Today I was reading an article in our local paper that made me wonder what kinds of fools we must have running our state government. Have you ever seen the movie Idiocracy? We’re headed down that road.
The State of Maine enacted a law that went into effect on May 1st of this year that requires retailers that sell gift cards in the State to turn over the full value of “dormant” cards to the State. Yep, remember that gift card that you received for your birthday from grandma two years ago and misplaced somewhere? The State thinks they are entitled to that money under an “unclaimed property” law. This seems ludicrous enough by itself but it’s worse.
In this budgeting cycle’s figures the State number crunchers estimated they would collect $28.6 million dollars under this new law. Yes, they budgeted this money and essentially have spent it or are planning to spend it. They apparently never considered the possibility that not a single retailer would pay the money to the state.
There’s a huge budget crisis in Maine. The State Treasurer’s office estimates that there’s going to be a $95 million dollar budget shortfall for next year. Who wudda thunk it? They planned on receiving a $28.6 million windfall from the new gift card law and it doesn’t materialize? Is there anyone in State government second guessing these ludicrous revenue estimations?
It’s blunders like this that fan the flames of a taxpayer revolt. The folks we’ve elected to represent us have some very, very difficult decisions ahead of them. The only logical conclusion is that they are going to have to make budget cuts. I won’t hold my breath. They haven’t been able to reach consensus on how to trim $10 million from the previous budget I’m really curious how they are going to find $95 million. Maybe they will hit the lottery?
I’m fearful there’s not enough courage and political will in Augusta to finally do something about the State’s out of control spending. This revenue projection fiasco is exactly the kind of catalyst to force a change in spending patterns. Somehow I doubt they’ll be able to muster enough support to cut even 50% of the budget shortfall. We simply can’t afford any additional taxes. If the Legislature is forced to raise taxes as a result of the Idiocracy’s revenue projecting skills the response will be in the form of an updated Taxpayer’s Bill of Rights referendum question on the ballot in the next general election. There’s a damn good chance it would pass this time too.