Great idea. The citizens can then pay the salaries of two governors, two lieutenant governors, two comptrollers, all their staff,  two sets of legislators with their staff, two complete departments of motor vehicles, two complete redundant state police, highway, agriculture and other administrators, along will full equipment, vehicles, separate computer networks, IT staffs, office staffs, etc... At least it will reduce unemployment.
Large corporations merge to cut costs and eliminate redundancy (for example Northwest and Delta airlines, Continental and United Airlines). California wants to do the opposite, create redundancy and increase costs. Brilliant.
Or maybe the new state can outsource governance to China to save costs?