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Reasons for Budget Stalemate Both Simple and Complexby Assemblyman Mark Leno With California facing a historic budget deficit, many people in our state are understandably frustrated that the state legislature seems unable to pass a budget on time. As a first-term Assemblyman who arrived in December ready to tackle this crisis, I share that frustration. The reasons for the current budget stalemate are both simple and complex. Many Californians may not know that our state is just one of three in the country that is constitutionally required to pass its budget by a two-thirds majority vote of the legislature rather than a simple majority. This high threshold is not required of Congress or any County Board of Supervisors. The 54 of 80 votes needed on the Assembly side means that at least six Republicans must join all 48 Democrats in voting for the budget. In the Senate, two Republicans must vote with all 25 Democrats. This super majority requirement has meant that in the past 30 years, only five budgets have been passed by the July 1st deadline. Though members of the legislature come and go, the structural hurdle of the two-thirds budget vote remains. Entrenched in a deep and multi-year national recession, California is among 47 states facing a severe budget shortfall. Revenues in recent years have fallen more drastically than at any time since World War II. Additionally, significant federal cutbacks in health care, education, housing and transportation have placed growing demands on state and local government. To win Republican support to close the budget negotiations in the late 1990’s, over $25 billion of tax relief was enacted. Put all of these pieces together and we find California challenged by a budget deficit of more than $35 billion. There are really just a few options in closing a budget shortfall whether it is large or small. We can decrease expenditures, increase revenues, borrow (roll over the debt to future years) or use a combination of these three. The Democratic Caucus of the Assembly has stated since my first days in Sacramento that we must meet this challenge in a balanced fashion. Since then, we have reduced costs by $12 billion as judiciously as possible by cutting into education and health programs which make up the largest segments of our state spending. Of course, where we can identify waste and inefficiency we must take corrective action and remain vigilant. Where we have been stalemated in our budget process is in our Republican colleagues’ extreme position that they will support absolutely no tax increases to balance our budget. Keep in mind that in a majority of the states with similar deficits and with Republican state leadership, those governors and state legislatures have done just that – raised taxes. Eleven years ago when California faced a then record $14 billion deficit, Republican Governor Pete Wilson raised $7.5 billion in new taxes. He did so not because he wanted to, he did so because he realized he needed to. Our situation is further confounded by the fact that California’s Republican legislators not only won’t support increasing revenues, they vote against the spending cuts. This year a majority of Republican Assembly members, 17 out of 32, have voted at least once against spending cuts, compared to only three of 48 Democrats. Let me quote one of my more conservative Republican colleagues, “I will not vote to cut schools. I will not cut public safety. I don’t believe in cutting Medi-Cal.” One must wonder for what purpose a legislator is in Sacramento if he or she won’t make cuts and won’t raise taxes. The answer I fear is to be obstructionist for partisan purposes. As if all this were not challenging enough, throw into the mix an unprecedented gubernatorial recall effort. Just months after Governor Davis was sworn into his second term of office, a wealthy right wing congressman has put nearly a million dollars into overturning the decision of California voters last November. The recall effort has a direct and negative impact on our budget negotiations. The longer it takes the legislature and governor to complete a budget, the angrier our citizens become, and ever more likely to sign recall petitions and vote for a recall. The very fact of the recall is a disincentive for Republican legislators to earnestly work to conclude the budget debate. Amazingly, the highest ranking Republican member on the Assembly budget committee has personally contributed $10,000 to promote himself photographed on recall mailers. A political operative from Washington, D.C. arrived in Sacramento last week to place a bounty of at least $100,000 on the head of any Republican member who would dare to support a budget bill resolved by one cent of new tax. Add that to the direct threat Senate Minority Leader Brulte made to the Republican legislative caucus ten days ago that he would personally end the political career of anyone doing the same. Intimidation and political death threats will not lead us to a reasonable resolution of our budget woes. In the midst of all of this bullying and grandstanding, I am enraged by the possibility that millions of California’s children will be shortchanged in their education. Seniors, mothers in need of childcare and the disabled will find themselves locked out of needed services. Housing and transportation projects which keep our business climate healthy will be sacrificed. Compromise is a 50/50 proposition. Negotiations cannot occur when one side is locked into an extreme and absolute position by their party leaders for their own political gain. Let’s pursue the balanced approach that Republican leaders across this country and Governor Wilson have used. Anything less will jeopardize the strength, beauty and future of this great state we all love.
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Last year, Assemblyman Mark Leno (D-San Francisco) sponsored a bill banning two types of toxic chemicals used as fire retardants in foam padding in furniture. These chlorinated and brominated chemicals are linked to cancer, birth defects and reproductive disorders; they migrate from furniture to dust particles, are breathed in by children and pets, and are found in the breast milk of nursing mothers. That bill, however, never reached Gov. Arnold Schwarzenegger's desk, falling victim to election-year squabbling.




