His web site states “A true conservative, Rick Perry is the only Texas governor since WWII to cut general revenue spending. He signed historic tax cuts and some of the strongest lawsuit reforms in the country. Since June ‘09, more than 40 percent of all net new jobs in America have been created in Texas.”
“cut general revenue spending”? Not sure I fully understand what he is saying
Simple: we’re the only state to cut spending since WWII. Actual, real cuts to total spending.
Texas has a BBA. Our budget forecasts two years out, because the legislature only meets every other year.
Now, understanding that, we are not allowed to accumulate debt except for the following: (1) by a referendum vote of the citizens, (2) natural disasters or emergencies, or (3) self-sustaining bonds.
What are self-sustaining bonds? These are bonds where the tab is not picked up by the taxpayer, but by those who will benefit from whatever the bond creates. Bonds to fund college grants and student loans will be paid for by the students. Bonds to build a cancer center will be paid off by those who use the center. Bonds to create new parks will be paid for by user fees.
How much of the current "debt" is self-sustaining? Roughly 90%. That is what some of these clowns running around screaming about "Perry doubled the size of Texas' debt" DON'T UNDERSTAND. Only 10% of the debt comes from non-sustaining expenses (meaning the money is recouped by some other means than on the back of the taxpayers).
And yes, they have cut general revenue spending. In Texas, the lion's share of the State budget goes for education. We had a short-fall in taxes and revenues, so they cut the budget. Each district had to come up with millions in cuts, unless the voters approve to raise their share of local school taxes to offset this shortfall. Each district has control over it's own destiny, by choosing to pay more if they want, or doing without if they don't.
Unlike the FedGov, which allows programs to continue in perpetuity, Texas has a Sunset Commission which examines each area to see if it has outlived it's useful purpose. The Sunset Commission regularly reviews, makes suggestions, and either continues or discontinues government programs and departments. I know; I've been called by them for input.
Perry did cut taxes towards the middle of his term. We projected budget surpluses, and had a substantial "Rainy Day Fund", so they mandated that school districts slash their tax rate. Ours dropped by half a dollar per thousand in value.
In the meantime, we had 5 million people move here, Katrina refugees, several natural disasters, a combative President who refused to help secure the border and is punishing our oil and gas companies for being successful, a housing market crash, and more. But Forbes, in 2008, calculated our total debt as 1.2% of Texas' State GDP (not including local government debt).
We also have something Obama does not, a AAA rating without the benefit of an Uncle Ben Funny Money Printing press. We have to EARN it.
There are lots of things to bash Perry about, but financial management, since most of the spending is generated in the State House, is not one of them.