Archive for the ‘Budget’ Category

Texas vs. California Update for June 20, 2014

Friday, June 20th, 2014

Believe it or not, there seem to be a few actual glimmers of sanity in California in the latest roundup:

  • Texas: Not just leading the nation in jobs, but doing it more equitably as well.
  • “The income gap between rich and poor tends to be wider in blue states than in red states.” More: “Texas has a lower Gini coefficient (.477) and a lower poverty rate (20.5%) than California (Gini coefficient .482, poverty rate 25.8%).” (Hat tip: Instapundit.)
  • Perhaps the biggest crack in the “Blue State” model this month was a state superior court judge ruling that California’s teacher protection laws were illegal, because they violated the equal protection clause for students. How the Vergara vs. California decision plays out on appeal is anyone’s guess, but just recognizing that union contracts that keep crummy teachers employed harms students is a huge step forward.
  • New California payroll and pensions numbers are now available. “The data shows that public compensation in California is growing more out of control, threatening the solvency of the state and local governments.” Let’s take a look at a few locales, shall we?
  • Will wonders never cease: CalWatchdog calls the just-passed California budget “fairly prudent.”
  • The legislature also passed a law almost doubling the amount of money school districts pay into CalSTARS.
  • But don’t let that fool you: California’s legislature is still crazy.
  • Especially since California Democrats just elected a new Senate leader guaranteed to pull them to the left.
  • But Republicans are poised to torpedo California Democrat’s Senate supermajority.
  • Desert Hot Springs is contemplating dissolving it’s police force to avoid bankruptcy. (By my count, 21 Desert Hot Springs police officers make more than $100,000 a year in total compensation. Including five officers who make more than the Police Chief…)
  • San Bernardino has evidently reached agreement with CalPERS in it’s ongoing bankruptcy case, but no details have been reported.
  • They also closed a gap in a yearly budget thanks to some union concessions. But one union is balking, and its members are threatening to join the SEIU instead.
  • The California town of Guadalupe considers bankruptcy. One problem is that the town has been illegally transfering money from dedicated funds (like water bills) to general funds. “If voters do not pass three new taxes in November, Guadalupe is expected to disband its police and fire departments, enter bankruptcy or disincorporate, meaning it would cease to exist as a city.”
  • Ventura County residents collection enough signatures to force a ballot measure on pension reform. Response? A lawsuit to keep it off the ballot.
  • Los Angeles 2020 Commission goes over what changes the city needs to avoid a future where “40% of the population lives in ‘what only can be called misery,’ ‘strangled by traffic’ and hamstrung by a ‘failing’ school system.” Response? “Meh.”
  • Sickout among San Francisco municipal bus drivers. Good thing poor people don’t depend on buses for transportation…
  • Huge growth in Texas apartment complexes.
  • California’s prison system illegally sterilizes female inmates against their will.
  • The Obama Administration Department of Education is driving the California-based Corinthian for-profit college chain out of business.
  • A Californian discusses why relocation to Texas might be attractive, and hears the pitch for Frisco, Texas.
  • “‘Building a business is tough. But I hear building a business in California is next to impossible,’ Perry says.”
  • California regulators can’t be arsed to come out and check flaming tap water.
  • California bill to add warning labels to soft drinks fails.
  • California-based nutritional supplement maker Natrol files for bankruptcy, mainly due to class action suits. I note this because I’ve found their 3mg Melatonin to be really effective as a sleep aid.
  • Grappling With the Texas State Budget

    Tuesday, June 10th, 2014

    There seems to be some confusion over Texas Public Policy Foundation numbers for Texas budget estimates. Take, for example, this post by Erica Grieder. (She seems to be sharing space on Burkablog with the titular liberal fossil; I’m going to assume it’s a Sith-apprentice sort of thing…) She accuses TPPF of walking back their estimate of a 26% increase back to a more modest 9% increase.

    The problem is she’s comparing apples to oranges by comparing their numbers for the amount appropriated by the legislature, which increased by some 26% between biennium, as opposed to the total amount spent, which increased by a far more modest 9%.

    Here’s a chart:

    Here’s an in-depth report by Talmadge Heflin, Vance Ginn, and Bill Peacock that explains it in more detail, including such budget arcana as “backfilling” and “patient income funds.”

