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Texas Spending Faster Than The Federal Leviathan
Hardhatters ^ | 10/27/2014 | Hal Hawkins

Posted on 10/27/2014 1:06:46 PM PDT by thetallguy24

Conservatism is supposed to mean less government, especially in terms of spending. In Texas, nearly every Republican candidate takes a hard turn to the right to prove just how conservative they have been. This marketing strategy has proved quite successful, considering that Republicans are expected to again dominate our state executive and legislative branches. How has the record matched with the rhetoric over the years?

Last year, a massive debate swirled about how much the state was increasing its budget. The Wall Street Journal and conservative/libertarian groups like the Texas Public Policy Foundation claimed the 2014-15 budget was increasing by 26% compared to the 2012-2013 budget. Governor Rick Perry and legislators fought back by saying it wasn’t even close to that big of an increase if you took into consideration population growth and inflation. While neither side came to an agreement over a proper formula, what the debate proved was that you can make numbers look any way you want if you create the right formula. Without the formulas, the numbers don’t lie.

Since 2001, Texas has seen both great economic (real GDP up nearly 44%) and population growth (up 25%). State spending, however, has outgrown both combined. In fact, state spending has outgrown the “out-of-control spending” of the Federal government. As you can see in the chart below, Texas’ net expenditures have increased since 2001 over 87% compared to Federal outlays having increased at a rate of just over 85%. They are practically a mirror of one another.

fed v texas spending chart

As politicians argued in 2013, many now will say that these numbers are too simplistic. But, if you use their own formula of population growth + inflation that was used in 2013, you will only get a cumulative total of 57% (25% growth + 32% inflation), well below our states’ total spending growth.

fed v texas spending gdp pop

This information certainly won’t affect the outcome of the upcoming elections, but the 84th Legislative session is just around the corner, and the budget is always the talk of the town. If you meet with your legislator before then, ask him/her if they think the Federal government’s spending is out of control. Without a doubt, most Republicans will say yes. If they do, then show them the above chart, and ask them if the same answer should apply to Texas as well. Remind them that conservatism means less not more.

Sources:

  1. Texas GDP: Federal Reserve Economic Data
  2. Texas Population: Texas Department of State Health Services, Center for Health Statistics
  3. Texas Spending – Texas Comptroller, Texas Annual Cash Reports
    1. 2013 Texas Annual Cash Report
    2. 2012 Texas Annual Cash Report
    3. 2011 Texas Annual Cash Report
    4. 2010 Texas Annual Cash Report
    5. 2009 Texas Annual Cash Report
    6. 2008 Texas Annual Cash Report
    7. 2007 Texas Annual Cash Report
    8. 2006 Texas Annual Cash Report
    9. 2005 Texas Annual Cash Report
    10. 2004 Texas Annual Cash Report
    11. 2003 Texas Annual Cash Report
    12. 2002 Texas Annual Cash Report
    13. 2001 Texas Annual Cash Report
  4. U.S. Inflation: Bureau of Labor Statistics, CPI Inflation Calculator
  5. U.S. Spending: White House, Office of Management and Budget, Historical Tables


TOPICS: Constitution/Conservatism; Government; Politics/Elections; US: Texas
KEYWORDS: conservative; gop; republican; texas
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Are there any truly red states? I want to move there if there is. There is no way Texas is red if they spend at a faster rate than the Federal gov
1 posted on 10/27/2014 1:06:46 PM PDT by thetallguy24
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To: thetallguy24

“There is no way Texas is red if they spend at a faster rate than the Federal gov “

Then they would be truly “in the red”, if you know what I mean.


2 posted on 10/27/2014 1:13:04 PM PDT by sagar
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To: sagar

Amen


3 posted on 10/27/2014 1:15:30 PM PDT by thetallguy24
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To: thetallguy24

If the chart is correct then Texas is fiscally conservative. Spending per person has declined while humanity floods into Texas.

