States are next

[trish]

California going broke (http://www.bloomberg.com/apps/news?pid=20601087&sid=aFG_x4PxVUno&refer=home)

[IlliniRacer]

Illinois is already there thanks to Gov Skippy

Budget woes raise questions (http://www.thetelegraph.com/news/state_20793___article.html/budget_year.html)

[Andrew Longman]

Our Guv, who spent a year in vain searching for how to close a $1 billion deficit is now saying we will have a $5 billion deficit in 09. And that does not include an unfunded multi-billion dollar pension liability the state just put on local communities for teachers, first responders, town clerks, former mayors, etc.

Can anyone suggest a state I can move to without going broke?

[Don Quixote]

Californians have replaced Texans as the invading people to hate (~ past 10 years) as they pour across the border into Colorado fleeing from their economic woes. Then they proceed to turn Colorado into California. Nice. :irked:

[Michaelhatesfans]

Californians have replaced Texans as the invading people to hate (~ past 10 years)

Man, you guys are way behind on the California hate.:laugh:

[Elmo T]

Local gov'ts are being slammed as well. Many are looking to let folks go rather than dip into a budget surplus or to look at a tax increase.

I would imagine the only states not being affected are the states of denial.

[nrc]

Californians have replaced Texans as the invading people to hate (~ past 10 years) as they pour across the border into Colorado fleeing from their economic woes. Then they proceed to turn Colorado into California. Nice. :irked:

Back when we were frequent visitors out there it seemed that the Californy hate was well under way.

"Put up a bunch of ugly boxes, and Jesus, people bought 'em."

[Don Quixote]

Man, you guys are way behind on the California hate.:laugh: Which reminds me, I pulled into an Oregan state park to camp one summer in the 70's and they asked at the booth if we were in state or out of state. We said out of state and the person told us the camping fee was $50 (I don't remember the exact amount, but it was equivalent to a hotel room). We gasped, and the nice lady walked around to the front of the car, saw that we had Ohio plates, and said, that'll be $10.00. My first exposure to Cali hate was in the fine state of Oregon! :D

[cameraman]

The Utah legislature just held an out of session meeting and cut every item in the budget by 4%. Just across the board. It is up to the individual departments to figure out how to make it work, they just have to deal with it.

Rumor has it they might just meet again in a month and take another 4% off the top.:shakehead

[coolhand]

Californians have replaced Texans as the invading people to hate (~ past 10 years) as they pour across the border into Colorado fleeing from their economic woes. Then they proceed to turn Colorado into California. Nice. :irked:

No kidding, and they vote the same way they did in California.

They go to Oregon, Nevada and Arizona for the lower taxes.

[coolhand]

As someone who has grown up in California I cannot stand how smug most people are the state. Many spend 99% of their lives between Tahoe and Maui. They talk about Silicon Valley and H'Wood and project that onto themselves as if that makes them better than people from other states. I am amused about this stupid state going bankrupt.

(Note When I am talking about California I am talking about the Coastal Metro Areas).

[Insomniac]

Our Guv, who spent a year in vain searching for how to close a $1 billion deficit is now saying we will have a $5 billion deficit in 09. And that does not include an unfunded multi-billion dollar pension liability the state just put on local communities for teachers, first responders, town clerks, former mayors, etc.

Can anyone suggest a state I can move to without going broke?

You get paid to live in Alaska.

[trish]

They're projecting a $300 million deficit for my state at the end of this fiscal year. It's hard to believe there was a time we didn't have an income tax. The more money they take, the more programs they come up with and overspend it seems.

[Gnam]

Ha Ha. All your state are belong to us. :p

http://img517.imageshack.us/img517/6546/californiaflagtl3.jpg

[oddlycalm]

The only difference between California, New York and all the other states is one of scale. It's inevitable. Regardless whether it's falling income, falling property values, falling gasoline sales, falling highway use fees from few truck miles driven, every state and municipal tax and fee is in free fall.

oc

[Indy]

Can anyone suggest a state I can move to without going broke?

Dare I mention Indiana. Our racing sux, but our Governator runs a tight ship.

