Money Well Spent (7/27/03)
by Dean Hartwell
Currently, California’s budget deficit runs at about $38 billion. Governor Davis’ political opponents cite this statistic as the main reason to recall him on October 7.
But budget deficits occur when the government spends more money than it brings in. Thus, Davis has overspent.
How has he spent California’s money?
He has spent in on helping those in California in need of help. And for that we should all be grateful.
For instance, Governor Davis has guaranteed financial aid to any needy student who has maintained at least a B-average in high school. This guarantee did not come cheaply. It had a $1.2 billion price tag on it (Source: Governor Davis Committee).
He has also pushed for higher spending on securing safe drinking water. The cost: over $1.1 billion annually (Source: California State University Stanislaus).
The governor also created an energy conservation program. This program cost $850 million (Source: Two Tears in a Bucket).
Fiscal prudence usually dictates that the government should not spend more money than it takes in. Indeed, most states mandate a balanced budget every fiscal year. States make this requirement to ensure that future taxpayers do not have to pay for today’s expenditures.
Thus, Californians will likely have to pay higher taxes to close the budget deficit. To some, this arrangement may appear to be unfair.
But tell that to the high school students who come from poor families and who now have an equal opportunity to achieve in our society. Tell it to those of us who now don’t have to hold our noses to drink water. Tell it to the residents who now need not fear another energy blackout.
Davis balanced the needs of the powerless with the needs of those who pay taxes. He erred on the side of those who needed help the most. He shouldn’t be recalled for helping these people; he should be commended.