Rob Horowitz: Rhode Island Governor Lincoln Chafee Botches Pension Issue

In politics, good intentions are not enough; skill and competence matter. Gov. Lincoln Chafee demonstrated neither last week when he announced he wanted to engage in settlement discussions with public employee unions over a lawsuit challenging a pension reform law passed by the General Assembly and supported by the Governor over the loud objections and aggressive lobbying efforts of those same unions.

 

Chafee’s public comments came soon after a late-night meeting in his office with AFL-CIO President George Nee and NEA Executive Director Bob Walsh. This helped create the impression that he was caving in to regain union support as opposed to advocating a decision independently arrived at that he believed was in the best interests of the state. It also meant that most of the initial comments supplied to the media beyond the Governor’s own words were furnished by the unions, rather than independent experts lined up in advance to support the Governor’s position. While Bob Walsh was certainly articulate in advancing his point of view, as the chief advocate for the Governor’s position he is by definition suspect in the court of public opinion.

 

Chafee's ill-advised timing was even worse since it came just two days before Judge Sarah Taft-Carter heard the state’s arguments for dismissing the unions' challenge to the law. Chafee’s announcement appeared to undermine the case for dismissal that the state’s attorneys were making.

 

This problem was compounded by the tone of Chafee’s rambling comments to the Providence Journal. He actually said publicly that he was so worried about the prospect of losing in court that he asked his Legal Counsel whether he should put money in escrow. She advised him not to because, among other reasons, it would weaken the state's case in court that it didn't have the money. One has to wonder why anyone would reveal this discussion publicly since now it looks like the Governor believes the money could be found.He also took a poorly timed shot at Gen.Treasurer Gina Raimondo, who has opposed negotiations by saying she sounded like a “Venture Capitalist" —a shot that further contributed to the idea that the Governor’s motivation was political. The over-all impression left by the Governor’s comments was that he believed the state did not have a particularly strong case. Even if negotiations are the right way to go, starting from a position of admitted weakness makes no sense.

 

Unfortunately for the Governor, his unfocused and unhelpful comments could be contrasted in real time with the crisp quotes of noted Attorney David Boies, who has joined the State’s defense team, in a a front page New York Times story in which Boies skillfully advocated Rhode Island’s strong case.

 

There is merit to the argument that state officials might want to pursue a negotiated settlement that maintains most of the fiscal gains from last year’s pension reform and avoids the risks of a straight loss in court. But the merits of this case were obscured by Governor Chafee’s botched handling of it. On these kinds of important questions, Chafee’s inability to effectively use his bully pulpit hurts his own case and raises real questions about his ability to lead.