[jcollins28]

:rolleyes:Read that whole article and still nothing about plugging the border. This state has been raped by illegal immigration. During the last election the only thing anyone cared about was Prop 8. Well good job my fellow citizens! Those gays will not be able to marry each other in our broke @$$ state.

[SurfaceUnits]

:rolleyes:Read that whole article and still nothing about plugging the border. This state has been raped by illegal immigration. During the last election the only thing anyone cared about was Prop 8. Well good job my fellow citizens! Those gays will not be able to marry each other in our broke @$$ state.and they won't be raping your wimmin either

[Ankf00]

Hey, where the white wimmin at?

http://www.morethings.com/fan/blazing_saddles/blazing_saddles-cleavon_little.jpg

[TRDfan]

Minnesota (lack of) revenue forecast comes out today - projected deficit 4 - 5 billion for the next two year budget cycle. (A small part of me is happy I didn't get elected)

My city knows they will have less state aid (aka taxpayer money) the next year or two - the school board and city are whining about the lack of affordable housing for young families to move to our town.

So what does the city do - buys the first house listed under 100k and says they might make it a parking lot. If I was still on City Council I would have raised holy hell - actually I still can - the Truth in Taxation hearing Monday should be fun ;)

[Tifosi24]

Minnesota (lack of) revenue forecast comes out today - projected deficit 4 - 5 billion for the next two year budget cycle. (A small part of me is happy I didn't get elected)

My city knows they will have less state aid (aka taxpayer money) the next year or two - the school board and city are whining about the lack of affordable housing for young families to move to our town.

So what does the city do - buys the first house listed under 100k and says they might make it a parking lot. If I was still on City Council I would have raised holy hell - actually I still can - the Truth in Taxation hearing Monday should be fun ;)

Revenue deficit comes in at a sweet $5.25billion deficit for the next two and a half years, 500 million during the current budget cycle (ends July 1) and $4.75 billion for the next two year cycle. My job should be secure with the state, my job is ratepayer funded, but there might be a lot of state employees in trouble. The only problem is that a lot of the "fat" was cut several years back. I am just hoping I don't get an across the board cut in wages, although I will take that over losing my job.

[IlliniRacer]

Gov Skippy just got taken into custody.

Feds take Blagojevich into custodyl (http://www.chicagobreakingnews.com/2008/12/source-feds-take-gov-blagojevich-into-custody.html)

[G.]

Gov Skippy just got taken into custody.

Feds take Blagojevich into custodyl (http://www.chicagobreakingnews.com/2008/12/source-feds-take-gov-blagojevich-into-custody.html)
Last Guv is sitting in Club Fed, with (I believe, might be wrong) significantly lesser charges.

Dick Durbin tried to get his sentence commuted. Guess he looks silly now.

Hope there's no tie to our (soon-to-be) new President.

Illinois politics suck, mostly cuz I don't get any.

State Motto : "Where's Mine?"

[Insomniac]

Last Guv is sitting in Club Fed, with (I believe, might be wrong) significantly lesser charges.

Dick Durbin tried to get his sentence commuted. Guess he looks silly now.

Hope there's no tie to our (soon-to-be) new President.

Illinois politics suck, mostly cuz I don't get any.

State Motto : "Where's Mine?"

At least from the docs on the smoking gun, it seems Obama had him riled up because he wasn't willing to do more than thank him.

[OW]

^^^
Next Pres - Whoa! Stay away from THAT Psycho
Obama is smart - and hopefully will be a good president...

Blago MUST be Psycho...

Sorry nrc (no politics)...but this is special

[Easy]

Maybe Carl Haas can buy our Senate seat. It will be money better spent than in the IRL.

[Insomniac]

Maybe Carl Haas can buy our Senate seat. It will be money better spent than in the IRL.

I think the for sale sign has been removed. :D

[extramundane]

Maybe Carl Haas can buy our Senate seat. It will be money better spent than in the IRL.

Only if they also gave him the Senate gavel parts distributorship.

