Update 5:06 p.m.: Gov. Sonny Perdue said he will use nearly $350 million federal stimulus funds budgeted for the next fiscal year to help fill the gap in the current, fiscal 2010 budget.
He said the fiscal 2011 budget, which begins July 1, will see an additional $443 million in cuts in state funds and will make up for the loss of the $350 million moving forward to 2011.
But, the governor also removed his plan to raise about $360 million through a new hospital provider fee that the hospital industry and some lawmakers fought against. Instead, he’s proposing a 10.25 percent reduction in Medicaid reimbursements to hospitals and doctors and plans to ask the Legislature to remove the exemption that nonprofit hospitals have to not pay sales tax on their purchases.
The University System of Georgia will see additional cuts in 2011, but not to the extent feared over the past few weeks. Colleges and universities will see the loss of $113 million in federal stimulus funding in 2011 but will escape the additional $300 million in cuts that have been discussed.
K-12 schools, too, will see a net cut of $101 million in fiscal 2011, in addition to cuts the governor already proposed.
More to come …
Original post
Three days after releasing the 15th-straight month of bad revenue news, Gov. Sonny Perdue today will tell Georgia just how bad the next 15 months are going to be.
Perdue at 4 p.m. will announce this afternoon a revised, lower revenue estimate for state government for the remainder of this fiscal year, and fiscal 2011, which begins July 1.
The governor and his economists each year issue a revenue estimate for the coming months; basically, it’s an economic forecast. But as conditions change, in this case, the economy getting worse not better, that estimate has to be revised, because lawmakers use the estimate to write the state budget. However much the governor’s office estimates the state will bring in revenue is all that lawmakers can spend.
But, with actual revenue collections continuing to decline below the original estimate, the governor has been preparing to lower the estimate. Perdue met this morning with Lt. Gov. Casey Cagle and House Speaker David Ralston (R-Blue Ridge) and the three have met frequently over the past few weeks.
It is expected that in addition to lowering the revenue estimate, the governor will make some suggestions on areas of government to cut.
Lawmakers have spent a large chunk of the current legislative session obsessing over ways to lower spending and considering a variety of new revenue sources. But not all new sources of cash are created equal.
Lt. Gov. Casey Cagle said there will be fee increases this year, primarily for what he said are “optional fees that people have a choice of whether they receive it or not.” Plus, he said, there are business licenses that are priced lower than what it costs the state to provide the service. Those will likely be raised.
But, there appears to be little appetite for any tax increase. Perdue’s suggestion, for example, that the state levy a fee (critics call it a tax) on certain hospitals and managed care providers has been met with near universal scorn by Republican leadership in the House and Senate. Perdue had balanced his original fiscal 2011 budget by counting on more than $300 million from those fees.
But the governor’s suggestion to raise more than $280 million by siphoning money from a state fund that helps fund infrastructure projects for local governments through bond sales has seen more support.
Discussion of a proposed cigarette tax increase, meanwhile, has alternately picked up steam and fallen upon the rocks. Other proposed tax increases appear to have little backing from House and Senate leadership.
But fee increases, on the other hand, appear to be a near certainty.
140 comments Add your comment
John
March 11th, 2010
11:57 am
Very shortly we will find out if the republican majority in the General Assembly is a majority that consists of fiscal conservatives or if they are republican politicians who simply get elected by promising fiscal restraint AND a reduction in taxes (fees, revenue enhancers, etc).
eduprin
March 11th, 2010
11:57 am
a small tax increase would solve the problem. Let it be temporary if need be. Don’t be fooled by this rhetoric. Most of the right are happy about this situation.
Scott
March 11th, 2010
11:58 am
“optional fees that people have a choice of whether they receive it or not.” That is almost identical to the quote Grover Norquist gave after the “no tax” rally. Kinda scary that Casey is quoting him in these dire times
Scott
March 11th, 2010
12:00 pm
50th in revenue per capita, 50th in revenue growth per capita, 49th in spending…how much more “fiscally conservative” can you be???
The Cynical White Boy
March 11th, 2010
12:05 pm
Heck, why not do what Oblah-blah, Pelosi and Reid do with our Federal budget – just borrow money from China, continue to tax and spend, and let our children and grand-children worry about the weakened country they will inherit.
Cutty
March 11th, 2010
12:08 pm
Fees. Taxes. Same thing.
jw
March 11th, 2010
12:08 pm
Why can’t the folks raise the state sales tax – a very fair and equitable way to fight the shortfalls – at 4% we have one of the lowest in the nation – even with SPLOST pennies added it would make sense to raise the sales tax rather than busting the property owners next year – that’s when local entities have to look at ways to provide minimal services (you know, like education) – Why not do the obvious and double the sales tax.
Before all the shoppers fuss – a few pennies is much better than thousands that will be assessed with property tax increases – plus everyone that shops in our great state will share the burden.
Maybe it’s too simplistic, but why not – it’s better than having the whole state go belly up because our fearless leaders can’t get over the fact that they are elephants and donkeys – time for our elected folks to do what they are supposed to do and stop this party politics garbage – get us out of this mess and quit using Sonny’s smoke and mirrors – please – the whole state is waiting for y’all to get together and do what’s right –
Do the right thing for a change ——– PLEASE
Cutty
March 11th, 2010
12:09 pm
Cynical, you mean the same thing Reagan, Bush I, and W. did? Except they cut taxes and increased spending. Looking at my paycheck the last year, I’ve actually kept more money then I did under W. Jus sayin.
AF
March 11th, 2010
12:10 pm
Raise the gasoline tax to support transportation infrastructure. Raise licensing fees to cover the actual cost.
godless heathen
March 11th, 2010
12:12 pm
Casinos. Horse Tracks. Dog Tracks.
Burningman
March 11th, 2010
12:13 pm
Cigarette tax is low hanging fruit. If people quit smoking and it doesn’t raise as much as projected, you likely save the remainder in the health care costs.
Or Alternatively....
March 11th, 2010
12:19 pm
All you folks who advocate tax increases should know that there is no state law in Georgia prohibiting your voluntarily “contributing” additional revenues to the Georgia Department of Revenue.
Just have at it.
DAVID: AJC Truth detector
March 11th, 2010
12:20 pm
DO THE MATH….WIZARDs of SMART—–HIGH UNEMPLOYMENT….less REVENUES collected…But MATH is not taught in Georgia schools…only football & band are taught..
ricardo
March 11th, 2010
12:21 pm
The main problem has been that the State of GA has been a jobs program over the years, especially in the rural areas. Layoffs would further hurt small towns and continued employment destroys the budgets, especially with high pension costs. The Pols have no idea of what to do or the courage to do the right thing.
pay on everything
March 11th, 2010
12:25 pm
No more tax holidays before school begins. Nice idea, but we just can’t afford it. The average family doesn’t save that much anyway. Also, bring back tax on groceries. That should never have been eliminated. All purchases should be taxed.
Jeff Yoder
March 11th, 2010
12:26 pm
I just wrote a comment on Chuck Sims who is a fiscally conservative south Georgia Republican who believes or so he claims to believe that Big Government is the problem and is now moaning that his district needs government jobs and he’ll vote to preserve them! Now we have the GOP that has passed business tax break after tax break claiming jobs will be created and I pick up the paper and the unemployment rate rose from 10.4 to 10.8% in one week. Plus while Rome burned and Bubba Perdue warned the GOP legislative leaders of grave economic danger they still assured us that NO TAX increase was needed and a week later are proposing numerous tax and fee increases! Oh, and the other day a Republican was defending an agency( Judicial Services Council)) that can’t show any tangible results of there existence why they shouldn’t be dropped saving the state 2 million. Republicans Hate Big Government in every nook and cranny in Georgia unless it’s in there district! And lets not forget the Republicans who gave Georgia NO power carte blanc to charge Georgians for the plant Vogtle Nuk Reactors that aren’t even built to include Obama giving them Georgia Power loan guarantees which puts the taxpayers at a 50% chance of default and not one Republican thanked Obama or mentioned it in there bring the bacon home press release! The GOP are all poster Boys of Hypocrisy and selfishness!
DON
March 11th, 2010
12:30 pm
WHY NOT LOWER THE RETIREMENT EXEMPTION TO
12,000 A YEAR ON STATE INCOME TAXES.
