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This is a phony budget deal--many items will not happen.
a. Accelerate income tax withholding -- $1.7 billion
* Increase estimated tax payments for businesses and the self-employed -- $610 million
This is $2.3 billion of accelerated payments, not new money
b. * Sale of State Compensation Insurance Fund -- $1 billion
* Assumed federal funds for Medi-Cal program -- $1 billion
The sale of the State Compensation Insurance Fund will cause the skyrocketing of workers comp premiums--putting lots of people out of jobs.
Why didn't they assume $5 billion in federal Medi-Cal funds--just as pie in the sky
c. * Local government borrowing -- $2 billion
* Education deferrals -- $1.7 billion
* June 2010 state worker paycheck deferral -- $1.2 billion
This transfers funds from one government agency to another--no real cuts for the people. Oh, the June 2010 paycheck deferral? That is a 2 minute deferral--from June 30, 2010 at 11:59 to July 1, 2010, 12:01 am.
This is $5 billion of phony accounting.
d. While not in this Times story the "budget" includes $100 million for drilling for oil off the Santa Barbara coast--the Luddites will stop that.
e. This is a total of $10 billion. Then you have to add the $3.5 billion the courts have ruled illegal from the February budget cuts, and you START with a $14 billion deficit upon signing. This will grow as more details are released.
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a. Accelerate income tax withholding -- $1.7 billion
* Increase estimated tax payments for businesses and the self-employed -- $610 million
This is $2.3 billion of accelerated payments, not new money
b. * Sale of State Compensation Insurance Fund -- $1 billion
* Assumed federal funds for Medi-Cal program -- $1 billion
The sale of the State Compensation Insurance Fund will cause the skyrocketing of workers comp premiums--putting lots of people out of jobs.
Why didn't they assume $5 billion in federal Medi-Cal funds--just as pie in the sky
c. * Local government borrowing -- $2 billion
* Education deferrals -- $1.7 billion
* June 2010 state worker paycheck deferral -- $1.2 billion
This transfers funds from one government agency to another--no real cuts for the people. Oh, the June 2010 paycheck deferral? That is a 2 minute deferral--from June 30, 2010 at 11:59 to July 1, 2010, 12:01 am.
This is $5 billion of phony accounting.
d. While not in this Times story the "budget" includes $100 million for drilling for oil off the Santa Barbara coast--the Luddites will stop that.
e. This is a total of $10 billion. Then you have to add the $3.5 billion the courts have ruled illegal from the February budget cuts, and you START with a $14 billion deficit upon signing. This will grow as more details are released.
More...