What's going on with california? (from the horse's mouth please)

[Deschodt]

Unlike seemingly most on this board, I actually want to move BACK to california... I used to live north of SFO and loved it there - scenery, roads, porsche specialists galore, excellent burritos, cosmopolitan people... I've had this plan for a while, my house is FS, started looking for work, no rush but now seemed to be a good time with a depressed housing market....

Except.. what the hell is going on there? The Mega budget deficits are worrying me...
I hear sales tax is already 9% in some counties, property tax doesn't seem to go down even in depressed housing markets, they gotta make up the money somehow... And I don't want to go back to get reamed even more... What is the deal over there ? Where do you residents think this is going ? Where's the money gonna come from ?

[Noah930]

As much as we complain, there are still phenomenal reasons to live in California. Look at our recent Turkey Day run. 30+ Porsche hot rods zipping around the Malibu canyons in perfect weather. If you're a gearhead, this place rocks. That's got to be worth a lot of points on a car forum like this.

The culture is also impressive (though admittedly something you can find in most major cities around the country).

But as you've pointed out, there's a very high cost of living that comes with it. Taxation seems to be double what it is in other states. And we live in a world where government only can get bigger, not smaller. If you're employed, the money comes from YOU. After all, L.A. Times had a statistic this past year that 1 in 5 people in L.A. County are on some form of government assistance. I remember listening to a pitch from a wealth management guy while in residency. He admitted that he no longer takes any new clients from California, due to the near impossibility of his retirement savings protocols working in this place. With a state as diverse as this one, there's got to be a place you can call home somewhere.

edit: Check out this thread: California dreamin'

[scottmandue]

Yes the taxes suck... but the weather, culture, blah, blah, blah, kicks butt.

Yes we are in big budget trouble... however IMHO Cali is too big of an economy to go down (larger than most countries)

Hopefully we will elect a Governor with some business sense this time and not a pretty boy who thinks he can placate the public with cutesy sound bites.

[Moses]

The size of our state government doubled in eight years. When the high-tech boom was hot, tax revenues were extraordinary. Our state legislators made long term financial commitments as if the boom would last forever. It did not.

Our legislators have stubbornly refused to roll back spending in any meaningful way, choosing instead to cut funding in very visible and painful ways; close parks, fire teachers, etc.

California's legislature seems to have decided that the $100 Billion budgets are permanent and essential. The responsibility for balancing the state budget will fall squarely upon the shoulders of the top 5% of earners. The question remains; How many large employers will move their companies to more tax friendly venues? Nevada, Arizona and Texas are anticipating an exodus of businesses from California.

I read an article somewhere that if California lost just 10% of it's top 100 taxpayers it would be a financial calamity. Scary thought.

So... our guess is as good as mine. Can California dig itself out? I know it's possible, but I'm not certain we have the political will.

[Moses]

Originally Posted by scottmandue

Hopefully we will elect a Governor with some business sense this time and not a pretty boy who thinks he can placate the public with cutesy sound bites.

I'm no fan of Arnie, but our budgetary crisis rests completely with the legislature. They have consistently refused to control spending in any meaningful way. In 2000, our state budget was a little more than $50 Billion. When Arnold begged the senate leadership to set the 2009 budget at $100 billion instead of the proposed $105 Billion he was accused of hurting the poor, the minorities, immigrants, etc.

Arnold is no genius, but he's had NO SUPPORT in trying to limit government spending. None.

[McLovin]

Originally Posted by Moses

Arnold is no genius, but he's had NO SUPPORT in trying to limit government spending. None.

Correct as usual. He's had no support from the legislature, or from the voters. He tried to get a bunch of referendums passed, including in 2005, which would have limited government and spending.

You know, crazy stuff like capping the amount of debt the state can get into, and allowing the flexibility of mid year budget cuts.

Of course, the all of it was voted down by California.

I think he realized after that that he is essentially powerless to effect any meaningful change in California.

[Hugh R]

LA County the sales tax is 9.75%!! And the dumbass public voted for it. The only good thing about it is that it forces those who pay no, or very little income tax to contribute more. I plan on retiring in about 10-12 years and it will most likely not be in CA. The State would like to collect about 3X the income/sales/property/vehicle taxes of many other states.

[vash]

9.25% sales tax.

i am managing fine. i was a cautious home buyer and purchased well below my means. i work for arnold, which isnt the best thing. roaming around the shopping areas, makes me think there isnt a crisis. i love it here. less outdoorsy than i like, but even that aspect is improving now that i am expanding my social network. i think if you keep it real, and know your own limits, you can live here easy.

[Moses]

My home is nearly paid for. I'll keep working as long as I can because I like it. I'm paying a huge premium for living here in California but it's home. I'll stay as long as I can. Hopefully forever.

When California's economy really hits bottom, the voters may finally elect a fiscally conservative legislature... Nah!... Who am I kidding?

[NineOhOne]

Originally Posted by vash

9.25% sales tax.

The majority of LA County is 9.75%. There are some pockets at lower rates:

California City and County Sales and Use Tax Rates - Cities, Counties and Tax Rates - California State Board of Equalization

[vash]

i dont think i will retire here. my dream is to live somewhere that i never have to see my neighbors. living within my comfort zone here means that i am asholes to elbows with my next door neighbor.

i want 40 acres and a mule!

moses, it must be nice to see the house payments about to end. well done!

[HardDrive]

Calilfornias problems come down to a gerrymandering system that has left extremely polarized legislative districts. Only the loudest, most extreme, uncompromising members of each party get elected.

