[quote=paramount]I’m sure many public employees – fully aware of the huge Wall Street bailouts – are justifiably angry about continued “austerity” measures.
On the other hand, whether one agrees with potential further salary and benefit reductions or not, most likely it will happen.
And yes I know, terms like “austerity” originate from the White Shoe Boys.[/quote]
FWIW, here’s what I proposed, on another thread, to fix our budget problems (note that I did not exclude public employees from some of the sacrifices). What bothers me about the debate regarding public service employees is the vitriol that is being spewed by people who are being misguided (by the elite who control the MSM) about the cause of our financial problems. Again, the unions are NOT the cause of our financial crisis; that cannot be stated emphatically enough.
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My suggestions for fixing
Submitted by CA renter on February 4, 2011 – 3:13am.
My suggestions for fixing California’s budget problems:
1. Roll back the pension boost enacted by Gray Davis (and friends) from 3% @XX to 2% @ 55 for public safety workers. I’m an ardent supporter of defined-benefit pension plans, but this increase was totally irresponsible, and I said so back then. Because this increase has been there for so long, and because many older workers have adjusted their finances because of it, those with 10 years or less left before retirement will need a lump payment, perhaps of $50K-$150K (a drop in the bucket when compared to the relative savings) in order to make up for the fact that they are too close to retirement to make up the difference.
2. Cut pay of municipal and state workers by 10%, if they haven’t already been cut (many have).
3. Get serious about illegal immigration, and either demand that the federal government supports all of the illegals and their children, OR charge the employers of illegal immigrants for **every single benefit** used by their workers AND their dependents (legal or not), and include infrastrucuture expenses AND the expenses related to administering this program.
[If we “fix” the illegal immigration problem, it will eliminate about 25-40% of the costs associated with education and prisons, and possibly “welfare” programs — all of these being the largest expenses in the state.]
4. Get rid of Prop 13 protection for all residences except a SINGLE, primary residence. Eliminate inheritability of Prop 13 protection IF the heir intends to “step-up” the cost basis upon death of a parent.
5. Get rid of Prop 13 protection for all commercial properties except for a SINGLE property (held by an individual or a trust/LLC controlled by that person). Eliminate the ability to pass Prop 13 protection from seller to buyer via corporate/LLC loopholes.
Once those things are done, see where everything stands, and then raise certain taxes, if necessary. I have a feeling we’d end up with a surplus if we enacted the changes noted above, though.
