Gov. Carcieri’s Spending on SCOTUS Case Part of Large State Budget Deficit

Gov. Carcieri spent $200,000 on the Carcieri v. Kempthorn case, which contributed to overspending in the Governor’s office and leaving the state in a deficit.  While a small part of the larger $33 million deficit, it is the first time the state has had “an end of year deficit in modern history attributable to overspending.  From The Providence Journal by Katherine Gregg (h/t Indianz):

Asked more specifically to list the expenses that resulted in the $184,152 deficit in the governor’s office accounts, she cited two. She said the administration planned to sublet to Guam an empty office the state has maintained in Washington for years at a cost of $2,000 a month, but the paperwork took longer than expected to go through. She also cited Carcieri’s hiring of former U.S. Solicitor General Theodore B. Olson — the lawyer who successfully argued the case that put George W. Bush in the White House — to help the state in its fight to keep control of 31 acres owned by the Narragansett Indian tribe. Continue reading

Wisconsin v. Ho-Chunk Nation Materials

As referenced in a prior post about the Wisconsin Legislature’s ploy to balance its budget with the theoretical proceeds of a successful lawsuit against the Ho-Chunk Nation, here is the March 9, 2007 order in the case granting partial summary judgment to the Nation: March 9, 2007 Order

Don’t think Wisconsin’s suit is a guaranteed win….

Balancing State Budgets with Indian Gaming Revenues?

From the Houston Chronicle: “In a move described as questionable and a potential time bomb, the state’s budget balances on a gamble it will win a court case against the Ho-Chunk Nation.”If the state loses, a $72 million hole could be blown into Wisconsin’s budget.

“Passed just a week ago, the budget assumes that a court will order the Ho-Chunk to make payments to the state that the tribe says it does not owe. The state Department of Administration estimates the tribe will owe about $72 million in fees under its gambling compact by June 30, 2009.

“But a lawsuit over the money is pending in federal court and there are no guarantees that the state will win, get as much as it is seeking, or that payment will be received during the current budget cycle.

“I would consider this a potential time bomb inside the budget,” said Sen. Robert Cowles, R-Green Bay. He questioned assistant Department of Administration Secretary Dan Schoof about the case during a hearing Wednesday related to a state audit of casino payments.”

Seems like a stretch to balance a government budget with the anticipation of winning a lawsuit, given the uncertainties of litigation. Michigan just passed its budget. One wonders if the Legislature counted the revenues it might win in the Keno case.