Conflicting revenue reports agree on cuts

Dueling reports on the state budget disagree on many points. But the two reports converge on one key point: State government must cut spending to balance the budget, as required by the Missouri Constitution.

The two reports are the Moody Report, written by former state budget director Jim Moody and commissioned by the St. Louis Regional Chamber and Growth Association, and a response to the Moody Report written by the Missouri Chamber of Commerce.

Spokesmen for the conflicting reports appeared last week before the House Budget Committee, whose members debated the merits and demerits of each.

That two conflicting reports agree on this basic point serves to highlight the fact that Gov. Bob Holden has punted on the tough choices he faced in this year's budget.

Holden is asking lawmakers to pass his budget, balanced, such as it is, by dipping into the Rainy Day Fund to the tune of $135 million, which is fiscally dubious and constitutionally suspect, and passing tens of millions of dollars in higher taxes and new expansions of gambling.

Not all, but nearly all, of the tough decisions on what to cut were deferred to the General Assembly.

In this, Holden is headed for the grade of "F" for his stewardship of the state budget.