What to do about California's disastrous financial situation?
FROM CNN's Jack Cafferty:
California is on the brink of a financial meltdown. Once the richest state in the union, California has run out of money and is being forced to issue billions of dollars of IOUs to taxpayers, county agencies and small businesses.
Proposed budget cuts threaten funding For California universities, including UCLA where students here are seen passing the bronze statue of their campus mascot, the Bruin - a California grizzly bear.
California's deficit was already at a whopping $24.3 billion... and the failure of the state legislature to agree upon cost-cutting measures made it grow by another $2 billion.
Republican Governor Arnold Schwarzenegger wants to use deep spending cuts and borrowing... while Democrats push for tax hikes and less-severe cuts.
Schwarzenegger has declared a fiscal emergency - and is giving lawmakers 45 days to figure things out. He's also ordered state employees to take a third unpaid day each month - which brings their total pay cut this year to about 14-percent.
Meanwhile the IOUs could wind up causing a lot of damage - especially for small businesses that rely on state contracts. Counties will have to find other ways to fund social programs - including those for alcohol abuse, mental health and services for the elderly and disabled. And California's universities will look for other ways to help students who won't get state grants.
The federal government is also threatening to seize six state parks if they're closed to help balance the state's budget.
California's deepening financial crisis could be a preview of things to come for other states as money dries up and citizens brace for tax increases and cuts in services.
Here’s my question to you: What should be done about California's disastrous financial situation?
Interested to know which ones made it on air?
Jill writes:
Mandate any recipient of social services must be a taxpaying citizen or legal immigrant.
Benjamin from Washington writes:
It's time to hike up taxes. Other countries enjoy similar services that California provides, but without going bankrupt. Why? Because they pay for it!
Abe writes:
Well, seeing as California seems to be the testing ground for new national legislation, why not give marijuana taxes a trial run? What is the worst that could happen? They could put a small dent in the deficit. More likely is that they could put a huge dent in it.
Damon writes:
I think the federal government should take notice. California has voted for extensive social welfare programs, but voted down tax increases. They dug their own grave, just like Congress is doing for the entire country. It doesn't take a genius to figure out that you can't spend more than you take in.
AJ from Greenville, South Carolina writes:
I don't live in California and this is one reason why. They made their bed, now they can sleep in it. It's not our problem. They need to learn a lesson and restructure the government. Hopefully, pain will snap them into reality.
Jim writes:
To start, quit electing movie stars to run their state!
Colleen from Charlotte, North Carolina writes:
Why doesn't Arnold do what my ex-boss did? Fire everyone and hire people back at 50% pay.
Jon from San Diego writes:
We should do what the feds have done: print more money, write more checks, and hope for change.
Tom from Fort Lauderdale, Florida writes:
Jack, I've been told all my life California would fall into the Pacific Ocean. I guess they were right.
@jackcafferty on Twitter
Tax hikes for the rich, Jack. They've earned their money in California and from the opportunities the State has offered them. They can afford to give a little back, and that includes Arnie.
It is a very bad idea, even worse to have them in parks where there are lots of children.
Jack ,
California has long been rumored to be headed for a deep sink into the Pacific. Perhaps that was a metaphor for this.
Its funny, Corporation has never been wealthier, corporation runs government, And it's people are poor, starving and being sacrificed to the"Battlefield Meat Grinder of the Poor" to the monetary benefit of those who are deeply invested in the war (those making money in the process and consequence of death, those killing you for a dollar)
IOUs....tell me when has somone been able to pay for a load of stuff with such things? Last time I checked that hasn't gone far if at all.
Years of Democratic big spending equals bankrupcy. As they say, as California goes so goes the rest of the country. Yeah Democrats!
Collect some taxes from the illegals.
Stop giving free medical, schooling and food stamps to illegals.
Tax the RICH more, They have all the money!
Or, maybe we can find someone who wants to BUY California.
Mr. Cafferty:
I do not know. It is Californian's problem. Their government is a model for all our other government's. We have all got "trouble right here in our own River City" and it ain't the band ! Perhaps the San Adreas fault will provide the sweet release !
The democrats who have controlled the CA. legislation for more than 10 years have finally realized (though they won't admit this publicly)that the idea of tax and spend have run the state into oblivion.Assembly Speaker Karen Bass stormed out of the Govenor's office yesterday having nothing to say when negociations failed to close the state's 26 billion dollar hole and with Schwarzennegger vowing not raise taxes,nor borrow or use any accounting gimmicks to stop the bleeding; they should all say we screwed it up and we're sorry. But all that they care about is their per diem expenses and their gas guzzling SUV's they should be ashamed
The governor of California should sell the state back to Mexico for a figure that matches the state's deficit. Then he can lease it back from Mexico, and all the legal citizens of the state can pay a tax to cover half of the rent, and all of the illegal aliens in the state can cover the rest. It's a no-brainer!
