Thursday, March 19, 2009
Sarah Palin is going to catch a lot of grief for this:
Gov. Sarah Palin just told reporters that she’s accepting only 55 percent of the federal economic stimulus money being offered to Alaska. The governor said that she will accept only about $514 million of the $930 million headed to the state.
“We are not requesting funds intended to just grow government. We are not requesting more money for normal day-to-day operations of government as part of this economic stimulus package. In essence we say no to operating funds for more positions in government,” Palin said.
Good for Governor Palin and Alaska. She understands that this money is like an addictive drug -- accept it today, depend on it tomorrow, and come up short a few years after tomorrow when the dealer stops supplying the goods for free. Unfortunately, it is a course of action that is not so easily available to states without a lot of oil to export or which have already spent their way into fiscal catastrophe.
The real razor blade in that Federal apple is the permanent changes in state law that states that accept the money have to make. *This* year may be saved, but *next* year the state has to cough up a whole lot more money, and the year after that, and so on...