California tops the list of the 10 states in the deepest financial hole. But not by much. Arizona is a close second. (For more on the state and local budget crisis, higher taxes, and the effect on the economic recovery see my post https://jubakpicks.com/2009/11/10/will-rising-state-taxes-sink-the-recovery-in-2010-and-then-there-are-coming-federal-tax-increases-in-2011-and-beyond/ )
The Pew Center on the States put together the list by ranking states on the percentage change in revenue from the first quarter of 2008 to the first quarter of 2009 and by the size of the budget gap for fiscal 2010—that the fiscal year that ends in June 2010 for many states—creating by those drops in tax revenue. (And by looking at other factors not included in the table below. To see more follow this link to the full study http://www.pewcenteronthestates.org/uploadedFiles/wwwpewcenteronthestatesorg/BeyondCalifornia.pdf )
Here’s the list:
- California         16.2% drop in tax revenue     49.3% size of gap
- Arizona             16.5% drop                                  41.1% gap
- Rhode Island  12.5% drop                                  19.2% gap
- Michigan           16.5% drop                                  12% gap
- Oregon              19.0% drop                                 14.5% gap
- Nevada               1.5% increase                            37.8% gap
- Florida              11.5% drop                                  22.8% gap
- New Jersey     15.8% drop                                  29.9% gap
- Illinois              10.9% drop                                47.3% gap
- Wisconsin       11.2% drop                                23.2% gap
The average for all 50 states, according to the Pew Center, is an 11.7% drop in tax revenue and a 17.7% budget gap.
Maybe we could cut the far rich pay checks of those government employees for a start. I have a sister, 125,ooo a year, I asked her what she does for the money, she said, ” I read the news paper, give people breaks, and go to meetings.”
Then maybe we could line all of them up, and fire one in every three, and I’ll bet nobody will know the difference. ER aah… except that maybe my property taxes would go down.
so true. And then be on a school board and try to explain to people why you have to cut everybodys budget.
Well this is what happens when people demand more services from state governments than they are willing to pay for and when the politicians care more about being re-elected than either raising taxes and/or cutting services.