Orange County Breeze
News of Northwest Orange County, CA





Editorial

July 14, 2012

California ranks dead last among all states for its awful financial management

Printer-friendly version of this post Printer-friendly version of this post
money maze, dollar sign

According to data compiled by Stateline, the daily news service of the Pew Center on the States, California is dead last among all the states for its awful handling of state finances, based on a compilation of credit rating history from Standard & Poor’s.

The credit rating agencies that include Standard & Poor’s rightly received huge steaming heaps of scorn for their lack of oversight leading into the financial crisis that we all continue to suffer from.

But the credit rating assigned to a state directly affects that state’s ability to fund construction projects by selling bonds — the most recently approved example is the high-speed rail.

A- doesn’t sound so bad, eh? And that’s up from BBB 2003!

That California’s credit rating is currently A- means that the state will have to pay a higher interest rate. The money to pay that higher interest rate comes out of the pocket of California taxpayers.

The highest possible rating from Standard & Poor’s is AAA. States currently with that rating: Alaska, Delaware, Florida, Georgia, Indiana, Iowa, Maryland, Missouri, Nebrask, North Carolina, Utah, Virginia and Wyoming.

No other state is rated A-.

Illinois is rated A+!

Stateline offers a lame explanation for California’s poor performance: “California has struggled to balance its budget since strict tax limits began in 1978.”

Translated, that means “California’s state legislators have refused to rein in spending to match state revenues at the expressed demand of the voters.”

Enhanced by Zemanta


About the Author

shelley
Shelley Henderson is a reformed computer and networking geek turned freelance writer. Now she only fixes her own networks and computers. That leaves time for writing, and writing and more writing. And editing the Orange County Breeze. Shelley most enjoys visiting and finding out about local businesses to write business profiles that allow our communities to learn more about their local businesses and the people who own and run them. If you own or manage a business in our coverage area and would like to invite Shelley to write a business profile, let us know.




Subscribe to our daily morning email news update!
 
 

 
Volunteer Service recipient Roberta O’Toole, 2014 Outstanding Contribution to the Arts Award recipient John Brent, 2014 Youth Volunteer Service Award recipient Kylie Tierney. Courtesy photo.

Cypress recognizes its volunteers

The Cypress Recreation and Community Services Commission held its annual awards ceremony on April 15, 2014, at the Cypress Community Center to recognize the recipients of the Volunteer Service Award, the Youth Volunteer Service...
by courtesy
0

 
 
Orange County District Attorney logo

Men from Buena Park, Garden Grove and Stanton among 19 convicted of crimes related to prositution

The Orange County District Attorney’s Office (OCDA) convicted 19 men of loitering, soliciting, engaging, and/or agreeing to engage in prostitution. The men were convicted in March 2014. The defendants in these cases appro...
by courtesy
0

 
 
Members of the 79th SSC at parade rest during the change-of-command ceremony on Feb. 9, 2013. Photo by C.E.H. Wiedel.

JFTB’s 79th Sustainment Support Command to celebrate 106th anniversary of U.S. Army Reserve

On Wednesday, April 23, the 79th Sustainment Support Command will celebrate the 106th anniversary of the U.S. Army Reserve at building 1001, 4201 Saratoga Ave., Los Alamitos, CA, at 2 p.m. For over 250 years, the Citizen-Soldie...
by courtesy
0

 

Subscribe to our daily overnight news summary!

 
Mark Hansberry and Jackson Fortune of Troop 658 in Los Alamitos. Courtesy photo.

Scouts Hansberry and Fortune celebrate their Eagle Court

Mark Hansberry and Jackson Fortune of Troop 658 in Los Alamitos, celebrated their Eagle Court of Honor at Good Shepherd Presbyterian Church after they received scouting’s highest honor the rank of Eagle. Family, friends and t...
by courtesy
0

 
 
Logo for Los Alamitos Race Course.

Overnight purses pumped up for quarter horse racing at Los Alamitos

Overnight purses for races featuring 3-year-olds and upward Quarter Horse have been increased by $1,000 across the board effective with the racing program at Los Alamitos Race Course on Friday, April 18. Quarter Horses of ages ...
by courtesy
0