|
March 15, 2002 Facing the Facts in a Budget Crisis As the House works its way through the budget process, I am continually amazed and dismayed over the willingness of select members of the minority party to politicize the issue, and to seemingly thwart any attempts to arrive at a solution. Instead, they continually whine that “it’s not a budget crisis, it’s a spending crisis.†My response is that such statements are pure hogwash. The House began working on the state budget more than three months ago, but we have yet to see a member of the minority party come forward with their plan for spending cuts. Instead, they are continually blocking our attempts to enhance revenues to fund elementary and secondary education. Last week, the House approved a plan to fund our education system -- a plan the minority party attempted to block. Due to the lack of support of the minority party, the emergency clause on the bill failed. This will cost the state an estimated $18 million, money that was earmarked for public education. The fact is, the minority party does not want a solution to this budget crisis. They want to force the state to reduce critical services, and they would welcome a crisis in public education to achieve their political ends. To these individuals, the political issue to use against incumbents during the November election is more important than the people we were elected to serve. The minority party is willing to sacrifice the future of our children on their political altar. It’s time we faced the facts -- the fact that this is a budget crisis, deep cuts have been made, and deeper cuts are waiting in the wings. The facts are: Fact 1: The nationwide recession of 2001 began with a 60 percent fall in the stock market and $2 per gallon gasoline prices. The recession worsened after the September 11 tragedy, and now 47 other states face drastic budget cuts. Fact 2: Missouri’s budget grew in the 1990s due to the block grant initiatives enacted by the U.S. Congress. For example, Medicaid for senior citizens and children’s health programs are now 80 percent/20 percent federal matching programs. Of Missouri’s $19 billion budget, $12 billion is matching programs or constitutional mandates such as highways or conservation, which we cannot touch. This means we are facing $1 billion in cuts out of $7 billion. Jim Moody, former budget director for Governor John Ashcroft, says this is the worst budget situation in 20 years. Fact 3: In 1997, 1998, and 1999, the legislature cut state taxes totaling more than $1 billion per year, averaging $500 per family in permanent tax cuts. On top of these cuts, the state refunded more than $500 million to the citizens of the state in Hancock refunds. Missouri currently ranks 47th nationally in state income tax burden. Fact 4: Unlike the federal government, Missouri has a balanced budget in its constitution. We cannot deficit spend. Year after year, the budget has been approved by members of both parties by super majority votes. The minority party is either unaware of these facts, or has chosen to ignore them as being politically inconvenient. I believe the later. It’s obvious they are more interested in having a political issue for November than they are in looking out for the interests of Missouri students and working families. They are putting politics before people. As Speaker, I will not stand for it. But I am still willing to extend a hand in a spirit of bipartisan cooperation. It is the honorable thing to do as we seek a solution to this budget crisis. I don’t care who gets the credit as long as we get the job done. There will be plenty of time for politics after the House adjourns on May 17. | |||||
Paid for by Kreider for Senator.
Bobby Neal Jr., Treasurer. Not at taxpayer's expense.
Back To Main Press Release Menu