Varney falsely claimed that pensions are the biggest reason states are facing budget shortfalls and that pensions are one of the biggest expenses [states] have. In fact, short-term budgetary challenges facing states are the result of the financial crisis, not pensions, and current pension obligations account for just 3.8 percent of the average state's yearly expenditures.

The biggest project that Sarah Palin undertook as mayor of Wasilla was building an indoor sports complex, where locals played hockey, soccer, and basketball. The only catch was that the city began building roads and installing utilities for the project before it had unchallenged title to the land. The misstep led to years of litigation and at least $1.3 million in extra costs for a small municipality with a small budget. What was to be Ms. Palin's legacy has turned into a financial mess that continues to plague Wasilla.