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Back Opinion Don’t solve government woes through slash and burn

Don’t solve government woes through slash and burn

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THE best way to cut government spending is by cutting the salaries of the highest paid employees in the government. With one high-ranking government official being equivalent in pay to three line-employees, the solution to the ever-present dilemma of reducing the government’s size and deficit seems simple.

However, we do not want to take employees off payroll and place them in the unemployment line, so I’ve been contemplating creative ways to go about a practical solution. Instead of moving individuals from work to welfare, let’s move them from government employees to private taxpayers!

A common call for our local government is to live within its budget, thereby running more like a business. It is with this in mind that I present my paradigm:

The highest paid employees in the government are older individuals, who are nearest to retirement. Because these individuals are seasoned employees, they are the best suited to create public-private partnerships. They have working knowledge and an intricate understanding of their trade and are the most capable of developing their own private company run by seasoned employees.

A prime contender for this would be the Department of Revenue and Taxation’s drivers license division; headlines have highlighted the quandary of long lines, extreme waiting times, and resident frustrations. The formation of a private entity would remedy the need for services while expanding the pool of private businesses capable of meeting (and eliminating) government mandates.

One predominantly notable example can be found in the proven success of Data Management Resources (DMR) founded by Richard Taitano. Mr. Taitano was a government employee who primarily handled all the data utilizations for the government of Guam. With his profound knowledge base, he ventured into the free market to create his own private business and capitalize on the demand for services. With his departure as a government employee, Mr. Taitano not only helped reduce his former agencies payroll budget, he also regenerated revenues from his sole proprietorship into the government of Guam's General Fund by becoming a private taxpayer.

This model can be fashioned to fit many other agencies within the government of Guam. With many government workers who have been trained and are skilled in their area of expertise, these individuals can wield their knowledge and experience by seeking retirement and creating an industry, much akin to DMR’s formula, and be competitive in the free market by offering their services to the government of Guam.

The elimination of high payroll consumption by these near-retirees would no longer be needed; instead, they can become funding for outsourced contracts for private local businesses.

Thus by inviting our current employees to come up with their own programs, we can reduce mandates by outsourcing, and turn government mandates into private businesses.

Not only does this model cut government spending, it produces jobs, generates revenue, and boosts the economy!

I’ll continue to brainstorm to come up with creative ways to turn government deficit into taxable industries that create a win-win for our island, our people, and our way of life. Stay tuned!

Comments  

 
0 #2 earlybird671 2012-05-10 08:43
Election Year Smoke:

Follow the CNMI. Shrink government when there are reduced tax and federal revenues, unlike Guam, which does the opposite.

It is painful, but necessary, and will be for the Greater Good.
 
 
+2 #1 Mathew 2012-05-09 04:22
I think the proper way to make some government cuts, according to experts in this field, is to start with reduced hours first, then salary cuts, and finally, position elimination. The furloughs that were hugely unpopular back after S-T Pongsona helped in this regard, combined, with the hike in the GRT. (Long-term debt has to be dealt with on a long-term basis.) I want to comment, though, also on why elected officials fund raise. It is not just to raise funds, obviously, but more so to meet new folks, network, and maybe get some new perspective that otherwise might have eluded them. On Guam, whether you need the money or not, you will find these sorts of birthday parties, etc., being held by elected officials, incumbents or not. (The usual suspects are there because that is how they become -- and stay -- relevant; not just on K Street.)
Personally, I think you are smarter than I have given you credit for because I thought that your only "real experience" was being Director of DYA or something to that effect. On the Chamorro language and its relevance, it is more important than what meets the passing eye. For instance, I did not know that Taitano means 'no land.' Paul Charfauros, the Producer on the Big Show at K-57 said this sometime back, along with some of the other Tais'. Maybe this explains why for some folks like Dr. Robert Underwood, political status is an abiding issue, while for others, it does not make much sense.
 

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