Originally posted by: eskimospy
Originally posted by: Common Courtesy
The locals can generate their own revenue via leveys if they choose to.
Funds already being collected that are supposed to be coming back from the state are not.
Apparently, up to this point the state was able to coverup the fact. Now they are refusing to return the collected funds back to the locals and are punishing the people also as a penalty.
California as a whole is going to have to get their ducks in a row and decide how they are going to determine priorities.
The politicians are forcing the people to come to the realization that spending can not continue at the level it is with the revenue currently available. It will affect state services, local services or both. The state being in control, is ensuring that the most visible impact to the general population will be affected first; even though it may have the smallest and easily remedeed impact.
Just how much money do you think towns are going to be able to raise by local levies?! Are you crazy? That will never happen in any government, anywhere. As for California's rate of spending, you aren't understanding the fundamental nature of California's tax base. When the economy rebounds California will have a huge tax surplus. For like the 20th time, it's not a question of 'living within your means', it's that it's impossible to plan for what your 'means' will be. I'm not sure why it's so hard for people to understand this.
I don't think you are aware of just how low property taxes in California are. California is 46th out of 50 for property tax revenues, taxing at a rate almost 1/4 of high property tax states like Texas. You can't fund schools that way, not in a million years.
Texas does not have an income tax. Sure, CA has lower property taxes, thanks to the one smart thing people there have done (prop 13), but they are still taxed at an overall higher rate than other places. CA didn't all of a sudden start running a deficit last year when the economy went south -- they were running a massive deficit before that, and have been for a while.
From this website.
California's state spending has ballooned in the last decade at a rate much higher than the rate of inflation and rate of population growth in the state. According to Tom Campbell, California's finance director in 2004-2005, if the 1999-2000 budget of former California governor Gray Davis had been increased over the next decade by a factor representing the inflation rate and California's population growth in that time, California would now be experiencing a budget surplus, rather than a deficit even with the recent revenue decline due to the state's economic recession. Instead, California has had a 50% spending increase over the past five years.
In other words, your argument that it's really an issue of timing and tax base stability versus overspending doesn't hold water, they've simply increased spending way too much.