The state budget is a mess. Let's take a look at the history of how we got here. All quotes are from the Republic.
The Governor inherited a mess.
The state budget is in a $1 billion free fall. Many parts of public education are receiving lousy grades. The state universities are pushing to reach new heights but remain uncertain whether tuition should be as expensive or as close to free as the law allows. January 1, 2003
Bob Robb, for one questioned her solution.
Although Napolitano inherited the large gap between same-year income and expenditures, she proposes to paper it over with more than $300 million in borrowing. That's a decidedly un-New Democrat thing to do. It also happens to approximate the budget cuts Napolitano promised but has not delivered. Bob Robb April 2003
Nevertheless 2003 went well for the Gov.
Since Gov. Janet Napolitano grabbed Arizona by the lapels a year ago today, life just hasn't been the same.
"The budget deal was a superb performance," said Alfredo Gutierrez, her Democratic rival in the 2002 governor's race. "She showed that she could command the details of the budget better than anyone in the Legislature. She just stared everyone down." January 6, 2004
And 2004 was looking really good.
An improving economy has tax revenues pouring in at about $150 million over forecasts through the first half of the fiscal year, legislative leaders said Tuesday. That upward trend could shrink their projected shortfall for the 2004-05 budget from approximately $900 million to $400 million to $500 million. January 7, 2004
By 2005, there was some debate about the future.
This year's mantra from Republican leaders is "get rid of the structural deficit." In the past couple of years the state budget has relied on some financial gymnastics to avoid gutting programs that are crucial for future economic growth. We should recognize that some spending is an investment, which will pay off in the future or save dollars down the road. January 9, 2005
In 2006 things looked really good.
Arizona is a land of milk and honey this year. The state budget is overflowing, with an expected surplus of $850 million as the Legislature heads into its 2006 session. What a turnaround. Just a couple of years ago, the budget overflow was red ink. January 8, 2006
Gov. Janet Napolitano unveiled a $10.1 billion state budget Tuesday designed to fix what's broken in Arizona: the education system, immigration, the health care system, social services for families and state employees' pay.
The budget surplus has risen to about $1 billion, providing what could be a one-time opportunity to remedy ills that have plunged Arizona to the bottom of rankings in education, state-employee salaries and other areas.
"We have to do more than penny ante stuff, or we won't get where we want to go," Napolitano said in presenting her 2006-07 budget, which would increase spending by 20 percent. January 18, 2006
Len Munsil announces he's running for governor and complains about the state's fiscal management. The Republic's Chip Scutari is in full defense mode.
Despite the occasional empty gesture, Napolitano has also been far from a do-nothing governor. She held the line against budget cuts for education during the lean years and used her political leverage to begin phasing in state-paid all-day kindergarten. Feb 19, 2006
Napolitano makes Arizona's fiscal strength a major issue in her re-election campaign.
Napolitano's camp points to the state's improved fiscal standing under her leadership, especially the billion-dollar budget deficit she inherited that became a billion-dollar surplus this year. The state economy remains one of the nation's best. Sept. 14, 2006
Immediately after the election, the press was willing to admit that there was trouble ahead.
She inherited a state deficit that grew to $1 billion soon after she took office in 2003, and she helped balance that budget and lead the state to a surplus of more than $1 billion in the years to follow. The boast was central to her campaign for re-election earlier this year.
But now some experts are warning that the state is sliding back toward the red for the first time since 2004. December 24, 2006
Full speed ahead for 2007
The budget may be tighter, but Gov. Janet Napolitano on Monday is expected to say this is no time to let up when it comes to planning and preparing for future growth, especially regarding education.
She is expected to push for funding to hire more K-12 teachers and to expand the capacity of Arizona colleges and universities. She will advocate more math and science for high school students and a two-year increase in the minimum dropout age to 18.
And she is expected to pursue an additional pay raise for teachers. Building on last year's increase, that would mean a minimum salary between $30,000 and $35,000 for starting teachers, an across-the-board pay hike for existing instructors and an additional bump for those specializing in math, science and special education.
"We need to look at children as they start school, what they learn in school and what they know when they graduate," Napolitano told The Arizona Republic. January 7, 2007
What goes around comes around. Here's the report from earlier this week.
The result is a deepening state budget shortfall that's now pegged at $970 million for fiscal 2008. Unless significant cuts are made to ongoing state spending, as opposed to relying on one-time cuts and the use of reserves, the economists warned that the deficit could grow to $1.8 billion by fiscal 2009. The projections were offered by the Finance Advisory Committee, a panel of economic experts that meets periodically to offer guidance to legislators and their budget staff. December 11, 2007
Lest the Governor's apologists trot out the tired Shibboleth that tax cuts caused the deficit, let me once again include ATRA's Spending and Revenue Graph. It's a bit out of date, but clearly shows that while revenue has dipped recently, it remains nearly 80% higher than when the Governor took office. If spending had been held to a reasonable level, the state budget wouldn't be a billion dollars in the read.
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