McDonald calls on Shumlin to Take Immediate Action on Recovery

by vtg0p on September 23, 2011

McDonald calls on Shumlin to Take Immediate Action on Recovery

Outlines five-point action plan

Montpelier, VT – Today Vermont Republican Chair Pat McDonald noted that “the impact of Tropical Storm Irene will, by necessity, reorder the state’s priorities in a major way.” Rebuilding Vermont and ensuring that Vermonters and businesses are back on solid ground will need to be the State’s primary focus going forward.

While Vermont will receive funding from the federal government, that will not do it all. Prior to Irene, Vermont’s economy was stagnant – in a holding pattern. Governor Shumlin’s recent statement that, “Vermont was in trouble financially before Irene” reveals the fiscally imprudent trajectory that Vermont was already on before the storm. In response, McDonald calls upon Governor Shumlin and the Legislature to reject new taxes on Vermonters, as suggested by some, and focus on realigning priorities. McDonald said, “The Governor should begin immediately to work with the Legislature to re-prioritize the current year budget and to begin implementing economic strategies and cost saving reforms to help get Vermont’s economy on a stronger footing and to pay for the costs of the storm”.

Chairwoman McDonald outlined a five-point action plan to get Vermont back on track quickly:

  1. Propose that the Governor call aspecial session of the legislature to begin re-prioritizing the current year budget (SFY12). Not having the final numbers from the flood should not preclude doing the preliminary work that will be required. Legislators could agree to return to Montpelier at no cost to the State. Citizen Legislators who have work and family commitments need enough advance notice, so that they can plan to be in Montpelier, so it is essential that the Governor fix a date now, with enough notice for Legislators to plan for.
  2. Encourage the Governor to complete work on a comprehensive recovery plan that can be presented to the Legislature ahead of the special session, so that it can be acted upon quickly. The plan should include strategies to aggressively jump-start Vermont’s economic recovery by getting Vermonters back to work and providing businesses with opportunities to grow.
  3. As proposed by Rep. Oliver Olsen, the Governor should call upon the Vermont Housing and Conservation Board (VHCB)
    to embargo all unspent appropriations in VHCB’s fiscal 2012 budget, so that the Legislature has the opportunity to reallocate these funds were they are needed most – rebuilding Vermont and putting Vermonters back to work and back into
    their homes.
  4. In advance of a special session, the Governor should implement a freeze of all other non-essential, non storm-related state spending across state agencies, and should use his influence to encourage taxpayer funded non-governmental organizations to do the same – and prepare to return some taxpayer dollars to the state treasury.
  5. Encourage the Governor to take immediate steps to implement education finance reforms. Storm-related damage will put enormous pressure on local property taxes in many communities, so it is critical that the Governor take action now and send a clear message that spending needs to come down – before school boards start budgeting for next year. The Governor and the Legislature should also review the proposed reforms in financing K-12 that have been presented over the years, particularly suggested changes in staffing levels. As we know, Vermont has the lowest ratio of pupils to teachers in the country at 9.8 to 1 while the national average is 15.2 to l. Given the magnitude of spending ($1.4B) in education, there has to be room for thoughtful cost containment while continuing to strengthen the quality of education and providing Vermont’s teachers the support they need.

Vermont’s recovery requires a comprehensive look at all proposals that have been brought forth in prior years and new ideas from Vermonters and businesses alike should be solicited for consideration.  Raising taxes should always be the last option.

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