For Immediate Release, October 27, 2009
Contact: David Kline (916) 930-3108 or davidk@caltax.org

$600 Million in Government Waste So Far This Year, California Taxpayers’ Association Reports

SACRAMENTO – The non-partisan California Taxpayers’ Association released a report Tuesday documenting state and local government waste, fraud and mismanagement that has cost California taxpayers more than $600 million so far this year.

“The amount of government waste is shocking, especially when taxpayers are being asked to give more and more of their paychecks to the government,” Cal-Tax President Teresa Casazza said. “Almost every government agency claims to be suffering due to cutbacks, yet the media continues to uncover example after example of tax dollars being squandered.”

Cal-Tax compiled news media accounts of waste, and totaled the costs of the examples that could be quantified. The total sum of identifiable waste, fraud or mismanagement amounted to $600 million so far this year. Casazza said the actual amount is much higher, noting that of the 117 examples reported in the media, only 49 were quantifiable. It also should be noted, she said, that the media does not report on all government waste, nor does Cal-Tax staff find and compile every news story on the subject.

“These examples of waste, fraud and mismanagement should be investigated thoroughly and remedied before the state puts together its budget for the next fiscal year,” Casazza said. “Rather than looking for ways to increase taxes, state officials should be increasing oversight and accountability, and should implement procedures to safeguard taxpayers’ hard-earned money. The massive amount of government waste illustrates the need for a yearly evaluation of all programs and their performance, to improve efficiency and eliminate redundant or wasteful spending.”

In addition to compiling annual reports on government waste, Cal-Tax maintains on online database of waste from 1999 to the present, with entries based on investigative reporting by the media, government audits, grand jury probes and other sources. Click here to access the database.

The California Taxpayers’ Association is a non-partisan, non-profit organization founded in 1926 to fight for taxpayers’ rights, guard against unnecessary taxation and promote government efficiency.

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