California Gets An “F” For Its State Finances

Newsom is promoting the cam of the century.  H and the Democrats are claiming that the State of California is running a $54 billion deficit, due to the virus, lower revenues and higher expenditures.  Now we know it isn’t the virus, it is the duplicity and Socialist policies.  It is not something that just happened, it has been going on for years.

“According to the watchdog’s eleventh annual Financial State of the States report, California had $388.9 billion in bills and only $114 billion in available assets to pay those bills after capital and restricted assets are excluded. This resulted in a $275 billion shortfall, or a $21,100 Taxpayer Burden, which is each taxpayer’s share of the state debt after the state’s available assets have been tapped. TIA’s Taxpayer Burden indicator incorporates both assets and liabilities, including unfunded retirement obligations.”

Now you understand why Newsom wants President Trump to bail out California.  Without it, he and the Sacramento Democrats will have to face reality—like ending the train to nowhere, forcing government schools to educate, lowering of taxes to create economic opportunity, to drill for oil to get the tax revenues and high paying jobs.  He must end AB 5, so hundreds of thousands can go back to work and get off of unemployment.  That is just a start.

California Gets An “F” For Its State Finances

Each California taxpayer is on the hook for $21,000

By Truth in Accounting, News Partner, 9/22/20  

A new report on the financial condition of the 50 states ranked California no. 43 in the nation for its fiscal health prior to the coronavirus pandemic. The report found that the majority of the states were ill-prepared for any crisis, much less one as serious as what we are currently facing.

The analysis by Truth in Accounting, a non-profit government finance watchdog group, found California needed $275 billion to get out of the red, or $21,100 from each of its taxpayers.

According to the watchdog’s eleventh annual Financial State of the States report, California had $388.9 billion in bills and only $114 billion in available assets to pay those bills after capital and restricted assets are excluded. This resulted in a $275 billion shortfall, or a $21,100 Taxpayer Burden, which is each taxpayer’s share of the state debt after the state’s available assets have been tapped. TIA’s Taxpayer Burden indicator incorporates both assets and liabilities, including unfunded retirement obligations.

California was not alone in being ill-prepared for a crisis. Total debt among the 50 states amounted to $1.4 trillion at the end of the fiscal year 2019, which will only worsen as the states face varying and unpredictable effects from the global pandemic.

The bottom line is that California did not have enough money to pay its bills, which is why it received an “F” grade for its fiscal health.

About Stephen Frank

Stephen Frank is the publisher and editor of California Political News and Views. He speaks all over California and appears as a guest on several radio shows each week. He has also served as a guest host on radio talk shows. He is a fulltime political consultant.

Comments

  1. Otis Needleman says

    CA gets an “F”, period. Make than an “F-“.

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