THE DAILY BLADE: A Gov’s Gotta Do What A Gov’s Gotta Do
Budget battle-scarred state executives met at the National Governors Association in Salt Lake City to swap war stories now that the stimulus money from Washington has all been spent. “For the veterans, it was just the latest in a series of tough years. For the rookies - 29 new governors took office this year - it was their first taste of state budget battle,” The New York Times reports:
“It’s funny, here I am, I’m six months into it and I don’t think of myself as a new governor anymore,” said Gov. Dannel P. Malloy of Connecticut, a Democrat who took office this year and closed a gaping deficit with a blend of tax increases, service cuts and union concessions.
Since the unions have failed to ratify the agreement he made with their leaders, he now faces the prospect of having to lay off more than 5,000 state workers. “It’s been that kind of six months,” he said. …
Many governors rattled off the cuts they had reluctantly made, or the taxes they had reluctantly raised, to keep their states going after a downturn that included the deepest and longest declines in state tax collections on record. …
Cutting access to Medicaid was a tough decision, said Gov. Jan Brewer of Arizona, a Republican. The state had expanded access in flusher times, but now, after selling off state office buildings, winning passage of a temporary sales tax increase to help finance education and making cuts elsewhere, she said that there were few options open to her. …
For Gov. Martin O’Malley of Maryland, a Democrat, one of the hardest cuts he made was closing a mental health center on the state’s Eastern Shore that he said had helped many vulnerable people.
“Not easy,” he said. “I still remember one of the letters I was given by a guy who went through that center. It said we all face a fundamental choice in life. We can either be bitter about what we’ve lost, or focused on what we have.”
The Washington Post reports that these tough choices and pitched battles to impose fiscal responsibility “have not just left political scars, but some personal ones as well”:
As Washington Gov. Christine Gregoire (D) put it, “I’ve just come through a session in which I made rotten decisions.”
In Gregoire’s view, those decisions weren’t bad because they failed to solve the state’s budgetary problems or left her budget hopelessly out of balance. To the contrary, Gregoire oversaw cuts of more than $4 billion that balanced her biennial budget.
Instead, her decisions were personally disappointing because they went against the grain of Gregoire’s political philosophy. By her own account, those cuts will hurt the very people she got into politics to help. She believes she spent this year undoing much of what she had tried to do in her earlier years in office. …
Wisconsin Gov. Scott Walker’s (R) conclusions about the budget fight that prompted outrage in his state and drew national attention are no less personal than Gregoire’s, but far different in how he assesses what was done.
Walker turned Wisconsin into ground zero nationally over the issue of public employee compensation and the power of public employee unions. … Walker provoked a confrontation that could continue to roil Wisconsin through next year’s election. …
As he looks back, the new governor does not think he made bad policy decisions. Over time, Wisconsin will be better off as a result, he argues. But he acknowledges that he made several miscalculations that have cost him dearly in terms of his political standing and in the state’s ability to do its business harmoniously. …
As President Obama and lawmakers in both parties try to resolve their dispute over the budget and the debt ceiling, the experiences of these two governors - and many others - stand as a reminder that there will be nothing cost-free about their solution, whatever it turns out to be.
The Washington Times reports that there is a light at the end of the tunnel for Repub governors whose popularity took a hit when they pursued cost-cutting measures they believed their constituents voted them into office to achieve:
At least a dozen states ended fiscal 2011 with surpluses. Indiana reported one of the largest, with an extra $1.2 billion in its accounts. Gov. Mitch Daniels, a Republican, on Friday authorized bonus payments of up to $1,000 for state employees. An employee who "meets expectations" will get $500, those who "exceed expectations" will receive $750 and "outstanding workers" will see an extra $1,000 in their August paychecks. …
While Indiana decided to reward its employees, other states are redirecting surplus funds into cash-strapped areas such as education. Idaho ended the year with an $85 million surplus, the majority of which will be funneled to public schools and colleges, Gov. C.L. "Butch" Otter, a Republican, said in a statement last week.
Other states are bulking up their savings accounts. Maine finished the year with a surplus of nearly $50 million. About half will go to the state's reserve, the Bangor Daily News reported. Iowa closed its books with $480 million left over, on top of an already healthy "rainy day fund." [Editorial Note: The governors of ME and IA are, respectively, Paul LePage and Terry Branstad; both are Republicans.]
Ohio Gov. John Kasich, a Republican, on Sunday touted the fact that since taking office in January, he has helped the Buckeye State turn its deficit into a surplus. …
"We've been able to cut taxes, improve [and] reform government. And you know why? We looked [the fiscal problems] square in the eye. ... That is what they're not doing here in D.C. right now." …
Despite ending the fiscal year on a high note, governors are aware of how quickly the rosy financial picture can change. They are cautioning taxpayers and lawmakers that a little extra cash doesn't mean the state should embark on a spending spree.
Obama could learn something from these state executives, were it not for the fact that he thinks he knows everything.
Asked And Answered
USC Researcher: Why Are We Fat?
- The State (Columbia, SC), July 13, 2011
Don't Let Them See You Sweat: Why Murdoch And Other Powerful Men Shouldn't Exercise In Public
- The Independent (London), July 14, 2011
Cause And Effect
House Democrats Feel Jilted By The President In Budget, Debt Talks
- The Hill, June 28, 2011
Al Gore's Next Crusade: In Your Bed
- New York Post, June 28, 2011
In Memoriam
Sherwood Schwartz, November 14, 1916 – July 12, 2011
Robert Helliwell, September 2, 1920 - May 3, 2011
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