Get rid of Prop. 98 and cut the education budget ($108B)[0] budget back to 2011 levels ($47B)[1].<p>Boom, I just saved $61B and nearly balanced the budget. It's not like that money actually improved outcomes, anyway.<p>[0]: <a href="https://ebudget.ca.gov/2023-24/pdf/BudgetSummary/K-12Education.pdf" rel="nofollow noreferrer">https://ebudget.ca.gov/2023-24/pdf/BudgetSummary/K-12Educati...</a><p>[1]: <a href="https://ebudget.ca.gov/2021-22/pdf/BudgetSummary/K-12Education.pdf" rel="nofollow noreferrer">https://ebudget.ca.gov/2021-22/pdf/BudgetSummary/K-12Educati...</a> (see chart on p. 5)
Even with the so-called "substantial reserves", California is fucked. And this story effectively sinks Newsom's POTUS chances for a cycle or 2. Californians can expect even higher taxes, shittier services, more people kicked out onto the streets, more crime, more chaos, and no end to high interest rates, layoffs, and crushing inflation.
Suggestion: A constitutional amendment that says if the budget did not balance at the end of the year, then next year's tax rates all increase from this last year's rates by double the percentage that would have been required to balance last year's budget.<p>This would override all measures by the legislature to set tax rates.
Original source of the numbers, which seems quite readable:<p><a href="https://www.lao.ca.gov/Publications/Report/4819" rel="nofollow noreferrer">https://www.lao.ca.gov/Publications/Report/4819</a><p>Of particular relevance to HN:<p>> In particular, investment in California startups and technology companies is especially sensitive to financial conditions and, as a result, has dropped significantly. For example, the number of California companies that went public (sold stock to public investors for the first time) in 2022 and 2023 is down over 80 percent from 2021. As a result, California businesses have had much less funding available to expand operations or hire new workers.
How is this possible just last year newsom was touting their budget surplus! He can’t be that incompetent, and he would never lie. Hmmm<p><a href="https://calmatters.org/commentary/2022/11/remember-that-budget-surplus-never-mind/" rel="nofollow noreferrer">https://calmatters.org/commentary/2022/11/remember-that-budg...</a>