Video: The coming collapse in the state budgets
posted at 9:30 am on December 20, 2010 by Ed Morrissey
While you’re watching this excellent 60 Minutes story on the coming implosion in state governments, remember one key statement about halfway through this from Steve Kroft: the Great Recession didn’t cause this budget insanity, it merely exposed it. The overspending has been going on for decades, especially in places like Illinois, California, and New Jersey, as well as ridiculous union contracts that have California spending more on its public employees than it does on the entire state-owned public university systems it operates. Illinois has gotten so bad that landlords are evicting legislators from their business offices and police officers attempting to put gas in the tanks of their patrol cars have their state credit cards declined at the pump.
Chris Christie makes it clear when discussing the rail project he had to cancel. “We don’t have the money,” Christie explains, “we literally don’t have the money.” He’s not the only one, either (via The Right Scoop):
The “ride to the rescue” in Porkulus didn’t produce any improvement in behavior. Instead of either facing the music and making cuts in expenditures — especially in reducing bureaucracies — the states used the Porkulus bloc-grant funding to paper over their budget gaps and punt on the hard decisions. The federal government shouldn’t have borrowed money to provide that fig leaf the first time, and they won’t get an opportunity for Round 2 fig-leafism with a GOP House.
That leaves the states on their own to do what they should have done years ago — cut spending and press for pension reform in the public-union contracts. Will the states finally take control of their budgets? If they don’t, prepare for another collapse in the banking sector.
Blowback
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This is exactly why my wife and I both gave up successful businesses in California and moved out of state while we had something left to take with us.
Keemo on December 20, 2010 at 9:34 AM
Lady Lindsey is ready to make the hard decisions. /s
I wouldn’t count on this Ed after the monumental collapse on the misnamed food safety bill last night. 1 – 10 odds they pass a minibus bill for next year to get out of town this week.
chemman on December 20, 2010 at 9:36 AM
This story shouldve ran before elections not month after. Would have destroyed.dems even more so.
jp on December 20, 2010 at 9:37 AM
Porkulus also had the Buy America Bonds funding, in which the feds picked up the tab for the interest payments on state and local bonds. This is now ending. I think the Omnibus might have extended that, but the Omnibus went down.
Wethal on December 20, 2010 at 9:37 AM
Living in Illinois (just outside of Chicago) this video is SPOT ON. We are just out of fiscal control, and quite frankly… I hope we do go bust! Why? Because we need to, once and for all, reach a BOTTOM to this financial misery, and we simply will not be able to do that until states like IL implode.
Indy82 on December 20, 2010 at 9:38 AM
The sooner it all collapses the better….
PatriotRider on December 20, 2010 at 9:39 AM
After watching the Steelers blow it yesterday, I found myself sticking around to watch 60 Minutes just because of the Christie interview.
It’s scary knowing how close to the edge we are, all because of politicians and the shiite they have foisted on us for decades. The self-correct is coming and a lot of unprepared people will be in for a life-altering shock.
Bishop on December 20, 2010 at 9:40 AM
And that CA university system has a pension scheme that is 21 billion in the hole. 21 billion. that’s bigger than the entire annual state budgets for all but the largest 8-10 states.
And CA is trying to raise the university retirement age from 50-55 for partial benefits and 60-65 for full benefits. Too little too late, progressives.
forest on December 20, 2010 at 9:40 AM
I just finished watching this over at RCP. Scary stuff. I mean, we’ve all known on here that states like Illinois were in the financial crapper, but I didn’t realize it was THAT bad. Who the hell would wanna do business there knowing they’d potentially be forced to mortgage everything while waiting indefinitely for payments they were owed eons ago?
Doughboy on December 20, 2010 at 9:41 AM
Agree with ya there JP
Not one single dime more, sorry
cmsinaz on December 20, 2010 at 9:42 AM
IMO, the statement that really sums up this mess is that Porkulus (and the corruption and disgusting behavior of Obama and his administration)allowed states to kick the can down the road.
