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Spending cuts to schools, childhood vaccinations and job-training programs. New taxes on millionaires, cigarettes and legalized marijuana. Borrowing, drawing from rainy day funds and reducing government workers’ pay.These are some actions states are considering to shore up their finances amid a sharp drop in tax revenue caused by the economic fallout from the COVID-19 pandemic.With Congress deadlocked for months on a new coronavirus relief package, many states haven’t had the luxury of waiting to see whether more money is on the way. Some that have delayed budget decisions are growing frustrated by the uncertainty.As the U.S. Senate returns to session Tuesday, some governors and state lawmakers are again urging action on proposals that could provide hundreds of billions of additional dollars to states and local governments.“There is a lot at stake in the next federal stimulus package and, if it’s done wrong, I think it could be catastrophic for California,” said Assemblyman Phil Ting, a Democrat from San Francisco and chairman of the Assembly Budget Committee.The budget that Democratic Gov. Gavin Newsom signed in June includes .1 billion in automatic spending cuts and deferrals that will kick in Oct. 15, unless Congress sends the state billion in additional aid. California’s public schools, colleges, universities and state workers’ salaries all stand to be hit.In Michigan, schools are grappling with uncertainty as they begin classes because the state lacks a budget for the fiscal year that starts Oct. 1.Ryan McLeod, superintendent of the Eastpointe school district near Detroit, said it is trying to reopen with in-person instruction, “but the costs are tremendous” to provide a safe environment for students.“The only answer, really, is to have federal assistance,” McLeod said.Congress approved 0 billion for states and local governments in March. That money was targeted to cover coronavirus-related costs, not to offset declining revenue resulting from the recession.Some state officials, such as Republican Gov. Eric Holcomb of Indiana, are pushing for greater flexibility in spending the money they already received. Others, such as Republican Gov. Mike DeWine of Ohio, say more federal aid is needed, especially to help small businesses and emergency responders working for municipalities with strained budgets.In mid-May, the Democratic-led U.S. House voted to provide nearly trillion of additional aid to states and local governments as part of a broad relief bill. But the legislation has stalled amid disagreements among President Donald Trump’s administration, Republican Senate leaders and Democrats over the size, scope and necessity of another relief package. In general, Republicans want a smaller, less costly version.The prospects for a pre-election COVID-19 relief measure appear to be dimming, with aid to states and local governments one of the key areas of conflict.The bipartisan National Governors Association and Moody’s Analytics have cited a need for about 0 billion in additional aid to states and local governments to avoid major damage to the economy. At least three-quarters of states have lowered their 2021 revenue projections, according to the National Conference of State Legislatures.While Congress has been at loggerheads, many states have pressed forward with budget cuts.Wyoming Gov. Mark Gordon, a Republican, recently announced 0 million of “agonizing” cuts that he described as “just the tip of the iceberg” in addressing a billion budget shortfall caused by the coronavirus and declining revenue from coal and other natural resources. The cuts will reduce funding for childhood vaccinations and eliminate a program to help adults learn new job skills, among other things.“It is not likely that these trends are going to turn around rapidly or as significantly as we would like,” Gordon said.In August, Rhode Island Management and Budget Director Jonathan Womer sent a memo to state agencies instructing them to plan for a 15% cut in the fiscal year that starts next July.In some states, however, the financial outlook is not as dire as some had feared earlier this year.Previous federal legislation pumped money into the economy through business subsidies, larger unemployment benefits and ,200 direct payments to individuals. The resulting consumer spending led to a rebound in sales tax revenue in some states. Many states also delayed their individual income tax deadlines from April to July, which led to a larger than usual influx of summer revenue from taxpayers’ 2019 earnings.In Vermont, where lawmakers are expected to work on a budget next week, a deficit that some had feared could reach 0 million now is pegged around million. A predicted 8 million shortfall in Arizona for the current fiscal year has been revised to just million.Local governments in New Mexico said revenue has been propped up by surprisingly strong sales taxes. But “that sugar high from the federal stimulus will fall off, and our communities will be affected,” said A.J. Forte, executive director of the New Mexico Municipal League.New Mexico Gov. Michelle Lujan Grisham, a Democrat, is urging the Legislature to legalize and tax recreational marijuana as a way to shore up state revenue. Democratic Pennsylvania Gov. Tom Wolf also wants the Legislature to legalize marijuana, with the tax revenue going toward grants for small businesses and criminal justice reforms.State tax revenue often lags economic trends because individuals’ income losses aren’t reflected on tax returns until months later. As a result, experts warn that states might experience the lagging effects of the recession well into their 2021 and 2022 budget years.