Slap some taxes on the people of California, send some illegals home that use the system, and cut spending. This will not guarantee that the state will not go bankrupt, but its a start in the right direction. When things get tough enough, politicians will start to use some common sense.
We should do what the Feds have done ... print more money, write more checks, and hope for change
Replace both houses of the legislature and get rid of the governator.
Jack I live in San Francisco. How about instead of state employees taking these mandatory days off out elected officials take the rest of the year off...they don't seem to be getting any work done so why waste money paying them. How much do you think that would save?
Tax the churches.
Perhaps it is time to accelerate the San Andreas Fault carving California into an island.
Legalize and tax the sale of marijuana for recreational use. This would lead to advancements in textiles, food production, fuel production, new, cheaper medicines for a variety of ailments, and not to mention a vice tax that would rival alcohol in popularity. Seriously, what are they waiting for?
I think that the governor is doing what he has to do. The legislature is the real problem. The should have to give up half their salaries or be furloughed.
Get rid of Arnold Schwarzengger!!!!
Isn't this what the recovery stimulus plan was suposed to be for?
What you do is simple. SO Simple. You just need a politician with guts.
Legalize, Tax, and regulate Marijuana.
There, I just took care of more than two problems at once. Tah Dah, you're welcome.
We have lots of money for this 'war' in Iraq but we dont have money for the states that are having trouble....give U.S. a break!!!
Let's just sink California into the sea and cut our losses. It's inevitable anyway. We can start investing in Nevada beachfront property.
It's time to hike up taxes. Other countries enjoy simliar services that California provides, but without going bankrupt. Why? Because they pay for it! People and republicans will complain today, but after some time, they'll get over it. We want the services, we just have to get used to paying for it.
To start, quit electing movie stars to run their state!
It's simple Jack...legalize and tax marijuana for personal use. And that goes for the whole country....
California needs to get rid of the burdensome two-thirds majority required to pass a budget! It's such a large state, yet it's one of the last states to require a supermajority to pass a budget. The Republicans always hold the process up.
Marijuana? Legalize it! Reap the benefits of all the taxes there would be on it. Why not?
Recall that no good governator!! He had several chances to sign a budget and vowed to veto any that involved raising taxes. How does a state pay its bills without raising taxes?
Put the California politicians in the same box as all the federal politicians and ship it to the moon. Then replace them with common folk with common sence.
they should raise taxes on poisons like cigarettes and alcohol and oil drilling and the rich instead of cutting soc sec mone and dentical..what are poor people to do without teeth and food..ask the governor
Although it would be a small amount–the governor should stay in Sacramento to help the state overcome its shortfall instead of flying back and forth each day of the week (Sacramento to Los Angeles). We all have to give up something–
Well, seeing as California seems to be the testing ground for new national legislation, why not give Marijuana taxes a trial run. What is the worst that could happen? They could put a small dent in the deficit? More likely is that they could put a huge dent in it, and all the people out there that still see Marijuana as it was portrayed in Reefer Maddness nearly 100 years ago can eat their words. It is beyond assanine that this idea has not been given serious consideration nationwide when Alcohol, Tobacco, and Firearms kill hundreds of thousands each year, yet has its own government sector, and Marijuana has never killed anyone.
It's Simple Like Me Jack.
Legalize It.
nothing should be done by people who live outside of ca. this is an internal problem, because of the inability to elect qualified people to public office. the states need to cut their costs and increase intake of funds through increased fees and taxes. if a company runs a deficit then they go out of business. maybe the U.S. needs to file bancruptcy and lose california as bad debt. and form a new country. they need to rethink how they run that state and sell off assets to help shrink the gap. the people who live in ca. need to pay more of their share and take a more vocal place in government, shame on any state that runs a negative balance sheet. Ross Perot was right when he said that the people of the U.S. needed to start electing business people who are not career politicians!
I think the Federal government should take notice. California has voted for extensive social welfare programs, but voted down tax increases. They dug their own grave, just like Congress is doing for the entire country. It doesn't take a genius to figure out that you can't spend more than you take in.
Jack,
No business is too big to fail including government(s). The way to solve the budget crisis in California and other states is to fire all the legislators and start over.
Simple.....just push the entire state into the Pacific Ocean.
California should finally repeal Proposition 13, the proposition that limited some from paying higher property taxes. This includes large corporations. Prop 13 should be limited only to those who would suffer huge financial hardship if they were to have to pay higher property taxes.
Also, the California constitution should be amended so that voters cannot mandate spending in the state. These are the two underlying problems that always have California in a bind.
Jack,
The answer is extremely easy. STOP SPENDING MILLIONS AND MILLIONS OF DOLLARS SUPPORTING THE INFLUX AND BENEFITS TO ILLEGAL MEXICANS. Every state that is in financial trouble is spending millions of tax payer dollars supporting people who are here illegally while those AMERICANS are suffering.