SALES TAX INCREASES ONLY HURT THE POOR WHO
HAVE TO BUY MORE FOOD AND SPEND ALL THEY MAKE.
GUESS MOST OF OUR GA LAWMAKERS WANNA KEEP THAT
BECAUSE MOST GET THAT OR MORE WHEN THEY RETIRE.
root4au
March 11th, 2010
12:35 pm
Add a $1 Tax to each pack of cigarettes. Add $1 Tax to every bottle of liguor, six pack, etc. 99% of those who smoke and or drink will still make those purchases daily. Not sure how many more $$$ this would bring in but it would be a start.
MiltonMan
March 11th, 2010
12:36 pm
No more property tax hikes! I live in Fulton & already pay it out the nose.
ATLcitizen
March 11th, 2010
12:36 pm
The “Sick Tax” has received “near universal scorn by Republican leadership”, but consider 2 proponents, Senator Chip Rogers and House Speaker David Ralston, who along with Governor Perdue are supporting this tax. Hospitals are already hurting from this bad economy and have laid off staff. Some are on the brink of staying in business. Sure, hospitals are an easy target–lets balance the whole GA State budget on the backs of hospitals–not! Why tax our already fragile healthcare system which we count on to keep us well, when you could tax cigarettes that make you sick?! This should be a no brainer. Instead we have Perdue, Rogers, Ralston, and others leading GA with no brains. Support the cigarette tax!
Equity
March 11th, 2010
12:37 pm
Raise sales tax so the burden is shared by everyone. Reduce all governmental benefits paid out by 5-10%. Why should only employed people have less money to spend?
Monica
March 11th, 2010
12:39 pm
Raising the sales tax by two cents would cost everyone 2 dollars per every hundred they spend – that seems better than paying more property taxes or cutting government services.
godless heathen
March 11th, 2010
12:41 pm
Put a $5 tax on every chicken sandwich sold. Oh hell, why not $10 and raise some real money.
blah
March 11th, 2010
12:44 pm
tax nascar, Budweiser, boiled peanuts, chewing tobacco.
LIBERALSWILLBETHEDEATHOFUS
March 11th, 2010
12:45 pm
cut back on the giveaways to societies parasites, less food stamps,less money for section 8 housing,less free everything to them. Everyone else has had to cut back why not them? Note twice this week saw EBT users loading up their cart with pies ice cream and chips, why the hell do we have to pay for them to munch out out on this bad food and turn around and pay for their medical care on top of it? Fruits ,veggies and meat products are all that EBT should cover, everything is barcoded seems simple enough to keep extra items from being purchased
Leigh
March 11th, 2010
12:46 pm
Nobody enjoys paying taxes, but we tend to forget what Oliver Wendell Holmes (no liberal!)said, that “Taxes are what we pay to live in a civilized society.” We are now reaping the harvest of many years of anti-tax, anti-government rhetoric by the Republican party, while we watch our infrastructure, our justice system, and our educational system continue to crumble. There is even strong opposition among conservatives in Georgia to raising the cigarette tax to the national average, despite the fact that it is a voluntary tax, would raise much neeeded revenue, and help prevent kids from getting addicted to tobacco. They will be happy, I suppose, when they can sit behind their razor wire and say “It’s mine. It’s all mine.”
FMX
March 11th, 2010
12:46 pm
It is time to raise taxes. There is no other way around it. Why even when times are hard this is the political kiss of death. No one wants to be a man about the situation and do what needs to be done. I mean how high can they go. They problem is the the repubs are more concerned about getting reelected that what is best for the average citizen.
Base
March 11th, 2010
12:47 pm
The Repubs are finding out big the Atlanta economy and Georgia budget is to the overall state economy.Let them eat cake!
guillitone
March 11th, 2010
12:49 pm
Hey with all the people arrested everyday ( I see at least three a day on my local mugshot site)
for driving without a license or on a suspended license -two strike law, caught the second time -you lose the car you are driving and it’s auctioned off to put money towards police and fireman
DICK
March 11th, 2010
12:53 pm
I HAVE HAD IT. I AM SELLING MY HOME, HIDING MY ASSETS AND REGISTERING TO MOVE INTO THE LOCAL HOUSING AUTHORITY. tHE i CAN SIT ON MY FRONT PORCH, ROCK, SPIT AND JSUT WAIT UNTIL THE 3RD OF THE MONTH. DURING SPRING AND SUMMER I WILL FISH ALL DAY. I WILL WAVE AT ALL YOU SUCKERS WHO ARE FIGHTING A LOSING BATTLE AND CONTINUE TO WORK ALL DAY AND PAY TAXES. REMEMBER, I WILL APPRECIATE IT VERY MUCH IF YOU CONTINUE TO ELECT THE SAME OFFICIALS EACH YEAR SO MY AID AND WELFARE WILL CONTINUE TO INCREASE.
Chickadee
March 11th, 2010
12:55 pm
Hey Yoder, It is not a Republican/Democrat issue…back when the Dems had a majority people complained about them trying to get benefits for their districts. Any representative is going to try to benefit his/her own district where possible. That does not mean the rep isn’t fiscally conservative. Our current budget woes in GA are bigger than one party. The bottom line is: the money is not there; we either cut programs or we raise the money; we have already cut about as much as we can. Now it is time to raise the money. What is the most fair way to do that??? How about that 1% sales tax? When GA IS one of the lower sales taxes in the nation.
td
March 11th, 2010
12:56 pm
The conservatives have cut the budget from 21 Billion to 15 or less Billion next year, They can take credit for real cuts. They have cut Sate government agencies to the real bone. Education and Medicaid are 70% of the budget and have been cut less than all the other agencies. They have two choices, cut Edu and Med or raise fees and taxes? The real needed cuts are in the expensive salaries of the administrators in these agencies and departments in Atlanta or the universities and school districts but we know that is not going to happen. The only people that will get hurt if they cut more is the 25 to 40 thousand year jobs in rural Georgia or the teachers in the classrooms.
GWinnett BOE
March 11th, 2010
12:59 pm
I’ll support raising taxes once the bloatedGwinnett BOE starts to seriously look at waste.here’s two quick examples
1 Explain to me why the school”cops” catching truants and cigarette smokers make more than Gwinnett county police? They don’t even patrol the crowds at games ,who would better know students likely to cause trouble? and they get school benefits on top. Dangerous job they have LOL
2.Why do school buses make a thousand stops to pick up kids? They say they need new garbage collection rules because of the truck traffic. Four buses come thru my neighborhood 2x a day to pick up and drop off kids near their houses. Why not one bus stop at the begining of the subdivision get the fat little porkers some excercise. I have a bus that goes up Killian Hill in the afternoon lot’s of traffic -it stops three times in the space of 75 yards to let each kid out in their driveway -why not one and let the kids walk the twenty yards to their house? Save gas, wear and tear on the bus, and give the kids a tiny bit of exercise!
Ron
March 11th, 2010
1:01 pm
I could see raising cigarette tax if alcohol taxes are increased also. Both are things ” that people have a “choice” in using. I do not see the logic in taxing anything to do w/hospitals who always pass the costs on to patients.
state employee
March 11th, 2010
1:02 pm
a) Retirement incentive for state employees to retire, rather than more furloughs and layoffs. The state is top heavy with us old folks.
b) Do away with lottery employees’ bonuses.
c) Casinos
Dorothy Terrell
March 11th, 2010
1:03 pm
Raise taxes? now that’s a great way to watch the state go down hill!! I think we should cut back on the freebees that are given out. If you work you can buy – if you don’t work you do without. I’m sick and tired of working and struggling to make ends meet and seeing my money go to the lazy bores that think the govt is there to take care of them! Guess what, it isn’t, and when we can realize that, things will start to turn around.
Ahmad A., Atlanta, GA
March 11th, 2010
1:04 pm
I don’t think education is the place to cut. Georgia lags nationally in the education department….too much “dumbing down” and as the infamous “genius” Palin would put it “back-asswardness”!. A moderate and temporary tax increase to meet the state’s fiscal need is probably the best solution currently.
