CA Controller to Suspend Tax Refunds, Welfare Checks

DriftingByTheStormDriftingByTheStorm Posts: 8,684
edited January 2009 in A Moving Train
The Writing on the Wall
-or-
How It Affects You

For those who are still thinking
a. "there is no crisis" and "the media is just over reacting as usual"
b. "this doesn't affect me"

Well think again,
states go insolvent and cash poor,
they start stealing your money.
In this case, California, it is $2 Billion in tax payer money that is being "witheld" from citizens until IF and when the budget issues are resolved.

And before i get back the quip, "Yeah but its just temporary; they'll get their refund checks" or "i don't get a tax refund" ... just realize this: THIS IS JUST THE BEGINNING.
You are about to see a wave of collapsed at the municiple level. Just wait until state and local employees are no longer receiving paychecks; wait until social services, fire & safety, sanitation, education, and other services start breaking down because of lack of funding and employee pay. How many more Federal bailouts will be issued, and how much longer can the dollar tread water all in order to help save some fuckhole bankers at the top? At SOME point folks will have to start acknowledging that this WILL and IS going to affect them. And, HOPEFULLY, then they will start asking "why did this happen" and they will start wondering "who is to blame?"

And HOPEFULLY, they will arrive at the correct answer and not be fooled by false hopes and promises.

CA Controller to Suspend Tax Refunds, Welfare Checks
Evan Halper, Los Angeles Times

January 16, 2009


SACRAMENTO -- State Controller John Chiang announced today that his office would suspend tax refunds, welfare checks, student grants and other payments owed to Californians starting Feb. 1, as a result of the state's cash crisis.

Chiang said he had no choice but to stop making some $3.7 billion in payments in the absence of action by the governor and lawmakers to close the state's nearly $42-billion budget deficit. More than half of those payments are tax refunds.


The controller said the suspended payments could be rolled into IOUs if California still lacked sufficient cash to pay its bills come March or April.

"I take this action with great reluctance," Chiang said at a news conference in his office. But he said that without action to close the deficit, "there is no way to make it through February unscathed."

The payments to be frozen include nearly $2 billion in tax refunds; $300 million in cash grants for needy families and the aged, blind and disabled; and $13 million in grants for college students.
If I was to smile and I held out my hand
If I opened it now would you not understand?
Post edited by Unknown User on

Comments

  • CommyCommy Posts: 4,984
    they should start with corporate grants not social services. shows who has the influence here...the people are definitely not very high up on the list.


    but yeah this is scary...if this is just the beginning we don't have much to look forward too.
  • Welfare checks???!!! That's below the belt, man. I wonder if there will be riots.
    I carried a watermelon
  • mickeyratmickeyrat Posts: 40,628
    This is what INACTION will get you. Hard choices are going to have to be made. Locally , our Mayor has asked various unions to forgo a slated contractual pay raise this year. Including Police and fire. Bad juju coming down the pike.
    _____________________________________SIGNATURE________________________________________________

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    you're finally here and I'm a mess................................................... nationwide arena columbus '10
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  • Thorns2010Thorns2010 Posts: 2,201
    So is this Evan related to our very own Santos?
  • soulsingingsoulsinging Posts: 13,202
    Welfare checks???!!! That's below the belt, man. I wonder if there will be riots.

    No shit. The poor outnumber the rich pretty handily. Every massive social revolution begins when the rich decide to shit on the poor. Not a smart move.
  • VINNY GOOMBAVINNY GOOMBA Posts: 1,818
    edited January 2009
    See, I would have thought the the state employees would still be getting paid NO MATTER WHAT throughout this whole deal, therefore encouraging more people to get state or federal jobs-- the most available of which would be in the military.

    Pissing off state employees by not paying them may result in the bankers' own undoing! If you actually had law enforcement or military not being paid as a result of this crisis, they might actually consider taking up the cause to remove the bankers from power-- and these are the people with the guns... the ones whose very presence has pretty much kept a very angry portion of the informed public from doing something drastic.

    Not that they would necessarily have to use violence or their weapons-- but rather make it easier for the people to not protest the actions of our government by having the guys in uniform right by our side.
    Post edited by VINNY GOOMBA on
  • flywallyflyflywallyfly Posts: 1,453
    This is pretty scary shit. usually they just bluff that they will withhold payments if such and such doesnt happen.... to actually say it is going to happen is a new step. 2009 is gonna be a wild ride.
  • AnonAnon Posts: 11,175
    Welfare checks???!!! That's below the belt, man. I wonder if there will be riots.

    You mean that they might actually have to find jobs and work? Blasphemy!
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