State Debt Hits $2,559 Per Californian

Maybe California's state motto should be changed from Eureka ("I have found it") to Caramba ("I have spent it").

According to a new report from the state treasurer, eliminating California's red ink would require every man, woman and child in the state to pony up $2,559.

Among the nation's 10 most populous states, only New York ($3,208) and Illinois ($2,564) owe more per capita.

In contrast, Texas' state debt totals $588 per resident and Michigan is $785.

In the 2012-13 fiscal year, California's debt service bill is projected at $8.6 billion, or nearly 9 percent of general fund revenues. If Prop. 30 fails, that percentage would climb higher, the report says.

Tell us what you think in the comments: How should California erase its red ink?