Corey
March 11th, 2010
1:06 pm
Cynical White Boy, heck just do what Bush did keep funding for two wars out of the budgetary process and include them is supplementals so that the people, mostly Republican lemmings, do not know their costs while racking up a deficit.
tc
March 11th, 2010
1:08 pm
seems like they need a new economist to forecast revenues……
teacherman
March 11th, 2010
1:11 pm
The republicans act concerned but they really aren’t. According to a related article, by 2012, 14,000 teaching positions will have to be eliminated. That is beyond staggering but only if you don’t have the Perdue/republican agenda of gutting public education. This is exactly what they want. They have been salivating to find an opportunity to cut, cut, cut. This is it. That is why they don’t explore hardly any other options of revenue…they simply don’t care to. I am not a conspiracy theorist but this is truly at the heart of what those fools believe. It will come back to haunt them…probably later rather than sooner. Turning Georgia into a third world country is not good for them either….they are just to stupid to realize it.
tc
March 11th, 2010
1:11 pm
whose been in charge nationally and locally for the majority of last decade? yea let’s keep following their advice
teacherman
March 11th, 2010
1:11 pm
“too stupid”
David
March 11th, 2010
1:11 pm
FLAT TAX!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
Rik Roberts
March 11th, 2010
1:12 pm
Liberalswillbe… Have you considered that they bought the staples with the EBT and used other money for the chips, et al. Maybe they are out of work and in between jobs? I have worked since I was fifteen and sometimes multiple jobs, but I once found myself without work for several weeks and had a wife and three kids. Sometimes food stamps are used exactly as intended – a temporary stop gap. Don’t be so judgmental.
To those who gripe about property taxes: my landlord will raise my rent to defray property taxes as well. The only advantage to a sales tax increase is the money spent by tourists and the fact that it sweeps up some of the poor that don’t pay rent or own property. Not a big difference.
How about we just cut the pay of everyone on a the state payroll by 6-10%. This includes bureaucrats and teachers alike. If they don’t like it, let them get a private sector job and quit sucking off the government teat.
JC
March 11th, 2010
1:13 pm
Keep Cutting. It is about time they face the music like our households have been doing. Cut.. Cut…Cut.
Casey D
March 11th, 2010
1:15 pm
Just as a hypothetical, if a girl in downtown Atlanta on her lunch break were to pull a few tricks, would she have to report the 20 bucks on her state income tax return? Just askin’…..fer a friend.
Hayek
March 11th, 2010
1:18 pm
“50th in revenue per capita, 50th in revenue growth per capita, 49th in spending”
Pure blarney.
PJ
March 11th, 2010
1:22 pm
4 things that could help:
1 – Tobacco tax – smokers put a tremendous burden on our healthcare system, so there is no reason they shouldn’t pay more for a bad habit that makes them sick
2 – Sunday alcohol sales – allow liquor & beer sales on Sunday to up sales tax revenues from grocery & liquor stores
3 – Sunday alcohol sales ALL DAY at restaurants, not just after noon
4 – Liquor/beer tax – so you have to pay closer to $4 for your “2-buck-Chuck,” but it is still dirt cheap.
state employee
March 11th, 2010
1:22 pm
JC, do you think we state employees are not feeling it? My husband has been unable to find a job in over a year. My health insurance premium went up and they raised the co-pays. My mortgage insurance and taxes went up. Just like you, I’m paying more for groceries and gasoline. My newest car is 11 years old. And I’ve taken my furlough days in 2009 and have some to look forward to in the coming months.
Doug
March 11th, 2010
1:23 pm
Sunday alcohol sales, casinos and sports gambling would solve LOTS of these problems, but it would require legislators ballsy enough to stand up to the hard right who still think these “sins” are a detriment to the state of Georgia.
Kenneth
March 11th, 2010
1:26 pm
I believe that your Tax Commisioners aren’t doing there jobs if you have homes in those areas and you pay property taxes every year just like the rest of us then nobody should be having a problem. However, if you have recently had your house foreclosed on then it is up to the banks and also the new home buyers responsibility to pay for the property tax which should not have a problem with any kind of budgetting issues. Someone is not doing there job and they need to re-think there job status because there are a lot of great workers out there that need a job and would love for that job position and are more qualified than who we have in there now.
Bob
March 11th, 2010
1:30 pm
Why not do what the Washington Republicans usually do in this situation, cut taxes on those making 10x more than I will ever see in my lifetime and borrow money from China. Instead of being a “tax and spend” Democrat be a “cut revenue and go broke” Republican. Yep, that will solve all of our problems.
John
March 11th, 2010
1:31 pm
I can’t believe so many on here are callig to tax increases which can only mean 1 of 2 things. Either you don’t pay any taxes now or you work for the government.
The government doesn’t make any money. We, in the private sector do. So therefore we should get to decide who and what it gets spent on. My vote…cut, cut ,cut. Go out and produce revenue!!
Also, for the idiots who can’t get over the wars I would like to ask…if you had a sibling, spouse, child in the World Trade Center or Pentagon, do you think your views may be diffent. I bet they would and if it is all Bush’s fault, why did Obama just send 30,000 more troops. My guess is he has the information we don’t have that sees just what a threat the terroists really are…man, democrats are stupid
JV
March 11th, 2010
1:34 pm
Raise all the sales tax you want. Raise the cig tax another $1.00. Many of us will just buy our stuff on the internet and not pay a dime in Georgia sales tax. See, that was easy to get around wasn’t it.
Bill D.
March 11th, 2010
1:40 pm
There are many good ideas in the comments here, but in isolation none of them will even come close to solving this problem, which will only get worse in FY 2012 when the state will have about $1 billion less in stimulus money available. To balance the budget, we need a whole series of ways of increasing revenue AND we need a whole series of cuts. If we simply keep cutting, we’ll gut education, health and transportation funding to the point that no company will ever want to put down roots here.
Realist
March 11th, 2010
1:45 pm
To my fellow Georgians:
Number 1, this is not a republican, democrat, libertarian, creation. This problem is directly related to the Housing Market and every thing associated with it. Lax enforcement of Loan Rules and Borrowers not qualified for home ownership kicked this off. The direct relation is that new homes are not being built, new developments are not being built and everything from engineering, wood, appliances, roofing, etc are not being sold. Home after home in every state had people living in them who never paid a dime, owes govt agencies for everything including taxes, water, power and the cost of the courts to get them out…The worst thing that could have happend was allowed to happen….This is the true trickle down problem. All of these business shut down because no one was building anything and banks were trying to recover anything with pennies on the dollar.
Blame Freddie, and Fannie programs.
Now onto the State of the State of Georgia: Georgia managed the first 15 months of the downturn fairly well..However one major element took place..Every Responsible State Government decided to cut services, raise fees, generate new forms of revenue, and cut staffing….for example Fl. lost tourism( it largest form of revenue) and decided to cut staff and services. If someone retired that job was not considered part of the cut..an actual cut was one that removed persons from offices and the field. No travel overnight was allowed and all non essential vehicles were removed from the roadway.
The same formula was used in 19 other states…this took place in 2007 and has continued thru 2010.
Raising taxes on food, tobacco, gasoline, alcohol, and any other sin tax is fine. However, the proven commodity is people will purchase less and do without. But in desperate times comes desperate measures. Repealing the tax holidays is something business owners use as a tool for sale. Go ahead and Repel it. Lets see if that helps.
Remove Bonuses from the Lottery…it will at least provide cover for those saying we gave up something.
Casino, Horse Tracks, Dog Tracks, Bingo…if someone wants to spend money at those places let them….however it will need to first class and strict tax and free grants should not be part of the program.
Lower Corporate Taxes….this will do more to invite business than anything…however the Feds should do this first to bring back business from oversees.
I know I do not like to pay anymore taxes..I despise it..however if we cut the number of employees on the government payrolls by 10-20% then go ahead and I can help out with a few more bucks out of my pocket to get the business and home growth back on market.
As for state employees who are retired from one job,,lets say military or private business…..not picking on them..but if they are on the retirement coffers from one form of govt pension..they should be the first to asked to move on….and if in time things get better they should be the first ones brought back….but not too quickly..
Put everything on the table….but I will bet that the fever of raising taxes on the fine people of Georgia would be a much easier pill to swallow if we say a 20% reduction of staffing.
