Tagged: taxes

It’s often said that Labor Day marks the traditional kickoff to campaign season.  And as California voters begin to turn their attention now to the 11 statewide ballot measures this fall, one initiative is by far drawing the most attention.

Proposition 30 is Governor Jerry Brown’s bid to raise the sales and income taxes to help close the state’s festering budget deficit. The governor has a big fundraising advantage – and he’s managed to keep some powerful opponents on the sidelines. Mark DiCamillo runs the non-partisan Field Poll, and he says Prop 30 holds a steady lead.

Governor Jerry Brown says Californians have two choices; vote yes on Proposition 30 in November, or see schools and higher education lose billions of dollars. The Governor kicked off the campaign for his tax initiative in front of a Sacramento high school.

Governor Brown says his tax initiative is needed to stave off deep budget cuts, which could include shortening the school year by three weeks. The November ballot measure would increase sales taxes by a quarter cent for four years and increase taxes for seven years on those who make more than $250,000 dollars annually.

California State Controller John Chiang released his monthly revenue report today. Revenues fell way below projections for July, but state finance officials say it’s not so bad.

The controller says July revenues were $475 million short. The State ended the last fiscal year with a cash deficit of $9.6 billion. As of July 31, that cash deficit totaled $18 billion, and is being covered with temporary loans from special funds. State Controller John Chiang called the collections “disappointing.” Republican Senator Tom Harman says he’s concerned the state will run out of cash soon.