Gov. Davis' Budget Deficit Triples

NewsMax ^ | 2/22/02 | (UPI)

[Tumbleweed_Connection]

SACRAMENTO, Calif. – Gov. Gray Davis' road to re-election may have become rockier with the release of a new analysis that projects a much larger deficit than had been predicted in his earlier budget proposal.

Legislative Analyst Elizabeth Hill announced late Wednesday that the state budget deficit was a staggering $17.5 billion compared to the earlier $5 billion shortfall estimated by Davis in January. The development sets the stage for another painful round of budget cuts at a time when Davis is seeking a second term against Republican opposition that appears to be growing.

"It is clear we're going to have to make painful decisions about crucial state services," Assembly Speaker Herb Wesson said in a release.

"Everyone is going to have to bear the pain. We're going to need the cooperation of every member of the Assembly to get the job done."

Davis this week announced a proposed $4 billion spending package for road improvements in the state that, along with other programs, may now be in jeopardy.

Wesson indicated that there might not be much sentiment in the Legislature to spare programs for political purposes as they look for ways to balance the books by the June 15 statutory deadline.

"The people of California don't care if we're Republicans or Democrats; they expect us to pass a responsible budget," the Los Angeles County Democrat said.

The nonpartisan Legislative Analyst office reviews the governor's budget proposals every year. Although some immediate reaction in Sacramento called Hill's assessment too pessimistic, her findings will likely be fodder for political rhetoric as the candidates for the Republican gubernatorial nomination slug it out in advance of the March 5 primary.

"Some actions have been taken. That's a positive sign," Hill noted of the $2.4 billion in cuts that have already been approved by lawmakers. "There's a long way to go."

The news came just ahead of a new poll released Thursday that showed Davis trailing liberal Republican front-runner Richard Riordan, a longtime Los Angeles mayor, in a virtual tie with GOP candidate Bill Simon, a private businessman and son of former Treasury Secretary William Simon.

Riordan, Simon and another candidate, Bill Jones, have chided Davis on the campaign trail for bungling the state's energy crisis and for failing to exercise fiscal discipline even though the governor was once the state controller.

Riordan said the poll released by Public Policy Institute of California reflected voters' growing dismay with Davis that was not helped by what Riordan termed a $6 million smear campaign by the Davis camp that accuses him of being against abortion.

"No one should be surprised to see a Davis-led organization blow $6 million. Davis is squandering his campaign war chest just like he squandered the $12 billion budget surplus, with nothing to show for it," Riordan said. "Looks like ineffectiveness in the governor's office has seeped into the campaign committee."

[spectre]

Not a problem - he will blame it on ENRON and the Bush administration.

[big bad easter bunny]

Toast

[Gophack]

Riordan, Simon and another candidate, Bill Jones, have chided Davis on the campaign trail for bungling the state's energy crisis and for failing to exercise fiscal discipline even though the governor was once the state controller.

Bill Simon was the FIRST candidate who came out with a solution to the budget crisis, and he predicted that things would get as bad as they are. Neither Riordan nor Jones offered any solutions back in the fall, and when they did, neither were detailed or comprehensive.

Bill Simon said that he can fix the budget problem without raising our taxes, and I believe him. He was endorsed by the Howard Jarvis Taxpayers Association, the California Tax Limitation Committee and Jack Kemp, all three fiscally conservative.

Simon is a financial expert, and a fiscal conservative. He's the EXACT kind of person we need to turn California around. ESPECIALLY after the last four years of increased and wasteful spending, and gross mismanagement of our resources.

Go Simon!

[Gophack]

Ping!!!!!!

[My2Cents]

At least the Dems in the Legislature realize the severity of the crisis, and will bite the bullet and cut some programs. Davis tries to be all things to all people, and as a result, he takes no position on anything of real consequence. "The leadership of Gov. Davis" is one huge oxymoron, with emphasis on the "moron".

[My2Cents]

What did Simon suggest as a solution to the budget? I haven't heard.

[Tumbleweed_Connection]

This information is appearing at the wrong time for Grayout. The Right needs to simply choose the best candidate and this is theirs to have.

[TheAngryClam]

Right here is where Simon's discussed it. As you can see, it's one of the centerpieces of his campaign, as it should be.

[broomhilda]

We need to get the Gray loser out of there before he does so much damage that it will take the next four years to dig us out. We need Tom McClintock for Controller along with Simon for Governor. Then we will have a fiscally responsible team. We can trust Tom with our state's money.

[ElkGroveDan]

go to his website Simon For Governor or directly ot the budget piece

[Tumbleweed_Connection]

Riordan's Lead Slipping In Calif. GOP Primary

[hoot2]

"Gov. Davis' Budget Deficit Triples "

will "vegas" give us "odds" on which "scheme" he comes up with to "get us out of it?"....

Audio

[copycat]

I have a suggestion. Dump the administrative costs and bureaucracy involved in taking away firearms from law-abiding citizens. Oh, and build a power plant, doofus.

[Tumbleweed_Connection]

Is the dealer saying that?

[ElkGroveDan]

ROTFLMAO - - thanks I needed that (audio clip)

[My2Cents]

Thanks, both, for the links.

[Gophack]

At least the Dems in the Legislature realize the severity of the crisis, and will bite the bullet and cut some programs.

THIS I highly doubt. The Dems in the legislature are a bunch of liberals. Trying to get them to agree on cuts will be hilarious. They all want to raise taxes, which Davis can't do this year.

This actually might be a fun budget year yet. Usually I find them tedious and boring.

[My2Cents]

Davis can blow smoke on the budget proposal; the Legislature actually has to pass a budget. They do the heavy lifting, while Davis postures. True, Sen. Pres. Pro Tem John Burton says tax increases are inevitable. But the article quoted new Speaker Herb Wesson as saying cuts were also inevitable. There will be cuts. The Democrats in the Legislature will have to go along with some. They face the reality, while Davis is still in fairyland.

[Gophack]

You are right, the Legislature passes a budget. But, there are so many different interests among the Democrats that they will be fighting and clawing and yelling at each other over WHAT cuts to enact. I say we let them. Let the press report on the Democrat's internal battles instead of Republicans for awhile. We can sit back and say, "We told you so, we told you this was a bad budget, you increased spending by 37% over three years and ... oh, you need to cut it now by nearly that! Sorry. Why not undo everything you've done? Oh, that was YOUR pet project Mr. Speaker? Sorry. We really can't do anything, but you need our four votes to pass this budget. We'll give them for any cuts you want ... just don't raise a cent of taxes."