This state is in serious trouble and I know we are far from the worst. The battle cry here remains “More Taxes” even as as the totals from the last increase, initiated less than a year ago, brought in totals 50 million less than predicted.
Here, it is a retirement system called PERS. The state pays into it. Not only can we not afford it, the state requested recently a chunk of money (that we don’t have) to pay the people managing the PERS accounts (which have lost money) their end of the year bonuses. The argument being that if this handfull of people don’t get their pot of gold they’ll leave.
You just can’t make this sh** up.
ORconservative on December 20, 2010 at 9:42 AM
Ohio is about to be hard hit too. And it’s not so much that there’s a fat vs. meat vs. bone issue as it is that we have to decide what we want government to do. And at what level.
rbj on December 20, 2010 at 9:42 AM
Hopenchange … it’s working.
Bruce MacMahon on December 20, 2010 at 9:43 AM
Gov Christie is sure sounding Presidential.
hawkman on December 20, 2010 at 9:44 AM
Time for the union to suck it up just like the test of us…..no more kowtowing to them
cmsinaz on December 20, 2010 at 9:44 AM
California has more illegals than government employees. Both have helped make Ca. a third world country.
repvoter on December 20, 2010 at 9:44 AM
Test – rest
cmsinaz on December 20, 2010 at 9:45 AM
Initially, I was skeptical when I heard my local (FL, central, east coast) politicians tell me that they were cutting spending, thinning the workforce, and reducing public sector pay until I started asking people who work (and worked) for our city and county offices.
The folks left to handle the remaining jobs have seen their pay cut by as much as $5/hr.!!!
VibrioCocci on December 20, 2010 at 9:47 AM
My biggest fear is the GOP buckling on the budget and bailing out these spend thrift states proving there are no consequences for bad behavior.
I’m sure Reid will have bailout money on the Sentate side so this is coming to a lagerhead.
WisRich on December 20, 2010 at 9:47 AM
On the bright side, when the government cheese truck rolls up to your local Obamaville to toss out slabs to the rioting, desperate crowds, you can rest assured that the newly created Food Safety Police have guaranteed its quality.
Bishop on December 20, 2010 at 9:47 AM
Yeah, he’d give Obama one hell of a hard time in a primary.
wheelgun on December 20, 2010 at 9:50 AM
NightMarish,I cannot phathom what the cost,or Bailout
would amount to,for various States!
canopfor on December 20, 2010 at 9:50 AM
if the Great Recession exposed it, then Porkulus tried to cover it back up.
The Right Scoop on December 20, 2010 at 9:52 AM
It’s a little early to start drinking …
ya2daup on December 20, 2010 at 9:52 AM
If only those bastard rich people would just give all of their money to the politicians that kept spending and spending and spending far beyond their means for the common good, this never would have happened.
Good Lt on December 20, 2010 at 9:53 AM
U.S. state pension funds have $1 trillion shortfall: Pew
Reuters) – U.S. states face a total shortfall of at least $1 trillion in their funds for employees’ pensions and retirement benefits, and their financial problems are quickly mounting, according to a report released by the Pew Center on the States on Thursday.
http://www.reuters.com/article/idUSTRE61H13X20100218
canopfor on December 20, 2010 at 9:53 AM
We NEED to hit bottom. Hard.
pugwriter on December 20, 2010 at 9:55 AM
Yet the unions want more, more, more, more and more.
At this point unions should be outlawed.
darwin on December 20, 2010 at 9:55 AM
How can an already dead sector collapse? With GOP complicity, the banks are hiding massive losses via the same accounting methods employed by Enron. The banks may be bonusing themselves big bucks, but they are just as insolvent as the states.
flyfisher on December 20, 2010 at 9:55 AM
Municipal governments are crowing at their respective states about mismanagement of state budgets, all the while raking in state and federal dollars and blowing millions upon millions in stupid redevelopment projects, “renewable energy,” and every re-election trinket you can point a finger at.
