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State Representative Debra Hilstrom

379 State Office BuildingState Office Building
100 Rev. Dr. Martin Luther King Jr. Blvd.
651-296-3709

For more information contact: Ben Schweigert 651-296-5809

Posted: 2005-03-02 00:00:00
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Column/LTE

Honesty Needed in Approach to State Deficit


After the new budget forecast was released, there was a lot of self-praise and good cheer pouring from some corners of the Capitol. This response was the sign of a troubling unwillingness to face facts. The state still faces a deficit of $1.1 billion. While we can all be pleased that this is down from $1.4 billion a few months ago, there is no cause to rejoice. All of the challenges we had before still exist, and we need to take them seriously.

We need to be honest about the problem. Currently, inflation is counted in incoming revenues but not for spending. We know that government costs increase with inflation. The state buys heat, gas, and phone service in the same marketplace as everyone else. So while some are talking about a $466 million deficit, we all should be talking about being $1.1 billion short of paying our bills.

Why are some not being honest about the size of our deficit? They want to make things look better than they are, and not disclose how deep the cuts will have to be under the Governor’s plan. We need to be honest about the magnitude of the problem, so that we can talk intelligently about all of our options for cutting spending and raising revenue.

The small improvement in the deficit forecast is small compared to the deficit of over $2 billion predicted for the next budget period. Minnesota, which has always been a leader in job creation and economic growth, has fallen behind the national average in job creation.

We need to rise above ideological slogans and political gamesmanship, and work to honestly create solutions for the people of Minnesota. The budget deficit is a serious problem, and the fact that it is slightly smaller is not the same as having enough money. It’s time to be responsible and get the job done for Minnesota.

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