What the Controller Can and Cannot Pay Without an Enacted State Budget (Updated for September 2010)

State Controller Chiang has created a new Web page to outline what bills the Controller can and cannot pay during the month of September 2010 until a State budget is enacted for the 2010-11 fiscal year, which began July 1.

Information on Minimum Wage Court Ruling

Controller Issues Statement on Court Ruling Delaying Minimum Wage

Controller Files Opposition Papers Against Minimum Wage Order

Controller Files Cross-Complaint Charging DPA Pay Letter is Illegal

Controller Chiang's statement on the Third District Court of Appeal minimum wage ruling

Response to Department of Personnel Administration draft minimum wage pay letter

Controller Releases July 2010 Cash Figures

State Controller John Chiang has released his monthly report covering California’s cash balance, receipts and disbursements in July. The month’s revenues were below the Governor’s May Revision estimates by $91 million, or 1.9 percent.

“While July’s numbers do not radically change our cash position, the failure to pass a timely budget remains the biggest threat to California’s finances,” said Chiang. “I urge the Governor and Legislature to show leadership by immediately addressing the potential cash crisis.”

For more information, please see our California Fiscal Issues and Information Page.

Controller Advises Governor, Legislative Leaders on Cash Projections

On Wednesday, June 2, State Controller John Chiang sent a letter and chart to the Governor and Legislative leaders, advising them of his latest cash projections based on actual numbers through April and the Governor’s May Revision budget proposal. For more information, please see our California Fiscal Issues and Information Page.

Controller Chiang and Treasurer Send Letters to Holders of Uncashed 2009 IOUs

On Friday, January 15, 2010, State Controller John Chiang and Treasurer Bill Lockyer began mailing letters to those who had not cashed their Registered Warrants (or IOUs) from the 2009 summer cash crisis.

More than 89,000 letters will be issued reminding individuals and businesses to redeem an estimated $50 million worth of IOUs.

Without budget solutions from the Governor and Legislature, the State Controller was forced to issue IOUs to many State payees, beginning in July 2009, to prevent a $2.8 billion cash shortage. IOUs began printing July 2, 2009, and ended September 3, 2009. The State Treasurer began redeeming the IOUs September 4, 2009. 

Each IOU accrued interest through September 3, 2009, but holders do not earn interest past that date. The letter includes redemption instructions and contact information for any IOU holders who have questions about the redemption process.

Registered warrant holders can redeem their IOUs by mailing them to 915 Capitol Mall, Attention Registered Warrant Desk, Sacramento, CA 95814.

IOU holders can also contact their financial institution to see if it will honor the Registered Warrant, and if any charges apply.

For additional information, and a sample copy of the letter to uncashed IOU holders, please see our information pages on registered warrants issued during 2009.

Updates and Information on Registered Warrants Issued by the State During the 2009 Cash Crisis 

Are you still holding a registered warrant (IOU) issued by the State in 2009?

State of California registered warrants (IOUs) issued in 2009 continue to be redeemed. If you want to receive interest that has been earned on the IOU, you can present the warrant to the State Treasurer's Office at 915 Capitol Mall, Sacramento, CA. You may also mail it to the Treasurer's Office at Attention: Registered Warrant Desk, State Treasurer's Office, 915 Capitol Mall, Sacramento, CA 95814.

You also can check with your bank or credit union to determine its policy for cashing IOUs and paying interest.

The State issued 450,000 IOUs worth $2.6 billion between July 2, 2009, and Sept. 4, 2009, when the IOUs matured. Please note that IOUs stopped accruing interest after Sept. 4, 2009.

For more information about redeeming an IOU, please call the State Treasurer’s Office at 1-888-864-2762 or visit them online at www.treasurer.ca.gov.

Information on which financial institutions are accepting IOUs can be found on the State Controller's 2009 registered warrants information pages and the State Treasurer's Web site.

 Please visit our 2009 Registered Warrants Interest Calculator Page for a rough estimate of interest to be paid on your 2009 IOUs upon redemption

 For additional information on California fiscal issues, please see:

• The Controller's Monthly Cash Reports and Summary Newsletters
• The Controller's California Fiscal Issues and Information Page