Municipal governments are the petri dishes from which state and federal politicians are grown.
pugwriter on December 20, 2010 at 9:59 AM
Obama: Let’s take the working examples of my home state of Illinois and California and duplicate it to the National Level.
cntrlfrk on December 20, 2010 at 9:59 AM
States Continue to Feel Recession’s Impact
==========================================
The worst recession since the 1930s has caused the steepest decline in state tax receipts on record. State tax collections, adjusted for inflation, are now 12 percent below pre-recession levels[1], while the need for state-funded services has not declined. As a result, even after making very deep spending cuts over the last two years, states continue to face large budget gaps. At least 46 states struggled to close shortfalls when adopting budgets for the current fiscal year (FY 2011, which began July 1 in most states). These came on top of the large shortfalls that 48 states faced in fiscal years 2009 and 2010. States will continue to struggle to find the revenue needed to support critical public services for a number of years, threatening hundreds of thousands of jobs. States face:
————————————————
TABLE 1:
Gaps States Have Faced in FY2011
All 50 States Shortfalls
The Consequences of Shortfalls
TABLE 4:
Total FY2010 Budget Gaps
==========================================
Tables/Graphs
http://www.cbpp.org/cms/?fa=view&id=711
canopfor on December 20, 2010 at 9:59 AM
Unions are a fiscal terminal illness.
Hening on December 20, 2010 at 10:01 AM
A Perfect Financial Storm is Brewing,and
boy’o,are there going to be a lot of finger
pointing!!
canopfor on December 20, 2010 at 10:02 AM
All this will be rectified when the FCC takes over the internet. Stories like this one, which only serve to stir up the unwashed masses, won’t be allowed.
Oldnuke on December 20, 2010 at 10:02 AM
Wonder why Steve Kroft didn’t mention the fact that California, Illinois and NJ have mainly been under the control of Dem’s and UNIONS….
You know that Obama will bail out Illinois.
reshas1 on December 20, 2010 at 10:04 AM
I’m sure Reid will have bailout money on the Sentate side so this is coming to a lagerhead.
WisRich on December 20, 2010 at 9:47 AM
Yea, it might be early but we’re all going need one before this is over. But for now, lets go with loggerhead.
WisRich on December 20, 2010 at 10:04 AM
IL has double the budget shortfall of CA relative to their total budget (40% versus 20%).
And to think the voters of America choose someone to run the federal government that comes from this dysfunctional state.
WashJeff on December 20, 2010 at 10:05 AM
Sooooooooooooooooo much for Hopey’s SHOVEL READY PROJECT
SCAM!!
That stimulus cash got done spent,and nobody has a clue
as to where it went!!
!!!!!!!!!!!!!!!!!!!INSANITY!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
But hey,$1 Trillion Omnibus Bill…MMM…MMM…MMM(sarc).
canopfor on December 20, 2010 at 10:05 AM
Yup. Particularly “public service unions”. There’s no reason why government employees should be permitted to collude. And that’s what it is – collusion – for the purpose of fleecing the private sector.
Jerry Brown signed the law setting off this scam years ago, and it’s worked out so well, they elected him again.
If we end up bailing CA out after that slap in the face, I’m gonna have a conniption.
forest on December 20, 2010 at 10:05 AM
I’m glad there were not one, but TWO Katie Couric spots in that video.
Because, you know, when I want the long and skinny on what’s happening out there, the first person whose “take” on it I run to is the former Today Show reporterette who managed to take the vaunted CBS evening news slot from bad to comically unwatchable.
FAIL.
Good Lt on December 20, 2010 at 10:06 AM
Spot on. It’s not like its some big mystery but come on, you didn’t expect Kroft to go Full Monty in exposing the Dems and Unions did you?
WisRich on December 20, 2010 at 10:07 AM
Test – rest
cmsinaz on December 20, 2010 at 9:45 AM
cmsinaz:”THIS IS THE TOWER”,you going to land,
or should the USS Hot Air get the Search
Helicopter fired up!———–(sarc):)
canopfor on December 20, 2010 at 10:08 AM
Alright! ‘Gubmint’ employee unions at their best? or maybe worst!
