May 16, 2006

Mutual benefit

Governor Schwarzenegger's revised budget was put under the microscope over the weekend, and the reviews were mixed. "Gov. Arnold Schwarzenegger's revised budget runs school spending up too high, goes overboard to prepare for a flu epidemic and would direct taxes from soaring gas prices away from transportation, the Legislature's budget analyst said Monday," writes Evan Halper in the Times.

"Nonpartisan Legislative Analyst Elizabeth G. Hill applauded the governor for devoting a large chunk of the billions of this year's unanticipated revenue to reducing the state's debt, but said lawmakers should go further."

"'We still have an operating shortfall. We are spending more than we are taking in,' said Hill, whom lawmakers look to for advice on budget matters."

Steven Harmon writes in the Merc-News that "[t]he governor has agreed to pay off $1 billion of the state's Economic Recovery Bond -- money that was borrowed to help with a previous deficit -- and Hill said that will 'help the state, but not until 2009-2010.'"

"'So, we're urging the Legislature to consider taking that $1 billion to pay off the debt that's due sooner,' Hill said, 'or to set it aside in a reserve to help with some of these pressures that are unaccounted for.'"

However, signs Monday pointed to a quick budget deal, reports the Bee's Andy Furillo.

"Signaling a quick resolution to the state budget, Assembly Speaker Fabian Núñez said Monday that 'we're very close' to a deal, and the nonpartisan legislative analyst congratulated Gov. Arnold Schwarzenegger for presenting a revised spending plan last week that contains 'a number of positive features.'"

"'I've got to tell you, if we don't have a budget completed in this state by the constitutional deadline, which is June 15, shame on us,' Núñez said. Lawmakers have not met the deadline since 1986."

"Asked to comment on the politics of the budget and whether a deal would help a Republican governor who is running for re-election, Núñez said his goal as one of the Legislature's top leaders is 'to redeem the stature of this place' and to 'work hard in a bipartisan fashion to get things done.'"

"'If it helps the governor, it helps the governor,' Núñez said. 'If it doesn't help the governor, it doesn't help the governor. We want this budget done on time. We think we're there. We're very close.'"

As if the likely budget lovefest doesn't sting enough for the Democratic duo running for governor, the LAT's Duke Helfand looks at the close relationship between Schwarzenegger and L.A. Mayor Antonio Villaraigosa.

"The Democratic mayor has found plenty of common ground in recent months with California's Republican governor, Arnold Schwarzenegger. The two have struck an improbable relationship that could yield a windfall for Los Angeles and boost the fortunes of two of California's most politically dynamic figures."

"'We genuinely get along,' Villaraigosa said of Schwarzenegger during a break from a packed schedule of meetings with legislators. 'He's been very supportive of my administration.'"

"Perhaps most intriguing of all, each would stand to benefit from Schwarzenegger winning reelection in November. The governor, of course, would gain four more years in office. His departure in 2010 because of term limits would open the door to Villaraigosa as a potential front-runner for the job — a prospect that could vanish if one of Schwarzenegger's current Democratic opponents, state Treasurer Phil Angelides or Controller Steve Westly, wins in November."

"And so for now Villaraigosa and Schwarzenegger are cooperating, at least publicly, in a gambit to advance their mutual interests, analysts say."

"'Both gentleman are trying to move away from raw partisan politics,' said Allan Hoffenblum, a Republican political strategist who edits the California Target Book, a nonpartisan election guide. 'It's good politically and it's good public policy. When those tend to converge, things get done.'"


Supporters and opponents of the "Preschool for All" initiative hit the airwaves yesterday, as the air war begins in the state's only initiative this spring.

"Proponents, including many educators, say preschool is a sound investment in California's future, citing research showing that children who attend preschool are more likely to avoid repeating a grade, graduate from high school and steer clear of crime.

But the initiative has come under attack from anti-tax activists, educators who see flaws in the proposed system and some private preschools that fear Proposition 82 will create a new, state-run bureaucracy that will drive them out of business."

Is the governor spending this election season on the sidelines? Carla Marinucci investigates.

"To date, there's been no acknowledgment that state Sen. Tom McClintock of Thousand Oaks (Ventura County), the leading Republican candidate for lieutenant governor, who's done considerable heavy lifting for Schwarzenegger, has been endorsed by the Republican governor. Neither has GOP Secretary of State Bruce McPherson, who was appointed by Schwarzenegger, received word of an endorsement.

Likewise, state Sen. Chuck Poochigian of Fresno, the party's candidate for attorney general, and Steve Poizner, the only Republican candidate for insurance commissioner.

The issue rose to prominence among Republicans after Schwarzenegger -- in Oakland last week to push his $37 billion bond package on the November ballot -- stood before cameras at the side of Democratic legislative leaders there. Prominent in the photo was Oakland Mayor Jerry Brown, the former Democratic governor and current candidate for attorney general -- whom, some conservatives note, has also been a guest of the governor at the State of the State address and an invited visitor to the governor's famed Capitol smoking tent."

The Register's Brian Joseph sits down with Dick Ackerman to review how the bond deal came together.

Dan Walters writes "It is difficult to decide which is the more nonsensical -- a judge's decision to block the state from denying diplomas to nearly 50,000 high school seniors because they haven't passed the exit exam, or the test itself."

Finally, when we need a good lesson in the citizenry's right to protest government, where better to turn than a brewery? "[W]hen Lagunitas Brewing Co. founder Tony Magee decided to go public with his protest against state alcohol regulators, he naturally chose the medium he knows best."

"The result is Undercover Investigation Shut-Down Ale, a new 'especially bitter ale' brewed to commemorate a bust at a brewery party last year and a subsequent 20-day suspension of its state brewing license."

"The label doesn't quite say it all -- it omits details of a two-month undercover investigation into smoking pot at weekly tasting parties and how said gatherings violated a city of Petaluma use permit --- but it says enough to convey Magee's resulting defiance and disgust."

"A 149-word, libertarian-leaning polemic, written in tiny type at the edge of the label, declares: 'From the first day of the first congress at the moment of the passage of the first law, we became weaker.'"

"The extra-large B. Franklin said it well that you can tell the strength of a society by the paucity of the pages in its' (sic) book of laws -- Tax law, civil law, criminal law, Statues and Bills. Laws that make large and small criminals of us all."

"Elsewhere, the label warns the drinker: 'Alc. 10.1% by Vol.'"