California Could Cut Off Feds In Response To Trump Threats

[IsailedawayfromFR]

The state of California is studying ways to suspend financial transfers to Washington after the Trump administration threatened to withhold federal money from sanctuary cities, KPIX 5 has learned. Officials are looking for money that flows through Sacramento to the federal government that could be used to offset the potential loss of billions of dollars’ worth of federal funds if President Trump makes good on his threat to punish cities and states that don’t cooperate with federal agents’ requests to turn over undocumented immigrants, a senior government source in Sacramento said.

The federal funds pay for a variety of state and local programs from law enforcement to homeless shelters.

“California could very well become an organized non-payer,” said Willie Brown, Jr, a former speaker of the state Assembly in an interview recorded Friday for KPIX 5’s Sunday morning news. “They could recommend non-compliance with the federal tax code.”

California is among a handful of so-called “donor states,” which pay more in taxes to the federal Treasury than they receive in government funding.
http://sanfrancisco.cbslocal.com/2017/01/27/california-could-cut-off-feds-in-response-to-trump-threats/

Jerry and Willie Brown are upping the stakes.

Grab the popcorn, as this just might be a great joust to watch.

I wonder how many federal employees and contractors work in California?  Likely to be a lot less after 4 years.

[skeeter]

Maybe its time for California's hard pressed taxpayers to attack Jerry & Willie from the bottom.

Wouldn't that be a scream.

[Quix]

This must be a spoof . . . though . . . given so many Californians pushing for leaving the USA . . .
.
http://www.zerohedge.com/news/2017-01-27/trump-administration-releases-map-proposed-border-wall

[truth_seeker]

Jerry and Willie Brown are upping the stakes.

Grab the popcorn, as this just might be a great joust to watch.

I wonder how many federal employees and contractors work in California?  Likely to be a lot less after 4 years.

At issue are CDBG standing for Community Development block Grants, which go to states, counties, cities etc.

They are funds "block granted" for various purposes, like including law enforcement, low income housing, local health care, fire depts., and many other things.

The federal government collects federal income taxes via the IRS, and collects FICA, FUI via their federal agencies.

These jurisdictions have come to depend on these funds, for their annual budget cycles.

 

[bigheadfred]

At issue are CDBG standing for Community Development block Grants, which go to states, counties, cities etc.

They are funds "block granted" for various purposes, like including law enforcement, low income housing, local health care, fire depts., and many other things.

The federal government collects federal income taxes via the IRS, and collects FICA, FUI via their federal agencies.

These jurisdictions have come to depend on these funds, for their annual budget cycles.

So you are saying there are many vital services that receive federal funding in California? I wonder what the amount is for people there on federally funded food stamps?

[SirLinksALot]

California is among a handful of so-called “donor states,” which pay more in taxes to the federal Treasury than they receive in government funding.

[MajorClay]

Great map, thanks

[Right_in_Virginia]

How is one state a donor state (MI) and others not?  Is it due to the size of the tax base or the tax rate?

Thanks.

[endicom]

How is one state a donor state (MI) and others not?  Is it due to the size of the tax base or the tax rate?

Thanks.

Corporations. Wealthy taxpayers.

[Fishrrman]

"The state of California is studying ways to suspend financial transfers to Washington after the Trump administration threatened to withhold federal money from sanctuary cities, KPIX 5 has learned."

This works both ways.

Perhaps the administration could "study ways" to suspend financial transfers to California, including but not limited to:
- Social Security payments
- Medicare payments
- Medicaid payments
- Food stamps
- Education funding
- Block grants
Virtually ANY and ALL money that "transfers" from the Federal treasury to California.

As "Isailedaway" mused above, "a great joust to watch" ...

[IsailedawayfromFR]

"The state of California is studying ways to suspend financial transfers to Washington after the Trump administration threatened to withhold federal money from sanctuary cities, KPIX 5 has learned."

This works both ways.

Perhaps the administration could "study ways" to suspend financial transfers to California, including but not limited to:
- Social Security payments
- Medicare payments
- Medicaid payments
- Food stamps
- Education funding
- Block grants
Virtually ANY and ALL money that "transfers" from the Federal treasury to California.

As "Isailedaway" mused above, "a great joust to watch" ...

And I believe we all know who will win.

IRS auditors could begin pouring into California hotels to wreck havoc, but I think it might be a more delicate solution to persuade the two Browns to comply.

[goatprairie]

What I would bet is the situation in California is that are many fantastically wealthy people (Silicon Valley, entertainment industry) and many exceptionally poor people. Because Cal has so many fabulously wealthy people it probably sends more money to Washington than it gets back.
But there are also many millions of very poor people sucking up fed. dollars. I doubt the shrinking middle class in southern cal. would like to spend more of their tax  money on the growing poor of their area. Thanks to lax immigration policies the  "poor" in SC outnumber the middle class.
Thank you Democrats for nothing.

[truth_seeker]

What I would bet is the situation in California is that are many fantastically wealthy people (Silicon Valley, entertainment industry) and many exceptionally poor people. Because Cal has so many fabulously wealthy people it probably sends more money to Washington than it gets back.
But there are also many millions of very poor people sucking up fed. dollars. I doubt the shrinking middle class in southern cal. would like to spend more of their tax  money on the growing poor of their area. Thanks to lax immigration policies the  "poor" in SC outnumber the middle class.
Thank you Democrats for nothing.

Do you realize that CA is the #1 Agriculture state in the nation?

