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  Commentary September 25th, 2008

The Editor 

A Rebuttal to Mark Wyland’s Column appearing in the 9/11/08 edition of The Paper

Why Reduced Spending Would be Detrimental for California
By John Nigro
Business Man,
Escondido, CA

Senator Wyland in last week's issue of The Paper indicated his reasons for not favoring a tax increase. This rebuttal will indicate significantly greater reasons why spending should not be cut. Proposed spending cuts will come from reductions in school spending, in senior spending, and in other areas.

Spending cuts in schools will result in a reduction of teachers. Inasmuch as the unemployment rate is increasing, it will be difficult for laid off teachers to find new jobs forcing some of them onto the unemployment ranks. This has a dual negative effect - it will increase state expenditures and it will result in decreased expenditures by those teachers. With decreased revenues, companies will be forced to lay off employees again having the dual negative effect of increasing state expenditures and reduced expenditures.

And the negative effect of cutting teachers will be felt in years to come as our unprepared students fail to get into the college of their choice or accept lower paying jobs because they are not qualified for higher paying positions. All of this results in lower taxes paid to the state and lower purchases of goods and services.
Reducing expenditures to seniors will result in many of them having to do without and causing many of them severe challenges and most of them are already living day-to-day. Several years ago, we found that we had overcharged a client $5 which I returned to her. She called to thank me because otherwise she wouldn't have had anything of substance to eat until her social security check arrived in 2-3 days. If in-home assistance is cut, then the senior is in grave danger of being hurt but without assistance and end up possibly being further handicapped and requiring hospitalization and therapy. Again increasing state spending.

What California needs to do is to generate increased income for its citizens that will generate increased spending that will generate increased state revenue that will result in a balanced budget.

/s/John Nigro
Lake San Marcos, Ca.





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