Tenney: Shut The Door On ‘Back-Door Borrowing’

March 25, 2013

With state and local public authority debt nearing $250 billion, Assemblywoman Claudia Tenney (R,C,I-New Hartford) urges caution and supports a plan to curb the out- of-control borrow-and-spend mentality of New York State.

“Our families are learning the necessity of budgeting more and more as the years pass. Salaries are being cut, taxes are rising, food and gas prices are skyrocketing and jobs are leaving the state. And yet, New York State government is allowing the common practice of ‘back-door borrowing’ to occur in Albany,” said Tenney.

“Albany politicians like to say New York State is only $60 billion in debt. However, the amount of debt the New York State taxpayer is responsible for is many times that. Through gimmicks and unreported borrowing and spending, the governor and the legislature continue to ‘bond’ certain projects and fund spending gaps in the budget as spending outpaces revenues. These projects, funded through the ‘authorities’ which are unaccountable to the taxpayers, have incurred nearly $250 billion in debt, which the New York State taxpayer is responsible for.

“Businesses continue to leave this state because they are being taxed more than any other state in the entire nation. Without the much-needed revenue produced by these job creators, and the tax base which our employed taxpayers provide, this state has chosen to continue its addiction to borrowing, instead of solving the problem.

“This historically high budget comes at a time of historically high unemployment and historically high tax rates on our businesses. Several of my colleagues and I want to make New York State more responsible for our finances. It is deplorable to hold New York taxpayers accountable for nearly $250 billion in debt. Both the national and state debt are at unsustainable levels.

“I have co-sponsored legislation to limit the amount of debt that can be issued, as well as create a fund to start paying down our debt.

“Just as every family has to pay its mortgage/rent, utilities, food bill, and credit card bills, the state needs to pay for its expenses. Albany needs to stop taxing the livelihood out of our communities and borrowing money they have no ability to repay. Who wants to live under a government which will indiscriminately place the yoke of debt around their neck with no reprieve in sight?

“It is high time we learn fiscal responsibility and get this state back on the road to recovery. When we accomplish that, we will have created a more friendly business climate, and we will be able to produce jobs without the fear of our government spending away our futures,” concluded Tenney.

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