Brent from Idaho
Jack, Sacramento can't seem to agree on anything except that they are deep in debt. Normally I wouldn't be so negative, but Gene Hackman's Lex Luthor might have been on to something.
Easy and Simple – Round up all the illegals and send them home.
Dear God. Not another bailout for an entity/state that has lived on excess for decades. Let the state of California live or die by its own iniative. Pick itself up by its bootstraps and stop catering to the elite on the upper end and the illegals on the lower end. Its time has come
Stop the spending for undocumented aliens and their dependents.
Jack,
California should bill the federal government for the services they have been required to provide to illegals. At last count, 50% of residents, more or less, were Spanish speaking. I wonder who might know how many are legal?
In response: seeing how California made 11 million dollars in star tax on the taxation of medicinal marijuana last year...duh , perhaps the fed law and supreme court (6-3)decision should be reviewed. Or the state should protect it's financial savior from the federal govt.
Borrow some money from Hollywood . There seams to be billions of dollors there , from what I see in box office take .
Why I am not surprissed? With the unrealistic high cost of houses..we were sure heading for disaster. Perhaps Arnie could loan us some money!
Open Neverland to the public! What's this nonsense about locals fighting this venture. Can't they see the myriad of opportunities this will provide for the economy?
Hi Jack!!
Ship all the illegal Mexicans back to Mexico, stop paying welfare and empty the jails and prisons of them. Then see how much money California has. Easy to do the math.
Happy 4th to you.
Very simple solution. If you must spend money you have to raise taxes, and soon, so you can pay back the worthless IOU's ASAP. I doubt if your local supermarket will accept an IOU for your weekly groceries.
Remember when the Bush Administration wanted the federal government to intervene in Louisiana's governance during the Katrina disaster? Maybe a temporary federal takeover of California is warranted.
Just sell it to China before they just take it anyway. Problem solved.
Palm Beach, FL.
California should just change their name to GM. Then they'd be fine.
TAX The Rich , and Get the illegals registered and pay taxes too. If a business uses illegals they should be a penalty to be paid .Or dump the terminator and bring in the Alaskan
The problem is Jack that everyone in California and the rest of this nation wants something for nothing. We here in America have this idea that we can provide all of these services and government programs but we will not raise taxes. Ronald Reagan is responsible for this. We have now come to a point where it is no longer "tax and spend" but it is now "borrow and spend" which is even worse. California needs to raise its taxes. This is the bottom line. As a liberal I am not afraid to speak the truth. Yes I am for social programs and yes it will require more taxes so I want them to be raised. We need less politicians that tell the people what they want instead of doing what is right.
I have lived in Los Angeles since 1977. Since then, I have seen the state squander numerous opportunities to fix the problems and they have failed. The proper solution at this point is to do nothing. Absolutely nothing. Let the whole thing unravel and set a prescedent. Allow the state to go bankrupt, or whatevery version of that word exists as it pertains to a state. Allow the governor to release us from the shackles the unions have placed on the citizens.
First thing Jack is to stop the flow and services to illegal aliens. Even the Govenor admits illegal aliens cost Ca tax payers five billion dollars every year. Secondly, stop the police, teacher, and firefighter unions from soaking the taxpayers with unrealistic retirement benefits!
The biggest glitch is the two-third requirement for the Legislature to pass a budget. This insures that the minority party can cause gridlock on the budget plan, especially if the Governor is of the same party. This is the case in CA. It's time for the minority party to be voted out of office, and retire the Governator. As long as this situation exists, CA will never make intelligent decisions.
Put border fences up around California & Mexico; as the egress will be like a tidal wave. Not only will the rich leave, but all of the criminal characters will come to your neck of the woods. They need to go bankrupt and reestablish the state under strict budget control.
Why not issue IOU's to the very people who let this happen, the politicians and elected officials. They should be the first to suffer, then they will get serious about the issue.
Secure the border and stop giving out money to already present illegal immigrants. Stop bending over to regulation that drives away businesses and jobs. Bye bye 6th biggest world economy! Lower taxes and watch the spending rise again.
Mexico. Give them back to Mexico. Now!
Jack,
Unfortunately it may be too late to fix the problem to be of any good in the immediate future, but long range California has to take a good look at whether it wants to be a welfare state and bankroll illegal immigrants over Americans. Reducing the entitlement program to only help needy US citizens will help put millions back into the coffers immediately
because more and more people are out of work and unable to pay their mortgage, rent,credit cards and medical bills, the governor should declare a moratorium on these monetary obligations for at least two to three months. this will ease the state's burden on continuing to fund unemployment, health care and welfare .
To help alleviate the debt that California has accumulated, I think the best and easiest resolution is to legalize marijuana, grow it in California, and let America at last profit from this cash crop!
We have tried B movie actors for govenor in California and one for President in 1980, and what did we get? A big bunch of debt and both were not too schooled for their jobs.