Internet Sales
March 11th, 2010
1:47 pm
JV has brought up what I believe is a big part of our problem. Too many purchases have been lost to internet sales and taxes aren’t being paid on them. We lose millions every year. Why buy that $600 camera down at the local Walmart when you can buy it from a NY store and not pay the sales tax, and usually get it a little cheaper too. That(the interstate commerce) has to be regulated somehow.
Michael Foster
March 11th, 2010
1:49 pm
Anyone want to explain why they voted for the extension of hotel/motel tax money to go to funding a new football stadium? This would happen in the next ten years. Football stadiums cost anywhere from 300-500 million dollars…yet we are setting a budget cut in the school system for 385 million?
I dont care what fine print or regulations exist that “justify” that operation, but there is no way in hell our legislatures should be thinking about spending 455 million dollars on a giant cement box while our schools lose departments and staff
Jethrow Bodine
March 11th, 2010
1:56 pm
What’s putting such a huge drain on the system is the fact that there are too many people having kids! In most cases they don’t have health insurance and are living off the system. They put too many kids in the school system. Why should someone pay the same amount in taxes for no children, one child or many children? There should be a flat tax for education, used exclusively for education.
Also, Sunday alcohol sells. Why do bars have to sell food on Sunday in order to sell Alcohol?
On Sunday, alcohol sells equal frenchfrys.
Casey D
March 11th, 2010
1:57 pm
Dear Michael Foster: What Arthur wants, Arthur gits.
citizen
March 11th, 2010
1:58 pm
Turn off ALL toll free numbers to state government offices. If someone needs telephone assistance, let it be on their dime, not the taxpayers dime. Most calls are to find out the hours they are open.
busox
March 11th, 2010
1:59 pm
I don’t smoke. I don’t drink.. This is directed at those who want to raise tobacco and liquor taxes. In 2009, your dearLeader raised the tax on a pack of cigarettes by 62 cents a pack. this resulted in lower tax revenues to the state of georgia… http://www.georgia.gov/00/home/0,2061,4802,00.html;jsessionid=E3FF9257E907601221B4FDCAACDD4923
So go ahead and raise the cigarette tax a dollar, and raise the liquor taxes too. Your sin revenues will fall accordingly.
Those of you advocating tax increases to preserve state jobs… simply put… you are advocating the seizure of my property (and I have a God given right to) to preserve something that doesn’t belong to you, and you have no right to (your job). You are paid for a service. If the state cannot afford to pay you, you have no right to dictate the seizure of my property to enhance your well being.
The solution? Sell off the state jobs to private industry and reduce our taxes.
You people got suckered into the state of Georgia taking away a 200 year old exemption, and don’t believe it was a tax increase. The state can’t fund it anymore, so the counties raised your property taxes.. while you say it’s for the children. While you slept yesterday, Barack Obama and the Democrats decided that they want to regulate where you fish, and and you hunt. now if you want to fish in the future, you better hope it’s not where government doesn’t want you to. And with that EC, if you ever get a puddle in your backyard, you better hope a Fed doesn’t notice it… your land will be confiscated.
Lastly… the jobs you want to save, aren’t yours. You are stewards of them. You have no right to them, you have the privilelge of serving the people paying your salary, and apparently, the people can’t afford you anymore.
It’s about time you stop whining and get off your sofas and take your country back. Instead of watching others take it from you.
Casey D
March 11th, 2010
1:59 pm
Michael Foster, can you say “campaign contributions” by mustachioed, Jewish, Buckhead billionaire?
Matt
March 11th, 2010
2:03 pm
Would you please stop calling it “House and Senate Leadership” There is very little LEADERSHIP going on at the state level.
Mike
March 11th, 2010
2:03 pm
More taxes equals more money for the crooked politicians!
JJ
March 11th, 2010
2:06 pm
Gov. Perdue.
Instead of doing more layoffs.
Sow a financial seed and you will reap a financial harvest.
Those are God’s principles. The world still has not figured it out.
The key is sowing bountifully and you will reap bountifully. Whatever the need is. Sow it and Reap it. That’s the secret
Miss Mellie
March 11th, 2010
2:11 pm
Ummmm…whatsay we re-visit the ‘tax-exempt’ status of churches and universities. They’s enough a them brazillion-dollar megachurches in the metro region to provide lots and lots of revenoo. They should either take over all of the state-funded social programs or pay their fair share of taxes…
jw
March 11th, 2010
2:17 pm
You still pay sales tax on your online purchases! Take the easiest hit to the Georgians pocketbook – sales tax – that way we get the revenue we want and with a minimal burden on all of us!
RayStantz
March 11th, 2010
2:23 pm
@ busox
The solution? Sell off the state jobs to private industry and reduce our taxes.
The is exactly the issue now. They do award many contracts to private industry and the service turns out to be poor and more costly than actually cultivating state employees to do their jobs better. Many of the contracts are truly not needed, poorly maintained and we continously spend millions on these services that are not doing what they were intended to do. So your solutions has been going on for the longest and has acutally added to the problem…
Casey D
March 11th, 2010
2:24 pm
Oh, I agree Miss Mellie, tax those churches, they are always preaching against my “business,” and sending those nasty policemen to harass us working girls on the job site, as it were. Tax them, and those snotty rich boys at the university.
Time to Pay the Piper
March 11th, 2010
2:27 pm
John at 1:31 – I didn’t have a relative in either of the two places but here is the problem with what you said. I have a son who has now seen his 4th tour – two in Iraq, 2 in Afghanistan. I have and still fully support the Afghanistan war because there was a direct link to 9/11, NOT with Iraq. The problem I now have is while we are seeing Dekalb close 12 schools, every other county force furlough days, teachers jobs being terminated, we are PAINTING schools in Iraq. Possibly what we can’t afford is the war in Iraq. Ever thought about that? Maybe we can’t afford the war in Afghanistan either. MAYBE, we should get the “H” out of there and stop spending our dollars on countries who never wanted us there in the first place. Maybe Obama sent 30,000 more troops so we CAN get out – man, republicans sure are stupid.
rosco
March 11th, 2010
2:27 pm
quote: “The government doesn’t make any money. We, in the private sector do. So therefore we should get to decide who and what it gets spent on. My vote…cut, cut ,cut. Go out and produce revenue!!”
The private sector doesn’t control the government, the people do. We live in a Republic, not a corporate controlled state. The Constitution reads “we the people” not “we the private sector.” Also, if basic government services are decimated in Georgia, it will have a negative impact on the private sector in the long run. After all, what company will want to stay or relocate to a state with shoddy roads, bad schools, and bare bones police and fire service?
Low taxes and tax cuts aren’t the only things that attract or repel business. The fact of the matter is that the cut, cut, cut mentality that some have will turn around and bit the private sector in the rear. You get what you pay for in life. If you don’t want to pay the taxes to keep basic government services in Georgia going, don’t complain when businesses start leaving the state.
Relax
March 11th, 2010
2:28 pm
RayStantz, but many of the state gov’t contracts are to the great private industry folks who might know someone of influence in ga politics, probably a fiscal conservative. Funny how it works.
busox
March 11th, 2010
2:43 pm
@ RayStanz… I didn’t say hire contractors. I said. sell off the state jobs to private industry. Let me give you a real example. Back in September when the floods came, two HUGE sink holes happened in my area, one on Kellogg Creek Road in Acworth, and one on a private church parking lot about 2 miles away from there. The holes were almost identical in size. I’ll give you a hint as to which hole was filled and the area deemed operable first, and cheaper. one guess. On HWY 92 at exit 277 in Acworth about a year ago when they were finishing up the highway and exit construction, I drove through site around noon. 17 people were standing around, two were in parked trucks, one had a shovel… to pick up paver rocks and move them off the road. Private industry works with an JIT mode, on time, under budget. Government never stops growing because it thinks its coffers are unlimited. How you figured I meant hire contractors when I said sell off state jobs is beyond me. Of course when the government awards contracts to private contractors the work is going to be poor because there is no accountability and the government isn’t spending their own money.
I am sorry you didn’t understand my rant.