    Here’s a table containing the actual numbers. Remember that there are multiple line items that don’t get included in the “official” legislative budget document.

    Here’s an editorial by Heflin and Arlene Wohlgemuth explaining it further.

    Now, I do have one criticism of TPPF: All those documents I linked separately above should be boiled down into a single document. Flannery O’Conner once said “To the hard of hearing you shout, and for the almost-blind, you draw large and startling figures.” To which I add “For members of the press, you put key information in the front of the document is visual form so even the skimmers can comprehend it.” Asking some members of the press to look in four places for key information is simply asking too much of them. Especially if there’s drinking to be done, or interviewing another liberal interest group for pull quotes about the perfidious evil of Republicans.

    Ideally there should be a spreadsheet or table near the front of that document with columns showing information just the 2012-2013 and 2014-2015 Bienniums and the % change between them with the following rows of information:

  • Amount appropriated by the legislature
  • Amount actually spent by Texas government for same period
  • Difference between the two
  • Backfilling
  • Patient Income
  • Rainy-Day Fund drawdown (if any)
  • Any other off-budget spending
  • State Revenue
  • Federal Revenue
  • That sort of thing would go a long way toward clarifying state budget expenditures for people who would otherwise protest that they told there would be no math.

    Texas vs. California Roundup for June 3, 2014

    Tuesday, June 3rd, 2014

    Lots of news on the Texas vs. California front. An audit turns up $31 billion in California budget mistakes, Democrats hike the minimum wage there, Jerry Brown tries to do something about the growing CalSTARS pension deficit, and people and businesses continue to depart the “Golden State” for Texas…

  • You know how Democrats were crowing that California had a budget surplus? Forget about it:

    The California Bureau of State Audits set off a scandal on June 1st by disclosing that the State Controller’s Office made accounting misstatements amounting to $31.65 billion. The timing of the announcement may be devastating to the Democrats who expected to use their super-majority to pass billions of dollars in increased spending, but may now find the net effects of the accounting restatements are a $7 billion General Fund deficit.

    Snip.

    As the former Treasurer of Orange County, California it is my preliminary judgment that under state law the negative $7.847 billion impact from overstating general fund assets and revenues and overstating deferred tax revenues may create an “on-budget” deficit to the state’s $96.3 billion “General Fund Budget.”

  • From the same audit: “There was a deferred tax-revenue figure posted as $6.2 billion when it was actually $6.2 million.”
  • California Senate votes to hike minimum wage to $13 an hour. It’s like they want to export ALL their jobs to Texas.
  • Wealth continues to move from high tax states to low tax states. “The nine states without a personal income tax gained $146 billion in new wealth while the nine states with the highest income tax rates lost $107 billion.”

    Union-dominated states are sinking further into economic stagnation as Democratic politicians increasingly dominate the local political climate. In 2012, California Democrats won a supermajority in both houses of the legislature and proceeded to accelerate a tax and spending spree that has been ongoing for two decades. For example, California now has the nation’s top state income-tax rate, at 13.3 percent.

    Those kind of policies have consequences. The Manhattan Institute released a report in 2012 that found that since 1990, California had lost nearly 3.4 million residents to other states with lower tax rates.

    Snip.

    The U.S. is swiftly becoming a tale of two nations. States that are following the Reagan model of low taxes and incentives are booming while states that are opting for the Obama model of wealth redistribution and European welfare-state economics are stagnating.

