Monday, May 4, 2009

Recent Issues

Caltrain Plans Fiscal Emergency, Service Reduction, Fare Hikes

Similar to many other measures that many different sectors are facing in the state of California during this economic downturn, Caltrain has to reevaluate its plans for the future in order to stay within their reduced budgets. Caltrain's current economic situation is actually fairly severe because if they do not declare a fiscal emergency in the month of June, next year at this time they will have run out of money. Currently, they are projected to spend about $102.1 million, however, they only have $91.9 million available. Due to this necesity to declare a fiscal emergency, Caltrain is planning on holding a meeting on June 4th in order to address this situation by either proposing service reductions, fare hikes, or both of these measures. They plan to implement their decision by October in order to begin addressing their economic problems. However, many critics are raising the point that if the fare is hiked up to high they may lose ridership especially in such our current economic state. Many people are relying on public transit instead of their cars in order to tighten their budgets, however, possible rises in fare poses a huge cost to these individuals. Therefore, ridership could be heavily affected. This declaration of a fiscal emergency will allow Caltrain to be exempt from review, which will allow them to implement certain measures to curb their spending that they would otherwise would not be allowed to do. This possible threat to ridership must be avoided because currently the majority of funding Caltrain receives is from ridership. Therefore, they would be hurt even further if they were to implement any policies that threatened their ridership. It is interesting to see how more and more industries and sectors within California are feeling the tolls of the economic downturn, despite many people's claims that the economy is beginning to level off. The only silver lining is that hopefully there is the possibility of an increase in ridership due to California's stricter laws in regards to the types of gasolines permitted, which could potentially increase gas prices. It is surprising how even public transportation seems to be struggling and in need of aid, as its competitors, the car industries, are fighting to stay alive as well by receiving government funding and other aid. However, it is a little ironic how the government provides aid to the car industries while it cuts public transportation and provides no help in regards to their economic situation.

Recession Leaves Health Agencies, Hurt by Costs, Brace for Flu


Another area that is being affected by the current economy and the government's efforts to reduce spending is the health care industry. The recession has drained hundreds of millions of dollars and thousands of workers from state and local health care departments. This is posing a great risk for US citizens as the threat of a pandemic looms over our heads. Many health care departments have reported that they have had a difficult time accomodating the many tests and treatments for the H1N1 virus, however thus far they have been able to manage. Despite their current efforts, many are concerned about their ability to respond and treat this virus in the future because currently they barely have enough workers to deal with the daily activity they receive. California's health care department has been cut 10 percent by Governor Schwarzenegger in order to minimize the budget gap, however this poses huge threats to a state so close the Mexican border, where the virus originated. Because of this budget cut, Governor Schwarzenegger has tried to reassure his citizens by declaring a state of emergency within the state due to this virus. He is requiring all agencies to help the health departments in their response to the virus because he realizes the current health deparments are lacking. If this pandemic proves to be more threatening than its current mildness, the health departments could be in serious trouble, not only in California, but throughout the country due to the government's gradual decrease in health care's funding. It seems as if the US and particularly California has not been able to catch a break. Just as soon as they believe they have fixed or addressed a problem, another menacing problem arises and threatens their progress. This is particularly threatening to California because of the fact that it borders Mexico and there have already been several confirmed cases. California is very susceptible to this disease especially with its large population of illegal immigrants from Mexico.

Los Angeles to Use $20 Million in Stimulus Money to Hire Summer Workers


Despite the many failures that are occuring within the different areas and sectors in California, the government has proposed a positive way of spending their stimulus money. Governor Arnold Schwarzenegger and Los Angeles Mayor Antonion Villaraigosa have decided to spend $20 million of the stimulus money on the city's summer youth jobs program. This program will aim to find jobs for individuals of 14 to 24 years of age and they are hoping to find jobs for 16,500 individuals from this age range. They are hoping this program will encourage the city's children to attend schools after realizing the difficulties of their first job and how an education could make a difference in the variety of jobs offered to them in their future. I think this package is very important because as a college student, I know that finding a summer job is extremely difficult especially during the current economic situation. The government's desire to invest in our generation spreads hope and faith throughout our generation that we are not being ignored and we are being looked after as well. We are the future generation that is to run the country therefore providing with work experience and encouraging the youth, especially those in larger cities more likely to disregard education, will be very beneficial in the long run to our country. The government is also using this money to hopefully stimulate the economy by providing new jobs. They are not looking to take away jobs from other citizens, but rather just provide the less qualified students and youth with new jobs. This policy will hopefully motivate the youth to be more involved after their job such as in pursuing an education and giving back to their country. I respect the government's decision to do this because I think often the youth are forgotten about during difficult economic times because their employment is not necessary for survival considering their parents work and the government often believes there are more important matters to tend to.

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