Photo of Joan LeeDISABILITY RIGHTS NEWS REPORT
Advocacy Without Borders: One Community
Report #197-2008  September 16, 2008  Early Tuesday morning  2:35 AM
California Disability Community Action Network Disability Rights News goes out to over 45,000 people with disabilities, mental health needs, seniors, their families, workers, community organizations, including those in Asian/Pacific Islander, Latino, African American communities, policy makers and others across California.
REPLY TO: MARTY OMOTO  martyomoto@rcip.com   website:   www.cdcan.us
REMEMBERING LIFE AND WORK OF JOAN LEE
 
BREAKING NEWS:
* BUDGET APPROVED BY SENATE 29 to 11
* BUDGET PASSES ASSEMBLY 61 to 1
* GOES TO GOVERNOR - MAY NOT SIGN IT
* BUDGET STAND-OFF SHIFTS TO GOVERNOR
* HUNDREDS PROTEST BUDGET DELAY IN LA
Both Houses Pass State Budget In Late Night Session Going Into Early Tuesday Morning Hours - Governor's Threatened Veto Could Force Legislature To Return And Override It - Budget Battle and Delay Has Major Impact to People With Disabilities, Mental Health Needs, Seniors, Low Income Families, Workers and Community Organizations
 
SACRAMENTO (CDCAN)  - The Legislature passed, after a record breaking 78 days, a State budget and a package of budget related bills, that stretched into the early morning hours of Tuesday, September 16th.  The State Senate passed the State budget just after 12:30 AM Tuesday morning by a vote of 29 to 11.  The Assembly later, just before 2:10 AM Tuesday morning (September 16th), passed the State budget bill by a vote of 61 to 1.  That margin of approval was one of the largest in recent State history.  The Assembly adjourned its long session at 2:30 AM (September 16th). The Senate had adjourned an hour earlier. 
 
Two Assemblymembers were absent today out of the 80 member Assembly. 
* Assemblymember Nell Soto (Democrat - Pomona, 61st District) was not present at today's floor session - and has not been for quite some time this year due to a serious illness. 
* Assemblymember George Plescia (Republican - San Diego, 75th District) was absent on personal business.
One Assemblymember, Nicole Parra (Democrat - Hanford, 30th District) was the only member of either party to abstain from voting on any of the budget bills or budget related bills - something she did on August 17th, defying the Assembly Speaker.  Parra said then she would not vote for any budget proposal until the Assembly acted on important water related issues.
 
All 40 members of the State Senate were present.   
 
The budget compromise includes (see later CDCAN Report for more and complete details):
* TAX INCREASES: No sales or income tax increases
* BORROWING: No borrowing as proposed by Senate Republicans - though some funds, such as the transportation "spill over" fund were tapped. 
* SPENDING CUTS: nearly $10 billion, most that were previously approved by the Budget Conference Committee in late June, and later by Senate Democrats, who agreed to most of the Governor's $2 billion of additional cuts in August.  Those cuts do not include the major cuts that Senate Republicans wanted in their budget compromise plan which failed passage last week. 
* SSI/SSP - Supplemental Security Income/State Supplemental Payment program's state cost of living money owed for two years (June 1, 20087 through May 31, 2009, and June 1, 2009 through May 31, 2010) was included, but the compromise plan does not include a cut to the federal cost of living money owed January 1, 2009.  That federal cost of living money will be paid as scheduled to SSI/SSP recipients on January 1, 2009.
* MEDI-CAL- some full rate restorations, as ordered by the federal court, and a partial restoration for some providers not covered by the court order.  Not included in the budget compromise were previously rejected proposals by the Governor (and also proposed in the Senate Republican plan) that called for the permanent elimination of 11 Medi-Cal "optional benefits" including podiatry, optometry and other important services.  The issue is also subject of a federal lawsuit filed on behalf of Medi-Cal recipients by the Medicaid Defense Fund.  A federal judge on August 18th issued an order blocking most of the Medi-Cal provider cuts.  See CDCAN website for details at www.cdcan.us 
* IN-HOME SUPPORTIVE SERVICES (IHSS): No additional cuts were included in the budget compromise.
* REGIONAL CENTERS - includes the permanent reductions (called "cost containment measures") approved in February, and also 10% permanent rate reduction to the supported employment program that was included in the Budget Conference Committee report in June (approved by Democrats). 
 
