Kansas suspends income tax refunds, may miss payroll

[Slimprofits]

The Associated Press

TOPEKA, Kan. - Kansas is suspending income tax refunds and may not be able to pay its employees on time.

The state is strapped for cash in its main bank account. Republican legislative leaders blocked an effort by Democratic Gov. Kathleen Sebelius to transfer funds into the account.

Sebelius wanted to move $225 million from other accounts throughout state government, allowing the state to pay its bills. That move requires approval of legislative leaders, and Republicans balked.

Now Budget Director Duane Goossen said he's not sure the state can meet its payroll. State employees are due to be paid again Friday.

GOP leaders want Sebelius to sign a bill making $326 million in adjustments to the budget for the fiscal year that ends June 30.

Legislators approved that bill last week, but it has not reached her desk.

[zoog]

Re: Kansas suspends income tax refunds, may miss payroll

Maybe Aaron Krowne should start a States Implode-O-Meter website.;)

Mailed my taxes this weekend. Hopefully I'll get my refund before Oregon follows suit. Or the federal government for that matter.:eek:

[audrey_girl]

Re: Kansas suspends income tax refunds, may miss payroll

Does anyone know if a US state has ever gone bankrupt before? Can a US state go bankrupt/into some sort of receivership??

[Slimprofits]

Re: Kansas suspends income tax refunds, may miss payroll

I knew EJ doesn't like gambling, but seriously, let's get some odds going.

Arizona is next?

Brewer spokesman: 'All options on the table'

Associated Press - February 16, 2009 2:54 PM ET

PHOENIX (AP) - Gov. Jan Brewer's spokesman says Brewer is considering all options to solving the state's budget crisis.

Brewer spokesman Paul Senseman on Monday cited various ideas under consideration, including deeper state budget cuts, spending federal economic stimulus dollars and sales of state assets.

But Senseman would not specifically address whether those options include a spring special election on a temporary tax increase and loosening voters' spending mandates.

The Arizona Republic reported Saturday that Brewer's office is considering a special election on those possible topics.

Asked repeatedly Monday whether Brewer is considering a possible special election proposal as described by the Republic, Senseman said "all options are on the table."

[Slimprofits]

Re: Kansas suspends income tax refunds, may miss payroll

a_g, no state government has ever filed bankruptcy.

[audrey_girl]

Re: Kansas suspends income tax refunds, may miss payroll

a_g, no state government has ever filed bankruptcy.

thanks! I am have been watching the CA legislature this weekend. right now they have stopped paying income tax refunds, closed state services two fridays a month, etc. etc. but still have not come close to balancing the budget...

[karim0028]

Re: Kansas suspends income tax refunds, may miss payroll

a_g, no state government has ever filed bankruptcy.

I could have sworn that florida went bankrupt some time in the 1800's.... Can anyone find that info? I read it somewhere, but i cant seem to find it.

[Chomsky]

Re: Kansas suspends income tax refunds, may miss payroll

Oblique reference:

As Florida Attorney General, he was the counsel for the State's internal improve ment fund. The fund was embroiled in lawsuits concerning land grants to the railroads and canal builders, defaulted bonds, and failed ventures. The State of Florida was bankrupt. Raney was one of the state's negotiators involved in the 1881 sale of 4,000,000 acres (16,000 km²) of public land to real estate magnate Hamilton Disston to relieve the debt. Raney left office when William D. Bloxham became governor.

http://en.wikipedia.org/wiki/George_P._Raney

[Scott4139]

Re: Kansas suspends income tax refunds, may miss payroll

that'll teach you to give the government an interest free loan!

[dbarberic]

Re: Kansas suspends income tax refunds, may miss payroll

"Well, we're not in Kansas anymore"....

bada-bing.... knee slap....