Governor Riley
Appendix B:
made his biggest
Fiscal Policy Notes on the Governors
fiscal blunder in
2003 when he
Following are highlights of the fiscal records of the 46 governors covered in this report. The
summaries are based on the tax and spending data used for grading the governors, as well as
proposed more
information from State Tax Notes and other news sources. All mentions of governors' spending
than $1 billion in
records refer to general fund budgets. The dollar values provided for tax increases and cuts are
the annual effects of the tax changes.
income, sales, and
cigarette tax
increases.
Alabama
Bob Riley, Republican
Legislature: Democratic
Grade: F
Took Office: January 2003
Governor Riley made his biggest fiscal blun-
package of tax increases in 2004, including a cig-
der in 2003 when he proposed more than $1 bil-
arette tax increase, but he proposed modest in-
lion in income, sales, and cigarette tax increases.
come tax cuts in 2007. Governor Riley has also
Voters rejected Riley's plan by a 2-to-1 margin at
overseen a large expansion in the state budget,
the ballot box, and the governor has since mod-
with per capita spending rising at an average of
erated his fiscal appetite. He pushed through a
about 8 percent annually since he took office.
Arizona
Janet Napolitano, Democrat
Legislature: Republican
Grade: C
Took Office: January 2003
Governor Napolitano has a fairly good re-
tano has a poor record on spending, presiding
cord on taxes. In 2005, she helped push through
over per capita increases averaging more than 7
a substantial cut to business property taxes. In
percent annually since taking office. She has
2006, she signed into law a personal income tax
used the state's strong revenue growth in recent
reduction, including a cut in the top rate from 5
years to expand programs rather than to offer
percent to 4.5 percent. Unfortunately, Napoli-
further tax relief.
Arkansas
Mike Beebe, Democrat
Legislature: Democratic
Grade: C
Took Office: January 2007
severance taxes on natural gas companies,
Taking office in 2007, when the state was
which will make the state less attractive for
enjoying large budget surpluses, Governor
energy investment. On spending, the gover-
Beebe started off on the right foot with a sub-
nor's two budgets have proposed fairly hefty
stantial reduction in sales taxes. Unfortunate-
ly, in 2008 he signed into law a large increase in
increases.
12