Tuesday, May 15, 2012
San Diego's chief economist with SANDAG said we can expect deeper budget cuts to education and Medicare because of the revised state budget. He said the economy is improving, but at a very slow pace.
"San Diego was expected to add about 24,000 jobs this fiscal year, but will only create about 8,000. A slight improvement, but far less than what people were anticipating," Cox said.
Cox said temporary state solutions haven't worked and the real reforms we need are the one's that impact the annual budget. Not long-term issues, such as pension reform. Cox believes the hardest hit areas from the revised state budget will be medicare, health care and public education.
"More teacher and health care worker layoffs, but construction for courts and jails will continue because of an order from the federal government," Cox said.
Do you think California voters will approve raising taxes in November with a $16 billion budget gap? "The gap is so large now, that even if they do get the tax increase, and that's highly suspect they'll be able to get that, its still not sufficient to close the entire gap," Cox said.