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It looks like we are about to be back to the days of IOU's. Yesterday the Governor announced either he gets the "reforms" he wants, there will be no budget till he leaves office, January 1, 2010. What is the Democrat answer? "No problem, we can wait."
""Failure to find consensus on an honestly-balanced budget is not an option. Every passing day of political paralysis leads us closer to a completely avoidable fiscal meltdown that will plunge the States credit ratings into junk status, slow the States economic recovery and force us to again issue IOUs to innocent Californians."
We are 30-60 days away from IOU's--this is like watching a car crash in slow motion. "The Controller said that without a budget in place, his latest cash projections show the States cash will go into the red by the end of October. To ensure the State meets payment obligations protected by the California Constitution and federal law, the Controller could be forced to begin issuing IOUs in August or September to conserve cash to get us through the fall."
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""Failure to find consensus on an honestly-balanced budget is not an option. Every passing day of political paralysis leads us closer to a completely avoidable fiscal meltdown that will plunge the States credit ratings into junk status, slow the States economic recovery and force us to again issue IOUs to innocent Californians."
We are 30-60 days away from IOU's--this is like watching a car crash in slow motion. "The Controller said that without a budget in place, his latest cash projections show the States cash will go into the red by the end of October. To ensure the State meets payment obligations protected by the California Constitution and federal law, the Controller could be forced to begin issuing IOUs in August or September to conserve cash to get us through the fall."
More...