This is an archive of a past election.
See for current information.
California State Government June 6, 2006 Election
Smart Voter

On the Budget

By Frank A. Macaluso, Jr.

Candidate for Governor; Democratic Party

This information is provided by the candidate
The time is now for all parties to be more conservative when it comes to our state's finances. I believe a balanced budget with zero deficit spending is the most responsible policy for maintaining long term growth and producing the revenues to modernize and build up the states infrastructure. Current proposals to finance $220 billion in infrastructure projects with bonds is not the best idea. First, the "taxes" upon the citizens are still there as the state issues debt obligation bonds to finance these projects. Second, we have no guarantee that state revenues will not decrease in future years as they have in the past (and the recent boom in real estate prices which has helped to increase state revenues in recent years may not continue). Third, with the size of the debt obligation the state would be taking on our bond ratings would almost surely decrease making for lower value and demand.

Many variables are involved in developing a budget plan that will maintain mandated funding for education and balance the needs for funding of law enforcement, social programs, Medi-Cal, transportation and other vital services. However, one basic rule should be "don't spend more than you make". The simple concept of a balanced budget makes sense to anyone. It is amazing our politicians continue to spend more than we take in. As a remedy to this situation I propose directly linking spending to the amount the state receives in revenue. This would be accomplished by limiting the new yearly budget to an amount not more than a certain percentage above the amount that was received in revenues the previous year. I would suggest 10% since this would allow for rapid growth but also prevent spending sprees by the legislature during the good years. The state also needs to rapidly build an emergency reserve fund to draw from in years when the economy slumps and to use in times of natural disasters or possible attacks. This surplus fund could also be used for infrastructure projects or rebated back to tax payers.

Next Page: Position Paper 2

Candidate Page || Feedback to Candidate || This Contest
June 2006 Home (Ballot Lookup) || About Smart Voter

ca/state Created from information supplied by the candidate: April 19, 2006 07:24
Smart Voter <>
Copyright © League of Women Voters of California Education Fund.
The League of Women Voters neither supports nor opposes candidates for public office or political parties.