Monday, September 8, 2014

Walker moves forward with Bigger Deficit. Says he has a proven track record! Ain't that the truth.

Remember that the deficit Scott Walker inherited was an estimate, and wasn't really that high? 
jsonline: The more than $3 billion projected budget shortfall that Walker inherited as governor represented the gap between the state's expected tax revenues over the next two years and what state agencies were asking to spend over that period. The gap worked out to about 10% of the overall budget in the state's main account.
Well, it looks like Walker is creating his own deficit, which tracks closely to Gov. Doyle shortfall. Bad timing too, since that was Walker’s big talking point in his reelection bid:
The expected shortfall for the next two-year state budget has risen to nearly $1.8 billion, or about half of what it was when Gov. Scott Walker took office in January 2011 … The latest estimates by the Legislature's non-partisan budget office show a gap once again opening in the 2015-'17 budget because of tax cuts enacted by Walker and lawmakers and lagging growth in other state taxes in recent months … jumped by more than $1.1 billion over the previous estimate of a $642 million gap released in May. The projected weakness in the state budget matters to ordinary people because it would make it harder for state leaders to increase spending on priorities such as schools or cut taxes further for state residents.
The GOP bubble will not be Broken: As usual, the casual lack of concern is supposed to make us all feel great:
We were warned in a simple cartoon!
Walker spokeswoman Laurel Patrick downplayed the report, saying the state could see revenues grow in future years and take new steps to control spending. "We have a proven track record of managing the taxpayers' money well.
No, Walker has a dis-proven policy track record now. Are they hallucinating or thinking they can fool voters into thinking the $1.1 billion shortfall is a good thing? Yes…hey, it's a prediction, right?
Rep. Robin Vos: “Once again Democrats are looking for dark clouds on a sunny day. No one can ignore the fact the state is headed in the right direction. Unemployment is down, more jobs are being created and new businesses are opening their doors. The state economy continues to grow stronger under Republican leadership.”
This is what Walker and Vos call “strong,” and “leadership.” Yes there is a whole different standard for Republicans, who are given years to make their magic work, and yet it doesn't, because they need more time.
But Burke, a Democrat and former Trek Bicycle executive, seized on the new projections. "Governor Walker's fiscally irresponsible approach and his failed stewardship of a lagging economy have resulted in a state budget picture that is a mess," she said in a statement. "I have spent my career balancing budgets and insisting on accountability; setting priorities and getting the biggest bang for the buck. Governor Walker has spent money we don't have. In the business world, if a CEO created this big of a financial mess, he would be fired."
Though not as high as when Walker came into office, the memo said that the projected shortfall is one of the biggest since 1997. Those figures were not adjusted for inflation.

1 comment:

nonquixote said...

Blogger Jake had a take on the real structural deficit that Walker originally "inherited," and it was in reality, less than half of the $3.2B being touted by the Walker team from day one. So this projected shortfall is near being greater than it actually was in real terms than when Walker took office.

Cog Dis has the take on the next bomb and I'll keep repeating this. The Walker Engineered Deficit Crisis™ (oh my, WEDC !!) also creates the, "emergency" situation to justify fire sale prices for the pending mass sell-off of public assets to Scotty's BBF's. $1.8M already spent to get that list appraised and ready for the no-bid transfer from the public trust. Which "realtor," is going to get the sales commissions in this action?