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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 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.