California Budget Crisis July 6, 2009

Here are two easy options to solve the State budget of California.

Steps for Option #A:
1) Stop the incessant focus on the negative and act in emergency status.
2) Transfer up to $128 billion from the state reserve into the state owned bank.
3) Once done, the state can legally loan itself around $1-trillion in loans.
4) After paying off the current deficit, plus holding an additional 10% as surplus funds, the remaining funds can be returned against the loan.
5) From this action the state can develop surplus funds for the next budget year with normal activities.
6) There is a possibility of a need for a 1 to 3 cent tax increase, contract reforms, education administrative reforms, and more energy efficiency reforms.
7) State credit rating should increase immediately.
8) All actions here could assure a continual budget surplus of $15 billion minimum until further budget benefits are created (I.E.- federal health care reform, etc)

Steps for Option #B:
1) Cut all pay from the state legislature and staff until 60 days after budget fix.
2) Cut all pay from the governor’s office and staff until 30 days after budget fix.
3) Fine all state government officials $100 a day for breach of public trust, conspiracy to commit a felony, and domestic theft, until state budget is fixed.
4) Open a class-action lawsuit against all state government officials and staff from the counties, cities, and citizens of California.
5) Open a full recall vote for all officials as an established emergency election date set 20-30 days after the fiscal year end date of July 1st.

Options created by Substitute Teacher and Author. Mr. Quinton D. Crawford