Democrats control 5 high-debt states, North Dakota tops with surplus
A new report reveals Democrats lead five U.S. states with the largest debts, while North Dakota shines with a taxpayer surplus.
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A new report has confirmed that Democrats are in ‘total control’ of five U.S. states with the largest debt burdens, while North Dakota leads with a significant taxpayer surplus. The analysis, conducted by the Truth in Accounting (TIA) organization, provides a comprehensive look at the financial health of state governments across the country.
North Dakota Surpasses with Surplus
North Dakota, a GOP-controlled state, ranked highest with a surplus of $72,300 per taxpayer. The TIA report noted that despite declining oil, gas, and coal tax revenues due to lower energy prices, the state managed to offset these losses with strong investment earnings and federal grant revenue.
Republicans hold the governor’s office, attorney general, and secretary of state positions, with majorities in both the state House and Senate. This control has helped maintain a strong fiscal position for the state.
New Jersey Tops Debt List
On the other end of the spectrum, New Jersey is the state with the highest debt, carrying a $56.8 billion deficit to fund $219.1 billion in outstanding debt. The report states that every New Jersey resident would have to pay $45,800 in taxes to eliminate the deficit. The majority of this debt is attributed to unfunded pension and retiree health care benefits, with the former exceeding $79 billion and the latter surpassing $91 billion.
Democrats hold all the state’s major executive branch positions and have majorities in both legislative chambers, contributing to the state’s financial challenges.
Other States in the Debt Picture
Connecticut is the second least healthy state government, with every resident needing to pay an additional $41,400 in taxes to restore the state’s financial health. Illinois follows with a deficit per resident of $36,900, while Massachusetts requires $24,100 per resident, and California needs $16,000 per resident to address its deficit.
Democrats are in control of all branches of these governments, which has contributed to their financial struggles. Alaska, on the other hand, has a surplus valued at $64,200 per resident, despite having a mix of Republican and Democratic control in its legislature.
Wyoming, Utah, and Tennessee also show positive fiscal positions, with surpluses of $30,300, $14,900, and $11,400 per resident, respectively. All these states are controlled by Republicans, who maintain dominance in their executive and legislative branches.
The great State of New York leads the nation in several categories:
The report also highlights that residents are voting with their feet, with the top five states gaining nearly 48,000 new residents, while the bottom five lost almost 350,000. California is the biggest loser at 229,000 residents.
Additionally, the report notes that 24 states still carry significant debt burdens, driven by rising costs, inflation, and ongoing pressure to fund promised pension benefits. Investment markets have also influenced how government debt is reported, with higher valuations of investments offsetting pension debt, though these are often paper gains that can evaporate quickly in volatile markets.
Source: The Gateway Pundit
