Budget intricacies

Mar 1, 2011

What happens if the budget blueprint  that is intended to go before voters can be approved with only a majority vote of the Legislature, not a two-thirds vote? An easier job for Democrats? Political cover for Republicans? The Bee's Dan Walters takes a look.

 

"Convoluted? Absolutely. And to Brown and other Democrats, it would be a very unsatisfactory alternative because they want some GOP support for a veneer of bipartisanship. The backdoor approach not only would strip that facade, but would also make the ballot measure appear to be some kind of trick that could alienate voters already leery of raising taxes. And it would invite a legal battle."

 

"Would Democrats take that route if it's the only way to get billions of dollars in revenue to stave off even deeper spending cuts? Would they instead, as Brown says he'd advocate if taxes are blocked, whack spending more deeply, take the heat from public employee unions and other Democratic constituencies, and try to deflect it to Republicans?"

 

Gov. Brown has picked up support for his budget proposal, but much of it is softer than it looks, reports Anthony York in the L.A. Times.

 

"But the L.A. chamber leaders took care to add caveats: They said they want the taxes Brown seeks –- billions in vehicle, income and sales taxes –- extended for just three years instead of the five that Brown has proposed. And they want regulatory changes and an overhaul of the public pension system as part of the deal."

 

"Another local group, the Valley Industry & Commerce Assn., backed Brown’s call for a special election but stopped short of actually supporting the tax hike extensions that he seeks."

 

The talk of downsizing public pensions fills the air in Sacramento, but such changes would have little impact on the state budget deficit, notes the OC Register's Brian Joseph, writing for HealthyCal.

 

"Talk of rolling back public employee pensions appears to be gaining momentum in Sacramento. Some lawmakers increasingly link budget negotiations to pension reform, and an independent state commission last week called for dramatic changes in the way California compensates its retired employees."

 

"But anyone who hopes that reducing pension benefits will help balance next year’s budget, or any budget in the near future, might be disappointed. California is facing a $25.4 billion budget deficit right now, yet changes to the public employee pension system generally take years or even decades to produce significant savings."

 

Speaking of budget savings, UC Davis is contemplating the elimination of 450 to 500 jobs, higher fees for students and new cuts in services.

 

From Laurel Rosenhall in the Bee: "UC Davis Chancellor Linda Katehi listed those changes in a letter to UC President Mark Yudof that outlined how the cuts would affect the campus."

 

"UC Davis' plan assumes the campus will face a $107 million shortfall in 2011-12, Katehi wrote, because the state is sending less money to the university at the same time UC plans to spend more on salaries, health care and funding its retirement plan."

 

If the budget makes it to the June ballot, another measure also will confront voters: A $1 tax hike on  cigarettes and other tobacco products. That means a tough fight looms from big tobacco.

 

From Maeve Reston in the Los Angeles Times: "The initiative, which would raise as much as $855 million in its first year of implementation, according to an analysis by the state’s legislative analyst, could be placed on the ballot as early as June if Gov. Jerry Brown succeeds in calling a special election to address the state’s budget gap."

 

"But organizers of the initiative, co-chaired by Armstrong -- who recently retired from cycling -- and former state Senate leader Don Perata, acknowledged Monday that they could have a difficult road ahead. In 2006, an initiative that would have raised the cigarette tax by $2.60 was defeated after tobacco companies spent $66 million on an opposition campaign."

 

And finally, one of life's lessons: Never go to the john after robbing a bank. Pass it on.

 

"The detective followed the man into the eatery, and spotted the suspect -- identified as 52-year-old Charles F. Grier -- leaving the restaurant's restroom looking nervous."


The cop brought Grier outside the diner, where the suspect allegedly confessed to robbing the bank and changing his clothes in the portable potty. Officers searched the portable toilet and found a pair of jeans, sneakers, shirts, a traffic vest, a black air soft pistol and a note stating: "This is a bank robbery."

 

A nice pinch, as the cops say.