Too Simple
March 11th, 2010
2:47 pm
Cut the school year, cut the work week, cut the funding for this and that…At this rate we’ll have to sell the state name just to get by! If you cut the school year or cut the work week you just cost your constituents a minimum of 15% more money for child care. Just a reminder, that person you just added the additional cost to their bottom line has already taken a cut in pay, had their insurance premium increase, and is struggling just to get by. The same four day work week or school year reduction decreases the income of the employee by 20%. Oh but it will save the state…Really? Property values are down, costs are up, and unemployment is rising…I am sure all the cuts in the schools will help with those unemployment figures. How about a 1 or 2 percent increase in the sales tax? What’s one or two pennies on the dollar that is carried by everyone in and coming through the state? I still might not spend as much because money is tight but it would be less of a hit to my bottom line than the other options. Oh, let’s go ahead and make sure that we never get above 50th in the nation by cutting education. In reality, education is not a priority period. But the Falcons will get a new dome!
duneya
March 11th, 2010
2:48 pm
It could be worse…you could live in Illinois where the state is facing a $13 billion deficit, the Governor recommends cutting $1.3 billion from the education budget, and state pensions are disappearing altogether…we already have one of the highest sales tax and property taxes are steadily increasing…I’m looking into relocating to GA.
Miss Mellie
March 11th, 2010
2:48 pm
sorry, Casey D, you lost me… Do what?
Relax
March 11th, 2010
2:52 pm
seems to me, people working at the church dipped into their operating budgets from tithes and called someone (maybe someone who attends the church!) and paid them to fix the hole. Again, coulda been a church member who did it for free. now, what i’m thinking is, the gov’t sucks, so some neighbors around the kellogg creek road area shoulda gotten off their cheap butts, pooled their money together, gone out and bought some orange vests (but only a few, so as to not have anyone leaning on a shovel), and got this stuff done!
Casey D
March 11th, 2010
2:52 pm
Tax honey, tax…you know, money for honey…
Delia
March 11th, 2010
2:57 pm
It’s about time some of these government workers get laid off. Every other job in the private sector has been decimated while the government workers continue to live as though nothing is going on. And none of us want to hear about the “poor teachers or the poor cops” who will have to join the rest of the real world of unemployment because we’ve been here for over a year and no one cares about us.
ShakeWeight
March 11th, 2010
3:00 pm
If that was the case, Rosco, then why have the fastest growing metros and economies been in states that have very little government spending (GA, NC, FL, TX, OK, etc.). I know this recession has changed that a little (bc almost no one has a growing economy now) but the trend holds true for the last two decades and even now the most successful large state in the country is a bare bones government state (Texas).
Dunwoody
March 11th, 2010
3:03 pm
deneya, Chicago sounds awful but what makes you think Atlanta would be any better? Honestly, I’d consider moving to Chicago from here before I would consider moving here from somewhere else.
rosco
March 11th, 2010
3:05 pm
Delia,
State agencies have already seen cuts, including layoffs in a few cases. And this at the time when their workloads are increasing. For example, the USG enrollment is through the roof. Class sizes for teachers aren’t exactly on the decline either. Also, state workers have had furloughs and seen their health insurance rates jacked up. Your idea that state workers “continue to live as though nothing is going on” simply isn’t based on the facts of “the real world.”
YOU LIE!!!
March 11th, 2010
3:10 pm
Oh no, Rosco! Furloughs!!!!! The unemployment rate – if you include discouraged workers and underemployed workers – for the state is ~17% and you are going to tell them to feel sorry for state workers that have been furloughed a few days?!? And your health insurance rates are going up? OH NO!?!?! You mean your premium plan funded with the taxdollars of the private sectors hard work might be a little more expensive? You do realize that those 17% don’t have healthy insurance, right? Oh please. I wanna puke every time I hear a politician or government worker talk about how they know the hardships of the plebes. leeches
transplanted here
March 11th, 2010
3:21 pm
busox…let me guess…you are drawing a retirement check…you are all for change as long as that means you don’t have to do anything different from the way you have always done it. all of those ‘rights’ that you think you have are not ‘rights’ either. you sound like my grandfather.
the prof
March 11th, 2010
3:27 pm
Delia…..yet you still have internet?
Chris
March 11th, 2010
3:28 pm
i like how everybody’s solution is to cut teacher’s & gov’t employees. I agree that some trimming could go at the administrative level but most teachers don’t make very much. And no teachers aren’t paid for “holidays.” Teachers are contracted for 190 days of work and we get paid based on 190 days of work. That’s 180 day school year + 10 days planning (which before you suggest – those have already been eliminated via furloughs even though the state is technically contracted to pay them for 190- they’re not and the teachers aren’t challenging the “breach of contract” because they’re willing to do what’s necessary)
Anyway – I guess the point of my rant here is that the problem is 1) Property taxes revenues collapsing because of forclosures 2) Income tax revenues collapsing because of unemployment and 3) increased demand on gov’t services (unemployment, EBT, etc…) because of unemployment. If these are the problems how in the world does canning a bunch of workers fix it? It seems to me that canning teachers & other gov’t employees would simply add to the problem. More people would be on the unemployment rolls, more people couldn’t afford their homes then, and it becomes a snowball effect. And please stop waving around the battle cry of “we pay your salary with our tax dollars!” to gov’t workers like they don’t pay any taxes.
I agree that there should be some cutting done, but this can’t be the only solution. It has to be a creative combination of decreases in expenses and increases in income.
Retired
March 11th, 2010
3:31 pm
I worked for state government (GDOT) and we have employees who are so sorry, I don’t know how they ever got hired to begin with. You could get rid of about half of the employees that work for that state agency and save a lot of money and make the ones worth keeping more efficient. There is way to much waste their.
Chris
March 11th, 2010
3:32 pm
YOU LIE!! and you don’t know what you’re talking about. If you think state employees have “premium plan” health insurance, you are completely misguided. During the same time premiums have been going up, so have deductibles and copays and coverage is decreasing. I don’t know what you call “a few days” of furlough, but I’ve been taking furlough days since the beginning of last year. So now, not only haven’t I gotten a decent raise in YEARS, now my gross pay has decreased by 5 percent. And since they quit filling vacant positions around here a while ago, but job responsibility has increased.
And I don’t whine about it until I hear from some creep like you.
tipster
March 11th, 2010
3:46 pm
Well, Delia, if you are unemployed, according to Senator Bunning, it is because you are lazy! And yes, by all means, lets get rid of the police and fire departments – they don’t produce any revenue, right John?
By George I Know
March 11th, 2010
3:46 pm
I am a state employee also; why do you folks think we should bare the burden of balancing the budget on our shoulders? Increase taxes on groceries, cut the benefits of those just as able to work as I am, but would rather sit on their fat asses and let us (working folks) support them. I am currently being furloughed one day per month, my insurance premiums and copays have increased, I work 2 jobs totaling 70 hours per week and my wife also works a fulltime job just so we can make ends meet. Quit sitting around waiting on a handout and start supporting yourself. Also, there are about 8000 state employees at or near retirement; if the state would just go ahead and let us retire with what we have been working for all these years, just look how much money would be saved in salaries, because our retirement money comes from a different source than the salaries.
State Employee
March 11th, 2010
3:57 pm
BY gEORGE i Know…..because you are …..we all know every state job is created for votes on election day.
the job is not ours ……i remind my people every day…
time is up,,,i want a lean staff so we can use those resources left for good…
rosco
March 11th, 2010
3:57 pm
YOU LIE!!!,
Your name is appropriate. I’m not telling the unemployed to feel sorry for anyone. My point is that the idea that state workers haven’t felt this recession is utter bunk. As Chris points out, the facts (reduced pay, higher workloads, higher insurance premiums) simply don’t bear this out.
You seem to hate the government and think no government workers work hard. Why don’t you boycott it then? Just stop using the roads built by the DOT. Stop sending your children to public schools, colleges and universities. And don’t call 911 if your house is on fire or someone is breaking in on you. Don’t go to court if you have a business contract and the other party broke it. After all, these are all just run by government “leeches” that you don’t need right?
I’m for limited government and low taxes. But limited government doesn’t mean no government and no taxes. That is simply unrealistic. You extreme anti-government types whine about taxes and government waste, yet you use government services on a daily basis. Hypocrites! Please, grow up and face reality. These things are necessary. And they must be paid for through taxes.
