Showing posts with label revenue. Show all posts
Showing posts with label revenue. Show all posts

Monday, June 8, 2009

U.S. States Facing Budget Crisis: Why Balance Budget Laws Don't Work

This week there have been numerous headlines with respect to the budget crises now facing most of the states throughout the United States, again with the downward spiraling U.S. economy to blame.

Mr. Obama, of course, recently participated in one of the most massive layoffs and firings of the current employees for General Motors, of course consoling them with how their "sacrifices" now would reap benefits down the road. The question is, of course, for whom?

Apparently U.S.A., Inc. and the United Auto Workers, who were given an ownership share in the deal brokered by the Obama Administration in order to add this major U.S. corporation to Washington's budgeoning stock portfolio.

Oh, and the Canadian Teacher's Union Pension Fund which also received a share, at the expense of the autoworkers' in Detroits pensions and retirement, and the smaller private bondholder's investment, from the few details available since Mr. Geithner and Obama are again handling the details outside usual federal bankruptcy court in order to skirt around those public records and disclosure provisions.

I'm sure that acquisition has set Detroit and Michigan's economy back a bit insofar as sales tax revenues. Most of those autoworkers most likely will be eating pork and beans for a while, "sacrificing" for Mr. Obama's now Government Motors. And those bond holder owners just lost a little of that retirement money for those planned road trips in their golden years.

But China picked up a steal, or should I say, steal for its steel.

Now, even after receiving "kickbacks" in the form of federal funding through the stimulus packages of billions of dollars which are to be transferred to the states and billed to the state citizens and taxpayers as a whole, the states are now still whining about their shortfalls.

And the biggest whinner, of course, is that liberally run Golden State, defined by its excess over the course of years and the high taxes and destruction which has resulted due to their own liberalism.

It doesn't appear those in state office have been able to read the California Constitution for at least fifty years if not longer, since the early 60's.

I guess the costs of their open borders, pro-illegal immigrant positions, and past "save the trees" environmentalism that has since resulted in the destruction of thousands of homes and forested acres is finally coming home to roost. Costs for which the entire nation also has paid for during those self-created disasters in their misguided environmental radicalism during a ten year drought with overgrown forests which can now be set off by static electricity in more than a few areas and almost non-existent groundwater tables. Of course the fountains and jacuzzis are still humming along nicely.

And both Gray Davis and Arnold Schwartzenegger's freewheeling ways.

The OC set have never heard the word "fiscal conservatism," a term they associate with "right wing extremists," and Kansas farmers (who they would like to bail them out) when it comes to their creature comforts, limos, jacuzzis and their private jets which they cannot do without so that they can attend their next global warming lecture.

My former home state, Arizona, is also facing a crisis, or so it has been reported, even though many years ago the citizens in that state actually passed a "balanced budget" initiative.

Has it worked? Hardly.

You see, the government is the worst when it comes to following the laws and directives of "we the people." Our taxes fund literally hundreds of lawyers to advise legislators on just how they can skirt around some of those initiatives in order to continue doing business as usual.

When those budgets are released to the public, you need a magnifying glass and organizational chart to follow the money trail to find where all the funding is actually going. And even with those tools, you would only get half the picture.

Nowhere in those budgets are reported the sums that are received also from the federal government in order to fund some of these state programs. Thus, citizens in most states face dual taxation in numerous areas at both the state and federal levels.

It has gotten so bad in Arizona that they have sold former state funded prisons and/or are now contracting for local prisons and guards privatizing them, and are now charging the prisoners for their accomodations in order to make those lease payments, and giving incentives to officers on those federally funded DUI sports bar patrols in order to meet the federal grant guidelines to make those payments, which sums now are far more than the prior costs of upkeep and maintenance of some of those facilities for state taxpayers.

Most state and local impound lots also throughout the country have been privatized, many of which are owned by police officers as a further incentive in the new social drinking taxes.

Apparently, the state needed the money from the prison sale in order to assist in funding one of the state's new pet projects and new foundation under Janet Napolitano, the high tech gadget junkie, The Arizona Science Foundation.

Were the citizens consulted in this new project?

Of course not.

The state then subsequently entered into multi-year contracts with this organization (contracts with itself), which foundation is now suing the State of Arizona (again themselves or the state citizens ultimately) in order to get the funding through the backdoor, since in order to "balance" this years budget funding had to be reduced to this extra-Constitutional foundation for the press release of a "balanced" budget.

A new legal trick has now been the modus operandi in order to satisfy the state budget requirements, in now simply using the courts in order to fund some of these state created foundations and then hide all the extra revenue they are doling out for state agenda driven projects outside Constitutional authority or citizen accountability.

Then, of course, the state can appear to be "balancing" the budget while the courts and taxpayer paid "foundation" and private corporate attorneys negotiate and "seal the deals" factoring in, of course, their cut also in acting as the go-betweens of the state now in these NGO and extra-Constitutional funding matters.

Look hard, Californians, at that budget, and the court actions which have occurred in your state throughout the years.

I'm sure you'll find that there is plenty of money and there is no "budget" crisis, its just a matter of the state's priorities and legislators extra-Constitutional commitments that are the real problem.

And committing taxpayer sums and entering into contracts with either private or state created "foundation" contractors for multi-year terms in the first place, when state budgets in many states are required to be balanced annually.

