Kansas Experts' Letter on Recovery Policy

Today, more than 40 experts in economics, education, public health, finance, infrastructure, and public administration in Kansas released a joint letter calling on state leadership to balance the budget with tax increases instead of counterproductive budget cuts. 

To download a PDF version of the letter and list of signatories, click here.

Dear Governor Kelly, House Speaker Ryckman, and Senate President Masterson:

Kansas is facing enormous health and economic challenges fighting the COVID-19 pandemic, along with revenue shortfalls from the ongoing economic recession. We write to you as experts in economics, education, public health, finance, infrastructure, and public administration to urge you to heed the overwhelmingly clear economic history and research and not pursue counterproductive spending cuts to balance the state budget.

We recognize that Kansas, unlike the federal government, must run a balanced budget. Unfortunately, while other states have a median of 28 days of outlays in their rainy day funds, Kansas’ current rainy day fund wouldn’t allow for a single day. In addition, while federal direct aid to states could be used to fill budget gaps, additional aid has yet to come through. We recognize this will make balancing next year’s operating budget exceptionally difficult.

We are therefore concerned that the state will pursue counterproductive spending cuts to balance its budget.

Kansas spends most of its budget on health, education, public safety, public transportation, and safety net programs. Large cuts in these critical areas would erode the health and infrastructure needed to continue combatting COVID-19, increase an already high level of inequality, and exacerbate the economic downturn.

Cutting local aid to cities and towns for police and fire protection, parks, and public works weaken public safety and infrastructure. Reducing funding for early learning, K-12 schools, and higher education diminishes the state’s long-standing investment in human capital, creating long-term consequences for worker productivity and economic growth.

Kansas has been here before, having experienced significant revenue declines during former Gov. Sam Brownback’s administration. That loss of revenue led to three credit downgrades and four years of budget shortfalls. Kansas policymakers chose to balance the budget with nine rounds of budget cuts. Those cuts led to public schools ending the school year early, transportation projects and repairs being postponed, delayed KPERs payments for public employees, and paltry investments in education and human services.

This time, instead of budget cuts, the state should maintain spending levels for schools, public safety, infrastructure, and health by increasing taxes.

For example, a modest increase in the income tax rate for Kansans could raise between $120 and $240 million per year, depending on how the income brackets and tax rates are set.

As the leaders of our state government, all of you have the responsibility for setting priorities and making the difficult choices that lie ahead.

In a recession, our professional recommendation is that balancing the budget by cutting spending to specific programs has a more negative effect on economic growth than balancing the budget through targeted tax increases on Kansas income earners. We therefore encourage you to raise revenue rather than cut the social and physical infrastructure that will be necessary to protect the health and economic well-being of our fellow Kansans, our communities, and our state.

NOTE: Institutions (and titles) are listed for identification purposes and should not be viewed as signatories to the letter.

Shawn Leigh Alexander
Professor
University of Kansas

Elizabeth Asiedu
Professor of Economics
University of Kansas                                                         

William A. Barnett
Oswald Distinguished Professor of Macroeconomics
University of Kansas

Alice Bean
Distinguished Professor
University of Kansas

Monica Biernat
Distinguished Professor of Psychology
University of Kansas

George Bittlingmayer
Professor Emeritus of Finance
University of Kansas

Hannah E. Britton
Professor
University of Kansas

Joyce Castle
University Distinguished Professor of Voice
University of Kansas

Bernard Cornet
Oswald Distinguished Professor of Microeconomics
University of Kansas

Dorothy Daley
Professor of Public Affairs & Administration and Environmental Studies
University of Kansas

David Darwin
Distinguished Professor and Chair
University of Kansas

Sarah Deer
University Distinguished Professor
University of Kansas

Alesha Doan
Professor of Public Affairs & Administration and Women, Gender & Sexuality Studies
University of Kansas

Dietrich Earnhart
Professor of Economics
University of Kansas

Michael S. Engel
University Distinguished Professor & Senior Curator
University of Kansas

Charles Epp
University Distinguished Professor
University of Kansas

Vincent T. Francisco
Professor and Senior Scientist
University of Kansas

Alan Grant
University Professor of Economics
Baker University

Michael Hageman
Distinguished Professor Pharmaceutical Chemistry
University of Kansas

Michael Hoeflich
Distinguished Professor
University of Kansas

Rachel Krause
Associate Professor of Public Affairs & Administration
University of Kansas

Bradley W. Lane
Associate Professor of Urban Planning
Undergraduate Director
School of Public Affairs & Administration
University of Kansas

Robert H. Lee
Professor of Population Health
University of Kansas Medical Center

Ward Lyles
Associate Professor of Public Affairs & Administration
University of Kansas

Thomas M. Skrtic
Williamson Family Distinguished Professor of Special Education
University of Kansas

Kirk McClure
Professor Emeritus of Public Affairs & Administration
University of Kansas

Shannon O’Lear
Professor and Interim Director of Environmental Studies
University of Kansas

Berl R. Oakley
Distinguished Professor
University of Kansas

William Picking
Foundation Professor
University of Kansas

Kevin Pisciotta
Assistant Professor of Finance
University of Kansas

Shannon Portillo
Associate Professor of Public Affairs
University of Kansas
County Commissioner
Douglas County, KS

Mabel L. Rice
Fred & Virginia Merrill Distinguished Professor of Advanced Studies
University of Kansas

Kimber Richter
Professor
School of Medicine
University of Kansas

David Randall Roediger
Foundation Professor
University of Kansas

Jarron Saint Onge
Associate Professor of Population Health and Sociology
University of Kansas

Prakash Pundalik Shenoy
Ronald G. Harper Distinguished Professor of Artificial Intelligence
University of Kansas

David Slusky
De-Min and Chin-Sha Wu Associate Professor of Economics
University of Kansas

Steven Warren
University Distinguished Professor
University of Kansas

Thomas Weiss          
Professor Emeritus of Economics
University of Kansas

Stacey Swearingen White
Professor and Director, Social of Public Affairs & Administration
University of Kansas

Yiran John Zhu
Assistant Professor of Economics
University of Kansas