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110 Comments
- doctechnical, on 07/10/2009, -0/+36Here's the short version:
CA has economic boom.
CA government spends like it's in an economic boom.
CA has economic bust.
CA government still spends like it's in an economic boom
CA sez "I can haz bailouts?" - adc86, on 07/10/2009, -0/+35Reason magazine has done extensive coverage of the California budget. I recommend checking them out. Had California merely limited its spending increases to inflation plus population growth, they'd be sitting on a $17 billion surplus right now.
So when I see crap in the papers about how this was all caused by a bill that won't allow them to raise taxes, it really makes me wonder how that could honestly be. - AmyVernon, on 07/10/2009, -3/+30A mix of things, not least of all that everyone - Republican, Democrat, whatever - assumed that things would keep growing forever.
- soupdawg30, on 07/10/2009, -1/+26They spend more money than they make. How hard is that to understand?
- stutimandal, on 07/10/2009, -7/+23Spending more than earning, and having policies that let industries move out (brutal taxation).
- inactive, on 07/10/2009, -2/+16They spend more money than that TAKE. There, fixed it for you.
The government doesn't make money, it takes money. - trevor98, on 07/10/2009, -0/+14But that wouldn't allow the politicos to buy votes. Do you honestly thing politicians act for the public good rather than their own good? Besides, they don't raise taxes, they raise "revenues"
- dankoleary, on 07/10/2009, -1/+11I live in Los Angeles, and something that we never talk about is the problem with immigration. A large chunk of money spent on education, welfare, food stamps, etc. is spent on people who don't contribute. It's an issue that NO ONE wants to touch, but its a major cause of why California is going to be slow to recover.
- doublefelix, on 07/10/2009, -1/+10Not being able to pass a budget, sending state workers IOU's.
- pathouston22, on 07/10/2009, -0/+9The hilarous thing is....how much Californians pay in taxes.
"I paid half my income in taxes, and all I got was a lousy IOU!" - rebrad, on 07/10/2009, -2/+11I'm from the Government. I'm here to help.
- ArchAngel21x, on 07/10/2009, -1/+10Giving illegal aliens free social services sure didn't help.
- govsucks, on 07/10/2009, -2/+11REALLY!? Because you haven't lost enough revenue generating businesses and people moving to other states already due to high taxes right? Because Californias taxes are too LOW right? Because government ISN'T spending FASTER than growth already right?
People like YOU are the reason California is going broke. - phydeaux70, on 07/10/2009, -2/+10Look at the states in the worst financial situation: California, New York, Illinois.....and then look at the governments that continue to get elected there and do your own correlation as to why things are the way that they are.
Reap what you sow...and many of you just elected a bunch more of them in the last election. Good job....don't cry about it now. - endisnighe, on 07/10/2009, -0/+8Did not even bother to read article, Democrat and Republican politicians-need I say more.
- trevor98, on 07/10/2009, -0/+8What happens to Californians? They run away from that sinking ship. I'm glad I did.
- inactive, on 07/10/2009, -6/+14What happens when Californians, already weighed down by too many taxes, say no to new taxation but find themselves increasingly burdened by left wing social programs created with the mistaken assumption that the economy would just go up up up, mixed with the lack of will to end these programs to save tax dollars.
- illinest, on 07/10/2009, -3/+10Possible solutions
1. increase taxes. The rich people can afford to live anywhere, so they'll be looking for homes in Oregon, New Mexico, Nevada etc... and when they leave you'll be losing that tax income.
2. decrease taxes. The rich people can afford to live anywhere, so they'll be looking for homes in Cali. When they move to Cali you'll be gaining that tax income. - SirBruce, on 07/10/2009, -2/+9Prop 13 isn't a factor. It limits how quickly revenues can grow, sure, but revenues for 2008 and 2009 are still more than they were for 2004, 2005, etc. Now tell me, why does the state need to spend $100B in 2009 when it only spent $75B in 2004? There's no justifcation for such a massive increase in spending.
- jjmelch, on 07/10/2009, -0/+6A shortfall is far from bankruptsy like CA, NY, MA and IL. These states have proven that Socialism is only good for redistribution of wealth. Let's hope you never come into any money. Obama will take it all if you let him.
- methdwman3, on 07/10/2009, -0/+6Tax and spend liberalism at its finest. When times are good, no one minds the massive spending. Once rough times hit, there's nothing left in the kitty.
- BillE3, on 07/10/2009, -11/+16They did not "Let" industries and business out of Kalifornya, they drove them out with taxes and regulations requiring expensive compliance costs and fees. Nevada and Arizona responded by courting industry and business by promising to not impose those barriers. For ten years now we have seen a steady and large migration of industry and business leaving Kalifornya. Only to be replaced by illegal mass migration putting an extreme burden on public services.
