Friday, October 05, 2012

Good Job Gov. Markell!!

A report by a non-profit, non-partisan public policy research organization indicates Delaware has the 10th highest per-capita debt in the nation.
State Budget Solutions' third annual State Debt Report shows that The First State has $14.5 billion in debt, or about $16,012 for every man, woman and child in the state.

Alaska ($31,141), New Jersey ($29,252) and Hawaii ($29,062) took the top three spots.

Overall, state governments face a formidable collective debt load of more than $4 trillion, or about $13,425 per American citizen or $37,486 for every private sector worker in the nation.

The report notes that private sector workers are at increased risk "as they are the ultimate tax base for reducing state debt."

The report also has something to say for those who try to explain Delaware's Top Ten ranking as a function of population: "Small population is not necessarily an indicator of the size of debt per capita or private sector employee. Nebraska, Idaho, South Dakota, North Dakota, Arkansas, Utah, Vermont, and Kansas are all states within the bottom twenty of both state debt per capita and per private sector employee. Each is also among the twenty lowest populated states

Delaware State House Minority Leader Greg Lavelle, R-Sharpley, noted that the recent growth of state spending is unsustainable without higher taxes or more borrowing. "Delaware's current operating budget is nearly a half-billion dollars higher than it was just three years ago (FY 2010)," he said. "That's an increase of more than 16-percent."
Legislation that Rep. Lavelle sponsored -- House Amendment 1 to Senate Bill 258 -- sought to require that 25-percent of the money Delaware collects from escheat (abandoned property including stock, bank accounts and other assets) be used solely for paying off the state's debt. The measure was defeated on a voice vote in the House in June.

From the Delaware House of Representatives Email/Newsletter.
For more on this go here;

It is a shame but Delmar Delaware is following the State and National example and borrowing more and more.  I think at this time the town may be at it's highest debt since the original Waste Water Treatment Plant construction back in the 1980's.


Dixie said...

As far as the state goes, less people working, means less taxes being collected.
This means that the state should have realized this was coming and stopped spending!
Trouble posting with blogger!

Howard said...

Blogger sucks anymore, I usually have to enter the same post twice before it takes.