Sunday, August 17, 2008

Republican stewardship of the economy... cut taxes then run for the hills when the consequences for that come to pass...

Double whammy awaits some state employees (Macon Telegraph)

The American consumer has been the "Little Engine that Could" for the nation's economy, but the engine is running out of steam. In Georgia, sales tax collections are down, way down, 6.6 percent last month, and it's turning into a trend. Gov. Sonny Perdue had to pull $600 million out of reserves to balance the state's books at the end of June, and the picture continues to be grim. The state is estimating a $1.6 billion shortfall this budget year. And so, out comes the ax, and for most, the cuts will be severe.

State workers, with the exception of teachers, had their raises chopped, but don't think the teachers escaped unscathed. Thursday the Department of Community Health raised the premium due from all employees for health coverage 7.5 percent. Some might call that a salary cut.

Can you imagine what shape cities and counties and school board would be in if Speaker of the House Glenn Richardson's proposal to shift most taxing authority to the state had passed? Where would they find the money to fill the gap left by the state?

School systems are dealing with a 2 percent cut, $153 million, that just so happens to mirror austerity cuts that were supposed to be restored. Makes you wonder. With the governor's effort to pull 6 percent out of the entire budget, all avenues are being explored. Some departments, such as the state Insurance Commissioners Office, will require employees to take a monthly day off without pay. The Department of Technical and Adult Education is considering a four-day school week and eliminating programs. The Georgia Bureau of Investigation is set to close crime labs and is pulling investigators off the street to provide security for the agency's headquarters, rather than paying a private firm. The Georgia State Patrol, already understaffed, may have to reduce its presence on the state's roads even more.

This boiling crisis comes at a time when Georgia is facing monumental growth. Metro Atlanta has 70,000 more residents than it had last year, and there is no end in sight. Most population forecasts have underestimated the number of people expected to move into the state.

Most times growth is a good thing. It means new jobs and opportunities. It also means an increase in the need for state services. Some agencies churn right along in the background. We never notice them until we have to stand in line a little longer at a Department of Driver Services office or find the Labor Department shuttered. However, there are many duties of state government that are essential to quality of life, as well as life itself. If the economy stays in the doldrums for any length of time, hang on.

Charles E. Richardson/for the Editorial Board

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Jim Nichols
A Speculative Fiction
www.JimNichols4.com

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