It’s What Ducheny Said, Not What Senate Democrats Propose

Sen. Denise Ducheny said a number of important things at the May 24 hearing of the Senate Budget and Fiscal Review, Subcommittee Number 5.

Unfortunately, Ducheny’s reasoned and revealing remarks were largely drowned out by a cacophony of carping by GOP lawmakers and others over the recommendation by Senate Democrats that 25 percent of the state’s $19.1 billion budget shortfall be filled with revenue rather than cuts in social services and health programs.     Read more »

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An Alternative Computation of the State’s Budget Shortfall

This is excerpted from the May 24 edition of Cal-TaxReports, published by the California Taxpayers’ Association:

What Is the True Deficit?

The $19.1 billion deficit estimate is comprised of a current year shortfall of $7.7 billion, a budget year shortfall of $10.2 billion and a reserve of $1.2 billion.

However, the estimate is based on the usual budget math of determining what the government would like to spend and comparing that to available revenue.    Read more »

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Unemployment Rate Unchanged in April — Still 12.6 Percent

California’s Nonfarm Payroll Jobs Increase by 14,200 Unemployment Rate Unchanged at 12.6 Percent

SACRAMENTO – “California’s unemployment rate was unchanged at 12.6 percent in April, and nonfarm payroll jobs increased by 14,200 during the month, according to data released today by the California Employment Development Department from two separate surveys.

The U.S.    Read more »

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June, Not April, Now the Month to Watch for State Revenue

While June has always been a significant month for state tax collections, it’s even more important in 2010 because of budget-related changes in the percentage of estimated tax payments Californians make each quarter.

Traditionally, April with its income tax deadline has been the state’s biggest revenue collection month.

About 50 percent of the state’s cash-starved general fund comes from income taxes, 17 percent of which are collected in April.    Read more »

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Increase Revenue, Preserve Welfare, Legislative Analyst Says

The Legislature should reject Gov. Arnold Schwarzenegger’s proposal to eliminate the state’s welfare program and childcare for low-income families, the Legislative Analyst said May 18 in an assessment of the GOP governor’s revised budget plan.

“This year’s budget situation may prove to be the most difficult in recent memory,” the analyst wrote.    Read more »

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Schwarzenegger Unveils Stark Budget Plan; Democrats Balk

Saying a budget should be a “reflection of what we in California value,” Gov. Arnold Schwarzenegger presented his final spending plan for the state, proposing to abolish the state’s welfare system which offers assistance to 1.4 million persons, two-thirds of them children.

Increasing the odds of a drawn-out budget battle, Democrats — who hold comfortable majorities in both houses of the Legislature — flatly refused to support any budget containing such a proposal and chided the governor for abandoning an earlier plan to delay implementation of more than $2 billion in business tax breaks.    Read more »

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Adding Up Possible Budget Solutions Still Leaves State Short

Adding up potential budget solutions still leaves Gov. Arnold Schwarzenegger – and lawmakers — a sizable hole to fill in the revised version of his budget the GOP governor presents May 14.

The likely size of the gap between revenues and spending commitments that must be closed is likely to be around $22 billion.    Read more »

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Is This a List of the Growth Industries of California’s Future?

A recent survey by the state Employment Development Department sought to determine how extensive the state’s green economy is.

Employers were asked how many employees performed various “green” jobs.

The list of jobs was extensive:

Soil and plant scientists, heating and air conditioning technicians, sustainable farmers, energy auditors, hazardous materials removers, recycling center operators mechanical engineers, insulation workers, sustainability planners, wind turbine technicians, biomass collectors, battery engineers, assemblers, alternative fuel vehicle technicians were a few of them.    Read more »

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One Look at the Growth of Green Jobs and Green Businesses

The state of California is in the process of creating a uniform definition of what constitutes the “green economy” or a “green job,” phrases routinely used by Gov. Arnold Schwarzenegger.

One of the sources the state is using is Many Shades of Green, a December 2009 report by Next 10, a Palo Alto-based nonprofit, which shows a 45 percent increase in the number of green businesses from 1995 through 2008 – from 9,000 to roughly 13,000.    Read more »

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Lay of the Budget Landscape as the May Revision Approaches

Due in part to lower-than-expected April tax collections, California now faces a budget shortfall of at least $22 billion, Gov. Arnold Schwarzenegger will announce when he unveils his revised spending plan on Friday May 14.

The GOP governor’s estimate of budget gaps has traditionally been larger than the Democratic majority Legislature because Schwarzenegger includes replenishing a reserve account to deal with unexpected disasters, economic and natural.    Read more »

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