California's Incoming Welfare Bailout

Amanda Carpenter | December 02, 2008 5:35 PM

We've had a $700 billion financial bailout. Detroit is already upping the stakes for their $25 billion auto bailout and now Barack Obama is promising struggling state governors they're going to get theirs, too.

“To solve this crisis and to ease the burden on our states, we need action, and action swiftly,” Obama told members of the National Governor's Association today in Philly.

There,Obama met with GOP California Gov. Arnold Schwarzenegger whose state is on pace to face a $28 billion shortfall by 2010, largely because of unfunded liabilities.

The previous day the governor said California was in the midst of a "fiscal emergency."

The state spent $233.6 billion in 2007, far more than any other state. $56 billion of that went to welfare expenditures, according to Census Bureau figures. This was the second biggest expenditure category. (Education was the first). And that amount of welfare spending is a separate category from the other $17.7 billion was spent on health care and hospitals.

California State Assemblyman Chuck DeVore (R.) went on KFI's John & Ken Show to talk about their state's budget crisis this evening. He said the state's liberal welfare plans are mostly to blame.

"You can game the system in California like you cannot in other states," DeVore said. California is unlike other states because their eligibility standards for welfare benefits are more lax and they have more optional benefits, like dental care.

"If you have not invented a sound for a fiscal emergency siren yet, you need to," DeVore joked to the radio hosts.

DeVore will run against Democratic incumbent Sen. Barbara Boxer in 2010.

If you are interested in viewing 2007 state government financial reports they are all available HERE.