- austroLogi, on 07/10/2009, -10/+15One word.......Democrats
- monvalley, on 07/10/2009, -0/+5It's called lack of responsibility. Real easy to do when you are spending someone elses money.
- cvlad, on 07/10/2009, -0/+53. Cut spending. Cease funding all health care programs (which are the responsibility of *individuals* or their guardians), reduce state employee payrolls, dismantle the unions and open state jobs to the competitive labor market, and cease funding pension plans. Don't subsidize housing/projects/etc - if you can't afford to live here you should move. Don't pay for the laughable "first five" programs, which are really just free daycare programs for people who can't be bothered to take care of their own children. Lower state operating costs through greater automation - it's 2000-freaking-9, there's no reason we need to pay people to process a form that a computer can process in a moment.
Convert the CalGrant program to low-interest guaranteed loans instead of grants, without reducing the eligibility requirements. This would save the state hundreds of millions, without reducing college enrollment. Do not cut basic services "we all use", such as courts, fire, and police protection. These first and foremost are the PRIMARY function of government. Do not cut state services which are self sufficient, such as the state park system.
Reduce business taxes, operating costs, red tape, and requirements for building permits (such as suspending the ridiculously long environmental impact study *****). This will lower housing costs and spur the construction market. Put a system into place that bases teacher pay on performance. Lower the insanely high "administrative costs" associated with the education system. It is UNACCEPTABLE for Californians to fork over $50-odd billion a year and have one of the worst K-12 education systems in the developed world.
Quit with the environmental tunnel vision. No one wants to see CA's beauty destroyed, but there's a difference between a progressive environmental policy and an obsessive environmental policy. Permit (at least some) oil drilling to raise tax revenues while lowering energy prices. Build more oil refineries (which is one of the reasons gas in CA is so expensive). Build more power plants (particularly nuclear, but green solutions as well) to lower the cost of energy - this more than anything will keep inflation low, employ thousands of people, and attract more businesses. Subsidize the construction of green power with mild taxes on fossil fuel sales.
The solutions are there, they're obvious, but the legislature is beholden to various unions and special interest groups, who hold a vice grip on their genitals. Possibly the single best thing we could do is stop having politicians and start having real people running our government - get some scientists, engineers, business owners in there, people who actually know how to solve problems instead of creating them to keep themselves in office. Don't just vote the moron with the loudest microphone who spews what you want to hear into office. - whipnet, on 07/10/2009, -0/+5I don't have to read this to know that California has failed because of its enormous welfare system. They tax the hell out of every corporation and individual willing to work, so the corporations leave California and move across the state border to a tax friendly state leaving only welfare in California with no one to pay for it.
* - faskippy, on 07/10/2009, -1/+5Even in death, they won't admit it, will they?
- zebraz, on 07/10/2009, -8/+12Is it a coincidence that almost all the states going broke are democrat ?
- SpinningHead, on 07/10/2009, -0/+4The other problem is that the residents want all that great infrastructure they have, but refuse to vote for the tax increases to pay for it. Its like demanding your HOA put in a pool and then everyone refusing to chip in to pay for maintenance. You cant have it both ways.
- fxmulder, on 07/10/2009, -5/+9Trophy governer,paying for illegals,tax and spend. If you have $100 and you want $200 shoes, you save. Not in Calif. You buy 10 pairs of shoes with the $100. How? That's Calif. And then they tax and tax and tax. But they spendx10000....! Don't blame you all for moving out.
- methdwman3, on 07/10/2009, -0/+4Can't speak for all states, but massive spending is what has brought Massachusetts a budget shortfall, which has in turn brought a sales tax increase for all us little people.
- uberkling, on 07/10/2009, -0/+4The even shorter version:
No money. State *****. - BurgGuy, on 07/10/2009, -0/+4In the stranger than fiction category, back in Sacramento, our lawmakers are tending to the really important things like honey,blueberries and cranberry juice standards:
Assembly bill 606 creates a commission to serve the marketing interests of the blueberry industry. Another bill defines “honey” to mean the natural food product resulting from the harvest of nectar by honey bees, and a third bill adopts regulations establishing definitions and standards for 100-percent pomegranate juice.
The governor is not against condiments. The governor’s not against fruits of any kind,” said spokesman Aaron McLear. “But he believes we ought to be focused on solving our budget crisis first and foremost.”
“Look, we’re pro-condiment, we’re pro-fruit, but the focus needs to be on the budget crisis,” McLear said. - TheInformer, on 07/10/2009, -0/+4Mix of things = California spends too much.
