Good morning and happy Pay Cut Day! In addition to ordering state employee pay to be reduced to federal minimum wage, the governor's order will lay off 22,000 temporary and part-time workers. But, turn that frown upside down, as it's going to be a beautiful 88 degrees in Sacramento today.
Capitol Weekly's cartoonist, Dan Carino, weighs in on the issue.
The Bee's Judy Lin has a Q&A with the state treasurer, who says that he will respect the governor's executive order.
"Treasurer Bill Lockyer, who acts as the state's banker, met with members of The Bee Capitol Bureau
on Wednesday to discuss the tardy budget and the governor's plan to cut state worker pay to the minimum wage.
Bee: "Are you in favor of what the governor proposes in terms
of state employee pay?
Lockyer: "No, I don't think it's a good idea. I'm not sure you can make those (payroll) computations in less than three months.
Bee: "Will you cut your employees to $6.55 an hour?
Lockyer: "I don't think I have any choice. We're told by our lawyers that we have to comply with
that order if it's made."
Only problem, Controller John Chiang, who says he'll ignore the order, pays Lockyer's employees.
The U-T's Ed Mendel writes that, aside from part-time state employees, rural hospitals may be being hit the hardest.
"Small rural hospitals dependent on Medi-Cal, the state-federal program for the needy, are among the hardest
hit by the lack of a budget and additional cuts and
delays in Medi-Cal payments.
"Eastern Plumas and similar rural health agencies in
Chester, Cedarville, Weaverville, Sebastopol, Willows
and Fall River Mills are among those seeking emergency
loans from a bond authority.
"The California Health Facilities Financing Authority
is expected to vote today to use half of its administrative
fund, $4.2 million, to make short-term loans to rural hospitals and clinics.
"'They are going to try to fund all eligible applications,' said Joe DeAnda, a spokesman for state Treasurer Bill
Lockyer."
Capitol Weekly's Malcolm Maclachlan points out that most tax increases would hit Democratic constituents harder than Republicans.
"One knock against politicians is that they're always trying to bring pork back to their districts. But when it comes to California's annual Kabuki budget dance, a new pattern emerges: Republicans try to cut spending-often even money likely to flow to their own districts-while Democrats try to pass taxes that would take a particular bite out of some of their own constituents.
"Budget leaders in both parties say that's exactly what the voters elected them to do.
"Sound strange? While the scenario above is obviously
a pretty simplified take on the budget impasse, it
does point to one of the paradoxes of modern California
politics: Democrats often represent many of the wealthy citizens
who would pay the higher taxes on the well-off that they're pushing, while many Republicans represent poorer
districts that receive more state funds than they pay
out."
Dan Smith looks at the role of voters in the budget impasse.
"[V]oters have passed laws that virtually guarantee annual
spending increases for education, severely restrict
what can be cut from transportation and local governments
and make it virtually impossible to raise taxes.
"When voters are polled, huge majorities oppose cuts
to schools, health care, law enforcement, road building,
parks, the environment – just about everything the state does. But they also
oppose higher taxes on sales, property and income (except for the highest earners).
"'They want to spend without being taxed enough to support
all the spending they've mandated over the years,' said Republican political consultant Rob Stutzman,
former communications director for Gov. Arnold Schwarzenegger.
'It creates a patchwork of measures that starts to make
the state ungovernable.'"
George Skelton writes that the governor's problem is that he doesn't like the mechanics of governing.
"Schwarzenegger's comment in Shasta County underscored a fundamental
problem with his governorship: He really doesn't like governing -- at least in the tried-and-true, nitty-gritty sense of making government work effectively
the only way it can in a checks-and-balances democracy.
"Dig in and get your hands dirty -- mostly in the privacy of the governor's corner office in the Capitol.
"Cajole and coerce. Reward and punish. Do favors so
they'll be returned. Use the awesome powers of office to
sign and veto bills. Appoint a key legislator's law partner as a judge. Place a lawmaker's loyal contributor on the local fair board so he'll have choice rodeo seats.
"Particularly important: Help raise political money for legislators of your
own party.
"And schmooze, using all that gubernatorial mystique
and -- in Schwarzenegger's case -- charm.
"With only one or two exceptions, Schwarzenegger doesn't like to hang out with these people -- doesn't seem to understand that it's not about personality, it's about business. He has virtually no relationship
with any Republican other than the two GOP leaders,
and even those connections aren't cozy. That's unfortunate because the GOP governor needs at least
some Republican votes -- six in the Assembly, two in the Senate -- to get any budget or tax increase passed."
Yeah, uh, that's a problem.
"Senate President Pro Tem Don Perata has solicited at least $200,000 this year from political interest groups for a nonprofit
foundation that promotes and rallies support for one
of his bills.
"The arrangement, apparently legal, allows the Senate
leader to solicit unlimited funds for his own political
agenda without having to detail how the money is spent.
"'He may have found a loophole in the Political Reform
Act that needs to be closed,' said attorney Bob Stern, a co-author of the state's Political Reform Act who now runs the Center for
Governmental Studies in Los Angeles.
"'Here is money being spent to influence the Legislature,
and we don't know how much or how it's being spent.'
"Numerous legislators solicit money for charities or
community groups, a practice that has drawn scrutiny
in the past because it allows special interests to
curry favor with lawmakers.
