Fiscal prudence not in legislators’ lexicon

Over the past 30 years, the Kansas budget has grown at an average rate of 5 percent.
Several things account for the upward tick in spending.
First, our population continues to increase. That’s a good thing. We need young’uns to help balance out an aging population.
Second, Medicaid and education, both K-12 and higher education, expenses outpace inflation, which in itself forces budgets to rise. A dollar today is not what it was worth in 1985.
States are expected to shoulder increasingly bigger responsibilities toward the care of their frail, elderly and indigent, as well as public education.
The state’s responsibility to adequately fund KPERS — the state’s pension program — also calls for increased spending.
Unfortunately, Kansas is on track to be short $710 million for this budget year and fiscal year 2016, which begins July 1.

FOR ARGUMENT’S sake, let’s assume Gov. Sam Brownback’s plan to eliminate the state income tax works to inspire business leaders to expand and hire. More people will flood into our state for good jobs, growing our economies.
Of course to manage that growth, a bigger state budget would be necessary. The more people you have, the more services are required, including schools, infrastructure and programs. And there, we have a problem.
In 2013, the Kansas Legislature enacted a law that says if state revenues increase by more than 2 percent over the previous year, then tax rates must be lowered. Such a formula, which is set to begin in 2018, puts the state on a never-ending cycle of cutting and cutting the budget just to keep up with inflation (in a good year).
Sunday’s Kansas City Star reported Sen. Jim Denning, an Overland Park Republican, has proposed raising the revenue cap to 4 percent before any tax relief measures take effect.
If revenue increases by 3 percent, Denning suggested the windfall should go to a rainy day fund.
He’s kidding, right?
Right now, a zero balance would have legislators doing cartwheels.
Time was state law required a rainy day fund of 7.5 percent of revenue, or about $500 million.
But the days of financial prudence are long gone.
 — Susan Lynn