Budgetary Suicide

Here is a clip with Braude and Mike Widmer. A good clip, but please note Widmer’s contention made near the end that the House budget is between $1 billion to $1.5 billion off in revenues. (I have been lowballing that shortfall here at $500 million.) Not to repeat myself but even with the House addition of $900 million in new sales tax revenue the budget may be off by as much as $500 million dollars. And what is the House doing? Adding back spending cut out of the original Ways and Means budget. The State House News Service says they are “spending spree”, apparently believing they can keep adding because of that $900 million dollar windfall. What an enormous mistake. I realize that much is posturing, since many realize that this spending will be left on the cutting room floor after the Senate takes it turn at the wheel. But in light of the continued erosion of revenue it reflects a fundamental disregard for the laws of math. Widmer has further downgraded revenue estimates for 2010.

The taxpayers foundation is preparing to release a revised fiscal 2010 forecast, with Widmer using the same “like a rock” qualifier as Murray to describe falling revenues. MTF in December projected an $18.6 billion tax collection estimate for fiscal 2010; the Legislature and Patrick went with a $19.5 billion estimate. Widmer told reporters Thursday that the foundation’s revised estimate would be “around 18” billion dollars, with the final revision hinging on final April tax collections.

Lets see what the Senate comes up with, but the reality is that the House process has now turned into a political charade not grounded in reality. The House should raise its collective head, because there is a freight train bearing down on them, and they are right in the middle of the track.


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1 Response to Budgetary Suicide

  1. Jules Gordon says:

    Your Honor,

    Sitting back, and like Fred, I am grinning at the incompetency being displayed before us in the Great and General Court of Messachusetts (spelling error intentional).

    How about another sing song Republican entry?

    Jules your RWT buddy.


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