As Gov. John Bel Edwards looks to business leaders for help in solving Louisiana’s $1 billion fiscal cliff, Business Report Publisher Rolfe McCollister wonders whether clashing philosophical differences on the role of government will get in the way of finding meaningful solutions for the crisis.
“While getting input from those taking risks and growing jobs is a wise move, I have to wonder whether there isn’t just a clash of philosophical differences on the role of government and whether there can be agreement on the solution to this so-called fiscal cliff,” McCollister writes in his latest column.
After meeting with business leaders last week, Edwards said his administration is working to identify a combination of spending cuts and revenue options to stabilize the state budget for the long-term. The Democratic governor also said he’s cut $600 million in spending to date.
But is that enough? McCollister writes.
“We have been at the edge of this precipice before,” he says. “What did we learn? Why are we here again? And are we afraid of making the hard decisions—or will we be forced to this time?”
One attendee at the meeting told McCollister that he appreciated the opportunity to share ideas and indicated that there are two conflicting focuses: revenue and outcomes.
One meeting isn’t enough to bridge the gap between the opposing mindsets, said the attendee, who’s hoping a follow-up meeting will help close the gap between Edwards and business leaders.
But McCollister isn’t convinced multiple meetings will change views.
“I see the governor to be loyal to his Democratic Party principles and one who believes in a big role for government and teachers’ unions—and that more taxes are the real answer,” McCollister writes. “I do not believe the mostly conservative, Republican entrepreneurs, small business owners and executives are going to agree with that view. I would expect they believe in a smaller government, less bureaucracy and fewer burdens—like taxes—on business growth in order to create more jobs and compete. They realize that many companies and executives have options to expand, live and locate elsewhere. In fact, I have heard that view first-hand from a very successful business owner who is closely watching the governor’s plans and priorities for next year. It just so happens that person was another of the guests at last week’s meeting.”
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