California’s fiscal picture has largely worsened since January, when finance officials projected the state would face a deficit of $22.5 billion. Gov. Gavin Newsom called it a “modest shortfall” and proposed to delay billions in spending commitments, reverse recent steps to shore up the state’s fiscal health and shift around funding sources to limit program cuts. On May 23 Newsom said, “We have a $31.5 billion challenge, which is well within the margin of expectation and well within our capacity to address.”
What? “Well within the margin of expectation”? What does that mean? We were expecting the deficit to increase $9 billion between January and May? And what is he doing about it except move money around, cut services that would HELP THE MIDDLE CLASS, and put some of it off until the next budget!
According to the Associated Press: “Newsom, a Democrat in his second term, proposed no major tax increases for individuals or spending cuts across the state’s most important programs, including those impacting public education, health care and homelessness. His plan would cut spending by about $10.6 billion — about $1 billion more than what he proposed in January — while covering the rest of the deficit through a combination of borrowing and delaying some spending while shifting other expenses to different sources. Unlike the federal government, California must pass a balanced budget every year — meaning the state’s revenue and expenses must be the same. Newsom’s budget is balanced this year. But in the future, it would commit the state to spending more money than it is projected to have. Under Newsom’s plan, the deficit would be $5 billion next year and grow to $14 billion by 2027.”
What? Balanced this year? Now I may not be a genius, but a $5 billion deficit next year does not sound like a balanced budget to me. What am I missing? What kind of mumbo jumbo is this? It is all smoke and mirrors, that’s what!
And, are you ready for this? This man is in line to be our next president!
If he can do this kind of budgeting for California, I can’t even begin to imagine what he would do with a federal budget. Think about it when you vote!
Ron Perry
Canyon Country
