Posted on 12/13/2008 8:32:33 PM PST by NormsRevenge
California is facing a $42 billion budget hole that is likely to mean severe cuts to state programs and possibly layoffs, but legislators still are collecting $173 a day for expenses when they're in Sacramento.
The Assembly and Senate haven't met since Monday, when they held a joint session to hear testimony from the state treasurer, controller, legislative analyst and state finance director about the state's budget woes.
(Excerpt) Read more at sfgate.com ...
California faces financial meltdown as debt grows by $1.7m an hour
-snip-
For California’s Republican Governor Arnold Schwarzenegger, the crisis represents a humiliating final act to his second term. Mr Schwarzenegger, 61, came to power in 2003 because of an almost identical financial calamity, which resulted in his Democratic predecessor, Gray Davis, being “recalled” from office.
At the time Mr Schwarzenegger promised an end to California’s tax-and-spend policies and runaway expenses, yet over the past four years of his administration the state’s budget has grown by 40 per cent to $144.5 billion. Thanks to the housing crash, recession and credit crunch, the state can no longer afford this with tax collection.
As the crisis continues and California’s credit rating deteriorates, the cost to the state of borrowing keeps rising — a process that could ultimately cause the same kind of deadly spiral that this week tipped the Chicago-based publisher of the Los Angeles Times into bankruptcy.
Mr Schwarzenegger is proposing the same kind of emergency tax rises that in 2003 turned Mr Davis into a pariah. He has suggested a 1.5 per cent increase in sales tax — the equivalent of Britain’s VAT — and a tripling of the car tax. When Mr Schwarzenegger first ran for office, he did so on a promise to revoke a similar car tax increase proposed by his predecessor.
So far, however, Republicans in California’s legislature have refused to go along with the proposals and Democrats have refused to cut government programmes, hence the stalemate.
-snip-
http://www.timesonline.co.uk/tol/news/world/us_and_americas/article5327474.ece
Thanks Arnie, you worthless sleeze.
were any of these suggestions even considered?
btw this is when Davis was governor.
http://www.reason.org/citizensbudget.pdf
When they come to congress asking for the $15 billion...which is what Arnold hinted at...for late January....I’d like congress to treat them like the car companies...and demand a few changes.
Since the political figures wouldn’t fix their problem...I’d like to see all of their expense accounts locked and no travel permitted for any California political figure until they pay the $15 billion back.
I’d like to see them treated just like GM....if we want the CEO terminated for GM...maybe the same treatment ought to happen in the state legislature. Offer up the top democrat and top republican as failed leaders and terminate them.
I just think congress will give them a blank check by printing more money and raising our federal taxes. States like California will protect its illegals by asking for more. Just a shell game. This whole giveaway society is getting really ridiculous. I want a collapse and force people into the streets. The American revolution didn’t start with a majority of the people. A few brave souls said enough was enough and forced freedom for all. That is where stand. The masses don’t care, they just want a check. The producers can’t give much more. We continue to get screwed by the wealthy bankers, looney liberals and the poor. I don’t want a check from the government!!
History is always moved by organized, intelligent, willful minorities, NEVER the masses.
Most Californians have no clue this is the case. No clue. I tell my fellow Californians we don’t have a revenue problem but a spending problem, I tell them that the budget has doubled in just 8 or 9 years, and they look at me glassy eyed. It just doesn’t sink in. They have no clue. The liberals still want to raise taxes even higher. They have absolutely no clue.
People in California have absolutely no clue how fast the spending has risen in this state.
I disagree that Arnold is to blame. He is just an easy target, just like a quarterback on a bad football team. California’s spending has been out of control for over 30 years, and in that time we have had no less than 3 Republican governors to only one Democrat.
Arnold Schwarzenegger, 5 years
Gray Davis, 4 years
Pete Wilson, 8 years
George Deukmejian, 8 years
21 years of Republican governors to only 4 years of Democrat governors. The governors are NOT the problem with this state.
The only thing all 4 administrations had in common is a stream of tax-and-spend-to-the-eyeballs liberal Democrat Legislatures. People continue to blame the Governors when it is the legislators who are spending this state into default. Not that I consider Arnold a TRUE Republican as say, Pete Wilson was. Arnold is a RINO extraordinaire, but the fact remains, it is the communist legislature that is spending this state into oblivion.
Illegal Immigration isn’t helping state budgets, but they are not the reason California is $42 billion in the hole. That would be a legislator and a Governor who do not know the meaning of no and rubber stamp any expenditure program that is proposed.
California would have a balanced budget more or less if Arnie proposed simply to cap spending at the rate spent when he first took office.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.