BOHICA my fellow PRK citizens, er, Taxpayer Units...
[url]http://www.washingtonpost.com/wp-dyn/articles/A57358-2003May14.html[/url]
Calif. Governor Seeks $8.3 Billion Increase in Taxes
By Tom Chorneau
Associated Press
Thursday, May 15, 2003; Page A08
SACRAMENTO, May 14 -- A politically embattled Gov. Gray Davis (D) today proposed raising an array of taxes and borrowing more than $10 billion to help close California's budget deficit, which is projected to be a record $38 billion.
The $95.8 billion spending plan the governor sent to the Legislature differs greatly from his January proposal, which relied more heavily on spending cuts to bridge the gap. This time, Davis called for $8.3 billion in new taxes, including a half-cent increase in the state sales tax and higher taxes on cars, cigarettes and the wealthy.
Davis acknowledged that he is proposing higher taxes in part to win support from fellow Democrats who control both houses and have been reluctant to make deep cuts in education, health and other programs. The governor said his plan represents a compromise that can win bipartisan support, but some Republicans were dubious.
"Punishing taxpayers because liberal Democrats have spent us into bankruptcy does not make sense to us," state Senate GOP leader James L. Brulte said. "We're willing to negotiate on everything but taxes."
California already has one of the nation's highest sales taxes, at 7.25 percent, and each county has the right to raise it even higher. San Francisco's sales tax is 8.5 percent.
A lame duck because of term limits, Davis has the lowest approval rating of any California governor in 55 years: 24 percent. A movement to recall him is underway.
In his latest proposal, Davis scrapped a plan to pass on the costs of major health and welfare programs to cities and counties. Instead, he wants to shift a smaller number of programs to local governments and support them with $1.8 billion in new money from higher taxes on cigarettes and from an increase in the income taxes paid by the state's highest earners.