Governor Rick Scott announced that Florida will have a budget surplus in 2013-2014 of $437 million. That is good news. Republicans got to this point of a surplus after years of budget deficits by cutting the size of government programs. The Republican party stands for less government, lower taxes and less spending.
So what does Scott want to do with that money?
He wants to give teachers an across the board pay increase of $2,500, which will spend the entire surplus and more. This idea is drawing boos from teachers unions. It is also drawing fire from other public service employees such as fire fighters, EMS personnel and law enforcement officers. Why teachers and not them? Some are even saying that Scott is buying votes, much like President Obama and members of Congress who increase benefits for government employees and those who take for a living via welfare programs.
Here is something that Scott may not have considered: Why not give the money back to the taxpayers?
It is the taxpayer who carries the burden of the salaries and benefits of public employees. Any salary increase to any public employee is a further long term burden on the Florida Retirement System. The Tampa Bay Times reports, “In a major victory for the state, the Florida Supreme Court ruled 4-3 against state workers and allowed the state to retain the 3 percent levy on worker salaries to offset the state’s investment into the Florida Retirement System.” Download Retirement ruling.
Union leaders do not like it when their members have to contribute to their own retirement programs like public sector employees do. So this move by Scott appears to be pandering to one group of union employees. Scott may be giving up hard fought ground based upon the recent Florida Supreme Court decision.
Who holds the bag for any government employee pay increase? Answer: Florida’s taxpayers.
We will see what the Florida legislature does with the budget surplus. Any bets that they will find a way to spend it? Are Republicans morphing into Progressives? What the legislature does with this surplus will be a key indicator of where they stand on taxes and spending.