California Fire Sale

[American_Jihad]

Share your thoughts: Gov. Schwarzenegger to unveil latest budget proposal
May 14, 2010 | 12:13 pm

http://img576.imageshack.us/img576/8042/cali.png (http://img576.imageshack.us/i/cali.png/)

With California facing an estimated $18.6-billion shortfall, Gov. Arnold Schwarzenegger is expected to unveil his latest budget proposal Friday afternoon. The plan could result in deep cuts in state services and possibly the elimination of some landmark programs.

The shortfall amounts to roughly 20% of the state's general fund spending. Though the budget proposal won't contain any tax increases, the spending plan would include “absolutely terrible cuts,” said Schwarzenegger spokesman Aaron McLear.

Times staff writer Shane Goldmacher is reporting from Sacramento. Goldmacher wrote that programs the governor has signaled could be affected include in-home healthcare for the elderly and disabled, welfare and other social services. Also expected to be included are reductions for public schools.

Without raising taxes, balancing the budget would require cutbacks equivalent to releasing every prisoner in the state, closing state prisons and cutting off all funding for the University of California and California State University systems.

Here is some of what our readers had to say about the impending cuts:


PCT wrote: Cut in-home care for the disabled and elderly? Rather than raise taxes? I don't love paying taxes, but honestly, I would consent to a tax increase if such vital services were maintained. People will literally die if such a program is cut.

Bob Skinner wrote: I get paid $556 a month to take care of my developmentally disable, medically fragile son who is 29 years old. I could give him up to the state so that I could seek full time employment and stop live in poverty. At our last annual review our case manager admitted to me that the state feels that even if they cut what little money we receive that I will continue to care for him, it's true I will. CalPers is looking for billions from the state to bailout their bad investments. I guess the weak get stopped on so that the fat state and county employees can keep on getting their troughs filled.

Sainted wrote: It's about time. Cali is out of money and already a high-tax state. It's time to eliminate many of the entitlements that irresponsible state government has built up over the years. And, Sage, you're right. Pensions and benefits should be cut.

kristin wrote: It's sad to know to people will be hurt or even die as a result of the cuts, but I simply don't trust our politicians to make wise choices using more of our tax money. It was their selfish stupidity (especially but not limited to the Democrats) that got us into this mess in the first place.

They wanted to buy votes, so they gave sweet pension and pay benefits to state employees. They also expanded programs. At the same time, they never thought about sustainable spending. They used every penny they found and never even considered that they might have to cut back someday.

In the real world, a company like that would go broke or out of business. But the state differs in that it can force people to pay taxes. These cuts are depressing, but we need them to discourage politicians from destroying this state and its future.


SCTom wrote: The state budget has grown in real dollars each and every year and at some point, this has to stop. There is a limit to the amount of money that those of us who pay taxes are willing to send to Sacramento (or Washington) and I reached my limit a long time ago. Enough is enough. We don't need a government program for EVERY problem that society faces. Government is NOT the solution to every little issue that comes along. We are creating an entire class of people who believe that they are "entitled" to government services at no cost to themselves. And those services have to be paid for by a diminishing pool of taxpayers. It's time for this jig to be up. There are entire programs and departments that need to be shut down or privatized. There literally are not enough "rich people" to pay for 300 million other people to sit home and collect a government check.

Share your thoughts below. What should Schwarzenegger cut? Will California ever recover? If you were governor for a day, what changes would you make?

http://latimesblogs.latimes.com/comments_blog/2010/05/share-your-thoughts-schwarzenegger-to-unveil-his-latest-budget-proposal.html

[short_circuit]

The Terminator...! :moose:

[American_Jihad]

California meltdown
5/13/10

An occasional flyover of the state budget crisis

Legislators and others are wondering what Gov. Schwarzenegger’s budget revision, due this Friday (May 14), will look like. Most expect it will be much like his January worst-case budget, since little has changed since then to eliminate the $20 billion budget deficit. Look for wholesale devastation of safety-net programs. In the meantime, here’s what’s happened in recent weeks.

Sun., April 11: The Sacramento Bee publishes an in-depth analysis of how too-generous pensions given government employees in recent years have resulted in a $28 billion gap between the amount of pension money that’s invested and the amount that’s promised to employees and retirees in California’s 80 largest city and county governments.

Thurs., April 15: The San Francisco Chronicle reports that, according to a UC Berkeley economist’s research, Gov. Schwarzenegger’s decision to include workers at agencies that generate revenue in his furlough plan decreased the total amount of savings by $700 million.

Thurs., April 23: The California Supreme Court rejects the governor’s request that it consolidate the approximately two-dozen lawsuits challenging his furlough program. According to the Sacramento Bee, the state has spent $736,283 on private attorneys defending the program.

Tues., April 27: In an analysis of Gov. Schwarzenegger’s plan to sell off 11 state office properties, the Legislative Analyst’s Office stated the plan represented a “bad budgeting practice.” Although the state would get a one-time windfall from the sale, it would be forced to pay much more in lease costs over time, the LAO said.

Tues., April 27: Organizers of a massive free mobile health clinic in Los Angeles were so overwhelmed by people needing dental care they were forced to ask them to return next week. According to the Los Angeles Times, much of the increased demand was tied to the state’s elimination of adult Denti-Cal last July.

Fri., April 30: After four months of positive revenue news, the state took a tumble in April, State Controller John Chiang reports in a release. The month’s receipts dropped by $3.6 billion, or 26.4 receipts, after tracking $2.3 billion ahead of projections through March. “The governor and Legislature need to move quickly and forge the consensus needed for a balanced budget,” Chiang states. Don’t hold your breath.

Mon., May 3: In the wake of the disastrous Louisiana oil leak, Gov. Schwarzenegger pulls the plug on the controversial Tranquillon Ridge drilling project off the coast of Santa Barbara County. He was hoping to raise $119 million in fees in 2010-11 and $1.8 billion over 14 years by allowing the drilling.

Tues., May 4: A Sacramento Superior Court judge rules that the state can take $2.05 billion from local redevelopment agencies to spend on education. The city of Chico has since handed over $9.2 million. Meanwhile, the California Redevelopment Agency is appealing the ruling.

Tues., May 4: The heads of the state Senate and Assembly, Darrell Steinberg and John Pérez, are in Washington, D.C., hats in hand and meeting with House Speaker Nancy Pelosi and Health and Human Services Secretary Kathleen Sebelius in the hope that more federal money might be sent California’s way.

http://www.newsreview.com/chico/content?oid=1424325