Impasse on Debt Continues
President Biden and Speaker McCarthy met late Monday for another round of negotiations on the budget. McCarthy said progress was made but a full agreement remains elusive. Meanwhile, Treasury Secretary Yellen updated her expectation that the US Debt Ceiling will likely be unavoidable by June 15.
The Biden Administration claims that cuts to important programs in the House budget are unacceptable. McCarthy rebuts that budget levels were set to have 1% growth from the 2022 budget. There are no cuts just reductions in the rate of growth.
Proponents of ‘holding the line’ on the House budget plan have also countered talk of the US defaulting on its debt. They have pointed out that there is no need to default. As money comes in, you prioritize interest payments and critical programs and stretch out payments on other items.
The debt-to-GDP ratio was about 97% last year, a number that is historically concerning. Interest payments are about $400 billion out of a $4.5 trillion budget.
Idaho Reps Simpson and Fulcher both tweeted about the situation on Monday expressing support for the GOP position.
Fallout from Bond Failures
Given that half of the bond measures seem to fail, how are school districts to manage the increase in population if they have no bond funds to build new schools? This is the challenge for Kuna and other districts that had recent bond measures fall short of approval.
Critics point to mismanagement of funds in the education system reflected in the chart below. Where is the existing money going?
Education forms a large portion of the Idaho State budget and funding is an annual debate. Bills for funding of non-public school choices did not fare well in the most recent legislative session, but concerns over mismanagement of funds will continue to fuel future efforts.
Gorsuch Speaks Out on Civil Liberty Intrusions
The Supreme Court dismissed a case last Friday involving Title 42 - the lapsed rule that was allowing illegal immigrants to be deported for COVID-19 health concerns. In his statement, Justice Neil Gorsuch took the opportunity to address the abuse of emergency orders at all levels of government around the country that were “the greatest intrusions on civil liberties in the peacetime history of this country.” He listed school closures, church closures and restrictions, vaccine mandates and prohibiting evictions as examples of the overreach.
Study Released on Employment After College
Over 13,000 graduate from Idaho Colleges each year. The study looked into the percentages of these graduates that are employed in Idaho within 1 year of their graduation. 63% percent who graduated were employed in Idaho. That number is higher for Idaho residents vs non-residents. Some degrees, like those in healthcare, also have a higher in-state employment percentage.