Congressional and legislative leaders in Washington came together to extend a federal payroll tax cut, saving the middle class more than $1000 dollars annually. However, Governor Brown’s 2012 budget is expected to increases the personal income tax rate by one – percent for individual filers with taxable income above $250,000.
Governor Brown said, “the California Supreme Court validates a key component of the state budget and guarantees more than a billion dollars of ongoing funding for schools and public safety.”
Ending the redevelopment money supply to cities to rebuild aging and degreded infrastures has opened up fudning for social programs. Ending the redevelopment program will help lead California out of its billion dollar deficit caused by temporary billion dollar face lifts for central and regional planning at the tax payers expense.
California’s billion dollar deficit has caused gridlock due to budgetary leveraging of State funds, campaign promises, and spending reforms met with tax increases expected to raise forty-one percent pay increases for State workers wages, while increasing State spending costs during 2012 – 2025.
The Obama Administration reports, “Each year, the Federal government wastes billions of American taxpayers’ dollars on improper payments to individuals, organizations, and contractors.”
With the upcoming 2012 budget proposal President Obama’s administration is expected to save more than 50 billion dollars by opening no-bid contracts, and by eliminating duplicated waste, helping save taxpayer dollars reducing errors, fraud, and waste in government contracts and spending.
The Whitehouse explains, “By leveraging shared infrastructure and economies of scale and using “light technology” or cloud computing services, agencies are able to measure and pay for only the IT resources they actually use, and can deploy innovative technological capabilities faster and at lower costs.”
Gridlock in Sacramento is failing the taxpayer. Failure for reform legislation eliminating waste, fraud and abuse is all but non-existent, leaving the governor with the only action for the taxpayer to vote to raise taxes to pay for education and needed programs. These programs are at risk of being cut due to out-of-control spending by Sacramento.
Without voter approval on tax increases, the governors office is threatening the reduction of Health and Welfare programs first to be cut on a long list of public programs deemed unsustainable.
Funding provided by special tax incentives for community reach programs was paid for by increased sales taxes. Govenor Brown’s office claims California’s budgetary crisis has been caused by the lack of funding due to lowered state sales tax revenue requirng a new vote on raising the state sales tax.