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Chester County Press

Uncle Irvin: Loan for current expenses is a cowardly act

07/11/2017 01:24PM ● By Richard Gaw
The idea that the Pennsylvania State General Assembly and Governor Tom Wolf are even considering borrowing billions of dollars at a 4-to-5-percent interest rate to pay for last year's budget shortfall and to help fund this year's budget is fiscal insanity of the first degree.
You don't need to have an MBA to know that government borrowing, in lieu of raising taxes or cutting spending, costs taxpayers, damages the state's financial ratings and inhibits job growth and a sound economy.
Neither the Governor nor General Assembly even discussed reducing the government employees and teacher pension funding and converting the whole program to a 401(k), which would save billions in property taxes for homeowners.
The Governor and General Assembly don't care if they do financially stupid things as long as they can tell their constituents that they didn't raise taxes – and run unopposed for re-election and all those state goodies, year after year.

(Uncle Irvin's column is his opinion only, and is not a news story.)