Nielsen Comments On Governor's Proposed State Budget

Tuesday, January 10, 2012

Assemblyman Jim Nielsen (R-Gerber) issued the following statement today following the release of the state budget, previously anticipated to take place on Tuesday, January 10th. This new budget proposal will spend $92.5 billion next year, $6 billion more than the previous budget and assumes voters will support more tax increases.

"The last thing we want to do is stomp on California's recovering economy by raising taxes. If the state cannot live within a 7.9 percent increase in personal income tax revenue over last year, then we really have problems," said Nielsen. "Average California families are certainly not seeing a 7.9 percent raise this year."  

Nielsen said that with each update of the budget, the deficit appears to get smaller, due to an improvement in California's economy. If spending continues to outpace revenues, the state budget can never be balanced.

"The Governor's proposed budget increases spending by a whopping 7% based on his rosy assumptions. The Legislature and the Governor need to get real about reforming this perpetually-flawed budget process by examining every department and expenditure of government to ensure that taxpayer priorities are being met. I suggest a performance-based or a zero-based budget, with a hard spending cap and a reserve as a very good start," said Nielsen.