CDCAN REPORT #122-2011: Key revenue piece of state budget fails passage; budget stalemate continues

REVENUE PIECE OF STATE BUDGET FAILS TO PASS STATE SENATE 22 TO 15 – SENATE DEMOCRATS PASS BILL TO GIVE COUNTIES AUTHORITY TO RAISE REVENUES WITH VOTER APPROVAL

Links to Copies of Revised Main Budget Bill and Several Budget Trailer Bills Passed Today by State Senate

SACRAMENTO, CALIF  (CDCAN)  [Last Updated 06/10/2011  02:43 PM] -  The key revenue piece of the budget to extend the 2009 temporary tax increases for one year (with voter approval in an election to extend it for another four years beyond that) failed passage, as expected, in a  22-15 vote in the State Senate taken around 2 PM.

The bill will be “reconsidered” for another vote in the coming days but no agreement with legislative Republicans appear in until the revenue pieces of the 2011-2012 State Budget are resolved  As expected, the revenue piece failed to win support from any of the Senate Republicans – with at least 2 Senate Republican votes needed to pass.

The State Senate adjourned at 2:50 PM and is currently scheduled to reconvene at 10:00 AM Saturday morning, though that date and time is subject to change.

The Assembly did not meet today and is scheduled to convene next week to take up the budget bills.

Bill To Give Counties Authority To Raise Revenues With Voter Approval Passes Senate

In an apparent retaliation for the lack of support from Senate Republicans for the revenue piece that would call for a five year extension of the 2009 temporary tax increases (scheduled to expire June 30, 2011), Senate President Pro Tem Darrell Steinberg (Democrat – Sacramento) put forward SB 23 as amended (current version is not yet available on the Legislative Information website), that would give counties the authority to put for voter approval in their counties, proposals to raise certain revenues on their own, in the absence of adequate state funding for education and public safety. 

The bill passed 21 to 16 on a majority vote – strongly opposed by Senate Republicans, some who mentioned a lawsuit that they predicted would block it.  The bill heads to the Assembly next for a vote.   

Local businesses opposed the bill and expressed fears that the Democratic controlled Legislature and Democratic Governor would be willing to pass the measure if the tax extension revenue piece failed to win approval. 

SB 23 itself doesn’t close the budget hole that the Governor and legislative Democrats want filled by extending for five years the 2009 temporary tax increases – but it does provide the counties with the ability to raise needed revenues if the State fails to provide it, for education and public safety. 

It is not clear to what extent SB 23 resolves the budget deficit in the short and long term.

LINKS TO LATEST VERSION OF BUDGET RELATED BILLS

The following are links to the revised main 2011-2012 State budget bill and the budget trailer bills approved by the State Senate this afternoon on a majority vote (that still need approval  by the Assembly and then by Governor Brown).

AB 98 - MAIN BUDGET BILL 

Revises SB 69, the main budget bill that the Legislature approved on a majority vote on March 17 but never sent to the Governor.

STATUS 06/10/2011:  State Senate approved on majority vote – but key revenue piece will be taken up in a separate bill and is certain, at least today, to fall short of the need 2/3rds vote to pass.

NEXT STEPS:

LINK TO LATEST VERSION OF BILL- HTML:  http://www.leginfo.ca.gov/pub/11-12/bill/asm/ab_0051-0100/ab_98_bill_20110609_amended_sen_v97.html

LINK TO LATEST VERSION OF BILL – PDF: http://www.leginfo.ca.gov/pub/11-12/bill/asm/ab_0051-0100/ab_98_bill_20110609_amended_sen_v97.pdf

The following are some of the budget related (or budget trailer) bills acted on by the State Senate (all still require approval in the Assembly and then approval by the Governor):

AB 96 – ADULT DAY HEALTH CARE TRAILER BILL

Authorizes the Brown Administration (Department of Health Care Services)  to develop  and draft and submit a waiver for the creation of a new adult day health care-type benefit.

STATUS 06/10/2011:  State Senate approved on majority vote. 

NEXT STEPS:  Assembly needs to approve

CDCAN NOTE: This is a standalone budget trailer bill, which makes it possible for the Governor to veto completely (as opposed to being part of the health budget trailer bill – which would have made it harder if not impossible for the Governor to veto). 

LINK TO LATEST VERSION OF BILL -  HTML:  http://www.leginfo.ca.gov/pub/11-12/bill/asm/ab_0051-0100/ab_96_bill_20110608_amended_sen_v96.html

LINK TO LATEST VERSION OF BILL – PDF: http://www.leginfo.ca.gov/pub/11-12/bill/asm/ab_0051-0100/ab_96_bill_20110608_amended_sen_v96.pdf

AB 102 – HEALTH OMNIBUS TRAILER BILL

Makes various statutory changes to transition community mental health programs and activities of the California Medical Assistance Commission to the Department of Health Care Services.

