Palin's Record on Debt and Liabilities Bests the Rest of the GOP Field

Of all current or former governors among the leading candidates for the 2012 Republican presidential nomination, no one’s record of dealing with his or her state’s debt and unfunded liabilities compares with that of Sarah Palin during her three fiscal years at the helm in Alaska.

The following analysis examines the growth of total debt outstanding and total liabilities, both on an actual and per capita basis, for Alaska under Sarah Palin, Massachusetts under Mitt Romney, Minnesota under Tim Pawlenty, Texas under Rick Perry, and Utah under Jon Huntsman.

Total Debt Outstanding

Of the five governorships examined, Alaska under Palin saw the smallest increase in total debt outstanding (12.7% cumulatively, 4.2% per year). Texas under Perry performed worst, with total debt increasing 20.5% annually, almost tripling during his term (a cumulative increase of 184.2%).

On a per capita basis, only Utah under Huntsman performed slightly better than Alaska under Palin. Utah experienced a cumulative increase of 6.8%, versus 7.4% for Alaska (1.4% per year for Utah, versus 2.5% per year for Alaska). Again, Texas under Perry ranks last, with an astonishing cumulative increase in debt per capita of 140.4% (15.6% on an annual basis).

Candidate	Beginning Debt Outstanding	Ending Debt Outstanding	Cumulative Increase/Decrease	Average Annual Increase/Decrease
Palin FY07 – FY10	$2.246 Billion	$2.531 Billion	12.7%	4.2%
Huntsman FY05 – FY10	$3.475 Billion	$4.204 Billion	21.0%	4.2%
Pawlenty FY03 – FY10	$3.474 Billion	$5.768 Billion	66.0%	9.4%
Romney FY03 – FY07	$15.963 Billion	$23.026 Billion	44.3%	11.1%
Perry FY01 – FY10	$12.561 Billion	$35.692 Billion	184.2%	20.5%

Candidate	Beginning Debt Outstanding Per Capita	Ending Debt Outstanding Per Capita	Cumulative Increase/Decrease	Average Annual Increase/Decrease
Huntsman FY05 – FY10	$1,391	$1,485	6.8%	1.4%
Palin FY07 – FY10	$3,326	$3,571	7.4%	2.5%
Pawlenty FY03 – FY10	$688	$1,090	58.5%	8.4%
Romney FY03 – FY07	$2,473	$3,543	43.3%	10.8%
Perry FY01 – FY10	$589	$1,416	140.4%	15.6%

Cumulative Change in Debt Outstanding During Governorship

Average Annual Change in Debt Outstanding During Governorship

Total Liabilities

Alaska under Palin was the only state to see a reduction in total liabilities (34.6% overall, 11.5% per year), due in large part to the Governor’s insistence that the State’s surplus be used to pay down unfunded pension obligations and forward-fund education. All other states experienced cumulative increases in total liabilities, ranging from 19.5% for Massachusetts under Romney to 60.6% for Texas under Perry. On an annualized basis, other states showed increases ranging from 4.9% for Massachusetts under Romney to 8.2% for Utah under Huntsman.

Under Palin, Alaska’s total liabilities per capita fell 37.7% (12.6% per year). All other states experienced cumulative increases, ranging between 18.7% (Massachusetts) and 34.3% (Minnesota), and annual increases, averaging between 4.0% (Texas) and 4.9% (Minnesota and Utah).

Candidate	Beginning Total Liabilities	Ending Total Liabilities	Cumulative Increase/Decrease	Average Annual Increase/Decrease
Palin FY07 – FY10	$9.847 Billion	$6.436 Billion	-34.6%	-11.5%
Romney FY03 – FY07	$37.679 Billion	$45.030 Billion	19.5%	4.9%
Pawlenty FY03 – FY10	$10.188 Billion	$14.366 Billion	40.7%	5.8%
Perry FY01 – FY10	$48.125 Billion	$77.271 Billion	60.6%	6.7%
Huntsman FY05 – FY10	$4.501 Billion	$6.351 Billion	41.4%	8.2%

Candidate	Beginning Total Liabilities Per Capita	Ending Total Liabilities Per Capita	Cumulative Increase/Decrease	Average Annual Increase/Decrease
Palin FY07 – FY10	$14,581	$9,079	-37.7%	-12.6%
Perry FY01 – FY10	$2,256	$3,065	35.8%	4.0%
Romney FY03 – FY07	$5,837	$6,928	18.7%	4.7%
Huntsman FY05 – FY10	$1,801	$2,244	24.5%	4.9%
Pawlenty FY03 – FY10	$2,017	$2,710	34.3%	4.9%

Cumulative Change in Total Liabilities During Governorship

Average Annual Change in Total Liabilities During Governorship

Summary

During the fiscal years for which Sarah Palin exercised budgetary authority as Governor of Alaska (FY08 through FY10)

•   Debt outstanding increased 12.7%, or 4.2% per year

•   Per capita debt outstanding increased 7.4%, or 2.5% per year

•   Total liabilities decreased 34.6%, or 11.5% per year

•   Total liabilities per capita decreased 37.7%, or 12.6% per year

During the fiscal years for which Jon Huntsman exercised budgetary authority as Governor of Utah (FY06 through FY10)

•   Debt outstanding increased 21.0%, or 4.2% per year

•   Per capita debt outstanding increased 6.8%, or 1.4% per year

•   Total liabilities increased 41.1%, or 8.2% per year

•   Total liabilities per capita increased 24.5%, or 4.9% per year

During the fiscal years for which Tim Pawlenty exercised budgetary authority as Governor of Minnesota (FY04 through FY10)

•   Debt outstanding increased 66.0%, or 9.4% per year

•   Per capita debt outstanding increased 58.5%, or 8.4% per year

•   Total liabilities increased 40.7%, or 5.8% per year

•   Total liabilities per capita increased 34.3%, or 4.9% per year

During the fiscal years for which Mitt Romney exercised budgetary authority as Governor of Massachusetts (FY04 through FY07)

•   Debt outstanding increased 44.3%, or 11.1% per year

•   Per capita debt outstanding increased 43.3%, or 10.8% per year

•   Total liabilities increased 19.5%, or 4.9% per year

•   Total liabilities per capita increased 18.7%, or 4.7% per year

During the fiscal years for which Rick Perry exercised budgetary authority as Governor of Texas (FY02 through FY10)

•   Debt outstanding increased 184.2%, or 20.5% per year

•   Per capita debt outstanding increased 140.4%, or 15.6% per year

•   Total liabilities increased 60.6%, or 6.7% per year

•   Total liabilities per capita increased 35.8%, or 4.0% per year

Sources:

Comprehensive Annual Financial Reports

State of Alaska

Fiscal Year July 1, 2006 – June 30, 2007

Fiscal Year July 1, 2009 – June 30, 2010

Commonwealth of Massachusetts

Fiscal Year Ended June 30, 2003

Fiscal Year Ended June 30, 2007

State of Minnesota

Year Ended June 30, 2003

Year Ended June 30, 2010

State of Texas

Fiscal Year Ending August 31, 2001

Fiscal Year Ending August 31, 2010

State of Utah

Fiscal Year Ended June 30, 2005

Fiscal Year Ended June 30, 2010

Population Figures

U.S. Department of Commerce, Bureau of the Census

Preliminary Annual Estimates of the Resident Population for the United States, Regions, States, and Puerto Rico : April 1, 2000 to July 1, 2010