State budget deal is in collapse

[Jasman0717 9]

By BRIAN JOSEPHThe Orange County Register

SACRAMENTO - With lawmakers still unable to find one more GOP state senator willing to vote for the budget deal, Gov. Arnold Schwarzenegger said he will initiate the process of laying off 10,000 state workers Tuesday.

Senate Leader Darrell Steinberg, D-Sacramento, speaking from the floor at 8 p.m. Monday, said that if one more Republican vote can't be secured by 10 a.m. today, he will lock the entire Senate in the State Capitol until a Republican agrees to the plan.

"We will stay on this floor until we get it done," said a clearly frustrated Steinberg, who is generally known as the Legislature's nicest member. "Bring a toothbrush. Bring whatever necessities you need to bring because I will not allow anyone to go home and resume their lives."

For months, the governor, Steinberg and the three other legislative leaders have been working on a deal to solve the state's $42 billion budget deficit. The leaders, known as the Big 5, settled on a plan that cuts some $15 billion in state spending, but also includes $14 billion in tax increases.

Most Republicans are ideologically opposed to a tax increase, particularly given the poor economy and the state's already elevated taxes. The leaders' plan raises the sales tax and the gas tax and essentially places a tax on income tax bills. The nonpartisan Tax Foundation says that California taxes in those areas already rank among the highest in the nation.

Nonetheless, the leaders are believed to have the three Republican votes needed in the State Assembly with Republican Leader Mike Villines of Clovis expected to vote for it along with Anthony Adams of Hesperia and Roger Niello of Sacramento.

In the Senate, however, only two of three Republican votes are thought to be in the bag – Senate Republican Leader Dave Cogdill of Modesto and Roy Ashburn of Bakersfield. So far, the other 13 Senate Republicans have been holding out.

"Don't try to pin this on the Republicans because we don't want to raise taxes," said Dennis Hollingsworth of Murrieta, who is thought to be the Republican senator who will replace Cogdill as leader after Cogdill is expected to be removed following this budget deal. "We've been talking about this for years that this (state spending) couldn't be sustained."

The leaders have been appealing to two senate Republicans to try to get them to switch their votes: Abel Maldonado of Santa Maria and Dave Cox of Fair Oaks. On Saturday, Cox was thought to perhaps close to voting for the budget but when the 70-year-old senator asked Democrats to let him go home and sleep on it, they demanded a vote immediately and he refused.

Maldonado, meanwhile, is demanding a long list of concessions that are not likely to get Democratic support: changing state primary elections to non-partisan contests, forbidding salary increases for legislators during a budget crisis and taking away lawmakers' pay when a budget is late.

If the leaders are not able to secure their votes or the vote of another Republican senator, Santa Ana Sen. Lou Correa may not initially vote for the budget either. Correa, one of only three Democrats representing Orange County, has been counted by the Democrats as voting for the budget after securing some $35 million to $50 million in additional money for OC, although he says his potential support is based on the plan's ability to stimulate the economy and not directly tied to the new funding.

That said, Correa also promised when he was elected in 2006 that he would not vote to raise taxes. If it appears the budget will fail, he very well might not put up his vote either.

The governor, for his part, had hoped it wouldn't come to this. Initially, he was planning to begin the layoff proceedings last Friday, but held off when it looked like the budget would pass on Saturday.

The governor's office will issue layoff notices to 20,000 state workers today with the intent of eventually identifying 10,000 to be laid off. The whole process will take months. The governor's goal is to achieve a 10 percent cut in government payroll.

Edited February 17, 2009 by jasman0717

[almaty 19]

terrible state of affairs.....time to call out conan...

[Jasman0717 9]

We are only a 4 1/2 months away from the new budget, wonder when that one will get resolved, 2015

[Saddle Bronc 124]

We are only a 4 1/2 months away from the new budget, wonder when that one will get resolved, 2015

To get resolution to budget crisis: include legislators' pay in budget package, with any holdup resulting in them getting $0.00 in salary.

[Scott & Lai 12]

We are only a 4 1/2 months away from the new budget, wonder when that one will get resolved, 2015

To get resolution to budget crisis: include legislators' pay in budget package, with any holdup tax-increase resulting in them getting $0.00 in salary.

[Jasman0717 9]

We are only a 4 1/2 months away from the new budget, wonder when that one will get resolved, 2015

To get resolution to budget crisis: include legislators' pay in budget package, with any holdup resulting in them getting $0.00 in salary.

That would be like getting congress to go on social security instead of their retirement

[I AM NOT THAT GUY 5,715]

I guess they are back at it again today. Arnold gives out 20,000 layoff notices today, but the layoffs will not take effect for 6 mos, along with a generous severence package, so it is a shallow gesture at best.

[Peikko 1,575]

I like the idea of locking them in until they strike a deal.

[Jasman0717 9]

I guess they are back at it again today. Arnold gives out 20,000 layoff notices today, but the layoffs will not take effect for 6 mos, along with a generous severence package, so it is a shallow gesture at best.

Generous severence packages This is the public sector, not Wall Street

Edited February 17, 2009 by jasman0717

[I AM NOT THAT GUY 5,715]

I like the idea of locking them in until they strike a deal.

The senate leader told them to bring their toothbrushes.

[Craneman 2]

I like the idea of locking them in until they strike a deal.

Use Obamas Salary cap and bonus cap for State and local excecs, no bonus if the state goes bankrupt.

You can bet they still get paid and their pork projects get funded.

[I AM NOT THAT GUY 5,715]

I guess they are back at it again today. Arnold gives out 20,000 layoff notices today, but the layoffs will not take effect for 6 mos, along with a generous severence package, so it is a shallow gesture at best.

Generous severence packages This is the public sector, not Wall Street

Just what I heard on the morning news. I know it's better than, "Don't let the door hit you on the way out," most of us get in the non-union sector.

[Jasman0717 9]

I guess they are back at it again today. Arnold gives out 20,000 layoff notices today, but the layoffs will not take effect for 6 mos, along with a generous severence package, so it is a shallow gesture at best.

Generous severence packages This is the public sector, not Wall Street

Just what I heard on the morning news. I know it's better than, "Don't let the door hit you on the way out," most of us get in the non-union sector.

The severence they get is the money they have paid into the retirement system if they aren't old enough to retire.

[one...two...tree 2,762]

The state Republicans are acting like little brats. Where's the Republican alternate budget plan if they won't support this one? Morons.

Edited February 17, 2009 by Mister Fancypants

[SMOKE 1,426]

The state Republicans are acting like little brats. Where's the Republican alternate budget plan if they won't support this one? Morons.

i heard they're thinking about making all illegals legal to increase the finacial aide cali puts out by 5-10-15-20-25%(you pick a number you like) that should fix all state budgets.