Countdown to meltdown. The state has until midnight to fix a $24-million dollar budget. If it isn't signed, the state may issue IOU's by Thursday.
Under the gun can best describe what state lawmakers are feeling in a last ditch effort to solve California's budget problems. "We really are. I mean this gives no confidence that will get investors interested in investing in our state," said economist Erik Bruvold.
The problem according to Bruvold is partly because both political parites are not compromising. "Democrats are concerned about spending cuts, particularly to social service programs," he said.
While Republicans, Bruvold said, are against tax increases, and are willing to cut deeply. There are a bunch of programs that are, or will be affected by this budget. State workers will be affected too. More than 230,000 of them might have to be forced to take a third, unpaid furlough day each month. Another program that will be affected is the Council of Community Clinics, and the 16 non-profit clinics within the county. Director Gary Rotto said the cuts will affect thousands of San Diegans who use state programs covered by MediCal. "That's thousands of people that depend on the clinics for adult dental for podiatry, especially if one has diabetes," he said.
If the state doesn't pass a budget by midnight then IOU's will be issued starting on Thursday, according to state controller John Chiang. IOU's haven't been issued since the early 90's. Meaning that if you depend on the state, like a student or a vendor, you may not get a check until weeks or possibly months later. "It's up to their bank, and who they can get to honor it. Or, they'll be sitting on it, and getting paid possibly in the fall," said Bruvold.
Under the gun can best describe what state lawmakers are feeling in a last ditch effort to solve California's budget problems. "We really are. I mean this gives no confidence that will get investors interested in investing in our state," said economist Erik Bruvold.
The problem according to Bruvold is partly because both political parites are not compromising. "Democrats are concerned about spending cuts, particularly to social service programs," he said.
While Republicans, Bruvold said, are against tax increases, and are willing to cut deeply. There are a bunch of programs that are, or will be affected by this budget. State workers will be affected too. More than 230,000 of them might have to be forced to take a third, unpaid furlough day each month. Another program that will be affected is the Council of Community Clinics, and the 16 non-profit clinics within the county. Director Gary Rotto said the cuts will affect thousands of San Diegans who use state programs covered by MediCal. "That's thousands of people that depend on the clinics for adult dental for podiatry, especially if one has diabetes," he said.
If the state doesn't pass a budget by midnight then IOU's will be issued starting on Thursday, according to state controller John Chiang. IOU's haven't been issued since the early 90's. Meaning that if you depend on the state, like a student or a vendor, you may not get a check until weeks or possibly months later. "It's up to their bank, and who they can get to honor it. Or, they'll be sitting on it, and getting paid possibly in the fall," said Bruvold.
