Republicans from Washington to Madison have adopted a new expression when it comes to describing the state of government finances: "Were broke."
Wisconsin Gov. Scott Walker started using the "broke" description as he unveiled his controversial budget-repair bill, which would force state employees to pay more for health care and pensions and curtail collective bargaining rights for most public employees.
"I don't have anything to negotiate," Walker said Feb. 11, 2011, the day he unveiled his budget-repair bill, aimed at closing a $137 million gap in the budget that ends June 30, 2011. "We are broke in this state. We have been broke for years."
Since then, hes repeated the phrase many times.
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Experts agree the state faces financial challenges in the form of deficits. But they also agree the state isnt broke. Employees and bills are being paid. Services are continuing to be performed. Revenue continues to roll in. A variety of tools -- taxes, layoffs, spending cuts, debt shifting -- is available to make ends meet. Walker has promised not to increase taxes. That takes one tool off the table. Another tool was never there: declaring bankruptcy. Were not broke or bankrupt in part because under federal law we cant be.
We rate Walkers statement False.
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