The state budget crisis has been quiet for the past few months but will return to center stage this week as Gov. Arnold Schwarzenegger prepares to belt out some bad news.
The governor is scheduled to release an updated budget plan Friday that will probably include even deeper cuts than those he proposed in January, when he called for reductions in health and human services, prisons, education and state worker pay, among other areas.
Source
Noted in the article, it's a $20 billion deficit, there's no way to raise taxes as it requires a 2/3 majority vote in the legislature to pass any budget (seriously, this is a bad structure), state revenues are expected to be lower than originally projected, federal help has been smaller than anticipated. Oh, and apparently most of the options to close the deficit were used last year. Anticipated cuts will be 'harsh'. Wow.
Did I mention that the recession is supposed to be over? Hooray recovery!
Posts
No comments:
Post a Comment