Posted on 08/12/2009 12:22:25 PM PDT by NormsRevenge
What, one might ask, is the appropriate metaphor for California's convoluted budgetary situation?
Would be it be Enron, which cooked its books to fool investors and lenders? Perhaps a Third World country whose rulers run up a mountain of debt while squandering revenues? Or both?
Whatever it may be, years of irresponsibility by politicians and voters alike have left California with ongoing spending obligations that are nearly 50 percent higher than its ongoing revenues – roughly $110 billion a year in the former and $75 billion in the latter – and debts that would be daunting even were the economy to improve dramatically.
Gov. Arnold Schwarzenegger and legislators have narrowed the structural budget gap in the short run with temporary taxes, temporary spending cuts, up-front and backdoor loans, projected asset sales, bookkeeping tricks and raids on local governments, but will probably see major deficits appear again soon.
The debts – many billions borrowed to keep the state afloat, spending deferrals that must be honored later, bonds issued to finance public works, and unfunded liabilities in public worker pensions and health care – are continuing to pile up.
The Legislature's budget analyst, Mac Taylor, has gathered the various debts into one document at the request of Fresno Assemblyman Juan Arambula, who left the Democratic Party this year as a protest against what he saw as mounting fiscal irresponsibility. And it is, or should be, a frightening compilation.
(Excerpt) Read more at sacbee.com ...
W.A.S.S.
Liberalism in action. Pay attention, folks.
The NEW ballad of Jed Clampett
Come and listen to a story ‘bout a man named Jed
Poor oil entrepreneur barely kept his family fed
Then one day he was working for some food,
And up through the crowd come a bumbling fool
(Arnold that is, RINO gold, more taxes please)
Well the first thing you know old Jed’s taxes are to much to bear,
Kin folk said Jed move away from there!
Said California is no place for you to be
So they loaded up the truck and they moved from Beverly
(go’n back to the Hills they are, fish’n holes, country and western stars)
Well now it’s time to say goodbye to Jed and all his kin
They would like to thank you folks for kindly dropping in
You’re all invited back again to their new locality
To have a heaping helping of their hospitality
(Redneck Hillbillies, is what the press call ‘em now,
Clingers of bibles and guns and to Obama no bow!
Nice folks Y’all come back now, ya hear?)
Lets start with Illegal Aliens.
Not to worry. They can ask it be added to the stimulus plan and the rest of us will pay it off for them.
If CA were a private company, the entire state government would be under investigation. How long can they continue? When is it finally going to melt down?
I’d like to join “Jed” myself.
but next are the government employees.
Repossess it and sell off its assets!
Hmmm....so California liberals like the idea of gold-plated health care but don't much care to pay for it. Anyone surprised?
California has allowed itself to be run by people who have never in their lives lived in a practical manner. The state is run by perception, not reality. That’s why it has always faltered. I’m still surprised that REAL Rpublicans have never been elected.
Soon .. Very soon, one can only hope.
At least, a few large unions are being revealed for their involvement in intrigues.
There’s only so many taxpayers left and after they leave... give the rest back to the Indians.
They've also amassed a mountain of democrats. Go figure.
What about the federal government? California may be billions in debt but Washington is trillions in debt.
The rest of the country should have observed and learned from California’s huge mistakes. But instead the rest of the country seems hell bent determined to follow California by voting for BHO and giving him overwhelmingy majorities in the Congress.
Like it or not, we’re ALL in the same boat now.
They've also amassed a mountain of democrats. Go figure.
Excellent and insightful answer!
Split California. The liberal fascists can have LA, the Bay Area, the north coast hippy counties, and take the State debt with them. San Diego and the interior can join Nevada.
In spite of the Sac Bee's inability to spot the problem, it's actually very simple, too much spending!
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