http://money.cnn.com/2009/02/02/news/econo...sion=2009020215



NEW YORK (CNNMoney.com) -- Running short of cash, California has started delaying $3.5 billion in payments to taxpayers, contractors, counties and social service agencies.



With the governor and state lawmakers locking horns on resolving California's budget crunch, the controller Monday halted checks covering these obligations so the state could continue funding its school system and making its debt payments.





i know a couple of my school teacher friends are getting laid off too.

 

Yea i already posted some of this stuff in my blog, i've been trying to keep it out of the forums since i seem to get in all kinds of trouble, but since you were kind enough to make the topic I will reply.



Lots of states in trouble this year, they will look to the fed to run the printing presses and bail them out, will they? I have to think so, but I don't know, it will temporarily prop of the house of cards, it will increase our debt burden and it will ultimately bring about that inflation i have been warning of.



The 2 ton elephant in the room everyone is trying to ignore is the pension funds that have been DESTROYED. Half of all the wealth on the DJIA evaporate this year an absolute crapload of that was pension funds.... well funds. These pensions go STRAIT into the economy, retirees spend most if not all of their pension and they are a pretty significant portion of the economy, so what happens when are collecting half of their previous retirement or maybe even none of it?

 

I had a signature about this!

 

Thats brutal and pretty sad at the same time. Isn't California one of the more heavier taxing states as well? Meanwhile in Canada, our politicians are still accepting their pay raises, with the exception a few who have just delayed their increases.

The real question is whether government staffing and spending is excessive at the moment, will it trim fat or muscle. I know here we could probably cut 40% of the government out and it would still be business as usual for the majority of people. Hard to believe just 2 years ago, that was the land of milk and honey in the media.

 

the other thing that is going to hurt is that the govinator passed a carbon trading law, its basically a tax on business. when it became obvious that it was going to be a lot more expensive than they thought it was going to be and that the CARB study was totally bogus, the CARB just decided to ignore it.



so a 5 person panel, that is not elected can just decide the fate of the state



http://workingcalifornians.com/tags/carb

 

LOL our officials increase their pay more than doing anything else...

 

They decided the fate of the electric car way-back-when and that had a billion dollar infrastructure.

 

you gotta say it like Arnold!! "Kellyfornia"

 

Youu panzeh oot-AH-toner foreignazz GIT OUT O' MY STAYTE!!! NOWWW!

 

Ahnold would never chase taxpayers out of his state. He needs them. In fact, I bet there's barbed wire on the border. And guard towers. With snipers.