Sjeltur

Several US states are facing more and more problems with their budgets. The deficit of these states is growing rapidly. The cause: increasing costs and reduced tax revenues due to the slow down of the economy.

In a televised address governor David Paterson of New York warned yesterday the state will face harsh economic times. The expected deficit over the next three years is 26.2 billion dollars, 22% more than the previous estimate. That was only three months ago.

“How could that happen? It’s simple. Costs are rising steadily, revenues are dropping dramatically.”, Paterson said.

Other states have problems as well. Governor Schwarzenegger of California wants to cut the pay of  200,000 state workers to minimum wage level, and Nevada wants the state police to drive less to lower fuel costs. Delaware is considering to allow the racetracks to operate for 24 hours a day, to increase revenue. Rhode Island is allowing casinos to stay open 24 hours a day for three days a week for the same reason. 

Desperate times call for desperate measures.