OT: California Begins Issuing IOU's

[Voyager]

How do you close a $26-billion budget gap?

California vendors fight for their cash
Small business owners plan layoffs and furloughs if they're saddled with hard-to-redeem IOUs.

July 12, 2009: 10:00 AM ET

NEW YORK (CNNMoney.com) -- As if struggling to stay afloat during a faltering economy isn't difficult enough, hundreds of small business vendors that rely on contracts with California are facing another hurdle: There's a good chance the state won't be paying any of their invoices this month.

After the state legislature failed to agree on budget solutions earlier this month to close a $26 billion gap, California started issuing IOUs for a variety of payments it owes -- including most of its vendor bills, personal income tax refunds, and funding for local governments. "This means that the state is casting off its cash-flow problems onto hundreds of families and small businesses in California," says Jacob Roper, a spokesman for the state controller's office.

So far, California has mailed $354 million worth of IOUs and plans to issue a total of $3 billion by the end of July. Around $140 million of the warrants are expected go to small business owners. While the state controller's office won't say exactly how many small companies will be affected, it's likely to be a big number: The state's department of general services says it holds $2.7 billion worth of annual contracts with at least 14,000 small companies, most of them California firms.

Affected business owners say they're in uncharted territory.

"We've never seen this before -- never had anything happen where we didn't get money from the state," says Gary Button, vice president of Redwood Debris Box Service in Burlingame, Calif., a firm that provides garbage and recycling containers for the state's department of transportation. State work only accounts for about 3% of Redwood Debris' business, but Button is expecting an IOU any day, which he says he will hold on to until it matures.

"I'm not going to cash it in for less than it's worth," says Button.

The state plans to redeem the IOUs, with a 3.75% annual interest rate, on October 2, or earlier if a budget deal is signed. But many small firms -- especially those that do the majority of their business with California -- can't wait that long.

"We've already been delayed by six months in payment from the state -- and now we're expecting one of those IOUs," says Gloria Freeman, owner of Staff USA, a firm in Rocklin, Calif. Contracts with the state account for 80% of her firm's annual revenue. "The real problem is not knowing how long it will take them to resolve this issue."

Staff USA provides medical staffing for various state-run divisions, and Freeman says that California owes her hundreds of thousands of dollars, much of that for services she rendered early this year. In anticipation of receiving an IOU instead of money, Freeman has laid off five employees. Searching for a new cash stream, she recently launched a new online auction business, Auction Ten, that helps consignors sell antiques and collectibles.

While she hopes that Auction Ten sales will help supplement her income, Freeman has found another use for the site. "I'll be auctioning off IOUs for people who don't want or can't redeem them via the bank," she says.

Most small businesses hope to cash in their IOUs at a bank, a process that's turning out to be difficult. Initially, all major California banks said they would honor the IOUs by charging customers a small processing fee, paying out the face value, then taking over the interest. However, the state's largest banks, including Bank of America (BAC, Fortune 500) and Wells Fargo (WFC, Fortune 500), later imposed a deadline. They stopped accepting the IOUs on Saturday.

That's a big problem for small vendors who had no hope of making the deadline because they haven't yet received the warrants they're owed. The state controller's office says there's no pecking order for issuing them; the state pays them out as bills come due.

By enforcing a deadline, the big banks hope to pressure California to make progress fast. "The message that they're sending is that the budget needs to be solved sooner rather than later," says Beth Mills, a spokeswoman for the California Bankers Association. "These banks don't want to be seen as enabling the Legislature."

Redemption options
A number of California's community banks and credit units plan to accept the IOUs indefinitely, but in many cases, the terms are tough.

"My community bank will redeem the IOU for a fee, but I have no choice but to do it," says the owner of an 11-person firm who asked not to be named. "It's not worth my while to wait for this thing to mature. I'd be losing money." His company, which does $10 million in annual business with the state, has been providing goods to prisons, state hospitals, and schools for more than 20 years. This is the first time he's been confronted with an IOU.

