California Legislative Analyst Recommends Using Funds From Ballot Initiatives To Help Close Budget Gap
California's non-partisan legislative analyst Mac Taylor on Thursday recommended revising several voter-approved initiatives -- including some that fund health care programs -- to help the state address the budget deficit, the San Francisco Chronicle reports. The state budget deficit is projected to hit $40 billion by mid-2010.
Gov. Arnold Schwarzenegger (R) and Republican lawmakers have proposed asking voters to approve reallocating money from Proposition 63, which provides funds for mental health services, and Proposition 10, which helps fund early childhood health care and education programs. In a report, Taylor also recommended that lawmakers consider asking voters to allow the state to use funds from Proposition 99, which increased the state tobacco tax to help fund health care programs, and Proposition 49, a 2002 initiative backed by Schwarzenegger that provides funds for after-school programs (Yi/Buchanan, San Francisco Chronicle, 1/9).
State Senate President Pro Tempore Darrell Steinberg (D) said that redirecting funds from Proposition 63 is a "non-starter." Steinberg was an author of the initiative. Taylor recommended holding a special election as soon as April to seek voter approval for the revision of the ballot initiatives, as well as proposals to borrow against future proceeds of the state lottery (Yamamura, Sacramento Bee, 1/9). In addition, Taylor expressed doubts over Schwarzenegger's plan to borrow roughly $10 billion to close the deficit because of the tight credit market and potential legal hurdles (San Francisco Chronicle, 1/9).
The Legislative Analyst's Office report is available online.
