State Assembly Speaker John A. Perez on Tuesday outlined an alternative path to balancing California’s budget that would raise oil taxes, delay corporate tax breaks and borrow billions from the nickel-and-dime deposits consumers make on recyclable bottles — and would not require any Republican support.
At the heart of the proposal is the idea of raiding the state’s bottle deposits for the next 20 years and then getting an $8.7-billion loan from Wall Street. The programs currently funded by bottle deposits would be reimbursed by a new tax on oil production.
Perez (D-Los Angeles) called his budget plan a “unique and creative approach.” A spokesman for Gov. Arnold Schwarzenegger called it “legal gymnastics.”
It’s come to this? A once great state might be reduced to making money from returned to make ends meet? If so, does this make California a bag lady?
ooops. might be reduced to making money from returned bottles
Next time I will preview.
Well, the house is on the market and an offer accepted – heading out from California this summer, hopefully, before it gets too bad. Taxes are sky high and no elected representatives seem to have a clue.
Tax increases – OK!
Borrow $$$ – OK!
Cut spending – Oh, the humanity!! No way!! Can’t be done!!
LOL, old habits die hard. Who is still fool enough to loan to this state?
Wonder what CA debt rating is?
Kalimera, California!
Re # 6
Palagious
[blockquote] Wonder what CA debt rating is? [/blockquote]
Standard and Poor’s gives CA an A- on its bond rating with a negative credit watch. This means they believe there is strong possibility of future downgrades. California currently has the worst bond rating of any state in the country.