  • Texas’ unemployment rate “has now been equal to or below the national average since January 2007 and below California’s rate—4th highest in the nation—for 93 consecutive months.”
  • A look at how many more billions per year California taxpayers will be coughing up for the inevitable CalSTARS bailout.
  • “Alameda Unified’s pension costs could nearly triple and those of its teachers could rise by 25 percent under Governor Jerry Brown’s proposal to reform the California State Teachers Retirement System.”
  • But even though its a step in the right direction, Brown’s proposals stretch out installments so far that they’re still not fiscally responsible. “Even with the higher rates, the debt would continue to grow until 2026. That’s because the amortization over 32 years means the payments would essentially not even cover the interest costs for the first 12.”
  • And the assumptions behind the repayment schedule sound like fantasy: “The state still faces a huge unfunded liability in the teachers’ pension fund—the governor’s proposal would increase employee’s contributions by 3 percent and increase school district’s by nearly 2 ½ times and it would still take 30 years to close the gap with a generously estimated 7.5 percent annual return.”
  • Judge rules CalPERS can be sued for mishandling a long-term insurance program.
  • Thanks to various legal rulings, there will be more felons on California streets. “Release on parole continues a steady climb in California. In just the past five years, over twice as many convicts serving life sentences have been paroled than in the last two decades combined.”
  • Cargo aviation firm Ameriflight is relocating from Burbank to Dallas/Ft. Worth.
  • Sony Pictures Imageworks visual effects house is relocating to Canada.
  • Tesla narrows down list of possible factory locations to Arizona, Nevada, New Mexico and Texas. Not on the list: His home state of California. “The winning state will need to have all the necessary permits approved by the time Tesla plans to break ground next month. With the onerous requirements of the California Environmental Protection Act (CEQA) and other environmental regulations, Tesla would be lucky to break ground by 2017 – when its battery factory is scheduled to open.”
  • New effort to bring California’s underfunded health liabilities onto the books. “Legislation in the early 1990s created an investment fund for California state worker retiree health care, but lawmakers never put money in the fund.”
  • Remember the FBI agent who shot and killed a suspect connected with the Boston marathon bombing? Turns out he receives $50,000 a year in disability pay from the Oakland Police Department. And he’s been getting that since 2004, when he retired at age 31. “59% of Oakland Police Department retirees have received disability retirements.” (Hat tip: Pension Tsunami.)
  • Why people are moving to Texas:

    As a growing number of Americans choose to call Texas home, it is critical that policymakers not lose sight of the reasons why: low taxes, limited government, and personal responsibility. Liberty is popular. That’s a message that needs reinforcement, particularly at the local level where some of the macro level trends involving taxes, spending, and debt are moving in the wrong direction. We can keep Texas and our cities beacons of prosperity and flourishing — but to do that, we must understand the principles that got us here, and defend them in policy and the public square.

  • Some California cities have hidden taxes just to fund government worker pensions. (Hat tip: Pension Tsunami.)
  • Lawsuit over California teacher’s union seniority rules to go to trial.
  • Jerry Brown may let California commit more Kelo-like eminent domain abuses.
  • Sriracha followup: The Irwindale City Council voted Wednesday night to drop its declaration that the hot sauce plant was a public nuisance.
  • Just so I’m not accused of glossing over the occasional bit of bad Texas economic news, Motorola Mobility (which is owned by Google) is closing their Texas smartphone assembly plant. But I think this says more about Motorola Mobility’s viability in a smart phone market dominated by Apple and Samsung than about Texas’ economy…
  • Texas vs. California Update for May 14, 2014

    Wednesday, May 14th, 2014

    Time for another Texas vs. California roundup:

  • Chief Executive ranks the states for business friendliness. Once again, Texas is ranked the best state for doing business in. And once again, California is ranked the worst.

    “Texas is the best state for business and I don’t see anything to slow TX down. The education and quality of eligible employees is excellent right now. Business is booming and growing quicker and more rapidly in 2014 than any other year. It’s an exciting time in Texas.”

    “California goes out of its way to be anti-business and particularly where one might put manufacturing and/or distribution operations.”

    “California continues to lead in disincentives for growth businesses to stay.”

    “California’s attitude toward business makes you question why anyone would build a business there.”

    “California could hardly do more to discourage business if that was the goal. The regulatory, tax and political environment are crushing.”

  • California Governor Jerry Brown unveils a budget that takes baby steps toward actual pension and budget reform. Naturally Brown’s fellow Democrats in the state legislature are fighting him every step of the way.
  • Texas vs. California? Try Houston vs. California:

  • California state rep thinks the minimum wage in the state should be $26 an hour. I agree, especially if they call it the “Let’s Drive All Remaining Business to Texas Act”…
  • When he was a San Diego City Councilman, California Democrat Congressman Scott Peters not only underfunded the city’s pension plan while hiking benefits, he indemnified the pension board for doing so.
  • More on Peters, via an attack ad:

