So much for that structurally balanced budget Kasich’s been talking about.  From Gongwer:

Ohio’s coffers started the first month of the new fiscal year slightly in the red compared to state analysts’ projections, with a dip in personal income and tobacco taxes the main culprits.

When income taxes, cigarettes, and non-auto sales tax all come below estimates, estimates the Kasich Administration claimed were already conservative in their growth, you’ve got an economic problem on your hand.

Now, let’s reiterate here.  The last six months of Ted Strickland’s last budget showed the State consistently come in with above projected revenues.  Kasich’s budget, right out the gate, has a deficit.

The first month of the Kasich budget and we already have a revenue problem.

We saw this coming.  Just two days ago, I wrote that it’s only a matter of time before Kasich has to admit that his budget might be running a deficit.

Who said that cutting government spending at the state and local level would be a drag on the economy in Ohio?  Only the Ohio Governor’s Economic Council in February 2011.  Where did we find this quote?  Oh, it was only buried in the Governor’s Executive Budget on page B-3 under that obscure budgetary chapter called “Economic Overview and Forecast.”

What does [bad consumer spending & manufacturing numbers for July] mean?  Well, first it means there could be a chance that the State incurs a budget deficit if the economy slows down enough that revenues come in under the estimates which, again, were based on consumer spending and new orders for business equipment keeping a steady, consistent, strength in the economy. They also expected from June 2011 until June 2012 that unemployment would drop at least .5%.  It’s gone up .2% already.

So, folks, what do you think Governor Kasich will do if the economy underperforms and that creates a deficit in his budget?

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Ohio Governor John Kasich stands ready to cut state spending if revenue slows as the economy sputters following what the former congressman called the “chaos” surrounding the debt-ceiling debate in Washington.

Kasich, 59, a first-term Republican, has told his budget director to monitor revenue collections so any emerging deficit can be averted, he said yesterday in a telephone interview.

Governor DERPOur State is bleeding, and Dr. Kasich stands at the ready to save the patient with more leaches!

We have a revenue problem, not a spending problem.  Our jobs report in June showed Ohio’s unemployment going up because budget cuts at the state and local government level caused by Kasich’s budget lead to massive layoffs.  Now Kasich’s new jobs solution?  Cause MORE layoffs!!!  That will inspire confidence in the economy in Ohio, amIright?!?

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  • Anastasjoy

    It’s Obama’s fault! It’s Obama’s fault! Anyone remember when the Republicans insisted that Strickland was not allowed to blame Bush for Ohio’s problems? The Republicans sure don’t! Maybe that’s why so many of them have been drinking heavily: to forget reality. Can’t we please end the Kasich administration NOW — while we still have a state?

  • Anonymous

    Our economy wouldn’t be harmed if we eliminated some of the ridiculousness found in the $7 billion in lost revenue Ohio loses in tax expenditures.

  • Plus why are we giving welfare to big biz? Why can’t they pay their own way? Prince John like all the other  rotten R’s likes spending and debt. We pay for it later. True here and true in DC. We need revenue which comes from consumer spending. The consumer/taxpayer is tapped out because we need jobs good jobs.
    The R’s don’t believe in demand unless it comes from the rotten richies.

  • Fotogirlcb2002

    ITs a spending problem!!!
    How much has been spent on extra OSP for his home?
    How much has been spent in flights around to give speeches and pats on the back ( coulda sent a memo about– called on phones — gave an interview) not counting the extra cost for cities and towns using their police to protect the nitwit once he landed. Now we find out he lends the state plane out to his staff– they are also to busy to drive– give me a break !!
    Any one knows in this day and time you have other ways to communicate– was it really a must to fly to Cincinnati to tell about a casino deal that the papers had released the day before.
    What about all the tax breaks to businsses — in my opinion thats spending — have we gotten anything back from them except a poor pitiful few jobs.
    No he hasnt increased taxes directly — but indirectly he has — towns and cities need money to operate and where are they gonna get that money –well out of your pockets– of course.
    How much more do his people get paid than the old administration? I hear now they are considering letting them have new vehicles to drive–whos buying them– well we are of course.
    I have always heard  “lead by example” well Kasich is not an examle therefore not a leader!.
    regardless of how you feel about government employees remember — he IS one — with lots of perks  we all pay for with tax money — and he says hes concerned about tax payer money — yes he is — how much more he can get from you !!

  • Right on Fotogirlcb2002, a mighty and righteous rant.

  • Right and let’s set on our hands and watch our state implode just like that “investment bank.” that Kasick worked for.

  • Anonymous

    Good rant, and may I add, this guy is living in his home and forcing the state to pay for protection and security at two residences, not one.

  • Anonymous

    Strickland would not have HAD to raise taxes because his budget finished with a $1 billion SURPLUS.

  • Anonymous

    Ted Strickland cut $2 B in spending, and left the State with a nearly $1 billion surplus.  You really need to find a nice conservative partisan website where facts are banned.  Because your talking points fall flat here.

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