State might have to borrow money to pay bills

The state of Minnesota is running short of cash. As a result, state officials have delayed some tax refunds and may have to resort to short-term borrowing to pay some bills.

[Porkulus]

California withholds tax refunds

http://money.cnn.com/2009/01/16/news/economy/...



California will not pay tax refunds for individuals and business that overpaid 2008 taxes, in order to conserve dwindling cash for priority payments including school spending and debt repayment required by state law, the state's controller office said Friday.

Other state checks to be postponed for 30 days include payments for vendors who provide services and products to the state government and state checks to a million aged, blind and disabled Californians to cover rent and utilities bills, State Controller John Chiang's office said in a statement.

more at money.cnn.com ...

...because remember, it's not really your money, it's the government's to do with what they please.

[Local FF]

Tell Pawlenty to get his butt back to MN and do his job.

[Torches and Pitchforks]

What, Bill Salisbury???
No political or social commentary to accompany this fine article?
The avid readers of this publication will miss your editorial observations, which you always seem to include in any article you write which deals with "teabaggers", "conservatives"; "tax protesters"; "Sarah Palin"; "tax cuts"; and similar related items.

[Torches and Pitchforks]

"Minnesota, like most states, has a cash-flow problem caused by the worst recession since the Great Depression, Hanson said. The state has collected $233 million less in taxes than was forecast in February."

No Bill; that is not "the truth; the whole truth; and nothing but the truth".
The state has a problem because its leaders overspent at every opportunity and squandered the surpluses in previous years; and because it continues to foster an unfriendly business environment.
Every taxpayer should be enraged that the State is not returning overpaid taxes to its rightful owners in a timely fashion, rather than doing the conscientious thing and immediately cutting state employees, projects, and programs which can be deemed non-essential or postponing them to better economic times.
But again, I suppose it is silly to mix the separate concepts of "politics" and "conscience" in the same paragraph.
Go John Galt!

[Danno]

"The state has collected $233 million less in taxes than was forecast in February."

In one single month, they were off over 1/4 of a billion dollars? So can someone explain why, in all seriousness, we should give them more money? They don't know how to manage what they do receive. Any dems what to refute this irresponsible financial mess?

[Hammerhan]

There you go, that's what you get with Timmy and his no new tax pledge. What's wrong with this state, Paw-lenty.

[Flynn Fan]

This falls on both our state legislature and our presidential candidate, I mean governor. Their too busy trashing him and everything he does and he's too busy touring the country giving speeches.

I'm soooo sick of L. Pogemiller and company whining about TPaw not working with them! I also can't stand TPaw and his playing the 'nice guy' who hasn't done anything wrong routine. Guess what Timmy, you're responsible for this mess too! Get your act in gear go back to doing the job you currently have. If you can't, then step down!

[sock]

Hammerhan wrote:

There you go, that's what you get with Timmy and his no new tax pledge. What's wrong with this state, Paw-lenty.

No, this is what happens when taxpayers money is wasted on frivolous feel-good democrap giveaways

[Metanoia]

Torches and Pitchforks said,"Every taxpayer should be enraged that the State is not returning overpaid taxes to its rightful owners in a timely fashion, rather than doing the conscientious thing and immediately cutting state employees, projects, and programs which can be deemed non-essential or postponing them to better economic times."

So, which state employees (projects and programs) do YOU deem to be "non-essential" and subject to being cut? Most state agencies are already running lean on staff as it is and more cutting will mean work not getting done, services not provided, data not available, responses to requests from the public not made, etc.

[Good Question]

Metanoia wrote:

Torches and Pitchforks said,"Every taxpayer should be enraged that the State is not returning overpaid taxes to its rightful owners in a timely fashion, rather than doing the conscientious thing and immediately cutting state employees, projects, and programs which can be deemed non-essential or postponing them to better economic times."
So, which state employees (projects and programs) do YOU deem to be "non-essential" and subject to being cut? Most state agencies are already running lean on staff as it is and more cutting will mean work not getting done, services not provided, data not available, responses to requests from the public not made, etc.

I saw an article on the MN Independent that shows sexual offenders in this state are being housed in St. Peter and Moose Lake at a cost of $130K per year. Compare that to the $30K cost of inmates in prisons. Just this one area of government has had their budget increase 400 percent since 2003. Now, Pawlenty must be aware of this, considering these are the institutions he scolded and took the new TV's away from.$70 MILLION a year for locking up pervos. Interesting article (unlike most of the crap here on the Pi Press.)
http://minnesotaindependent.com/48675/minneso...

Also, marijuana prohibition and jailing of non-violent drug users costs the state quite a bit each year. I'd feel much safer if we got back to enforcing the laws that make sense, lock up violent offenders, and use resources to monitor these dangerous criminals once they have served their jail terms and are released, rather than "monitoring/wire tapping/busting" people growing a plant, for example. Priorities must be established and then determine which government agencies need to be in existence, and which ones have a record of success and merit funding. Until we get a governor and legislators that can do this, we are bound to repeat the same mistakes, and the same corrupt special interests will prosper at taxpayer expense.