"If this situation continues to force us to take losses, I'll have to look into furloughing employees and laying some off," he says. Even before the latest crisis, California was firing off distress flares: Last month, he received a letter from the state asking if he would consider voluntarily reducing his company's charges by 15%.

The California Credit Union League reports that most of its member unions are willing to honor the IOUs, but at many branches, new clients would have to open an account to be able to cash in the warrant. The unions say they're offering as much flexibility as they can: Some are considering modifying the terms of loans they're made to small businesses affected by the IOU situation.

"We're a little different from banks," says Jim Ott, CEO of UNCLE Credit Union, a mid-size union based in Livermore, Calif. "We want to be able to help our members."

As a last resort, cash-strapped companies may be able to redeem the IOUs at check-cashing storefronts or via online marketplaces such as Craigslist or eBay (EBAY, Fortune 500), but small business advisors warn against that because of the large fees and face-value discounts that would be incurred.

"I would automatically find a bank that will redeem the IOU for 100 cents on the dollar rather than taking a haircut by going to a check-cashing facility," says Donna Childs, a business consultant and author of Prepare for the Worst, Plan for the Best: Disaster Preparedness and Recovery for Small Businesses. While businesses selling the IOUs might be able to haggle and receive close to face value, the California State Treasurer's office has mandated that the transactions must be accompanied by a notarized bill of sale signed by the payee whose name appears on the IOU.

For vendors that need cash sooner rather than later, losing a few bucks due to exchange fees might be the least of their worries. If California doesn't resolve its budget crisis soon, many more small companies will end up caught in the political crossfire.

"The level of rhetoric between the governor and the legislature has been very high," says Peter Iannone, a director at the Los Angeles office of CBIZ MHM, a national accounting firm that consults for many small businesses. "So far I haven't seen a lot of indication that they know how to figure this out."

[Peartree12249]

How do you close a $26-billion budget gap?

California vendors fight for their cash
Small business owners plan layoffs and furloughs if they're saddled with hard-to-redeem IOUs.

July 12, 2009: 10:00 AM ET

NEW YORK (CNNMoney.com) -- As if struggling to stay afloat during a faltering economy isn't difficult enough, hundreds of small business vendors that rely on contracts with California are facing another hurdle: There's a good chance the state won't be paying any of their invoices this month.

After the state legislature failed to agree on budget solutions earlier this month to close a $26 billion gap, California started issuing IOUs for a variety of payments it owes -- including most of its vendor bills, personal income tax refunds, and funding for local governments. "This means that the state is casting off its cash-flow problems onto hundreds of families and small businesses in California," says Jacob Roper, a spokesman for the state controller's office.

So far, California has mailed $354 million worth of IOUs and plans to issue a total of $3 billion by the end of July. Around $140 million of the warrants are expected go to small business owners. While the state controller's office won't say exactly how many small companies will be affected, it's likely to be a big number: The state's department of general services says it holds $2.7 billion worth of annual contracts with at least 14,000 small companies, most of them California firms.

Affected business owners say they're in uncharted territory.

"We've never seen this before -- never had anything happen where we didn't get money from the state," says Gary Button, vice president of Redwood Debris Box Service in Burlingame, Calif., a firm that provides garbage and recycling containers for the state's department of transportation. State work only accounts for about 3% of Redwood Debris' business, but Button is expecting an IOU any day, which he says he will hold on to until it matures.

"I'm not going to cash it in for less than it's worth," says Button.

The state plans to redeem the IOUs, with a 3.75% annual interest rate, on October 2, or earlier if a budget deal is signed. But many small firms -- especially those that do the majority of their business with California -- can't wait that long.

"We've already been delayed by six months in payment from the state -- and now we're expecting one of those IOUs," says Gloria Freeman, owner of Staff USA, a firm in Rocklin, Calif. Contracts with the state account for 80% of her firm's annual revenue. "The real problem is not knowing how long it will take them to resolve this issue."

