POLITICS, IDEAS & CIVIC LIFE IN MASSACHUSETTS THE POLITICS OF MONEY Can We Talk About Taxes? Campaign Finance Goes Upper Class Are We Prepared for Disaster? Youth, Jobs & Immigrants SUMMER 2006 $5.00 Focusing on the Future Delivering energy safely, reliably, efficiently and responsibly. National Grid meets the energy delivery needs of more than three million customers in the northeastern U.S. through our delivery companies in New York, Massachusetts, Rhode Island, and New Hampshire. We also transmit electricity across 9,000 miles of high-voltage circuits in New England and New York and are at the forefront of improving electricity markets for the benefit of customers. At National Grid, we’re focusing on the future. NYSE Symbol: NGG nationalgrid.com nationalgr d SUMMER 2006 CommonWealth 1 CommonWealth editor Robert Keough LET’S [email protected] | 617.742.6800 ext. 105 associate editors Michael Jonas GET [email protected] | 617.742.6800 ext. 124 Robert David Sullivan [email protected] | 617.742.6800 ext. 121 REAL! staff writer/issuesource.org coordinator Gabrielle Gurley Making Massachusetts [email protected] | 617.742.6800 ext. 142 art director Heather Hartshorn Work for You contributing writers Mary Carey, Christopher Daly, Ray Hainer, Richard A. Hogarty, James V. Horrigan, Dan Kennedy, Jeffrey Klineman, Neil Miller, Laura Pappano, Robert Preer, Phil Primack, B.J. Roche, Ralph Whitehead Jr., RealTalk is a series of conversations Katharine Whittemore washington correspondent Shawn Zeller about what young professionals proofreader Jessica Murphy and working adults can do to make editorial advisors Mickey Edwards, Ed Fouhy, Alex S. Jones, Mary Jo Meisner, Ellen Ruppel Shell, Alan Wolfe a living, raise a family, and build publisher Ian Bowles [email protected] | 617.742.6800 ext. 103 stronger communities for us all. Join sponsorship and advertising Rob Zaccardi in the discussion and become one [email protected] | 617.742.6800 ext. 101 circulation Emily Wood of the more than 1,000 participants [email protected] | 617.742.6800 ext. 109 interns Katie Long, Joshua Leventhal, David Undercoffler involved in RealTalk. For information about upcoming RealTalk programs— > Full contents, as well as online exclusives, including our networking events— are available at www.massinc.org log on to www.massinc.org. CommonWealth (ISSN pending) is published quarterly by the Massachusetts Institute for a New Commonwealth (MassINC), 18 Tremont St., Suite 1120, Boston, MA 02108. Telephone: 617-742-6800 ext. 109, fax: 617-589-0929. Volume 11, Number 4, Summer 2006. Third Class postage paid at Holliston, MA. 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MassINC’s work is published for educational purposes and should not be construed as an attempt to influence any election or legislative action. 2 CommonWealth SUMMER 2006 The CITIZENS’CIRCLE MassINC’s Citizens’ Circle brings together people who care about the future of Massachusetts. The generosity of our Citizens’ Circle members has a powerful impact on every aspect of our work. We are pleased to extend significant benefits, including invitations to our private Newsmaker series, to those who join with a minimum annual contribution of $1,000. Anonymous (5) Stephen P. Crosby & Jeffrey Jones Hilary Pennington & Tom Alperin Helen R. Strieder Robin & Tripp Jones Brian Bosworth Joseph D. Alviani & Bob Crowe Sara & Hugh Jones Finley H. Perry, Jr. Elizabeth Bell Stengel Sandrine & John Cullinane Jr. Ronnie & Steve Kanarek Daniel A. Phillips Joel B. Alvord Thomas G. Davis Michael B. Keating, Esq. Diana C. Pisciotta & Mark S. Sternman Carol & Howard Anderson Richard B. DeWolfe Dennis M. Kelleher Maureen Pompeo Ronald M. Ansin Roger D. Donoghue Tom Kershaw Michael E. Porter Marjorie Arons-Barron & Tim Duncan Julie & Mitchell Kertzman James Barron Mark & Sarah Robinson William & Laura Eaton Richard L. Kobus Richard J. & Mary A. Barry Fran & Charles Rodgers Philip J. Edmundson Stephen W. Kidder & David Begelfer Susan & William Elsbree Judith Malone Barbara & Stephen Roop The Bilezikian Family Wendy Everett Anne & Robert Larner Michael & Ellen Sandler Gus Bickford Neal Finnegan Gloria & Allen Larson John Sasso Joan & John Bok Fish Family Foundation Paul & Barbara Levy Helen Chin Schlichte Frank & Mardi Bowles David Feinberg Chuck & Susie