California is broke, State may issue IOUs in lieu of income tax refunds

[Kurt]

Jan 16, 3:40 PM (ET)

SACRAMENTO, Calif. (AP) - California's controller says he will begin a 30-day delay on tax refunds and other payments starting Feb. 1 because the state is running out of money.

Controller John Chiang said Friday he must delay $3.7 billion in payments next month because lawmakers have failed to address California's growing deficit.

With a $41.6 billion shortfall over the next year-and-a-half, the state is on the brink of issuing IOUs.

Chiang says his office must continue education and debt payments but will defer money for tax refunds, student aid, social services and mental health programs.

A severe drop in revenue has left the state's main bank account depleted. The state had been relying on borrowing from special funds and Wall Street investors; those options are no longer available.

[Guardian]

I'm willing to pay the ultimate cost for the Constitution, my freedoms, and my country. I know for certain, there are citizens that feel the same way I do. We will get our country back, but make no mistake, the government isn't just going to give it back.

[Kurt]

JJ

Where would you have them movr to?? Califorina is no different from the rest of the country, only more populace. My home state, population 4.5 million has a budget of 29.7 BILLION in 2009. That's $6600 per man, woman and child. Last year, we had a $3 BILLION surplus. Our our out-going governor kept the legislature in session until every penny was spent. Some member proposed refunding the excess to the taxpayers, or reducing the state income tax. That was kind of like asking the governor (a democrat) to tattoo a 3rd eye in the middle of her forehead. These people have no regard for reducing spending or for the taxpayers, whether they are corporations or private citizens. They do nothing but vote on where to spend money and how to collect it. The herds who elected them grunt in approval for the latest project bestowed by the benevolent kings who have picked their pockets, or mortgaged their future to pay for it.

Where is this leading? Either we will have runaway inflation combined with soaring interest rates or our tax rate will increase to a point where there is no point in being productive.

Other blogs on this and other sites have said that we have the option of exercising our second amendment rights to throw out the government as the Framers intended. While I agree that that right exists, I also believe that we are past the point of that option succeeding. Too many Americans oppose gun ownership and do not know how to defend themselves. Too many generations believe that our defense and salvation lies with the government, without ever considering that the government may one day be the enemy.

Further, any attempt to organize will be dealt with severely. Remember Waco. Clinton's thug, Janet Reno served her brand of Justice on that group and the ATF was made to look like brave soldiers by the national news.

There is no where to move to, no where save from our own oppressive government who seizes our money for redistribution and kills or ruins those who oppose it. Ask our member, Carol Greensburg who filed suit against Ohio Secretary of State Jennifer Brunner, and is now being ordered by the court to pay for court costs. She will be wiped out, broke and credit ruined if this stands. But that is not the worst of it. If this stands, it removes the right of citizens to petition the government for redress without repercussions. Meanwhile, opposition bloggers are chuckling over the penalties imposed on someone would challenge 'The One'.

sanity is lost, there is no where to go...

[JJ]

But, illegals are still having babies, getting food stamps, and receiving welfare.........people in California, move!!!
When milllions work off the books, pay no income tax, yet recieve all entitlements, is it no wonder California is experiencing a 40 billion dollar deficit?? Economics 101--more can not go out that comes in, idiots!!!!!!!

[swimkin]

I don't think it is going to be next year... it is going to be THIS YEAR. Our entire financial system is heading for a collapse. And our government doesn't understand that printing more money isn't going to help it .. it is going to make it worse. Other countries are no longer accepting the US debt so we have no way of getting rid of it.

[Guardian]

This is simply a "preview" of things to come for the enitre country. Maybe not this year, maybe not next year, but if the idiots in Washington don't quit spending money that isn't in the kitty, this is what is in store for all of us. Everyone will be working for the government in the end, if this continues. And the only thing you'll get is what the government decides to give you. Are you willing to work so that your government representatives can play golf, take vacations, have expense accounts, and get free healthcare? The government's only concern, at this point, is that they get the people in a position to pay "the government's bills". It's astounding that people have let this go on as long as it has.

Our governing officials were elected for the "people's" best interest. Instead, we've received a running tab for these egotistical, dellusional, greedy bastards. To make matters worse, our country is and will continue to borrow money from other countries, making us indebted to foreign nations.

Enough is enough! Change... we need change.... the change we need is ...LESS government! Less government = less spending and more power to the people.