Posted on 11/26/2009 7:47:15 PM PST by Steelfish
Stalemate in Legislature Has New York Near Its Last Dollar
DANNY HAKIM November 26, 2009
ALBANY — New York State is running out of cash.
Without a budget deal, New York will be left with just $36 million in the bank by the end of December, according to current projections. And the money will last that long, officials say, only if the state chooses to fully exhaust its emergency reserves by tapping several billions dollars worth of temporary loans from its rainy-day fund and short-term investments.
For weeks, Gov. David A. Paterson has invoked the shrinking amount of available cash in an effort to provoke the Legislature to deal with the state’s $3.2 billion budget deficit. So far, the specter of such dire fiscal outcomes has been greeted with what amount to legislative shrugs, chiefly in the recalcitrant State Senate.
The stalemate in Albany is familiar, of course, and there are many lawmakers and experts who predict that the Legislature will act at the 11th hour, as it has before, to avoid the worst damage.
But with no end in sight to the negotiations, state officials are beginning to reckon with what could be an unprecedented cash crisis. And many say that even if the current deficit is closed, the state is at considerable risk going forward — less able, for instance, to borrow money because of worsening credit ratings and ill prepared for far more severe deficits ahead.
New York, which has a roughly $130 billion budget, the second-largest behind California, is certainly not suffering alone. The 50 states have faced cumulative deficits of more than $250 billion over their last two budget cycles, according to data compiled by the National Conference of State Legislatures.
(Excerpt) Read more at nytimes.com ...
The liberal mindset... spending into eternity without considering that the money might dry up.
Cut the social programs you idiots.....
The crooks in Albany live a life of luxury with limos, vast staffs, and colossal budgets.
Much of upstate NY is in permanent economic depression.
TARP to the rescue.....
Why not just raise taxes? That’s what liberals do best.
I heard that Congress in Washington was looking at a tax on stock and bond transactions. Paterson can run with this idea in the state of New York. As New York is the home of so much stock and bond trading, he can tap into that as a new revenue source. Right??????
Somewhere in heaven, Gerald Ford is chuckling.
When all else fails raise taxes.
There must be something they can do.
Sell the N.Y. State Thruway, or lease it to private business?
Any other state assets they can sell or lease? George Washington Bridge? the new Yankee Stadium?
Maybe Obama can bail out states such as New York and California? Since Obama doesn’t bat an eye at deficits in the trillions of dollars, what a few billion given or lent to New York to tide them over?
With so many states in trouble, a bailout by the federal government could happen.
Federal bailout WILL happen.
Its a great way for the Feds to supersede State authority.
I guess Bob Golisano and Rush Limbaugh paid MORE in State and City Taxes than the Politicos wanted to admit...
Those two LEAVE the STATE.. and we’re IMMEDIATELY BROKE.
makes one wonder!!
Just tax everyone who reads the Times. They won’t know any better because they’re idiots.
All these blue states are BANKRUPT.
I think we should do this at the national level. :D
New York ping
They’ve been doing that, and the people voted with their feet and fled. NYC has been bleeding financial jobs for over a decade, with many firms keeping an address there while they moved staff to NJ. I think NY state is losing a representative due to the population loss.
Hey its ok they can just eat all the hope and changey thingy they voted for.My tagline really applies to newyorkers.
Somewhere in heaven, Gerald Ford is chuckling.
Ford never really said those 2 words. He resorting to tough love by holding the city’s feet to the fire — Ford signed legislation to provide federal loans to the city, which were repaid with interest.
Ford narrowly lost NY in 1976, giving us the Carter debacle.
Thanks, I noticed it on their homepage. It’s placed like it’s on tomorrow’s front page.
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