Tag Archives: california budget economy

Just Say No To The Backroom Budget Deal For California

Thanks to all for the effort in putting a deal together at last, and the stressful circumstances are understood. But the budget deal on the table now is unfortunately a big mistake and needs every NO vote it can get.

As information about the budget package being considered slowly leaks out, many of us out here in Average Voterland are unpleasantly surprised by what we are hearing.

What don’t we like?

1.  This is an all-cuts budget.  But we are not in boom times.  All-cuts, especially cuts which strongly affect the poor and the middle class, are the most likely chosen response to a deficit to fuel demand destruction.  One look at our unemployment rate should be enough to remind us all that this is not the time for Herbert Hoover Economics!  Why would we want to do anything to worsen the recession we’ve already got?

2.  This may be shocking to hear, but some of us have morals.  Not everyone you hear talking about turning the other cheek, karma, religions which command caring for the poor and the sick, and the value systems of those who simply care about ethics, are just saying the words without doing the deeds.  There really are Californians who do NOT wish to see harm come to the poor, the sick, the frail elderly, children, the disabled, or any others who are vulnerable.  One of the many reasons for having civilization at all is to counter the brutality of “survival of the meanest” which we would have in a situation of anarchy.  We know that our state has one of the largest economies in the WORLD and so we do not need to balance our budgets on the very lives of those of us who need assistance.

3. Two other reasons we do not wish to see social programs slashed to the bone are:  Firstly, enlightened self-interest.  “There but for the grace of God go I.”  In this economy, with much of what is needed for survival in market failure (such as the health care market), most of us are on the edge of needing social programs ourselves.  I personally lost my private health insurance when I was diagnosed with an illness, so no one can even count on protection via such insurance.  Housing costs are still high compared with salaries and unemployment is affecting many…bankruptcy laws are harsher. We know that we want a net in place to catch us, or someone we care about, if we should fall.

Secondly, we do not want to see social programs cut below the limit which would guarantee us federal matching funds…which many times even pay for most of the cost of the program in question!  We send a LOT of money to Washington, D.C. and are in fact a “donor” state…we send in more than we get back.  We do not want to see this imbalance increased!  We want every single penny of federal money we qualify for, thank you very much.

4.  This budget deal contains oil concessions which are of concern.  The money promised to the state is a pittance compared to that which would be obtained with an oil extraction tax comparable to those which all of the other oil-producing states have.  Given that oil is a nonrenewable resource and that there are environmental dangers in its extraction, why should we give it away for so much less than it is worth?

5.  This budget raids local governments, which just passes on the deficit problem, since these governments are not basking in the light of surpluses themselves at the moment.  We especially do not want to see cuts in services like police and fire protection.  Many of us have noticed that the fire season is now all-year and that the climate is hotter and drier overall.  And since the money from the locals would be borrowed, there we go paying more interest again!  We are tired of the costs of borrowing just because an extremist minority of our citizens is screaming so loudly that even the smallest of new taxes is not needed.  They are misinformed, and our leaders need to calmly explain what the economic downturn and our peculiar tax structure has done to the state budget.

6.  This budget relies on more gimmicks that portend the need for more budget fixes relatively soon.  This is what the people have become weary of. No more boomerang deficits!  Let’s really FIX things, in a spirit of cooperation and compromise.

7.  Many people are virulently anti-tax because they have been told more taxes are not necessary; that there is still “waste” and “fat” etc. in government. They need their representatives to tell them the truth: that our generation has to pay its bills and cannot keep foisting our fiscal problems on to those who come after us.  Not only is this unfair, but with the costs of borrowing, it is in itself wastefully expensive.  The Magic Money Fairy is NOT coming, and no matter whose fault the deficit is, we have to pay our bills like responsible adults.

Admittedly it would help relations between government and the people if perks such as free cars were eliminated, as at least a gesture towards shared sacrifice.  

8.  Many people are angry because they believe the presence of illegal immigrants is a serious drain on state resources.  We all need accurate information now on whether or not these immigrants are a net cost or net drain to our economy.  If it proves that they are in fact a drain (something not at all certain) the place to go is to their employers, not to cut services to our citizens in retaliation for their presence.  And no matter what, for obvious reasons, we must treat communicable disease immediately no matter who contracts it.  This budget does not address any of the concerns California citizens have on all sides of this hot-button issue.

9.  Raising the cigarette and alcohol taxes are favored by many and this budget does not do this.  Probably most would even favor legal marijuana smoking in indoor bars, with windows closed, no children allowed, and a hefty license fee for the premises! With of course tax on the substance (but federal law might make this impractical.)  It would put some gang members out of work but we can live with that.

10.  No effort to rescind the recent tax cuts for corporations is puzzling given the state’s fiscal troubles.  The budget deal certainly does not provide any special help for small business.

11.  One reason some businesses have stayed in our state is to draw on the pool of talent of our educated graduates.  Slashing education eventually hurts business, increases dependence on social programs and crime when the undereducated can’t find jobs, and hurts our state’s chances to succeed or even survive in the 21st century economy.

12.  We are tired of partisan gridlock and extremist positions.  If a representative really feels they can’t negotiate they need to step down and let someone who can do the job.  Getting To Yes isn’t always easy but compromise is the first step.  We all have to do it every day.

13.  Yes, Thirteen.  We passed Prop. 13 to help homeowners.  We still would like to keep property taxes lowered for homeowners, with other expenses such as electricity and transportation in CA being so high…the less who lose their homes, the better for our economy and our society.  We might want to make this more fair for younger people than 13 permitted.  But we didn’t pass 13 to erase the funds our schools counted on getting from commercial property owners, nor did we want to be one of only 3 states to have a 2/3 of the legislature voting requirement to pass a budget! or to implement a tax or even rescind a tax cut.  The dependence on income tax has given us a boom/bust budget cycle that has worn us all out.

We voters are more moderate than the extreme positions we see in the media, but most of us are busy working or looking for work and do not have the time to be doing point-counterpoint on the internet!   We rely on the representatives we vote for and pay for to strive for moderate, balanced, reasonable, and fair solutions to all problems, including fiscal ones.  This current budget deal does not achieve these goals and is not the kind of thing we want to see passed.

I know that I need, but can’t afford, bifocals.  Welcome to my forties.  Also I am new to this site and apologize in advance for clueless n00b mistakes.  Thank you for reading.  

More info at: http://web.mac.com/calibeep/Si…

If any of the above talking points is something you care about, please call your legislators now and ask them to vote NO on this budget deal!

Find your legislators: http://www.legislature.ca.gov/…