California facing higher $16 billion shortfall

Sat, 05/12/2012 - 17:39 EDT - Yahoo! Business News

YahooBizNews

California's budget deficit has swelled to a projected $16 billion — much larger than had been predicted just months ago — and will force severe cuts to schools and public safety if voters fail to approve tax increases in November, Gov. Jerry Brown said Saturday.

Original article
Login or register to post comments

California Deficit Soars to $16 billion; Governor Brown Threatens Public Education Unless He Gets "Temporary" Tax hikes; How Brown Ruined California in His First Term; Four Point Solution
California, like Greece is perpetually in fiscal trouble. Overoptimistic revenue forecasts coupled with spending $2 billion more than expected has California in a deep hole. Governor Jerry Brown has the same non-solution as ever, hike taxes. Brown wants a "temporary" (as in seven years) tax hike. Given we all know there are no such things as temporary tax hikes in California (seven years is permanent enough in the first place), and also given the California school budget needs an axe, the I say let him.
17 States Still Project Budget Deficits (It Will Get Much Worse); Moving Targets and the Slowing Global Economy
State economies have partially recovered from the depths of 2009 and early 2010, but 17 states still project deficits. Moreover, there are no rainy day funds or untapped revenue sources, and some "temporary" tax hikes are set to expire. California is $13 billion in the hole but that is a huge improvement compared to the $40 billion hole previously. Yahoo!Finance reports State revenue rises, but not enough to offset cuts
S&P Gives California Governor Jerry Brown An 'A'
Standard and Poor's upgraded California's credit ratings to "A" from "A-" thanks to its improving fiscal and revenue outlook. The agency cites Gov. Brown's budget accomplishments as a key reason for its upgrade:
Amid budget cuts, Calif. Gov. Brown still dreaming (AP)
Brown warns of school cuts if taxes rejected (AP)
Calif. Gov. Proposes Cuts,Taxes To Close Budget Deficit
California is facing a huge budget deficit. In his State of the Sate speech, Governor Jerry Brown urged lawmakers to let the state's voters decide on his budget plan. » E-Mail This » Add to Del.icio.us
California Dems eye Internet tax in budget plan (Reuters)
Brown seeks 5-year extension of California taxes (AP)
California Governor Jerry Brown to sign budget Thursday (Reuters)
Brown seeks 5-year extension of California taxes (AP)

Main menu

Secondary menu

California facing higher $16 billion shortfall

Related

Latest

User login

Our Blog

Markets Map

Follow Us

Secondary menu