Wednesday, November 12, 2008
Schwarzenegger calls for federal aid
Bond spending and regular operations spending out of the general fund is different. With bond spending the State ends up spending more than we have because even though we've spent the borrowed funds, we're still paying off the interest. For ex. In the mid 80's, Californians approved a transportation bond. According to Cal/Trans, we've spent the borrowed funds. However, we just finished paying the interest. The econcomical way to improve California's infrastructure including water is for the legislature to pass legislation & the Governor sign the legislation-this saves millions in interest payments.
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