How many of those billions are being spent on people who are illegally in the U.S.? Maybe that 14% cut in pay for state workers could be avoided if the government would enforce our immigration laws.
Governor Schwarzenegger can solve the state's deficit by demanding unions leave the state to grow nuts and fruits elsewhere.
I don't live in California and this is one reason why. They made their bed, now they can sleep in it. It's not our problem. They need to learn a lesson and restructure the government. Hopefully, pain will snap them into reality.
AJ
Greenville SC
By far, the largest portion of California's budget goes to education (52%), and a large chunk of that is administration. If California legislators are serious about balancing the budget, they will start cutting by eliminating some of the multiple, and sometimes duplicative, levels of education administrators.
Governor Schwarzenegger wants to keep on borrowing money. Hasn't the United States as a country tried that over the last eight years, and look at where that has put us! Honestly, in a recession, you need to tax the richest and increase aid to the poor/middle class. Everything else will just pull California deeper in their hole.
That's easy. Legalize pot and tax it.
California's fiscal problems can be traced to the passage of Proposition 13 in 1978. This initiative limited residential property tax to 1% of assessed value at the time of sale. As real estate prices rose over the years, this provided substantial revenue for the state. However, a little known clause in Prop 13 allowed commercial real estate values to remain at 1975 valuations. If commercial real estate was taxed at the very same rate as residential real estate, California's fiscal problems would instantly disappear.
the federal government must bail them out ,let's not have another new orleans.we've got to come together as a country and stop all of the division.we are one country.
Stop cutting disables and sick people's benefits and put them in real danger which can be more costly at the end. Increase tax for reach people and . call out for Arnold schawrzenegger and chose someone that fix the budget without jeopardizing people's lives and avoid protecting the millionairs.
best wishes for california
A tax on the entertainment industry is in order. Surely, all the police protection, trials, road closures, The media frenzies surely cost the state. Start with what's left of Michael Jackson's estate. Get at least 30% of it for past trials and the present inquiries into his death. Bill every superstar an additional 30,000 for living in the state for all the expenses they cost.
Cut the unecessary government spending; government must learn to
live within its means; just as ordinary individuals have come to learn.
Just as individuals can't order "everything" off the menu when they go
to a restaurant; the govenment must learn the same. There "is" money for the essentials, but not for the unnecessary social programs that so far haven't proven their worth or value.
Stop providing education, medical and other services to non-citizens. Collect taxes from the underground labor market. I am not in favor of amnesty, but there is something to be said for granting citizenship with the attached social responsibility...
Since California's taxpayers have refused adequate funds for state expenses, maybe it's time for a court case to determine whether the governor has the authority to declare a state of financial emergency and take action(s) to correct the situation, such as levying taxes on payrolls or imposing new and/or higher user taxes, e.g., turning all highways into toll roads. It might wake up taxpayers to choose less draconian measures rather than refuse to deal with the issue. Does the Governor have authority to sell the state to, say, WalMart or the Japanese?
It seems so simple, but lifting Prop 13 (making property taxes more equal) and charging a "California surcharge." There seems to be surcharges for everything else. Why not for having the privilege of living in such an exciting environment?
Mr. Cafferty my father always said "there is never a problem until there is a Problem". What he meant is that you have to plan and prepare to avoid situations that become problems; ignorance in the middle of a problem shows a lack planning–
California has been spending too much money. Unions have taken over to suck the state dry and create an atmosphere that is unsustainable.
What CA needs is simple– Cut Spending bye 38%–Raise Taxes 2.7% for 4 yrs and go straight to China to borrow the Money, they won't have to pay the Commission to the US Government.
God help us all! As California goes the US goes– US broke!
Repeal the "Three-strikes" law, release the thousands of people whom are incarcerated for minor offences (some are incarcerated ridiculously for life) and reduce the California Department of Corrections payroll.
Close the border. Billions are lost every year due to illegal imm. crossing the boarder. I work in the health field as an EMS responder in Southern California I would say 80 to even 90 percent of the people I transport are of med cal insurance but yet they have no SS#, they don't pay taxs for work they have done, it's paid under the table. They come here wanting a better life and I have NOTHING against that. But when you come here wanting healthcare and everything else free and I mean everything and don't pay taxs or have a SS# there is a problem. Why do honest hard working Californians have jobs pay taxs but don't have insurance but one's fresh over the border do. Is this a problem....you think our govermant is to scared to do say this because it's raciest....anyway that's just the truth.
Regarding Californias monetary problem maybe it's time for the andreas fault to let to shake CA Loose at least shake off some of the Flakes running the State....
I believe Arnold Schwarzenegger has to resign.He is an incapble person that neither knows politics nor economics. If he would have studied the balance sheet and profit + loss ( or the budget) of State of California when he was just elected wrongly to this position ,then he should have understood that the state is in trouble.
The people who voted for him are to blame. Now they have to ask his resiugnation,no further alternative.
