On the heels of a bill to impose new taxes on professional services, the California Board of Equalization estimates that such a law would generate some $123 billion for the state, with revenue roughly split between state and local government.
The California State Board of Equalization (BOE) released an estimate today indicating that California’s state and local governments may receive approximately $122.6 billion in new revenue if tax was collected on services that are currently non-taxable. Of that amount, $60.9 billion could go to the state, with $61.7 billion for city, county, and other local government entities. The estimate assumes a statewide average sales tax rate of 8.42 percent.
CalPERS is about to raise pension contribution rates again, this time by more than 9 percent, a move that will cost state government and local school districts nearly $600 million.
Nearly $500 million of that can be attributed to income taxes. Corporate tax revenues came in $77 million above expectations. But sales taxes fell short, with revenues coming in nearly $100 million below projections.
The working group was formed in part as a response to the efforts of activists with the Los Angeles Parking Freedom Initiative. The group argues that L.A. has improperly used parking fines to solve budget problems and maximize revenue rather than ease parking problems.
California’s incentives to purchase electric vehicles are under attack, as data shows most of the money goes to consumers who earn twice the national average yet collect cash rebates on Tesla Motors luxury models.
Unless it alters its current funding structure, CalPERS will be even more vulnerable to market losses in the next economic downturn than it was during its devastating plunge in the Great Recession. . . Most of the CalPERS governing board members recognize the adjustments are needed, but they have yet to determine the details and price. They’re trying to temper the impact on state and local governments, which already face pension rate increases of roughly 35 percent to 50 percent over the next six years from the three prior calculation changes.
Surface storage is the first and most important part of a comprehensive water solution. Even the areas of the state with the greatest potential to recharge groundwater require a steady supply of water to fill the underground aquifers. Other than the few short months of heavy rains, that water will come from a reservoir.
There’s a wide range of sales tax rates in California, some rates are increasing this week and if pending legislation is successful, the range will get even wider.
Education groups, led by the influential California Teachers Association, have complained for years that the state is near the bottom in per-pupil spending, but with recent and sharp increases in spending, California has climbed rapidly in state-to-state comparisons.
Cap-and-Trade revenues are primarily being spent in the southern Central Valley, the San Francisco Bay Area and Southern California. Though there are clear guidelines for geographically allocating 25% of the Cap-and-Trade revenues, clear guidelines have not been established to geographically allocate the remaining 75%. This report outlines three potential principles for allocating the remaining funds geographically
Overtime for California’s state workers rose 20 percent last year and topped $1 billion even though there are 20,000 fewer employees than in pre-recession 2008, the last time the state paid out so much, according to new payroll data.
As part of its one-state war on global warming, California grants rebates of $2,500 to purchasers of electric vehicles, no matter how wealthy they are, or how much the cars cost. That amounts to a taxpayer subsidy to Tesla Motors, which routinely sells its cars for upward of $100,000, of no less than $34 million so far to 13,600 customers.
The previously undisclosed cost projection, contained in an internal DWP report reviewed by the Los Angeles Times, could mean sharply higher water bills for those who live and work in L.A.
California’s cap-and-trade program will reap far more revenue for clean air projects than the state had previously projected. But most of those dollars will flow disproportionately to the Bay Area and San Joaquin Valley, according to a report released Tuesday. It’s already stirred controversy.