This is not only illegal immigrants but us immigrants as well. California is number two on illegal immigration and it’s 50% less.

Texas is singlehandedly pushing the us economy forward. You can also thank us for making your gas a dollar cheaper per gallon.

You’re welcome.


4 posted on 10/27/2014 1:17:51 PM PDT by lonestar67 (I remember when unemployment was 4.7 percent / Cruz 2016)
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To: lonestar67

CRUZ 2016


5 posted on 10/27/2014 1:19:58 PM PDT by stephenjohnbanker (The only people in the world who fear Obama are American citizens. KILL THE BILL!)
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To: thetallguy24

But what is the “Per Capita” Rate?

Let’s break this down a bit shall we?

4.8 TRILLION - FED GOV
105 BILLION - Texas

Population:
US population - 316 million
Texas Population - 26 million

Per capita Spending:
USA - 15,190 per person
Texas - 4,040 per person

Yeah, Texas is a big spender...

Also those rates are also dictated by inflation as welll...

Also keep in mind theconomy of Texas is gropwing better than the US as well...


6 posted on 10/27/2014 1:20:06 PM PDT by GraceG (Protect the Border from Illegal Aliens, Don't Protect Illegal Alien Boarders...)
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To: lonestar67

Also this need to facotr in inflation and HOW the money is being spent as well...


7 posted on 10/27/2014 1:21:47 PM PDT by GraceG (Protect the Border from Illegal Aliens, Don't Protect Illegal Alien Boarders...)
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To: thetallguy24

If Barry wants to give us the cash to support his illegal friends then by all means please do so.


8 posted on 10/27/2014 1:22:22 PM PDT by Resolute Conservative
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To: thetallguy24

The major difference is spending money Texas already took in, while still contributing to the rainy day fund. We are not going deep into debt. Yes, we have a growing population and a growing economy; that has increased our spending. But we are paying our bills while saving for the future.

Rainy Day Fund 101
http://www.window.state.tx.us/comptrol/fnotes/fn1102/

Don’t spend more than you have — that’s wise financial advice for anyone, but it’s a budgeting rule that Texas state government can’t break.

Right now, Texas lawmakers are grappling with the next state budget, for 2012 and 2013. They will consider how to spend revenues available from various taxes, fees and, perhaps, the Economic Stabilization Fund (ESF), Texas’ so-called rainy day fund.

This fund may provide some good news in tight budgetary times, as our state attempts to provide ever more-expensive services to a growing population.


9 posted on 10/27/2014 1:25:38 PM PDT by thackney (life is fragile, handle with prayer.)
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To: thackney

You do realize if Prop 1 passes, then half of the Rainy Day fund’s revenue gets diverted away?

That will be much less saving.


10 posted on 10/27/2014 1:27:40 PM PDT by thetallguy24
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To: thetallguy24

Come January 2015, the Texas RINO lieutenant governor will be replaced as will the RINO House leader Straus. The lieutenant governor will DEFINITELY be replaced by a true conservative and Straus’ replacement should be a conservative unless something drastically goes wrong.


11 posted on 10/27/2014 1:28:10 PM PDT by House Atreides (ANOTHER CONSERVATIVE REPUBLICAN FOR CHILDERS 2014 .... Don't reward bad GOPe behavior.)
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To: thetallguy24

Yep.

http://ballotpedia.org/Texas_Transportation_Funding_Amendment,_Proposition_1_(2014)

But if it passes, we will build infrastructure on money we have, not more debt.

I’m not in favor of it, but it is certainly better than the Federal handling and spending of money.


12 posted on 10/27/2014 1:30:45 PM PDT by thackney (life is fragile, handle with prayer.)
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To: thetallguy24

I don’t think that there are any truly conservative states that keep spending under control.


13 posted on 10/27/2014 1:31:33 PM PDT by Blood of Tyrants (The cure has become worse than the disease. Support an end to the WOD now.)
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To: Blood of Tyrants

Wyoming.


