Davis Signs $100 Billion Budget for California

SAN FRANCISCO (Reuters) - Burnishing his image ahead of a special recall election, embattled California Gov. Gray Davis signed on Saturday a $100 billion budget that relies heavily on borrowing to narrow the state's shortfall.

The budget, approved by California's assembly earlier in the week after a 25-hour debate, pares a $38 billion deficit but still leaves an $8 billion gap for the following fiscal year. The state has been operating without a budget for more than a month.

Although it contains no new taxes, the budget is dependent on one-time borrowing and deep cuts in state services. In June, California issued $11 billion in short-term notes to forestall an immediate cash crunch and will sell an additional $14 billion in bonds as part of the budget.

"This budget is not pretty," Davis said during a short ceremony before signing it. "But as I said before, it could be uglier."

More here

for posting this, LauraK.

Good Luck to Davis and to California!
Go Cal Dems! :kick: Beat those repug slugs back under the rocks from which they slithered.

The Republicans managed to actually increase spending in some of their districts. One of them got soemthing like $10million for a mall in his district. But they didn't get any taxes raised. :crazy:

I think it got passed just to be done with it. Nobody is happy.

MzPip
:dem:

a Republican got spending increased in his district by threatening to withhold his vote and that of his party, which is needed as 65% must pass. Davis should have line-item vetoed it, but he didn't. Now that Davis has signed the budget, I think that we are done with him.

Does the governor there have a line-item veto?

I am very concerned as I live in California. I heard they were going to knock out assistance for the AGED, BLIND AND DISABLED and yet they can give some Ahole a bunch of bucks for a damn shopping mall?

Also, what about the VLF fees? Are they going to triple? It makes me angry really because I bought a new car last year and might have thought twice about it had I known the tags for the plates will soon run over $400.00 a year!

This whole thing is an outrage and a fiasco. Quite honestly, I don't know which BS politician to believe.

How real is any of this? What happenst to MediCal? What happens to the few programs in California to help the poor, elderly and disabled? I'd like answers before I can give Davis a big *hurrah!* for this one.

Far from being a 'diamond in the rough' at best!!!!

:kick: