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The Latest on the California Budget from Senator Perata

By Don Perata
President pro Tem
California State Senate

Perata-New-session.gif

We are more than three weeks into the budget year which began July 1st, but have no 2007-08 state budget. I thought you would appreciate an update on the continuing negotiations.

The Legislature has spent months preparing a budget and we need to pass one immediately. Democrats have made all the cuts we can and support the budget plan passed by the Assembly and backed by the Governor. Senate Republicans are demanding more than their Assembly counterparts and our Republican Governor.

Before the Assembly voted on the budget, Democrats from both houses agreed to $1.3 billion in cuts. The Senate Republicans are calling for additional cuts aimed at children, seniors and people who are homeless. These cuts would destabilize families, undercut education and cost the state more money in the long run by putting thousands of Californians at risk of falling through the safety net and adding to the state's prison and corrections costs. While we continue to work on a compromise both parties can live with, I want you to know that I came to Sacramento to protect vulnerable Californians and I will not dismantle the few existing safety nets.

At the beginning of July, legislative leaders from both houses and both parties compromised on a budget that contains no new taxes, fees or social programs and dramatically cuts the "operating deficit." Ultimately, this is best we can do under our current budget constraints. In the fall, we need to have a conversation about how to change the way the state budgets. The structure is clearly dysfunctional.

For now, I am asking the Governor to work with the Senate Republicans to reconsider the merits of the budget proposal, which is financially sound and balanced. It includes:

 No new taxes, fees or social programs

 A reserve much larger than the Governor proposed

 Paying off state debt early providing $1 billion more than required

 An "operating deficit" much lower than the Governor proposed

I also appreciate that this budget:

 Invests in people and prevention to prevent future costs, instead of taking the "penny-wise-pound-foolish" approach the state often takes. It reforms juvenile justice so that youthful offenders can stay closer to their families and have a better chance at rehabilitation. It also funds programs for the homeless mentally ill.

 Restores grants for poor children, so they get fed and can stay in school, rather than falling through society's cracks and ending up in prison, costing the state in more funding and lost productivity.

 Restores needed funding for the disabled, blind and elderly. It is our job in government to provide baseline services for people who are physically incapable of providing it themselves.

 Protects K-12 education funding, providing everything promised by Prop. 98 and spending about 50 cents of every dollar in the budget on schools, colleges and universities.

 Keeps our promise to voters to build roads, schools and flood control to keep our economy strong

 Invests $4 billion to clear traffic bottlenecks and improve road safety in every corner of the state

Now it's up to Senate Republicans and our Republican Governor to resolve their differences.

Posted on July 27, 2007

Comments

You're doing the right thing. Don't let fifteen elite men who do not represent the diversity of the state of california dictate the budget. The cuts they want are not good for the people as a whole; they will increase the misery, poverty, and crime in this state by taking away options for those who are trying but who live in a world where corporations that drive down wages and increase environmental harms are king. We're all in this together and a california where many families go hungry and where kids don't have the chance to make their lives better is not the California we want, or can have if we're willing to sacrifice relatively small amounts of money to improve and maintain things we all need--schools, roads, other kinds of transportation, and similar things that make a community strong and a place with a future..

Posted by: Frank at July 27, 2007 07:31 PM

You're doing the right thing. Don't let fifteen elite men who do not represent the diversity of the state of california dictate the budget. The cuts they want are not good for the people as a whole; they will increase the misery, poverty, and crime in this state by taking away options for those who are trying but who live in a world where corporations that drive down wages and increase environmental harms are king. We're all in this together and a california where many families go hungry and where kids don't have the chance to make their lives better is not the California we want, or can have if we're willing to sacrifice relatively small amounts of money to improve and maintain things we all need--schools, roads, other kinds of transportation, and similar things that make a community strong and a place with a future..

Posted by: Frank at July 27, 2007 07:32 PM

Still a starving almost a school teacher until you pass the budget. Thanks for the best summer of my life, not.