Probably #1 Tourism, #1 Entertainment, might still be #1 Defense/aerospace, #2 or #3  Oil/gas, combined Lost Angeles/Long Beach largest harbor/port in the nation, etc..

Most minorities in this state are native born or naturalized citizens. California has a lot more (percent) Hispanics and Asians, whereas most place elsewhere have more blacks in their minority counts. Asians in particular are highly educated and earn high incomes.

The poor in SC do NOT outnumber the middle class, contrary to your assertion. Many of those middle class people will be Hispanics and Asians.

[Wingnut]

Do you realize that CA is the #1 Agriculture state in the nation?

Probably #1 Tourism, #1 Entertainment, might still be #1 Defense/aerospace, #2 or #3  Oil/gas, combined Lost Angeles/Long Beach largest harbor/port in the nation, etc..

Most minorities in this state are native born or naturalized citizens. California has a lot more (percent) Hispanics and Asians, whereas most place elsewhere have more blacks in their minority counts. Asians in particular are highly educated and earn high incomes.

The poor in SC do NOT outnumber the middle class, contrary to your assertion. Many of those middle class people will be Hispanics and Asians.

Do you realize that  no one gives a tinkers Damn about California.  You all are a bunch of goobers.

[Smokin Joe]

Do you realize that CA is the #1 Agriculture state in the nation?

Probably #1 Tourism, #1 Entertainment, might still be #1 Defense/aerospace, #2 or #3  Oil/gas, combined Lost Angeles/Long Beach largest harbor/port in the nation, etc..

Most minorities in this state are native born or naturalized citizens. California has a lot more (percent) Hispanics and Asians, whereas most place elsewhere have more blacks in their minority counts. Asians in particular are highly educated and earn high incomes.

The poor in SC do NOT outnumber the middle class, contrary to your assertion. Many of those middle class people will be Hispanics and Asians.

California is in third, behind Texas and North Dakota, in oil production.

[Suppressed]

California is among a handful of so-called “donor states,” which pay more in taxes to the federal Treasury than they receive in government funding.

Yes, the urban liberal states tend to subsidize conservative ones. 

[Applewood]

Liberal friend of mine is hoping California secedes.   If it does, she wants to move there.  I said, "I hope you like paying taxes because you will be paying a lot if California secedes.  Without federal monies, California taxpayers will have to make up the shortfall."

Her reply:  "Oh, we will just impose tariffs on imports."

Me:  "And who do you think will  willultimately pay for those tarriffs?  Here's a clue:  You!"

And this woman is college educated.  I'm not.

[IsailedawayfromFR]

Liberal friend of mine is hoping California secedes.   If it does, she wants to move there.  I said, "I hope you like paying taxes because you will be paying a lot if California secedes.  Without federal monies, California taxpayers will have to make up the shortfall."

Her reply:  "Oh, we will just impose tariffs on imports."

Me:  "And who do you think will  willultimately pay for those tarriffs?  Here's a clue:  You!"

And this woman is college educated.  I'm not.

And California's largest trading partner Mexico will be importing a lot of stuff. 

How large should the tariff be for imported Mexican labor anyway?

I see the new nation of California looking an awful lot like Saudi Arabia.  The powers that be do nothing, and millions of poorly paid servants do all the work.

A Communist paradise as long as the peasants don't revolt.....

[IsailedawayfromFR]

And here's some more expanding economic notes on the future of California...


California Looks to Build $7 Billion Legal Pot Economy
http://www.newsmax.com/Newsfront/California-Marijuana-Controlling-pot/2017/01/29/id/770932/

[sneakypete]

"The state of California is studying ways to suspend financial transfers to Washington after the Trump administration threatened to withhold federal money from sanctuary cities, KPIX 5 has learned."

This works both ways.

Perhaps the administration could "study ways" to suspend financial transfers to California, including but not limited to:
- Social Security payments
- Medicare payments
- Medicaid payments
- Food stamps
- Education funding
- Block grants
Virtually ANY and ALL money that "transfers" from the Federal treasury to California.

As "Isailedaway" mused above, "a great joust to watch" ...

@Fishrrman

Don't forget federal money for police operations,local,county,and state.

Or money for highways,airports,shipping ports,train subsidies,education,military bases,federal funding for hospitals and healthcare,etc,etc,etc

[txradioguy]

Re: California Could Cut Off Feds In Response To Trump Threats

And that should be met with an immediate halt to any and all Federal funds coming into the state.

[Doug Loss]

Liberal friend of mine is hoping California secedes.   If it does, she wants to move there.  I said, "I hope you like paying taxes because you will be paying a lot if California secedes.  Without federal monies, California taxpayers will have to make up the shortfall."

Her reply:  "Oh, we will just impose tariffs on imports."

Me:  "And who do you think will  willultimately pay for those tarriffs?  Here's a clue:  You!"

And this woman is college educated.  I'm not.

Shhh...don't discourage her.  We also want them to secede, and all the leftists like your friend to flock there...

[Suppressed]

Liberal friend of mine is hoping California secedes.   If it does, she wants to move there.  I said, "I hope you like paying taxes because you will be paying a lot if California secedes.  Without federal monies, California taxpayers will have to make up the shortfall."

That doesn't make sense, as California sends more to DC than it gets.

[Frank Cannon]

That doesn't make sense, as California sends more to DC than it gets.

It's also running a billion and a half deficit.

[goatprairie]

California is in third, behind Texas and North Dakota, in oil production.

Can't find the original story, but from another story a Pew Report found that the middle class in s. cal has dropped below 50%.  The MC is now only about 10% pts ahead of the poor and the lead is shrinking.