Posted on 12/17/2007 9:03:20 AM PST by goldstategop
For three reasons, that's wrong.
An honest assessment of the budget picture – of the sort required of corporations by the Sarbanes-Oxley law – would put the 2007-08 deficit at $16.3 billion, not $14 billion. That's because Sacramento treats the $48 billion in guaranteed-but-unfunded health care benefits for state retirees as if it were something ethereal instead of a huge fiscal obligation that state Controller John Chiang says should be prefunded with $2.3 billion a year.
Both the governor and Assembly Speaker Fabian NÚñez continue to push for a grand health insurance measure under which nearly all employers would be required to provide coverage or pay a fee of up to 6.5 percent of payroll to the state. They both insist that between increased federal grants and funding from new revenue sources – possibly higher taxes on cigarettes – this new program would not make the deficit worse.
Consider some basic numbers and the ridiculousness of this argument becomes clear. On average, California employers pay 12 percent to 14 percent of payroll on health coverage. Obviously, if employers can pay a fee for state coverage that is half that amount, many would jump at the chance to reduce their costs. The state would then be on the hook to provide coverage as good as the private employers used to offer – but with half the money.
Who's going to pay the difference? Either taxpayers or – via more state borrowing – future generations.
(Excerpt) Read more at signonsandiego.com ...
Here's what's going on: We're in the initial stage of a propaganda campaign in which the Speaker, his fellow Democrats and maybe the Governor, too, will tell us that we're undertaxed and that they really haven't been on a spending binge.
Don't let them get away with it. If spending had gone up by 5 percent a year since 2004 – not 8.6 percent a year – we'd now have a headache, not a crisis. And looking to the future, an actual, real-to-God spending freeze of two to three years would work wonders.
But don't expect the spending addicts to accept common sense, not when they're depicting their binge as an era of budget cuts. Instead, count on a budget fight next summer that makes this year's look like a picnic – and be deeply thankful that the spendthrifts who control the Legislature can't force new taxes down our throats without a two-thirds vote.
Be very thankful for editors who can write a common sense column explaining what's going to happen next and for reminding us all just how out of control spending is in California. People living in the Golden State shouldn't be saddled with the Tax n Spend Crowd's lack of fiscal self-discipline.
"Show me just what Mohammed brought that was new, and there you will find things only evil and inhuman, such as his command to spread by the sword the faith he preached." - Manuel II Palelologus
When there is only socialism and Communism, then socialism is successful.
What's the matter, are you a heretic against the State Church?
"Show me just what Mohammed brought that was new, and there you will find things only evil and inhuman, such as his command to spread by the sword the faith he preached." - Manuel II Palelologus
People and jobs are bugging out of NYS, too. We may even a couple of House seats come next Census time.
But we'll see them admit their mistake with an above-the-fold article, right?
No such luck in California. The Census Bureau counts illegal aliens in its calculations for Congressional representation.
Somebody should go to jail for that one.
I'm sure NYS does, too. Which is why Spitzer tried to do what he did...
"Show me just what Mohammed brought that was new, and there you will find things only evil and inhuman, such as his command to spread by the sword the faith he preached." - Manuel II Palelologus
Read the state employees the riot act. Either raise the retirement age to 65 or institute massive layoffs. Raising the retirement age on government pensions will not entirely fix the problem but it will make an important contribution especially in the long run. The state cannot afford to support public employees retiring in their 50s. Early retirements are just a gold mine of undeserved and unneeded deferred compensation. Public employees can just work until 65 like the rest of us.
And moved out of state. Colorado wasn't it?
"Show me just what Mohammed brought that was new, and there you will find things only evil and inhuman, such as his command to spread by the sword the faith he preached." - Manuel II Palelologus
Thanks for posting this..
I am afraid the Fat Lady is just getting varmed up.. and I ain’t referring to Maria. She’s gone along with you know who in 2010 but her party’s mentality and indifference and her trusty Trojan Horse’s legacy will be stained into the ledger books for years to come.
The retirement age isn’t 65 anymore. Now it ranges from 65 years 10 months (if you were born in 1942) to 67 (if you were born after 1952.
You are right. Public employee pensions should mirror Social Security. If you want an earlier retirement, you should use your 401K. If this reform were put in place across the country, privatization of Social Security would be on the table and government employees would demand 401Ks in place of defined benefit pensions.
A socialist is merely one who is on the road to communism; the two are inseparable and differ only in degree.
True. And a communist is merely a socialist who has your guns under their control.
Another incentive to hire illegals!!!!!!!!!!!!!!!
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