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Aug 18
2008
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Seven Weeks and Counting: California Still Has No BudgetPosted by lrandall in Untagged |
California is entering its seventh week without a state budget, prompting fears the stalemate could surpass the record of a September 5th signing, which happened in 2002 under Gray Davis. A special Sunday session this past weekend was fruitless, and rather degenerated into a blame game over one of the most fundamental political questions - to raise taxes or not.
State republicans have vowed to not sign a budget that increases taxes, however, the income tax increases would affect those individuals making over $321,000 taxable income. In addition, corporate income taxes would increase, and some business tax breaks would be suspended.
Sticking to the mantra of ‘no new taxes' is jeopardizing the fiscal health of the state - surely there are areas where spending could be cut, and the proposed budget by the democrats does include funding cuts for social programs. But the tax increases should not have a significant impact on the majority Californians. Lower and middle income families have been disproportionately suffering from rising energy costs and the attenuated increases in other sectors. Raising taxes on annual incomes over $300,000 should not be a deal breaker to signing a state budget.
Furthermore, as if the content of the actual budget weren't enough to cause delay, there is some discussion of other factors, so unbelievably petty you'd think the legislators were a bunch of second graders crying over birthday party invites, that could hold up the budget signing even longer. The national party conventions. The democratic convention will take place in Denver, from August 25 - 27, and the republican convention will be in Minneapolis - St. Paul from September 1 - 4. Rumor has it if the budget isn't signed before August 24th, in time for California democrats to jet over to Denver, they will reciprocate the favor and hold off so the republicans can't attend their party either.
Meanwhile, state workers are earning $6.55 / hour, contracts aren't being paid, grant monies are being withheld, and California is on point to set a state record.


Pass the budget by the majority vote and then give credit if it works out and give blame if it doesn't.
This garbage of trying to cut the pay was just to much for me. If you can't get your house in order, don't screw over the little guy. I have a better idea. Starting with the first day the budget is overdue, all the state legislators and the governor get docked a days pay, every day until it is passed. And that money will be forfeited. Period. Then lets see what happens.
Meanwhile, we keep losing businesses to Nevada and Arizona. We just lost another local business in Victorville to Nevada because of the tax law. 220 jobs gone.