They are at it Again
If terms limits has any downside, it is that the current crop of legislators (at least in the Assembly) have little experience in dealing with budget crises. Every member of the Assembly today got elected after the budget debacle of 2001-02, and the recovery that followed. That morass, where the budget deficit grew to $48 billion (when you include the actual deficit between revenue and spending in the 2001-02 budget and the projected spending deficit in 02-03) in a $79 billion general fund budget, was solved without a tax increase. Today, legislators talk as if a $20 billion deficit on a $110 billion budget can only be solved with a tax increase (to use their cute expression the balanced approach with a ‘mix" of cuts and tax increases). The public relations effort has begun to convince the Governor of this fact and then have the Governor persuade enough legislators to get the tax increase.
That is an old strategy that worked in Pete Wilson’s first term. It failed miserably. The tax increase deepened a pending recession, causing the deficit to deepen. What is more the proposed "cuts" never occurred. Spending went up, taxes went… Read More