  • “A new analysis of California’s independent public retirement systems suggests they are more woefully underfunded than they appear, and that Los Angeles County is among the worst of all.”
  • Bankrupt Stockton’s last remaining big creditor refuses to take 1¢ on the dollar for debts the city owes. (Remember: State pension fund CalPERS didn’t take any haircut at all.)
  • In bankrupt San Bernardino, talks between the city and CalPERS are making the federal judge overseeing the case impatient.
  • Chuck DeVore on why Texans trust their state government more than most:

    Then factors that appear to explain from 13 percent to 30 percent of the differences in trust among the states: rate of union membership,with more trust in states with lower union membership; state’s level of soft tyranny, a measure of the power of state government over its people; percentage of state and local taxes as a share of income, with lower taxes leading to more trust; the right to keep and bear arms, with citizens trusting a government that trusts them to defend themselves; a business-friendly lawsuit climate; the days the legislature is in session, with less trust as the legislature approaches full-time; and the average commute time, with less time spent in traffic leading to more trust.

    Lastly, a combination of from two to four of the previous factors correlates to 34 to 41 percent of the trust in each state with a mix of four: taxes, gun rights, lawsuit reform and commute time, showing the highest link to trust. Comparatively speaking, Texas lawmakers have done well in these four areas of public policy.

    When building trust in state government, enacting liberty-minded legislation is a good place to start.

  • But it isn’t all sunshine in Texas Local debt continues to rise, though Eanes School District voters finally decide that they’ve had enough and defeat a bond proposal.
  • Texas vs. California Update for April 29, 2014

    Tuesday, April 29th, 2014

    Big news, as one of the world’s largest car makers decides to abandon tax-and-spend California for the Lone Star State:

  • Toyota is moving U.S. sales and marketing operations from Torrence, California to Plano, Texas.

    California has become infamous with business executives and owners there not only for high tax rates and complex taxing schemes but also for overzealous regulations and regulators that have managed to stifle the entrepreneurial energy of thousands of companies.

  • “Criminal activity is the extreme manifestation of California’s institutionalized progressive hypocrisy.”
  • ZeroHedge (quoting a certain gun-grabbers business news service) offers up the most and least taxing states in America. Once again, California tops the list for most taxing. Plus a handy visual representation:

  • “California doesn’t just have the highest state income tax in the nation. It leads the rest of the country in almost every category of taxation: the highest state sales tax, the highest taxes on gasoline at the pump, and the highest corporate tax west of the Mississippi. And the taxes aren’t doing much for the people of the state, rich or poor. For the first time in history, the Census Bureau reports that California is also the poorest state in the nation, with 23.8% of the population living in poverty, in large part because of California’s high cost of living (which is not helped by all the sky-high consumption taxes the Democrats have enacted and the poor must pay to survive.)”
  • If that weren’t bad enough, a new bill (SB 1372) threatens to levy a class-war tax on CEO salaries. “Their bill would change the state’s fixed tax rate on publicly traded corporations to a sliding levy that’s pegged to the earnings gap between the top-paid executive and the median worker.” Evidently Democrats want all publicly traded corporations in California to move their headquarters to Texas…
  • The Pension Tsunami is going to wreck California sooner rather than later. “State and local governments in the Golden State have underfunded their golden-parachute pension promises by a terrifying half a trillion dollars. Twenty thousand public employees now collect yearly pensions of $100,000 or more.”
  • Some of the money those “public servants” are raking in is pretty staggering: “In 2012, more than 100 individuals took home more than $500,000 in total compensation; 8,248 raked in more than $250,000; 28,844 cashed in to the tune of $200,000 or more.”
  • Superintendent in a California school district who oversees 6,600 students pulled down a cool $674,559 last year. (Hat tip: Dwight.)
  • Evidently CalPERS and San Bernardino are still negotiating.
  • If you think CalPERS is going broke now, just wait to California’s bankrupt cities start writing down debts owed.
  • Everyone knows San Francisco is as liberal as liberal can be. Yet even there voters have voted down green energy mandates.
  • California hot sauce maker Sriracha is still mulling relocation offers. Texas is still a possibility.
  • California’s tax bureaucracy will continue suing you after 20 years, even if they’ve lost in court.
  • Poll of residents shows that Texas is one of the five most popular states to live in. “Texans rank high on standard of living and trust in their state government, and they are less negative than others are about the state taxes they pay.”
  • Texas isn’t immune from California’s troubles when big city officials start spending like California Democrats. Big-spending Texas cities should learn from bankrupt Detroit’s example.
  • Texas vs. California Update for April 15, 2014

