FOR IMMEDIATE RELEASE
May 12, 2010
CONTACT: Martha Hanson
802-828-2226 – O
802-535-9684 – C
Lt. Gov. Dubie: “Budget Moves in Right Direction, But Not Far Enough”
Montpelier, VT — Lt. Gov. Brian Dubie today called the budget compromise reached by legislative leaders and the Douglas administration “a step in the right direction, but only the first step on a hard journey to bring state taxes and spending into line with Vermonters’ capacity to pay.”
Rolling back last year’s estate tax increase and a portion of the capital gains tax increase will be good for growing jobs and opportunities for Vermonters going forward, he said. He added that the restoration of a promised production tax deduction will help retain manufacturing jobs. But at the same time, he said, the state has failed to address structural problems that will leave enormous gaps in coming years between state spending and tax revenues.
“In recent years,” he said, “taxing and spending have far outpaced the growth in Vermonters’ income. In fact, state spending is growing roughly three times faster than the rate of inflation. It has to stop.”
While the state’s FY 2011 budget is now on track to close the roughly $150 million gap between spending and projected revenue, another $122 million gap is projected for FY 2012.
“Even with these adjustments we’re making now, our long-term challenges remain,” Dubie said. “Vermont needs bold, new strategies to right-size state government, grow secure jobs and good incomes for everyday Vermonters, and once again make our state a great place to work, raise a family and grow old with dignity and safety.”
Martha Hanson
Lieutenant Governor’s Chief of Staff
State of Vermont
The Statehouse
115 State Street
Montpelier , Vermont 05633
Tel. 802-828-2226 Fax 802-828-3198
Cell 802-535-9684
martha.hanson@state.vt.us
www.ltgov.vermont.gov
