The economy continues to go down and Pres. Obama must do something about it. Is New York, and Harlem the next to go? Today, June 30, is the end of the fiscal year in 46 states, and five of them— Arizona, California, Indiana, Mississippi and Pennsylvania—had no budgets as of June 30. The most well-known case is California, which is about to issue "IOU's" in lieu of payment, beginning on Thursday, for anything except debt payment ($70 billion in bonds) and education, which are both protected by legislative mandate. Informed sources have told LPAC that in California, the IOU's have (secretly) already been printed, as fascist Gov. Schwarzenegger refuses to allow the Legislature to retain vital services in a partial budget extension. No! Arnie has said the pain has to be faced now. Other states face similar disastrous consequences:
In Pennsylvania, the deadline for the budget is midnight Tuesday, and not having a budget would be a repeat of its 1991 "suspended government" impasse, under far worse conditions of a collapse. Democratic Gov. Rendell is trying to squeeze out $500 million more in budget cuts, and come up with new taxes. But there will be "payless paydays" beginning on July 17 without finding some funds, and the Pennsylvania Hospital Association said today that 13,000 workers in hospitals will be axed if the cuts go through. Thirteen thousand. The Republican-controlled Senate passed a $27.3 billion budget in May, proposing 11-12% cuts in education, public welfare, libraries, parks, CHIP and other health programs etc., but no new taxes. The Senate plan was then voted down by the House Appropriations Committee. With declining revenues, the real shortfall for 2008-9 is $3.2 billion, and for FY 2009-10, another $3.2 billion. Rendell announced today that 10 banks and credit unions will give "bridge loans" to "credit worthy" state employees! But, will they have jobs? The mayors of Reading, Lancaster, York, Easton, and Bethlehem said that their cities will wind up under state receivership soon, unless they are granted the power to impose a 1% local sales tax, or other relief.
California is about to go to hell, with the Governor Schwarzenegger moving for immediate confrontation, but other stuff is going on as well. In Indiana, a last-minute budget was passed today, after two full days of debate. If that had failed, as it had since June 11th, then 31,000 state workers would have been put out of work at midnight, and several departments, such as Motor Vehicles, closed down. Indiana will probably dip heavily into its $1.2 billion surplus to cover expenses. The budget shortfall is over $1 billion, and revenues, as in other states, continue to fall.
In Arizona, lawmakers were still grappling with how to cover a $3 billion shortfall.
There has never been such a large collective deficit in the U.S. states, a total of $121 billion this year, according to the National Conference of State Legislatures.
The awful truth is that Obama had all the opportunities, he had the available advice to have avoided this thing, and he didn't do it... President Obama's policies have driven the United States into bankruptcy! The bailout of the banks was a rip off. We need the President and the Congress to issue credit directly to necessary activity and infrastructure projects, under the US Constitution, Article 1, Section 8. President Franklin Roosevelt knew about this. He was a New Yorker for sure,and we have to follow him.
No comments:
Post a Comment