Monday, April 30, 2018

Don't Be Fooled by Tax Revenue Increase

I am on the road to learn more about the opportunities for school choice. In the meantime, CREG has published its first-quarter report, according to which state tax revenue is up compared to previous forecasts. Past experience tells us that this will give the big spenders in the legislature new hope, and cause fiscal conservatives with good spirits but weak spines to bend, fold and retreat. 

A reminder: our underlying, structural problems in the state budget have not been solved. They are very much still the same problems as they were before this new revenue report. Just a quick example, courtesy of the 307 Politics blog over at Casper Star Tribune:
The Wyoming Legislature approved more than $40 million for the state Department of Health during this year’s legislative session. A little less than half will go to department requests. The rest — more than $21.3 million — will be used to address a Medicaid-driven shortfall that’s only going to get worse in the coming years.
Again, this is just one example. As for the CREG report, be patient. I will give it the in-depth analysis it needs as soon as there is time. 

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