Tony Sertich: Pawlenty plan mortgages the state's future

Which is exactly what the governor said we shouldn't do. And we shouldn't.

By TONY SERTICH

Last update: February 10, 2009 - 8:43 AM

Minnesota faces a budget crisis of historic proportions that will not easily be solved. It is so large that if we laid off every single state employee, including the men and women who staff our prisons, it would not balance the budget. The budget decisions we make over the next few months will not only address our immediate needs but also will determine the future of our state.

Less than two months ago, Gov. Tim Pawlenty weighed in on the federal economic recovery plan by saying this: "Americans don't need a Nobel Prize winner to understand we can't solve a crisis caused by the reckless issuance of debt by then recklessly issuing even more debt." And yet, contrary to his earlier edict, the budget he proposed is primarily built on issuing new debt.

The governor wants to borrow $1 billion for today's deficit and pay it back over the next 20 years out of the general fund, with interest. Not only does it appear to leave a $1 billion hole in the budget, he wants to pay the state credit card with another credit card. This is not only fiscally unwise, it also spends money that tomorrow's leaders will need for other purposes. This is a shortsighted approach that turns a $983 million loan into a $1.6 billion debt. This additional $600 million will be passed on to Minnesotans to pay -- notwithstanding the governor's claim that he does not raise taxes.

If borrowing is to be part of the solution, let's use the time-honored method of bonding to create jobs, fix schools or build roads. The governor's borrowing gets us nothing more than a temporary budget patch.

Since Pawlenty took office six years ago, our state has faced five deficits; this plan simply continues that unfortunate trend. If the current deficit were an isolated occurrence, one that could be fixed simply by getting our hands on enough money to bail us out this one time, his plan might have some merit. If we have learned anything, however, it's that these one-time fixes not only do not work, they actually make our budget problems worse.

We know that real cuts will be necessary. However, for a $5 billion deficit, less than half of the governor's proposal is based on cuts. He understands we cannot simply cut our way out of this deficit. We'll make cuts first, and if a hole still remains, it is our responsibility to consider every tool available to bring about both the short- and long-term economic recovery of our state.

Given the magnitude of the challenges we face, not all the answers can be found within the walls of the State Capitol. A bipartisan group of legislators will travel to all four corners of the state, where we will seek the ideas and input of average Minnesotans. We will ask the citizens of Minnesota to share with us their priorities for the future of our state, and we will work with them to make their ideas happen.

Tony Sertich, DFL-Chisholm, is majority leader in the Minnesota House of Representatives.

Recent Commentary stories

Google roundup: Hear, hear, for standing up against evil - February 10, 2009

Google roundup: Hear, hear, for standing up against evil - Google may not win its fight against the Chinese government, but bless it for trying. More

Comment on this story | Read all 7 comments | Hide reader comments

About Opinion Exchange

Opinion Exchange is produced by the Editorial Department, which is dedicated to hosting the discussion on a range of issues of interest to Star Tribune readers online and in print. In its new format, it's our hope that Opinion Exhange will create a more dynamic dialogue between Star Tribune readers and the Editorial Board. Many individual posts will be written and signed by members of the Editorial Board and will reflect their own opinions. Daily editorials will continue to represent the institutional voice of the newspaper and be researched and written by the Editorial Department, which is independent of the newsroom.

Subscribe to RSS|Learn more about RSS