Thursday, December 10, 2009

California State Revenue Data: November 2009

The year-over-year decline in California state general fund tax revenue held steady this month, with a slight $33 million decline over last year. The bad news is the trend is looking eerily similar to last year:

It would probably be safe to predict a revenue increase for December if holiday sales come in higher that expected, but we won't really know until March or April 2010 how bad (or good) the budget situation really is. Including last year's deficit, the general fund is still over $20 billion in the red:

So even if revenue came in $2 billion over last year each month until June 30, the state would still be spending more than it takes in! Put another way: the current general fund deficit is almost $700 for every man, woman, and child in California, or $2,800 for a family of four. This problem cannot be solved without spending cuts.


patient renter said...

This problem cannot be solved without spending cuts.


smf said...

1998 Budget - $70 Billion
2008 Budget - $140 Billion

Hmm...looks like a barebones budget to me.

Max said...

The cuts are going to be brutal, unless the feds bail us out, of course. Maybe this is a clever way to reverse the net federal tax outflow from the state. :)

patient renter said...
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