Staff USA provides medical staffing for various state-run divisions, and Freeman says that California owes her hundreds of thousands of dollars, much of that for services she rendered early this year. In anticipation of receiving an IOU instead of money, Freeman has laid off five employees. Searching for a new cash stream, she recently launched a new online auction business, Auction Ten, that helps consignors sell antiques and collectibles.

While she hopes that Auction Ten sales will help supplement her income, Freeman has found another use for the site. "I'll be auctioning off IOUs for people who don't want or can't redeem them via the bank," she says.

Most small businesses hope to cash in their IOUs at a bank, a process that's turning out to be difficult. Initially, all major California banks said they would honor the IOUs by charging customers a small processing fee, paying out the face value, then taking over the interest. However, the state's largest banks, including Bank of America (BAC, Fortune 500) and Wells Fargo (WFC, Fortune 500), later imposed a deadline. They stopped accepting the IOUs on Saturday.

That's a big problem for small vendors who had no hope of making the deadline because they haven't yet received the warrants they're owed. The state controller's office says there's no pecking order for issuing them; the state pays them out as bills come due.

By enforcing a deadline, the big banks hope to pressure California to make progress fast. "The message that they're sending is that the budget needs to be solved sooner rather than later," says Beth Mills, a spokeswoman for the California Bankers Association. "These banks don't want to be seen as enabling the Legislature."

Redemption options
A number of California's community banks and credit units plan to accept the IOUs indefinitely, but in many cases, the terms are tough.

"My community bank will redeem the IOU for a fee, but I have no choice but to do it," says the owner of an 11-person firm who asked not to be named. "It's not worth my while to wait for this thing to mature. I'd be losing money." His company, which does $10 million in annual business with the state, has been providing goods to prisons, state hospitals, and schools for more than 20 years. This is the first time he's been confronted with an IOU.

"If this situation continues to force us to take losses, I'll have to look into furloughing employees and laying some off," he says. Even before the latest crisis, California was firing off distress flares: Last month, he received a letter from the state asking if he would consider voluntarily reducing his company's charges by 15%.

The California Credit Union League reports that most of its member unions are willing to honor the IOUs, but at many branches, new clients would have to open an account to be able to cash in the warrant. The unions say they're offering as much flexibility as they can: Some are considering modifying the terms of loans they're made to small businesses affected by the IOU situation.

"We're a little different from banks," says Jim Ott, CEO of UNCLE Credit Union, a mid-size union based in Livermore, Calif. "We want to be able to help our members."

As a last resort, cash-strapped companies may be able to redeem the IOUs at check-cashing storefronts or via online marketplaces such as Craigslist or eBay (EBAY, Fortune 500), but small business advisors warn against that because of the large fees and face-value discounts that would be incurred.

"I would automatically find a bank that will redeem the IOU for 100 cents on the dollar rather than taking a haircut by going to a check-cashing facility," says Donna Childs, a business consultant and author of Prepare for the Worst, Plan for the Best: Disaster Preparedness and Recovery for Small Businesses. While businesses selling the IOUs might be able to haggle and receive close to face value, the California State Treasurer's office has mandated that the transactions must be accompanied by a notarized bill of sale signed by the payee whose name appears on the IOU.

For vendors that need cash sooner rather than later, losing a few bucks due to exchange fees might be the least of their worries. If California doesn't resolve its budget crisis soon, many more small companies will end up caught in the political crossfire.

"The level of rhetoric between the governor and the legislature has been very high," says Peter Iannone, a director at the Los Angeles office of CBIZ MHM, a national accounting firm that consults for many small businesses. "So far I haven't seen a lot of indication that they know how to figure this out."

Holy crap!

[Rick]

How do you close a $26-billion budget gap?

First thing you have to do is get that Republican out of control.

[The Sushi Hunter]

Any of you remember 30 plus years ago when the big talk around the U.S. was how California was going to fall into the ocean one day because of an earthquake? Well I remember and.....well, here it is...not exactly from an earthquake though. California is one hosed up POS. What to expect from a state that has more people sponging off the system than is paying into it. Much of the people who are smart took their money which they worked hard for and got the fuck out. No more rich people to take more money away from so now the state is dead broke.