Posted by: KELLY PRITCHARD at July 27, 2007 08:36 PM

if we can't cut $800 million this year, how do u propose we "cut" the projected $5 billion deficit next year, Frank? i'm listening...increased taxes, maybe? i'm wondering if you manage your personal finances in the same reckless manner as you propose managing the taxpayer's finances? i'm guessing not...hypocrite

Posted by: Tony at July 28, 2007 12:24 AM

What a bunch of liars. Back to the old lines of starving children and killing seniors. nothing like sucking the life out of people who work hard to raise a family and give it to lazy people. you stupid lib's are killing this state with your ignorant regulations and spineless laws.

Posted by: Geoff at July 28, 2007 09:32 AM

The last two comments don't really add very much to an analysis of this important public policy issue, especially with personal attacks--one of them on me, for this article by the Senate President pro Tem.

The fact of the matter--that is indisputable--is that the latest Republican Senate proposals cut funding from children.

I've borrowed money when I need to and paid money back, and I've been personally financially responsible. That doesn't make me a hypocrite. I've also run a successful business and paid a lot of taxes--gladly--as the price of a civilized society.

I know one way not to close the budget deficit, and that is by adding in extra special tax breaks as the Assembly did--unless you believe in voodoo economics. And yeah, the tax cut of $5 billion per year that Arnie instituted when he got elected--the vehicle license fee, in my opinion, should be replaced so we don't have chronic revenue shortfalls for what the state needs. Especially if we are soon going to pay more on our prisons than we do on higher education. that money has to come from somewhere.

Posted by: Frank D. Russo at July 28, 2007 09:54 AM

My first thought upon reading this is that perhaps Don Pereta and all of the writers for this site should be referred to as "whackos" by Senate Republicans, since the esteemed President-Pro Tem was so quick to casp aspersions towards conservative blog sites such as the FlashReport.

I'm quite certain that my 'colleague' here, Frank, would be happy to tell you he is as liberal as I am conservative.

Beyond that, the reality here is that stake revenues have hiked rapidly the last few years, and there has been no adult supervision to apply a 'live within you means' rule on legislators.

The reality is the the spending priorities of Assembly Democrats are totally out of whack (look how much infrastructure borrowing has had to take place because of a failure of Democrats to prioritize general fund dollars towards infrastructure investment) and have been for a long time. Governor Schwarzenegger's proposed budget was underwhelming for its lack of vision in trying to change the status quo in state government.

Fortunately California does have a 2/3 vote requirement for a budget.

Have a great weekend!

Jon

Posted by: Jon Fleischman at July 28, 2007 09:57 AM

It is no wonder that Republicans are nicknamed "Reeps," but I believe there is a C missing somewhere! They lack insight into the issues that affect our state's workforce, and subsequently the economy, and would rather strip all worker protections and safety net programs for the poor so that they may give tax breaks to rich corporations. The same corporations who are their most fervent supporters. Balance the budget??? Looks like they are seeking to balance their own campaign funds on donations made by their most beloved constituency--their special interest contributors.

Posted by: Ricardo at July 28, 2007 12:16 PM

I am a former nursing student who has decided to change careers because I am no longer able to do the intense physical work associated with patient care. I have worked hard towards for the last five years and am now able to go back to school to get my teaching credential thanks to funding by the State dept of Rehabilitation. I really need this budget to be passed so I can get on with my schooling. I have a goal and will work hard to put this funding to good use.

Posted by: Michael Read at July 29, 2007 06:45 AM

The hold out Banana Republicans ought to get it together and pass the budget so that the workers in this state can get on with business. While they dig in their well heeled heels, independent contractors, teachers, and others who work for the state have to go begging. Will their Banana Republican cronies in the credit industry forgive those who are late with their payments due to this, or will they reap the benefit of their new Banana Republican credit laws? How is this going to help the State or the Country. It isn't.

Posted by: Donna at July 29, 2007 09:27 AM

I am a formerly homeless man who has recently been successful at leaving the streets of Los Angeles and restart secondary education.I am maintaining a 4.0 G.P.A. The lack of a state budget is becoming a nightmare because essential funding is being held up and the threat of becoming homeless again is real. I need your help so that I can be positive message to those who are still on the streets.

