Credit Rating

Patrick Lowry for The Hays Daily News

The downgrade [by Moody's] renders suspect the unwavering belief of Topeka's ruling class that Laffer dreams will come true as job-creators trickle down their gains to the masses.   The downgrade was attributed to the tax cuts that don't have accompanying spending cuts, the fact the state isn't making required contributions to already-underfunded pension system, using one-time events to balance the budget, and that compared to other comparable states, Kansas' economic recovery is "sluggish."  In order to meet revenue projections by the end of the fiscal year June 30, the state needs to collect between $800 million and $900 million. The Kansas Legislative Research Department suggests the state could end up more than $200 million off target by that date.

Read the entire editorial at The Hays Daily News.

Do you like this post?