Tax Expenditure Budgets
For many years, we at Good Jobs First have criticized GASB—the Governmental Accounting Standards Board, or “GAZ-bee”— for failing to require state and local governments to disclose economic development subsidy spending in a uniform way.
It appears that’s finally about to change, and if it does, it will be hard to overstate the significance of the news.
A guest blog post by Jon Bartholomew of OSPIRG
This week New York City leapt to the front of the transparency pack with reforms to its Industrial Development Agency (IDA) that will improve taxpayer awareness of and participation in proposed economic development deals.
Corporate lobbyists have long blown a fog of fear, disinformation and confusion about public disclosure of corporate income tax credits.
It’s time to clear the air.
According to a new report by the Center for Budget and Policy Priorities, nine states are leaving lawmakers in the dark by failing to publish any sort of tax expenditure report. This group includes: Alabama, Alaska, Georgia, Indiana, Nevada, New Jersey, New Mexico, South Dakota, and Wyoming.
With the election of a new president, officials in many states are hoping a renewed federal/state partnership will jumpstart the troubled economy. Until the new president takes office, however, falling revenues have prompted some states to take actions that are counter-productive rather than counter-cyclical.