"Perata's effort differs from most of the charity fundraising
because the California Rebuilding Foundation receiving
the cash was set up for political purposes and is promoting
his legislation.
"At Perata's request, the California Correctional Peace Officers
Association donated $100,000 recently; E&J Gallo Winery, $50,000; California Alliance for Jobs, $25,000; California School Employees Association, $10,000; and other interests, $15,000, state records show.
"Perata is not required to disclose any solicitations of less than $5,000 to the foundation, which he helped form last year. The foundation is run by officials of Polka Consulting. Sandi Polka is Perata's longtime political adviser."
In related news, Perata, who previously said that everything must be on the table in budget negotiations, sent an e-mail yesterday saying that in no circumstances will he allow Proposition 42 transportation funds to be used to help break the impasse.
Capitol Weekly looks at how Internet campaign tools
may soon change the face of initiative politics in
California.
"For the prototype of some of those changes, they point to the campaign for Proposition 2, which would require most farm animals to be able to fully extend their limbs or wings, and fundamentally alter many commercial farming processes.
"The Yes on 2 campaign has been aggressive in its online strategy, both in fundraising and as a way to rally activists. They have hired Dean's online guru Joe Trippi specifically to focus on Web strategy, and are using sites like Facebook and Twitter to help with everything from gathering the signatures that got the measure on the November ballot, to fundraising, to helping volunteers create their own Yes on Proposition 2 campaign commercials.
"Trippi says the approach taken by the Yes on 2 campaign cannot work for every initiative, but the
tactics could help transform proposition politics in
California.
"To have a successful online campaign, you need two
things, says Trippi. 'People at the grass roots have some energy and passion
around an issue and, you have to be able to build a
community. The Prop. 2 people have been able to do both.'"
CW's Andrea Weiland looks at the term-limits shuffle, and the Capitol staffers who are frantically searching for new work.
"Capitol worker bees have bigger problems to deal with right now, but employees of termed-out members often have their next job hunt in the back of their minds. Many don't know who they will next work for, but they do know that their current employment is finite.
"Some junior staff feel less confident, however, that they will automatically will be selected for a new office, and they worry about the future of their employment at the Capitol. A staffer who declined to be named described the mood around the office. "People are nervous... especially the first-timers are worried. [They're just] feeling their way through, hoping to land someplace good."
"It's human nature to fear uncertainty," says Will Shuck, chief of
staff for Patty Berg. "There's a tendency to feel pressured and have a
sense of
urgency, but it's still very early in the process."
"A majority of Californians favor more oil drilling off the coast, according to a statewide survey released Wednesday, for the first time since oil prices spiked nearly three decades ago," reports Jane Kay in the Chronicle.
Perhaps it's time for the enviro community to run an ad campaign.
"The support by 51 percent of residents polled this month by the Public
Policy Institute of California represents a shift caused
by renewed Republican advocacy for drilling as well
as motorists' reaction to soaring pump prices, according to the
pollster.
"With high oil prices and calls from President Bush
and Republican presidential aspirant Sen. John McCain
to open coastal waters to domestic production, support
for drilling has jumped, particularly among Republicans,
the poll says. Support increases with age and is slightly
higher among men than women.
"But as the price of oil hovers around $120 per barrel, double the cost a year ago, support for
drilling has increased even among Democrats and independents,
says the survey of 2,504 adult residents polled across the state July 8-22."
From the PPIC report: "Across regions, support for drilling is highest in the Inland Empire (56%), Central Valley (55%), and Orange/San Diego counties (54%); residents in Los Angeles are divided (48% favor, 47% oppose) and residents in the San Francisco Bay Area (54%) oppose more coastal oil drilling."
"San Francisco lawmakers voted Tuesday to make the city the first in the nation
to ban the sale of tobacco products at most pharmacies, a move that backers hope will lead to similar laws
across the country," reports Wyatt Buchanan in the Chron.
"The ban has already attracted the attention of Marin
County leaders, who may push forward with their own
proposal.
"The ban passed the San Francisco Board of Supervisors
on an 8-3 vote, with some supervisors predicting it would be
a "first step" toward additional bans on the sale of tobacco in the
city.
"'Whatever we can do to make this country a smoke-free zone, we should do it,' said Supervisor Ross Mirkarimi, who voted in favor of the ban first proposed by Mayor
Gavin Newsom.
"The law will ban the sale of all tobacco products at
pharmacies in the city, including Walgreens and Rite
Aid stores. Big-box stores like Costco and supermarkets like Safeway
will still be allowed to sell tobacco."
And after much debate, the Service Employees International Union officially went neutral on Proposition 11, the proposed change to the state's redistricting law. In a statement yesterday, Annelle Grajeda, President of the Service Employees International Union California State Council "Proposition 11's approach to reapportionment cannot guarantee to fix our broken system. Therefore, SEIU will issue a 'no recommendation' to our members on the measure and urge state legislators to develop a real solution."
And finally, from our Ohhhhhh, Canada Files, "a man filmed himself speeding at 150 km/h while masturbating at the wheel of his drug-laden car," the Northen Territory News reports.
Ah, those wacky Canadians.
"His Holden SV6 was allegedly laden with 5kg of drugs, including two
cannabis plants resting on the back seat, the court
was told.
"Brendon Alan Erhardt, 39, was granted bail so he could marry his girlfriend
of six months before he goes to jail."
Quite a catch, Mrs. Erhardt.