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States' Budgets Busted by the Feds

May 24, 2003

Re "The Strange World of Gov. Gray Davis," letter, May 17: Perhaps your letter writer doesn't want to be troubled with facts, but it is quite bizarre that he claims Gov. Gray Davis accumulated debt while serving in times of prosperity. Fact: This state had a surplus until President Bush's tax cut wiped out the federal surplus, directly affecting California.

Why is it that 49 other states are also in dire financial trouble? Federal tax cuts have cost billions in revenues for states. California's state taxes are linked to federal taxes. According to the Washington Post, the governor of Ohio (a Republican) claims that the 2001 federal tax cut contributed to an $800-million deficit for his state. Governors across the country are raising taxes -- including Republican governors.

Add to this the deliberate (undenied by anyone) fraud perpetrated on California by Enron, et al., in overcharging the state for electricity and I think we can safely thank the Bush administration for most of California's financial problems.

C. Jean Cohen

Westminster

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