opinion
by mark leno

Why there's no budget

WITH CALIFORNIA FACING a historic budget deficit, citizens are understandably frustrated that the state legislature seems unable to pass a budget on time. As a first-term assemblymember ready to tackle this crisis, I share their frustration. The reasons for the current budget stalemate are both simple and complex.

California is one of just three states that is constitutionally required to pass its budget by a two-thirds majority vote of the legislature. This supermajority requirement has meant that in the past 30 years, only five budgets have been passed by the July 1 deadline. Though members of the legislature come and go, the structural hurdle of the two-thirds budget vote remains.

California is among 47 states facing a severe budget shortfall. Revenues in recent years have fallen more drastically than at any time since World War II. Additionally, significant federal cutbacks in health care, education, housing, and transportation have placed growing demands on state and local government. In the flush years of the late 1990s, more than $25 billion of tax relief was enacted. Put all of these pieces together and we find California challenged by a budget deficit of more than $35 billion.

There are really just a few options in closing a budget shortfall. We can decrease expenditures, increase revenues, borrow (roll over the debt to future years), or use a combination of the three. The Democratic caucus of the assembly believes we must meet this challenge in a balanced fashion. We have reduced costs by $12 billion as judiciously as possible, which has meant having to cut into education and health programs. Of course, where we can identify waste and inefficiency, we must take corrective action and remain vigilant.

The hurdle we face is in our Republican colleagues' extreme position that they will support absolutely no tax increases to balance the budget. Interestingly, in a majority of the states with similar deficits and with Republican state leadership, governors and state legislatures have done just that – raised taxes. Eleven years ago when California faced a then-record $14 billion deficit, Republican governor Pete Wilson raised $7.5 billion in new taxes. He did so not because he wanted to; he did so because he realized he needed to.

Our situation is further confounded by the fact that California's Republican legislators not only won't support increasing revenues, but they also vote against the spending cuts. This year a majority of Republican assemblymembers, 17 out of 32, have voted at least once against spending cuts, while only 3 of the 48 Democrats have. Let me quote one of my more conservative Republican colleagues: "I will not vote to cut schools. I will not cut public safety. I don't believe in cutting Medi-Cal." One must wonder for what purpose a legislator is in Sacramento if he or she won't make cuts and won't raise taxes.

A political operative from Washington, D.C., arrived in Sacramento last week with a promise to raise at least $100,000 to oppose any Republican member who would dare to support a budget bill resolved by one cent of new tax. Add to that the threat California State Senate minority leader Jim Brulte made to the Republican legislative caucus recently that he would personally end the political career of anyone doing the same. Intimidation and political death threats will not lead us to a reasonable resolution of our budget woes.

In the midst of this bullying, I am enraged by the possibility that millions of California's children will be shortchanged in their education. Seniors, mothers in need of child care, and the disabled will find themselves locked out of needed services. Housing and transportation projects that keep our business climate healthy will be sacrificed.

Compromise is a 50-50 proposition. Negotiations cannot occur when one side is locked into an extreme and absolute position by its party leaders for their own political gain. Let's pursue the balanced approach that Republican leaders across this country and former governor Wilson have used. Anything less will jeopardize the strength, beauty, and future of California.

Mark Leno represents District 13 in the state assembly.