Deal: Gambling On Future Unbalanced Budgets
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| Also listed in: Courage Campaign Staff |
Finally, our state legislature has reached a compromise budget that should earn Governor Arnold Schwarzenegger's signature. It's a no thrills blend of expected budget cuts and the closure of tax loopholes with no tax increases. But the $15 billion budget deficit only balances through accounting procedures and heavy borrowing against the state lottery, which means today's leaders are passing the buck to future leaders once again.
If you wanted tax increases, just wait a few years when the state will be forced to decide how they will increase revenues to maintain basic services as the percentage of general fund revenues spent on retiring debt continues to increase. No new taxes, no new revenues. A slumping economy, projects lower revenues in the years to come.
The hostage takers, err… California Republican Party won a budget victory by standing up to the governor (a member of their own party who holds the power of the veto) and the Democrats who hold majorities, but not super majorities in both chambers of the legislature. Yacht Party legislators get to hold to their pledges to prevent any new taxes at the state level and by the time we must pay for this gambling act, they'll be termed out of office never having to be held to account.
But has California won?
No.
Future budgets will have to reconcile today's accounting maneuvers and borrowing. As inflation, costs of services and population continues to grow, funding remains static, thereby creating a reduction of services to Californians who are experiencing no reduced tax burden for their troubles.
Certainly, this budget may undergo a few tweaks by the time it is officially voted upon and signed. And for a while, it looked as if it would be a lot worse. But let there be no doubt, the 2010 governor's race should be all about reforming government so that we nip problems in the bud, as opposed to delaying difficult choices to future generations.
California needs majority rule. We are one of the few states with supermajority tax and budget reforms who have yet to go back to simple majority. Two-Thirds approval for
$100 billion budget does not work.
Much like this budget we will pay for in the coming years.
FYI, it is difficult to blame Democrats, though they ultimately must shoulder some responsibility. The tax and budget rules are set up so that the majority party cannot govern as they should.
If you wanted tax increases, just wait a few years when the state will be forced to decide how they will increase revenues to maintain basic services as the percentage of general fund revenues spent on retiring debt continues to increase. No new taxes, no new revenues. A slumping economy, projects lower revenues in the years to come.
The hostage takers, err… California Republican Party won a budget victory by standing up to the governor (a member of their own party who holds the power of the veto) and the Democrats who hold majorities, but not super majorities in both chambers of the legislature. Yacht Party legislators get to hold to their pledges to prevent any new taxes at the state level and by the time we must pay for this gambling act, they'll be termed out of office never having to be held to account.
But has California won?
No.
Future budgets will have to reconcile today's accounting maneuvers and borrowing. As inflation, costs of services and population continues to grow, funding remains static, thereby creating a reduction of services to Californians who are experiencing no reduced tax burden for their troubles.
Certainly, this budget may undergo a few tweaks by the time it is officially voted upon and signed. And for a while, it looked as if it would be a lot worse. But let there be no doubt, the 2010 governor's race should be all about reforming government so that we nip problems in the bud, as opposed to delaying difficult choices to future generations.
California needs majority rule. We are one of the few states with supermajority tax and budget reforms who have yet to go back to simple majority. Two-Thirds approval for
$100 billion budget does not work.
Much like this budget we will pay for in the coming years.
FYI, it is difficult to blame Democrats, though they ultimately must shoulder some responsibility. The tax and budget rules are set up so that the majority party cannot govern as they should.