“The worst is still yet to come,” said Brian Sigritz, director of state fiscal studies at the National Association of State Budget Officers.The 2021 fiscal year began July 1 in most states. But seven states have yet to enact a full-year budget, in some cases because they have been waiting for congressional action on another relief bill.One such state is New Jersey, which shifted the start of its budget year from July to October because of the coronavirus pandemic. Democratic Gov. Phil Murphy recently proposed a budget that would slash about billion in spending, take on billion in debt and raise taxes on millionaires, businesses, yachts, cigarettes and health insurance plans.Murphy has said the initial federal aid didn’t provide enough “to deal with the variety of tsunamis that we’re facing.”In New York, Democratic Gov. Andrew Cuomo’s administration estimates the state will receive about billion less in tax revenue than once expected this fiscal year. Cuomo, who recently became chairman of the National Governors Association, wants Congress to provide an additional billion to New York to plug budget holes that he warns will compound in coming years.“There is no combination of savings, efficiencies, tax increases that could ever come near covering the deficit,” Cuomo said, “and we need the federal government to assist in doing that. Period.”___Associated Press writers Adam Beam in Sacramento, California; Mike Catalini in Trenton, New Jersey; Bob Christie in Phoenix; Tom Davies in Indianapolis; David Eggert in Lansing, Michigan; Mead Gruver in Cheyenne, Wyoming; Morgan Lee in Santa Fe, New Mexico; Marc Levy in Harrisburg, Pennsylvania; Wilson Ring in Stowe, Vermont; Andrew Taylor in Washington; Andrew Welsh-Huggins in Columbus, Ohio; and Marina Villeneuve in Albany, New York, contributed to this report. 7577
Some of San Diego's fastest growing companies will add more than 600 new jobs over the next five years.The hiring, however, is starting now. California awarded 15 San Diego companies tax credits in exchange for investing locally and adding jobs. Overall, the jobs will pay an average salary of about ,000.The state launched what's called the California Competes tax credit in 2013 to combat lower cost states, like Texas, from recruiting companies out of California."We need people, we need equipment, we need to improve our facilities, and that's really helping us do that," said Dave Twining, chief operating officer of Planck Aerosystems, which got a 0,000 credit. The company just expanded into a Midway warehouse large enough for a net for drone testing. In exchange for the credit, Planck is committing to add 23 jobs at an average salary of ,000. Twining said the company needs workers that run the gamut, from office administrators to engineers. Companies are also required to invest or expand in California. BOFI, for Bank of the Internet, got a million credit for its commitment to expand and add 160 jobs in San Diego over the next five years. The jobs will pay an average salary also ,000. But the credits are not just for finance and tech companies. Take Bold Brew Coffee, which recent SDSU grads Jack Doheny and Jake Solomon launched last year. The state is granting them a ,000 tax credit in exchange for expanding locally, and hiring seven workers at an average salary of ,000 a year. "It's Jack and I running the show, and that's why we desperately need some employees to help us out," Solomon said. "We're starting with sales reps and we're working our way up hopefully to some more higher paying jobs as well."Companies have five years to do all of the hiring, but they have to start now."Send us a resume, tell us what you're enthusiastic about," Twining said. "Tell us what you want to be working on, and we'll talk." 2017
Since Sunday, federal immigration agents in Northern California have arrested over 150 people alleged to have violated immigration laws, the US Immigration and Customs Enforcement said Tuesday. Half of them had criminal convictions, according to the agency.In the same statement announcing the arrests, the ICE Deputy Director Thomas D. Homan also lashed out at Oakland Mayor Libby Schaaf, who had publicly warned of the impending ICE operations the day before it began.Schaaf had issued a warning on Saturday and held a press conference the following day, announcing that she had learned that ICE would conduct operations in the Bay Area."I am sharing this information publicly not to panic our residents but to protect them," she had said. "My priority is for the well-being and safety of all residents -- particularly our most vulnerable."But Homan criticized Schaaf for what he described as her "reckless" and "irresponsible" decision."The Oakland mayor's decision to publicize her suspicions about ICE operations further increased that risk for my officers and alerted criminal aliens -- making clear that this reckless decision was based on her political agenda," Homan said in a statement.He said 864 immigrants with criminal records "remain at large in the community and I have to believe that some of them were able to elude us thanks to the mayor's irresponsible decision."Schaaf pushed back on ICE's criticism Tuesday."I do not regret sharing this information. It is Oakland's legal right to be a sanctuary city and we have not broken any laws," she said."We know that law-abiding residents live in fear of arrest and deportation every day. My priority is for the long-term well-being of Oakland, and I know that our city is safer when we share information that leads to community awareness."California and feds at odds 1838
Several of President Donald Trump's outside advisers have told him over the past week he requires neither a chief of staff nor a communications director, at least in the traditional definition of those jobs, according to a person familiar with the conversations.Trump has absorbed the advice, but offered little indication whether he's interested in taking it, the person said. He's been warned by other confidants that it's impossible to run the West Wing without a chief of staff.There are no signs Trump is ready to dismiss top aide John Kelly. But the option of running his White House without a chief of staff has been planted in Trump's mind, and he's not rejected it outright, the person said. 708
SPRING VALLEY (KGTV) -- An hours-long SWAT standoff came to an end Thursday evening in Spring Valley. According to the San Diego County Sheriff’s Department, the incident began around 1:30 on the 10700 block of Jamacha Boulevard. Deputies tried to serve the man with a warrant when he barricaded himself inside his home. The man was taken into custody around 6:30 p.m., the department says. Several nearby mobile homes were evacuated during the standoff. It's unclear at this time what the suspect was wanted for. 522