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California Governor's budget has surprise: a surplus!
Yahoo News via Reuters ^ | 01/13/2013 | Jim Christie

Posted on 01/11/2013 8:23:20 AM PST by SeekAndFind

SACRAMENTO, California (Reuters) - California's budget deficit is gone after years of financial troubles, Governor Jerry Brown said on Thursday, proposing a state budget plan that would raise spending on education and healthcare, boosting total expenditures by 5 percent with a surplus remaining.

But Brown vowed to push back at legislators eager to increase spending even more by restoring the billions of dollars to social services and other state programs cut in lean years.

"I am determined to avoid the fiscal mess that the last few governors had to deal with," Brown told reporters as he introduced his budget plan for the 2013-14 fiscal year beginning in July. Leading Democratic legislators agree with his plan.

California's economy melted down with the housing market, slashing the state's revenue, but it is finally on the mend. For years the state's leaders have tackled budget deficits with a combination of deep cuts and accounting gimmicks. The projected surplus is now the latest surprise.

Businesses are hiring again and voters in November approved temporary hikes to the state sales tax and income tax rates on wealthy taxpayers.

California's job growth tops the national average, unemployment has fallen to below double-digit levels for the first time in nearly four years and more money is expected to flow into state coffers from the voter-approved tax increases.

The state Department of Finance projected unemployment will fall to 9.6 percent this year and 8.7 percent in 2014.

Brown's budget plan projects $98.5 billion in revenues and transfers and plans spending of $97.7 billion, according to the proposal published on the state Department of Finance website.

That would leave a surplus of $851 million, in addition to a projected $785 million surplus for the current fiscal year,

(Excerpt) Read more at news.yahoo.com ...


TOPICS: Business/Economy; Culture/Society; Front Page News; US: California
KEYWORDS: budget; california; surplus

1 posted on 01/11/2013 8:23:30 AM PST by SeekAndFind
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To: SeekAndFind

LOL, so now a proposed surplus is a surplus.


2 posted on 01/11/2013 8:26:20 AM PST by ScottfromNJ
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To: SeekAndFind
Sure California has a surplus... Why do I not believe him? What form of unicorn accounting is he using?
3 posted on 01/11/2013 8:26:59 AM PST by Truth29
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To: SeekAndFind
A California State Budget with a surplus? R-I-G-H-T-!

If you believe that will actually happen without some very exotic accounting gimmicks and assumptions I have some beautiful ocean front property for sale -- on the east side of the Serra Nevada Mountains.

4 posted on 01/11/2013 8:27:12 AM PST by Nip (BOHEICA and TANSTAAFL - both seem very appropriate today.)
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To: ScottfromNJ

RE: a proposed surplus

You mean they just call it a surplus even when it isn’t?


5 posted on 01/11/2013 8:27:36 AM PST by SeekAndFind
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To: SeekAndFind

So it’s all good now. Great, no need for them to pick our pockets in The rest of the country....


6 posted on 01/11/2013 8:30:52 AM PST by Kozak (The Republic is dead. I do not owe what we have any loyalty, wealth or sympathy.)
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To: SeekAndFind

‘Comrades!’ cried Moonbeam in his eager youthful voice.’ ‘Attention, comrades! We have glorious news for you. We have won the battle for production! Returns now completed of the output of all classes of consumption goods show that the standard of living has risen by no less than 20 per cent over the past year.
`All over California this morning there were irrepressible spontaneous demonstrations when workers marched out of factories, offices and faculty lounges and paraded through the streets with banners voicing their gratitude to Moonbeam for the new, happy life which his wise leadership has bestowed upon us. Here are some of the completed figures. Medicinal marijuana ——’


7 posted on 01/11/2013 8:32:08 AM PST by tumblindice (America's founding fathers: All armed conservatives.)
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To: SeekAndFind

CA will have a surplus right after Obama has a legitimate birth certificate.


8 posted on 01/11/2013 8:32:55 AM PST by Da Coyote
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To: SeekAndFind

No reason to wait until there’s an actual surplus before declaring there’s a surplus.


9 posted on 01/11/2013 8:33:01 AM PST by skeeter
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To: Truth29

What form of unicorn accounting is he using?

I think it is the same on the White House uses. Throw out figures and LIE!


10 posted on 01/11/2013 8:33:16 AM PST by Bitsy
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To: SeekAndFind

sure.


11 posted on 01/11/2013 8:33:42 AM PST by Drango (A liberal's compassion is limited only by the size of someone else's wallet.)
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To: SeekAndFind; All
No one believes there's really a surplus ~ not even ol'Jer hissef. See what the article says: "proposing a state budget plan "
12 posted on 01/11/2013 8:33:42 AM PST by muawiyah
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To: Truth29; GraceG
What form of unicorn accounting is he using?