Provides health care service in the Access to Infants and Mothers (AIM) program to be provided through fee-for-service Medi-Cal on a reimbursement basis. Makes changes to pharmacy reimbursement for Medi-Cal.

STATUS 06/10/2011:  State Senate approved on majority vote.

NEXT STEPS:  Assembly needs to approve

LINK TO LATEST VERSION OF BILL -  HTML:  http://www.leginfo.ca.gov/pub/11-12/bill/asm/ab_0101-0150/ab_102_bill_20110608_amended_sen_v97.html

LINK TO LATEST VERSION OF BILL – PDF: http://www.leginfo.ca.gov/pub/11-12/bill/asm/ab_0101-0150/ab_102_bill_20110608_amended_sen_v97.pdf

AB 104 – DEVELOPMENTAL SERVICES TRAILER BILL

Makes various changes in State law to developmental services programs necessary to implement provisions of the revised 2011-12 budget.  This details how the budget savings and reductions will be made in the 2011-2012 State budget year totaling $174 million in State general funds including those impacting supported living services, parental fees and the prevention program for at-risk babies. 

STATUS 06/10/2011:  State Senate approved on majority vote.

NEXT STEPS:  Assembly needs to approve

LINK TO LATEST VERSION OF BILL - HTML: http://www.leginfo.ca.gov/pub/11-12/bill/asm/ab_0101-0150/ab_104_bill_20110608_amended_sen_v97.html

LINK TO LATEST VERSION OF BILL – PDF:  http://www.leginfo.ca.gov/pub/11-12/bill/asm/ab_0101-0150/ab_104_bill_20110608_amended_sen_v97.pdf

AB 106 – HUMAN SERVICES OMNIBUS TRAILER BILL

Makes various changes to State law impacting CalWORKs and other human services programs (including In-Home Supportive Services Public Authorities) that are necessary to implement provisions of the revised 2011-12 budget.

STATUS 06/10/2011:  State Senate approved on majority vote.

NEXT STEPS:  Assembly needs to approve

LINK TO LATEST VERSION OF BILL - HTML: http://www.leginfo.ca.gov/pub/11-12/bill/asm/ab_0101-0150/ab_106_bill_20110609_amended_sen_v97.html

LINK TO LATEST VERSION OF BILL – PDF: http://www.leginfo.ca.gov/pub/11-12/bill/asm/ab_0101-0150/ab_106_bill_20110609_amended_sen_v97.pdf

AB 114 – EDUCATION FINANCE OMNIBUS BUDGET TRAILER BILL

Makes various statutory changes to K-12, higher education, and child care programs that are necessary to implement provisions of the revised 2011-12 budget.

STATUS 06/10/2011:  State Senate approved on majority vote.

NEXT STEPS:  Assembly needs to approve

LINK TO LATEST VERSION OF BILL - HTML: http://www.leginfo.ca.gov/pub/11-12/bill/asm/ab_0101-0150/ab_114_bill_20110609_amended_sen_v98.html

LINK TO LATEST VERSION OF BILL – PDF: http://www.leginfo.ca.gov/pub/11-12/bill/asm/ab_0101-0150/ab_114_bill_20110609_amended_sen_v98.pdf

AB 115 – TRANSPORTATION OMNIBUS TRAILER BILL

Makes various changes to existing State law dealing with transportation-related programs that are necessary implement provisions of the revised 2011-2012 State budget.

STATUS 06/10/2011:  State Senate approved on majority vote.

NEXT STEPS:  Assembly needs to approve

LINK TO LATEST VERSION OF BILL - HTML: http://www.leginfo.ca.gov/pub/11-12/bill/asm/ab_0101-0150/ab_115_bill_20110608_amended_sen_v98.html

LINK TO LATEST VERSION OF BILL – PDF: http://www.leginfo.ca.gov/pub/11-12/bill/asm/ab_0101-0150/ab_115_bill_20110608_amended_sen_v98.pdf

AB 119 – GENERAL GOVERNMENT OMNIBUS TRAILER BILL

Makes various changes to existing State law  to various general government and state admnistration-related programs that are necessary implement provisions of the revised 2011-2012 State budget. Includes transfer of Governor’s Committee for Employment of People With Disabilities from Employment Development Department to the Department of Rehabilitation (with reduced level of over-all funding). 

STATUS 06/10/2011:  State Senate approved on majority vote.

NEXT STEPS:  Assembly needs to approve

LINK TO LATEST VERSION OF BILL - HTML: http://www.leginfo.ca.gov/pub/11-12/bill/asm/ab_0101-0150/ab_119_bill_20110608_amended_sen_v98.html
LINK TO LATEST VERSION OF BILL – PDF: http://www.leginfo.ca.gov/pub/11-12/bill/asm/ab_0101-0150/ab_119_bill_20110608_amended_sen_v98.pdf