The Governor's reliance on more than $2 billion of one-time funds in his $31.7 billion fiscal 2011 budget will require major budget cuts in 2012. According to the Foundation's analysis, even if revenues grow by $1 billion in 2012, the state would still confront a $2.5 billion shortfall with virtually no state and federal reserves to help close the gap. In addition, should the voters this November approve a ballot initiative to reduce the state's sales tax from 6.25 to 3 percent, the state will face a $5 billion structural gap in fiscal 2012, as well as an immediate $1 billion revenue shortfall in fiscal 2011.
In a presentation to business and government leaders, MTF President Michael Widmer described the global recession's enormous impact on state and local finances and the state's dependence on $5 billion of one-time state and federal funds to balance the fiscal 2009 and 2010 budgets.
Links:
[1] http://www.masstaxpayers.org/budget
[2] http://www.masstaxpayers.org/publications/public_finance/budget/fy_2011/20100816/maximizing_value_our_human_services_dollars
[3] http://www.masstaxpayers.org/files/MTF_human_services.pdf
[4] http://www.masstaxpayers.org/publications/public_finance/budget/fy_2011/20100606/senate_2011_budget_proposal
[5] http://www.masstaxpayers.org/files/Summary.pdf
[6] http://www.masstaxpayers.org/publications/public_finance/budget/fy_2011/20100324/the_state’s_enormous_fiscal_challenges_a_turbule
[7] http://www.masstaxpayers.org/files/boston_econ_club_3_24_2010.pdf
[8] http://www.masstaxpayers.org/publications/public_finance/budget/fy_2011/20100309/state_and_local_finances
[9] http://www.masstaxpayers.org/files/state_local_finances_Mar_10.pdf
[10] http://www.masstaxpayers.org/publications/public_finance/budget/fy_2011/20100301/governors_2011_budget_the_worst_yet_come
[11] http://www.masstaxpayers.org/files/Gov 2011 budget bulletin with header 2a.pdf
[12] http://www.masstaxpayers.org/publications/public_finance/budget/fy_2010/20091210/state_fiscal_crisis_no_end_sight
[13] http://www.masstaxpayers.org/files/State fiscal crisis bulletin with header.pdf
[14] http://www.masstaxpayers.org/publications/public_finance/budget/fy_2010/20091009/mtf_forecast_fiscal_2010_revenues_600_million_be
[15] http://www.masstaxpayers.org/files/revenue forecast with header_oct_09.pdf
[16] http://www.masstaxpayers.org/publications/public_finance/budget/fy_2010/20091006/state_and_local_finances_update
[17] http://www.masstaxpayers.org/files/econ_presentation_10_06_09.pdf
[18] http://www.masstaxpayers.org/publications/public_finance/budget/fy_2010/20090914/overview_state_and_local_finances
[19] http://www.masstaxpayers.org/files/mass_fiscal.pdf
[20] http://www.masstaxpayers.org/publications/public_finance/budget/20090806/massachusetts_taxpayers_foundation_receives_prestigious_
[21] http://www.masstaxpayers.org/files/gra_award.pdf
[22] http://www.masstaxpayers.org/publications/1?page=1
[23] http://www.masstaxpayers.org/publications/1?page=2
[24] http://www.masstaxpayers.org/publications/1?page=3
[25] http://www.masstaxpayers.org/publications/1?page=4
[26] http://www.masstaxpayers.org/publications/1?page=5
[27] http://www.masstaxpayers.org/publications/1?page=6
[28] http://www.masstaxpayers.org/publications/1?page=7