California Governor Arnold Schwarzenegger declared a state of emergency over the state's finances on Wednesday, raising pressure on lawmakers to negotiate a state budget that is more than a month overdue and will need to close a $19 billion shortfall.Yeah, because it's all the employees' fault, not Arnold's or the Assembly's. Let's make them take three days off without pay. That'll improve the situation, right? And hey, the next stop on this road should be familiar to long-time readers: the IOUs are back.
The deficit is 22 percent of the $85 billion general fund budget the governor signed last July for the fiscal year that ended in June, highlighting how the steep drop in California's revenue due to recession, the housing slump, financial market turmoil and high unemployment have slashed its all-important personal income tax collection.
In the declaration, Schwarzenegger ordered three days off without pay per month beginning in August for tens of thousands of state employees to preserve the state's cash to pay its debt, and for essential services.
Schwarzenegger's declaration noted State Controller John Chiang has said he could be forced to issue IOUs as early as next month because of the budget impasse.The only thing I'm surprised by at this point is that more states aren't turning to California's slash and burn style to punish those evil, evil government employees who all get paid in your taxpayer money, the bastards. Oh, but remember, Arnold is a GOP moderate.