Senator Moorlach Responds to May Budget Revision

Friday, May 13, 2016

"If managing the budget is 'like riding a tiger,' looking out ahead ten years from now is like standing on the deck of the sinking Titanic."

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"When will California acknowledge it needs reform? The time has come for state leaders to establish a 10-year financial workout plan to get our fiscal house in order. This should be the legacy Governor Brown desires to leave, not the current burden of debt weighing down our state."

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"I'm ready to work together with my colleagues in the legislature to change the script and leave a better future for our children."

--Senator John Moorlach (R-Costa Mesa)

 

(Costa Mesa, CA) — Senator John Moorlach (R-Costa Mesa) released the following statement today in response to California Governor Jerry Brown's 2016-17 budget proposal:

"I appreciate the Governor's call for fiscal prudence in his May Revision of the 2016-2017 budget; however, this fiscal restraint does little to address our state's unaddressed run-up of debt. If managing the budget is 'like riding a tiger,' looking out ahead ten years from now is like standing on  the deck of the sinking Titanic.

"According to the most recent Comprehensive Annual Financial Report (CAFR), California has a $170 billion unrestricted net deficit, an increase of $54 billion since last year, the largest net deficit of all 50 states. From any reasonable accounting standard, there are no new funds to spend. California is 'maxed out.' We've got to aggressively address the state's growing unfunded liabilities. These liabilities are the very factors that threaten our short and long term financial health, and challenege other budget priorites as we anticipate the next inevitable economic down turn.

"California's unrestricted net deficit went from $116 billion to $170 billion since last year's CAFR report ($4,374 per person). And that's before fully adding in the estimated $80.3 billion in retiree medical unfunded liabilities.

"When will California acknowledge it needs reform? The time has come for state leaders to establish a 10-year financial workout plan to get our fiscal house in order — one that establishes a common set of goals and a framework by which all legislative and executive actions can be measured. Only then can we truly leverage our state's resources to solve both our short and long term fiscal problems.

"This should be the legacy Governor Brown desires to leave, not the current burden of debt weighing down our state. I'm ready to work together with my colleagues in the legislature to change the script and leave a better future for our children."

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