    Tuesday, April 15th, 2014

    Today sucks if you still have to finish your taxes. It sucks more in California than Texas, since you have to pay state income taxes as well. That includes a marginal tax rate of 9.3% for all those millionaires making more than $49,774 a year. As opposed to Texas’ marginal rate of 0.0% for all…

  • Rich Californians don’t seem to mind that their green fantasies are screwing the poor.
  • California Democrats are trying to write racial quotas into the state Constitution. Oddly enough, Asian Americans are actually objecting to their children getting screwed out of college admissions. (Hat tip: Instapundit.)
  • “A combination of unfriendly tax policies, military budget cuts and cutthroat competition is wreaking havoc on California’s storied aerospace industry, a new study cautions.” ​​More here, which notes that:

    Texas and Washington offer low corporate income tax and no personal income tax, while providing a stable business climate and skilled work force. Many high-profile corporations have relocated their operations to new states. Recent examples include Northrop Grumman, which moved its headquarters to Northern Virginia; Raytheon Space and Airborne Systems, which moved its headquarters to McKinney, Texas; and Boeing, which moved two aircraft modernization programs, for the C-130 Hercules military transport aircraft and the B-1 bomber, from Long Beach to Oklahoma City.

  • CalPERS latest report proves conclusively that the fund spontaneously generates unicorns, rainbows and jobs. The Wall Street Journal examines the claims, wipes the vaguely yellow liquid off their legs and concludes “This political report offers one more reason why taxpayers and public workers shouldn’t trust Calpers with their money and would be better served by defined-contribution retirement plans that employees own and control.”
  • The California State Teachers’ Retirement System announced it faces $73.7 billion in long-term liabilities. “CalSTRS has a $71 billion unfunded pension liability.”
  • Both CalPERS and CalSTARS are desperately in need of reform.

    The state teacher pension fund, CalSTRS, needs an extra $4.5 billion each year for 30 years to pay off its unfunded liabilities. CalPERS’ local government members will see costs increase by 50 percent during the next six years. And the state needs to contribute $1 billion more per year for retiree health care benefits.

    These obligations for benefits already earned must be paid, and over the next decade, they will continue to drain funding from essential services such as education, public safety, transportation and health care.

    Yet, powerful interests remain all too eager to kick the can down the road and push our pension problems onto future generations.

  • Why California has an affordable housing crisis.
  • Is there a way out of Taxifornia? As such a solution would require liberals to stop acting like liberals, the answer is: probably not.
  • Bell’s corrupt officials agree to plea bargain deal. Bonus: Robert “Ratso” Rizzo gets 33 months on federal tax evasion charges. (Hat tip: Dwight, who has been all over the Bell story.)
  • At least 60 companies have relocated from California to Texas. But Elk Grove, California is striking back, trying to lure Texas companies to California. “The slogan: ‘Don’t wait for high taxes and stifling regulation to come to you, end the suspense and move to California’ just doesn’t seem too appealing to me.”
  • Continuing troubles with California’s high speed rail boondoggle.
  • Sports equipment maker MonkeySports is relocating from Corona, California to Allen, Texas, adding up to some 225 Texas jobs over two years.
  • A closer look at relocations to the Austin area.
  • Texas vs. California Update for March 13, 2014

    Thursday, March 13th, 2014

    Time for another roundup of Texas vs. California:

  • Texas surpasses California as the top tech exporter.
  • Victor Davis Hanson wants to “save” California by making liberals eat their own dogfood.
  • Texas is creating jobs at all income levels.
  • Vallejo still can’t afford its pensions:

    The California city of Vallejo emerged from bankruptcy just over two years ago, but it is still struggling to pay its bills.

    The main culprit: Ballooning pension costs, which will hit more than $14 million this year, a nearly 40% increase from two years ago.
    Amid threats of legal action from the state’s pension giant, CalPERS, Vallejo did little during its nearly three-year stint in bankruptcy to stem the growth in its pension bills.

