Rick Perry Doubled Texas’ Debt, Then Balanced Budget Through Accounting Gimmicks

[TomCADem]

Source: Think Progress

Texas Gov. Rick Perry (R) and Republican lawmakers completely failed to keep their promise not to “kick the can” down the road when it came to solving the largest budget shortfall in the state’s history. That’s according to a new Associated Press report, which concludes that Perry and the GOP legislature largely balanced the state’s budget through flimsy accounting gimmicks that do nothing to secure Texas’ financial footing.

The self-professed fiscal conservatives resorted to tactics like delaying a $2.3 billion payment to schools by one day to technically push it into the next fiscal year and keep it off the books of this budget. They also “found” $800 million by ordering the state’s accountants to forecast a faster increase in land values to show more property tax income.

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The new budget also preposterously assumes there will be no growth in the number of school children in Texas, even though it is one of the fastest-growing states in the nation. Experts predict this trick alone will shortchange school districts by $2 billion.

Texas lawmakers had to close an enormous $27 billion budget deficit this year. Amazingly, only about a third of it was caused by the economic downturn. The state has had a chronic shortage of revenue after years of slashing property and business taxes and creating numerous tax breaks and exemptions. Conservative governors have slashed state services to the bone, so there was no more fat to cut from the budget


Read more: http://thinkprogress.org/economy/2011/07/06/261752/perry-budget-accounting-gimmicks/

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Of course, whil Democrats like President Obama and Governor Brown deal with the debt by pushing for tax revenues against Republican opposition and dealing with the need to cut in the face of such opposition, Republicans like Perry engage in fraudulent accounting while claiming that they are fiscally responsible, and the corporate media gives them a free pass.

[JCMach1]

1. Then I am sure he is the man to get the Republican nomination!

[Thor_MN]

2. He and Pawlenty are birds of a feather

TimMAY!! claims he had balanced budgets and held lines against spending, but it was all smoke and mirrors. Some day, we will recognize conservatism as the disease that it is and institutionaise these people to get them the electroshock therapy that they so badly need.

[PatrynXX]

3. Our debt went even higher

because Bush tweaked the budget numbers for years and Obama corrected the accounting.

[McCamy Taylor]

4. It's official! Perry is the man to beat.

[laser_red]

5. does Texas' bond rating of AA+, somehow offend you? nt

[Hubert Flottz]

6. The old Texas ENRON Shuffle

http://www.youtube.com/watch?v=kShTUmYRyCw

[SpiralHawk]

7. Repbublicon Family Financial Values - twisted & phony & corrupt

As usual.

[Javaman]

8. cement head perry uses the Whimpy tactic...

"I will gladly pay you Tuesday for a hamburger today"