Four simple words apply to all states facing bankruptcy, "STOP FREEBIES TO ILLEGALS!"
Jim
Henderson, Colorado
I moved here in 1977 when California was the golden state. We need to get the state's income back in proportion to where it was 30 years ago when Howard Jarvis sold us his bill of goods, namely Prop 13. That number should have said something. He didn't mention that with lower taxes and 30 years of cutting services, year after year, it would get to the point where there is nothing left to cut, just shut it all down. The people of California are now getting what they paid for. Nothing.
Jack,
Forgetting where I heard this: "we'll be back"!
Bobby
Stockton, CA
What California should have done a long time ago, is balance the budget (something the federal government should have done and should do also). If there is no spending left to be cut (and I trust the terminator to have done so in the previous years) there is only one option: increase taxes. You simply can't spend more than you earn for ever. Further cuts in spending will affect the quality of life, environment and future negatively big time.
Stop providing all the free services to illegals, It won't solve everything now , but it will help in at least a third of the California's deficit.
Most of the wealthiest people in the country live in California. Perhaps instead of making more completely absurd multi-million dollar action films (like the ones Arnold has been guilty of profiting from) they should use those funds to balance their budget. Unfortunately, the idea of big-time Hollywood producers and actors sacrificing even a tiny fraction of their wealth to make sure the elderly and mentally ill can get by is something they would consider absurd.
It's easy, Jack, cut services and raise taxes. It would be great if our politicians told us the truth - there's no such thing as a free lunch. The Republicans have convinced the people that we can have everything and pay nothing in taxes. What a bunch of rot! It's no accident that polls consistently show that people are happiest in countries with the HIGHEST tax rates. Why? Because they don't have to worry about losing their job, losing there home, or paying for the doctor. Low taxes mean few services, big deficits, and no security net. I'd rather have a job and pay high taxes than worry where my next meal is coming from. It's time we get real when it comes to taxes.
Gary
Youngstown, OH
Give California back to Mexico, that'll take care of the money situation as well as get rid of millons of illegal immigrants as well.
Jack, The current situation in California has been caused by an accumulation of corrupt politics in Sacramento and the mentality that the local government can just tax everyone to death instead of making the cuts in spending as needed. I have been out of work over 6 months now because of this, and on the verge of losing my home to default. But yet Los Angeles county just jacked up the sales and property taxes again and Sacremento still think that increasing taxes will get us out of this. It's not just the Dems either, there are a lot of Republicans here wanting to raise taxes as well. Recently, I heard a report that over 2000 people a week are leaving California. They are tax payers like me, and I may just have to let my home go into default and be the next to leave..
I am disgusted with the popular belief that State of CA workers make more money than anyone else, and that they are lazy. I'd like them spend a day working in State of CA government. Then, maybe they would stop putting the blame on the victims.
It's simple...
Round up as much illegal, undocumented, (whatever you want to call them) aliens and send them back to their HOME COUNTRY!
They have been a drain on the state and federal economy for years.
Unfortunately none of these politicians have the GUTS (inclining Arnold) to be politically incorrect.
If an elected official puts their career before the states best interest, They need booted out of office yesterday.
The wealthy have reaped all the benefits over the last 25 years so it is only right that they have their taxes increased to balance the budget. Why put the burden back on the poor when the rich are the ones who got us into this mess in the first place. Greed should have no place in our society.
Unfortunately, in a democracy, you reap what you sow. If you want a responsible government and not a circus, then don't vote for the clowns.
The answer is obvious, Jack. CA needs to spend less, and save more. There are a plethora of areas where this savings can be achieved, but none more glaringly obvious than the services provided for illegal aliens. Apparently, they forgot what ILLEGAL means. Millions upon millions of lawbreakers sucking off the government teat has killed the host. RIP, CA.
A good place to start to generate money for the state would be to rescind Prop. 13. Many people, amazingly, pay very little in property taxes, while others who have purchased homes more recently bear the burden of higher taxes. My Dad paid $600.00 per year on a home valued at well over $300,000.00 – but purchased many years ago. Nice gig if you can get it! Somehow, it rings of unfairness to me.
Jack
It seems pretty simple to me ... pass a constitutional ammendment that the state cannot spend more than they take in. Why is this so difficult for politicians to understand!?
The legalization and taxation of hemp/cannabis could save California from its financial woes. It's time to take a serious look at the benefits of this plant instead of this mindless demonization.
The good citizens of California should step up to the plate. The far right has made the issue of raising taxes immoral. But governments don't run on votes. It takes money. State employees need and deserve raises, goods and services cost more. It's simple economics. And when their taxes increase the people will decide what government services are necessary and eliminate those that are "nice to have". You cannot have your cake and eat it too. It's time for Californians as well as Americans to pay the piper. If you're going to give a dance, You've got to pay the band.
Very simple...
They need to stop doing what they are DOING...and start doing what they are not DOING.
