BOSTON – Facing serious budget challenges amid an unprecedented nationwide recession, Governor Deval Patrick yesterday called for a public review of the compensation and employment terms of senior management at all of the Commonwealth’s quasi-public agencies. The Governor has also called for an immediate ban on contracts and a suspension of pending pay raises until the review is complete.

«Recent criticism regarding compensation at the Health and Educational Facilities Authority (HEFA) has drawn attention to the tension that exists between salaries appropriate to attract and retain talent and the sense of shared sacrifice the public demands in times like these,» said Governor Patrick. «Given our economic circumstances and our commitment to delivering meaningful, long-term reform and efficiencies to our government, I believe that now is an appropriate time to review the compensation structure and employment terms of all senior managers at our quasi-public agencies.»

As part of his commitment to deliver meaningful, long-term reform and efficiencies within state government, Governor Patrick has asked Dean Stephen Crosby from the University of Massachusetts’s John W. McCormack Graduate School of Policy Studies to lead a public review of salary and benefits of senior managers at our quasi-public agencies and report back within 90 days with recommendations to ensure this compensation appropriately reflects today’s economic climate, while making the system more accountable and transparent.

The Governor has asked all quasi-public boards to implement a ban on employment contracts and to suspend any pending pay raises until the Commission has completed its review.

Working in close collaboration with our partners in quasi-public agencies, whose missions and mandates are closely aligned with our economic priorities, continues to be an important part of Governor Patrick’s reform agenda. Efforts to strengthen that partnership include:

* Activating the previously unfulfilled Quasi-Public Corporation Planning Council to encourage regular communication and collaboration among quasi-public agencies.

* Establishing the Mobility Compact to get our state transportation agencies that have never talked to each other before to work together on common challenges.

* Calling for the consolidation of quasi-public agencies and the elimination of the Massachusetts Turnpike Authority as part of the Governor’s comprehensive transportation reform plan.

* Facilitating unprecedented cooperation with quasi-public agencies to make voluntary budget cuts to help mitigate a $1 billion budget gap last fall.

Senator Marian Walsh, a respected and qualified individual recently hired at HEFA, will lead by example by voluntarily reducing her annual salary from $175,000 to $120,000. She will work to lead the reform efforts at the agency to generate savings.

Crosby is founder and publisher of CCI/Crosby Publishing, in Boston, and brings more than 30 years of experience in public policy, entrepreneurial business, and non-profit leadership. From 2000 to 2002, Crosby served as Secretary of Administration and Finance to Governors Paul Cellucci and Jane M. Swift.


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