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I'm skeptical of this. Here's the paragraph that concerns me. "Democrats, who initially sought tax increases, said they had managed to ward off cuts proposed
by TomOfTTB 17y ago
I'm skeptical of this. Here's the paragraph that concerns me.
"Democrats, who initially sought tax increases, said they had managed to ward off cuts proposed earlier by Republicans that would have been catastrophic to the state's social safety net."
Here's the problem. The only way they could both cut spending and "preserve the safety net" is to cut rates. Because the "safety net" is a series of programs and if they aren't cutting the programs they have to be cutting what they pay for the programs. Meaning they're planning to pay less to the agencies that service the children, elderly and mentally ill who survive because of the state's safety net.
But a look at any non-profit angency's books will tell you they barely get by as it is. So suddenly these agencies are on the verge of collapse which is something that simply can't happen. You can't have children, the elderly or the mentally unbalanced thrown out onto the street en masse.
So what happens? The state is forced to go over budget to keep these agencies alive. So they increase the rates, and we're back to the same problem. I'm as against tax hikes as the next guy but I suspect this resolution will be next to meaningless.
- ryanwaggoner 17y agoBut a look at any non-profit angency's books will tell you they barely get by as it is. So suddenly these agencies are on the verge of collapse which is something that simply can't happen. You can't have children, the elderly or the mentally unbalanced thrown out onto the street en masse. On the surface, your argument makes sense, but why is CA in such a bad position relative to other states? Other states tax at much lower rates and have managed to avoid the kind of catastrophic collapse that you're predicting here. Why?
- TomOfTTB 17y agoBecause we have too many government programs that pay out too much money. To give one example, if your old car won't pass it's smog test in California you're eligible for $500 of "repair assistance" from the government. So the state is basically paying to fix these people's car. It's these types of programs that need to be cut. That's really my point. The Legislature is so in love with all their little programs that they can't stand to cut any of them outright. So instead they're pursuing a scheme that will put vital social services in jeopardy and eventually end up forcing the state to go over budget (and hence not solve the problem)
- ubernostrum 17y agoWell, the legislature also doesn't have much power to tax and is obligated to continue providing programs passed by ballot measures. So it's not entirely their fault.
- ardit33 17y agoB/c probably bus cleaners and toll collectors don't make sig figures in other states. And pensions are not that generous. In CA, often people make in retirement about 90% of the salary of their last year of service. It is common practice to have people "promoted up" their last year of service, so they can enjoy their retirement at a higher rate. CA has been eroded with slow but systemic erosion from the inside.
- TomOfTTB 17y agoThe figure that always bothers me is California ranks 47th in school spending (http://edjustice.blogspot.com/2009/01/california-drops-to-47th-in-school.html http://edjustice.blogspot.com/2009/01/california-drops-to-47...) yet we rank 1st in highest average salary for teachers (http://teacherportal.com/teacher-salaries-by-state http://teacherportal.com/teacher-salaries-by-state). So basically our teachers live like kings while our schools crumble.