[trish]

There is no better argument for adjusting your withholdings than this. It's far better to pay out a little than have the government owe you big time.

http://money.cnn.com/2009/01/16/news/economy/california.reut/index.htm?section=money_latest

[Methanolandbrats]

There is no better argument for adjusting your withholdings than this. It's far better to pay out a little than have the government owe you big time.

http://money.cnn.com/2009/01/16/news/economy/california.reut/index.htm?section=money_latest can the taxpayers bill the state for penalties, late fees and interest :D

[SurfaceUnits]

most of those folks turned their whole existence over to politicians and bureaucrats years ago. they get the government they deserve.

[coolhand]

http://www.foxbaltimore.com/newsroom/top_stories/videos/wbff_vid_1847.shtml

Maryland State Senator now believes she does not have to worry about balancing the state budget. The Feds will bail them out.

[eiregosod]

california to suspend welfare payments to the disabled and the blind

[SurfaceUnits]

Other state checks to be postponed for 30 days include payments for vendors who provide services and products to the state government and state checks to a million aged, blind and disabled Californians to cover rent and utilities bills, State Controller John Chiang's office said in a statement.

So if you owe taxes for 2008, do you withhold payment to the State?

[Methanolandbrats]

The states problems are just beginning. This is exactly why the market is going a LOT lower. Layoffs, funded projects grinding to a halt, credit card defaults, business and personal bankruptcies, regional and local bank failures......it's all coming down the pike.

[trish]

So if you owe taxes for 2008, do you withhold payment to the State?

Only if you want to rack up fines and penalties.

[Michaelhatesfans]

So if you owe taxes for 2008, do you withhold payment to the State?

I spoke with our accoutant the other day, who informed me that some of the deductions that I used last year should be reconsidered (or at least re-calculated). Sounds like the IRS is going to be particularly vigilant this year.

[SurfaceUnits]

Cities are next:

City Governments in Even Worse Shape

Cities are typically unencumbered by the legal requirement to balance their budgets. So they are not under the same immediate pressure to resort to massive layoffs as the states.

But that only makes things far worse, encouraging them to borrow … postponing the day of reckoning … and sinking them deeper into the quagmire of unpayable debt and interest.

In New York City, for example, the deficit picture is far worse than Mayor Bloomberg estimated just weeks ago: The New York Independent Budget Office is now pegging it at $11.3 billion. But that didn’t seem to stop the mayor from announcing an ambitious effort to create 400,000 new jobs in his State of the City address yesterday.

This scene, repeated across the nation, could create a whopping $100 billion in new municipal deficits on top of the $350 billion in deficits at the state level.

Grand total: $450 billion in red ink flowing from state and local governments … in addition to the $2 trillion deficit at the federal level … compounding the latest woes of the nation’s megabanks … and all in the midst of a collapsing economy!

[oddlycalm]

It's relatively easy to get congress to vote to spend enough money to cover all the shortfalls in state and city budgets but the real test is going to be to restore comprehensive regulation to the financial markets. I don't see the financial sector getting a lot better without real transparency.

That's the mistake they made in Japan, the banks had too much power and prevented the government from forcing transparency so the banks didn't have to fess up. It took more than a decade in the doldrums for Japan to emerge from that mess and they never regained the same level of power and influence internationally.

The trick is going to be to build a strong regulatory framework that doesn't strangle the capital markets. We don't need another Sorbanes-Oxley knee jerk like we got after Enron, Worldcom, etc.

oc

[SurfaceUnits]

Correct. They have to deal with their trillions of dollars of bad debt, which Paulson has been sidestepping


The problem, said Joseph Mason, a finance professor at Louisiana State University, is that a loan guarantee plan -- like TARP -- will not necessarily force the banks to fully recognize their losses on souring positions taken on during the credit boom that ended in the summer of 2007.

Banks must write off bad loans and raise new capital, Mason said. Otherwise, he added, any taxpayer funds used in support of the financial system merely serve to prop up existing institutions, including troubled ones -- at great expense to Americans whose own finances are coming under substantial stress.

"Until we start recognizing the losses, we're just engaging in crony capitalism," said Mason, who is also a banking industry consultant. Executives of banks that get federal support without being force to take adequate writedowns, he adds, are "using Congress as a piggybank."

[dando]

We don't need another Sorbanes-Oxley knee jerk like we got after Enron, Worldcom, etc.

oc

No ****. :saywhat: :thumdown: :irked:

-Kevin