Posted by: Melvin Jones at July 29, 2007 01:31 PM

I am a formerly homeless man who has recently been successful at leaving the streets of Los Angeles and restart secondary education.I am maintaining a 4.0 G.P.A. The lack of a state budget is becoming a nightmare because essential funding is being held up and the threat of becoming homeless again is real. I need your help so that I can be positive message to those who are still on the streets.

Posted by: Melvin Jones at July 29, 2007 01:31 PM

I provide daycare at home for one neighbor child. I have Lupus and am unable to work outside the home. My husband works hard to keep a roof over our head and all the bills barely paid. My job provides all the food for our household which includes my own child. I do not get paid for July (my entire budget for food from mid-August to mid-Sept; plus my daughter's lunch money for school) or presumably my August pay until this budget is signed. I am also going to have to quit providing service to the mother whose child I care for because I cannot continue to give the extra that is needed for snacks for this child without any pay. All I can say is "Get it together guys" and "I am sure that if you didn't have money in savings and weren't getting paid your measly $700/mo that feeds your family you would have passed this budget already."

Posted by: Esther at July 29, 2007 04:43 PM

Monday Afternoon. Still Starving. Food I had to eat today: NONE. Food I had to eat Sat. One slice of pizza.
Food I had to eat on Friday. Potato.
On Friday I have to go to my orientation for my credutial program, to get my teaching credutial. It is 250 miles away. I get to choose between losing school, or becoming homeless because I have to use my rent money to get to my orientation. A big thankyou to the republicans who have left me and other future teachers out to hang and starve. I will not be voting for you any more.

Posted by: kelly pritchard at July 30, 2007 02:43 PM

Melvin: You are articulate and dedicated so should have no problem getting a job.

Ester: You don't say if you charge for daycare. Yet you are providing a service including extras such as snacks. I suggest you charge something/more for your services or investigate other uses for your talents/time that will benefit your situation better. If you can watch one child, can you watch more? If your are in essence performing day care, can you work full or part time for a day care facility considering all of your issues?

Kelly: Way too many carbs in your diet. Good luck on your teaching "credential". I doubt you will lose your home if one payment is late. I believe the residence law will protect you to a great degree too. Have you explained your situation to your landlord? Perhaps there is some slack there if you are demostrating an effort. (Hint: Don't rely on ANY political group for ANYTHING, including your OWN desire to succeed. I learned that in school and also in the school of hard knocks).

I am a bit curious y'all: You all have the time and the access to a computer/internet to be here. Both time and money are required in one form or another. If your situations are so dire, how do you manage time/money to contribute here?

Posted by: Curious George at July 31, 2007 08:08 PM

Dear Curious: Something in the your last paragraph smacked of the same self-righteous attitude most Republicans have. Blame it on the victim." 'Scolding" Kelly about her diet and budget is cruel and demeaning. I heard a similar remark from a bloated, beer-bellied 'Bubba', a Tenn. "(C)REEP with the same heartless attitude. Are you related? With a smirk that shook his sagging jowls he drawled "They ought to give up cable tv", justifying a budget denying assistance the poor, homeless, mentally ill, children and seniors deserve. It's no surprise that TN consistantly ranks high on the list of states where poverty and lack of education are Big Business...so much for the Buckle of the Bible Belt.
Seems CA Republicans are infected with the same deadly virus where our citizens and unsigned state budget is concerned. As a disabled senior I am more fortunate than many. But, I could really use that Rent Rebate. For every deserving citizen or social service denied assistance, and for every unpaid employee the effects are already far reaching.
Too bad there aren't Treatment Centers designed for power hungry politicians. I would donate my time to hear their Fourth and Fifth Steps.
KELLY, YOU HANG IN THERE AND DON'T LET ANY FOOL SHAME OR INFLUENCE YOU IN ANY WAY. Check for food banks in your area as well as churches or schools who may have food programs. Ask for help or suggestions from caring people. You deserve it. That education is important...stick with it.
And Melvin - you are an inspiration!!! There IS help out there for you also.

Posted by: Terri at August 13, 2007 08:32 PM

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