Speer: It’s going to get worse before it gets better
Bill SpeerThe news around here lately hasn't been pretty. It seems nearly every story contains mention of budget cuts, positions being eliminated or services curtailed.
While all of us make great "Monday morning quarterbacks," the job is a lot tougher for our elected officials who are used to working with pencils and paper but these days are forced to deal with scissors and scapels.
This morning take out your tool of choice and jump into this discussion as well. What programs do you believe are worth preserving, which should be curtailed or where do you plan on finding more revenue to prevent any of it? Remember, money doesn't grow on trees.
And, as you make your decisions also understand that like it or not, we're probably talking about even less revenue to work with in the years ahead. In other words, this "slash and burn" budget process might become the new norm, and not an exception.
The recently released Pew Center study on the states, for instance, listed Michigan as one of 10 states facing a severe financial crisis.
"The state of Michigan still has to learn all things that being a poor state means," said Donald Grimes, a senior research specialist at the University of Michigan. He said when the 2009 data is released by the Bureau of Economic Analysis, he expects Michigan to be in the top 10 of poorest states in the country.
Here are some startling statistics from that study:
- If Michigan's population had been 100 people in 2001, it would be only 101 in 2008.
- The number of those 18 and younger would have shrunk from 28 to 24, while the number of those 65 or older would have grown from 11 to 13.
- Those unemployed would have grown from two to four, while those 19-64 not working, nor seeking jobs, would have grown from 10 to 14.
Is it any wonder local governments and schools are facing financial difficulties?
Alpena Public Schools Superintendent Brent Holcomb said in a story Thursday dealing with district budget concerns that it's not like school officials across Michigan "suddenly got stupid" when it comes to finances, but rather the state has reduced the revenue for all districts.
The same is true for county, city, village and township governments with state revenue sharing funds.
Thus, in addition to the proposed cuts at APS, we also have had numerous stories recently out of Alpena County regarding its budget cuts. Other local governments also are wrestling with their budgets right now. It is not an easy, nor a pretty process.
Unfortunately, it probably won't get better.
Holcomb, in a letter to employees outlining the situation prior to this week's finance committee meeting, wrote "I'm afraid all signs indicate education funding will get worse before it gets better."
I'm afraid he's right. At least that's what the Pew study reveals as well.
"Michigan's recovery is going to be a long haul," it states. "Even if the state were to immediately begin growing at the rapid rates of the 1990s, it would be 2025 or 2030 before it replaced all of the jobs it lost in this decade."
Those are sobering statistics to begin the day with this morning.
Is it any wonder this crisis is like a snowball rolling down the hill out of Lansing?
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aharrisjlodge
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11-25-09 8:16 AM
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ExcellTrinity
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11-24-09 12:05 PM
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I've been saying this for a long time now. Folks need to start putting away food stores for hard times ahead. Preparation is smart. Apathy is stupid...and deadly. Until people change their apathetic ways, Lansing will remain the same. The worse it gets, the more people will demand from Lansing. Our pursuit of happiness is our responsibility, not governments'. There has never been a democracy that has not committed suicide. Apathy = death!
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