NO MONEY TO BURN: The governor says there’s too much new spending in the current budget proposal from the majority party. His proposal, offered in January, included no new taxes or fees.
The governor appeared on the “Morning Drive” radio show Wednesday to discuss his stance on the budget proposal from the majority party in Montpelier — and he continues sounding the alarm on big new spending proposals.
“I don’t threaten vetoes but it’s on the table,” Republican Gov. Phil Scott said on the show. “Obviously, I came out with a budget, it was measured, it was strategic, it was balanced, it didn’t raise any new taxes or fees and it allowed people to confront some of the challenges that are facing the state — and it put money towards the future as well.”
The governor has stated previously that his administration estimates a half billion dollars in annual new spending is coming from the Democrat/Progressive dominant caucus.
To successfully veto the budget, Scott needs to have the support of at least one-third of lawmakers in either the Senate or the House.
Federal money requires matching funds
Scott also discussed the state’s aging infrastructure. There’s at least $1 billion in federal money being offered to the state in the coming years, according to the governor, but it will require matching funds from the state in order to qualify.
“It’s just frustrating in some respects to see the number of taxes and fees that are being considered, and not putting money aside for the billion dollars worth of infrastructure money that we’re going to get, but we know we’re going to have to have money for, in order to get that money. It’s not going to come to us unless we have the match money,” Scott said.
He warned lawmakers not to forget that this money will be due soon.
“It can’t be a surprise in another two or three years when they ask us for our state match,” Scott said.
He added that while some have argued the state always finds a way to come up with matching funds, this time it’s different.
“We’ve never received a billion dollars like this. This is an extraordinary time in history, and as I said in my budget address numerous times and as I said in my State of the State, we need to take advantage of this moment in time,” Scott said.
Are lawmakers spoiled by federal money?
The governor suggested that because the federal government has injected so much money into the state in recent years, it’s created an atmosphere where lawmakers think there’s more money to spend — but it’s not really the case.
The state received at least $5.4 billion in federal money during the years of the economic shutdowns regarding COVID-19.
‘There’s going to be a downturn’
For now, the governor said the state economy is going relatively well, but added that the situation cannot last.
“This year [the surplus] is going to be almost $200 million which is the largest it’s ever been,” Scott said. “But having said that, our economists, the legislature’s economists, most economists, say there’s going to be a downturn. It’s got to happen, this money isn’t going to be continuing.”
In the past Vermont has had to borrow more money in order to meet the match requirements. Scott said it’s not sound fiscal policy.
“We can’t afford to do that either,” Scott said.
A disconnect with legislators
When asked if there’s a disconnect between his administration and the Legislature regarding economic policy, the governor said yes.
“It does feel that way to me,” he said. “Case-in-point: I talk a lot about affordability — we haven’t raised taxes and fees over the last six years.”
Scott added that he disagrees with lawmakers who want hikes in taxes and fees to cover spending.
“I keep saying, ‘well we don’t need to [raise fees], we have the money, we have these surpluses at the end of the year,'” Scott said. “Why do we have to put more burden on Vermonters?”
The 21-minute interview can be heard online here.
Michael Bielawski is a reporter for True North. Send him news tips at bielawski82@yahoo.com and follow him on Twitter @TrueNorthMikeB.
So, wasn’t it this governor that went along with everything Covid like a good uniparty member to steer those pandemic dollars to Vermont. Safe and effective was the mantra to keep the money flowing as well as shut downs and face muzzles? The money came, he lost his veto power and now the uncontrolled moonbats in charge of the legislature are running over the governor like a bully. His vetoes are worthless unless a few brave democrats refuse the parties strict orders to squash the veto or lose committees assignment. The gov voted for Biden, the country is in the toilet and the big flush is on the horizon. The republican party leaders are worthless and as important as teats on a bull. The liberal elected the governor and they have him right where they need him, powerless to their whims.
