California nears financial "meltdown" as revs tumble

California nears financial "meltdown" as revs tumble

news.yahoo.com

SAN FRANCISCO (Reuters) – California's government risks a financial "meltdown" within 50 days in light of its weakening May revenues unless Governor Arnold Schwarzenegger and lawmakers quickly plug a $24.3 billion budget gap, the state's controller said on Wednesday.

Underscoring the severity of California's cash crisis, Controller John Chiang, who has previously warned the state's government risks running out of cash without a budget deal, said revenues in May fell by $1.14 billon...

(visit the link for the full news article)

As a resident of California I think it is ridiculous that my state cannot balance it's own books. We are larger than most countries, and yet pay for no army/navy/etc.
Our roadways are a mess and littered with potholes...remember several years back when we had those electricity blackouts?
Why can't California survive? Too many social programs? Too many people being over-paid to cover the expensive cost of living?
Our legislators make more than any other state legislators, and we had hundreds of state organizations, associations, etc. and I bet most of them are making 100k/year.
Our sales tax was increased and we are going to see utilities, gas, foodstuffs, and everything else increase...When will enough be enough, and when will the California people finally realize they can no longer afford to pay these people in the capitol?

news.yahoo.com
(visit the link for the full news article)

California and Arizona

The border fences needed to be walls and the congress should have approved landmines in case they managed to jump over. Thats the truth and I dont give a damn what anyone else thinks.

Well I wish you and your family well, but I hope the government does not bail out Cali. I think it might be a good example for the rest of the country on what happens when a large government runs out of money.

Well having said that I just realized that I have proven that Obama will bail them out to save his own skin.

Why not start a petition to set the limit on state congress pay limits?
Have it set up for the next vote. Also include inderect income from Board of directors income etc.

The 'vote' is the only way to peacefuly weed out the people that are only into it for the money/power.

Why oh why did I ever leave California behiind as a bad memory in the late 70's. Oh, yeah. Cuz it sucked! And it's even worse now. I feel sorry for the common people there. No, that doesn't include the illegals. And that doesn't include the Hollywood elite. The money that comes to the Hollywood elite could surely put to rest some of the financial problems of
California. Yet, the money does't flow freely from the coffers. For every Hollywood elitist who proclaims Obama and socialism as great, then I say, put your money where your mouth is. Give it all up. Sell your house and move into a small house, fire your drivers and your maids and nannies. Give it up!!! I don't have what you have so you must have to much, eh? Hah. It never happens. When Phil Donahue, for example, lives in a 1700 sq. foot house with me and my 6 member family, and doesn't turn on his
A/C because it costs too much, then I will listen to him.

Maybe if the state declares bankruptcy they could rework all of the state salaries and legislators salaries.
Bailing out Cali will only keep the corrupt in power and keep the shenanigans rolling

Ya know my first reaction to this was...Yeah, so what... then I remembered something I saw on TV a few days ago... this analyst going over worse case pointed out California... stating it held 10% of the countries wealth, so if California were to fall the rest of the country would soon follow... Guess we have less than two months to see if that prediction comes true?

California's main problem was and is its size of government and bureaucracies.

It should stand as a great example and warning to the Obama administration.

Too big to fail?

Change those words to; Too big will fail!

When California was in better times, if they had been more conservative, and reduced the size of government, cut costs and spending across the board they would have been prepared to handle a recession with surplus funds.

Maybe their ultimate failure was in thinking that they could continue to grow the government and spend spend spend despite declining revenues.

It is exactly what the Obama administration and majority ruled congress are doing now at the federal government level, it is doomed to fail.

You can't keep borrowing money to spend while your income is decreasing and not expect default and bankruptcy at some point. Failure is certain.

That applies to all, governments included.

Originally posted by kyred
Why oh why did I ever leave California behiind as a bad memory in the late 70's. Oh, yeah. Cuz it sucked! And it's even worse now. I feel sorry for the common people there. No, that doesn't include the illegals. And that doesn't include the Hollywood elite. The money that comes to the Hollywood elite could surely put to rest some of the financial problems of
California. Yet, the money does't flow freely from the coffers. For every Hollywood elitist who proclaims Obama and socialism as great, then I say, put your money where your mouth is. Give it all up. Sell your house and move into a small house, fire your drivers and your maids and nannies. Give it up!!! I don't have what you have so you must have to much, eh? Hah. It never happens. When Phil Donahue, for example, lives in a 1700 sq. foot house with me and my 6 member family, and doesn't turn on his
A/C because it costs too much, then I will listen to him.

I'll go ahead and re-post some of what said elsewhere on ATS.

I left CA almost 4 years ago for numerous reasons, one of them being that I could see this all coming, but didn't expect it to arrive this quickly.

The problem for CA was that it tried the "nanny state" experiment and failed.

The other problem leading directly to this fiscal mess is that net payers of taxes - such as myself - have already left or are leaving the state while net users of tax money - illegals and the poor - are coming in to CA with their high birthrates. It shouldn't take a rocket scientist to do the math on this one and see that it will only accelerate and get worse.

Originally posted by AnonymousMoose


As a resident of California I think it is ridiculous that my state cannot balance it's own books. We are larger than most countries, and yet pay for no army/navy/etc.
Our roadways are a mess and littered with potholes...remember several years back when we had those electricity blackouts?
Why can't California survive? Too many social programs? Too many people being over-paid to cover the expensive cost of living?
Our legislators make more than any other state legislators, and we had hundreds of state organizations, associations, etc. and I bet most of them are making 100k/year.
Our sales tax was increased and we are going to see utilities, gas, foodstuffs, and everything else increase...When will enough be enough, and when will the California people finally realize they can no longer afford to pay these people in the capitol?

news.yahoo.com
(visit the link for the full news article)

California needs to understand that it represents the eptiomy of AMERICAN CONSUMERISM -

end of discussion .

p.s.

Enron, arlnold, etc,etc - wankers.

[edit on 11-6-2009 by audas]