[NormsRevenge]

October 8, 2010

Major Features of the Legislature’s 2010-11 Budget

http://www.lao.ca.gov/reports/2010/bud/major_features/major_features_100810.aspx

Overview

Addressing an $18 Billion Budget Problem. The 2010–11 Budget Bill was passed by the Legislature on October 8, 2010. The Legislature’s plan attempts to address one of the most vexing state budget shortfalls in California’s history—the product of a continuing structural imbalance between state revenues and expenditures and a slow recovery from a severe recession that began in 2007 and ended in 2009.

In May 2010, the administration estimated that there would be a gap of $17.9 billion between General Fund resources and expenditures in 2010–11 under then–existing laws and policies. To address this projected gap, the Legislature opted for a package of budget actions summarized in Figure 1. That package (prior to vetoes) includes the following actions (based on our office’s categorization):

$6.8 billion of expenditure–related solutions (including ongoing and temporary cost or service reductions).
$5.4 billion of new federal funding (most of it not yet approved by Congress).
$3.3 billion of revenue actions (including $1.4 billion in higher assumed baseline state revenues consistent with our May 2010 state revenue forecast).
$2.7 billion of largely one–time loans, transfers, and funding shifts.

[perfect_rovian_storm]

[EGPWS]

... the package is unlikely to balance and certainly won’t improve the state’s chronic gap between spending commitments and revenue.

Socialize and reap California, you know you want to.

Take from the other 56 states while you are at it, it's the compassionate thing to do.

The end justifies the means.

[Walts Ice Pick]

Can any Democrat vote to cut social welfare spending?

Can any Republican vote to cut any criminal justice spending?

Can any Democrat take on the teachers' unions?

Can any Republican take on the prison guard union?

Can anybody agree to spend only as much as is taxed?

Can anybody agree to tax as much as is spent?

Can anybody do anything in California?

Does anybody remember how the Terminator was gonna "crack their heads together" and get these problems resolved?

Does anybody wonder why anyone in his/her right mind would want to become Governor of California right now?

Or spend in excess of 100 million dollars for the honor?

Crazy is the only word for any of it.

[calcowgirl]

Kick that can on down the road...