Oh no, Rosco! Furloughs!!!!! The unemployment rate – if you include discouraged workers and underemployed workers – for the state is ~17% and you are going to tell them to feel sorry for state workers that have been furloughed a few days?!? And your health insurance rates are going up? OH NO!?!?! You mean your premium plan funded with the taxdollars of the private sectors hard work might be a little more expensive? You do realize that those 17% don’t have healthy insurance, right? Oh please. I wanna puke every time I hear a politician or government worker talk about how they know the hardships of the plebes. leeches
Time to Pay the Piper
March 11th, 2010
3:59 pm
1. Cut unnecessary Administrative jobs from Education, transportation, government
2. Make legal and tax marijuana instead of spending taxpayer money to put them through court and then feed them for years. (and I drink, not smoke but the money we spend on that is ridiculous)
3. Raise sales tax 2% – everybody needs to pay
4. Look into how many state senators or congress men/woman have stopped spending money on trips, dining, travel, etc.-vote them out if they didn’t tighten their belt a year ago.
5. Tell Sonny if he wants a fishing hole – finance it himself, not on the taxpayer’s dole.
Show the country this state can and will be progressive in how it handles a financial crunch. In 5 years, I want to see every other state look at Ga. and say – WOW – I wish we had done that.
BUT…it isn’t going to happen because the politicians are too afraid to increase taxes, even if the state they say they are taking care of depends on it’s survival for it. It’s called cutting your nose off to spite your face!
PJJ
March 11th, 2010
4:14 pm
My son works for the state, too and with his furloughs and not being able to get cost of living raise, there are many months we supplement their groceries (or buy gas for his car so he can get to work) and we are retired – on a fixed income – so that hurts us too.
benny
March 11th, 2010
4:20 pm
Cut government. DO NOT RAISE TAXES. I see nothing in the way of benefits and am sick of supporting others. I do have a cop friend that waid he was told no more warnings. Also, get strict on speed, window tint, etc. I have an idea. Why not tax stoopid. Oh, that way Sonny and the legislature would have to pay.
Waldo
March 11th, 2010
4:22 pm
Please! I don’t care what it’s called; user fee, sales tax, etc. No more taxes. You’ve already taken enough. Stop giving away the store to the teachers, state and town employees. Why do they get to retire in their ealry 50’s while we work until 66 to get social security. Let them wait like us.
G Cancryn
March 11th, 2010
4:25 pm
You know, I wouldn’t mind a tax increase, if I felt it would not be squandered.. These bureaucrats must take a pay cut. Some of these people are being paid far too much. We ALL must bite the bullet, not just teachers cops firemen and citizens.
G Cancryn
March 11th, 2010
4:25 pm
People don’t trust the government to do what is right. That is the main problem
By George I Know
March 11th, 2010
4:32 pm
YOU LIE!!!,
Roscoe is right, your name fits you well, and you are a hypocrite. I’m sure you enjoy things daily that if it weren’t for us lowly state employees wouldn’t be there for you to enjoy. I hate big government too, but I have to live by the rules they make the same as you do. So, don’t knock it till you’ve tried it; being a state employee ain’t all you and others think it is, we have our hardships and troubles the same as everyone else. I’ve been knocked around by state government and listened to people like you put us down for over 30 years, but I still do my job to the best of my ability, because I refuse to stoop to your level. Have a good day now.
Michael
March 11th, 2010
4:33 pm
Decriminalize marijuana and tax it. Let’s not kid ourselves – it’s being grown, bought, sold and used every day in our state, and is a multi-billion dollar industry. We shouldn’t have to pay for food and shelter for those caught with it. We shouldn’t sit back and let our schools wither while marijuana taxes would provide hundreds of millions of dollars in revenue.
It’s time to re-think our priorities.
alan
March 11th, 2010
4:36 pm
Okay, enough is enough. Why do we all think a state government can run a budget when personally, if our bugets are short, we have to INCREASE the amount of money coming in OR cut out anything not necessary. So, raising taxes or charging “fees”, all taxes. But here’s the bottom line, the good ‘ol boy way of doing politics in the city of Atlanta and in the state of Georiga has got to stop. These politicians are DESTROYING our state because of political ideology. RAISE OUR TAXES and get us out of this mess! We need to be able to PAY FOR WHAT WE SPEND – just like in our own budgets at home!
Ace
March 11th, 2010
4:36 pm
Church tax. Football Ticket tax. Stars & Bars on the Flag.
Action Man
March 11th, 2010
4:45 pm
The state is bound by law to balance the budget. So exactly who would be arrested if that didn’t happen? Perhaps accrual accounting could also be applied to the state budget.
Georgia Gal
March 11th, 2010
4:50 pm
Dear, Dick:
Your name fits.
PDiddy
March 11th, 2010
4:51 pm
Dear Georgia, PLEASE RAISE OUR TAXES. How are we supposed to have functioning schools, roads, transit, fire and police, parks, community centers, etc, if we dont pay taxes?
Simple solution: instead of making draconian cuts to all of these essential services, raise taxes so you can actually PAY for these services.
For all of you who oppose taxes, please stop driving on the streets the government has built, stop sending your kids to school, stop enjoying the parks the government provides, and please don’t complain if your house burns down or someone breaks into your car.
Georgia Gal
March 11th, 2010
4:55 pm
Sunday liquor sales? Well, of course…but only after 12PM.. Church crowd does not want us heathens getting in line at the liquor stores ahead of them. It’s just not right…here we are having fun and they are still sitting in church. (Adapted from a routine by stand up comedian Costaki Economopoulos)
Mike
March 11th, 2010
4:56 pm
Everythings going to up as federal, state and local governments find creative ways to screw us.
Just read an article about Ga Powers rates going up yet again>
JUST BECAUSE
March 11th, 2010
5:05 pm
There is so much waist in the government that if they took only 1/16 of it they could run a valid budget. Get the illegals off the welfare system, get the illegals out of the schools, get the illegals out of our hospital system and you will save billions each year. Of course those are the same people that have our jobs and dont pay one single cent in taxes. No wonder we are having such a crisis. Over 8 million illegals in this country and none of them pay taxes but they accept free services that the government gives freely via our tax money.
Now, its time for the following
social security should be private and taken away from federal government
government but out of our healthcare system
fair tax should be implemented immediately. Illegals will have to pay this and will increase revenue to the state but because they are illegal and should not be here anyway, they have no rights to programs alloted to the american people. IE assistance programs.
All children should have the right to be educated here but it should not be free for illegals kids. Their parents are here illegal and they should pay monthly fees for their childrens education. They want to get benefits, go home and apply to come back over. Otherwise they pay.
There, our problems are fixed and its not painful either except for the corruption and that needs term limits and the ability to throw politicians out of office with a special vote.
Wally
March 11th, 2010
5:07 pm
Cast your gaze upon the Department of Corrections where the real money is squandered. Prison beds should be reserved for the truly violent and the incorrigible. There are literally tens of thousands of persons in prison who don’t need to be there. How would you like to get up every morning and have 60,000 hungry mouths to feed? Flush the system – save money!
By George I Know
March 11th, 2010
5:13 pm
Just Because.
I agree with you 100%. Fair Tax is the way to go.
Jane Capps
March 11th, 2010
5:25 pm
Busox and your ilk–you are absolutely right. No one is entitled to his or her job. Get ready. When I get laid off, I’m coming for your job. More over.
Spit on government employees all you want, but don’t whine when your kid can’t read, no cop comes when you call, and the doctor you go to got his education online from a financially gutted state medical school. Hey, don’t complain when the bridge you are driving on collapses under you.
When the going gets tough–the legislature needs to find its back bone. Add a 2 cents sales on everything except medicine. Look for ways to collect taxes from those who do not pay–as in corporations that promised jobs and never delivered. Why not explore a flat tax at a reasonable rate to replace the state tax? If you work, you pay a flat tax, and that’s it–no more sales tax or hidden tax or tax of the week. Let’s get creative! We elected the legislature to lead–not whine. Get busy!! If we want quality services, we will have to pay for them.
publish the state budget
March 11th, 2010
5:25 pm
Pdiddy – Problem is, they already tax the working citizens of GA like crazy. Our neighboring states to the north and south don’t even have income taxes, but we sure do. Between federal, state, property, sales, fees, etc. over half of a typical middle class persons money goes right back to the government. You think half isn’t enough?
