Intresting concept by a State Governer, Gambling on Gambling........ - Mercedes-Benz Forum

LinkBack Thread Tools Display Modes
post #1 of 1 (permalink) Old 05-14-2008, 06:11 AM Thread Starter
Jakarta Expat's Avatar
Date registered: Aug 2006
Vehicle: PM me to Join the Expat Muslims for Obama Club........
Location: Jakarta, Indonesia
Posts: 17,697
Mentioned: 0 Post(s)
Quoted: 3 Post(s)
(Thread Starter)
Intresting concept by a State Governer, Gambling on Gambling........

Schwarzenegger to propose borrowing against lottery

SACRAMENTO, Calif. - Gov. Arnold Schwarzenegger will propose borrowing against future state lottery revenue to help close a budget shortfall estimated as high as $20 billion, administration officials told The Associated Press.

In a revised budget to be released Wednesday, Schwarzenegger will propose raising $15 billion over three years by selling bonds based on anticipated lottery revenue, then use about $5.1 billion of that for the coming fiscal year to help erase the deficit, the officials said Tuesday.

The other $10 billion would be left in a reserve fund the Republican governor wants to create as part of a budget reform proposal. It would be intended to ease the effect of year-to-year revenue fluctuations.

Both the lottery and budget reform proposals would require approval from voters on the November ballot.

If the lottery plan fails, Schwarzenegger will ask the Legislature to approve a temporary 1 cent increase in the state sales tax to pay for the reserve fund. The increase would last no more than three years.

The governor's revised spending plan backs away from some of the less popular proposals in the $141 billion budget plan he released in January, including a proposal to suspend provisions of a voter-approved initiative that guarantees a minimum funding level for schools.

Instead, the budget proposal will include a $1.8 billion increase in funding to schools over 2007-08 levels. Schools still will lose about $4 billion in anticipated revenue because Schwarzenegger's plan would not include cost-of-living increases.

Adding the anticipated $5.1 billion in lottery bond revenue and saving the $4 billion in education spending leaves the administration with some $6 billion in cuts needed to balance the budget.

"This sounds amazing. How does all this work? It sounds risky, almost like a Rubik's cube budget, not a long-term, structurally balanced budget," newly installed Assembly Speaker Karen Bass, a Democrat, said in a statement.

In remarks prepared for delivery at a budget briefing Wednesday afternoon, Schwarzenegger said the lottery has been an underperforming asset. His plan would let the lottery pay out more in prizes in hopes of attracting additional revenue.

Last year, California's lottery generated $3.3 billion in total revenue.

Democrats and Republicans remain far apart on how to close the budget deficit. A deal requires support from two-thirds of members in both houses of the Legislature.

Lawmakers are supposed to approve a new budget each year by June 15, a little more than two weeks before the start of a new fiscal year. They rarely meet that deadline.

Schwarzenegger to propose borrowing against lottery - Yahoo! News
Jakarta Expat is offline  
Sponsored Links

  Mercedes-Benz Forum > General Mercedes-Benz Forums > Off-Topic

Quick Reply

Register Now

In order to be able to post messages on the Mercedes-Benz Forum forums, you must first register.
Please enter your desired user name, your email address and other required details in the form below.

User Name:
Please enter a password for your user account. Note that passwords are case-sensitive.


Confirm Password:
Email Address
Please enter a valid email address for yourself.

Email Address:


  • Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
    Thread Tools
    Show Printable Version Show Printable Version
    Email this Page Email this Page
    Display Modes
    Linear Mode Linear Mode

    Similar Threads
    Topic Author Forum Replies Last Post
    forehead tattooed with the Web address of a gambling site Saigon76nyc Off-Topic 22 12-04-2005 02:28 PM
    Fun Run To Atlantic City for SEMA and Gambling BKLYNbenz C208/A208 CLK-Class 10 05-09-2005 07:17 PM
    Fun Run To Atlantic City for SEMA and Gambling BKLYNbenz C219 CLS-Class 0 05-06-2005 06:54 AM
    Fun Run To Atlantic City for SEMA and Gambling BKLYNbenz Events 0 05-06-2005 06:51 AM
    SL600 , Vegas, Stock Market, or Online Gambling??? NoCuteZCars R129 SL-Class 7 09-09-2004 04:55 PM

    Posting Rules  
    You may post new threads
    You may post replies
    You may not post attachments
    You may not edit your posts

    BB code is On
    Smilies are On
    [IMG] code is On
    HTML code is Off
    Trackbacks are On
    Pingbacks are On
    Refbacks are On


    Title goes here

    video goes here
    description goes here. Read Full Story
    For the best viewing experience please update your browser to Google Chrome