Posted on 12/16/2004 10:20:58 AM PST by NormsRevenge
SACRAMENTO — The state budget Gov. Arnold Schwarzenegger proposes in January will show that the shortfall has worsened substantially in recent months, administration sources say, and will force him to propose deeper spending cuts than previously expected.
The ballooning gap reflects Schwarzenegger's limited success at reining in spending. State prisons are over budget, Indian casinos are generating less cash than expected and the governor's proposal to raise $460 million by diverting a share of punitive damages from civil lawsuits to the state has fallen flat. And a plan to borrow $800 million to pay the state's contribution into the pension fund for its workers is tied up in court.
In all, the projected shortfall has grown to at least $8 billion, say administration officials who asked not to be named. That's $1.3 billion more than was projected last month by the nonpartisan legislative analyst's office, which lawmakers look to on budget matters.
Department of Finance spokesman H.D. Palmer declined to discuss specifics. But he confirmed that "the gap we will have to close is higher than what the legislative analyst's office is projecting."
Administration officials have been warning lobbyists and activists to brace for even deeper proposed cuts in what was already expected to be one of the most difficult budget years in state history.
At a meeting earlier this week, Secretary of Health and Human Services Kim Belshe warned a group of healthcare advocates what was coming.
Mike Herald, a legislative advocate with the Western Center on Law and Poverty, said the message he got from the gathering was that "the overall budget problem has grown and therefore the cuts to health and human services will be growing along with it….
(Excerpt) Read more at latimes.com ...
...and every solution under the sun will be proposed save for one; reducing spending.
Gov. Rino-ld Schwarzenegger
Cuts are always just proposed, while spending and tax increases are always actual.
I was reading about a structural shortfall of $8 billion about three years ago, primarily caused by Proposition 8: class-size reduction.
Seeing as class-size reduction didn't work, shall we put the teachers back to work?
The actual deeds of this governor are going to be harder and harder to defend, as this state continues to take on water.
Take the axe to spending Governor. You and the rest of us will live, if you do. Quit allowing your leftist pals to convince you otherwise.
I so look forward to the day when Kalifornians realize that they cannot afford to imprison otherwise law-abiding citizens for keeping and bearing arms. Until that point is reached, I remain deaf to pleas for more taxes. Let them eat cake.
1) Look at how much the state takes in. Add it all up to come up with a total revenue number.
2) Look at previous budgets and the actual monies spent on state programs in 2003. 3) If the number in #1 is more than the number in #2, apply that budget, and only fund those programs within that previous year's budget. All other programs since then are not going to be funded. 4) If the number in #1 is less than the number in #2, look at the 2002 budget. Keep going back in history until a match is found.
Agreed!
The difference between spending for the next five years between what Arnold's proposed and what the Democrats want is Grand Canyon sized: Arnold wants it held to 4%. The Democrats what to spend 39!% in the same period. And of course while the Governor isn't going to actually cut spending, the Democrats are going to label his puny increases a "cut." That's the new Sacramento math. Get used to hearing it a lot next year even though its a lie.
Arnold wants it held to 4% for the entire five year period? Really? What is your source. Or do you mean 4% growth per year?
Are you referring to John Campbell's article? If so, I haven't seen anything that says Arnold supports the proposal. We'll know in January when we see the next budget proposal.
And of course while the Governor isn't going to actually cut spending, the Democrats are going to label his puny increases a "cut." That's the new Sacramento math. Get used to hearing it a lot next year even though its a lie.
That's pretty standard budget gaming... I don't think there is much "new" about it. Hopefully some will continue to expose it for what it is. Many on FR continued to tout the "cuts" this year made by Arnold which weren't "cuts" at all.
But this can't be! Arnold came in on his white horse and said he was going to reform the state! C'mon he's a Republican this is no big deal.
We'll have to see what happens in January. Odds are they'll paper over it again just like they did last year.
When politicians use the words "cuts" they use it in the opposite of normal English. In any other occupation, one would face a fine or jail for misleading advertising. Not in politics.
Agreed. And the recent "Spending Cap" and "Cut up the Credit Cards" campaigns are top offenders.
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