I don't know, lets ask Twilight.


13 posted on 01/11/2013 8:35:03 AM PST by KC_Lion (Build the America you want to live in at your address, and keep looking up.-Sarah Palin)
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To: SeekAndFind

Surplus, my ass.


14 posted on 01/11/2013 8:36:14 AM PST by Psycho_Bunny (Thought Puzzle: Describe Islam without using the phrase "mental disorder" more than four times.)
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To: tumblindice
We have won the battle for production!

Doubleplusgood that!

15 posted on 01/11/2013 8:40:26 AM PST by MarineBrat (Better dead than red!)
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To: SeekAndFind
Reality check
16 posted on 01/11/2013 8:48:49 AM PST by BigFinn (BigHat wisdom: Always drink upstream from the herd.)
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To: ScottfromNJ; SeekAndFind

They’re crowing about this over on DU. It must be true.


17 posted on 01/11/2013 8:51:52 AM PST by Hardastarboard (Bringing children to America without immigration documents is child abuse. Let's end it.)
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To: MarineBrat
Still from "Nineteen Eighty-Four" Pictures, Images and Photos FRgoldsteinites unbellyfeel goodthinkful budgproj stop
18 posted on 01/11/2013 8:55:15 AM PST by tumblindice (America's founding fathers: All armed conservatives.)
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To: SeekAndFind

From a 16 billion dollar deficit to a surplus in one year? And he accomplished that amazing feat by spending, not cutting. Man, I want Jerry Brown managing my money. (NOT)


19 posted on 01/11/2013 8:55:15 AM PST by Yogafist
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To: SeekAndFind
So California's projected surplus is 10% the size of the surplus in Texas.
20 posted on 01/11/2013 8:56:55 AM PST by NeoCaveman (Let it burn, let it burn, let it burn)
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To: Truth29
Sure California has a surplus... Why do I not believe him? What form of unicorn accounting is he using?

He's gonna mint a $16 billion dollar platinum coin.

21 posted on 01/11/2013 9:01:27 AM PST by Mannaggia l'America
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To: SeekAndFind
The report admits to a $128 billion debt that includes state employee pensions and "internal borrowing". Reporting a budget surplus just means that, absent action on those debts, they'll take in more than they intend to pay out. They also admit that the state's "progressive" lawmakers will make claim to any spare change Moonbeam dreams up or claims by way of magical accounting.

It's hard to imagine this actually happening but I'll grudgingly credit the Gov for his effort.

22 posted on 01/11/2013 9:10:56 AM PST by norton
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To: Da Coyote

I know that our faithful, truthful government in Taxifornia has told us glowing numbers and projections every year only to have reality come crashing in! I don’t see how California will ever have a balanced budget let alone a surplus when the government does everything it can to drive industry and wealth out of the state! Hell even the illegals are learning that it’s time to get out, at least the more educated ones, leaving us with an even larger segment of non producers to support.


23 posted on 01/11/2013 9:21:43 AM PST by Mastador1 (I'll take a bad dog over a good politician any day!)
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To: SeekAndFind
They have to hire because they cut everyone back to 20 hours.
24 posted on 01/11/2013 9:26:11 AM PST by Domangart
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To: norton

Never believe anything Brown says, he is tree hugging enviro nazi who always has and always will do everything he can to drive this state into the neolithic heaven that the greens desire. Also he admitted in an interview before he was re elected that He, just like all politicians lie to get elected.


25 posted on 01/11/2013 9:26:35 AM PST by Mastador1 (I'll take a bad dog over a good politician any day!)
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To: Mastador1

They already budgeted for the money returned for sequestration should it happen as well as other programs.

If sequestration doesn’t happen, Brown needs to remove 350 mill from the 2013-2014 budget.


26 posted on 01/11/2013 9:31:52 AM PST by EQAndyBuzz (Want freedom? Think WWRRD? Then do it.)
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To: SeekAndFind

Doubleplusgood!


27 posted on 01/11/2013 9:32:18 AM PST by johnthebaptistmoore (The world continues to be stuck in a "all leftist, all of the time" funk. BUNK THE FUNK!)
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To: SeekAndFind

Did Brown just pull a trillion dollar coin out of his a$$?


28 posted on 01/11/2013 9:43:04 AM PST by Bloodclot
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To: SeekAndFind
Is the meretricious Mister Moonbeam attempting the Big Con here? One suspects that it is more than just political flim-flam; it's more likely fine-print fraud.

One also suspects that Mister Madoff was less clumsy of an unconscionable liar than appears Mister Brown.

.

