The Ethan Allen Institute has been working with the Business Roundtable’s Pension Reform Task Force to better understand the problem of our state’s $4.5 billion pension liability and to explore some possible paths to a solution. The 31-page report resulting from this study came out in January.
In 2020, Vermonters must exterminate flour beetle legislators at the polls. Voters wish to retain sufficient flour for their own larders, against the day that is imminent — the day the national economy declines and the Legislature finally peers into its own empty bag of tricks.
It’s my belief the state budget should not grow any faster than people’s paychecks. Our goal should be to do our work in ways that help Vermonters keep more of what they earn, making it easier — not harder — for every family to live a secure and stable life.
The driving force behind America’s astronomical deficit is the rapid increase in spending. Federal outlays are up 7% compared to 2018, which far outstrips inflation, population growth, and the economy.
For about an hour lawmakers and policy experts gathered at the Pavilion Building to hear a comprehensive report by Legislative Economist Tom Kavet on the state of the Vermont economy and how it fits into the larger national trends.
The average taxpayer burden across all 50 states to cover the debt was $8,400, and 40 state governments were unable to pay their bills.
New Hampshire lawmakers and Republican Gov. Chris Sununu reached a compromise on the state budget after a nearly two-month long stalemate. The House and Senate must approve the deal Wednesday.
Now is not the time to ignore what the financial world is telling us about our spending habits. The message is clear: we need a different policy direction. We need to refocus all our legislative energy towards fixing foundational problems.
If states want to make good on their obligations, many will have to drastically increase taxes, severely cut services, or default on their debts and lose access to credit. However, it’s only a matter of time before state policymakers, not wanting to face those consequences, seek a federal bailout.
While politicians debate expansive new government programs, even amid a worsening debt situation, fiscally prudent Americans may find some solace in alternative plans put forward to rein in our government’s bloated budget.
Three key findings highlight states losing $283 billion worth of tax revenue over 10 years, their budgets being hampered by Medicaid spending growth, and their unfunded pension debt reaching an all-time high.
When some poor Vermonter asks his legislator, “Can’t you cut something from that budget?” he or she gets this question for an answer: “what should we cut?” The lack of transparency makes it hard to come up with specific, comprehensive, transformative cuts.