  • Rising CalPERS pension costs are also threatening Long Beach’s financial stability.
  • Berkeley is looking a little better for the short term, but after that they too will be feeling the CalPERS squeeze.
  • Pacific Grove is having a referendum to roll back pension increases.
  • California is getting ready to hike gas taxes again, adding another 12¢ a gallon to gas prices.
  • Is there a Democrat-on-Democrat battle over unions brewing in California?
  • California nursing home chain files for bankruptcy. “The dagger in the heart is that we have been overwhelmed by a wave of class-action lawsuits.”
  • A list of former Los Angeles city employees earning six figure pensions. (Hat tip: Pension Tsunami.)
  • California rancher’s are selling their cattle to Texas ranchers due to drought.
  • Cagney Global Logistics relocates from Denver to Irving, Texas.
  • San Jose-based sheet metal manufacturer Cortec is expanding in Pflugerville.
  • Even punk rock queen Exene Cervenka is getting out of California while the getting is good:

    Now when I think about California, I think of a liberal oppressive police state and regulations and taxes and fees. I’d rather go someplace and have my own little place out on the edge of town. I’m a country girl at heart. It makes me happy when I see people in Texas open-carrying. It makes me feel safe. I’m not even a gun owner, but I’d like to see a gun rack in every pickup truck, like my boyfriend had when I was fifteen years old in Florida. An armed society is a polite society.

  • No End In Sight for Texas Oil Boom.
  • Meet the Kronies

    Monday, February 3rd, 2014

    The Kronies has already been blogged by half the rightospehre, but it’s so well done that I wanted to post it here on the off-chance you haven’t watched it yet:

    Texas vs. California Update for January 8, 2013

    Wednesday, January 8th, 2014

    Time for another look at the respective fortunes of the nation’s two biggest states:

  • Between 1992 and 2010, California lost $45.27 billion in income while Texas gained $24.94B. (Hat tip: Moe Lane.)
  • That’s one of the many reasons Texas has a $2.6 billion budget surplus.
  • California’s Attorney General imposes some strange language choices on a proposed pension reform initiative.
  • California Governor Jerry Brown to shift money from a green “cap and trade” fund to the high speed rail boondoggle. “Brown, et al., apparently believe that diverting cap-and-trade fees into the bullet train may buy enough time to move some dirt and lay some track, with the hope that once construction begins, it will create a moral/political commitment to complete the project. But the proposed diversion is more likely to be dumping more money into a bottomless rathole.”
  • Remember: Spending money on green boondoggles means less is available for paying for luxuries like heating classrooms in winter.
  • Desert Hot Springs inches closer to bankruptcy. They’ve already eliminated their fire department, owe $4 million from last year, and are expected to run out of money in April.
  • How the California city of Pacific Grove broke the law and ignored voter wishes to accumulate massive pension debts. “Pacific Grove now has a new unfunded pension deficit of about $45 million, in addition to the $20 million in pension bonds. The deficit grows at 7.5% per year (about $3.2 million compounding).” A neat trick for a city whose entire budget is around $12 million a year. The first in what promises to be a 7 part series.
  • Orange County employees enjoy a whole bunch of plush benefits.
  • There’s a movement afoot in California to replace seniority with performance for determining teacher layoffs. Another group wants to make it easier to fire sex offenders. Naturally teacher’s unions are opposing both. (Hat tip: TPPF.)
  • California declares war on hot sauce maker Sriracha.
  • Is California’s 10 day gun waiting period unconstitutional? (Hat tip: Shall Not Be Questioned.)
  • Restaurant chain Mimi’s Cafe relocates their headquarters from California to Texas.
  • There’s a lot of talk (not yet confirmed) that Vista Equity Partners is planning to move Active Network, Websense, and Omnitracs to Texas.
  • Evidently Los Angeles can no longer support a WNBA team. (Hat tip: Dwight.)
  • Allied Van Lines confirmed that Texas remained the number one destination for relocation in 2013.
  • 14 things non-Texans don’t understand.
  • Dave Barry’s Year-End Roundup for 2013

    Monday, December 30th, 2013

    It’s time once again for Dave Barry’s Year End Roundup. Some highlights:

    it turned out that Obamacare, despite all the massive brainpower behind it, had some “glitches,” in the same sense that the universe has some “atoms.”

