Sanchez's budget ignorance
The last thing we need is a lecture from Tony Sanchez about finances. He intentionally lent millions of dollars to his friends on mimimal collateral through his Tesoro Savings and Loan. In the end, of course, Tesoro went bankrupt, Tony paid a $1 million fine and the taxpayers picked up the $161 million bailout. So for a nice piece of the pie, Tony Sanchez transferred $161 million of the public's hard earned dollars to his rich and corrupt friends. Way to go Tony.
I wonder why none of the state's reporters are talking about the fact that Sanchez is the last person that the citizens of Texas want handling their budget?
The next governor of Texas
January 15, 2002
Sanchez blasts Perry for lack of surplus
By JAY ROOT
Star-Telegram Austin Bureau
AUSTIN - Republican Gov. Rick Perry "squandered" the largest surplus in Texas history, in part by supporting unwise tax cuts in 1999, Democrat Tony Sanchez said Monday.
"My Republican opponent, through some magic, squandered the single largest budget surplus in Texas history," said Sanchez, a Democratic candidate for governor. Sanchez made the remarks during a speech to labor leaders at a Texas AFL-CIO meeting in Austin.
After the speech, Sanchez told reporters, without being specific, that the nearly $2 billion in tax cuts passed when Perry was lieutenant governor contributed to a looming budget shortfall, estimated at about $5 billion. In 1999, the Legislature had a historic surplus of some $6 billion.
"I think the tax cut is coming into play now, and it's having adverse effects on us," Sanchez said. "I would have held up on the tax cut."
Perry put his past support of tax cuts front and center in his election announcement last week. Although they were largely the initiative of then-Gov. George W. Bush, Perry was lieutenant governor at the time and oversaw passage of the tax reduction package as presiding officer of the state Senate.
The changes included: lower franchise taxes for small businesses; a sales tax exemption for Internet connection services; a sales tax holiday; and reduced school property taxes paid by businesses and homeowners.
"Those tax cuts were the right thing," said Perry spokeswoman Kathy Walt. "Surplus funds should be returned to the taxpayers." She also accused Sanchez of doublespeak, saying that he promises in a new TV ad to "keep taxes down."
Walt also disputed Sanchez's assertion during his speech that Texas would face a budget crisis of "seismic proportions." She said Texas faces uncertain economic times but finds itself in "significantly stronger" shape than most other states.
Jay Root, (512) 476-4294 firstname.lastname@example.org