So says The Washington Post:
Gov. Robert F. McDonnell (R) will announce Thursday that Virginia’s final 2010 budget surplus will be about $400 million, almost twice the previous estimate, state officials said.
About $229 million comes from tax collections. The remainder comes from unspent balances.
Wow! It’s amazing!! In this economy, we’re running a $400 million surplus!! Thank goodness we elected those fiscally responsible Republicans!!
(wow, that was hard to type)
But then you dig a little deeper and look at the details.
As part of the budget earlier this year, the General Assembly and the governor managed to “balance” the budget by skipping payments to the Virginia Retirement System to the tune of $620 million. Government entities will have to pay it back at some point with interest.
And here we get to the truth of the matter. Those “fiscally responsible Republicans” are balancing the state budget on the backs of public employees. All the bitching and moaning Republicans do about pushing off public debt to our granchildren, and they take the same approach? You hypocritical bastards.
Using the money that was supposed to go to public employees’ pension funds and claiming that the budget is not just in balance, but running a surplus? Enron played with their employees’ pensions, made their company look in better financial shape than it really was, and people went to prison for it.
And now, we’re on the hook for a future payment of over $600 million (plus interest). How in the world is this fiscally responsible? And the so-called “liberal, mainstream media” (I’m looking at you, Washington Post) doesn’t even bother to point this out?
Governor McDonnell, you need to be held personally responsible for this Ponzi scheme that you are pulling on the Commonwealth of Virginia.
(h/t to Lowell at Blue Virginia for the link to Doug Mataconis’ blog.)
All that money needs to be paid back. Better to start now.
Playing politics with our budget could ruin the Virginia Retirement System. Almost all politicians try to pass themselves off as being supporters of public education and public safety, yet some gamble with the financial future of public employees. Every cent of the $400 million “surplus” needs to go back to the VRS, so that the shortfall will be reduced to $220 million. And if the governor wants to brag about this “surplus” hopefully he’ll have the decency to recognize the federal government for the financial assistance it provided to Virginia.
Elaine has a great analysis of the math up on Blue Virginia:
Budget Surplus Lie Grows Like Pinochio’s Nose
Democrats control the Senate, so they own a piece of this as well, but the buck stops with the Governor. And he’s going to flaunt it for all it’s worth, without telling the whole story.
Your observation about Enron is SO TRUE! It’s the same financial hubris that is running our state right now. Play fast and loose with people’s money and then walk away when it goes ugly.
Republicans make a mess of the commonwealth, and Democrats come in afterwards to clean it up. Same as it ever was.