Sacramento Bee–Going Broke: State's a wreck ”“ can it be fixed?

Three inarguable facts dominate California’s system of financing state government:

”¢ It’s a mess.

”¢ It’s currently a mess in large part due to the deepest and most pervasive global recession since the Great Depression of the 1930s.

”¢ It’s been a mess for much of the past three decades because the combination of an out-of date tax system, reckless spending and fickle voters has made state government extremely vulnerable to the ebbs and flows of the economy.

While there’s not much the state’s elected leaders can do about the worldwide economic woes, they have tried for decades ”“ mostly unsuccessfully ”“ to wrestle with the triple threat of taxes, spending and ballot-box budgeting.

Read it all.

Posted in * Economics, Politics, Economy, Politics in General, State Government, The Credit Freeze Crisis of Fall 2008/The Recession of 2007--

13 comments on “Sacramento Bee–Going Broke: State's a wreck ”“ can it be fixed?

  1. Chris says:

    the last line af this really gets to the crux of it: politicians either don’t want to or don’t know how to say no to more spending. And until we get a majority who know how or want to, nothing is going to substantively change.

  2. Ken Peck says:

    [Comment deleted by Elf]

  3. Ross says:

    [Comment deleted by Elf]

  4. Already left says:

    A great deal of the budget problem lies in union contracts to pay retirements that are way above anyone else in the country. Until the state says “no” and renegoates these contracts, the state will continue to “slide” into bigger and bigger debt.

  5. Sick & Tired of Nuance says:

    The state should declare bankruptcy and renegotiate all contracts. They can also cull the ranks of those on the payroll that are chronic underachievers through RIFs and layoffs. They can also re-evaluate their priorities, as outlined by their constitutional requirements, and adjust funding to completely provide for the essentials FIRST, and then decide what extras they want to fund.

    I think it’s great that the people of California have direct influence on the budget and taxes. I wish my state had that. Last I heard, we were supposed to have a government that governed by the consent of the people…not one that dictates from on high to the people.

  6. The_Elves says:

    [We encourage commenters to consider the effect which their comments have on readers who come here to read and to learn, many of whom do not comment. We receive regular complaints from them about the standard of some commenting. Knee jerk comments suggesting that states should sink into the the ocean with their populations and that people should be thrown out of work do not read as particularly Christian. Most such comments trace back to a handful of commenters and we would encourage you to think before you post. In the event that standards do not rise we reserve the right to consider placing particular commenters in moderation if they cannot be trusted to post straight to T19 without further warning]

  7. Sick & Tired of Nuance says:

    Hi Elves,

    I actually work for the government. I know first hand that there are some folks in government that are “chronic underachievers”. What I wrote was that this was an opportunity to separate them from public service. I was not suggesting the wholesale layoff of multiple workers…that would be catastrophic. Most of the folks that I have had the privilege to work with in government service are outstanding workers with a heart for public service. Chronic underachievers increase the workload on their fellow workers, deny the public the service they pay for, and bring dishonor to the institution that they work for.

    I’m sorry if my comment seemed harsh. Folks should know that it is very difficult to remove a government employee once they are vested. They will receive multiple opportunities to amend their behavior and improve their performance, as it should be. However, the system is unwieldy when it comes to actually removing a worker that isn’t doing their job properly and that has not corrected or improved their performance. My comment was directed at that specific situation as indicated by my use of the phrase “[b]chronic[/b] underachievers”.

    Is it Christian to support the continued employment of chronic underachievers, that have been given multiple opportunities to improve their performance and have not, at public expense; all while there is massive unemployment and there are literally dozens and dozens of workers that would jump at the chance to have the chronic underachiever’s job opportunity? Personally, as a government worker, I have received awards for superior performance for the past 7 years straight, including a regional award, and multiple awards prior to the last 7 years. It is frustrating to see some few skate by in the system, while giving all government workers a bad reputation.

    Clearly, California is suffering from severe financial constraints and the contracts that had been negotiated during times of relative prosperity are captive to the conditions at the time they were written. Things have changed dramatically. I think it is far better to renegotiate a contract than to have draconian and indescriminate cuts across the board or the entire shutdown of the government.

    All that being said, I will however, do my best to keep in mind how my comments will be perceived by others reading the blog. Was there a specific complaint about what I had written? I will do my best to clarify and explain my position.

  8. Sick & Tired of Nuance says:

    BTW…I am open to coaching and moderation. It is not my intent to cause distress or anger. Only a fool despises correction. I welcome your advice and corrections and gladly accept your decision if I need to be one in moderation.

  9. The_Elves says:

    #7/8 We thank you for your understanding – please understand that tone matters as well as content – Elf

  10. Jeffersonian says:

    Politically, it’s going to be a challenge to extract California from this mess. The state has been largely captured by the tax-consuming class, and the tax-paying class is abandoning the jurisdiction. Since California can’t print money, it will be interesting to see what this laboratory of democracy will do to resolve the issue. The rest of us had better pay attention if we are to avoid the same fate.

  11. Chris says:

    it is indeed fascinating how quickly California envy by the rest of us has turned into California pity.

  12. Ross says:

    Elves: my apologies for responding inappropriately. A reminder not to post when feeling cranky!

  13. Daniel Lozier says:

    State officials continue to threaten cutting schools, police, fire fighters, and other primary purpose for a state government. Additionally, they propose letting out 25,000 prisoners. If they cannot, we the people must cut state government employees. AND, most importantly, we must pass a State Proposition limiting both the Legislators’ to a part-time combined 90-day period along with their compensation. If Texas can do it, WITHOUT state Income Tax, so can California. We did it up until 1962, and we can do it again. They sit around thinking up new stupid laws while not enforcing the ones already on the books. The only time I feel truly safe these days is when our Federal and State Legislators are on break.