Dunno, I don't want this to get tossed over to the politics forum, but as a life long Democrat, I gotta say, its the Democrats fault. Can't put lip stick on that pig. Their nearly suicidal devotion to the states unions and expensive social programs have led to this point, and they refuse to change, even as the ship is sinking.

[NineOhOne]

Originally Posted by vash

i dont think i will retire here. my dream is to live somewhere that i never have to see my neighbors. living within my comfort zone here means that i am asholes to elbows with my next door neighbor.

i want 40 acres and a mule!

Wyoming, Colorado, New Mexico.

Just looked at a property in Hillsboro NM. 60+ acres w/water & electric. Green, rolling hills. Backs up to a game preserve (you can shoot anything that comes on YOUR property ), paved road. Walk outside butt-nekkid. Neighbors will need binoculars to see you. $110k, been sitting for 2+ yrs. now. Thinking about building a foundation and dropping a "custom" pre-fab home down.

[vash]

nine??? that home is the picture is $110k????

my family owns land in ruidoso NM. i can build a fantastic home for less than $80k. i hesitate, because i assume my parents will split it three ways. if i strike first, i can grab the highest plot, but the risk of spending my golden years next to my siblings...(sister in particular).....no thanks.

[NineOhOne]

Originally Posted by vash

nine??? that home is the picture is $110k????

my family owns land in ruidoso NM. i can build a fantastic home for less than $80k. i hesitate, because i assume my parents will split it three ways. if i strike first, i can grab the highest plot, but the risk of spending my golden years next to my siblings...(sister in particular).....no thanks.

Ruidoso is nice too, but a little chilly for me (and, rightfully so, if you ain't Navajo, you're 2nd class). Hillsboro is about 2 hrs. west. Within 30 ~ 40 mins. of Elephant Butte reservoir.

No, the 60.9 ac lot is $110k (or best offer I assume). Small "custom" pre-fab homes (600 ~ 700 s/f) can be had for about $30k up (depending on the level of finish...I can do the plumbing/electrical). You build the foundation and they mail you the home. Crane drops it down for you.

http://www.fabprefab.com/

[sammyg2]

Originally Posted by scottmandue

Hopefully we will elect a Governor with some business sense this time and not a pretty boy who thinks he can placate the public with cutesy sound bites.

He was elected on the promise of fiscal responsibility. remember?

He took office and went to the liberal controlled legislature and asked them to pass a set of bills that would curtail spending and require more fiscal responsibility. Remember?

The lib legislature laughed and said "no way dude". Remember?

Arnold said do it or I'll take it to the people. The legislature laughed and said "go for it dude". Remember?

Arnold put his initiatives on the ballot so the people could vote on them.
The teacher's union spend countless millions to shoot them down. the nurse's union was pissed so they spent millions to shoot them down. The police and fire fighters didn't want to give up their cash cow either, so they spent millions to defeat the initiatives. remember?

The brain-dead average person in Ca is already too liberal, and with all those commercials every 5 seconds there was no way they were going to be able to think for themselves, so they voted as they were told and defeated Arnold's initiatives. Remember?

The unions won, fiscal responsibility lost, Arnold tried to prevent the mess we are in right now and the VOTERS said no way. remember?

No, don't blame Arnold for this mess. Don't you dare. The legislature fought him, the unions fought him, the liberal voters fought him, and he lost. But he did what he could, prolly more than he should have. We (the people of California) deserve everything we get. We asked for it.
Well not actually we, that is figurative. I voted FOR all the initiatives and FOR fiscal responsibility and AGAINST all the spending appropriation initiatives over the past decade or two.
So the responsibility doesn't really fall on my shoulders, it fall on the shoulders of the idiot liberal voters who are too dumb to realize how much damage they were doing. But unfortunately I have to pay for their mistakes.

How did you vote on his initiatives?

[sammyg2]

BTW, this is where I plan to retire and it ain't in California.
My money and I are leaving soon.

[scottmandue]

Originally Posted by HardDrive

California's problems come down to a gerrymandering system that has left extremely polarized legislative districts. Only the loudest, most extreme, uncompromising members of each party get elected.

Dunno, I don't want this to get tossed over to the politics forum, but as a life long Democrat, I gotta say, its the Democrats fault. Can't put lip stick on that pig. Their nearly suicidal devotion to the states unions and expensive social programs have led to this point, and they refuse to change, even as the ship is sinking.

I agree completely... and I also am registered as a democrat...

But what to do? Every politician promises to cut spending, taxes, etc.? Who to believe?

I don't hate Arnold but he is no politician... and that is what it take to get things done in politics... someone who can smoose and make backroom deals (like it or not)... not a celebrity grandstanding and making photo ops.

Sales tax 9.97% here in Lost Angeles... OUCH!

[nostatic]

Unless I lose my job I'm looking at staying in Santa Monica until my son finishes HS (that'll be in 5.5 years). At that point I'll check my options and may consider leaving CA. It would require a pretty substantial change of mindstyle though. Wednesday I pondered surfing after work as I drove past the beach at 80+F temps the day before T-day. Then spent the T-day meal with friends eating on their deck overlooking downtown LA, then rode the bike home. Then spent yesterday having breakfast at a local diner, then checked out music gear at a local very hip music store (Truetone), then had amazing Vietnamese food for dinner. Today will shop for boots and gloves for the boy, tomorrow take the new (to me) dirt bike up to Gorman to teach the boy how to ride, then drive back in time for an audition with a band, and maybe get Indian food for dinner.

Expensive and crowded, but there are still places to be alone, nature is close by, and you can get anything you want here. It really depends on what "qualities" you want in your quality of life assessment.

[motion]

Liberal voters caused this mess. And its just going to get worse. You can't argue with that.