I live in NJ and the dem lock on the legislature is unbelievable. When the state of NJ and the federal ‘gubmint’ can’t deliver to the recipient moocher class, we are going to see rioting in the urban areas. When they start saying “Where’s my check and its not enough anyway? They will take it from somewhere because “we” the producers “owe” it to them. If you don’t believe me, just ask a liberal.
If you live or work in an urban area, WATCH OUT!
belad on December 20, 2010 at 10:09 AM
Christie and Meredith Whitney are right. If the GOP focuses on this issue it can take back the White House. When the day of reckoning hits, the municipal unions need to be reformed. Any other solution misses the mark.
dedalus on December 20, 2010 at 10:11 AM
Ditto, I left one business in operation in Ca for about 5 years, finally closed it down, and 36 people out of a job…not because it wasn’t a viable business, because taxes and regulations drove it under. Cheaper to close and open somewhere else.
Other two businesses I sold in Ca before the disaster and those poor souls are barely hanging on…not because they are not excellent business people, but taxes and regulations (state, county, city) is devastating.
The people of CA are fools, imagine electing Boxer and Brown during this time…
right2bright on December 20, 2010 at 10:13 AM
Excellent piece, except near the end when the voice-over blames Christie and his “predecessors” for deficit spending 13 of the last 17 yrs.
UHHHHHH.
artist on December 20, 2010 at 10:14 AM
canopfor on December 20, 2010 at 9:59 AM
=====================
And to think the voters of America choose someone to run the federal government that comes from this dysfunctional state.
WashJeff on December 20, 2010 at 10:05 AM
WashJeff:Good point.This caught my eye,I bet there is some
fancy Liberal math going on!
======================================================
Fig.#2
State Shortfalls After Use Of Recovery Act Funds!
*************************************************
http://www.cbpp.org/cms/?fa=view&id=711
canopfor on December 20, 2010 at 10:15 AM
Palin wrote about this on December 6. She also explained the actions she took to solve Alaska’s problems regarding pensions.
She also talked with Tom Sullivan at FBN last week about this problem.
If only she could follow Krauthammer’s advice and talk about issues. s/
NoNails on December 20, 2010 at 10:16 AM
My heart breaks for my friends and family who are sticking it out on the left coast, but they are about to learn some hard lessons about putting all of your eggs in the governments basket. I feel really bad for anyone vested in a CA state pension. The unions have screwed you.
CantCureStupid on December 20, 2010 at 10:16 AM
One thing I never see on HotAir is info about “Right to Work” states, usually red states, versus union states, usually blue. How about it, HA?
visions on December 20, 2010 at 10:19 AM
Need to get as many Senators, Congressman, Governors, Legislators, “Experts” and members of the media on record as soon as possible.
The “I had no idea.” response should not protect them like it did in the last “crisis”. Even though for years people TRIED to testify in front of congress about Fannie and Freddie.
barnone on December 20, 2010 at 10:21 AM
I saw this last night, and I noticed this too. WTF? Christie has been in office a year, and at most he would have punted on one of the 13 years of noncontributions to the state’s pension fund. Which governors accounted for the other 12 and what was their party affiliation? Seems to me a Democrat named Corzine was governor for the past eight years. Before that, I forget, but I think squishy Whitman was governor. Why not flesh out this significant detail?
One other painfully obvious omission is the party affiliation of Illinois governmental officials. Haven’t Dems controlled the legislature or the governor’s mansion, or both, for years? Crickets. Same omission for California and for Michigan.
Sadly, CBS couldn’t bring itself to pull that trigger.
BuckeyeSam on December 20, 2010 at 10:21 AM
The federal government has no money to bail itself out much less California. Of course that won’tstop them from trying.
But hey, you know if they injected some sense into the communist democrats running California they do stuff like allow irrigation of the Central Valley again, kill all the nonsensical “global warming” regulation, cut business taxes, personal taxes and stop giving illegals jobs and benefits.
Of course that’s after they deal with the unions.
darwin on December 20, 2010 at 10:24 AM
Hey, how about the Stossel program this past few days on Fox: Top Ten Lies of Politicians?
