Il primo problema e’, adesso, che cosa faranno i creditori, ovvero: chi paga?
Q: Why is the state going through a government shutdown?A: Gov. Mark Dayton and the Republican-controlled Legislature are at odds over $1.8 billion in state spending for the upcoming two-year budget cycle. The governor has proposed raising taxes on the wealthiest Minnesotans to support more spending in the coming biennium, but Republicans have rejected Dayton’s plan. The Legislature passed a $34 billion budget with no tax increases, but Dayton vetoed it.The Minnesota Constitution requires appropriations before the state can spend any money, and so far, only funding for the Department of Agriculture has been signed into law.For services to continue at all other agencies and departments, Dayton and the Republican-controlled Legislature needed come up with a spending agreement by midnight on June 30, the start of the new fiscal year, but they didn’t. On July 1, roughly 22,000 state employees were laid off.(
Q: What about aid to cities and counties?A: Local governments are getting state aid, which is welcome news for cities that are slated to get $265 million in payments on July 20. For instance, St. Paul Mayor Chris Coleman said the payments will ensure that police, firefighters, parks and libraries in St. Paul will remain operating during a shutdown.Counties were not specifically singled out in Gearin’s ruling, but the Association of Minnesota Counties believes the order applies to them, too.
Q: Will government employees who are paid with federal dollars continue to work?A: Not necessarily, according to MMB. Though the shutdown doesn’t affect programs and positions supported with federal dollars, the department warns that disruption of other state services could prevent these employees from working.
Q: A shutdown will save the state money, right?A: Actually, Elizabeth Dunbar reports that a shutdown could cost the government millions in lost productivity, delays and financial penalties. Here’s her story and handy list of potential costs of a shutdown.
Volete sapere una cosa buffa sulle agenzie di rating? Lo stato e’ in shutdown, cioe’ e’ al default, ma Standard&Poor NON cambiera’ il suo rating:
However, it’s unlikely that S&P would downgrade the credit ratings of the higher ed systems unless a state government shutdown lasts more than a month or two, Rodgers said. If a shutdown dragged on, S&P might “alert bond holders to a potential credit rating downgrade.”