Perry to TX Legislature: Keep Taxes, Spending Low

By: Associated Press
By: Associated Press

AUSTIN -- Less than a month before the Legislature convenes for a five-month session, Gov. Rick Perry warned state lawmakers Wednesday to hold the line on government spending and resist any temptations to raise taxes.

He made the statements today while speaking before industry leaders about the "fragile" economy.

Perry said he saw no need for the Legislature to enact sweeping proposals to deal with the financial meltdown. He said austerity measures enacted during past legislative sessions had put the state on a prudent course already.

Perry also told the group that the "worst thing we could do is raise your taxes right now."

The Republican governor said Texas had the "strongest economy in the nation" but was feeling the effects of a global downturn. Last summer, leaders said the state would have an $11 billion budget surplus. But a few months later, much of the money has dried up as costs mount and worsening economic news starts to shrink once-robust tax returns.


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