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I'm confused - I thought California had a record $100B budget surplus just last year? https://www.nytimes.com/2022/05/13/us/california-budget-surplus.html http

I'm confused - I thought California had a record $100B budget surplus just last year? https://www.nytimes.com/2022/05/13/us/california-budget-surplus.html https://www.nytimes.com/2022/05/13/us/california-budget-surp...

armchairhacker 4y ago
> California recorded a nearly $100 billion state budget surplus last year, thanks to the state’s top earners, that could have been used to repay the debt. The state received $27 billion in federal COVID aid it could have used to repay the debt. The state’s record $300 billion–plus 2022–23 budget could have retired the debt. Even after defaulting, the state could have resumed its payments this year and offset the tax burden on businesses, as it planned to do in its 2023–24 budget. But as the state’s finances continue to decline, the state has walked back making payments or offsetting higher business federal unemployment insurance taxes. Idk what California's argument is for why they aren't paying
dragonwriter 4y ago
> I’m confused - I thought California had a record $100B budget surplus just last year? It had a $100B projected surplus, which it couldn’t Constitutionally retain (or even spend, because of things like the Gann Limit on state appropriations), so it returned a whole lot of money to taxpayers through various credits and rebates.
- fxd123 4y ago
  Paying off debt is not retaining or spending.
  - hughesjj 3y ago
    You sure? ..I think we need the source law that prevents California from spending all it's surplus to be sure. If it does count as spending, then increasing the rate of employer taxes so that other programs don't suffer because companies asked Cali to take out loans on their behalf than it'd be fucking stupid, gross, and backwards AF not to raise employer taxes.
    - fxd123 3y ago
      > so that other programs don't suffer Other programs wouldn't suffer. CA had a large surplus. No cuts would be made...

armchairhacker 4y ago

> California recorded a nearly $100 billion state budget surplus last year, thanks to the state’s top earners, that could have been used to repay the debt. The state received $27 billion in federal COVID aid it could have used to repay the debt. The state’s record $300 billion–plus 2022–23 budget could have retired the debt. Even after defaulting, the state could have resumed its payments this year and offset the tax burden on businesses, as it planned to do in its 2023–24 budget. But as the state’s finances continue to decline, the state has walked back making payments or offsetting higher business federal unemployment insurance taxes. Idk what California's argument is for why they aren't paying

dragonwriter 4y ago

> I’m confused - I thought California had a record $100B budget surplus just last year? It had a $100B projected surplus, which it couldn’t Constitutionally retain (or even spend, because of things like the Gann Limit on state appropriations), so it returned a whole lot of money to taxpayers through various credits and rebates.

fxd123 4y ago
Paying off debt is not retaining or spending.
- hughesjj 3y ago
  You sure? ..I think we need the source law that prevents California from spending all it's surplus to be sure. If it does count as spending, then increasing the rate of employer taxes so that other programs don't suffer because companies asked Cali to take out loans on their behalf than it'd be fucking stupid, gross, and backwards AF not to raise employer taxes.
  - fxd123 3y ago
    > so that other programs don't suffer Other programs wouldn't suffer. CA had a large surplus. No cuts would be made...