California Conservative

When someone speaks the truth, he deserves to be heard. Below is a press release sent out tonight by Senator Abel Maldonado. In it, he clearly states that the just approved budget by the governor and the Democrats (with GOP votes to pass it) “moves California backward”.

I am a little surprised at this wording. The Governors Team has millions of dollars of ads on TV claiming Angelides would move the State backwards–yet Abel is now claiming that a budget bill, largely designed by the Governor, and soon to be signed by the Governor, moves the State backward–thereby nullifying the ad campaign of the Governor. I wonder why Abel is now taking on the Governor?

The Senator makes a very good point, this budget mandates a $4.6 billion deficit next year, after a $2.5 billion deficit this year. But, we all know that is not true. According to Senator McClintock, the 2006-07 deficit, in current revenue dollars is closer to $21 billion:

$2.5 “structural” deficit (fancy phrase for “they can’t control themselves”)
$7.5 billion “surplus” from last year
$10 billion or more in unfunded pension liabilities
$1 billion–or more in unfunded health care liabilities

On top of this, will be the principal and interest payments, if passed for the following:

$37 billion in the Governor’s Infrastructure bonds
$5.4 billion in water bonds (separate from the levee bonds)

Then you have:

$3 billion in solar bonds, passed by the PUC, not needing voter approval
$1 billion (or more) in revenue-leasing bonds for prisons proposed by the Governor.

Does anyone know of other bonds that the state will issue in the next 12 months?

No wonder Senator Maldonado now complains about the budget. He needs to be congratulated for voting against the deficit budget. But it takes more than a press release to fix the problem. Abel and the rest of the GOP in Sacramento need to speak out more and fight for the fiscal health of the state. It is time they live up to the GOP principle of limited government. The last Gray Davis General Fund budget was $76 billion. The budget just approved is $101 billion. The total approved budget is $131 billion

This is not a good day for the families or businesses of California.

Reference:
Press Release: (6/27)
Senator Maldonado’s statement following his no vote on the California state budget (AB – 1801)

For Immediate Release

“When deciding to vote for this budget I asked myself, does this budget move California forward or back? The answer is simple: it moves California backward.

“This budget spends $9.9 billion that hardworking taxpayers unexpectedly sent us in a good year and spends another $7 billion we do not have. This budget puts less than two-percent away for a rainy day. The fact of the matter is, after we leave tonight we’re still saddled with a $4.6 billion deficit next year.

“I campaigned with Gov. Schwarzenegger and let me share something with you. He said politicians in Sacramento have an addiction to spending. He said they need an intervention. The Governor was right, this place is addicted to spending.

“I am not saying this budget is taking us to bankruptcy, but it does not move California closer to fiscal responsibility.”

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Steve Frank is the publisher of California Political News and Views and a Senior Contributor to CaliforniaConservative.org. He is also a consultant currently working on gambling issues and advising other consultants on policy and coalition building.

Read more of his work here or at his blog.

Technorati Tags: Abel Maldonado, Schwarzenegger, California, Budget

This entry was posted on Wednesday, June 28th, 2006 at 8:54 am and is filed under Arnold, Author: Steve Frank, California, Economy, Elections, Sacramento. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.