Gazelka on projected state deficit: Actions Speak Louder Than Words

Senate Majority Leader Paul Gazelka (R-East Gull Lake) released the following joint statement on the updated budget forecast:

“The state is going to have less money next year. About $4 billion less. That falls on the shoulders of the legislature to manage. We are doing everything we can to limit the negative financial impact of COVID, but it’s clear a holding pattern is not enough. 

“Today the Senate Rules Committee implemented a salary freeze for our own employees. We will likely impose a hiring freeze this month as well. The next most responsible move for state government is to renegotiate the second year of state employee contracts so thousands of state workers won’t face layoffs from budget shortfalls in the 2021 budget. We need to say, “no” to any new spending increases that won’t be reimbursed by the federal COVID relief funds or help us reopen the economy. And we must exercise caution when it comes to the bonding bill because every $100 million in borrowing costs the state $142.72 million in debt service over the next 20 years.

“Most importantly, we need to open the economy to revenues that fund essential government services. That’s why we’ve asked Mike Vekich and other top thinkers to work on this now as part of the COVID-19 Economic Recovery Taskforce. 

“At the end of the day, we need to be able to look into the eyes of the small business owner and the laid-off worker and tell them state government is making sacrifices too. Empathy is not enough. Actions speak louder than words.”