California is basically the left’s model for a utopia within the United States – government subsidized everything, high taxes, pioneers against climate change, and “sanctuary” status for illegals – thanks to Gov. Jerry “Moonbeam” Brown and his progressive policies.
But while the state may offer just about everything a liberal’s wet dream is comprised of, it’s currently undergoing one of the largest reality checks in history, as Tom Del Beccaro, a former candidate for the California State Senate, outlined in an editorial. Del Beccaro didn’t end up winning the seat he ran for, but he did manage to expose the issues Californians are facing, and they’re definitely a plenty.
You see, all of these great pie-in-the-sky ideas have to be paid for in one way or another, and with California being one of the most heavily taxed states in the Union, you’d think they had it covered. But the problem is they don’t, since Moonbeam, like most other liberals, doesn’t grasp basic math.
Thomas Del Beccaro wrote an op-ed in Forbes that laid out the sorry state California has put itself in after years of infrastructure neglect, with those funds being diverted to illegals, global warming, and other such social-justice absurdity.
Del Beccaro wrote:
It is said that California has over $77 billion in deferred road, highway and bridge maintenance. It showed this week with a sink hole in LA because of the rain they didn’t predict. There is also the collapse of part of one of its main highways in the North, Highway 50, from the rain they didn’t predict – not to mention the Oroville dam, the break in a Central Valley levee and over-flowing dams causing flooding in places like the southern part of Silicon Valley.
It gets better, or worse depending on how you look at it. Along with crumbling roads and bridges, the state is about to have a crisis of catastrophic proportions on its hands as its ageing water infrastructure struggles to keep up with its rapidly growing population.
Of course, there is the whole issue of the lack of water infrastructure in California. There is not enough of it to store and supply the water needed for its industry and residents. Indeed, the system was designed for half those living in California today. Keep in mind that, three years ago, even the EPA said California needs $44.5 billion to fix the infrastructure that it has.
Lovely, eh? California is literally collapsing under its own weight, thanks to Moonbeam’s horrible policies. It speaks volumes about the state’s “leadership” that it hands out welfare like Halloween candy to everyone, including illegals, yet it can’t seem to keep up on roads, bridges, water, and other important infrastructure needs that taxpayer money is supposed to fund.
For a summary of how bad it’s gotten in California, we direct you to the Sacramento Bee:
For many years, the California Public Employees’ Retirement System and other state and local pension systems have assumed earnings, technically called the “discount rate,” in the 7.5 percent to 8 percent range, and they seemed to be generally on target.
With that assumption, California’s unfunded pension liabilities – the gap between what the funds expect to have and what retirees will be owed – are roughly $450 billion.
That’s a big number, but investment earnings have stumbled in the last couple of years. CalPERS gained 2.4 percent in 2014-15 and a minuscule 0.6 percent in 2015-16. That generally was the experience of other California and national systems as well.
Were pension fund overseers to drop their discount rates to the 4 percent range, roughly the rate private corporate systems use, California’s unfunded liabilities would probably surpass $1 trillion.
Apparently, California and its liberal leadership are going to have to figure out how to start spending within their means, because what they’re doing obviously isn’t working.