Various state governments who are facing severe budget deficits and fiscal crises have asked the Obama administration for a federal bailout. Subsequently, the US House on Wednesday held a hearing called “State and Municipal Debt: The Coming Crisis?”

To my gratification however, 35-year-old Gastonia-born Congressman Patrick McHenry (NC-10), who is Chairman of the House Oversight Subcommittee on TARP, Financial Services and Bailouts of Public and Private Programs, announced that the era of federal bailouts of state and municipal governments who have mismanaged their finances is now over. McHenry explained “…already state and municipal governments are coming to Washington, hat-in-hand, expecting a federal bailout like everyone else. But the era of the bailout is over.” We mean you: California, Illinois, and New York.

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