Longfield Karen Schwartzman Ian & Hannah Bowles Christopher Fox & Ellen Remmer R.J. Lyman Richard P. Sergel Rick & Nonnie Burnes Robert B. Fraser Carolyn & Peter Lynch Robert K. Sheridan Andrew J. Calamare Chris & Hilary Gabrieli Katherine S. McHugh Alan D. Solomont & Susan Lewis Solomont Heather & Charles Campion Darius W. Gaskins, Jr. Mark Maloney & Georgia Murray Helen B. Spaulding Marsh & Missy Carter Paula Gold Dan M. Martin Patricia & David F. Squire Neil & Martha Chayet Lena & Richard Goldberg Paul & Judy Mattera Harriet Stanley Gerald & Kate Chertavian Carol R. & Avram J. Goldberg David McGrath M. Joshua Tolkoff Celine McDonald & Vin Cipolla Philip & Sandra Gordon Peter & Rosanne Bacon Meade Meredith & Eugene Clapp Gregory Torres & Jim & Meg Gordon Melvin Miller & Sandra Casagrand Elizabeth Pattullo Margaret J. Clowes Barbara & Steve Grossman Nicholas & Nayla Mitropoulos Tom & Tory Vallely Dorothy & Edward Colbert Ray & Gloria White Hammond James T. Morris E. Denis Walsh Ferdinand Colloredo-Mansfeld Bruce & Ellen Roy Herzfelder John E. Murphy, Jr. Michael D. Webb Franz Colloredo-Mansfeld Harold Hestnes Pamela Murray David C. Weinstein Woolsey S. Conover Arnold Hiatt Paul Nace & Sally Jackson Robert F. White William F. Coyne Joanne Hilferty Scott A. Nathan Helene & Grant Wilson John Craigin & Marilyn Fife Michael Hogan & Margaret Dwyer Fred Newman Leonard A. Wilson Cheryl Cronin Amos & Barbara Hostetter Paul C. O’Brien Ellen M. Zane Michael F. Cronin Laura Johnson Joseph O’Donnell Paul Zintl Philip Johnston Randy Peeler For information on joining The Citizens’ Circle, contact MassINC at (617) 742-6800 ext. 101 SUMMER 2006 CommonWealth 3 chairmen of the board Gloria Cordes Larson Peter Meade board of directors Ian Bowles, ex officio Jeffrey Jones David Begelfer Tripp Jones Andrew J. Calamare Elaine Kamarck Heather P. Campion Paul Levy Kathleen Casavant R.J. Lyman Neil Chayet Paul Mattera Geri Denterlein Kristen McCormack Mark Erlich Melvin B. Miller David H. Feinberg Hilary C. Pennington Robert B. Fraser Deirdre Phillips C. Jeffrey Grogan Michael E. Porter Steve Grossman Mark E. Robinson Raymond Hammond Charles S. Rodgers Bruce Herzfelder Alan D. Solomont Harold Hestnes Celia Wcislo Joanne Jaxtimer David C. Weinstein honorary Mitchell Kertzman, Founding Chairman John C. Rennie, in memoriam president & ceo Ian Bowles vice president John Schneider director of program development Katherine S. McHugh director of strategic partnerships Rob Zaccardi director of communications Michael McWilliams webmaster Geoffrey Kravitz research director Dana Ansel programs & policy associate Eric McLean-Shinaman outreach manager Emily Wood director of finance & administration David Martin office manager & development assistant Caitlin Schwager board of policy advisors economic prosperity Peter D. Enrich, Rosabeth Moss Kanter, Edward Moscovitch, Andrew Sum, David A. Tibbetts lifelong learning Harneen Chernow, Carole A. Cowan, William L. Dandridge, John D. Donahue, Michael B. Gritton, Sarah Kass, S. Paul Reville, Leonard A. Wilson safe neighborhoods Jay Ashe, William J. Bratton, Mark A.R. Kleiman, Anne Morrison Piehl, Eugene F. Rivers 3rd, Donald K. Stern civic renewal Alan Khazei, Larry Overlan, Jeffrey Leigh Sedgwick 4 CommonWealth SUMMER 2006 CommonWealth volume 11, number 4 | summer 2006 ARTICLES ON THE COVER 42 | TAX TALK It may be the only issue that matters in gubernatorial elections. BY DAVE DENISON 52 | MILLIONAIRES’ BALL DEPARTMENTS The Clean Elections law 7 | CORRESPONDENCE is dead and campaign 10 | PUBLISHER’S NOTE finance reform is stalled, leaving incumbents and 13 | INQUIRIES A smart-growth law gets its legs; health care reform rich office seekers to faces a critical test; Springfield gets dominate state politics. relatively good news; racetracks bet BY SHAUN SUTNER it all on slots; towns get steamed over water rules. 21 | STATE OF THE STATES Spending 64 | LABOR PAINS Teens face growing competition from on police and prisons lower-skilled immigrants in landing entry-level jobs. BY ROBERT DAVID SULLIVAN BY MICHAEL JONAS 23 | HEAD COUNT Where cars outnumber drivers 72 | FLIRTING WITH DISASTER The Bay State readies itself BY ROBERT DAVID SULLIVAN for a flood of possible catastrophes, from hurricanes and earthquakes to flu epidemics. 24 | STATISTICALLY SIGNIFICANT