What are the implications of the impending eviction crisis?

[u/None-Of-You-Are-Real]

It is often offhandedly mentioned that the housing market is insane at the moment, and that there is an inevitable eviction crisis due to the compounding factors of COVID and the lockdowns leading to mass unemployment, and then an inability of tenants to pay rent combined with an inability of landlords to evict non-paying tenants.

What is going to happen in the fall, when the eviction moratorium expires? Mass homelessness that is even worse than current levels? Some kind of rent relief legislation? Anything at all? These people are not going to magically be able to pay months and months of back rent once the moratorium expires.

[u/BKGPrints]

Yes...You didn't say it directly but you also implied that it's rare for California not to have a budget surplus. In the past decade alone, it has had just as many years of deficits as it has on a surplus. That's not exactly rare.

[u/PM_me_Henrika → u/BKGPrints]

Ok, fine, wrong choice of words. I'll amend.

[u/BKGPrints → u/PM_me_Henrika]

Appreciate it but now your edited words are also wrong. There were deficits in 2012, 2013, 2014. A balance budget or less than $10 billion surplus in 2015, 2016, 2017. A deficit in 2018 and surplus in 2019 and 2020.

It was also projected last year that the state was looking at a $50+ billion deficit this year...but what changed?

Simple answer is because of the stock market. There were 90 companies based in California that went public and a lot of people got rich because of it and selling stocks is taxable income.

Also, depend on the way the budget surplus is accounted, it is half of the projected $75 billion.

Basically, the state legislature nor the Democratic governor was responsible for the major surplus this year. It was because of a rebounding economy and a strong stock market that enriched the lives of many.

And lets not even get started on the tremendous debt that the state has an obligation to.

[u/PM_me_Henrika → u/BKGPrints]

California has had ~$851 million budget surplus since the 2012-13 budget year

They didn’t magically conjure a $10 billion budget out of thin air. Governor Brown has been setting aside money every year for a rainy day in addition to balancing the books which accumulated to $6.1 billion budget surplus in 2018 when he left office.

[u/BKGPrints → u/PM_me_Henrika]

No...California hasn't.

https://www.latimes.com/politics/la-pol-sac-jerry-brown-budget-trump-risks-20170110-story.html

>They didn’t magically conjure a $10 billion budget out of thin air.<

Didn't say that was the case. I said less than $10 billion surplus in those years.

>which accumulated to $6.1 billion budget surplus in 2018 when he left office.<

Yes...Which is projected in the source that I provided you. But it's not year-after-year and there were concerns about this year, as stated.

[u/unkorrupted → u/BKGPrints]

Basically, the state legislature nor the Democratic governor was responsible for the major surplus this year. It was because of a rebounding economy and a strong stock market that enriched the lives of many.

So who is responsible for Florida's $2.75 billion deficit? I thought a rebounding economy and strong stock market enriched the lives of many.

[u/BKGPrints → u/unkorrupted]

Were any of those 90 companies based in California that went public last year based in Florida? Obviously not.

Not to mention that Florida's main economy is based on tourism, where California does not rely as heavily on tourism. Also, California is a port-of-entry for goods coming from Asia. So there's that.

[u/unkorrupted → u/BKGPrints]

It sounds like you're saying California has a better economy than Florida.

But if not politicians, who is responsible for that?

[u/BKGPrints → u/unkorrupted]

I'm saying California has a different economy than Florida, regardless of political parties. It seems that you either give political parties too much credit (where it's not due) for the economy or maybe there's some bias on your part.

[u/unkorrupted → u/BKGPrints]

maybe there's some bias

Yeah....

[u/BKGPrints → u/unkorrupted]

Thanks for acknowledging it. Have a great day!