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August 12, 2010
Forcing States into Debt
The Obama administration just can't give up it's Chicago ways or it's blind big government ideology. The latest example is enshrined in the farcical bill passed during a special session of Congress. The New York Times describes the bill as "$26 billion in aid to school districts and states to prevent large-scale layoffs". That sounds good, until you look at the details. This mornings Wall Street Journal looks at the details and here is some of what it finds. "Specifically, the bill stipulates that federal funds must supplement, not replace, state spending on education. Also, in each state, next year's spending on elementary and secondary education as a percentage of total state revenues must be equal to or greater than the previous year's level." Drowning in red ink already, States aren't seeing Congressional deficit spending as a life preserver. State revenues are already down, why accept money that requires more spending ...(Read Full Post)