 CONTACT: Nancy Mathieson, 847-226-8589, NancyMath1@aol.com
HAWAII IS IN THE 47TH WORST
FINANCIAL POSITION OF ALL 50 STATES
Truth in Accounting Report names Hawaii a "Sinkhole" State
Chicago, (August 3, 2011) –
The non-partisan Institute for Truth in Accounting has identified
Hawaii as a "Sinkhole" state because it is one of five states in the
worst financial position in the country. While Hawaii has $19.5 billion
worth of assets, only $3.9 billion are available to pay $15.4 billion
of bills as they come due. Each taxpayer's financial burden is $25,000.
"State officials say their budgets are balanced but do
not include employee pension and healthcare obligations in their
calculations," stated Sheila Weinberg, Founder and CEO of the
Institute. "Unlike the federal government, states can't 'print money'
to cover costs and shore up their financial conditions."
The Institute's newly released "Financial State of the
States" Report reviewed each state's Comprehensive Annual Financial
Report (CAFR) to offset assets against liabilities. For the first time,
a detailed analysis of pension and healthcare liabilities was completed
which uncovered the states' actual obligations. From these
calculations, the Institute was able to determine the true Taxpayer's
Burden for all fifty states. Click here to download the full Report.
Based upon extensive research, the Institute for Truth
in Accounting has found most states are sinking in debt. Despite the
existence of a balanced budget requirement, in all but one state,
governors and legislatures have dug these financial holes. The lack of
truth and transparency in state budget processes has concealed the
accumulation of $1 trillion of outstanding bills. The Institute has
identified Connecticut, New Jersey, Illinois, Hawaii and Kentucky as the
top five "Sinkhole" states, each with a per taxpayer burden more than
$23,000. Conversely Wyoming, North Dakota, Nebraska, Utah and South
Dakota are considered "Sunshine States', because a per taxpayer's
surplus or minimal per taxpayer's burden exists in these states.
About the Institute for Truth in Accounting
The Institute for Truth in Accounting (IFTA) is dedicated to
promoting honest, accurate, and transparent accounting at all levels of
government and business. As a non-partisan, non-profit organization,
the IFTA works to expose accounting deficiencies while promoting better,
more accessible delivery of accurate government financial data—and, in
turn, providing a foundation for more informed public policy. The IFTA
provides its expertise to develop more effective accounting standards
and deliver accurate government financial information to policymakers,
opinion leaders, and citizens, so they can all work for a more secure
financial future.
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