Governor Scott has provided continued sensible leadership for our state. His fiscally, sound moderate positions align with most of the voters. The Democrat /Progressive wing in the legislature have gone to the extreme, the impractical and the unsustainable.
Unfortunately the Republican party has been tainted by its own extremists, focusing on grievances, some of which are ligitimate, but more often fueled by conspiracy therories using very harsh language which has made the party’s candidates unpallitable to most Vermonters. We now have a situation where the most foolish and costly legislation can not garner the 1/3 votes needed to sustain a veto.
Perhaps, now is the time to give Scott the support he needs and present a rational alternative to what clearly is a flawed legislative course
Calling republicans extremists is very delusional. Many of your conspiracy theories seem to be coming true. Consider the current breaking news that a former CIA agency chief testified in congress that the letter signed by 51 former intelligence officers who signed the letter claiming the Hunter Biden lap top was Russian misinformation was a lie. It was formulated by him as a request from from the current Secretary of State who was Biden’s campaign director at the time. We had 51 government officials who interfered with the election by lying when they knew it was not fake and belonged to Biden’s son. The article is here now on this site. There is video of Biden claiming it was fake during the debates with Trump. The most extremist of the republicans are those who deny the election was stolen. None are so blind as those who refuse to see, Right John!
Mr.Freitag,
If Governor Scott was doing as you say he’s doing then Vermonters would not be fleeing the state.
Vermont wouldn’t be flunking out in poll after poll and report after report.
Here is the most recent one here:
“Vermont ranks next to last in new economic report”
http://www.truenorthreports.com/vermont-ranks-next-to-last-in-new-economic-report
How many of these do you want me to post- because there are MANY.
The *Results* of the state government paint quite another picture.. a picture of failure, debt, dependency, of huge loss of opportunity, of oppression, suppression and Depression- and the kinds of human suffering that is causing people to flee and desire to flee- if only they could.
Thinking, (as opposed to Feeling) Intelligent Republicans that live in Reality and not the Land of Make Believe (the world where men birth babies) we are calling out this insanity and destruction because we want this ended, solved and fixed and you call this extremism?
You call this conspiracy theory? You call people saying “No, cutting off your penis does not make you woman” “extremism”?
Mr.Freitag it’s time for you to stop believing the Propaganda about the Right.
Afterall, I see you are regularly here among us.
Laura, just realize that Mr. Freitag’s opinions are more aligned with the Progressive movements…he’s not what we’d hope. But that is his right. He thinks Gov. Scott is doing a marvelous job? Because he does nothing and is just a neutered Eunuch – to whatever Dems/ Progessives demand??? Here is an exact quote from a commentary Mr. Freitag gave to VT Digger…( the mouthpiece of brainwash in VT)….here are his words…first paragraph…Sept 2019. Agree or disagree as you wish…but basically Mr. Freitag is on board with the “Kilmate Kult”….FYI:
“While nothing can be known with 100% certainty the preponderance of scientific evidence clearly shows the reality of global warming and that humans and their actions are a significant cause of this warming. The results have been aptly described as “the weather on steroids” with wild swings and greater intensity in weather events. It behooves us as citizens to take what responsible action we can not only for our benefit but for the benefit of future generations.”
Phil served 10 years in the Vermont Senate. Phil served three terms as Lt. Governor (2011-2016-the Kingdom Con years) Governor since January 2017 – seven years. Currently serves as vice-chair of Public Health and Disaster Response committee of the National Governors Association. (Public Health and Disaster Response Committee: “Issues include Federal Emergency Management administration (FEMA), National Guard, cybersecurity, health care, immigration, human services and COVID-19 issues related to testing, vaccines, supply chain and personal protective equipment.”) July 17, 2011 Reuters: ” With the struggling national economy and the impasse in Washington over the federal debt limit, U.S. governors meeting this weekend in Salt Lake City see at least one reason for optimism: new trade partnerships with China. Throughout the three-day National Governors Association meeting, more than 20 U.S. governors met with delegations from four Chinese provinces to discuss partnerships in agriculture, energy and manufacturing in the first-ever meeting between the governors association and Chinese provincial leaders.” Not the first time the NGA met with CCP representatives. February 2019: CCP representative meets with Governor Scott, Lt Gov Zuckerman, Sec of State Jim Condos in Montpelier, VT.
