The bottom line swells, and swells, and…

Annoyingly clear thinking from Don Pesci:

The rich ain’t gonna get us out of this ditch.

Here’s why: The real problem in Connecticut has been caused by accumulative excessive spending, a problem only a brave few in the legislature want to solve.

Prove it, doubters say. The proof is in the astounding growth of the bottom line of the budget. The 8 or 9 billion deficit yet to be discharged is larger that the last pre-income tax budget of a little less than two a decades ago. And the present budget is three times as large as that more modest $7.5 billion budget; that’s an increase of an entire budget for each of the three governors who followed the late Gov. William O’Neill into office. Collectively, these governors, and the legislators who during this period used budget surplus after budget surplus to increase spending, are the problem.

Read the rest here: Permanent Spending Cuts, Temporary Taxes.

Pain on the way as State, towns grapple with budget cuts

When the chickens come home to roost as they eventually do it’s a safe bet that you don’t want to be sitting under the roost.  So, I’m cringing as I think about how our debt habit is finally starting to hurt us in ways that really count.  What’s going to get cut? Who’s going to get hurt? And will we learn the larger lesson about the borrower being the servant to the lender?

There’s lots of misery to go around, apparently.

Courthouses: Will the Derby courthouse close? Local businesses would suffer, other courthouses which already lack space would have to pick up the slack. (story)

Nursing Homes:Representatives for Connecticut’s nursing homes are warning that budget cuts proposed by Gov. M. Jodi Rell and the legislature’s Democratic leaders could cost thousands of jobs at facilities across the state, and might plunge currently stable facilities for the elderly into financial peril.” (story)

It’s not only the State of course, but towns are varied as Greenwich and Hartford that are seeking ways to cut expenditures, raise taxes or both.

The next shoe to drop: commercial real estate.

Continue to pray for the Governor and all our State legislators.

Demographic Winter hits Connecticut

Biting like the winter chill that brought the mercury down to -7 F here in Western Connecticut the other morning, Demographic Winter – the coming population collapse – is hitting Connecticut. We’ve written about this before (see post here) and we agree with those who say that the entire developed world is headed for disruptive declines in population. Of course, this runs counter to the expectations of those who were schooled in the 60’s and 70’s, who were inculcated with a strong belief in the threat of world overpopulation. However, factors such as the legalization of abortion, the popularization of homosexuality, and the delay of marriage have created a disastrous decline in the fertility rate. In many nations, women are bearing children at a rate which isn’t even sufficient to maintain the existing population, much less to increase it or create a “population explosion.”

As a little thought will suggest, this wave will hit the so-called “blue states” and thoroughly secularized nations first and hardest. So I was interested to see a frank discussion of this (hat tip: WoodstockTruth.com) from none other than the Connecticut State Data Center. In a remarkable document, it seems that the State Data Center has even adopted the rhetoric of those concerned about Demographic Winter, issuing a press release entitled “Where Have All the Children Gone?“  This document should be read and clearly understood by all. If the State school enrollement peaked last year and is going to decline 17% by 2020 – not so far away – what does this say about the viability of our State economy and institutions? In other words, if you think taxes will go up and services be cut this year, just wait!

The press release says:

Orlando Rodriguez, Demographer and Manager of CtSDC, states:

“We have been expecting this downward enrollment trend to begin. The leading edge of Baby Boomers are approaching retirement and the trailing edge of their children have aged beyond K to 12 schooling.”

In Connecticut, the public school population, grades 1 to 12, peaked at approximately 523,100 in the 2003/4 and 2004/5 school years. This population dropped to approximately 516,400 in the just completed 2007/8 school year. CtSDC projects that this population will continue to decline, reaching a low of approximately 432,300 in 2020. This is a loss of approximately 90,800, or 17%, from the highs of 2003/4 and 2004/5.

Low fertility rates are the root cause of this decline. The Boomer generation, now approaching retirement, had fewer children than their parents. Thus the size of the “Echo Boom” generation, the children of Boomers, is smaller than that of the Boomers. In effect, Boomers did not replace their own generation. Looking forward, Echo Boomers are expected to have lower fertility rates than their parents thereby exacerbating the projected decline. Each progressive generation is failing to replace itself.

It is unlikely that the enrollment peaks of 2003/4 and 2004/5 will return. Connecticut has some of the lowest fertility rates, across all ethnic groups, in the country. Foreign in-migration is too low to offset a long-persistent pattern of domestic out-migration. Indeed, Connecticut’s population is skirting negative growth with only foreign in-migrants keeping the population numbers afloat. (Emphasis in the original.)

This is alarming. The anti-life, anti-marriage, anti-fertility doctrines of the secular left do have consequences, consequences which we are only beginning to see but which will undoubtedly cause great hardship and something else, too: a diminution of the joy within society as we become ever more childless.

See a fuller report on enrollment projections here.

State deficit deepens

I guess that’s a good way to put it… after all, chasms are deep! This one is over $900 million deep.

Whatever people may think about Mrs. Rell, it doesn’t look like she’s one to candy-coat things. From the Republican-American:

“It is grim and it is getting grimmer,” Rell said.

On Jan. 1, State Comptroller Nancy Wyman reported the adopted $18.4 billion budget was running a $343 million deficit.

Wyman will upgrade her official estimate on Feb. 1 based on the latest figures from the governor’s budget office.

Robert L. Genuario, the governor’s budget director, said income tax collections are $665 million below projections.

Rell and the legislature budgeted more than $7.6 billion in income tax revenues this year.

Genuario also reported the revenues from the corporation tax are $100 million below projections and sales and use taxes are off $15 million.

The corporation tax is budgeted to raise $791.5 million this year and the sales and use tax is budgeted to raise $3.7 billion.

“The economic tempest that has already ravaged so much of the nation has now made landfall in Connecticut with all of its fury,” Rell said.

Please watch and pray for all those affected by layoffs, foreclosures, etc.