A new report from the University of Denver`s Center for Colorado`s Economic Future says:
"Colorado cannot expect to grow its way out of its budget problems," the summary of findings released Friday said. "From FY 2011-12 to FY 2024-25, our projections show state K-12 education costs growing at a compound annual rate of about 6 percent and Medicaid expenditures growing more than 8 percent annually. But general fund revenues will grow at a compound annual rate of only 5 percent over that period. From this, we conclude that the state budget faces a persistent structural imbalance."Which prompts this dingbat to say:
"I think ultimately we have a spending problem," said Sen. Greg Brophy, R-Wray. "We have a structural problem in Colorado where spending expectations exceed revenue expectations."That's pure Republican bullshit.
A spending problem? A spending problem is when you spend your money on stupid stuff instead of "paying the bills."
If you're not bringing in enough money to pay the bills, you do not have a spending problem. You have an income problem.
The adults in the room seem to get this:
Questions to be explored by the study team in the future include looking generally at "reforms of the revenue system," including "measures that broaden revenue bases to capture a larger share of economic activity." This could actually mean lower tax rates but spread over a larger base.Tax reform that results in lower tax rates but increased tax revenue? Let's do it.
And whatever those Republicans say, let's not.