Tuesday, July 28, 2009

Re-Allocation: A Dangerous Downward Spiral

Governor Jim Doyle has become quite notorious for the ways he chooses to spend taxpayer dollars.

Instead of decreasing state spending in the 2009-2011 state budget, which would clearly serve to help balance it, Governor Doyle and the legislative Democrats chose to increase spending by 6.6%.

Moreover, in an attempt to close the gaping hole that is only worsened by increased spending, Doyle decided to use one-time federal stimulus dollars to fund ongoing expenses, for instance medical assistance, general school aids, and highways.

Now, Governor Doyle is pleading with President Barack Obama to receive the 8 billion in federal stimulus dollars allocated for a high-speed rail network. Doyle is not alone in his quest for more federal money. Governors from Illinois, Iowa, Minnesota, Missouri, Michigan, Indiana, Ohio, and of course Wisconsin are seeking the cash in order to fund a Midwestern high-speed rail. Together, the eight governors have signed a memorandum which will coordinate their applications for funding.

Alarmingly, the price for the project is missing from the memorandum. However, projected costs for the Midwest rail are no less than $10 billion.

How does Doyle propose to fund the other $2 billion+? Why with other stimulus funds of course! At a news conference in Chicago, Doyle said up to 19 billion in federal dollars from other sources could be used to fund the cost gaps.

What happens when the federal money is needed to fund those “other sources” for which it was originally allocated? Must the nation dig itself further into debt by borrowing the money? The suggestion of taking funds for one (unnecessary and under researched) project and using it on another is reprehensible.

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