Posted on 01/22/2008 10:31:40 AM PST by Disturbin
BOSTON — Gov. Deval Patrick is releasing a state budget Wednesday amidst the gloomiest financial outlook Massachusetts government has seen since deep budget cuts earlier this decade.
Even so, there are early indications that Gov. Patrick will pursue an aggressive agenda as he begins his second year in office. He has already revealed the budget will include a $368 million increase for public education and an 8.3 percent increase in beaches and parks funding, to $100 million.
How he proposes to increase spending in targeted areas, while closing a potential $1.3 billion shortfall and dealing with a slowing economy, will be watched closely this week. Budget analysts say fixed state costs will continue to rise, including Medicaid, pensions and state employee health care.
"It's a very difficult picture," said Michael Widmer, the president of the business-backed Massachusetts Taxpayers Foundation.
Fiscal analysts have pegged the state's growth in tax revenue in the next fiscal year at about 3.5 percent — half of the growth the state saw just two years ago. The Patrick administration and legislative leaders have agreed on a conservative estimate of about 3 percent growth as they draw up proposed budgets for the 2009 fiscal year, which begins July 1.
Last year's budget was close to $27 billion.
"It's going to be a very difficult budget for both the governor and the Legislature, and therefore the people we represent," said Sen. Mark C.W. Montigny, D-New Bedford, the Senate chairman of the Bonding Committee. "I think we are going to be faced with some nasty choices. It is a very painful budget process."
Rep. Jeffrey Davis Perry, R-Sandwich, accused Democrats of engaging in yearly hysteria about state tax revenues. He said it gives them an opportunity to take credit for saving state programs later on or builds the case for tax hikes.
"The facts are that the state has never had a larger state budget," Rep. Perry said. "The facts are that we have never collected more revenue as a state. To allege that we are somehow in this budget crisis is not legitimate."
The Democrats who rule the building say there could be an impact on services to the public.
Sen. Montigny believed the state would face a recession in the next fiscal year, and he is warning local officials and agencies to expect a tough fight for funding.
The Patrick administration announced Saturday that it would recommend spending $300 million from casino licensing fees to provide more money to cities and towns, as well for property tax relief and transportation projects.
Casinos must be approved by the Legislature, but Gov. Patrick's three-casino plan is meeting opposition from House leaders. Gov. Patrick wants to use $124 million in casino licensing fees in his state budget proposal Wednesday to make up for an expected decline in Lottery aid to cities and towns. Another $88 million would go toward property tax relief, and still another $88 million would go to transportation projects, both separate from the state budget.
The administration expects casino licensing fees would raise $800 million. The remaining $500 million would be spread over the following two state budgets in the 2010 and 2011 fiscal years.
House Speaker Salvatore DiMasi and Senate President Therese Murray, D-Plymouth, have spoken out against including casino money in the fiscal 2009 budget, even though Murray favors it as a future revenue source. Other legislators are more supportive of including it now.
Sen. Montigny, who served four years as the Senate's chief budget writer when he chaired the Senate Ways and Means Committee, said it would be premature to count casino money in the budget.
"You could make the argument politically that putting it in the budget forces the debate," said the casino skeptic. "You could also at the same time politically make the argument that it will make the waters even more poisoned and make it even more likely that there will be a nasty fight with the Legislature on it."
Mr. Widmer correctly predicted last week that Gov. Patrick would try to take the $800 million in projected casino licensing fees and spread it over three years to avoid criticism that it was being used as one-time revenue source. After that, if casinos are approved, the state would have an annual revenue stream from up to three resort casinos.
However, Mr. Widmer doubted the state could set up a casino bidding process and win local approvals in just 12 months, even if casinos are approved.
"The problem is you are counting on something the Legislature hasn't even passed," he said.
But Deval, there are no casinos in MA. You are CRAZY and need a lobotomy. You are a pathetic clown. Just because your wife is a partner in the law firm that represents casinos doesn’t mean her lobby gets its way. $800 Million in projections? Fool, Foxwoods sends less than $200 Million to CT and that’s not all MA money.
Sounds like tomorrow’s story is going to be “Patrick describes how he is going to raise your taxes.” God forbid that the critical beach improvement projects should be curtailed, or that prohibitively expensive and potentially fatal transportation improvement projects should be moved to the back burner until they can be afforded.
Damn those deep budget cutters! ;-)
I saw my State Rep. last Thursday night. He said Deval is going for an increase in the State Income Tax.
“Rep. Jeffrey Davis Perry, R-Sandwich, accused Democrats of engaging in yearly hysteria about state tax revenues. He said it gives them an opportunity to take credit for saving state programs later on or builds the case for tax hikes.”
My money(and yours) is on taxes going up.Way up.
Yes they can!
How much?
Governor Deval Patrick is the pre-quel to President Barack Obama.
Beaches and tuition for illegal aliens.
Governor Deval Patrick is the pre-quel to President Barack Obama.
And Obama’s Atty Gen.
He didn’t say. But sign Carla Howell’s Ballot Initiative at the Citizens for Limited Taxation web-site anyway.
Massachusetts politics coming to the entire U.S. very soon! Please prove me wrong on this!
‘difficult’ budget.... another way of saying ‘tax heavy & free spending for all’
I spent 12 years in MA and every year it was the same thing. Scare the crap out of the folks by telling them there will be mass layoffs if this or that is not approved. The liberals up there are such hand wringers they cave immediately because they cannot BEAR to see anyone lose their job. Never mind the sleaze pols are lying through their teeth, the poor fools fall right into line and line up dutifully to approve the increase.
I can’t tell you how many times this happened after a huge increase in a local school budget was voted down. The teachers would send the kids home with letters to the parents and would also indoctrinate them with sound bites to use on their folks. They, the town would ask the voters to approve an over ride on the turned down budget, never explaining to them that the over ride was permanent and not just a one time thing. I can’t tell you how many neighbors of mine did not know this and believed the over ride was just a one time thing. They claim they only voted for it to save the jobs.
Poor manipulated fools. I was never so happy as the day I drove down 195 and past the “Leaving MA” sign. As I did I made sure to give the one finger salute to the home of John F’n Kerry and Teddy “the swimmah” Kennedy.
Just another scummy Liberal. He took a balanced budget and ran it $1.3B in the red in one year. But... Boston Globe trust-baby liberals feel GOOD about themselves...
Put camels nose under the Universal Health Care Tent by instituting an 'affordable' mandatory health insurance package that really sucks and then whine that more is needed.
Put camels nose under the Universal Health Care Tent by instituting an 'affordable' mandatory health insurance package that really sucks and then whine that more is needed.
>>Huh? There’s a so-called budget crisis, so let’s spend more on beaches?
They have to spend the money on SOMETHING to be able to claim that there is no money left for police and fire departments. How else do you expect them to blackball the electorate into yet another tax increase?
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