When you spend more money than you have that is sudpity. Stop the stupidity. STOP THE SPENDING. If you can't live within your means...change your means. You can't do everything for everybody. List your most critical needs and fund those one by one from the most critical til the least until you are out of money and then STOP. If you can't fund it don't do it.
Hey Jack,
CA needs to take the lead and begin to REFUSE services, deportation, and fining companies that continue to hire illegal immigrants. It is ridiculous to think this state could continue providing services and jobs to illegal immigrants under the economic conditions we are presently in. The hard choice should not be whether to pay a state employee or not, or send IOU's to legal residents....it should be when to send somebody back to their legal residence.
We should start by throwing out all of the legislature. The state government is totally innefective and their excuses are getting old. We can also cut expenses by getting rid of the bureaucracy that is crippling this state. In addition to the huge bureaucracy, unions have too much power. Too much of the budget is guaranteed in benefits. Until they fix this system, there is going to be no fix to the state budget. Until they stand up and fix these things, average californians will suffer. I should know, i'm a teacher and member of the CTA and I got laid off because of all of this.
Congress should remove the restrictions which prevent the states from requiring Internet and mail order sellers to collect sales tax.
Jack,
Here are the ways to solve this problem:
1. Cut spending (mostly in social programs, the Republican way)
2. Raise Taxes (the Republican* and Democrat way)
or the third way, go after the vendors and force them to reduce what they are charging (my way), otherwise know as reducing expenses, which is what we have had to do since we lost our jobs.
* don't kid yourself, Republicans raise the cost of everything,: ergo, the Republican tax
JACK, i kinda knew at some point this was going to happen..what galls me is the fact that scharzeneggar thinks that illegal aliens are not part of the problem.. there are many state programs that need to be trimmed including schools.. we are falling way behind other countries in educating our kids but we keep throwing money at it.. pure lunacy..check out every single person on welfare and see how much fraud is discovered..state workers wages need to be trimmed and they as well need to bite the bullet.. shutting state parks will only be minor .. people still will want to go there .. boy are we in a big mess ben
If I no longer have a job, about to be homeless, how do they intend to have me pay any taxes to help the debt?
Thanks
Here's 6 things that when done together would save Billions in expenses and create Billions in revenue, taken together it could solve the issue:
1) Legalize marijuana & tax it, creating revenue and reducing the expense of enforcement
2) release non-violent drug offenders, reducing the cost of incarcerating such huge numbers of people
3) Stop giving taxpayer-funded benefits to illegal aliens, which will save a huge amount on everything from welfare to medical expenses
4) make most interstates and freeways Toll roads which will help create revenues and help to keep the roads in good repair
5) A small sales tax increase on everything except food
6) trim budgets where possible by looking for waste or increasing efficiency
A: Fire the governor.
I would begin by impeaching the governor. Revamping the laws to reflect the BIBLE like getting rid of the same sex marriages. You can not be fruitful and mulitply in same sex (anything). You only become ...fruity. GOD is not happy and will continue to curse the whole state. I also will get rid...or...revamp the welfare. GOD said if a man won't work, then he should not eat. Why do we support lazy folks? Some people who simple are disabled, yeah, they need it, but for the most part, get rid of it. And make a mandatory two year military duty for everyone leaving high shcool and not going ahead to college.
If I was the governor or President, the above is what I would do.
May GOD bless us all.
Calvin
California must come to the real world and raise sales taxes. People must understand that the more you want the more you will have to pay taxes for it. No more pay for it later all states must do this in order to get out of their fiscal emergency. Anything else you are just kidding yourself.
Well, as far as California budget, the Republicans hired and actor to portray a political figure. As far as Schwarzengger, he did his job correctly. HE ACTED. I'ts inevitable that Ca will sink, thats why the legalizing of marjuana would help us Californians put a dent in this meltdown. Now Schwarzengger needs to do his job a little better and ACT like he cares.
How about a money raising campaign among our celebrities who appear so generous around the world, but turn quite stingy when it comes down to their fellow Californians? Maybe giving to the country where you actually made money is not as sexy as giving to a country that nobody can find on the world map, and does not feed into your own impression of grandiosity and importance the same way.
I have at least 2 ideas:
1. If the people of California are not getting any money, neither should
the California government. How about an IOU for the Govanator and
his cabinet? I'm so tired of his "Let them eat cake" mentality.
2. All services to illegal residents should stop immediately. I have always believed that this has been one of the biggest problems California has.
Fortunately, I had the sense to get out of California while the getting
was good. Unfortunately, I still have family suffering over there.
Monsieur Déficit, please do right by the people who foolishly voted for you.
I am a native Californian and I am sick about what has happened to this state. If we are to trace the "beginning of the end" it was Prop 13, the Jarvis-Gann initiative back in the '70s. Cutting property taxes was wildly popular but there wasn't a viable revenue replacement. As our population exploded we began to tilt. Now we're just about upside down.
