The Coming Budget Crisis

by: ryan

Wed Nov 12, 2008 at 23:40:47 PM CST


I mentioned in an open thread a few days ago that Louisiana is facing a projected $1.3 billion shortfall in its budget. The blame for this lies with our elected officials, both Democratic and Republican. For the past six years, the business community, (never one to look out for anyone but themselves), called for tax cut after tax cut. And, because the Legislature is afraid of being called anti-business, they acquiesced. But that's not the whole story ... they also increased spending instead of saving enough for the lean times, which is projected to occur in the next fiscal year. Such a shortfall poses a significant problem, as much of the budget is constitutionally mandated, with the incredible exception of education and health care spending, which is discretionary.

This means that the Legislature cannot cut the budgets of anything without revising the State Constitution, which means, short of calling for a new Constitutional Convention to write yet another State Constitution, the Legislature will have to put any such constitutional changes to the voters.

All this means is that Governor PBJ will face the first true test of his term as Governor. Does he be pragmatic, and call for a tax raise; or, does he act like a Republican ideologue, and slash education and health care spending? As frequent commentator and contributor Matt D said to me the other day:

"I love the GOP, man. Sometimes, you just gotta give it to them.

Is the education system doing well? Cut their funding, we're probably overspending.

is the education system doing poorly? Cut their funding, and they'll use market-based solutions to improve it themselves."

You can substitute any of the services that government provides for education system, with the exception of infrastructure spending, and the military, and it'll work. That's how easy it is to be Republican.

Of course, in the real world, their solutions don't always work. And education funding and health care funding are the two "discretionary" items we can least afford to cut right now. But I bet you won't be hearing that from the statewide media over the next few months, nor will you hear how the tax cuts enacted for the last six years are contributing to the problem.

ryan :: The Coming Budget Crisis
Tags: , , , , , , , , (All Tags)
Print Friendly View Send As Email
Something for nothing... (0.00 / 0)
The Advocate has wised up, although the T-P was on it several weeks ago.

Most notable is this:

"We have asked them to prioritize their budgets," Davis said. He said the administration also is trying to get Louisiana included in a federal government stimulus package to aid cash-strapped states.

She said Gov. Bobby Jindal's office is in talks with the state's congressional delegation.

This is the peculiar consensus of Southern politics (and it's true from Oklahoma to the Carolinas, although it can manifest itself anywhere):
1. Low taxes
2. Low service
3. If you actually need something, beg the federal government for it.


Voodoo Catholocism (0.00 / 0)
Maybe Governor Jindal can perform an exorcism on the State's budget and drive those nasty deficit spirits out of state government.

It is important to point out, however, that this would be the first exorcism Goveror Jindal has truthfully ever performed or witnessed.


You think the one he wrote about (0.00 / 0)
Was made up?

Or, are you suggesting that since it wasn't official: "no priest" means "no ceremony" means "no exorcism"


[ Parent ]
ADVERTISING


Louisiana Progress Inform. Engage. Mobilize.

We need your support to keep the Kingfish going -- please donate today!





NATIONAL BLOGS
DailyKos
Media Matters
OpenLeft
Political Wire
Talking Points Memo
Vet Voice
Wonkette

LOUISIANA BLOGS
Acadiana and SW LA Dems
Bayou St. John David
CenLamar
democrat2democrat
Humid Beings
The Lens
Liberty and Justice for All
Library Chronicles
Yat Pundit
Your Right Hand Thief

Know Louisiana blogs that ought to be here?

Contact me

DEMS, ALLIES, ORGS
Calcasieu Parish Democrats
Lafayette Democrats
L.E.A.N.
L.L.B.C.
Louisiana Democrats
Louisiana Progress Initiative
New Leaders Council
Orleans Democrats


NEWS SITES
Advocate
Lafayette Independent
Times Picayune
Shreveport Times
Town Talk
News Star
Gambit Weekly
Jim Brown
Vermilion Today
Know Louisiana news sites that ought to be here?
Contact me
MEDIA

The Worst

Forgotten Crimes

No BP Bailout

Confronting Vitter

Doing a Vitter
CONNECT
MENU

New here? Join us!

Login Username:

Password:



Forgot username/password?
About The Daily Kingfish

join our list
* indicates required


WEB 2.0

Find us on Facebook

Subscribe to the Kingfish Feed!