Governor Threatens Veto of Budget Bill - But Legislature Have Votes to Override It
But the budget compromise plan that the Legislature passed faces an uncertain future with Governor Arnold Schwarzenegger, who earlier in the evening wrote a letter to the four legislative leaders saying he would veto the budget bill unless some additional budget reforms were included.  It is not clear if the changes made during the evening in some of those reforms would meet the Governor's demands.
 
However in theory the Legislature has the votes to override the Governor's veto, since passage of the budget bills require 2/3rds vote in both houses - the same number of votes needed to override a governor's veto. 
 
In a letter to the four legislative leaders - Senate President Pro Tem Don Perata (Democrat - Oakland), Assembly Speaker Karen Bass (Democrat - Los Angeles), Senate Republican Leader Dave Cogdill (Republican - Fresno), and Assembly Republican Leader Mike Villines (Republican - Clovis) wrote
 
"I have been very clear this entire year that I would be unable to sign a budget without meaningful budget reform.  For me to be able to sign a budget, the following 3 changes must be made to the current budget reform proposal:
1). Transfers out of the Budget Stabilization Fund (BSF) can only occur when, and to the extent that, revenues fall below projected spending (prior year spending with Gann Factor adjustments);
2). The 3% deposit into the BSF can only be suspended when money is being transferred out, and when the Cap of the BSF has been reached.
3). The CAP on the BSF is 12.5%
 
Without these changes, I can not sign this budget.
 
The four legisaltive leaders agreed to the Governor's demand that the fund be increased from 5%, then to 10% and now to what the Governor wanted, 12.5%
The Governor also wanted any transfers out of the "rainy day fund" to be possible only when the State's revenues fell below projected spending - but Democrats refused to give in on that demand.  Governor's office said that restrictions were needed or else the "rainy day" fund would turn into "nothing more than a slush fund that can be raided at any point and up to any amount".
 
Hundreds Protest Budget Delay Outside Governor's Los Angeles Office
In yet another sign of the growing impact of the budget delay, hundreds of people with disabilities, seniors, families, mental health needs, community organizations and workers marched several blocks to the Ronald Reagan State Office Building in downtown Los Angeles, that houses the Governor's Los Angeles office, and also offices for several other high state officials. 
 
The large crowd grew during the 4 block march, and the protest rally on the sidewalk and street with signs, chants "Sign the Budget - We Are People" and shouted slogans urging the Governor to sign the budget. 
 
Crowd estimates were difficult, with people jammed along the entire sidewalk length in front of the office building, but several observers estimated its peak between 700 to just under 1,000 people.  See separate CDCAN Report for details and photos
 
The issue of the impact of the budget delay on people with disabilities, seniors, people with mental health needs, children and others was the subject of a special CDCAN Townhall Telemeeting that was held Monday, September 8th, drawing over 650 people across the State.  Many were deeply concerned and worried about the continued stand-off and the potential or actual loss of services and supports.  A audio recording of the entire townhall will be posted on the CDCAN website  at www.cdcan.us
 
State officials with the California Health and Human Services Agency, including the Department of Developmental Services, which oversees the 21 non-profit regional centers and 7 state operated and owned health facilities, including 5 developmental centers, have been working to monitor and work to allocate any available funding that can be made available.
 
BUDGET BILL AND BUDGET RELATED BILLS PASSED
Note: copies of these bills will be available on the CDCAN website when latest copies, as amended and passed by the Legislature, are available. Important bills for people with disabilities, mental health needs, seniors, their families, low income children, their families, community organizations and workers and advocates who provide supports and services are bolded in the color red
 
AB 1781 - MAIN BUDGET BILL
Last Action 09/16/08: Passed State Senate 29-11.  Passed Assembly 61 to 1
 
AB 88 - SUPPLEMENTAL BUDGET BILL
Last Action 09/16/08: Passed State Senate 28-12.  Passed Assembly 57 to 15.
 
Budget Related Bills (Trailer Bills)
AB 36xxx - REVENUE
LAST ACTION 09/15/08: Assembly passed 41-28. Passed State Senate
CDCAN Note: includes legislative language dealing with timing of tax payments, increases employer withholding for 2008-2009 year, accelerating tax payments for 2008-2009, etc.
 