Just Because – I agree 100% that illegal immigrants are the largest drain on our budget that nobody’s doing anything about. Overcrowded classroom issue? Not as big an issue once illegals are sold a seat or sent home.
Georgia Gal
March 11th, 2010
5:33 pm
Dear “Just Because”:
Blah…blah..blah… Can you come up with just one ORIGINAL suggestion?
Willie Nelson
March 11th, 2010
5:41 pm
Legalize weed and tax it. And if one more person tries to tell me, a pothead of 6 years, that weed is gateway drug, I might snap. I have never done anything harder and my friends haven’t either.
Willie Nelson
March 11th, 2010
5:43 pm
Oh, and I’m not a bum like many of you will undoubtedly suggest. I graduated from a top 20 university, on scholarship I might add, have a great job now (that doesn’t test clearly), and volunteer regularly on weekends. I am NOT something to be afraid of and neither is weed.
VoiceOfReason
March 11th, 2010
6:21 pm
I would like to present a more sensible approach to solving Georgia’s budget problem, based on putting a halt to the perpetual cycle of job loss and the downward economic spiral that results. I don’t think a lot of people realize this: The largest employer in the State of Georgia is, by far, the state itself. In one capacity or another, more than 150,000 people are employed by Georgia (according to the state’s web site). I am not about to debate whether that is a good thing or a bad thing. I am just stating a fact. By and large, that population lives in daily fear of their position being eliminated. As a result, they behave in a manner that makes the situation much worse, even self-fulfilling. People in fear of income loss don’t spend as much, and don’t contribute as much back to the economy. They don’t purchase the new home they could otherwise afford, even though rates are at all-time lows. They don’t replace the aging auto in their driveway as frequently. They don’t travel on Delta as much. They don’t purchase as much from Georgia-based companies like Home Depot. Consumer spending is at the core of ALL economic growth. Granted – many in the private sector also live with the same level of anxiety – but – when a single employer the size of the state announces its intent to make massive cuts involving the existing workforce, the aggregate impact causes behavioral changes on a large scale that ripple through the economic fiber of society and stifle recovery. People stop spending. More businesses fail, causing more job loss, less consumer spending, less tax revenue, etc.
To break this cycle, one has to think beyond the need for an immediate fix, and avoid hitting the panic button. Cutting jobs, any jobs, is *not going to help* now. Rather than cutting state positions, I would propose that a temporary multi-year moratorium on the elimination of state positions be put in place, in conjunction with a temporary hiring freeze, periodic global furloughs, deep spending cuts, and postponement, or even elimination of non-essential projects. Temporary increases in taxes and fees can help make up for any remaining deficiency during the time this initiative is in place.
To clarify – I am in no way suggesting that people can’t be terminated. Where there is cause, they can and should be. It simply means that their position won’t be eliminated for reasons related to budgetary constraints over a reasonable period of time. I am also not suggesting that the State should be a jobs program. This is an interim solution meant to balance the budget, stimulate the economy and cut spending in a sensible manner. One year isn’t going to be sufficient. Three to five is probably more along the lines of what will be required for any meaningful recovery because the effect of a shift in the economy takes about 2 years to be realized in the state’s coffers.
The goal is simple. Give people the confidence that it’s safe to start to do the things they would be doing in a more stable environment, and it will turn this economy around – quickly. People will start to spend again. Once recovery takes hold, this program can be phased out, and the state can go back and re-assess the situation as appropriate.
One politician with a GED-level education (Karen Handel) has proposed massive job elimination. That’s an over-simplified solution and a formula for disaster over the long run. It only feeds the beast. The best analogy that I can think of is how a pilot recovers from a stall. The natural reaction is to pull the nose of the plane up, but that’s exactly what you don’t want to do. Despite the fact that the nose of the plane is down, the pilot has to push the stick forward to regain control. Just as recovering from an aerodynamic stall takes training and prowess, recovery from an economic stall requires insight and careful planning. But it can be done.
Hey, it's Enrico Pallazzo!
March 11th, 2010
7:02 pm
Maybe it is time we redraw the county maps in GA. We have 159 counties, the second most in the country (Texas 254). Think of what the reduction of redundancy this antiquated system would do to help alleviate a lot of the budget issues facing our state. Cut the number to 60 and you can reduce the number of county seats by 3/5ths. It would combine government, sheriff depts, school systems, etc. The census is coming out this year, it is a perfect time to redraw the maps. It won’t help this year but it will save money in the future. Just a thought.
Mike
March 11th, 2010
7:05 pm
Alcohol is far worse than weed!!!!!!!!!!!!!!!!
OnceUponATime
March 11th, 2010
7:07 pm
Cutting the number of counties would reduce governmental expenses quite a bit in our state. I’m surprised that The Party of Smaller Government hasn’t thought of it yet.
Can’t understand why Sonny wants to tax hospitals but not cigarettes. And has he cut the horse barn, the little league park, Go Fish!, and the golf, sports, music, etc. halls of fame out of the budget yet? Do we REALLY need those more than we need schools and the state patrol?
Basic Fact Checking.
March 11th, 2010
10:07 pm
Roscoe,
Your statement alone about boycotting government like using the roads built by the DOT is so typical of Government thinking…Lets get to the Facts.
The GDOT did NOT build that road….the tax payers built that road. It was the GDOT’s responsibility to get it built with money that came from private citizens who purchased gasoline, bought appliances, purchased airline tickets, and paid their state and federal taxes. The roads were built using money created from PRIVATE Businesses that paid corporate taxes…those same people and businesses paid your salary and provide you with those benefits you are complaining about.
Before ANY Government Employee complains about not making enough money, a furlough, losing benefits, or now the GOOD possiblity of being laid off, think about who afforded you the PRIVILEDGE to take home a check twice a month and who pays for you to go out and so call inspect or direct a Business owner and their employees in how to do a job that more than likely you have never done.
Government Employeee always say : Do you want to do without Police, Fire or Teachers? Lets get this straight…those are the only persons who are under paid and underappreciated on the state level.
Do not go there….that has nothing to do with the GDOT or any of the other agencies who grew to massive levels from 1982- to present.
Not all, but many State Employees never have to worry about a budget or delivery of goods, they never have to go out and find work for their employees, or fill out thousands of pages of documents to insure the licenses and fees are correct and prove they are to some state employee.
The mentality of State Employees is do whatever we can do to save our jobs.
Many Posters on this blog continually write to eliminate the Administration jobs and others..that is fine ..however…if a State is down 5 billion dollars in revenue from 2 years ago….I have one question…and I know the answer so the B.S meter is “ON” . What are the employees doing with about 45 percent less work being serviced? I can tell you …..nothing ….employees are still managing the same staffs and doing about 2/3 of the work from previous years.
No Buisness or Enterprise can survive without cutting staffing from top to bottom.
Do not even go into the argument that those LAYOFF people will not pay taxes, or any other Pseudo argument that does not hold water.
When government employees too many as the State does now and as D.C does now it soon becomes a socialist government……taking more from the producers by force and giving it to others who were not smart enough, educated enough, or did not think out their life plan well enough and now are pigeon holed into a dead end government career…
Realist
March 12th, 2010
12:13 pm
I never thought I would say this but some type of tax increase is going to be necessary. In this instance I do not believe that the state government can continue to be cut without basic services that are essential to the people of the state being severely sacrificed. I have come to the conclusion that just saying that there is waste in state government that can be cut has run its course. I really think that we have finally hit the wall and are in need of more revenue. Every citizen hates to hear this but unfortunately I think it is true. However, that being said, when the recovery starts we cannot go back to the old ways of doing business. We must build adequate reserves AND determine exactly what the core function of state government is and make sure those functions are protected, even to the exclusion of other popular programs.
