I am only a small, independent contractor for the state of California, but while there is no budget, no contractors get paid, including those who provide necessary services under medi-cal to children, the elderly, and the disabled. Students cannot receive their student loans, and must drop out of college. Over 100,000 seasonal workers for the state have been laid off. The list of people and businesses effected by this troubling, juvenile taunting over whose budget plan is best is extensive. This equates to hundreds of thousands of people who are in no position to pay their bills or purchase the things they need. When the economy is frail to begin with, taking consumers out of the equation is bad for the economy.
In the meantime, the state legislators, and their staff continue to get paid, including per diem, while the state gets to use the money it should be paying us, to pay some of the rest of its bills, and does so without penalty or interest. We, on the other hand, have had to continue to work and provide services without payment for three months. And here, I thought involuntary servitude went out in 1864. What do I know?
California leads the way, once again. It is the ONLY state in the nation to be currently operating without a budget. Two of the most significant reasons for the debaucle are: the super majority required to pass a budget — 2/3 rds of the legislature (CA is only one of three states in the nation which require a super majority); and second, term limits. We now have an entire legislature made of of politicians with insufficient experience to know how to compromise and work together for the good of the state.
So, if California cannot pass a budget, and doesn’t pay its bills during the impasse, why can’t I? Could I tell MY creditors that I will pay them when I am paid, but without the interest, as I will get none? Could I use that money I would thus save by not paying my bills to buy dog food, paper & ink for my practice, and food? Of course, not. So why is California different?
California is definitely a “deadbeat” who does not pay its bills in a timely manner, while all the time taking care of its politicians. There is no accountability, and there are no repercussions. And our state legislators are not going to change, unless we demand it. This state is broken, folks, and is in sore need of fixing.