Did you see? Schwarzenegger is calling for a special session of the Legislature to deal with this. The State Dept. of Finance plans on doing their own analysis to see how it compares with the LAO's analysis.

Stacey,

Arnold is going to do nothing with this and I wonder if the timing of this is suspecious. Regardless, it is up the the democrats to figure out how to get out of their own mess............stay tuned.

What's this? I was under the impression that Guv Arnold had solved all of CA's economic woes? I guess not. hmmmmmmmmmmmm...sure had me fooled!

So Arnold is free from responsibility, yet Brown who is not even in office yet, is already to blame? Classic stance from the right. Deja Vu actually.

Quite interesting all the way around. Arnold did not have enough power and was ran over by the Democratic dominated legislature and now turnabout is far play. He said for years this was a huge problem and they would not act so now by doing this he is saying I told you so and it is all yours dems to deal with at the same time................perfect!!!!!!!!!

Well, I'm relieved Jerry Brown said no new taxes without our consent since CA has some of the highest taxes in the nation already.

He'll have to work this out by cutting spending.

Here is an intersting fact. Even after all the recent budget cuts, CA's revenue (even including property tax revenue) has grown significantly faster that the baseline of population/inflation.

If we had spent money wisely, we would have had reserves to get us through these tough times. But instead our spend-thrift ways force us to live from "paycheck to paycheck" and gives us no maneuver room for bumps in the road.

For those that don't believe me, here are the URLs the for government sites where I got the data. You ca do the calculation yourself.

Web Link (remember you need to look at Total Budget not just General Budget)

Web Link

Web Link

Web Link

Looks like a disaster of biblical proportions brought on by our elected officials who spent and continue to spend more than we bring in. Must be a failing of the education system............politicans cannot do simple math.

LAme, precisely. The responsibility is now Brown's. Arnold tried several times with special elections to fix our financial problems...because DEM legislature would not work with him. And RICH public unions bought elections with TV LIES, and stupid, gullible voters went with the lies.
Dem legislature now has a DEM Governor so there are 'no excuses' the team has to work together, and we'red all waiting and watching.
No Gov. can do the job without a bipartisan legislature.

Pati,

Arnold already did something. They made a budget with lousy estimations of revenue. Remember a bunch of revenue was dependent upon being bailed out by the Feds? The details on the budget were kept really hush-hush which is why the LAO is only coming out now with its analysis.

Does not really matter who hit the iceberg now does it? What is the plan to fix it and how quickly? This is will interesting to watch. I think we will be watching history made here in good old California!!! You make us look real good if we can fix it and if we can't...........well we are just the nutjobs from California everyone thinks we are.

I guess it's end game now. I'm actually relieved we're getting close to being done. I hope I can help the real deserving when things shake out. I hope we can be a real community again.