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Title: Schwarzenegger to seek federal help for California budget
Source:
http://www.latimes.com/news/local/la-me-budget23-2009dec23,0
URL Source: http://www.latimes.com/news/local/l ... et23-2009dec23,0,7164018.story
Published: Dec 23, 2009
Author: Shane Goldmacher and Evan Halper
Post Date: 2009-12-23 11:09:44 by TXBSAFH
Keywords: None
Views: 560
Comments: 22
Reporting from Sacramento - Facing a budget deficit of more than $20 billion, Gov. Arnold Schwarzenegger is expected to call for deep reductions in already suffering local mass transit programs, renew his push to expand oil drilling off the Santa Barbara coast and appeal to Washington for billions of dollars in federal help, according to state officials and lobbyists familiar with the plan. If Washington does not provide roughly $8 billion in new aid for the state, the governor threatens to severely cut back -- if not eliminate -- CalWORKS, the state's main welfare program; the In-Home Health Care Services program for the disabled and elderly poor, and two tax breaks for large corporations recently approved by the Legislature, the officials said. Schwarzenegger also will propose extending a cut in the state payroll that is scheduled to expire this summer. That cut has translated into 200,000 state workers being furloughed three days a month, the equivalent of a 14% pay cut. Lawmakers would have the option of extending the furloughs, imposing layoffs or some combination of the two. The governor is scheduled to unveil his plan publicly early next month. Administration spokesman Matt David declined to comment on the details. The governor and lawmakers have already had to close shortfalls this year totaling $60 billion, as tax revenues plummeted at rates not seen in California since the Great Depression. Amid the continuing budget crisis, the state ran short of cash needed to cover its bills and was forced to issue IOUs over the summer. Activists were particularly alarmed by the potential cuts to social service programs, which have taken big hits recently. "Families are struggling, we have an incredibly high unemployment rate, and we can't afford to cut these programs any more," said Nancy Berlin, director of California Partnership, a statewide coalition of advocates for the poor based in Los Angeles. "Sacramento has got to pull it together and find another way out of this. They can't take more from low-income families. If they do, we will find more people on the streets." Jean Ross, executive director of the California Budget Project, a think tank focused on how budget policies affect low-income Californians, was similarly critical of the proposals for CalWORKS and in-home healthcare. But she said the administration was justified in pushing for more federal dollars. "There is a strong case not only here in California but across the country for continued federal aid to the states," she said. "Absent additional assistance we could see state governments prolonging the national economic downturn by continuing to cut their budgets." Schwarzenegger's pitch for federal assistance will hit on familiar themes: Californians pay substantially more in federal taxes than make it back to the state, the crushing burden of unfunded federal mandates, the way funding formulas have made it impossible for the state to trim certain programs. The governor sent a letter to the state's congressional delegation Tuesday night in which he demanded more money for federal healthcare programs for which the state is paying part of the tab. He warned that the historic healthcare reforms poised for passage in Congress may add to the burden, costing the state as much as $4 billion annually. Senate President Pro Tem Darrell Steinberg (D-Sacramento), in an interview last week, said: "I'm planning to spend a lot of time in Washington. I have to. . . . The national economic recovery is tied to California's economic recovery." California's budget deficit has grown so large -- roughly 20% of the general fund -- that some measure of cuts to social service programs may be inevitable regardless of how Washington responds. Big business may also take a hit. The governor is prepared to support rolling back two large corporate tax breaks that GOP lawmakers inserted into recent state spending plans. The $1 billion in mass transit and other transportation money the governor will propose raiding is supposed to be off limits to the state for plugging budget gaps. Court rulings have declared previous attempts to get at it illegal. The administration will seek to get around those rulings through a complex gas tax swap. As part of the scheme, an existing sales tax on gasoline would be eliminated and, at the same time, a new per-gallon excise tax would be imposed. The price at the pump would drop about 5 cents per gallon The shift would gut a voter-approved measure, Proposition 42, that protects how current gas taxes are spent. Public transit -- buses, rail and other forms of mass transportation -- now receives 20% of all gas sales tax. After the tax swap, that requirement would disappear. The tax swap could also cost schools -- as it would result in the share of tax revenues they are entitled to under state law dropping by more than $800 million. Jim Earp, executive director of California Alliance for Jobs, a group that advocates for public works spending -- including on transportation -- derided the plan as a scheme "to rob Peter to pay Paul." "We're not solving any problems. We're just moving money around from one cup to another," Earp said. One new source of revenue in the budget: Schwarzenegger will revive a plan to allow offshore oil drilling from an existing platform off the Santa Barbara coast. The proposal was so controversial during last summer's budget debate that after the Assembly voted down the plan, members expunged the vote, erasing it from the public record. Bill Magavern, a Sierra Club lobbyist, said the drilling proposal has already been rejected by the State Lands Commission, which typically has jurisdiction over such matters. "This would be the first new offshore oil drilling in state waters in decades," he said. "It is something that should be considered on the substance at the State Lands Commission. It should not be decided as part of budget politics." Schwarzenegger would count $200 million in revenues from the new oil drilling for the budget. Most of the governor's plans probably will confront stiff legislative opposition. That includes his proposal to continue the furloughs of state workers, which he implemented through executive order this year. "We need to find an alternative for one or two days," Steinberg, the Senate leader, said last week. "Beyond one day is just unfair and fiscally it doesn't make sense." shane.goldmacher @latimes.com evan.halper@latimes.com
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#1. To: TXBSAFH (#0)
It's hard to solve problems in California, where the schools and government unions are guaranteed something like 75% of all state income.
I wonder if Obama's new Governors Compensation Czar will cap Arnie's pay?
Since his salary is zero dollars per year, I don't think that's likely. How about a windfall profits tax on Palin's book?
