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Nixon avoids tough decisions, mismanages stimulus money

June 8, 2009

Forces Missourians to wait months for tax refunds

JEFFERSON CITY—Gov. Jay Nixon is facing increasing criticism for his use of $250 million in federal stimulus funds to pay for tax refund checks that had been delayed weeks or months. The Springfield News-Leader reported on Sunday that Republicans and Democrats in Missouri’s Congressional delegation are questioning whether Nixon was misusing the money, which was passed with the intention of creating “shovel ready” jobs.

“Obviously, we are glad that the state has finally returned the money that rightfully belongs to the taxpayers.   But if Jay Nixon had done his job and properly managed the budget, we never would have gotten to the point of requiring a federal bailout to pay for tax refunds,” said Lloyd Smith, Executive Director of the Missouri Republican Party.  “Nixon has purposely avoided making tough decisions.  By refusing to tighten his belt or cut spending on things he couldn’t otherwise afford, Nixon must now spend $250 million in federal funds on tax refunds—money that should have gone towards job creation.”

The bipartisan criticism comes on the heels of a report from the Associated Press, which describes Nixon’s excessive use of the state airplane—including taxpayer-funded trips to St. Louis and Kansas City to watch various sporting events.

“Over the past several months, Nixon has flown to sporting events and toured the state using taxpayer money while tens of thousands of Missourians were forced to wait for their tax refunds,” said Smith. “Nixon’s mismanagement of the budget has required the state to rely on a federal bailout to continue operating.  He has diverted funds from their intended uses—job creation and economic stimulus—instead using the money to cover up his failure to properly manage the budget.”

A sample of the bipartisan chorus of criticism for Nixon’s use of $250 stimulus money to refund taxes instead of creating jobs:

• Sen. Kit Bond: “I thought the intent was supposed to be to provide shovel-ready jobs… I was hoping that Missouri could invest as much as it could in projects that we badly need, whether it’s roads or facilities or anything else. I am concerned about using federal money for any on-going (expenses).”
• Sen. McCaskill (spokesman): “Sen. McCaskill understands the pressure the state is under, but this is not ideal.”
• Rep. Ike Skelton: “I have a difficult time understanding that…I’m not sure that puts people to work.”
• Rep. Jo Ann Emerson: “[This] is not in the spirit of what the money is supposed to be used for… That money was to be used for job creation and stimulating the economy.”
• Rep. Roy Blunt (spokesman): “Certainly states should fulfill their responsibilities, but using a one-time cash injection is a temporary patch that doesn’t create the lasting economic growth a stimulus package should.”

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