Schwarzenegger releases budget with tax hikes, spending cuts

Gov. Arnold Schwarzenegger released a new budget plan to deal with a $41.6-billion budget deficit, saying tough action is needed to avoid a financial meltdown.

The governor's proposal would increase taxes and other revenues by $14.3 billion. It would cut spending by more than $17 million over 18 months.

State budget officials said California is running out of money and urged the Legislature to act quickly.

The full budget proposal can be found here.

-- Times Staff Writers

Comments

[Special K]

Schwarzenegger releases budget with tax hikes, spending cuts
11:23 AM, December 31, 2008
Gov. Arnold Schwarzenegger released a new budget plan to deal with a $41.6-billion budget deficit, saying tough action is needed to avoid a financial meltdown.

The governor's proposal would increase taxes and other revenues by $14.3 billion. It would cut spending by more than $17 million over 18 months.

State budget officials said California is running out of money and urged the Legislature to act quickly.

What about the other $10 million?

[H]

Reading the full article is rather maddening. A sharp hike in a sales tax that is already among the nation's highest, especially in L.A. where our sales tax is higher than other parts of the state? Education cuts and cuts that disproportionately affect the poor? What kind of solution is this? Why is the Governor proposing to wring every last cent from the people who can afford it least? In these economic times all of the people these cuts affect are the ones most effected by the downturn. They already are trying to get by on less and you want to take more? I suppose it's no big deal for the Governor and his family, who don't have to worry about their next meal or agonize over winter coats for the kids versus eating versus paying the heating bill. As for the education cuts, hasn't the state's education system suffered enough? We used to have one of the best and now it's an absolute joke. Is it really wise to remove yet more money from a system that is serving even more students? Let's not forget that the same vehicle license fee he is talking about raising is the same one that helped get him into office when he promised to rescind it. Come on, Sacramento, get real. It's time to take a hard look at yourselves and figure out some ways to cut back. We all know there is a lot of money floating around that you can cut out before you take the rest of us to the poorhouse!

[Cindy Randall]

Why don't we look at California spending on a different tack. Why don't we look at the spending CA does, the reibursables to government officials, the exhorbitant prices the government is charged for contracts. Whose paying the lunch and dinner bills of officials who believe spending $80.00 on a bottle of wine is a necessary expenditure? Let's look at the salaraies and the ridiculous spending of the LAUSD school system which is a complete wreck. I bet more could get done with less people on the state tit. Where is an overall audit of what is happening in government spending? It perplexes me that the people who say a budget can't be completed are probably the worst of the spenders. Why don't we check them out for a change.