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.