It's the people of California who made this happen. The Governor can say all he wants, BUT it's ultimately not up to him which laws and bills pass and don't pass. It's the people who vote on which laws and bills will pass or not. That's the people who reside in California who vote. If the governor of California could pass anything on his entire own, he'd a passed a law making all lard asses shape up so they wouldn't no longer be a liability to the fucked up health care system.

[slucero]

Any of you remember 30 plus years ago when the big talk around the U.S. was how California was going to fall into the ocean one day because of an earthquake? Well I remember and.....well, here it is...not exactly from an earthquake though. California is one hosed up POS. What to expect from a state that has more people sponging off the system than is paying into it. Much of the people who are smart took their money which they worked hard for and got the fuck out. No more rich people to take more money away from so now the state is dead broke.

It's the people of California who made this happen. The Governor can say all he wants, BUT it's ultimately not up to him which laws and bills pass and don't pass. It's the people who vote on which laws and bills will pass or not. That's the people who reside in California who vote. If the governor of California could pass anything on his entire own, he'd a passed a law making all lard asses shape up so they wouldn't no longer be a liability to the fucked up health care system.

Try researching something woudja?

California's problem isn't the people "sponging"... its the Democrat led Legislature, that continually protects all those "programs" that should be CUT.... and the actual ROOT OF THE PROBLEM is California's voting districts...

Over the years, both Republican and Democrat legislators and their partisan allies have conspired to draw their own legislative district lines, carving out safe seats for themselves, and rigging the voting districts in such a way that 99% of those running for re-election in California legislative contests have always won. Without worrying about defending one’s record to the people, lawmakers have little incentive to be receptive to voter needs and make the tough choices needed to solve Californias problems. This is why California's Legislature is perpetually gridlocked.

So the people really haven't had their "Votes" count for awhile now...

In a nutshell, the current system is now rigged... and the legislators have no fear of voter repercussion....

In Arnolds "defense"... he tried to get a redistricting reform started.. first in the Legislature... but they would have none of that...

So Arnold wound up supporting Prop 11, which was passed last fall. This is the redistricting reform that will have an independent citizens’ commission draw district boundaries, not the politicians. Prop. 11 will require that the boundaries be drawn based on non-partisan rules and requires the districts to reflect the diversity of communities, instead of the ambitions of politicians who want to win re-election.

So the People DID finally get their votes to count for something, something that will eventually change things in California...

Those opposed to this bill? Every Democrat and liberal in California it seems...

