Public Assets weighs in on the state budget in the Sunday New York Times

As the only state in the union that does not require lawmakers to balance its budget, Vermont caught the interest of the New York Times this Sunday. In the piece, Public Assets Institute senior analyst Jack Hoffman comments on the governor’s use of deficit spending in the serious recession 20 years ago, which helped get the economy back on its feet while maintaining essential state services.

Today, Vermont can avoid deficit spending by using its rainy day fund. Instead it is refusing to, making drastic services cuts instead. “I don’t know what they’re waiting for,” Hoffman told the Times. During this economic downpour, the funds remain full to capacity, with $55 million of reserves in the General Fund alone.