WASHINGTON DC – The nation’s economy was damaged by the pandemic in 2020, but it bounced back strongly and grew until the end of 2021. The rebound generated a large tax revenue increase for state governments, which also received a flood of pandemic aid from the federal government. The states used soaring revenues to expand their budgets and provide individuals and businesses with temporary or permanent tax cuts.
That is the backdrop to this year’s [Cato Institute’s] 16th biennial fiscal report card on the governors, which examines state budget actions since 2020. It uses statistical data to grade the governors on their tax and spending records: governors who restrained taxes and spending receive higher grades; those who substantially increased taxes and spending receive lower grades.
Five governors receive a grade of A: Kim Reynolds of Iowa, Chris Sununu of New Hampshire, Pete Ricketts of Nebraska, Brad Little of Idaho, and Doug Ducey of Arizona. Eight governors receive an F: Tim Walz of Minnesota, Tom Wolf of Pennsylvania, J. B. Pritzker of Illinois, Gretchen Whitmer of Michigan, Phil Murphy of New Jersey, Kate Brown of Oregon, Gavin Newsom of California, and Jay Inslee of Washington.
About Pritzker, Cato writes:
Billionaire J. B. Pritzker is a member of the family that owns the Hyatt hotel chain, and he has long been involved in Democratic politics. Governor Pritzker received an F on the Cato fiscal report in 2020, and he receives another F on this report.
In 2019, Pritzker signed into law $2.7 billion in net annual tax increases. He increased the gas tax from 19 cents to 38 cents per gallon, hiked vehicle registration fees, and increased the cigarette tax from $1.98 to $2.98 per pack.
Cato Institute’s report card on Governor Pritzker is HERE: https://www.cato.org/white-paper/fiscal-policy-report-card-americas-governors-2022
