A California Republican

The California state budget is $8 billion in the hole - already. It turns out that personal and business tax returns were not as high as the budget solution predicted.

Everyone could have told you this would be the case. In order to create a budget that works, you need to predict low. Then when the reciepts come in a little higher you can not make as many cuts or tax increases as possible. Yet, here we are again, hearing the message that California lawmakers cannot create a budget that is in balance.

Now we are hearing that we will not get as much federal stimulus money for the General Fund as was thought. That is no bad thing. Money that goes into the General Fund will be spent how the California lawmakers want, rather than on stimulus items. Federal stimulus money that is earmarked for projects will be spent on those projects - which will be a better stimulus.

Who trusts the California lawmakers anymore with their money? They couldn’t balance a budget, even knowing the $40+ billion hole they were in. It turns out that their solution wasn’t a solution at all - it was a stop-gap measure so that they could say they had a solution. Why should they be trusted with federal dollars - which are paid for by taxpayers - when they cannot work effectively with California dollars?

In any case, there is now an $8 billion hole, and that will only grow each say there is no solution to it.