* U.S. Senator Barbara Boxer
* House Speaker Nancy Pelosi, D-San Francisco
* Lt. Governor John Garamendi
* Rep. Devin Nunes, R-Visalia
* Rep. Kevin McCarthy, R-Bakersfield.[2]
* Aaron Peskin, President, San Francisco Board of Supervisors
* Henry "Hank" Lacayo, President, Congress of California Seniors
* Ted Costa, CEO, People’s Advocate Inc.
* Richard Jaquez, Oxnard Union High School District Board of Trustees
* 12th AD Democratic Club
* African American Democratic Club
* Alice B. Toklas LGBT Democratic Club
* American Federation of State, County and Municipal Employees (AFSCME)
* American GI Forum of California
* Asian American Justice Center
* Asian Law Alliance
* Asian Law Caucus
* Asian Pacific American Democratic Caucus
* Asian Pacific American Legal Center of Southern California (APALC)
* Asian Pacific Democratic Club
* Asian Pacific Islander Legislative Caucus
* Asian Pacific Policy & Planning Council (A3PCON)
* AsianWeek
* Bernal Heights Democratic Club
* Beverly Glen Democratic Club
* Black Mountain Democratic Club
* Burbank Democratic Club
* Butte-Glenn Central Labor Council
* California Alliance for Retired Americans
* California Democratic Party
* California Federation of Teachers
* California Labor Federation
* California League of Conservation Voters
* California State Firefighters Association
* California Young Democrats
* Calitics Blog
* Center on Race, Poverty & the Environment
* Central City Democrats
* Chicano Consortium
* Chinese for Affirmative Action
* City Democratic Club of San Francisco
* Coalition of Black Elected Officials and Retirees
* Congress of African People
* Congress of California Seniors
* Culver City Democratic Club
* Del Norte County Democratic Central Committee
* Democracy for America
* Democratic Club of Pasadena Foothills
* Democratic Party of San Fernando Valley (DPSFV)
* Democratic Women’s Forum of San Francisco
* Democrats of Napa Valley
* District 11 Democratic Club
* East Bay Gray Panthers
* East Bay LGBT Democratic Club
* Eastlake-Bonita Democratic Club
* Evergreen Democratic Club
* Franklin D. Roosevelt Democratic Club
* Gardena Valley Democratic Club
* Green Party of California
* Harvey Milk LGBT Democratic Club
* Hispanas Organized for Political Equality (HOPE)
* International Brotherhood of Electrical Workers (IBEW) Local 11
* Irish American Democratic Club
* JFK Democratic Club
* Lake County Democratic Party
* Lake County Stonewall Democratic Club
* Latino Issues Forum
* League of United Latin American Citizens (LULAC) #13136
* Libertarian Party of California, The
* Los Angeles City Employees Chicano Association
* Los Angeles Community Legal & Educational Center
* Los Angeles County Chicano Employees Association
* Los Angeles County Democratic Party
* Los Angeles County Federation of Labor
* Los Angeles County Hispanic Managers Association
* Madera County Democratic Party
* Mexican-American Correctional Association, Los Angeles Chapter
* Mexican American Legal Defense and Educational Fund (MALDEF)
* Mexican American Political Association (MAPA)
* Monterey Bay Central Labor Council
* NAACP-Sacramento
* Napa-Solano Central Labor Council
* National Association for the Advancement of Colored People Legal Defense Fund (NAACP-LDF)
* National Association of Latino Elected and Appointed Officials Educational Fund (NALEO-EF)
* National Association of Social Workers-California Chapter
* National Latino Congreso
* National Organization for Women-Hollywood Chapter
* Noe Valley Democratic Club
* North Bay Central Labor Council
* North Valley Democratic Club
* Novato Democratic Club
* Pacific Palisades Democratic Club
* PawPAC
* Progressive Democrats of Los Angeles
* Progressive Democrats of the Santa Monica Mountains
* Raoul Wallenberg Jewish Democratic Club
* San Diego County Democratic Party
* San Diego Democratic Club
* San Diego-Imperial Counties Labor Council
* San Francisco for Democracy
* San Francisco Labor Council
* San Francisco Women's Political Committee
* San Francisco Young Democrats
* San Mateo County Labor Council
* Santa Barbara County Democratic Party
* Santa Clara County Democratic Party
* Simi Valley/Moorpark Democratic Club
* Stanislaus-Tuolumne Central Labor Council
* State Building and Construction Trades Council of California
* Stonewall Democratic Club
* Stonewall Democratic Club of Greater Sacramento
* Sutter County Democratic Central Committee
* Teamsters Joint Council 42
* Tenant Associations Coalition Political Action Committee (TAC PAC)
* Trinity County Democratic Central Committee
* United Farm Workers
* United Teachers Los Angeles (UTLA)
* West Hollywood Democratic Club
* Westside Chinese Democratic Club
* Westside Progressives
* Westwood-Westside Democratic Club
* William C. Velasquez Institute

[RedWingFan]

How do you close a $26-billion budget gap?

First thing you have to do is get that Republican out of control.

To be more specific, get that LIBERAL republican out of control!!!! Along with the LIBERAL Legislature Rick.

[Rick]

How do you close a $26-billion budget gap?

First thing you have to do is get that Republican out of control.

