New Budget Deal Bad for Schools, Working Families, Local Governments

Schwarzenegger all smiles with State Senate President Pro Tem Steinberg (D-Sacramento) & State Assembly Speaker Bass (D-Los Angeles)California's legislative leaders have reached a tentative agreement with Governor Arnold Schwarzenegger on a budget deal to close the state's $26 billion budget deficit with massive cuts to schools and social programs, while refusing to raise taxes on oil companies.

The so-called "Big 5"—Democratic and Republican leaders in the Assembly and Senate plus the governor—agreed to nearly $16 billion in devastasting cuts to schools, California's welfare to work program, community colleges and universities as well as public health and the state's In Home Supportive Services (IHSS) program.

Additionally, the state will take several billion dollars of property tax revenue from cash-strapped cities and counties, which will most certainly mean more devastating cuts by local governments.

Massive cutbacks in safety net, income assistance, and public health programs only deepen the economic hardship faced by California's low- and moderate income working families. Many families will no longer be eligible for some essential programs such as Healthy Families, California's health insurance program for children in working families.

State workers face more cuts to their paychecks as the Big 5 agreed to three unpaid days per month. Curiously, istead of taxing oil companies, legislative leaders overturned a 40-year ban to allow more drilling off Santa Barbara's coast.

The California legislature could vote to approve the budget deal as early as Thursday this week. California law requires a two-thirds vote in both houses to approve the budget plan.

This means that there is still time to oppose this plan, as Bass and Steinberg have yet to secure enough votes in both houses of the legislature to adopt the deal.

For more information or to contact your state legislator, call us at 1-866-336-9333.

Update on Wednesday, July 22, 2009 at 4:37PM by Admin

The Los Angeles Times has provided a good summary of the latest budget proposal. Click here and here and here to read. 

Meanwhile, those who prefer to listen to their news can hear very good and informed discussions about the seminal details of the current budget plan by clicking here and here.