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Report: State cuts would hurt Napa
Saturday, March 08, 2008
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The rich won’t have to worry about state budget cuts, but the poor will.

That’s the California Budget Project’s analysis of Gov. Arnold Schwarzenegger’s proposed spending cuts to deal with the state’s $16 billion budget deficit.
The project, an advocacy group for the working poor, released figures this week showing that Napa would not be unscathed. From public school students to child care providers, Napa County families would feel the impact of cuts in services, health care and other sources.

The report shows cuts would affect:
• The more than 17,000 students at Napa County schools. Schwarzenegger’s cuts would equal about $558 in education spending per student, according to the report.

• 2,450 low-income Napa County seniors and people with disabilities, who would lose the state cost-of-living adjustment for Supplemental Social Security Income and state supplementary cash assistance programs at a time when the cost of goods and services is rising.
• 640 low-income Napa County seniors and disabled people who would receive fewer hours of care through the In-Home Supportive Services Program, which offers day care to homebound individuals.

• 50 or fewer Napa County children enrolled in pre-school or child care, who would lose financial support because of cuts to child development programs.

• A projected 300 low-income Napa County children dropped from state Medi-Cal coverage because their parents will have to register with the state four times a year, instead of once per year. According to published reports, the Schwarzenegger administration is betting on applicants either not getting their paperwork in on time or moving away from the homes where they registered for aid.

• 3,630 Napa County children enrolled in the Healthy Families Program will have to pay increases in premiums and co-payments and receive reduced dental services. The program provides low-cost health coverage for children in low-income working families.

Schwarzenegger has said the cuts are necessary to balance the state budget. Because of automatic funding formulas that pay for transportation projects and other major expenditures, funds for health and social services, including money to support the disabled, is often at risk.

Legislative Democrats are calling for higher taxes to keep government services from being cut so severely. Legislative Republicans are against raising taxes to deal with the state’s budget crisis.

Assemblywoman Noreen Evans, D-Santa Rosa, slammed Schwarzenegger’s cuts in a prepared statement.

“We are looking at serious blows to our schools, health care, and safety nets for the poor, seniors and disabled,” she said. “By refusing to consider new revenues, even closing tax loopholes, the governor and his Republican colleagues are imposing high human costs on our community. Republican Assemblymembers prevented us from closing the yacht tax loophole twice this year alone. Instead of fighting for working families, they’re protecting tax evasion for rich people. It’s outrageous and out of touch with the needs of California’s working families.”

The so-called “yacht tax loophole” is a law that allows buyers of vehicles, vessels and aircraft to avoid paying state sales tax for those items purchased out of state, as long as they are not brought to California within 12 months or are stored less than half the time in California.

Democrats call it tax evasion, Republicans say changing the law would be a tax hike.

Jean Ross, executive director of the California Budget Project, said she hopes her group’s report will encourage everyday people, including those in Napa County, to join the budget debate.

“The state budget really is a local budget,” she said. “Three quarters of the budget flows directly to households, to schools and to county budgets. People need to understand when there is a problem in Sacramento that it really is a problem in Napa.”
9 comment(s)

Dr. Pangloss wrote on Mar 8, 2008 4:18 AM:

" I though article was unclear on the provisions regarding the current law. The current law requires the boat not be brought into the state within 90 days. There have been attempts to lengthen the period to 12 months. "

JimClark wrote on Mar 8, 2008 8:16 AM:

" Having addressed this issue before, I continue to believe that no matter how much the state might save, some legislator will find some other means to spend it. Californian's continue to elect the same mentality each election cycle.

Question again is who, but a bozo, would run for public office anymore? It is remeniscent of the Helsinki Syndrome. Once one is seated in government he/she tends to feel safer going with the flow. "

Rob C wrote on Mar 8, 2008 11:12 AM:

" First let's be clear about the basis for reporter Ryan's story. The entire slant is provided courtesy of the CBP, whose list of staff and directors is littered with state policy wonks, professors and union associates. For example, the projects Executive Director, Jean Ross, counts a research directorship with the SEIU in her CV. (Coordinating the unions tax advocacy strategies no less!) Hardly a non-partisan group.

Yet this and Noreen's red-herring, populist "Yacht Tax" smokescreen becomes the basis for the entire article with no story balance whatsoever from alternative viewpoints.

The truth is that current budget problems are largely responsible to union over-promises and mutual back-scratching. Of course the CBP, Evans and the Register article is silent in this regard.

That the democrats and the unions continue to blame the rich and the housing declines as culprit is also unsurprising. Of course this is all to lay the ground-work for tax increases. Not that spending restraint should ever be on the table. All wrapped in the flag of our "kids education" by the likes of Evans, Thompson and the unions.

Beautiful.

What is dismaying is that the Register continues to feed readers this misinformation-via-omission as journalistic policy.

And the Register wonders why volumes of its reader response continues to be misinformed and polemical.

The solution to the budget issues begins with a frank discussion of spending restraint. Yet the rhetoric from Sacramento only seems to be about new taxes and more spending aided and abetted by the sympathetic news media.

Finally, the print version of this article (which of course has the majority of eyeballs) lists 177,000 students in Napa County. While corrected above, this major goof also adds proofreading to the list of basic things wrong with this article. "

hudds5 wrote on Mar 8, 2008 11:29 AM:

" Does this surprise anybody? When Arnold first said he was running for Governor, everybody thought it would be funny to elect him. Well, no one is laughing now. "

musikluvr wrote on Mar 8, 2008 11:58 AM:

" a shortage of money in government is a good thing. It requires the government to cut the fat and start using tax dollars wisely. Democrats live politically by sinking people into the morass of government dependence because then they have control over them and their their votes. Democrats live politically on public employee union money and then they raise taxes constantly so that more money can go to the union employees who vote for democrats. Democrats say they only want to tax the rich yet democrats are they first ones to raise sales taxes, school bond taxes on our homes, taxes on electricity and phones and on gas; all of which hurt the poorest people the most. Republicans want lower taxes and leaner more responsive government. "

Common sense wrote on Mar 8, 2008 12:30 PM:

" Good! I'm glad we are cutting out the extra fluff. I'm tired of paying for everyone else who didn't plan properly or feels ENTITLED.

It is not the government's job to take care of these people. That is what CHARITIES are for. Government involvement just creates jobs that depend on these people, and makes the government less objective. "

glenroy wrote on Mar 8, 2008 1:32 PM:

"
This entire article, if you can call it that, is just a another pathetic example of public employee special interests having to deal with their own mismanagement. The first thing the state should do is cease contributions to Calpers, which is over funded by several billion dollars and which would safe hundreds of millions annually. The second thing would be to freeze all nonessential hiring at both state and local levels, consolidate retiring positions and move towards contract staffing on all future nonessential needs.

The next best thing for the general public would be to for local newspapers to use competent reporters who have a bonafide understanding of state accounting practices...this one obviously works for Noreen...

"

irishman wrote on Mar 8, 2008 6:52 PM:

" wake up people,!!!!! if we didnt spend so much on the ilegals we could keep our own people taken care of. free health care, food stamps, dental,housing,milk, formula. its getting way out of hand, whos minding the store.start letting the goverment know how you feel, e-mail, call, write,etc. its your choice to let it go on or start doing something about it. "

napagemini wrote on Mar 8, 2008 7:40 PM:

" Glenroy, I dare you to go to any state worker with your proposed plan and I can reassure you that your medical premium would be pretty damn expensive or , yet, maybe you don't have one. "

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