Experts Call Prop 22 Too Taxing For State Budget

November 3rd, 2010 - 2:11 am ICT by Angela Kaye Mason  

Nov 2 (THAINDIAN NEWS) The state budget of California is, like many places, in shambles. The legislature of the state was said to have been over a hundred days late in passing a budget for the 2010-11 fiscal year, and was forced to take severe actions in order to lessen the deficit of almost nineteen billion dollars.

Because of this, many are saying that Proposition 22, which restricts the states ability to handle funds, would make balancing the budget even more impossible. The official summary which the attorney general prepared states that the proposition “prohibits the state, even during a period of severe fiscal hardship, from delaying the distribution of tax revenues for transportation, redevelopment, or local government projects and services.”

What this is said to mean is that the state cannot borrow any money which was meant for local governments, nor from their redevelopmental or transportation agencies. The state has formerly borrowed money meant for local governments, and this proposition would stop that.

But others feel just the opposite. They feel that Proposition 22 is meant to protect the local government form the overbearing state government which is bleeding them like a leech. The state would no longer be able to do this, allowing the local governments to use the money for their own needs.

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