A glimpse into the future?
Wednesday, May 21, 2014
* Remember this story from February 2011, the month after Illinois enacted an income tax increase?…
Gov. Christie had earlier vetoed a bill to restore an income tax surcharge on millionaires and has handed out a ton of money in corporate tax breaks. He has opposed every tax hike measure that has come down the pike.
Keep in mind before we continue that just about every penny of Illinois’ tax hike has gone to make the state’s pension payments.
* New Jersey’s fiscal chickens have now come home to roost…
Actually, this means the chickens won’t be roosting until Christie leaves office.
* This isn’t meant as an endorsement of an income tax hike extension here. It’s simply a reminder that a state has to pay its bills. Gov. Christie stuck to his orthodoxy through thick and thin. And now, his state’s pension crisis will become much worse.
Christie, by the way, has given bigtime support to Bruce Rauner, who has blasted the new pension reform law for requiring the state to make its full pension payments. Rauner also says he wants to get rid of the income tax hike, but won’t say how he’ll fund government after that happens.
Like Christie, Rauner will almost assuredly have to deal with a hostile Democratic legislature. You gotta wonder if New Jersey is a template.