Kansas Suspends Income Tax Refunds, State Payroll, and Funding to Schools and Other State Department

reply to post by projectvxn


Which thread?

Can you post a link?

reply to post by projectvxn



CNN... while it is still a controlled media... is the only news station I feel is actually balanced.

It's the only news station I go to... even though it's still controlled, filtered, dirty, and lies like all of them... at least it's not far right or far left.

Just to keep everybody on focus, let's review the facts here:

- The State of KS is experiencing a shortfall of $200 million in the 2009 state tax revenue

- The KS Legislature passed a bill that would eliminate $300 million from the 2009 budget, while preparing for more budget cuts in 2010

- KS Gov. Sibelius disagrees with some of the budget cuts, including education cuts, and refuses to sign the bill

- KS Gov. Sibelius was attempting to borrow $225 million to transfer into the state's main account to pay the bills, but can only do so with Legislative approval

- KS Republicans have blocked this request

- Not much money exists which results in state income tax refund suspension, threat of not paying state employees this upcoming Friday, and indefinite suspension of state-allocated funding to various state agencies including school districts

This just sounds irresponsible on both ends. I'm sick of this Democratic-Republican thing.

The American citizens are being disenfranchised darn it!

reply to post by j2000


It was only a post and I was just repeating what I heard on the news.
But I have started a few threads on California and the coming bond bust.

www.abovetopsecret.com...

These are all of em. Have a look.

reply to post by MOFreemason


I agree. Politics is no replacement for facts and figures. Economics is all about facts and figures. When the two meet we get ideological economic policies and we wind up in situations like these.

I don't know the details of the issue there, I can only assure you that this won't go well. Taxes will go way, way up and they will shoot debt through the roof until they bankrupt everyone in their state at the personal level. This is a process being repeated in every single state barring about 3.

reply to post by projectvxn


I wonder how many states are in similar situations to KS, as we haven't heard too much about state conditions other than CA, MI, and NY.

reply to post by MOFreemason


Well 43 have reported record shortfalls, the same 43 that are operating on "shoestring budgets", or what they call shoestring budgets. The federal government will not be able to cover the amount of debt that the individual states have racked up. Let alone the 12 and a half trillion we have spent on bailouts, wars, government expansion, and corruption on the federal level. We are screwed. There's just no way around it.

reply to post by projectvxn


We are screwed. And this federal stimulus package is only short-term relief.

The fact of the matter is, the states are not generating enough tax revenue to pay for their expenses. That means, they will either have to drastically slash state services or raise taxes.

Either way, nobody wins.

Of course, the third option....just plain default. Not sure if that's even possible or not though.

This stimulus will maybe buy three weeks at the most 4 weeks.

March and April it will really start to unravel.

reply to post by j2000


Amazing. I was under the impression it would help buy a few months, at least. But weeks...ugh.

Well, my mom got her state refund back last week. We both live in Kansas. Is this something different then that?

reply to post by Tgautier13


Your lucky. The state just ran out. I will be out of luck for now.

reply to post by Tgautier13


The income tax refunds, state payroll, and funding to state agencies/departments has been suspended indefinitely, effective today.

You and your mom had excellent timing!

reply to post by MOFreemason


It is most certainly possible. And has happened before to many countries. Ecuador was the first in this mess.

www.abovetopsecret.com...

Iceland just collapsed entirely:
www.abovetopsecret.com...
www.abovetopsecret.com...
www.abovetopsecret.com...

And Zimbabwe, whose monetary policy we are mirroring has managed to inflate it's currency so much that it takes trillions to buy eggs.

www.abovetopsecret.com...


[edit on 16-2-2009 by projectvxn]

reply to post by MOFreemason


Wow. Talk about hitting home. I really didn't think Kansas would be one of the first. I thought we would be good until the close to the end.

What a bummer..........

I guess I am going to go and get a flag and put it upside down in the front lawn. I would say we are in "distress".

Originally posted by projectvxn
I made a post about this in another thread...I heard about it on Fox News of all places...Which by the way, I have a strategy for. But I will get to that in a minute.

Like California, this is going to push the state of Kansas into default. This is the first step of insolvency. More and more states will follow and President Barack Obama will then introduce a bill to congress(Or congress will introduce it's own bill) that will appropriate3 trillion dollars to the states to cover their expenses...Since this won't stop here and this new bailout bill won't do anything about this problem. The Bonds will collapse. Not just Treasuries, but munis and other localized bond markets. Then we'll be left holding alot of green toilet paper.

This is only the beginning. States will be doing this left and right throughout the rest of the year until the Federal Government economically nukes the entire country.

Wow....A prediction come true within minutes of this post...Whodda thunk it?

So whats really needed here is some bi-partisan cooperation. If Sebelius signs that one bill, the GOP will write off for the budget transfers and whatnot, and everyone else will get their income taxes back.

So when do you think these two parties will come to agreements? I mean its pretty crazy to believe they will just stay in this perpetual standoff while millions of Kansans don't get their money.

reply to post by Tgautier13


The 225 million will not last very long at all. Don't get your hopes up.

reply to post by Tgautier13


Why not that's what California is doing. The STILL can't agree on a budget and they've suspended all kinds of things:
UPDATE 1-California lawmakers fail to pass budget

LOS ANGELES, Feb 15 (Reuters) - California lawmakers narrowly failed to pass a $40 billion budget on Sunday, casting doubt on Gov. Arnold Schwarzenegger's ability to prevent the nation's most populous state from sinking into the abyss. Bleary-eyed senators in the state capital of Sacramento adjourned for the day after all-night horse-trading failed to generate the one Republican vote needed to ensure passage of the bitter mix of tax hikes and spending cuts. California, the world's eighth-biggest economy, is constitutionally barred from running a budget deficit, and has begun forcing state employees to take unpaid leave. State spending on infrastructure work has also largely wound down, adding to the drag on the broader U.S. economy, which appears to be facing a long and deep recession. Budget negotiations will resume on Monday, said senate leader Darrell Steinberg, after taking pity on lawmakers who had been confined to their offices by party leaders.

So are we saying, they can actually afford to pay the bills?
But its a political squabble that's stopping it?