Will feds help CA?

Some relief is likely, according to the nonpartisan Legislative Analyst's Office, but the governor can forget about Washington agreeing to an $8 billion bailout. "The state is very likely to fall several billion dollars short of the governor's goals," says the report, authored by Legislative analyst Mac Taylor.

The Governor's trigger cuts--to take effect if federal funding is less than the Governor hopes for--are painful and in some cases draconian. Nevertheless, there is no way that the Legislature can avoid making some similarly difficult decisions this year. At the same time, in determining its priorities, the Legislature need not be limited by the specific choices put forward by the Governor. For social services programs, for example, we advise the Legislature to consider more targeted changes so that benefits would be provided to only the most vulnerable recipients rather than completely eliminating the programs.

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Mark Lacter
Mark Lacter created the LA Biz Observed blog in 2006. He posted until the day before his death on Nov. 13, 2013.
 
Mark Lacter, business writer and editor was 59
The multi-talented Mark Lacter
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