What to do?
1. Hold a constitutional convention.
2. The majority vote in the Legislature needs to be reinstated rather than 2/3's majority.
3. Eliminate at least temporarily all initiatives. Going forward initiatives should be vetted for legality and funding BEFORE being placed on the ballot.
4. California's income tax structure needs revamping such that everyone from 200% FPL and up pays in at incremental percentages fair to each income bracket. Currently the structure mainly hits the upper financial echelons. I am lower-to-middle class but I would still support the change.
5. Rather than doc state employees one furlough day at a time, begin with withholding salaries across the board for the Legislature. The State employees are not responsible for the Legislature's gridlock and yet they are being penalized.
We can only hope.
The reason the state is in this situation is due to its liberal spending on every single person who puts out their hand along with the combination of illegal mexicans coming over the border sucking the resources of the state through medical care, not paying taxes and using up all welfare resources But this is nothing compared to the waste of money of the Federal Headstart Program which is NOTHING but a multi-million dollar mexican daycare program!
maybe its time to compleatly leagalize marijuana. Have the people that wish to use it pay for a "posession license", say $100.00 or so and make them purchase it from the same stores that it is already sold at for medicinal use. I really dont think that the government realizes how many people smoke pot. that will eliminate millions of dollors wasted trying to bust people for a harmless plant, (that was given to us by god). so take those millions saved + the millions earned = MOney for schools, money for the teachers, money for the kids getting cut from state medicare. wow that was difficult............ not... maybe i should be the governor of california
Jack I think it's about time this state splits into two. This is a good way to at least help half the state the other side of though is screwed. But Y should they have to balance the state government the Federal government Doesn't !!!!!..
There's alot more then just splitting up the state but I won't get into that.
Give California back to Mexico. It will resolve three issues: eliminate the debt, the health care of illegal immigrants and the illegal drugs issues; savings of trillions of dollars.
legalize, tax, and regulate marijuana. we need to stop putting this off as something unimportant. gov schwartzenager has acknowledged this as an important debate; its about time for president obama to do the same. an entire new industry which provides plentiful jobs and endless profits could certainly boost california's economic situation. speak to any doctor who studies the substance and its effects on human health and they will tell you how harmless it really is.
California needs to re-think their Sanctuary Cities and what these policies are costing them.
When I retired from the Army last year (2008), I seriously considered moving back to California, however, I knew when the state had been in a fiscal crisis for such a long period, I decided to retire in Hastings NE. To solve California's irresponsible handling of the taxpayers to include small and medium sized businesses, you are all welcome to re-locate to Adams county Nebraska, The city of Hastings as the seat of county government. I feel California business owners will benefit and grow their profits right here in south central Nebraska.
obviously schwarzenegger has imposed a moratorium on payments to its vendors and salaries for state workers, public education and health care for the poor, then he should also declare a moratorium for these people who are impacterd by the IOU's furlough days and education cuts on paying rent, mortgage, car payments, health bills etc. until california can balance its budget
>Repeal Proposition 13 and start taxing homeowners on the ACTUAL value of their home, not the value of their homes when they purchased the property (like 10, 20, or 30 years ago).
>Set up a system and start issuing Tax ID Numbers to undocumented workers so taxes can be collected on their wages.
Better yet once you round up all the illegals to sent home, you need to send the legislature and Arnold with them. The State of California cannot continue to support all the illegals who come there and take advantage of opportunities that should be for American. Why should our American student and poor families continue to suffer? Again my solution is easy and simple.
Jack, under Grey Davis, the governor who preceded Arnold Swartzenegger, California was running a budget surplus. Davis, worried about his political future, refunded much of that surplus by pushing through a popular reduction in the state’s sales tax rate. The result is a lesson for all politicians: when the voters give you a tax base that results in a surplus – hold onto it. Davis was rewarded for his giveaway by being booted out of office, and that rainy day surplus didn’t survive long enough to serve Californians in today’s rainy days. It doesn’t take a rocket scientist to know that when you’re running a deficit, you have to cut spending or increase revenue (i.e., taxes), or most likely in this case, both.
As a resident of the former "Golden State," my suggestion for a solution to the California budget crisis is to tax the big oil companies that have made tremendous profits from drilling in the State. The arguments against are always higher gas prices and the possibility of the oil companies pulling out. Well, gas prices are going to go up no matter what, and Alaska taxes Big Oil 18% and hasn't lost a single company yet!
Cut welfare benefits, esp those given on the EBT card which is a debit card. I have stood in line behind folks using this card and they are buying things useless to well being. Then they turn around and get cash and do whatever. All lot have really nice clothes and cars but still receive state assistance. The welfare system in this state is abused, no question. Half these people do not speak english how do they end up getting welfare? These people are not all Black nor minorities, but welfare was suppose to be temporary, not a permanent source of income. My goodwill will only go so far.
Time for them to start selling assets.