It was excellent, and it deserves some echoing. Indeed, every member of Congress should be required to watch it in a room full of random townhall attendees.
BuckeyeSam on December 20, 2010 at 10:26 AM
Probably one of the best 60 Minutes interviews in a long time. I would have liked them to point out how the numbers of public employees has exploded upward in the past few decades. However, for a program with a decidedly big spending, liberal audience this has to be a wake up.
jpmn on December 20, 2010 at 10:27 AM
There are several collapses brewing and our retread governor elect is talking about expanding early childhood programs, I’m not kidding.
This weekend, I caught that Capitalist Pig guy on Fox talking about the finanical situation and his answer was that if everyone just pays their mortgage all will be well. WTF.
The banks and the government (state and federal) are playing a neverending shell game. Until they are forced to deal with reality their shell game will continue.
ORconservative on December 20, 2010 at 10:27 AM
As with any governmental organization, they are all afraid to cut first for fear of losing more money than those who don’t cut or cut much later.
J_Crater on December 20, 2010 at 10:28 AM
I have dozens of family members still in Ca.; all of whom are small business owners. I can’t tell you how everyone of these people called my wife and I every kind of stupid for doing what we did back in 06. Now, they all voted against Brown and Boxer (most of them are life long Democrats)because they are hanging on by a thread and wanted real change in the worst of ways. Unfortunately, Liberals drove right thinking businesses out of that state long ago, taking hundreds of thousands of Republican voters with them. The unions control the vote in Ca. now; there is no hope for them until they hit rock bottom.
Keemo on December 20, 2010 at 10:29 AM
Illinois is dark blue through and through, but there have been some GOP governors, like the POS George Ryan, currently behind bars.
visions on December 20, 2010 at 10:30 AM
Talking about pension timebomb on Fox now
cntrlfrk on December 20, 2010 at 10:32 AM
The tough part of this
Will be to act surprised when
TSHTF.
Haiku Guy on December 20, 2010 at 10:36 AM
Ugh… all the awfulness about IL (that everyone in IL knows about). It’s horrible and frankly why I’m angry that Quinn won.
Illinidiva on December 20, 2010 at 10:36 AM
Geography-wise, IL is red. Unfortunately, we have two sizable urban centers that are dark blue and easily dictate state-wide elections. IL had GOP govs for most of my life (1978 – 2002). GOP has one serious scandle and is permantly tarred, Dems have a scandle, rolls right off them.
WashJeff on December 20, 2010 at 10:38 AM
Last effective governor of IL was Edgar in the 1990s. He’s a moderate, but he made lots of hard decisions about balancing the budget and cutting spending.
Illinidiva on December 20, 2010 at 10:38 AM
Meanwhile, the feds blow money on fraudulent claim settlements with black “farmers.”
http://biggovernment.com/lstranahan/2010/12/19/pigford-video-blockbuster-key-black-farmers-lawyer-admits-clients-got-away-with-murder/
BuckeyeSam on December 20, 2010 at 10:43 AM
Let’s see…….
New Jersey, California, Illinois, New York…….
They’re all blue states. Wonder why?
BacaDog on December 20, 2010 at 10:51 AM
TX is in pretty good shape (I think…), but Dallas, with all its high-fallutin’, hoity-toity ways and expensive glamour projects (that are financed with bond debt: 30% of our current city income goes to service that debt), may be headed down this road soon.
They just raised property taxes again to “keep the parks clean and libraries and rec centers open.”
Of course, police got cut back and our potholes aren’t fixed.
Then there’s our lovely school district that “lost” $60 million last year and they had to lay off teachers.
If you’ve seen that money, let us know.
No one can find it.
(BTW, Chris Christie is teh awesome!)
Jenfidel on December 20, 2010 at 11:07 AM
If you wonder how a state with so much tax revenue can be bankrupt, as the State of Illinois is, then simply consider this.
Laura Murray, the recently retired Superintendent of Homewood-Flossmoor High School (my district) is being paid $19,907 per month to lounge by her pool in Barbados, or wherever. This number will go up every single year of her life, unless Illinois declares bankruptcy (please!) and defaults on these idiotic agreements and forces a restructuring.