    Did anything good happen in 2013? Yes! There was one shining ray of hope in the person of Toronto Mayor Rob Ford , who admitted that, while in office, he smoked crack cocaine, but noted, by way of explanation, that this happened “probably in one of my drunken stupors.” This was probably the most honest statement emitted by any elected official this year, and we can only hope that more of our leaders follow Mayor Ford’s lead in 2014. (We mean being honest, not smoking crack in a drunken stupor.) (Although really, how much worse would that be?)

    [January] begins with a crisis in Washington, a city that — despite having no industries and a workforce consisting almost entirely of former student council presidents — manages to produce 93 percent of the nation’s crises. This particular crisis is a “fiscal cliff” caused by the fact that for years the government has been spending spectacular quantities of money that it does not have, which has resulted in a mess that nobody could possibly have foreseen unless that person had a higher level of financial awareness than a cucumber. At the last minute, congressional leaders and the White House reach an agreement under which the government will be able to continue spending spectacular quantities of money that it does not have, thus temporarily averting the very real looming danger that somebody might have to make a decision.

    Also stepping down is Hillary Rodham Clinton, who, after decades of public service, resigns as secretary of state so she will finally have a chance to spend some personal quality time with her team of campaign advisers.

    As the federal budget deadline passes without Congress reaching agreement, the devastating, draconian, historically catastrophic sequester goes into effect, causing a mild reduction in the rate of increase in government spending that for some inexplicable reason goes unnoticed by pretty much everybody outside the federal government.

    Iran announces that it is constructing a new uranium enrichment plant, which according to a government spokesman will be used for “youth sports.”

    In sports, organizers of the Tour de France announce that this year they’re going to skip the bicycle-riding part and instead just gather all the competitors into a room and see who can do the most drugs.

    the Obama administration decides to once again pivot back to the economy, which continues to falter because — economists agree unanimously on this — not enough presidential speeches have been given about it.

    In politics, San Diego Mayor Bob “Bob” Filner resigns as a result of allegations that he is a compulsive serial horn dog who groped pretty much the entire female population of Southern California. He immediately becomes a leading contender in the New York City mayoral race.

    The federal government, in an unthinkable development that we cannot even think about, partially shuts down. The result is a catastrophe of near-sequester proportions. Within hours wolves are roaming the streets of major U.S. cities, and bacteria the size of mature salmon are openly cavorting in the nation’s water supply. In the Midwest, thousands of cows, no longer supervised by the Department of Agriculture, spontaneously explode. Yellowstone National Park — ALL of it — is stolen. In some areas gravity stops working altogether, forcing people to tie themselves to trees so they won’t float away. With the nation virtually defenseless, the Bermudan army invades the East Coast, within hours capturing Delaware and most of New Jersey.

    By day 17, the situation has become so dire that Congress, resorting to desperate measures, decides to actually do something. It passes, and the president signs, a law raising the debt ceiling, thereby ensuring that the federal government can continue spending spectacular quantities of money that it does not have until the next major totally unforeseeable government financial crisis, scheduled for February 2014.

    Things do not go nearly as smoothly with the rollout of Obamacare , which turns out to have a lot of problems despite being conceived of by super-smart people with extensive experience in the field of being former student council presidents. The federal Web site, Healthcare.gov, is riddled with glitches, resulting in people being unable to log in, people getting cut off, people being electrocuted by their keyboards, people having their sensitive financial information suddenly appear on millions of TV screens during episodes of “Duck Dynasty,” etc.

    Fortunately, as the initial rush of applicants tapers off, the system starts to work a little better, and by the end of the second week U.S. Secretary of Blame Kathleen Sebelius is able to announce that the program has amassed a total enrollment, nationwide, of nearly two people, one of whom later turns out to be imaginary. But this is not good enough for a visibly angry and frustrated and, of course, surprised President Obama, who promises to get the Web site fixed just as soon as somebody answers the Technical Support hotline, which has had the White House on hold for 73 hours.

    public dissatisfaction with Obamacare continues to grow as many Americans discover that their current insurance plans are being canceled. A frustrated and — it goes without saying — surprised President Obama reveals to the nation that “insurance is complicated to buy” and clarifies that when he said “if you like your plan, you can keep your plan,” he was using “you” in the sense of “not necessarily you personally.”

    I hardly need to tell you to read the whole thing, do I?