#MTGov Daily Rundown: Tribune Editorial Board Calls on Bullock to Stop Using Misleading Fiscal Claims

Governor Bullock has made a big deal out of a 2014 JP Morgan report calling Montana the "most fiscally prudent state in the nation." However, after new rankings were published showing that Montana was actually 26th in the country, and the revelation that the original report was based on 2012 data (the year before Bullock took office), the Great Falls Tribune editorial board called on Bullock to stop claiming Montana's top fiscal rating.

"Then GOP challenger Greg Gianforte’s campaign issued a news release Friday stating that’s not the case. Gianforte’s camp noted the news media in 2014 cited a J.P. Morgan study, in which Montana was rated tops for bonded debt, commitments to pensions, retiree health costs and similar expenses. The Gianforte campaign said the report actually was based upon data from 2012, when Bullock wasn’t even governor.

The Gianforte camp then noted a more recent J.P. Morgan report from fiscal year 2015 showed Montana had dropped from first place to 26th place using the same criteria. Wyoming took first place in that ranking. That’s a good parry by the Republican side." -Great Falls Tribune, 9/23/2016

"We think Gov. Bullock should stop claiming the first-place ranking for Montana as the most fiscally responsible if he is using outdated figures." -Great Falls Tribune, 9/23/2016


The Tribune also noted that Bullock did not respond to their requests for clarification.

"We didn’t get a response from the Bullock campaign." -Great Falls Tribune, 9/23/2016


ICYMI- #MTGov Daily Rundown: Bullock Claims Disputed by New JP Morgan Findings on State Fiscal Health

Governor Steve Bullock continues argue that Montana's finances are in great shape, while ignoring the very real economic headwinds that the state is facing. Despite Bullock's claims that the ending fund balance will be $300 million in 2017, latest projections show that the ending fund balance is dropping to around $100 million

"At one time officials predicted that the state would have $314 million in ending fund balance as of June 2017, but lower revenue projections for 2017, such as a 34 percent dip in oil and natural gas taxes, a 37 percent drop in the metal mines tax and an 80 percent decrease in Treasury Cash Account interest earnings all contributed to the shortfall, LFD officials said.” -Great Falls Tribune, 9/7/2016

“The LFD staff, which reports to the Legislature whereas the governor relies on his state budget director, noted the lower revenue trends were expected to continue into 2017 and the new ending general fund balance for FY 2017 is projected to be $109 million, officials said.” -Great Falls Tribune, 9/7/2016

Here are more facts:

• At the end of FY13 (when Bullock took office), the state had a $537 million surplus - Missoulian, 9/26/2013
• For FY16, actual revenue came in $141.5 million UNDER projections. Even more disturbingly, the state took in 78.3 million LESS than it did in FY15. (LFD)
• At the beginning of FY16, the state's beginning fund balance was $455 million. At one point, the ending fund balance was projected to be $276 million. Then it was revised downward to $166 million. Now it's been revised downward again to around $150 million and could go as low as $100 million. Governor Bullock has squandered more than three-quarters of the rainy day fund. (LFD)
• Under Bullock, state general fund spending has increased more than 25% under Bullock, a total of more than $800 million. (HB 2)
• Montana has now experienced two consecutive quarters of negative economic growth. -Billings Gazette, 7/29/2016

State legislators have also sent a letter to Bullock asking that the governor stop lying to Montanans about the state's financial situation.