AB 1452 - REVENUE
LAST ACTION 09/16/08: Passed State Senate 27 to 13.  Passed Assembly 54 to 21.
 
SCA 13  - BUDGET REFORM
LAST ACTION 09/16/08: Passed State Senate 39 to 0. Passed Assembly 63 to 3.
CDCAN Note: Constitutional amendment, if approved by voters - budget reforms similar to what was proposed by the Legislative Analyst Office; increases Budget Stabilization Fund to 12.5%; restricts use of April surprise revenue, but does not contain Governor's hard spending cap
 
AB 519 - EDUCATION
LAST ACTION 09/16/08: Passed Senate.  Passed Assembly 67 to 7
 
AB 1338 - RESOURCES & ENVIRONMENT
LAST ACTION 09/16/08: Passed State Senate.  Passed Assembly 61 to 14.
 
AB 1526 - PROPOSITION 49 CHANGES
LAST ACTION 09/16/08: Passed State Senate.  Passed Assembly 64 to 6.
 
AB 1654 - LOTTERY MODERNIZATION
LAST ACTION 09/16/08: Passed State Senate 27 to 9. Passed Assembly 63 to 12.
 
AB 1741  - LOTTERY SECURITIZATION
LAST ACTION 09/16/08: Passed State Senate 28 to 9. Passed Assembly 62 to 12.
 
SCA 12  - LOTTERY CONSTITUTIONAL CHANGE
LAST ACTION 09/16/08: Passed State Senate 27 to 9. Passed Assembly 60 to 13.
 
AB 1805 - SERIOUSLY EMOTIONALLY DISTURBED (SED) CHILDREN PLACEMENTS
LAST ACTION 09/16/08: Passed State Senate 40 to 0.  Passed Assembly 64 to 7.
CDCAN Note: This issue is of critical importance to children with special needs and their families. Issue raised about for profit placements and non-profit out of state placements. 
 
AB 1279 - HUMAN SERVICES (SSI/SSP, CalWORKS) 
LAST ACTION 09/16/08: Passed State Senate 33 to 6.  Passed Assembly 55 to 16.
CDCAN Note: Includes legislative language regarding suspension of the State cost of living money owed to CalWORKS, and also the State cost of living money owed to SSI/SSP recipients for the time periods of June 1, 2008 through May 31m 2009, and June 1, 2009 through May 31, 2010. Also contains legislative language regarding child support.  Does NOT contain any language that calls for delaying or cutting the Federal cost of living money owed to SSI/SSP due January 1, 2009.  That money will be paid as scheduled. 
 
AB 1389 - GENERAL GOVERNMENT
LAST ACTION 09/16/08: Passed State Senate: 28 to 12.  Passed Assembly.
 
AB 268 - TRANSPORTATION
LAST ACTION 09/16/08: Passed Senate 29 to 10.  Passed Assembly 56 to 15. 
 
AB 1183 - HEALTH (MEDI-CAL)
LAST ACTION 09/16/08: Passed State Senate 36 to 3.  Passed Assembly 54 to 21.
CDCAN Note: includes legislative language regarding Medi-Cal provider rate restorations, nursing home rate methodology.
 
ADDITIONAL MEASURES PASSED WITH BUDGET RELATED BILLS
 
AB 158 - LOCAL COMMUNITIES: GAMING
LAST ACTION 09/16/08: Passed State Senate 39 to 0. Passed Assembly 74 to 0. 
 
AB 10 - HIGH TECH OVERTIME JOB FIX
LAST ACTION 09/16/08: Passed State Senate 28 to 8. Passed Assembly 54 to 18.
 
AB 2784 MEDI-CAL RURAL HEALTHCARE PROVIDER RATES
LAST ACTION 09/16/08: Passed State Senate 40 to 0.  Passed Assembly 62 to 0.
CDCAN  Note: Clarifies what facilities are exempt from the Medi-Cal provider rate reductions
 
AB 186 - RURAL CRIME PREVENTION SUNSET TO 2012
LAST ACTION 09/16/08: Passed State Senate 40 to 0.  Passed Assembly 74 to 0.
 
