[Vision2020] From the legislature

[Shirley Ringo]

Visionaries:

On January 9, 2012, Governor C. L. "Butch" Otter delivered his State of the State and Budget Address.  The message did not propose an appropriate response to the dynamics of the current economy.

 

During the last four years, Idaho has lost more than 60,000 jobs.  The percentage of Idahoans living below the poverty line has increased, and deep cuts have been made to education programs, substance abuse treatment, and public health.

 

The time is right to invest in Idaho, to move out of the recent recession.  If we expect results, we must make a strong statement.  If we say we are investing in the future, we should be serious about it.

 

It is predicted that on June 30 of 2012, we will have approximately $100 million in excess of the amount we were willing to predict a year ago.  This should present an opportunity to strengthen programs vital to the well-being of Idahoans and their families.  Bear in mind:  Since 2009 we have reduced general fund support for public education by almost $200 million.  We have reduced support for professional/technical schools, community colleges, and universities.  Tuition rates are higher for high school graduates with the ambition and interest to study further.  Tuition rates are higher for displaced workers who need to retrain.  Individuals with disabilities who rely on Medicaid can't get help with dental and vision related expenses.  There are other disturbing cuts in Medicaid programs.  Public employees have taken forced furloughs and levels of pay have been frozen.

 

One might note that with slightly over $100 million as a projected balance at the end of the 2012 fiscal year (June 30, 2012), Governor Otter plans to put $60 million back into "rainy day" accounts, and he is asking that we approve $45 million in tax cuts.  It appears that any other investment in Idaho must come from projected revenue growth in 2013.

 

Governor Otter states he supports public education.  He plans a slight increase in general fund money for education, but overall funding for K-12 schools will be reduced.  (again)  Governor Otter claims that supporting state employees is a high priority.  But while he is committed to a $45 million tax cut,  at the same time he plans $41 million for state employee bonuses if enough money is left at the end of the year.  What should be the higher priority?

 

Cuts in education programs, health programs, and state government cost jobs.  Of course, we don't want waste in government.  But, we want programs that are adequate.  Economists know it is not a good idea to cut public jobs when unemployment is high.  When the private sector is slowly recovering from high unemployment, it is not desirable to flood that market with unemployed folks from the public sector.

 

I can't help being reminded of Governor Otter and Department of Labor Director Roger Madsen's solution to unemployment.  They have said that extensions of federal unemployment benefits should be denied.  Then, they reason, people will be motivated to look harder for jobs.

 

All legislators should handle public money with care.  But Idaho leaders have been tight-fisted to the extreme.  We have failed to recognize the value of educational institutions to attract businesses that offer good pay to employees.   We have not backed up our value statements with a strong investment in a rosier, more dynamic future.

 

Contact your Governor.  Tell him you don't embrace his "new normal" - you believe in Idaho and are serious about investing in Idaho.

 

 Shirley Ringo 

 

 
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