Here in Texas (where we govern responsibly) we haven't touched our rainy day fund yet. Some of y'all might have never heard of that. It's when you sock away your surpluses in case of emergency. Well we still have a bunch of that surplus money laying around and I think that maybe we could help them out by buying Big Sur SP and/or Bothe-Napa Valley...maybe another park or two.
Or how about building some power plants there. We've been supplying y'all with power for years now and it sure would be nice to have those plants out of our back yards finally.
Simple Jack. Google should buy California's debt!
One very simple solution to California’s financial crisis: California should secede from the union, become a third-world country and seek financial aid from the Obama administration. If we are going to give money to other impoverished countries in the world, we might as well start with closer to the continental United States. On second thought, by the time other states in the now United States secede for the same reason, the United States will not be from “sea to shining sea.” Sort of sounds like the Obama plan of “take from the rich and give to the poor.”
Henry
Sun City West, AZ
If lawmakers can't make progress give it to the people. There is no excuse for the inability to provide for the ca residents – give them the power to assist. Empowerment is the key to any successful venture.
Reach out to businesses – these folks fight the fight of budget deficits everyday, learn from examples and utilize your in state resources. If youe business was impacted by the states inabilities wouldn't you be knocking on the door with ideas?
Instead of the gov taking over parks why not empower\ask communities to take over – communities are your number one asset, especially during a time like this.
I find the situation very sad that lawmakers are not completing the task with a sense of urgency – making it seem as though they aren't vested in their jobs nor the state.
I hope to see great people emerge from this situation and leadership take a fresh approach to the ca residents needs. Leaders thrive in adversity.
The solution is simple: Cut most entitlement programs and increase taxes on everyone – yes, even the poor. Let charities and churches pick up the pieces, after all they're better at helping the poor then the states are.
I think the President and Congress need to work together to make more money made. Then the money being so tight to make it vanish. Print the money for the people already!!
The California Legislature must pass a balanced budget. If they don't, the Federal Government should arrest each legislator and hold them in a federal prison until they do pass a legal budget. Then, because they broke a federal law, each should immediately be removed from office and never be allowed to seek public office again.
What people need to understand is several months ago the politicians here raised all our taxes substantially. Our sales tax is almost 9%, they doubled our DMV, raised the state tax rates and that wasn't enough they want to raise even more. The job market here is terrible and many of the lucky people who still have a job are working less hours and have already taken a 10% pay cut on top of that. Where are we supposed to come up with more money to give to them so they can continue to spend us into oblivion. We have had enough. The illegals are bankrupting this state, time to just say NO to anything free for illegals, get them out of our schools, hospitals, prisons and send them home. Democrats take Notice, this was caused by years of Democratic controlled over spending.
From Tulsa, OK.
I lived 8 months in s. CA, but had to leave due to the high cost of living. When the entire state is imploding, there is no simple solutuion. But tax increases are going to be a necessary evil–sales taxes, luxery taxes, property taxes, sin taxes. and more.
There will need to be more creative ways of cutting cost such as four day school days, pay cuts (ouch!) and careful thought of ways to protect small businesses who are the backbone of so much employment.
How about modifying the zoning law in Las Olivos so that Michael Jackson can be laid to rest at Neverland Ranch? It would be California's version of Graceland, attracting an endless stream of fans. A memorial service at Neverland Ranch would also be easier on the State's empty pocketbook. A procession through LA, to the Staples Center and out to Forest Lawn is going to rack up a huge public works and Police bill.
Well, if CA stopped paying for med. care, food, etc. for all the millions of illegals residing in the state who are paid in cash on a daily basis...OBTW, and don't pay into SS or Medicare or any taxes,...hello! And what do you expect?
How about modifying the zoning law in Las Olivos so that Michael Jackson can be laid to rest at Neverland Ranch? It would be California’s version of Graceland, attracting an endless stream of fans. A memorial service at Neverland Ranch would also be easier on the State’s empty pocketbook. A procession through LA, to the Staples Center and out to Forest Lawn is going to rack up a huge public works and Police bill.
Annex Mexico, most of them are here sucking us dry anyway.
Here are some ways:
1) legalize and tax marijuana, it'll bring in money to aid the leaking somewhat
2) increase taxes (we kind of have no choice, even the Governor has hinted at it)
3) stop paying the wrong people handsomely, like workers for CalTran and the DMV. (I drive on highways and roads all the time, the roads are in horrifyingly bad condition, and when they do decide to fix the roads or put up a stop light they take months to do it, and i dont even need to start with the DMV's problems. those people dont deserve a 6 digit income or a pension at all for sitting on their butts all day)
Well lets see jack......California shoud abolish the death penalty. It costs 3 to 4 million in trial expenses to have someone put to death. I think they should end this practice. All scientific evidence shows it doesnt work. I wonder how many millions or billions they could save.
Well, since the Governor is a republican, is the correct answer to lower taxes for the wealthy?