Posted on 05/15/2012 8:25:08 AM PDT by SmithL
Gov. Jerry Brown announced Monday that the state budget deficit had grown by a remarkable 70 percent since January, but fiscal experts said the economy had little to do with it.
They instead blamed a bad marriage of volatile capital gains and political intransigence that led state leaders last year to count on a huge upswing in revenues that never materialized. At the same time, corporate tax changes from 2009 appear to have cost California more than state officials ever realized.
The Democratic governor says the general fund deficit has mushroomed from $9.2 billion to $15.7 billion. Most of the widening gap comes from acknowledging that his previous forecast was too optimistic, a concern that economists voiced last summer.
"I think the sense we were all getting last year was that we were getting to the end of our rope in solutions," observed Brad Williams, a fiscal forecaster who previously worked for the Legislative Analyst's Office. "This was what was left – an aggressive forecast."
(Excerpt) Read more at sacbee.com ...
That should just scream BS to anyone. The situation is out of control, they don't know what they don't know. Their projections aren't worth spit. They have no real plan besides "tax the rich" and they know the rich are leaving.
It's bad. Real bad. But don't worry: "we are getting control of it".
L
I am finding it hard to give a crap about the hole they dug. Heaven forbid you stop giving sanctuary and healthcare to illegals. Or stop trying to create some sort of liberal Utopia on earth on the taxpayers back.
For years their politicians promised all sorts of freebies then find out there ain’t enough money in magic well to cover all this stuff ........ well booo hoooo. I feel sorry for all the conservatives in Cali but maybe it’s time to leave the state and let the liberals stew in their mess. Texas is ranked number one for business climate btw.
California is ranked dead last for it’s Business climate http://www.bizjournals.com/sanjose/news/2012/05/02/california-last-again-in-ceo-business.html
California seems bent on driving business from state and then the gov’t doesn’t have enough revenue coming in. Well DUH!
Sadly I have heard “as goes California so goes the nation” hope that’s wrong.
You should give a crap, because you and I will be bailing them out. Cheers.
You should give a crap, because you and I will be bailing them out. Cheers.
Revenue estimates will always rise to meet spending in California, otherwise they could never have a budget, because cuts are just not in the socialists genes.
A lot of that foolishness going down around Dems. Jamie Dimon of JPMorgan bank, a Dem banker, believed the Obama/media BS about the economy revving up this year. His stupidity cost his bank $2 billion and he’s now under scrutiny. Anyone who believed that bunk shouldn’t be allowed to head a bank.
bailing them out...... I live in Alabama namely Jefferson County- which is bankrupt so they can try to squeeze blood out of a rock if they want - good luck to them.
btw Jefferson county Alabama is another fine example of a liberal run disaster and political corruption. Our tag lines alone are an embarassment and should be declared human rights abuse. But we’re going to get a new ball park (sarc)
sorry I’m really really cynical of government and have a dismal outlook on our future.
“I am finding it hard to give a crap about the hole they dug.”
###
I only care to the extent that us in less “enlightened” states are going to have to bail out these smug Commies, in the deeply soiled litterbox of their hip socialist paradise.
I grew up in Jefferson County. Birmingham, then Trussville.
Cheers.
I'm not worried as long as we have governors like Kasich, Walker, Jindal, Daniels...
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