To be more specific, get that LIBERAL republican out of control!!!!

I had a feeling I'd hear from you on that one.

[artist4perry]

How do you close a $26-billion budget gap?

First thing you have to do is get that Republican out of control.

To be more specific, get that LIBERAL republican out of control!!!!

To be sure! Go back to acting.................Ahnold......

[Voyager]

What to expect from a state that has more people sponging off the system than is paying into it.

There is the problem explained in one single sentence. Why can't the fucking politicians figure this shit out?

Over 70 hospitals in California have gone bankrupt by being forced to give free care to illegals immigrants. No wonder - there are over 4-million illegal immigrants who live in California, and most of them do not have any health insurance because they don't even have legal right to be there to begin with. The hospitals are forced by law to take them in and treat them.

Over 75% of the people on the most wanted list of criminals in Los Angeles are illegal immigrants. In addition, over 15% of the inmates in California prisons are illegal immigrants being housed and cared for with tax dollars.

I'm not saying the illegal immigrant problem is the main cause of the entire California budget deficit by any means... but I don't think it would be a stretch to estimate that at least 20% of their budget deficit is due to this problem. I don't think anyone really knows what the actual cost is to the State of California. We do know a few things for sure though... the problem isn't helping the California budget crisis, and it's not going away anytime soon.

Okay now shoot me down for being "racist" - LOL! Then answer this question:

When the State of California starts cutting benefits that it can't pay for, who should they start with first - citizens, or illegal immigrants?

[The Sushi Hunter]

What to expect from a state that has more people sponging off the system than is paying into it.

There is the problem explained in one single sentence. Why can't the fucking politicians figure this shit out?

Over 70 hospitals in California have gone bankrupt by being forced to give free care to illegals immigrants. No wonder - there are over 4-million illegal immigrants who live in California, and most of them do not have any health insurance because they don't even have legal right to be there to begin with. The hospitals are forced by law to take them in and treat them.

Over 75% of the people on the most wanted list of criminals in Los Angeles are illegal immigrants. In addition, over 15% of the inmates in California prisons are illegal immigrants being housed and cared for with tax dollars.

I'm not saying the illegal immigrant problem is the main cause of the entire California budget deficit by any means... but I don't think it would be a stretch to estimate that at least 20% of their budget deficit is due to this problem. I don't think anyone really knows what the actual cost is to the State of California. We do know a few things for sure though... the problem isn't helping the California budget crisis, and it's not going away anytime soon.

Okay now shoot me down for being "racist" - LOL! Then answer this question:

When the State of California starts cutting benefits that it can't pay for, who should they start with first - citizens, or illegal immigrants?

Much of what you said here is exactly what I wanted to say about it also. But I didn't cause I thought I'd get my titties pinged on like I did in another thread earlier. What you said about health care is accurate. I knew a Caucasian old lady who had a Mexican boyfriend who was half her age. She told me that every time his mother needed an operation medical treatment of sorts, she'd come to the U.S. from Mexico to visit him and end up going into a hospital in San Francisco to get her medical issues taken care of, completely free of charge because this is America and California, home of the bleeding hearts. After she got treatment and became all better again, she'd jet back home to Mexico.

[Sarah]

Wow, where can I get this free healthcare? I'm sponging off the system because no one will hire me and I need a roof over my head. I've even started applying to places like Disneyland and retail, minimum wage.

I gotta get out of California.

[KenTheDude]

Wow, where can I get this free healthcare? I'm sponging off the system because no one will hire me and I need a roof over my head. I've even started applying to places like Disneyland and retail, minimum wage.

I gotta get out of California.

I have a feeling that SteveW2 would let you stay at his house for free.

[stevew2]

Wow, where can I get this free healthcare? I'm sponging off the system because no one will hire me and I need a roof over my head. I've even started applying to places like Disneyland and retail, minimum wage.

I gotta get out of California.

