Treasurer : State could run out of money by september

Seattle Times Olympia burueau



Treasurer Jim McIntyre's letter (PDF) http://seattletimes.nwsource.com/ABP...2010724606.pdf


OLYMPIA â?? Washington state government is in danger of running out of money.

That's the message being sent to the Legislature by state Treasurer Jim McIntire.

"With no improvement in the state's overall cash position, the entire state treasury could be depleted as soon as September 2010," McIntire said in a letter sent to the governor and legislative leaders last month.

Simply put, the state is spending more money than it's taking in through tax collections because of the recession. "If they (lawmakers) don't act, we could be in some real trouble," McIntire said in an interview.

Gov. Chris Gregoire today said McIntire's concerns are "based on the understanding that nothing happens this legislative session." The governor said the budget she's proposing would take care of the problem.

McIntire said he's confident lawmakers will act in time to cut costs and possibly raise revenue through taxes to avoid running out of money. He just wants to make sure people understand the severity of the problem.

If the Legislature gets bogged down over the budget and is unable to reach an agreement before the state runs out of money, McIntire could borrow money short-term to pay the bills. But getting to that point would hurt Washington's bond rating.

A lower bond rating likely would drive up interest rates the state gets when it borrows money, which could end up costing taxpayers hundreds of millions of dollars over the long run.

Read more here: Local News | Treasurer: State could run out of money by September | Seattle Times Newspaper


And they want too hire more law enforcement personnel.:wtf::wtf::wtf:

Income tax on the way.