Posted on 12/27/2010 5:21:08 PM PST by Nachum
It’s looking increasingly likely that California will get bailed out by the federal government. The Golden State is $70 billion in the hole. Analysts expect that figure to reach $150 billion within four years — and that’s not including the state’s $500 billion unfunded pension liability. Spending needs to be cut dramatically, but it won’t be; the state is too politically dysfunctional to do that. And the election of big-spender Jerry Brown will only make things worse. (Incidentally, Governor-elect Brown recently described his state’s budget problems this way: “It is much worse than I thought. I am shocked.”)
Most conservatives are adamantly opposed to bailing out any state, especially California. They argue that Californians in particular don’t deserve a bail out, that a bailout would set a bad example for other states, and that it would cost too much.
But these arguments assume that a bailout of California would come with no strings attached. That may be what ends up happening, but it doesn’t have to. It’s possible to make the bailout contingent on Sacramento making drastic budget cuts and passing constitutional amendments that radically reform the state’s political system.
And the state’s political system is certainly in need of reform. Some ideas: Scaling back the state’s maze of regulations; eliminating some of its hundreds of unnecessary boards and commissions; imposing a real spending cap (the current one is too high to make a difference); laying off state employees; and reducing future pension obligations.
(Excerpt) Read more at dailycaller.com ...
“And let Brown sink with the state............”
The state has lost billions of $ in revenues
because tax rates and regulations have run
businesses out in droves. Now, one of the most
reknown business haters in the nation gets hired
for another tour as governor. Why Whitman spent
countless millions on her campaign yet failed to
drive this point home is confounding. Go figure.
Bring on the “green” jobs, Jer.
“What will you say to them when you so cavalierly sell the ground they fought and died for to China?”
The truth: that spoiled b****ds unworthy of their sacrifice spent their legacy into an irretrievable hole. That the land they defended with blood was lost for lucre because their heirs-us-couldn’t restrain ourselves. At least, if it comes to that, that is all we can decently say.
“But these arguments assume that a bailout of California would come with no strings attached. That may be what ends up happening, but it doesn’t have to. It’s possible to make the bailout contingent on Sacramento making drastic budget cuts and passing constitutional amendments that radically reform the state’s political system.”
The Feds can attach all the strings they want to any bailout, but they cannot force votes in Sacramento, nor can they force the governor to stop spending allocated funds. The CA legislature has demonstrated over & over again that it lives in a socialist fairy land. A bailout will only prove to them that the tooth fairy really does exist.
The ONLY way to stop the spending, given that the CA gov’t wont do it, is to let the money dry up & the state go bankrupt. In CA & many other states, both the voters & the pols need a hard lesson in economics. A stringy bailout is no hard lesson.
If drastic budget cuts & CA constitutional amendments are what is required, then CA legislators are far more likely to do these things under the threat of bankruptcy, not the "threat" of a bailout with "strings" attached. Had CA arrived at their present financial situation thru natural disaster or other unavoidable circumstances, I would support a bailout. But the author, no conservative in my mind, wants to give my money to the very people, the pols & the public employee unions, that got CA in the fix it is in. Much of the bailout will go directly to these people to continue to support the spending that is bankrupting the state. Burning the money to keep warm would be a better use of it.
The next Congress is in charge of funding, with a strong contingent of Tea Party-endorsed conservatives. Chances are slim they’re going to be in the mood to spend more money, especially on bottomless holes like CA.
Time for California to get converted to Reality.
Amen bother.
As a Californian, the only way you sorry other folk should ever bail us out would be IF:
- you made our border CLOSED TIGHT
- you forced us to fine each employer hiring an illegal $2000 a day per illegal (they will self deport), and the bailout is conditional to our enforcement of same
- you made our public unions drop the ridiculous pensions we cannot afford
- you made us do away with state-funded schools and make every school its own charter, giving great tax benefits to whoever supports and runs them. Tuition whatever the neighborhood can afford, no union teachers at all, no districts. Run them all like businesses.
These are the solutions to making a kick-butt state again, and the truth is, if we did those things, we wouldn’t need a bailout.
Do we see another Greece here?
Feel better. Take your Vitamin D.
“If they bailout CA...watch TX ditch the union.”
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And Texas would have every justification for doing it. As would any other state made to pay for California’s arrogant
disregard of fiscal responsibility.
But, more immediately, Texas and the EPA have a little showdown coming and after we dispense with those nitwits
we can then focus on this issue a little better.
Horse manure.
Screw that! If they go belly-up, let the markets and bankruptcy court deal with it. No more taxpayer money for bailouts!
“Do we see another Greece here?”
Way past Greece,a long time ago.
What are they going to get bailed out with? US dollars???
HA. Fiat money. We’ll be wiping our asses with it soon. Cheaper than toilet paper.
Wondering where in the Constitution there is a law allowing for the economic bailout of any irresponsibly managed State of the Union.
The Left has become way to proficient in parsing, and circumventing the Constitution. That is NOT what the Constitution is for.
BWAHAHAHAHAHAHAHAHA
OK, here’s the deal. Let’s take up a collection. Those willing to bail out California can donate. Thost that aren’t willing to do so don’t have to donate. Let’s see hwo much money is collected. If it reached 1 million, I’d be surprised.
Sad state of affairs IMO.
“And the election of big-spender Jerry Brown will only make things worse.”
California voters made their bed and they can lay in it.
I grew up there under the poor governance of Jerry Brown. He made a huge mess and it took four republican administrations with two fiscally responsible governors, Wilson and the “Duke” to clean it up. It was a half way decent place to be when I left it in 1994. Gray Davis made an absolute disaster out of the place, and of course Arnold turned out to not be of much help and they re-elected him.
So, it doesn’t look to me like they are much interested in any real change out there and elections do have consequences. Until they figure that out, they should have to eat every last crumb of that disaster they vote for themselves.
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