AB 2026 - SURPLUS PROPERTY SALES 
LAST ACTION 09/16/08: Passed State Senate 29 to 9.  Passed Assembly 65 to 3.
 
AB 2246 - FRESNO CHARTER SCHOOL
LAST ACTION 09/16/08: Passed State Senate 27 to 11. Passed Assembly 66 to 0. 
 
BUDGET RELATED BILLS NOT TAKEN UP
AB 841 - PUBLIC SAFETY
 
AB 1189 - CORRECTIONS RECEIVER BOND
 
AB 2988 - BILLBOARDS
 
SB 1069 - SUPPLEMENTAL APPROPRIATION
 
SB 1071 - SUPPLEMENTAL APPROPRIATION
 
SB 1083 - PEAKER PLANT 
 
BUDGET RELATED BILL FAILED PASSAGE
AB 1696 - FILM GRANTS     
LAST ACTION 09/16/08: Failed passage in State Senate.
Budget Actions To Date
09/16/08: Both houses (Senate just after 12:30 AM, the Assembly just before 2:10 AM) finally approve the State Budget, after 78 days. However Governor Schwarzenegger earlier on Monday evening threatened to veto the budget bill unless his demands for budget reforms were included.  Some of his demands were not included. 
09/15/09 - Both houses meet after 4 PM to begin floor sessions to vote on budget compromise - though sessions stretch into the next day.
09/09/08 - Assembly voted on the Senate Republican budget proposal, which, as expected, failed to pass 27 to 45. No Democrats supported the proposal. 
09/08/09 - State Senate voted on the Senate Republican budget proposal, and as expected, rejected it 13 to 21. No Senate Democrats supported the proposal, and 2 Senate Republicans (Roy Ashburn and Abel Maldonaldo) abstained.
09/03/09 - Assembly Budget Committee holds hearing on the Senate Republican budget proposal, with a focus on its impact on education funding. No vote was taken, though many people provided public comments in opposition to the proposed reductions and cuts to health and human services, including In-Home Supportive Services (IHSS)
08/29/08 - State Senate took up the Governor's budget proposal that he released August 20th, that was significantly revised by Senate Democrats. The Governor's proposal accepted the budget proposal as passed by the Budget Conference Committee, controlled by the Democrats in late June with some major changes.  The Governor's plan had additional cuts and a proposed sales tax increase (instead of income tax increases) that would have been permanently reduced to a level lower than what it is today after three years.  Senate Democrats revised the Governor's proposal by eliminating some of the cuts, going for the temporary sales tax increase, but eliminating the part of the proposal that would have permanently reduced it lower than what it is now after 3 years.  No Senate Republicans voted for the proposal. 
08/17/08 - The first time an actual budget plan was officially voted on in either house, 48 days late into the new budget year.  The Assembly voted on the budget proposal that came out of the Budget Conference Committee controlled by the Democrats.  That budget plan contained proposed tax increases and other new revenues. That budget plan fell 9 votes short of passage, and as expected, failed to pass. It received no Republican votes. 
 
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News Impacting People With Disabilities, Mental Health Needs, Seniors & others, including Asian Pacific Islanders, Latinos, African Americans communities across California and beyond - Reports go out to over 45,000 people with disabilities, seniors, mental health needs & others,  organizations, policy makers across California
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To respond to this report reply to: Marty Omoto at martyomoto@rcip.com    CDCAN website: www.cdcan.us
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MANY MANY THANKS to Regional Center of the East Bay, Friends of Children with Special Needs, UCP of Orange County, UCP of Los Angeles and Ventura Counties, Alta California Regional Center, FEAT (Families for Early Autism Treatment),  Life Steps, Easter Seals California, Parents Helping Parents, Work Training, Foothill Autism Alliance, Arc Contra Costa, Pause4Kids, Manteca CAPS, Training Toward Self Reliance, UCP, California NAELA, Californians for Disability Rights, Inc (CDR) including CDR chapters, CHANCE Inc, , Strategies To Empower People (STEP), Harbor Regional Center, Tri-Counties Regional Center, Asian American parents groups, Resources for Independent Living and many other Independent Living Centers, several regional centers, People First chapters, IHSS workers, other self advocacy and family support groups, developmental center families, adoption assistance program families and children, and others across California