To put it simply, deciding to fully fund and fulfill that multi-year contract for the newest "foundation" or multi-plex for the global visitors to Sacramento means the sums needed for vital services for which those tax monies are "legally" required such as the street repairs and garbage collection might just need to be cut, or reduced in order to "balance the budget."

Or in order to quell the masses, provide those sums in order to comply with the law, and then instruct extra-Constitutional "contractees" and developer instead to sue the State of California for their money, so that after the funds are provided and the lawsuit "settled," there is then a carry-over budget crisis and deficit again next year.

Balanced budget requirements are sort of like a shell game, with simply more and more "shells" (or shills) added each year.

That's what "liberalism" and legislating according to "living" Constitution beliefs actually does, encourages "corporate" socialism ultimately in taking from the poor (citizens) and give to the rich (foundations, corporations, developers), while the garbage piles up.





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Tuesday, May 26, 2009

California Screaming: Golden State Needs More Than Mamas and Papas

Recently on one of the major networks it was reported that the State of California is facing a massive budget deficit, with the citizens of California screaming.

It appears Governor Schwartzenegger's solution to the catastrophy, one which again has a great deal to do with the past and current administration's governmental excesses from all reports, is now to request that the citizens of the United States bail out California much like the AIG, Fannie Mae and Freddie Mac bailouts (and it appears, the Big Three auto manufacturers).

California, the home of such programs as "Californication," "Beverly Hills 90210," "The OC" and the like, is hardly an innocent victim in their predicament, but a state who has built it's own reputation on fantasy and excess.

Apparently, it is those hard working Midwesterners and farmers that those in the Golden State now wish to come to their rescue, in addition to the out of work steel and auto workers, and those now homeless due to many of the practices of a number of banks who make their home also in the Golden State.

My former home state, Arizona, is now full of the refugees from California who essentially have destroyed that state with their excesses, and are working on destroying my former home in leaps and bounds with their liberal agendas.

Governor Schwartenegger, here are some suggestions for restoring economic viability in California:

1. Reduce all governmental salaries by at least 25%, in recognition that you, and all public employees of that state, also have blue ribbon health, dental, and pension plans that a good 2/3's of the private sector employees in California do not have (with the exception of Beverly Hills, Hollywood, and Nobb Hill).

Place freezes on additonal new hires until the size of government in the state can actually bear relevance to need, i.e., since the cities and local governments are state actors of the State of California, both legally and by judicial interpretation, just maybe your bicameral legislature could be parred down to a unicameral one such as Nebraska has, which is actually more in accordance with the federal Constitution, since there are only three "legal" entities within it - the federal government, the states, and the people.

And Senators rarely represent the municipalites solely in state government, but usually also large corporate interests just as the House members now do although elected through supposedly "democratic" local elections. Although those candidates merely are representatives of political party and corporate interests, by and large, and many of which funded by out of district slush money.

The U.S. Senators were actually provided to represent "the states" with the U.S. House then representing the people. The 17th Amendment somehow changed all that and is why we now have Senators courted by foreign governments and corporate lobbyists, since if elected by the state legislatures as originally provided, they were accountable to the states themselves.

Such a change in California government would result in shorter legislative sessions, less bureaucracy, and less costs to the taxpayers with greater accessibility, and would also be a great idea for the other 48 states which have yet to recognize this "double whammy, double bureaucracy" excess. What a concept!

2. Institute gaming and gambling just like the State of Arizona and so many other states across the nation have rather recently done, and then in conjunction with the new social drinking taxes, have officers wait outside the casinos to pick up the low level DUIs after the casinos have plied them with alcohol. Either they lose the money in the casinos to the state, or just in the event they win or truly do not excessively imbibe, they lose it in the DUI fines and fees after leaving.

Then put them in the privatized county court system, so that the state, counties and cities can at least get their share of the fees and fines, and federal pork pie for those expenses and incarcerations which are factored according to arrests and conviction, and which are now made by juries who are becoming increasing comprised of primarily state or municipal employees. This, of course, has become the procedure in order to insure those conviction rates stay high and those dollars continue to flow in.

Or, as is also now spreading the country due to an errant unconstitutional Supreme Court ruling, remove those jury trials for those now criminal actions entirely, so that the city or county judge can simply act as the state revenue agent instead in the interests of claimed "budgetary needs," due to having now criminalized 2/3rds the population on a Friday or Saturday night.

Oh, and also install statewide those speeding cameras so that you can gain another several billions on those progressive fines and fees for speeding violations based upon those fallible machines. That should bring in billions!!!

Alas, though I see that the State Supreme Court is going to "review" the legality this week of Proposition 8, which passed recently under a citizen's initiative restricting marriages to two sex couples.

Overturn that "people determined" decision due to budgetary needs, and of course you can look forward to all those licenses fees, and the "for profit" court costs and fees for all those divorces sometime in the future. Not to mention all those added taxes that will be necessary in order to provide those courts for at least some of those divorces if only 1/3 of them end up in the courts eventually.

And also those future campaign contributions from the California Bar Association Domestic Relations Division due to the gold mine such an action would engender for their corporate interests in state permission and licensures of personal relationships, rather than simple recordations of these oral or written personal contracts.

The above should fix your budgetary woes, although with respect to California's total tax bill to the rest of the nation, does this take into consideration the effect and costs of those wildfires of yours due to the aging 60's hippie environmentalists and their offspring, nor the "global warming" scam supported by Hollywood in order to now tax the air we breathe.

I don't think Californians should be screaming, but the rest of the nation.




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