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Autopilot Spending For The "Poor" (Jill Stewart's Amazed At California's Welfare State Alert)
Long Beach Press Telegram ^ | 03/06/05 | Jill Stewart

Posted on 03/06/2005 10:09:58 PM PST by goldstategop

The state treasury raked in $5 billion extra this year, state officials say, but because of what Finance Director Tom Campbell calls "autopilot spending," we must pay out $10 billion extra -- $5 billion more than we got.

Special interest groups say much of it can't be helped -- it's for the "poor." For years, the Legislature has been busy shifting the earnings of one group of Californians into the pockets of another. That's why California is both a high tax state and a constant magnet for low-income newcomers, as recorded by the U.S. Census.

First, we hand out goodies to the middle class. A semi-retired person over 65 who makes up to $38,000 gets rent "assistance." A person earning $35,000 with a home worth up to $175,000 gets property tax "assistance."

Such extras help quiet down complaints about the exploding welfare state. Yet few California voters know what they're really paying for.

One "entitlement" is the $11,500 spent annually by taxpayers on each person who is developmentally disabled and on each young child deemed potentially "at risk" of becoming disabled. A 1985 lawsuit made California the only U.S. state where this is an "entitlement." Entitlements can't be denied, no matter how many people qualify or how broke the state is. So the Legislature forces taxpayers to cover every "needed" service. Nobody says "no." So this year taxpayers will spend $2.3 billion via California's general fund on just 200,000 people -- triple the cost from 1999.

How about welfare checks? In California, we pay out the highest amount of the 10 big states. President Bill Clinton's 1996 bipartisan welfare reforms are moving millions of people into jobs in 20 key states. But California's pigheaded Legislature decided our residents should be able to stay on welfare longer than five years. It also foolishly discouraged job seeking by adding cost-of-living raises to the welfare checks, the only state to do so. Better minds begged the Legislature not to water down Clinton's reforms. They lost. Today, after an initial drop, California is no longer reducing its welfare rolls. Recipients stand at 495,000, costing $6 billion a year.

Finance chief Tom Campbell, a socially liberal Republican who was dean of UC Berkeley's business school, recently told me, "Whatever the program, we are often the most generous state in the nation, or very close to it."

The Legislature stridently resists change. Campbell notes, "It's extremely difficult for the Legislature to take on these formulas one by one, because they weren't approved by accident. These formulas are a result of a political system in which each program, each [entitlement], has a very active, very effective constituency. "Quite simply, legislators are terrified of angering powerful welfare constituencies, while the media help fuel ignorance about what's been going on.

One pundit, angry at Gov. Arnold Schwarzenegger's recent proposed trims to Medi- Cal, complained that the cuts are aimed at "programs whose beneficiaries are least able to speak up for themselves."

It's a common media device to utilize the image of the voiceless poor. But in Sacramento, it's nonsense.

To the contrary, social welfare advocates enjoy the most powerful lobby of all -- public unions that push chronic growth in social welfare. Such growth means more programs, government hiring and bigger union fiefdoms.

The fact that the public doesn't know this, and that some media don't explain it, is a bit scary.

Joel Kotkin, senior fellow with Pepperdine University's Institute for Public Policy, recently studied inept economic decisions made by California politicians. Kotkin tells me, "The exception is if the California Legislature says 'no' to welfare expansion demands.

Unions and welfare groups are linked at the hip, and the idiots in the Legislature throw money at them, not grasping whether it helps or hurts."

Medi-Cal is the Cadillac of health-care welfare, covering 6.7 million poor and non-poor Californians. An incredible one-sixth of the state enjoys an array of freebies pointed out by Campbell: free acupuncture, free chiropractic, free special rehab, free hospice care -- popular services that many taxpayers can get only through premium health coverage. Roughly 40 percent of all California births are paid by Medi-Cal. Total costs have naturally exploded since 2000, by 72 percent, to about $12.9 billion this year.

To drum up enough cash, the Legislature has abandoned its fundamental responsibility to maintain California's infrastructure. Today, a tiny budget goes to roads and so on, while roughly one-fifth of the budget goes to social welfare. Thirty years ago, that formula was exactly flip-flopped.

I'll be fascinated to see if Campbell and Schwarzenegger can get voters to agree to across-the-board controls on this autopilot budget spending. That issue seems headed for the ballot in November. Meanwhile, like millions of Californians, I'll have to check out the state programs. I think I might qualify.


TOPICS: Crime/Corruption; Culture/Society; Editorial; Government; News/Current Events; Philosophy; Politics/Elections; US: California
KEYWORDS: autopilot; democrats; excess; hightaxstate; idiots; liberals; publicunions; statebudget; swedenonthepacific; welfarestate
California is a gold-plated welfare state built on a mountain of entitlement spending. We literally award a gravy train of benefits on autopilot, with the result the state spends more than it takes in and keeps spending even when its dead broke. Oh and it spends last on a deteriorating public infrastructure and first on social welfare. Whatta government! We need controls and we need them fast on this autopilot budget spending. As Jill Stewart wrote tongue in cheek, in the meantime, we ought to check out our state programs. We could qualify.

