."

Posted by Info Center at 3:20 PM in Water & Sewer | Permalink

Source: by Nooshin Mahalia, July 8, 2008 | EPI Briefing Paper #215

Executive summary

For over a hundred years, many state and local governments have required that companies that want to contract for public works must pay their workers a wage that reflects wages commonly received in the area. The federal government adopted its own prevailing wage requirement with the Davis-Bacon Act of 1931. At the heart of these laws is the conviction that government, as a major buyer in the construction sector, should not act to drive down wages. Indeed, the civic-minded reformers who initially pushed for prevailing wage laws believed that the government ought to use its buying power to enhance the welfare of workers and their families.

Posted by Info Center at 3:18 PM in Public Works | Permalink

Source: Anna Amirkhanyan, Public Administration Review, Volume 68 Issue 4 (subscription req.), July/August 2008

From the abstract:
This study examines the effects of local government divestment on quality and access to care for Medicaid recipients in privatized nursing homes. The central hypotheses are concerned with the impact of new ownership on both aspects of organizational performance. The analysis indicates that privatization of nursing homes involves a complex set of trade-offs. Changing organizational ownership to for-profit increases the number of regulatory violations, decreases residents' quality of life, but does not influence Medicaid admissions. While no decline in quality is found among divested nonprofit facilities, access to care declines in the comparison groups of nonprofit homes. The author concludes that as counties minimize their roles as service producers, federal, state and local governments should enhance their regulatory capacity by improving quality assurance mechanisms and providing adequate reimbursement for low-income clients.

Posted by Info Center at 3:15 PM in Federal | Health | Permalink