14 posted on 10/27/2014 1:32:29 PM PDT by 3boysdad (The very elect.)
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To: House Atreides

Straus only needs 21-22 Republicans to support him along with all of the Democrats.

Straus will most likely beat Turner unfortunately.


15 posted on 10/27/2014 1:36:11 PM PDT by thetallguy24
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To: thetallguy24

If you looked at the figures another way:

The 2001 expenditures represented 5.925% of the 2001 Texas GDP, and the 2013 expenditures represented 7.721% of the 2013 Texas GDP, an increase of 30% in the Texas state government’s take of the Texas GDP.

On the other hand, as the mix of state vs local spending has altered over the years, across the country, with states most often picking up more of some expenses that were once nearly all local - like K-12 education, the most often used comparison between states is in “state & local” government expenditures.

On data I got here:

http://www.usgovernmentspending.com/state_spend_gdp_population

and crunched in a spreadsheet, Texas “state & local” government ranked only 3rd, at 15.1987% of GDP after Wash.D.C. (13.5874%) and S.Dakota (13.9313%) as taking the smallest shares of a state’s GDP.

Strangely (to me), Alaska came in next to highest, taking in 25.5627% of GDP, which is just a tad lower than worse off Mississippi which spends 25.7443% of its GDP.

Using the data THAT way, Perry will be able to say, when it comes to state spending vs state GDP, Texas is still doing better than all but South Dakota & D.C. (not a real state).


16 posted on 10/27/2014 2:06:24 PM PDT by Wuli
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To: thetallguy24
Take out how much Texas has been having to spend on illegal immigration and see what the numbers are then.

17 posted on 10/27/2014 2:10:19 PM PDT by caligatrux (They always said that the living would envy the dead.)
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To: thetallguy24

You need to look at not only spending increases, but also comparisons with other states. Two years ago Texas was fifth LOWEST in per capita spending in the US. Their spending was a third, or so of the highest spending states.


18 posted on 10/27/2014 2:17:33 PM PDT by norwaypinesavage (The Stone Age did not end because we ran out of stones)
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To: GraceG

There are a lot of things that need to be considered in this assessment.

For one thing, many thousands of Americans have concluded that Texas fiscal policies are better than their home states. The most notable and largest group among those Americans are Californians. Apparently there is something terribly wrong in California and something terribly right in Texas.

Additionally, our revenue is not drawn from income taxes. Moreover, Texas gets back 91 cents for every dollar it sends to DC.

Texas has decided not to take the Obamacare bribes for health care which is another major conservative fiscal action which as a matter of comparison Republican Governor Kasich of Ohio has chosen to accept massive federal aid.

Our spending in Texas allows rather dramatic conservative acts such as:

1. Funding the national guard to enforce the border. Remember President Obama refused to authorize this action so it comes out of Texas coffers.

2. We are now establishing our own Ebola outbreak facilities and teams because the CDC is too busy publishing zombie brochures to be bothered with effective ebola protocols.

3. Finally Texas money is spent in Texas which is much more proximate than sending money to DC and mysteriously having some portion sent back. I am actually ok with government spending to some extent if it indeed benefits the local community rather than bureaucrats or thugs. Texas does have pretty good roads for a large state.

4. Our state legislature meets every other year for 140 days. That is a huge check on spending and out of control legislative action.


19 posted on 10/27/2014 3:05:45 PM PDT by lonestar67 (I remember when unemployment was 4.7 percent / Cruz 2016)
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To: thetallguy24
"Last year, a massive debate swirled about how much the state was increasing its budget."

This is pure bilge! The reason that Texas is spending this much is because everybody with any sense is moving there making Texas one of the only fast growing economies in the world. This ass hat would have you believe that Texans wipe their ass with the US dollar the same way the pirates and looters in Washington do. What a joke!

20 posted on 10/27/2014 4:35:24 PM PDT by Desron13
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