February 2, 2009: Legislative Report #10
Why Balance the Budget?
On Thursday January 29, 2009, Nick and I attended a hearing of the Capital Investment Finance Division in the basement hearing room of the state office building. On the agenda the Legislative Auditor's Report on General Obligation Bond Expenditures, Internal Control and Compliance Audit. During the presentation, legislators asked a variety of questions.*Phyllis Kahn (DFL) 59-B asked the question “what happens if we do not balance the budget this year…” We listened as a peculiar laugh came over the other legislators. For the next, few minutes’ discussion occurred around the possibility and consequences of such an action by the legislature. Eventually “reason” somewhat prevailed and the meeting continued.
I have concern when an elected leader can suggest not balancing Minnesota state budget during a hearing. Even more of concern to me is the inquiring reply of the remaining house members. Other House members had a responsibility to dismiss Phyllis Kahn’s comments as inappropriate for consideration and discussion.
As our state continues the economic slide, state revenue continues to drop, and our budget shortfall exceeds $7,000,000,000.00, providing a balanced budget becomes even more difficult. Making the necessary decisions to balance the state budget against competing special interests becomes even harder. The idea of “not balancing a budget” now competes with the Constitutional obligation of legislative leaders to provide a balanced budget.
The question now is will the “Rule of Law” prevail over political posturing.