Small businessman
March 12th, 2010
12:22 pm
Basic Fact Checking:
Your post simply rails about government employees of which you know little I am afraid. Government employees are convenient whipping boys for frustrated taxpayers and have been for years the butt of many jokes. I have done my share of it. However, a lot of the services that you depend on to keep your operations running are performed by state and local government employees. I am afraid that often times we just take for granted that these things will be in place when we come in in the mornings and open for business.
km
March 12th, 2010
12:28 pm
Reducing the number of counties in this state makes more sense than anything else mentioned. But, do you actually think that will happen. NO!!!!!!!!!!!!!! That would be political suicide. However, to me the legislators that voted for this would ALWAYSperson that voted the majority of elected officials don’t have the intestinal fortitude to do the right thing for the people knowing they would not be re-elected. To me, that is the test of leadership–doing the right thing for the people when it is not the
km
March 12th, 2010
12:37 pm
Sorry, hit “enter” by mistake. Correction below:
Reducing the number of counties in this state makes more sense than anything else mentioned. But, do you actually think that will happen. NO!!!!!!!!!!!!!! That would be political suicide because of the “cut someone else, not me” attitude. However, to me the legislators that voted for this would ALWAYS get my vote. The majority of elected officials don’t have the intestinal fortitude to do the right thing for the people knowing they would not be re-elected. To me, the true test of leadership is the will and action to do the right thing for the people when it is not in one’s best political interest.
I just saw candidate for Governor John Oxendine on TV supposedly promoting changing the batteries in your smoke alarm when the time changes. All he is doing is campaigning on our tax dollars. Enough of this. Pray that competent leaders will actually qualify to run for offices next month…and for God’s sake, please vote for them.
God help us
March 12th, 2010
2:30 pm
Do you know the best part of internet comments? We get to see uneducated, emotional, partisan morons slaughtering their native language. Punctuation, grammar, sentence structure – yes, we really need more educational budget cuts…
Learn to spell
March 12th, 2010
6:47 pm
Jeff Yoder, please learn the proper use of there and their.
Yvonne
March 12th, 2010
10:34 pm
Between furlough days, increased property taxes and just pure fear of what will happen next I would have paid a whole lot less if my state income taxes just went up 1%, that would have cost me about $500 more, now I have lost thousands instead. We need to have a fee or whatever on cigarettes, alcohol, sodas and candy…all should go to the state’s medicare bill. A lot of the users of these need to pay a few pennies toward their future medicare or indigent care for cancer, DUI, diabetes etc…We need .25 on every sports ticket for the Sports Hall of Fame costs, the same for concert tickets for Music Hall of Fame…Let the users help pay for those costs. Our tax code is antiquated, lots of sales tax is lost to online Internet and catalog sales. The state has got to wise up, the old methods don’t work anymore. These so called conservatives have cost me way more than the bunch that was in charge before them and I won’t vote for any of them.
Coming Soon
March 13th, 2010
9:10 am
the copy and paste resume from Fact Checker
Flint River Rat
March 13th, 2010
12:01 pm
OK Legislature………Propose an early retirement incentive to those state employees that are near retirement. Save taxpayer and personal services dollars by freezing hiring and making organizational changes to still accomplish core missions.
State employees for the most part are dedicated workers who earn the salaries that they draw. There are some who need to be fired because they do not produce or do their jobs. Managers and supervisors need to fire these employees.
The taxpayers including state employees who pay taxes get a hell of a return on their dollar.
I am one of “those” state employees near retirement (under 10 months) that would gladly retire if the legislature would make an offer.
Flint River Rat
March 13th, 2010
12:05 pm
To basic fact checking… You say that GDOT grew to high employee levels from 1982 on. For the record GDOT had 5078 employees as of Thursday afternoon. GDOT had over 9000 employees in the 1970’s and has been reducing that number since then. Know your facts before spewing your mouth.
@River Rat
March 13th, 2010
2:30 pm
You are gonna stir up Fact Skewer. He’ll be on here soon to tell us all how we owe our existence to the fact that he pays taxes just like the rest of us Georgians.
L
March 13th, 2010
4:44 pm
I left the University of Georgia after 15 years of tenured faculty status. By the time I left, no raises (not automatic for faculty; dean takes 2% of the total raise pool for his expenses and remainder, if any, is left to distribute among faculty; all staff get the full raise) had been the norm for the last 4 years. My health insurance premiums were increased 30% a year, and increases were twice per year the last two years. I made less, in real $, than the newest hires in my department, by about $15000 per year. I had earned more than $1 million in grants, was internationally known for my research, taught hundreds of Georgia undergrads, had graduate students winning national research awards and getting prestigious jobs. When I had another offer, I was told that anyone could do my job. I now work for $45,000 more than the university would pay me, have better benefits, and better retirement, and don’t have to listen to anti-intellectual bean-heads like Georgia’s legislators because I moved to a state known for its top public K-12 education (yep, have to pay taxes to get this!), and three of the top 20 public universities in the nation. I can’t see how Georgia’s education can go anywhere but down. All of you will suffer because uneducated populace = more crime + less industry + more welfare + more of every social problem you can think of that costs taxpayer money. I have traveled extensively in developing countries, and Georgia’s K-12 education ranks below every place I’ve ever lived or visited.
Basic Fact Checking
March 14th, 2010
1:08 am
The truth hurts…..note none of the comments above spoke directly to any true statement.
Lets start…
Every Job…that is paid by the state of Georgia IS due to tax payers like me…and many many others…..
I did not stay the GDOT had more staffing today than they did in 1982…..the truth is in 1995 and 1996 including Full Time and Part Time Employees the DOT did have over 9000 employees..many whom had retired and returned to the Department for short term and extended term employment….that comment was directly related to the education, IT and Human and Health Services…
At No Time can any of these posters understand that the Private side of Business is multiple times more effective than Government. The main reason why is there ARE result driven demands on the private sector or a replacement will be IMMEDIATELY made by another company standing in line behind them.
If you went to work for the government and are complaining about your pay, health care coverage or benefits…look around you….you are in the single most job secure program in your neighborhood…..
Those are the facts and arguing with State or Federal Employees is useless…the l.Q levels are not high enough unless you are working in the University system…..
True Statement
March 14th, 2010
7:15 am
“What are the employees doing with about 45 percent less work being serviced? I can tell you …..nothing ….employees are still managing the same staffs and doing about 2/3 of the work from previous years.” FALSE
“For the record GDOT had 5078 employees as of Thursday afternoon.” TRUE
Basic Fact Checking
March 14th, 2010
6:03 pm
True Statement: How can ANYONE be doing the same amount of work with 45% less money allocated for work? The truth is the GDOT budget has been reduced for actual work as per inflation cost. The direct relation is that No One in the department has done anything close to the amount of work completed in 2005-2006-2007.
Asphalt crews- placing 50% less asphalt on roadways than in 2008. Now assigned to Rest Area clean up duty….as they have been for the past 16 months.
Sign Crews: assigned various minimal task since November 2008
Routine Maintenance crews: only ESSENTIAL cleanup and repairs and removal of 9 crews throughout the state and personnel reassigned to vacant positions
Lab: Field activities such as testing compaction, asphalt and concrete as been reduced by 50% due to cut backs in projects and activities handed over to Contractors who are now held to warranties and responsibilities.
OEM: Mininimal Vehicle and Equipment replacements. Reduction in the inventory of equipment statewide.
Planning: With fewer funds available, reduction of activities and engineering studies.
Fewer private developments mean less planning needs.
We could go on on…..you are helping state my case…..
45% LESS Money and still over 5000 employees in agency that only requires a GED for over 50% of the positions held currently….
Gov Bubba
March 15th, 2010
1:55 pm
I’d like to know why Bubba was holding on to $350 million in federal stimulus funds that were intended to spent NOW to help the economy. I wonder how many Repub Gov’s are doing the same? Repubs have been saying the stimulus didn’t work? Hide the money until after the elections so it will look like stimulus didn’t help the economy.
These people are dirty lying B*stards!
Anyone else see a pattern… « Left on Lanier
March 19th, 2010
8:10 am
[...] They are borrowing it from next year. Proposed deficit for next fiscal year: 2.5 billion dollars. That is billion with a B or nine zeros for you private and home school students. [...]
state worker
April 17th, 2010
11:09 pm
retired You can KISS
state worker
April 17th, 2010
11:12 pm
Retired, you can KISS my you no what!!!!!!!!!!!!!!!!!!!!!!!!!!!!