Arizona legislators, convened in a special session, are setting about shaving nearly $460 million from this year’s $2 billion budget deficit.
The session, expected to run through tomorrow, was called by Gov. Jan Brewer. It will look at restoring funding to a handful of state agencies, authorizing an $18 million payment to Science Foundation Arizona to satisfy a court ruling, and making changes in the state’s foreclosure laws to provide some protections to homebuyers caught in the mortgage bubble while also shielding lenders, according to the report in the daily. The article includes recommendations that are being offered to deal with the fiasco.
For the first time since its 1912 statehood, Arizona is preparing to turn to outside lenders, borrowing enough cash to carry it through ongoing revenue shortfalls, state Treasurer Dean Martin said.
Martin estimates the state will need to borrow $700 million to see it through the June 30 end of the fiscal year. As of yesterday, Martin said, the state had exceeded its threshold of $500 million in IOUs and would need to turn to institutional lenders. To date, the state has been borrowing against internal accounts.
“This is a record,” Martin said. “We’ve never been over $500 million (in IOUs) before.”
Treasurer Martin is in the unenviable position of handling debt levels that increased through unrestrained spending by Democrat former Gov. Janet Napolitano who left the state in the throes of financial disaster as she resigned to join the Obama administration. The worsening national economy, exacerbated by Obama’s costly bailouts and “stimulus” programs, has also negatively impacted the fiscal situation.
I’m galled that any court would authorize nearly $20 million to Science Foundation Arizona. What a scam on the people of this state! And especially in this devastating financial environment. For shame!!
The chatter around Arizona for a Martin gubernatorial campaign in 2010 is growing louder by the day. Hearing Martin speak at two events already this year, you get the impression he wants to announce for Governor but is restricted by the resign-to-run law.
Martin is well known to put the interests of Arizona ahead of his own. This must be the reason for the current lack of a Martin exploratory committee. The man must simply have a full plate just keeping Arizona afloat financially.
Arizona Treasurer is not a policy position. As I see it, we need Dean Martin on the 9th Floor and pronto!
I agree, Tom.
First let him deal with this fiscal crisis and then make the obvious next move. His background is ideal for Arizona’s top job, especially in this financial decline.
Thank God we have Dean where he is! Just think what it would be like with a democrat in that office at this time!
The anti-American, anti-free market, socialist judges need to be removed and constitutionalists appointed!
I posted a Glen Beck video on my news page today showing the way we got in this mess, and if the dems have their way we will all be bowing to foreign leaders!
We need to make our reps aware that we want the budget fixed by cutting spending. I am old, and received public education superior to todays results at a fraction of the cost! We can do it again!
Adding anything to existing property taxes is beyond stupid. Homeowners are already struggling and more foreclosures will only hurt the state. Arizona already has the second highest foreclosure rate and banks are doing little to nothing to help while taking bail out money to make their balance sheets look good.
Increased taxes are going to have the effect of further depressing spending which in turn leads to more job loss. The state needs to find a way to increase businesses and jobs, not lay more burdens on beleaguered taxpayers. No wonder people are bailing on their homes and this state.
The best way to manage our budget woes is to elect Dean Martin the next governor, if he would be willing to run. His experience, common sense, fiscal discipline, and personal integrity would guide our state as it must deal with unreasonable Federal policies of out present administration.
Dean Martin has proven himself during this fiscal crisis. At a time when most of us would have failed because of the personal emotional stress of losing a beloved spouse, Mr. Martin has had to put even more energy and effort into his elected office. He has not failed us. Dean Martin is a winner, even in this losing situation.
sherriaz, the best way to block higher property taxes is with Prop 13 Arizona. Anything short of a constitutional amendment won’t help property owners. There’s currently no limit on secondary tax increases and it doesn’t take a 2/3 majority to raise property taxes so its a likely place for them to get more of our money.
http://www.Prop13Arizona.com
Reform property taxes now before they go up yet again next year after going up this year despite valuations going down 10-50%.
Visit Prop13Arizona dot com
Prop13Arizona dot com is a constitutional initiative to permanently reform how property tax works in Arizona, changing it from the single most complex system in the nation to the single simplest, reducing tax rates, capping tax increases and eliminating additional taxes arising from current loopholes such as bonding add-ons and overrides.
It’s true. There isn’t another person considering the governor’s race, of either party, who has the broad range of experience Martin possesses. A onetime GOP party chairman? An appointed mayor with questionable ethics? A guy who wants nothing more than to follow his father onto the ninth floor? Munger, Parker and Goddard are not even close to having the credentials of Dean Martin. Jan Brewer should reconsider her entrance into this foray. She’s never before lost an election, and this is not the way to end her career. I’m with former senator and current state treasurer Dean Martin all the way. The state of Arizona NEEDS his expertise.
Parker and Munger should hang it up. They are dreaming if they think they have a prayer in this race. Jan Brewer is a good woman who has been an exemplary public servant, and is doing her best under the difficult circumstances she inherited. She made a fatal mistake in selecting her advisors. The tax increase will be her undoing.
Run, Dean Run.
Save us from a governor who thinks 2 1/2% cut to education would be devastating, but lets preschool rates be raised over 800%.
Just as a factual matter, the state did turn to outside lenders during the Great Depression.
My opinion, as Treasurer, Dean wrote checks due to Napolitano’s decisions. As Governor, he will have the decision making power to make the responsible financial decisions Arizona needs.