There are over 3,600 retirees from Illinois education and government who will receive over $100,000 per year in retirement. Such a pension does not exist outside of government.
Does anyone think that the brightest and most productive working citizens in America are teachers, school administrators or government managers? Does anyone think that these douchebags are in the top half of productive workers?
Jaibones on December 20, 2010 at 11:09 AM
The Dems and unions are salivating over all that money in private retirement funds.
They are like jackals and vultures approaching a not quite dead animal. A few flicks of the dying animal’s tail make them scurry away, but it won’t be long before they begin to feast.
justltl on December 20, 2010 at 11:09 AM
I believe that it was an Executive Order that allowed government workers to unionize (although I could be wrong).
If so, here is what should happen with a conservative President and Congress in 2012…
1) Issue Executive Order that kills the original Executive Order that allowed public service unions.
2) Issue mandatory 10% salary cuts and 10% Reduction In Force across non-military departments.
3) Wait for union-led “shutdowns” and demonstrations.
4) Arrest union leaders for sedition and fire all government workers that take part in the “shutdowns” and demonstrations.
This will a) remove unions, b) cut the budget, and c) (most importantly) make the unions second guess any later attempts to unionize government employees.
Later moves could shut down entire agencies (EPA, Dept of Education, Dept of Agriculture, etc) with a minimal of objections.
dominigan on December 20, 2010 at 11:09 AM
Bernanke will never allow the big banks to collapse. Instead, he’ll suck the wealth out of everyone else through hyperinflation.
ZenDraken on December 20, 2010 at 11:10 AM
I wouldn’t even think that Texas is safe. Remember that a lot of money comes from block grants and various other Federal sources for infrastructure (roads, sewers, etc…), let alone medical.
Kermit on December 20, 2010 at 11:13 AM
Why The Blue States are Blue – Excellent article from 2004
DOOF on December 20, 2010 at 11:14 AM
We’re not talking banks, we’re talking states and cities.
And they’re already sucking the wealth out of us via taxes at the federal, state and local level and they’re all going broke…at the same time!
Can we take a broke CA, NJ, NY and IL?
Then, figure in cities that are going broke like Camden, NJ and Harrisburgh, PA…and maybe Dallas and a whole lot more.
Everyone’s budget is reaching critical mass at the same time while the taxpayers will be increasingly unable to pay for all the lavish living we thought we were rich enough to afford.
Not good.
Jenfidel on December 20, 2010 at 11:15 AM
Let’s just say that Gov. Rick Perry recently put a chokehold on Amazon.com (retroactively going back several years) for all the state sales taxes made on their stuff.
I’ve noticed other online stores charging me tax that never did it before.
In addition, in the aftermath of Katrina, the Army Corps of Engineers found out that Dallas’s river has an unstable levee. Cost to fix? 1 billion.
They were hoping the Feds would pay to fix it…Turns out they will not.
Uh-oh.
Jenfidel on December 20, 2010 at 11:18 AM
Sounds like the worlds’ largest game of Monopoly is coming to an end.
So, just how much is Boardwalk and Park Place worth when there’s only one player left?
Hey, how about a nice game of Chess?
BobMbx on December 20, 2010 at 11:19 AM
Better buy some guns while you still can for the defense of your home and family with it hits the fan. When California collapses, and it seems just a matter of time, I won’t be surprised to see riots here.
Blue Collar Todd on December 20, 2010 at 11:23 AM
I live in the red part of the blue state. Yep, California has been circling the drain for at least the last decade and should NOT be bailed out. Its time to cut programs and pensions…and tighten our belts. Is JB and his commie libs able to do that? Uh, doubt it.
jbh45 on December 20, 2010 at 11:24 AM
Another TX anecdote: Just read last night that the mayor of Austin has announced that they’re going to “cut back” their “Green alternative energy” program because it was too expensive (No! Do tell!).
If those tree-hugging hippy Liberals in Austin can’t have their windmills, you know it’s bad!
