You’ll want that money when it rains
Published 12:00 am Tuesday, November 18, 2008
Some of Louisiana’s Democratic lawmakers are already eyeing the state’s “rainy day” fund as a way to overcome an anticipated gap between what they want to have state government provide and what the state can afford to provide.
The shortfall for the 2010 fiscal year, which begins July 1, is expected to be more than $1 billion.
If the national economy continues to be sluggish, that outlook could get worse, and not just for Louisiana lawmakers, either.
When consumers slow down, tighten their own belts and stop spending as much, the tax man’s take starts shriveling up a bit.
That’ll hurt every level of government.
But the answer isn’t necessarily taking out of your savings because once those are tapped they’re gone for good.
When you’re facing tough times, you have two options — raise more money (tax increases) or stop spending as much.
Obviously, we’re fans of the latter. Citizens don’t need to pay additional taxes right now.
Lawmakers would be wise to plan for the worst, not by tapping their emergency, rainy day fund, but by making some tough decisions necessary to streamline government and stop wasteful spending.
Getting the state correctly “rigged” expense-wise is the only way to prepare for an uncertain future.
Now isn’t the time to break the piggy bank, it’s time to break the hoggish spending practices and streamline government.