Posted on 06/11/2009 7:46:04 AM PDT by SmithL
Californians can brace for a new war over raising revenue to close the state's multibillion-dollar budget shortfall – the first shots are on their way.
Assembly Speaker Karen Bass said Wednesday that her caucus is deciding among numerous revenue-raising options because the $24.3 billion shortfall is too large to bridge without an infusion.
Bass and other Democratic lawmakers fear that mending the hole without new revenue would devastate the state's safety net.
"You can't solve a deficit this big through cuts alone, considering all the cuts that have been made over the last few years," Bass said.
The Los Angeles Democrat said that ideally she would like to see a balanced approach utilizing about equal amounts of program cuts and revenue generation, but she conceded that cuts will dominate.
"We would like for it to be as balanced as possible – I'd love for it to be 50-50, but it's not going to be 50-50," she said.
Bass declined to discuss options under consideration or how much they could raise. She said some could be implemented by a simple majority vote of the Legislature, meaning that they rely on fees or mechanisms other than taxes.
Numerous Assembly Democrats said privately Wednesday that their caucus has spent many hours in behind-closed-doors meetings the past two weeks discussing the need for new revenue and numerous possibilities.
(Excerpt) Read more at sacbee.com ...
Democrats said privately Wednesday that their caucus has spent many hours in behind-closed-doors meetings the past two weeks discussing the need for new revenueFish gotta swim,
Birds gotta fly, and
RATS gotta TAX!
WTF?!! Is she really that thickheaded?
Apparently the illicit production of marijuana in Kalifornia is a $14B per year business. Why aren’t they decrim or legalizing it and taxing it to Hell and back?
They could make triple that figure by making it legal and taxing it, no?
DIMWITS.
The democrat politicians’ precious “safety net” for their constituents is a web that ensnared them. It’s the endgame of a policy of buying votes with taxpayer money. The dems are beholden to their policy, taxpayers leave, the money dries up...and here we are.
What do you mean you can’t do it thru cuts alone?
You mean you don’t want to do so because your favorite constituencies are counting on the government tit being permantly sewn to their lips.
But thats not the same as can’t.
“”You can’t solve a deficit this big through cuts alone, considering all the cuts that have been made over the last few years,” Bass said.”
I can’t wait to try that line on my boss. LOL
I read yesterday that California’s corporate taxes had fallen by 52.1% this year.
Another way.....go back to the drawing board on education, and remember the main purpose of Education is to teach kids. When you do that, most of the paperwork, middle-level Central office staff weasels and non-responsible Principals would go away...and you'd have more money for the teachers and even a few more extracurricular program.
I know I know....
Crude oil is $72/bbl. There are still plenty of places to drill.
The real net here is what they cast out to take in money.
Those with money should leave California.
Any advice?
Oregon?
Exactly. Sell the offshore oil leases. I don’t want to hear from the legistlature again about increasing MY taxes until they have (1) sold the oil leases, (2) cut all substinance payment to illegals, (3) kicked their kids out of our schools and called ICE to send them packing south of the border, and (4) given up their taxpayer funded cars and gasoline.
The scare mongers are trying to frighten readers into believing "you're all gonna die!"
The numbers quoted were for May, only. On a year-to-date basis (Jul 1, 08 - May 31, 09), Corporate tax revenue is down 6%.
BTW, Corporate taxes represent about 10% of the total general fund revenues.
Even if they decriminalized marijuana and taxed it
They would still spend beyond revenue income.
It’s the nature of the beast.
OR is a liberal cloud-cookoo land.
One thing I hear a lot is that the pain should be spread more equitably across the population - not just dumped in the lap of government employees. My response to that is to point to private sector job losses and cuts in renumeration, and turn the question around, “why should the private sector be alone in job losses and pay cuts, and THEN be extorted for more tax monies to make sure government employees escape the recession?” The private sector got the pulp beat out of it already.
As for the other argument, maybe it is the case that voters will not stand for the level of cuts made if revenue is not increased. Utilities, schools, fire, police, and even garbage collection are looking to take hits.
In a dire enough case (and I am not convinced the current predicament fits the bill), it may be worthwhile to trade the elimination of regulations (which are a tax on businesses and thus the consumer, but generate no realized government revenue - only direct government control) in return for accepting higher sales taxes (again, I know they were already increased very recently).
Regulations, like inflation, are overlooked in their negative economic impact upon individuals, making them more insidious avenues for social engineering and special interest appeasement. At least a sales tax is highly visible and proportionate in application across the population, and the thus is the most likely of government levies to be restrained by voter interests (now or at a future date). What is the state sales tax in California now, eight and a quarter percent? Plus local sales taxes and an assortment of added taxes...and income taxes, and...
I guess I still cannot fathom how far out of whack government spending is wrt revenues, given the extremely high tax rates already. What a mess.
Voters defeated tax increases by almost 2 to 1 margins, yet these people still don’t get it.
Of course, they will RAISE taxes.
The patient is prepped for critical surgery. The ONLY surgeon capable of saving his/her life in a thousand miles is scrubbing at the moment. A nurse rushes in reporting the patient has an impossibly rare blood type and there is NONE in the state. The surgeon says, “Amazing, that is also my blood type. We’ll not get enough in time.”
An emergency court orders forces the surgeon to donate the needed pintS of blood.
Due to loss of blood, the surgeon cannot perform the operation. The patient expires, while the surgeon is put to bed to recover.
A great idea...raise taxes even more.
“You can’t solve a deficit this big through cuts alone, considering all the cuts that have been made over the last few years,” Bass said.
Why not? You created the mess through spending alone.
Note they also don’t want to say what measures they’ll take to increase taxes. This fits with their desire to pass secret tax increases; the less engaged the voters are, the better, from their perspective.
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