Jenfidel on December 20, 2010 at 11:27 AM
You think for a second it wasn’t planned that way?
Yakko77 on December 20, 2010 at 11:34 AM
I hate to be paranoid but don’t you think that’s the reason it was held back to now?
PattyJ on December 20, 2010 at 11:38 AM
Wait…what? Unless you’re saying that Christie would run as a Democrat (or secretly is one), they wouldn’t meet in a primary.
I’ll assume you meant General.
Anyway, sorry rest of the Country, you can’t have him until he’s done with his work here.
Sincerely,
New Jersey
russcote on December 20, 2010 at 11:43 AM
The laws of physics and the laws of economics will ALWAYS prevail!
I wrote about this a few months back and recently.
Economics works the way the laws of economics works. Period! Economics doesn’t work the way legislators say it will just because they, well, say it will work that way.
If basic economics were taught in high school and if basic economic theory were required to vote(for the same reason I have to prove to the state I can handle a firearm before I get a permit to carry) there would be a real sea change in America next election cycle.
Amendment X on December 20, 2010 at 11:46 AM
Android abuse on my end Canopfor :)
cmsinaz on December 20, 2010 at 11:49 AM
Wow. What an honest report. Even if the “ride to the rescue” command at the end was a bit left of center…
Dandapani on December 20, 2010 at 12:12 PM
Politicians of all colors and religions use the threat to cut or they actually cut services that will affect the public the most, police, fire, teachers and health care workers. They do know that the public will raise a stink and if its loud enough the politicians know they can slip a tax increase in without too much trouble.
Politicians that participate in this type of behavior need to be FIRED in the very next election cycle.
belad on December 20, 2010 at 12:13 PM
Fiscally we are just about beyond the point of no return, with nothing but defaults on teh horizon. Not another penny of tax revenue should be increased to paper over and postpone the day or reckoning.
There should be no such thing as a “public sector union”. They should be eliminated, disbanded overnight. Public pensions should be eliminated, retroactively for the last ten years, and for all public employees not within 10 years of retirement. And if “retirement” for them is age 50 or 55, that is immediately bumped to 65. No ifs ands or buts. Any existing pension obligation that still meets the new criteria for payout is cut to a max 60K per year, including in that figure social security benefits
The money just isn’t there. And I’ll be damned if I am willing to continue to fund those exorbitant promises made to obscene unions who “colluded/negotiated” with the very politicians they were greasing the palms of. ENOUGH.
AttilaTheHun on December 20, 2010 at 12:14 PM
Hey, you sound like Ronald Reagan!!
NJ Red on December 20, 2010 at 12:20 PM
DITTO DITTO DITTO
NJ Red on December 20, 2010 at 12:22 PM
I read something about Bernanke saying the Fed might buy the debt of these states, thus nationalizaing their malfeasance. That is where the danger lies. The Republican house won’t bail them out but Bernanke will.
xrayiiis on December 20, 2010 at 12:38 PM
F@!#$ng unions.
First the automakers and now the states & feds.
tommer74 on December 20, 2010 at 12:43 PM
This needs to be required listening..This should cause everyone to pause!..
PS..Christie is telling it like it is..:)
Dire Straits on December 20, 2010 at 12:48 PM
This needs to be required listening..This should cause everyone to pause!..
PS..Christie is telling it like it is..:)
Dire Straits on December 20, 2010 at 12:48 PM
Dire Straits:Your right,basically,Christie is the financial
canary,in the 50 States coal mine!:)
canopfor on December 20, 2010 at 12:56 PM
Android abuse on my end Canopfor :)
cmsinaz on December 20, 2010 at 11:49 AM
cmsinaz:Hehe,glad you landed safely!:)
canopfor on December 20, 2010 at 12:58 PM
You are right about that.. :)
Dire Straits on December 20, 2010 at 1:04 PM
:)
cmsinaz on December 20, 2010 at 1:19 PM
All 50 states? Plus the cities that default?
Jenfidel on December 20, 2010 at 1:19 PM
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