California governor signs budget relying on taxes

[alp227]

Source: AP

Gov. Jerry Brown signed a new budget for California on Wednesday that relies heavily on voters approving his proposed tax hikes in November.

Democrats passed 21 budget implementing bills on a majority vote intended to satisfy the governor's demand for deeper cuts to close a $15.7 billion deficit, and Brown signed the main bill in the courtyard of his Capitol office just hours before a midnight deadline.

His staff was expected to detail line-item vetoes Thursday.

(...)

...the state would reduce funding for child care assistance while college aid under the Cal Grants program would be reduced beginning in the 2013-14 school year. Lawmakers targeted for-profit colleges such as ITT Technical Institute and University of Phoenix in requiring higher graduation rates to qualify for state aid.

Read more: http://www.sfgate.com/news/article/California-governor-signs-budget-relying-on-taxes-3665500.php

[IamK]

1. California is screwed in many way.... tough decisions

http://www.businessweek.com/news/2012-06-28/brown-closes-16-billion-budget-gap-with-tax-increase

California Governor Jerry Brown closed a $15.7 billion deficit for the most indebted U.S. state, putting his signature to a second consecutive on-time budget after decades of delays amid partisan battles.

The budget passed by the Democrat-dominated Legislature relies on higher taxes that voters have yet to approve. It taps funds intended for mortgage relief and counts on the sale of greenhouse-gas credits to polluting industries. State workers will take a temporary pay cut, and the poor will find it harder to collect welfare if they don’t try to get work.

The spending plan Brown signed late yesterday, combined with the tax increase, is aimed at ending years of persistent deficits. In February, Standard & Poor’s, which rates California’s credit the lowest in the nation, boosted its outlook to positive, saying the state was poised for an upgrade depending on financial improvement.

“My revenue proposal is fair and temporary,” Brown, referring to the tax increases, said in a statement. “Our state budget problem was built up over a decade, and it won’t be fixed overnight. These temporary increases will ensure funding for our schools until the economy improves.”

[permatex]

2. Just wondering

What happens if the voters turn down the tax inititives in Nov.?

[alp227]

3. Trigger cuts including shorter school year

[slackmaster]

4. But the high-speed train segment from nowhere to no place in particular will stay in the budget

Sparky the Alpaca in the Merced Zoo anticipates the flood of eager tourists.

[Throd]

5. You got a better way to go from Delano to Shafter at 200 mph?

[slackmaster]

6. I can only dream