[Sharon4AttorneyG eneral]

Wonder Why Read the Brief Unallotment Taking from the Poor, giving to the rich, http://minnesota.publicradio.org/features/200...

DFL AG defending Rep.Gov should be interesting Law suits sure get fast hearing, by CAse Fixing 2008 Tax/Election Delinquent re: http://sharon4anderson.wordpress.com/2009/09/... Forensic Files must Force the Courts to have allCases Electronically, Would Save alot of Money and make these Judges Accountable

[Incredible70]

"State officials won't know if they will have to borrow money for day-to-day operations until state economist Tom Stinson issues his next revenue forecast Dec. 2, Hanson said. The state wouldn't have to borrow until March, April or May, its "low-cash months." "

But you can be sure there won't be late welfare or Minncare payments. Or any service cuts. Just keep spending, DFL! Yes you can!

[Tom Shakopee]

We have the DFL Party, of course we are going to have to borrow. This whole short-fall is endemic of Democratic Leadership. Obama wastes a trillion dollars on a failed Stimulus Package and now he is freezing budgets...how is freezing budgets going to overcome a trillion dollars of spending waste as well as a doubling of our National Debt which is now 12.1 trillion. Add Healthcare and that would be 13.3 Trillion our kids get to pay for in the future. Write and call Senate to say NO to Obamacare and it's Governemental-Run Healthcare System.

Here is Obama's Freeze in Budget Article:
http://news.yahoo.com/s/ap/20091113/ap_on_bi_...

Liberalism is a disaster.

[Circular Process]

Will we be borrowing from banks that the taxpayers just bailed out?

[Smith_St_Guy]

I can name that tune in two notes: CUT SPENDING

[Von Mises]

Local FF wrote:

Tell Pawlenty to get his butt back to MN and do his job.

Seems like when he's doing his job is when the liberals whine the most.

The problem is not the recession, it is out of control spending and a failure of government to plan realistically for the reality of economic cycles. The liberal media lies and propagandizes about any political initiative that acknowledges that there are limits to an appropriate level of state spending.

[Von Mises]

Good Question wrote:

<quoted text>...Also, marijuana prohibition and jailing of non-violent drug users costs the state quite a bit each year...

Agreed, legalize and tax pot and stop jailing addicts unless they commit other crimes to get their drug money.

[LGA Larry]

The 10 States On The Verge Of A Fiscal Catastrophe
http://www.businessinsider.com/worst-state-bu...
It's not just California that's dragging the country down. Did you know Wisconsin was in trouble?
A new report by the Pew Center on the States, called Beyond California: States In Trouble, shows us the 10 that are weighing the country down.
The ranking looks at budget gaps, foreclosure rates, lost state revenues, unemployment, money-management practices, and where "super-majority" requirements are killing efforts to fix the financial mess.
Scores for each category are tallied for an overall ranking. We bring you the top 10, counting down from bad to worst. The higher score, the bigger the crisis. California gets a 30, while the national average is 17.
Of course, all states except for Montana and North Dakota faced budget shortfalls for fiscal 2010. And based on historical precedent, state budgets are likely to get worse, bottoming long after the national economy, with costs rising faster than revenue.

What do they have in common? Lots of "progressive" government.
#10 Wisconsin
#9 Illinois
#8 New Jersey
#7 Florida
#6 Nevada
#5 Oregon
#4 Michigan
#3 Rhode Island
#2 Arizona (Budget gap: 41.10%)
#1 California (Budget gap: 49.30%)
None of them are impressive, but AZ and CA are insane even by leftist standards.
Yahoo blames the fiscal problem on the “supermajority” when the real reasons for the problems are:
1. Regulations chasing business out
2. Illegals using state benefits
3. High taxes chasing business out of
4. Illegals
5. Environmentalists chasing business out
6. Did I mention illegals

[Leap Frog]

VOTE: DFL and Pay More and Owe More! You can tell the DFL owens this State and every other State thats broke! Now lets get to DFL OBAMA, the Country is Broke and he keeps Spending! I truly Hate Democrats as much as They Hate America!

[Sick of it all]

I realize this story is about Minnesota's shortcomings, but some on here are bashing Obama & the Dems for the $13 trillion US debt. The government was flat broke before Obama got into office. G-dubya & his Reps did a bang up job while he was in the saddle, didn't they? Forgive me if I am wrong, but that whole $13 trillion can't possibly be attributed to Obama, can it? Just curious what all the right wing pundits have to say.
I don't agree with everything Obama is doing, but you certainly can't simply pardon Bush from all responsibility in this mess.
As for the MN mess, doesn't TPaw typically have the final say in most matters? Didn't he use his line-item veto powers to "balance" the state budget? Where are the results? Just asking.