California -- America's first failed state?

It is a very hard place to leave.

It is almost impossible to go back.

 

Idaho.

 

Yeah, probably New Mexico too...

 

Born and raised in L.A. Still love L.A., always will. But I'll never live in Cali again.

I love the East Coast.

 

Utah, Nevada, Colorado. It is amazing how many people are leaving California. There is a lot coming in.

 

Regardless of prop 13, this state is taxed at stupid rates. Sales tax near 10% in LA county. State income tax reaches max (close to 10%) at the lowest threshold in the country (near $47k) - find another state in the country that taxes $47k earners at 9.3%. Some of the highest gas taxes in the country. An extremely unfriendly regulatory climate for business owners. Talk to a small business owner about worker's comp costs in California.

The state will reap what it sows. Net migration of middle class people this decade. Influx of low-skilled immigrants. Benefits are way too rich, even with the taxes generated. Elected officials too busy nailing lobbyists to give a crap.

 

Both of my parents retired to different states after living in California for 40-plus years. Both are living incredibly well in big cities with homes that cost a third of what theirs in Calif. did.

 

Wife won't swim in ocean temperature lower than 27C (82F).

Warmest water off the California coast peaks at 70F.

Guess we're staying on the Atlantic Coast.

 

My uncle is Canadian and was transferred to Orange County. He moved there with his wife and his kids, who were all grown, eventually followed. He had an excellent, high-paying job that allowed him to retire in Laguna Hills, where he still lives, but while his kids have decent jobs I have no idea how they live in the OC.

One of my cousins has her own catering business and her husband is a minister but their house in Mission Viejo is probably the same size as mine and costs four times as much. And my little part of the Toronto 'burbs is not cheap.

Still, Cali is my fave place to visit and I'd move to the OC or San Diego in a second if I could.

 

Wrong. Because of prop 13, this state is taxed at stupid rates. Because of the loss of revenue through prop 13, they have to make up for it through higher taxes everywhere else. Those taxes are regressive. Joe Blow making $10/hour is taxed the same gas tax as Joe Douchebag making $350K.

Whereas a progressive property tax makes sense. If you own a beach house in Malibu, you should be paying a hell of a lot more than a guy owning a three-bedroom in Riverside. Prop 13 screws up everything else.

 

Measures like Prop. 13 are necessary in volatile real-estate markets to keep people from being taxed out of their homes.

If you buy a place for $150,000 in 1976, you should not be forced to sell the place in 2009 just because it has a market value of $850,000 and you cannot pay a property tax bill that is 650% higher than when you bought it.

 

I have no problem eliminating prop 13. The home BTE is describing wouldn't be valued at $850k with more of a tax burden. It'd be less.

The state's current deficit is $20 billion (give or tax whatever accounting tricks the state uses, like changing the fiscal year by a few days to forestall expenses to the next fiscal year). You are just fooling yourself if you think that prop 13 is the root of evil, without addressing the spending the state does.