Proof that North Dakota Can Afford a Tax Cut
I think it’s time the state quits poor talking us.
BISMARCK, N.D. (AP) - Estimates of North Dakota’s budget surplus now total $740 million, and the state’s budget director says the number is likely to grow still larger.
Current estimates say North Dakota’s general fund treasury, which is financed mostly by taxes on income, sales, energy, tobacco and corporations, should have a balance of $271.1 million when the state’s two-year budget period ends on June 30, 2009.
A separate fund for surplus oil tax collections is expected to have at least $268.9 million. North Dakota’s treasury also has a “rainy-day” fund that can be accessed during budgetary difficulties; it now has a $200 million balance.
So even though the state went nuts last session with a 23% increase in spending the general fund can afford to give a tax cut.
In fact last fall House Majority Leader Rick Berg said that 10% of the 23% (nearly half) was in one time spending. We should expect them to hold the spending to last years total. After all that would amount to an 11% increase in spending, more than enough.
I mean when the Republican leadership said that was one-time spending they meant it right?
The Rainy day fund at $200 million is plenty for any foreseeable contingency. The oil trust fund is meant to be saved in order to provide for the future when oil revenues are lower. Leave that money alone and spend the interest. The $270 million surplus CAN all be returned to the taxpayers.
There everyone’s happy, that is except for the greedy folks in government positions. But after all they GOT their cake last year. Now it’s time for the regular folks to benefit from the good times.
welder4
realitybasedbob
Halatbis
Kenny
Carrick
Mickey
The Whistler
WOOF
kbiel
Angry Vertebrate
