It’s a year too late to save California from the dire consequences of the total failure of our elected leaders but the Sacramento Bee just reported there’s a state budget deal.
Here’s the Bee’s email alert, if anybody cares anymore:
Schwarzenegger have reached a tentative deal on closing the state’s
projected $40 billion budget gap, according to sources close to the
negotiations.
Staff members are still working out some drafting issues, one source said, but a vote is scheduled for Friday.
Details
of the pact are still emerging, but the plan involves tax increases,
cuts and borrowing. The state also stands to receive billions in
federal stimulus money as the package approaches closure in Washington.
On Tuesday, sources said the plan would raise sales
taxes by one cent on the dollar, increase income taxes across the board
and hike the vehicle license fee from the current .65 percent of the
vehicle’s value to 1.15 percent.
If this is the case, I think this may mean that I will be another tax-paying, law-abiding citizen that moves out of California because it has become unlivable. I received notice that my insurance premiums were being raised yet again. I also received notice that the two hospitals nearest me no longer accept Anthem, my insurance provider. My daughter’s school raised it tuition for the 4th straight year. This time they raised it 6%. I hear that my tax money is going to support some woman with 6 kids to have 8 more kids. I hear that some judge has ordered the state to release 50,000 prisoners. I had a flat tire this morning that was the result of a pothole because the roads I use daily are all crap. That’s it. I’m done. I think I’ll try to get out before the water rationing starts.
The political commentator for Channel 4 News pointed out that Gray Davis was recalled over DMV fees and taxes. Now Arnold has done exactly was Davis did.
What all Californians have to face is that the loss of property tax revenue due to plummeting home prices has to be compensated for somehow.
If they don’t raise taxes, CA will go bankrupt. Maybe some would prefer bankruptcy?
But I think raising the sales tax is still folly. That will hurt local retailers enormously and hurt the greater economy too. When stores close because customers won’t buy, that hurts the state budget further.
Raising the sales tax is a terrible idea.