You could shack up at my pad,there is nothin but fruits and nuts,and bi s out there anyway. Id pay ya right now to clean the joint

[Rockindeano]

It isn't Arnold's fault.

It is the Democratic assembly. Toooooo liberal.

It will take some taxing, and republicans will have to bend a little, but there is too much spending going on, and when I say spending, I mean social welfare. It's ridiculous. Everybody it seems has a Golden state advantage Credit card(Welfare). Amazing.

To the rest of you throughout these United States, California is the big enchilada...a bit more important than shit states like Oklahoma, Indiana and Kansas. California is the world's 7th largest economy.

[Rockindeano]

Wow, where can I get this free healthcare? I'm sponging off the system because no one will hire me and I need a roof over my head. I've even started applying to places like Disneyland and retail, minimum wage.

I gotta get out of California.

Wouldn't leave too early.

California will be where the recovery begins and will again be the richest state in the nation. wait it out for 5 months and then decide.

[stevew2]

It isn't Arnold's fault.

It is the Democratic assembly. Toooooo liberal.

It will take some taxing, and republicans will have to bend a little, but there is too much spending going on, and when I say spending, I mean social welfare. It's ridiculous. Everybody it seems has a Golden state advantage Credit card(Welfare). Amazing.

To the rest of you throughout these United States, California is the big enchilada...a bit more important than shit states like Oklahoma, Indiana and Kansas. California is the world's 7th largest economy.

Throw Kentucky and Arkansas in there, everybody is inbred there

[slucero]

Nothing in California gets sorted out permanently until there's some permanent replacement of those in the current Legislature...

[Sarah]

Wow, where can I get this free healthcare? I'm sponging off the system because no one will hire me and I need a roof over my head. I've even started applying to places like Disneyland and retail, minimum wage.

I gotta get out of California.

Wouldn't leave too early.

California will be where the recovery begins and will again be the richest state in the nation. wait it out for 5 months and then decide.

Well I just don't know if I can handle 5 months of living with my parents (I'm going to have to move home soon if I don't get an income asap), who will be yelling at me on a daily basis as long as I continue not getting hired, or if I end up with something less than a full time $40k job thereby wasting all the money they spent sending me to UCLA. My life totally sucks right now.

[JH'sTXfan]

Any of you remember 30 plus years ago when the big talk around the U.S. was how California was going to fall into the ocean one day because of an earthquake? Well I remember and.....well, here it is...not exactly from an earthquake though. California is one hosed up POS. What to expect from a state that has more people sponging off the system than is paying into it. Much of the people who are smart took their money which they worked hard for and got the fuck out. No more rich people to take more money away from so now the state is dead broke.

It's the people of California who made this happen. The Governor can say all he wants, BUT it's ultimately not up to him which laws and bills pass and don't pass. It's the people who vote on which laws and bills will pass or not. That's the people who reside in California who vote. If the governor of California could pass anything on his entire own, he'd a passed a law making all lard asses shape up so they wouldn't no longer be a liability to the fucked up health care system.

We are getting a lot of rich Californians moving into our area of Texas and bringing a big boost to our local economy with them. They are surely welcome.

[stevew2]

Any of you remember 30 plus years ago when the big talk around the U.S. was how California was going to fall into the ocean one day because of an earthquake? Well I remember and.....well, here it is...not exactly from an earthquake though. California is one hosed up POS. What to expect from a state that has more people sponging off the system than is paying into it. Much of the people who are smart took their money which they worked hard for and got the fuck out. No more rich people to take more money away from so now the state is dead broke.

It's the people of California who made this happen. The Governor can say all he wants, BUT it's ultimately not up to him which laws and bills pass and don't pass. It's the people who vote on which laws and bills will pass or not. That's the people who reside in California who vote. If the governor of California could pass anything on his entire own, he'd a passed a law making all lard asses shape up so they wouldn't no longer be a liability to the fucked up health care system.

We are getting a lot of rich Californians moving into our area of Texas and bringing a big boost to our local economy with them. They are surely welcome.

You all need more mexicans