Well, it took a few years, but Governor Lynch has finally acknowledged that if something isn’t done about spending at the state level, we will finally reach a true crisis point. Since he is still somewhat surprisingly committed in his opposition to new broad-based taxes here in the Granite State, what other choice does he have? Because of the revenue streams as they are presently structured, there is a limit to how much government can grow—which is exactly the point. With people writing actual checks to the government, whether to pay taxation on real property, business profits, interest dividends, or the meals and rooms tax, they are more keenly aware of how much monies they turn over than if they paid 52 weekly installments via their paychecks. In this atmosphere, it is much more difficult to ratchet up spending, as it is experienced in a more direct fashion. When politicians do so, therefore, it leaves them more vulnerable to angry public reactions. This is the essence of our smaller, slightly more limited government here in New Hampshire.
At least that’s the way it is at the state level. And with the economy in the tank as it is at present, causing the rosy revenue projections upon which the existing state budget is based —as crafted by the Democratic majority—to be way off the mark, spending MUST be reduced. And certainly, like in the “real world” of the private sector, this means reducing the number one driver of costs: payroll. As reported last Friday by the AP,
“Gov. John Lynch says layoffs will be unavoidable in the budget he is preparing for the next two years. Lynch said Thursday he is looking at every dollar the state spends to determine what spending is necessary and what services can be cut or delayed. He said some state programs will be eliminated which means there will be layoffs.”
What other choice does the Governor have? With unionized state employees unwilling to forego this year’s raises of over five percent, he has few other options. Oh sure, there have been other cuts passed, such as yesterday’s $16 million round of reductions passed by the NH House, but that still leaves the budget with a huge deficit hole to be filled –by some estimates, $65 million by the year’s fiscal end on June 30. With personnel being among the largest cost drivers in any budget, there is no other alternative.
It’s too bad, however, that when it comes to lesser level government down the food chain, the attendant “leaders” and their usual water carriers and cheerleaders can’t follow Lynch’s example.
Oh no, because when it comes to spending and business as usual, it is, well, business as usual. Witness the budget process here in Belknap County. Despite the fact that revenues from both the federal government and the state are evaporating at an ever-increasing pace, the politicians and bureaucrats cannot part with a single dollar. And don’t think that they aren’t aware of the coming fiscal problems—why else would the County Commissioners initially propose the (rightful) cuts and elimination of certain county-funded programs and outside agencies, knowing the uproar this would cause among the various factions and constituency groups each carries?
I won’t rehash (again) the ensuing mob scene led by a retired judge (that doesn’t even live in Belknap County!) that scared the Commissioners into reinstating some of the cuts, and sub-committee members of the Convention, apparently, to put back the rest. You see, every dollar is precious… every last cent is sacred—especially to those financially benefiting from the ongoing spending on the varied programs and their willing tools holding political office. With raises for county employees topping 5% plus perks like longevity pay on top of the outside agency cottage industry, you can see that the only thing sacred is protecting everybody BUT the hapless county taxpayers.
Sadly, this mentality continues down to the local level as well. Over in Laconia, the Fire Chief moves ahead with his plan for a new multi million dollar firehouse. Whether he uses federal bailout dough or dollars wrung from that economically wreaked city (the coffers having already been raided by the county, as noted above), he’ll get his new edifice. Because the voters have no direct say, who’s going to stop the Chief? The City Council? Hah! That’s a laugh.
In Gilford, regardless of the reality of a rapid and precipitous decline in elementary enrollment, and despite the approval of the administration, the school board, the budget committee and the building level administrators, including the present (albeit, outgoing) principal, there is a cadre of people including teachers, mothers whipped into hysteria, volunteers, and spouses, who, as they have stated in the pages of this newspaper, will NEVER accept staffing cuts of any kind, no matter what the statistics reveal. Facts need not apply for these folks. After years and years of growing, bloated budgets, fat teacher contracts and building renovations and construction, these people will NEVER be able to handle actually being offered LESS, no matter who’s proposing it—even their long time allies at the top. Every dollar’s precious. Every cent is good. And if a dollar’s ever kept from them, they—the big spenders and direct benefactors—get quite irate. Just watch them.
Oh, I’d be remiss if I didn’t say “dittoes” for the Gilford Library crowd. They’re likely to get just as hysterical as the school people when asked for a little compromise and frugality. It’s too bad they couldn’t all be a little more like our Governor.