There are no greater threats to our Republic or democracy (as the uninformed cite incorrectly ad nauseum,) than the National Governors Association or the National Association of Secretaries of State. Our country and State were sold out, in haste, starting in 2011. All set up perfectly a decade prior by George Jr., whose father rolled out the grand scam decades before Jr. It is a big club sir – a global club. You keep gaslighting yourself and one day, you’ll be watching the blue helmets run across your front dooryard.
Balderdash. October 2022 – Truth in Accounting.org
“Vermont’s latest financial report indicated the state’s financial position improved in
2021 mostly due to a great deal of federal aid and dramatic increases in the value of
pension system assets. But the state still needed $4.5 billion to pay the bills it had
accumulated. The resulting Taxpayer Burden™ was $18,400, which represents each
taxpayer’s share of the state’s debt. Therefore, the state earned a “D” grade from
Truth in Accounting. Vermont’s financial problems stem mostly from unfunded retirement obligations.
Record gains in the stock market in 2021 made funding levels of the state’s pension
system appear healthier than in 2020, but much of that improvement is fading.
Markets have lost an average of 14% value in 2022. Although pension liabilities
decreased by $537 million in 2021 due to the increase in investment value, much
of the value increase is only on paper. Until the pension investments are sold, these
liability decreases are not real. Given these facts, the state’s overall debt situation
will likely further deteriorate over the coming year. Even with these reported increases in pension assets, Vermont had only set aside 66 cents for every dollar of promised pension benefits and four cents for every dollar of promised retiree health care benefits. If benefits and funding are not changed, future taxpayers will be burdened with paying the under-funded retirement pensions”
Considering our devaluing currency and market bubbles ready to burst, the Panderer-in-Charge and the Legislature get 5 out of 5 Pinoccios. Liars and deceivers. The entire corrupted, fraudulent system is going to crash – there is no getting around it – none. Real numbers do not lie – bureaucrats and politicians certainly do. Going back to 2011, analysts were warning insolvency of municipalities and States due to pensions and healthcare obligations. Since then, it’s all smoke and mirrors. COVID-19 was a delay in the inevitable. In 2019, the bankers were facing a credit liquidity crisis. Usher in COVID and fire up the currency and ballot printing press. In 2023, bankers are facing a liquidity crisis. We are broke and debt is not an asset.
It shouldn’t be “on the table” it should be a firm YES I WILL VETO. The free spending fascist commie legislature needs to be reigned in from spending like their the biden administration. Remember when we had a real Republican Governor and a balanced legislature who gave us surpluses for budgets and tax cuts? Yes it use to happen and we didn’t have all the handouts from the feds. Stupid voters have made that impossible now..
Gov. Scott just wants to be “liked”….no confrontation…but with that comes NO convictions either. He loves to swing “both ways” (politically). He will never really stand up hard for anything…because on one hand he says he is an R, and on the other he is kissy-wissy to Dems…because he is “non confronational”.. In the end, he’s just a wussy…a eunuch…a puppet put in place, BY DEMS to give the false impression that they have “balance” (a lie)…but they will stab Phil in the back at any chance, quietly…as they have super majority. Phil Scott will NEVER accomplish anything, except being known as (really) the nicest of guys.. All I can guess is that he is comfortable pulling in the salary $$ and benefits and doing actually very little…except driving around the State… glad handing, and giving out tiny feel-good-grants (with FREE FEDERAL $$$ AGAIN), so all “feel better”… Just like an alcoholic needs….Vermont needs it too….and INTERVENTION…pound the table, scream, get angry, have conviction…save what is left of VT before it is fiscally too late and climate cult insane.