Chairman of Ways & Means Previously Called Components a “Pay Day Loan” Fix.
TOPEKA: The Kansas Truth Caucus released the following statement after the Senate Leadership “Rescission” bill, HB 2052, passed out of the Senate with one-time money from the Pooled Money Investment Board (PMIB) and delayed KPERS payments as to balance the FY 2017 budget.
Senate Ways and Means Chairman Carolyn McGinn has previously referred to delaying KPERS payments and the use of one-time money PMIB funds as akin to a “pay-day loan,” saying it looks like “we are borrowing against ourselves…it’s just going to put us further away from where we need to get to.”
When the administration proposed using PMIB funds the Senate Leadership decried the use of one-time money saying, “we cannot kick this can down the road any longer.” Continuing, “the solution will require a combination of cuts and changes to tax policy,” and pointing to “a sustainable solution for all Kansans.”
Kansas Truth Caucus Leader, Sen. Ty Masterson said, “Just a few short months ago, Senate Ways and Means Chairman McGinn denounced the use of the PMIB as one-time money, likening it to a “pay-day loan” and saying it was “just going to put us further away from where we need to get to.” The Senate leadership released a statement at the same time saying, “a combination of cuts and changes to tax policy,” were needed to address the budget woes. Also saying, “we cannot kick this can down the road any longer.” I would ask Senate Leadership, “what has changed?” The “rescission” bill passed today is indeed just kicking the can down the road. This is not a sustainable solution for Kansas, it fails to address the core issue, which is simply government spends too much.”
Masterson continued, “Last week this same Leadership brought the FY 2018 and FY 2019 budget bill to the floor, which increased spending by well over $250 million. It is patently irresponsible to commit to new spending at a time when the deficit has yet to be addressed. This spend-it-before-you-have-it budgeting does nothing more than force a massive tax increase on the people of Kansas. The Kansas Truth Caucus calls on Senate Leadership to end the fiscal insanity and bring forth a budget that ends the state’s out of control government spending spree.”