The well run Red States will now pay for yet another Blue State failing.
----------------------------------------------------------- LOL! Nah, not my style.
I don't know if you've noticed, but all the states are having money problems. There ain't no more in the well. It's dry. Crank up the presses.
______________________________________________________________ tag ... you're it.
Had enough yet?
______________________________________________________________ tag ... you're it.
Really bugs a loser like you that she gets ten million to write a book and all you get is to post on an obscure web blog. Where everyone hates you. Loser.
You like taxes, don't you liberal little dick?
What's the difference between Racism_Boot's mouth and anal pore? There isn't any, they both spew gas and feces.
Is that so? You hear very few red states bitching and bellyaching.
What's the difference between Racism_Boot's mouth and anal pore? There isn't any, they both spew gas and feces.
Is that so? You hear very few red states bitching and bellyaching. I (sneakypete)DID Palin say or write these things or not? (Mad Dog) I don't know or F ing care.
More Proof that VD I mean BD is a democrat. yup Dems really hate citizens having money.
----------------------------------------------------------- Yeah, I'm having money problems too, I don't have billions to spend or piss away!
What's the difference between Racism_Boot's mouth and anal pore? There isn't any, they both spew gas and feces.
You want ME to pay fer Kalifornia's Marxist excess, do ya?! Hey Ahh-nold, GO F*** Yerself!! Sheeesh, RINOS PISS ME OFF...MUD
"Devolve Power Outta the Federal Leviathan and Back to the States, Santa delivered a copy of "Going Rogue" to me fer Christmas...I'm still just barely a coupla chapters in, but it's been a great read so far. Do you recall if you were proposing a windfall profits tax on Barry Hussein's book profits? Nawww, I didn't think so, Lefty...MUD
"Devolve Power Outta the Federal Leviathan and Back to the States, I believe Arnold isn't collecting a paycheck from the state.
California sends $685 per capita more money to the federal government than it gets back in spending; while Alaska gets $2,091 more per capita from Washington than it sends. http://www.allbusiness.com/accounting/budget/836054-1.html (scroll to the charts at the bottom to see if your state is a net welfare recipient or contributer) In addition, California is the only oil producing state that does not collect a severance tax on oil extracted in the state. Palin's tax rate of 25% would generate $4 billion at a $70 price and nearly $8 billion at the top. http://www.latimes.com/business/la-fi-hiltzik15-2009jun15,0,679458.column No wonder Sarah says "drill baby, drill". A 25% tax on the market value of a barrel of oil might change the minds of Californians to expanded drilling. Just a thought.
That stupid cow got $10 million? Care to back that up with anything but your mouth?
while Alaska gets $2,091 more per capita from Washington than it sends. Are all the California illegals included in the California numbers? The federal government controls the majority of the land mass in Alaska.
Sneakypete, have you ever been married? Said things you later regretted?
Got anything to back that up with besides your mouth, little dick? What are you, a fookin fag?
Sneakypete, have you ever been married? Said things you later regretted?
I believe Arnold isn't collecting a paycheck from the state. Yes, I'm aware of that. I was making a joke, but evidently not a very good one.
Why do you support the same foreign policy as George Soros?
"We're not solving any problems. We're just moving money around from one cup to another," Earp said.
#2. To: TXBSAFH (#0)
and appeal to Washington for billions of dollars in federal help
#3. To: We The People (#2)
I wonder if Obama's new Governors Compensation Czar will cap Arnie's pay?
#4. To: TXBSAFH (#0)
Toss: ADL,CAIR and the Vatican into the pit they belong in.
#5. To: Bickus Dickus (#3)
How about a windfall profits tax on Palin's book?
#6. To: WhiteSands (#4)
The well run Red States will now pay for yet another Blue State failing.
#7. To: All (#0)
One new source of revenue in the budget: Schwarzenegger will revive a plan to allow offshore oil drilling from an existing platform off the Santa Barbara coast. The proposal was so controversial during last summer's budget debate that after the Assembly voted down the plan, members expunged the vote, erasing it from the public record.
#8. To: Bickus Dickus (#3)
How about a windfall profits tax on Palin's book?
#9. To: Bickus Dickus (#3)
How about a windfall profits tax on Palin's book?
#10. To: Wood_Chopper (#6)
I don't know if you've noticed, but all the states are having money problems.
#11. To: Ibluafartsky (#10)
I don't know if you've noticed, but all the states are having money problems.
don't know if you've you haven't noticed, but all the states are having money problems.
#12. To: Ibluafartsky, Bickus Dickus (#9)
How about a windfall profits tax on Palin's book?
Toss: ADL,CAIR and the Vatican into the pit they belong in.
#13. To: Wood_Chopper (#11)
I don't know if you've you haven't noticed, but all the states are having money problems.
#14. To: TXBSAFH (#0)
Localities, and Individuals as Prescribed in the US Constitution."
#15. To: Bickus Dickus (#3)
"How about a windfall profits tax on Palin's book?"
Localities, and Individuals as Prescribed in the US Constitution."
#16. To: We The People (#2)
I wonder if Obama's new Governors Compensation Czar will cap Arnie's pay?
#17. To: Mudboy Slim (#14)
You want ME to pay fer Kalifornia's Marxist excess, do ya?!
#18. To: jtidsguy (#8)
Really bugs a loser like you that she gets ten million
#19. To: lucysmom (#17)
California sends $685 per capita more money to the federal government than it gets back in spending;
#20. To: Bickus Dickus (#18)
That stupid cow
#21. To: lucysmom (#16)
I wonder if Obama's new Governors Compensation Czar will cap Arnie's pay?
#22. To: jtidsguy (#8)
Really bugs a loser like you that she gets ten million to write a book and all you get is to post on an obscure web blog. Where everyone hates you. Loser.
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