Saturday, October 9, 2010

Budget Details Sparse as Lawmakers Move toward Vote

http://www.cacatholic.org/index.php/topics/public-policy-insights/921-october-8-2010.html 


The longest budget stalemate in California history may be coming to an end.  Of the $19 billion deficit, less than half of the ‘solutions’ are from cuts -- the remainder is from some optimistic revenue projections and accounting sleight of hand.  

The current budget does not eliminate CalWORKs or other assistance programs.  Those moves were widely considered “bargaining chips” as few lawmakers wanted to cut programs that develop work skills or reduce child care assistance for working families.  Cuts in In-Home Supportive Services were made through a reduction of some hours for providers but also assumptions of lower case loads based on actual data from this year and rosy predictions of Federal funding – a common assumption in many parts of the budget. 

The Governor also held out for reform of the public employee pension system and appears to have at least partially accomplished that goal through the budget and in ongoing negotiations with various public employee unions.  Some business taxes scheduled to expire were also allowed to continue. 

The Governor and legislative leaders of both houses (known as the Big Five) negotiated the deal in secret, despite promises by almost all parties earlier in the year for more openness.  A Senate Budget Committee hearing on the deal lasted for less than an hour on Wednesday.  An eight-page summary of the deal was briefly discussed with the promise that the bills which comprise the budget would be available to lawmakers in the evening.  They did not appear on lawmakers desks until the debate began on the next day (Thursday).