Skip to comments.Schwarzenegger orders cuts amid fiscal crisis
Posted on 07/31/2008 12:41:10 PM PDT by NormsRevenge
SACRAMENTO, Calif. - With California's cash dwindling and legislators still debating a new budget, Gov. Arnold Schwarzenegger eliminated 22,000 part-time and temporary state positions Thursday and ordered that 200,000 state workers receive the federal minimum wage.
His signing of the executive order had been expected since last week but stood as a stark illustration of the cash problem facing the nation's most populous state. Schwarzenegger apologized to state workers but said he had no choice.
"Today I am exercising my executive authority to avoid a full-blown crisis and keep our state moving forward," Schwarzenegger said. "This is not an action I take lightly."
Lawmakers have yet to agree on a spending plan a month after the state's fiscal year began, leaving California without the ability to pay for contractors, the higher education system and legislative employees.
Democratic and Republican lawmakers remain divided over how to close a $15.2 billion deficit, with Democrats favoring $8.2 billion in new taxes on corporations and the state's wealthiest residents. Republicans want a spending cap and oppose tax increases.
Adding to the fiscal mess has been an unprecedented number of wildfires this year, costing the state far more for emergency response than it had budgeted.
As of June, more than 30 states faced deficits totaling a projected $40 billion, or more than triple the gap of the previous year, according to the National Conference of State Legislatures.
California is the last state with a fiscal year that begins July 1 that still does not have a budget. It is facing a $15.2 billion deficit, dwarfing that of all other states. The next highest at the start of the fiscal year was New York's, at $5.2 billion.
The governor's order is certain to be challenged. ...
(Excerpt) Read more at news.yahoo.com ...
Cut .. Cut! ... CUT !!!
Total Recall. The games they play. Fire one out of every 3 state workers, then get down the the real cutting.
California Governor Arnold Schwarzenegger addresses the media on the podium in the state capital of Sacramento July 29, 2008, after the Los Angeles area was hit by a 5.4 magnitude earthquake earlier in the day. "I think we were very lucky with this one," Schwarzenegger said. Man at right is unidentified. REUTERS/Handout
“It is facing a $15.2 billion deficit, dwarfing that of all other states. The next highest at the start of the fiscal year was New York’s, at $5.2 billion.”
Two Blue States that will soon be demanding federal bail outs. They don’t have much of a case, though. Why should poor people in MS pay higher taxes so that CA and NY millionaires can be bailed out of their foolish fiscal choices? To make them do so would be stealing from the poor and giving to the rich.
We were very lucky indeed earlier this week.
A true ‘Big One’ will leave no doubt as to what actions would need to be taken. Insert ‘earthquake’ or ‘huge deficit aka tax hike required’ [here] game token to proceed.
“Man at right is unidentified.”
That’s a funny thing to say. Why mention it?
Maybe this will backfire and highlight the stupid things the California government spends the taxpayers’ money on.
People may start valuing jobs over spotted owls again.
though. Why should poor people in MS pay higher taxes so that CA and NY millionaires can be bailed out of their foolish fiscal choices?
What a country! We are all interconnected yaknow. ;-]
even our bank accounts it seems. 8-o
I’ll bet they get twice the work done now.
"Eliminated"? or "furloughed", meaning they will be re-hired later?
Well, at least the CA legislature was able to find time to do the important stuff, like banning trans fat, during this fiscal meltdown. sheesh.
The fats in the fire.
NC is rat controlled but at least ours have some common sense and fiscal responsibility. Note I said some.
After 1700+ days in office, Arnold finally makes a small move in the right direction.
(Why did they have 22,000 part-time and temporary state positions, anyway?)
Don’t forget, the government wants a sales tax on everything you buy and, add a new tax for the bag you take it home with.
He has a $15.2 billion deficit and he doesn’t realize he already has a full blown disaster?
So they do silly meaningless stunts like workers getting minumum wage etc. That will not stop the deficit or help the people.
CUT the social engineering programs the dems instituted to win votes and cut the handouts to ILLEGAL aliens and the State will eventually come around....
"full blown crisis" in Sac speak means they don't have the cash to pay the bills. Tax, borrow... it's all about cash. The house of cards will continue indefinitely but, without cash, they can't continue their charade.
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