- whipnet, on 07/10/2009, -0/+3I think you nailed California 's problem on the head
- faskippy, on 07/10/2009, -4/+7Let's see, part of the problem is that it's more important to keep up with the Jones' than to actually live within their means. Oh, you mean the State. Well, repeat first sentence. Illegals costing billions? Yep. Not to mention the fact that it's more important to be able to look out into the Pacific and not see offshore rigs than it is to utilize the economic injection that that industry would bring. They can bitch and moan about carbon emissions, and how we need to move to clean fuel, but they won't allow the desert to become the proving grounds for wind and sun energy because it doesn't look pretty and it may displace a ***** lizard. No, instead, they'll push to pass the largest tax in history called "cap and trade". Then, when they get stimulus money (economic stimulus money, that is), instead of the elected officials funneling it to much needed projects like water for the farming industry, they decide to pretty up some bridge and put in landscaping and *****. I ask you, how the ***** is that an economic stimulus??? Money that is supposed to be used to create PERMANENT jobs, and STIMULATE THE ECONOMY, don't forget. I, living in my State, had to pay for FLOWERS in their State, against my will. WTF?
I don't blame them for voting down tax increases. Their damn representatives don't know their asses from a hole in the ground as it is. If they can't discipline themselves to spend responsibly with the funds they already steal from working people, why the ***** should they just roll over and give them more?
It's hard for me to fathom the mindset of some of the supporters of these *****. It's like they have you convinced that you are happy to be taken like a pimp takes a cheap whore. And if that weren't good enough, you're convinced everyone else is a traitor because they don't just hand it over happily, while you stand in front of the world and announce that you'd gladly pay more. ***** simpleminded robots. Dammit! - seandaly, on 07/10/2009, -1/+4Truth to this, but Prop 13 is somewhat of a necessary evil... While the rich could likely continue to pay rising property taxes as home values literally quadrupled over a 4 year period in some areas, what about the common family making less than $60,000 per year?
Imagine if California's property tax policy was similar to ours up here in New Hampshire...
Homeowners in my NH city pay about $22.00 per thousand of assessed value. On a $275K house, you're taking $6000 a year in property tax. That's $500 a month added to a mortgage payment. We're not that bad given that there are towns here with property tax rates of over $32 per thousand, which would be $8800 per year, or $733 a month.
Imagine if California had property tax rates of $32 per thousand on a similar house in 2006 valued at $700,000... What average family can afford paying over $20,000 per year in property taxes?
If Prop 13 never came into play, the CA government would have kept funding everything through residential property taxes and they'd be in a much worse situation than they are in today. - pak314, on 07/10/2009, -0/+3Due to court decisions, state workers cannot be giving IOUs because they violate employment laws. IOUs are only acceptable for those not working for the state.
- falconear, on 07/10/2009, -0/+3I guess I'm not cool enough to insult you and instead have to offer a real solution, but try going into compatibility mode, makes IE8 behave like IE7. It's the little button next to the address bar that looks like a broken piece of paper.
Or, yeah, just use Firefox. :) - mc88, on 07/10/2009, -0/+3Both parties are to blame. They all view us as their funding source, not as actual human beings.
- laofmoonster, on 07/10/2009, -0/+3The solution is to not use IE8.
- Wosat, on 07/10/2009, -1/+4Governor Schwarzenegger doesn't draft the budget.
- scoottie, on 07/10/2009, -2/+5There's nothing to understand, years and decades of stupid environmentalists pushing their agenda screwed California. And secondly all the liberials giving illegals more rights and more free stuff like health care and education made the budget ballon out of control.
- inactive, on 07/13/2009, -0/+2I'll tell you what did it. Democrats. Plain and simple. Democrats who know nothing other than tax and spend, and spend, and spend...
I mean seriously, lunches and welfare for NON-CITIZENS and illegal aliens?
The legislators in DC and Obama need to take a good look at California to avoid the same fate for the US, because at the rate we're going, that sure is where we're headed. - dodger6, on 07/13/2009, -0/+2@ jaydedrag0n Governor Schwarzenegger is a Republican >.<
If you believe that I've got a bridge to sell you. - Wosat, on 07/10/2009, -0/+2"you mean the states where people actually LIVE"
Texas isn't going bankrupt. And we don't even have a state income tax. - jjmelch, on 07/10/2009, -1/+3A mix of things like millions of Mexicans clogging the education system, courts, jails and hospitals.
- SpinningHead, on 07/10/2009, -0/+2Yeah, if only the reps had been in charge we wouldn't have this horrible recession....oh, wait.
- c3rb85, on 07/10/2009, -0/+2Yea this morning while watching the news they said that between education, prison, and health about $3 Billion is covering illegal immigrants.
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