[calcowgirl]

Currently, about 6% of the state budget goes to paying off debt — close to the limit that some Wall Street credit agencies consider acceptable.

Living on the edge.

New government borrowing would pose distinct political problems for Schwarzenegger, particularly among his own party. Senate Republican Leader Dick Ackerman of Irvine said his members rejected the idea of an infrastructure bond this year because they believe California has overextended its debt capacity.

At least there is some common sense left in Sacramento.

According to the nonpartisan legislative analyst's office, the percentage of the state's budget that goes to pay off debt has reached 6%. Over the next few years even more debts will come due. By 2009, according to the analyst, paying back debt will account for nearly 7% of the state budget.

This is staggering.

[Carry_Okie]

Senate Republican Leader Dick Ackerman of Irvine said his members rejected the idea of an infrastructure bond this year because they believe California has overextended its debt capacity.

Oh he's in trouble now! Doesn't he know that everything is hunky dory now that Arnold has saved us?

Good thing it was Ackerman. If Angelides had said that the State was overextended we'd be "with the Democrats" unless we disagreed. Good thing that they so seldom say anything accurate, and when they do it's usually for the wrong reasons.

By 2009, according to the analyst, paying back debt will account for nearly 7% of the state budget.

And that is without the $50-60 BILLION in new borrowing Arnold wants for us.

[Czar]

"This is staggering."

I'm sure our favorite GOP Big Tent shill, FairOpinion, will be along at any moment to explain why a debt payback rate of 7% really isn't a problem...

[goldstategop]

Yep. Ideally, the Constitution should be amended so the government can finance programs only with what it has on hand. That would bring back fiscal common sense. Instead, with Props 57/58, we did the exact opposite and amended the Constitution to let the government borrow as much as it wants! Sometimes I think no one has any real money at all. Why work for a living? Let the government cut people a check every week and let them spend as they damn well please. California has discovered its exempt from the laws of economics!

(Denny Crane: "Sometimes you can only look for answers from God and failing that... and Fox News".)