29 posted on 01/11/2013 9:49:28 AM PST by Seaplaner (Never give in. Never give in. Never...except to convictions of honour and good sense. W. Churchill)
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To: SeekAndFind

Brown reminds me of my daschund. Brown submits a budget every year that has all these flowery projections about increased revenues and than they fail to materialize. The following year he does the same thing again.
Otto my little dog, bless his heart, gets all wiggly every time he sees me eating something just knowing he is going to get some of it. Just like Brown he doesn’t get his way but he shows up at the next meal ecstatic that he is going to get the lions share. You have to give them credit for their optimism .


30 posted on 01/11/2013 9:50:32 AM PST by Lurkina.n.Learnin (Superciliousness is the essence of Obama)
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To: SeekAndFind

1.Businesses are hiring again - in other states after move
2.Surplus - of illegals
3.California’s budget deficit - Unions


31 posted on 01/11/2013 9:51:31 AM PST by Vaduz
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To: SeekAndFind

I suppose I’m ignorant on why politicians were ever allowed with getting away with predicting revenue income and basing a budget on that. I think it should be constitutionally mandated that they can only spend the money that they have ALREADY collected from the previous year. It would be difficult to run a deficit if that were the case.


32 posted on 01/11/2013 9:51:58 AM PST by Brett66 (Where government advances, and it advances relentlessly , freedom is imperiled -Janice Rogers Brown)
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To: SeekAndFind

One minor problem with this scenario

Unfunded Pension Obligations Threaten Budget Funding for Core Priorities

Independent experts agree that California’s unfunded public employee pension obligations are becoming more and more of a budget problem - both for state and local governments.

Many recent, nonpartisan studies have illustrated just a how big a problem unfunded public employee pension obligations have become, though estimates of the scope of the problem vary.

As of June 30, 2009, the California Public Employees Retirement System (CalPERS) reported that its unfunded actuarial accrued liabilities in its main pension fund for state and local governments was over $49 billion-consisting of about $23 billion for the state and $26 billion for other public agenciesi

Showing a bigger problem, a report by the bipartisan Little Hoover Commission found that the top 10 public employee pension systems in California - including plans for both state and local government workers - faced a combined $240 billion shortfall as of 2010.

A study by the Stanford Institute for Economic Policy Research more recently pegged the combined total unfunded pension liabilities of CalPERS, the California State Teachers Retirement System (CalSTRS) and the University of California retirement plan at $485 billion.


33 posted on 01/11/2013 10:00:48 AM PST by artichokegrower
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To: ScottfromNJ

I thot I read “projected “ surplus? Well sure, that’s California style positive wishing at its finest. The exact same clever planning the Fedz use. Business idea: rush a truckload of arm splints to Sacramento-—they’re gonna need them from slapping themselves on the back.


34 posted on 01/11/2013 10:11:48 AM PST by cherokee1 (skip the names---just kick the buttz)
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To: Truth29
>>Sure California has a surplus... Why do I not believe him? What form of unicorn accounting is he using?

They 've created a new accounting system: NIFO -- None In, First Out.

35 posted on 01/11/2013 10:39:39 AM PST by pabianice (washington, dc ..)
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To: SeekAndFind
I assume this is based on the usual rosey scenario of increased tax revenues due to Issue 30. I hope Mr Moonbeam is not too rudely disappointed when the numbers start to come in.
36 posted on 01/11/2013 10:43:44 AM PST by hinckley buzzard
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To: SeekAndFind

Huh?

Whud hawppend?


37 posted on 01/11/2013 10:45:16 AM PST by Vendome (Don't take life so seriously, you won't live through it anyway)
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To: Vaduz
1.Businesses are hiring again - in other states after move 2.Surplus - of illegals 3.California’s budget deficit - Unions

You forgot illegals (3).

38 posted on 01/11/2013 10:46:22 AM PST by Digger
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To: pabianice; Bitsy; skeeter
Cali's BK. What a load.
39 posted on 01/13/2013 3:02:02 PM PST by 4Liberty (Some on our "Roads & Bridges" head to the beach. Others head to their offices, farms, libraries....)
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To: SeekAndFind

I project that I am going to win the lottery this year.


40 posted on 01/13/2013 3:25:47 PM PST by Private_Sector_Does_It_Better (I AM ANDREW BREITBART)
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To: SeekAndFind
For years the state's leaders have tackled budget deficits with... accounting gimmicks.

Yeah, rearranging numbers on paper ALWAYS fixes things!

41 posted on 01/13/2013 3:30:23 PM PST by Teacher317 ('Tis time to fear when tyrants seem to kiss.)
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To: AdmSmith; AnonymousConservative; Berosus; bigheadfred; Bockscar; ColdOne; Convert from ECUSA; ...

Thanks SeekAndFind.
42 posted on 01/19/2013 6:55:22 PM PST by SunkenCiv (Romney would have been worse, if you're a dumb ass.)
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