2010 Legislative Year Comes into Focus
Governor Arnold Schwarzenegger returned from Washington, DC with an expectation that the federal government would provide approximately $7 billion to reduce California’s projected $21 billion deficit. However, last week President Barack Obama released his proposed federal budget which allocated approximately $1.5 billion in federal aid to help California. This shortfall makes finding a state budget resolution this year much more difficult.
In response to the President’s budget, Governor Schwarzenegger immediately sent a letter to California’s congressional delegation requesting their assistance in securing more federal funds. The letter outlines the areas where the governor believes the congressional delegation should direct their efforts, addressing the federal underpayment for federally required programs. 
Last year, California was forced to close a $60 billion deficit by raising taxes, borrowing, spending reductions and implementing other budgetary tricks. However, finding the Legislature’s support with the necessary votes for any of those options will be challenging. 
The potential political fallout from Senator Abel Maldonado’s Lt. Governor confirmation hearing may leave the Democrat-controlled Legislature without their most reliable Republican vote for any Democrat budget. If Senator Maldonado is confirmed, he leaves the Senate and takes his potential vote with him. If the Legislature fails to confirm him, they potentially lose his support for the budget and other Democrat-sponsored items that require Republican votes.
Regardless of Maldonado’s confirmation fate or Governor Schwarzenegger’s pleas for federal funds, California’s 2010-11 budget will once again be held up in a budget stalemate. Governor Schwarzenegger and Republicans have expressed their commitment to reduce state spending, while Democrats have stated their resistance to significant program deductions. Finding a resolution to these competing goals will lead to a prolonged budget debate.
In spite of the current $21 billion deficit, the Legislature has spent the beginning of 2010 on approving and introducing legislation. One measure approved last week was Senate Bill 810 (Leno), which would create a $200 million government-run health care program for California. The measure was approved on a party-line vote with Republicans opposing. 
The passage of SB 810 further illustrates the disconnection between many of California’s elected representatives and the citizens of the state. As California’s unemployment rate has surpassed 12% and revenues have decreased annually, legislators continue to push special interest agendas over the needs of all Californians.
Senate Bill 906, authored by Senator Mark Leno, further illustrates the widening disparity between the elected’s special interests, and the voters. SB 906 begins the incremental process of dismantling the definition of marriage in California law. Under the guise of religious freedom, SB 906 changes current “marriage” references to “civil marriage.” The change intentionally creates a new class of marriage into California law, opening the door to other marriage alternatives by future Legislatures and the courts.
Legislators and citizens will have an opportunity to voice their concerns regarding these measures as they move through the legislative process. While SB 906 will not be heard in committee before March, SB 810 could be heard in committee at any time. CFC staff will be monitoring these measures throughout the year. You can keep track of these and other related measures by visiting our Web site.
Finally, this week the Secretary of State has assigned numbers to five propositions that will be placed onto the 2010 June Primary Ballot. Currently, the Secretary of State is obtaining ballot arguments in support and in opposition to the propositions for the voter guide. Once they receive all the necessary information, the Secretary of State’s office will produce the voter guide and send it to voter households. The June Primary is scheduled for June 8, 2010. The five ballot measures include:
  1. Proposition 13 – Property taxes for new construction and seismic retrofitting
  2. Proposition 14 – The Open Primary
  3. Proposition 15 – Public funds for candidates for Secretary of State
  4. Proposition 16 – Two-third vote requirement for local public electricity providers
  5. Proposition 17 – Auto insurance based on driver’s history of auto insurance