FOR IMMEDIATE RELEASE
Contact: Mike Dennehy

May 5, 2008

Salem, NH ­ Mike Downing, District 22 State Senator, today criticized
Governor Lynch¹s proposal to raise taxes even further on the people of New
Hampshire to balance the state budget.

³I voted against the budget last year because it was fiscally irresponsible.
The budget that was passed spends too much money and was manufactured with
unrealistic revenue expectations.  As a result, the state is facing a $225
million dollar deficit, and rather than scale back spending, the Governor
wants to raise taxes to fill the budget gap,² said Downing.

Senator Downing was the only member of the Senate Ways and Means Committee
to vote against the inflated revenue estimates and now, based on that over
inflation, the Governor is seeking to raise other taxes to resolve the
budget deficit.

³Higher taxes will send an already struggling economy spiraling even
further.  It is unacceptable to raise taxes further on struggling families
across New Hampshire.  State government needs an overhaul with reforms to
reduce spending, create more efficiency in government, and reward state
government agencies and employees to save more money in their departments,²
continued Downing.

Last week, the Governor proposed increasing cigarette taxes for the third
time since being elected, and instituting a new tax and higher betting
limits on lottery tickets.  The Governor estimated that the budget shortfall
could reach $225 million.

Downing stated, ³Now is the time to reach out to business and community
leaders, experts in government efficiency, and research other state
initiatives to save money in state government.  What happened to the
Governor¹s Œefforts¹ to bring efficiency in Government²?  Where are the real
reform proposals from the Governor¹s office?² (Governor Lynch 7/06 press
release: Governor Kicks Off Major Effort to Modernize State Government,
Improve Efficiency)

³When families across New Hampshire are tightening their belts, it is
incumbent on our state leaders to do the same.  I hope the Legislature says
ŒNO MORE TAX INCREASES¹ to the Governor,² concluded Downing.

Michael Downing, of Salem, is a first term state senator from District 22
representing the towns of Salem, Atkinson, Plaistow and Pelham.