The U-S credit rating is once again in danger of being knocked a notch lower, which could threaten the credit rating of Virginia.
Last year it was Standard and Poor’s who angered federal officials by taking away the top credit rating for the U-S for the first time in history. This time Moody’s is putting the government on notice for its bloated debt. Virginia Republican Morgan Griffith says he’s not surprised.
“We need to get our financial house in order and that’s what they’re trying to tell us…and it doesn’t seem at this point that the Democrats are serious about getting the spending under control,” says Griffith.
If the U-S credit rating is lowered Virginia could also see its credit rating go down, which could make borrowing more expensive. Northern Virginia Democrat Gerry Connolly says Republicans in the state ought to start contemplating tax increases instead of focusing merely on slashing programs.
“But you can’t have it both ways. You can’t say you want smaller government, you want to slash federal spending and, frankly, represent the Commonwealth of Virginia with a serious face. A third of the entire economy of our state is directly tied to federal investments, federal employment, federal spending,” says Connolly.
Instead of trying to address the looming problem, after this week lawmakers plan to hit the campaign trail through Election Day.