New York State will have a $1.1 billion cash flow problem in December, according to the Times Union, despite Governor Paterson predicting for months that this would happen.

In December, the State is supposed to distribute billions of dollars to schools, counties, state payroll, etc., yet it will only have about 3/4 of the money it promised on hand.

NYS must begin making cuts.  It is easy, every person does this every day with their family’s budget.  The State can start with the simple things.  The non-essentials must be dramatically cut.  If this means libraries are no longer able to purchase the newest videos to loan out for free, or that State property does not have quite as many flowers planted on them, so be it.  Move on from there to tackle the larger cuts.

Since Governor Paterson is very interested in finding innovative revenue streams, I am sure we will see the $21,000 rug on eBay very soon.

Cuts must also trickle down to the municipalities as well.  City’s must begin making tough decisions.  Schools must consolidate to take advantage of economies of scale.  People need to demand less of their government.

New York State must show the Counties, Cities, Towns and Villages how it is done.  The State must model its desired behavior.  Until the State cuts its fat, the municipalities will continue to keep their fat, and will keep demanding more aid from the State and Federal government.