(Denny Crane: "Sometimes you can only look for answers from God and failing that... and Fox News".)
1 posted on 03/06/2005 10:10:00 PM PST by goldstategop
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To: goldstategop
So, where were the proposed cuts in Arnold's budget?

It's one thing to blame the legislature, it's quite another to act as an enabler.

2 posted on 03/06/2005 10:23:21 PM PST by Carry_Okie (There are people in power who are truly evil.)
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To: Carry_Okie
As the article notes, among other things, the Governor has been trying to trim Medi-Cal. Note all the freebies offered. No one wonder its hard to find someone who says "yes" to cutting their benefits.

(Denny Crane: "Sometimes you can only look for answers from God and failing that... and Fox News".)
3 posted on 03/06/2005 10:26:13 PM PST by goldstategop (In Memory Of A Dearly Beloved Friend Who Lives On In My Heart Forever)
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To: goldstategop
As the article notes, among other things, the Governor has been trying to trim Medi-Cal. Note all the freebies offered. No one wonder its hard to find someone who says "yes" to cutting their benefits.

His "trying" is about getting the same goodies for less money so he doesn't have to take the heat for real cuts.

4 posted on 03/06/2005 10:28:33 PM PST by Carry_Okie (There are people in power who are truly evil.)
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To: goldstategop
Better minds begged the Legislature not to water down Clinton's reforms. They lost.

CLINTON'S REFORMS?

If I remember correctly, the sinkmeister FOUGHT tooth and nail against ANY and ALL welfare reform.

Then again, I could be mistaken, but I somehow doubt it. What a pathetic attempt to credit the impotus with one of the accomplishments of Newt Gingrich and the freshmen Republicans!

5 posted on 03/06/2005 10:35:49 PM PST by Don W (Risk diminishes as our faith in our fellow man increases)
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To: Carry_Okie
Like the Legislature would vote for real cuts. Yeah right. Here's there's a well-organized education-social services complex that's the Democrats source of power. In contrast, taxpayers are inchoate and diffuse in being a group that gets politicians' attention. Of course, in a sane world the Governor would propose real cuts and the Legislature would decide where to make them. Its a commentary on the state of politics in California that we need to amend the State Constitution to force politicians to be doing what they ought to already have done.

(Denny Crane: "Sometimes you can only look for answers from God and failing that... and Fox News".)
6 posted on 03/06/2005 10:36:03 PM PST by goldstategop (In Memory Of A Dearly Beloved Friend Who Lives On In My Heart Forever)
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To: goldstategop

The biggest sinkhole in the state are the schools. The schools are liberal principalities and education is the number one liberal issue. Funny how that works...


7 posted on 03/06/2005 10:38:07 PM PST by claudiustg (Go Sharon! Go Bush!)
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To: Don W
Yep. Clinton reluctantly accepted welfare reform as the price of being re-elected after Dick Morris warned him he would lose if he didn't put it in place. Every state has reformed welfare. California is the only one that opted out of it with all too predictable consequences.
8 posted on 03/06/2005 10:38:34 PM PST by goldstategop (In Memory Of A Dearly Beloved Friend Who Lives On In My Heart Forever)
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To: goldstategop
As Jill Stewart wrote tongue in cheek, in the meantime, we ought to check out our state programs. We could qualify.

Public assistance (In the form of a government backed and organized low-interest loan) is available to residents in Santa Clara county whose incomes are below $113K per year. Danny Glover starred in a high production quality video promoting it.

9 posted on 03/06/2005 10:40:28 PM PST by Yossarian (Remember: NOT ALL HEART ATTACKS HAVE TRADITIONAL SYMPTOMS)
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To: goldstategop
Like the Legislature would vote for real cuts. Yeah right.

Who gives a crap whether the Legislature likes the budget or not? Arnold is responsible to submit what he thinks is necessary within the constraints of the law. No matter what he does the Legislature will blow it. Ever heard of a line item veto? Apparently Arnold hasn't.

The rest of your rant is a pile of excuses.

10 posted on 03/06/2005 10:43:25 PM PST by Carry_Okie (There are people in power who are truly evil.)
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To: goldstategop

Davy Crockett's famous story: NOT YOURS TO GIVE

http://www.house.gov/paul/nytg.htm


11 posted on 03/06/2005 11:22:54 PM PST by The Spirit Of Allegiance (ATTN. MARXIST RED MSM: I RESENT your "RED STATE" switcheroo using our ELECTORAL MAP as PROPAGANDA!)
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To: Carry_Okie
I don't make excuses for what passes for our political class. What I said was they should already have acted responsibly. They need to grow up instead of passing the buck on to California voters.

(Denny Crane: "Sometimes you can only look for answers from God and failing that... and Fox News".)
12 posted on 03/06/2005 11:26:53 PM PST by goldstategop (In Memory Of A Dearly Beloved Friend Who Lives On In My Heart Forever)
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