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The about to be signed "new" budget STARTS with a deficit of approximately $15 billion. "Next year's budget will start with a very large shortfall even if there's a good recovery," said Steve Levy, a senior economist at the Center for the Continuing Study of the California Economy in Palo Alto.
And, Levy cautioned, the state's finances will face additional challenges when federal economic stimulus funds run out."
The gimmicks, fraud and non existent cuts (they count as a cut $1.2 billion in salaries paid TWO MINUTES later--which adds $1.2 billion to the deficit next year, as an example.)
Not much of a budget. Not much truth.
They did not erase the deficit. They failed. "Schwarzenegger and legislators were under immense pressure in the past weeks to eliminate the deficit as California began issuing interest-laden IOUs to pay contractors and others owed money to avoid completely running out of cash. To worsen matters, the state's credit rating plunged amid warnings that further delay in a deficit solution could exacerbate California's teetering economy by bringing state-funded transportation and other infrastructure projects to a halt, leaving thousands jobless."
We still have growing unemployment, growing deficits, and shortly, 27,000 criminals given early release.
Seems like government has too much money. Time to end the support of unions and special interest--those would be honest cuts.
More...
And, Levy cautioned, the state's finances will face additional challenges when federal economic stimulus funds run out."
The gimmicks, fraud and non existent cuts (they count as a cut $1.2 billion in salaries paid TWO MINUTES later--which adds $1.2 billion to the deficit next year, as an example.)
Not much of a budget. Not much truth.
They did not erase the deficit. They failed. "Schwarzenegger and legislators were under immense pressure in the past weeks to eliminate the deficit as California began issuing interest-laden IOUs to pay contractors and others owed money to avoid completely running out of cash. To worsen matters, the state's credit rating plunged amid warnings that further delay in a deficit solution could exacerbate California's teetering economy by bringing state-funded transportation and other infrastructure projects to a halt, leaving thousands jobless."
We still have growing unemployment, growing deficits, and shortly, 27,000 criminals given early release.
Seems like government has too much money. Time to end the support of unions and special interest--those would be honest cuts.
More...