One of the goals of each campaign has been to define the cause of the economic problems. Republicans would like you to believe everything happened under the Democrats in the last 7 years, even though when they are candid their own members acknowledge that's not the case. Democrats refer to the global economic recession and say that despite our difficulties, they took action to help us be better prepared. Thurman Hart, in his most recent NJ Voices takes a look at how other states are coping with his post, "At least we have a budget:"
This is not the case in California, where the deficit shortfall of $24.3 billion is almost as large as the entire New Jersey budget ($29.84 billion). The state is actually going to issue IOUs to vendors - which will do nothing to keep vendors from going broke. In a rather unusual twist, the Republican Governor is calling for higher taxes, but lawmakers in his own party are balking. Perhaps we should just expect strange news from California, though.
In Illinois, they still don't have a budget. In that state, the Republican Governor's call for tax hikes are being thwarted by Democrats in the statehouse. Governor Quinn wants to increase the flat tax from 3.0 to 4.5 percent, while increasing the personal exemption from $2,000 to $6,000. Possible tax hikes for gasoline, liquor, and cigarettes, as well as increased fees for state services such as drivers licenses are also a sticking point.
In New York, no one can decide who should run the State Senate - so major pain is expected throughout the state as funding for state services literally disappears overnight. Unable to accurately determine the input from the state, counties cannot send out property tax bills. Governor Patterson said today that New York City might lose as much as $6 billion in revenue from expired tax laws if the stalemate lasts a full month.
On the other side of the keg, Pennsylvania - once again - has no budget ready to begin its fiscal year. The sticking point here is, again, taxes. Governor Rendell wants to raise taxes from 3.07 percent to 3.57 percent - which is railed against as a sixteen percent hike. Fair enough, I suppose, but people in New Jersey would kill to have even the higher tax rate (but, perhaps, not if we had to let the state own liquor stores in return).
Follow me below the fold to see who else is struggling to pass their budget with.
In Arizona, lawmakers cobbled together a makeshift budget - but could face a veto from Republican Governor Jan Brewer because it doesn't include a sales tax hike to stabilize revenues. State park rangers were actively persuading campers to vacate the state's parks in the face of budget uncertainty. If the parks remain closed through the July 4th holiday, the state will lose an estimated $4 million in revenue - which won't help close the budget gap at all.
Connecticut, too, is operating without a budget. Republican Governor Jodi Rell is trying to operate the state by executive order. Again, the sticking point is taxes - with the Republican Governor opposing the only bill passed by the Democratic Senate because it raised taxes to pay the bills. The bi-annual deficit is expect to be around $8.8 billion.
It isn't hard to find evidence of breakdown. Mississippi abandoned funding for their utility regulatory commission. Nevada is doubling business taxes and having state workers furloughed one day per month. Tax-free New Hampshire is facing a ton of non-tax fee hikes - including a nine percent fee on campers who use state park facilities.
Well when you put it that way. Imagine the complaining the NJ GOP would do if they were in any of these states. It really is amazing to see the difficulties that are being experienced across the country. Of course we have things that we would like to improve and people point them out regularly, but Thurman has a point that we do have a budget, which is more than other states can say. That won't stop the NJGOP from sending out their press releases though.
