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Sharon M. Morrison's avatar

WHy can’t California just hold its immense federal income tax revenue until they are have a commitment for the federal funds in disaster reliease?

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Lana Miller Caywood's avatar

How are all those California employers going to stop the federal withholdings from paychecks.

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Sharon M. Morrison's avatar

True that. California could sue for breach of contract. The agreement was that states would send a certain oercentage of their citizens’ income to the federal government in return for which the federal government would maintain the “general welfare”. Calif. sent the tax revenue, but the feds didn’t send funds consistent with other disasters.

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Meg Allen's avatar

They just have to pay their employees with cash.

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