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April 21, 2015      1:17 PM

Greenfield: Holding take-home pay constant for state government employment

Quorum Report’s resident number Dr. Stuart Greenfield cruncher goes in depth on how to best create a sustainable state government workforce

As we enter the critical stage of the 84thLegislature, the state faces a favorable fiscal situation.  The budget situation this session is excellent with an ending balance of $7.5 billion and a minimum in available total state revenue in excess of $220.9 billion for the FY16-17 biennium.

While additional funding for public education, transportation and Medicaid are required, another issue will be maintaining a well-qualified and professional workforce.

Since the beginning of the 21st Century, Texas has witnessed both a substantial growth in population (22.9 percent) and an above average growth in real Gross State Product (GSP) per capita (7.5 percent). The population growth rate was over twice the U.S. rate, while growth in GSP per capita was 30 percent greater than the U.S. growth. State GSP per capita continues to be greater than GSP per capita for the United States.

Growth in population and an increase in real median household income results in an increased demand for public services; citizens require new roads, improved public and higher education, those in need qualify for social services, and protecting both its citizens and environment are critical for a growing state.

The complete column from Dr. Stuart Greenfield can be found in the R&D Department.

By Stuart Greenfield, Ph.D.