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Surplus talk unrealistic, report says
The Center for Public Policy Priorities on Monday threw some cold water on the recent overheated talk of a state surplus.
It is “wishful thinking,” according to the policy statement, that the state will raise enough money to cover its costs in the 2010-2011 budget and also produce some extra for tax cuts or rebates, as Gov. Rick Perry has suggested.
Whether the “surplus” is $15 billion — as House Speaker Tom Craddick suggested it could be — or the comptroller’s estimate of $10.7 billion, most of that money is already spoken for. The Rainy Day Fund takes up $5.7 billion and $3 billion is set aside for school property reductions.
That leaves $2 billion to cover any new costs.
Neither Craddick nor Comptroller Susan Combs are “using the term ‘surplus’ in its ordinary sense,” according to the policy statement.
That money is not extra or unneeded, said Eva DeLuna Castro, a budget analyst for the group. It will be necessary to cover cost increases such as fuel and health care, which are bound to demand more from the state coffers. But those needs are not being figured into the baseline of the future budget.
Comments
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By McNasty
May 13, 2008 6:21 AM | Link to this
I agree about the toll roads issue. The gas tax should be used exclusively for road construction and repair. After that, let’s see how much of a surplus we have.
By Wilbur Varela
May 12, 2008 9:49 PM | Link to this
this reminds me of that scene in Best little whorehouse in texas, where the governor sings “oooh, I love to dance a little sidestep…..”, while one part of the goverment talks about surpluses, the other says not so. I bet they really don’t know how much money they have, because it changes according to politics. The state is not “a corporation”, and if it is, it needs to be returned to the people. We are not products, or customers, but citizens.
By M in Bastrop
May 12, 2008 9:33 PM | Link to this
$15 billion surplus? Yet TxDOT is in a funding crunch for road maintenance and construction? Not because of an error, but because the funds that are supposed to be dedicated to roads are being funneled off to other areas both by the state and the federal governments. Now we get to listen to both sides debate raising the gas tax. Yep, that will help - everyone but the consumer or TxDOT since those funds are no longer dedicated to roads. Time for a change in government!!
By Fred
May 12, 2008 9:10 PM | Link to this
Lets think in terms of UT’s multi-billion dollar permanent trust fund and its growth during the past year and a half. Why is it limited to expenditures relating only to buildings? The UT campus is not large enough to house all the buildings that amount of money could buy. Yet the UT students, residents of Texas, are now paying close to 20K per year in tuition to attend a “state supported” University. Time to rethink certain priorities.
By Brent
May 12, 2008 6:32 PM | Link to this
What? An unrealistic promise by Perry?? Say it ain’t so! Wasn’t it Perry who suggested that Texas was a “successful corporation” and there was “no need to change leadership” ? Let Perry put a spin on this realistic budget compared to his “estimates” and those of the Republican Comptroller. The Capitol of Texas needs to clean out it’s current disarray of Perry-ites and replace them with honest,visionary,and reliable stewards of taxpayer dollars.
By Brent
May 12, 2008 6:31 PM | Link to this
What? An unrealistic promise by Perry?? Say it ain’t so! Wasn’t it Perry who suggested that Texas was a “successful corporation” and there was “no need to change leadership” ? Let Perry put a spin on this realistic budget compared to his “estimates” and those of the Republican Comptroller. The Capitol of Texas needs to clean out it’s current disarray of Perry-ites and replace them with honest,visionary,and reliable stwards of taxpayer dollars.