Schwarzenegger Signs Overdue Calif. Budget

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The New York Sun

SACRAMENTO — Governor Schwarzenegger signed the most overdue state budget in California history yesterday, skipping the usual fanfare because he said the Legislature’s efforts on the $144.5 billion spending plan were nothing to celebrate.

Nearly a quarter of the way through its fiscal year, the state finally has freed up billions of dollars to pay medical clinics, nursing homes, daycare centers, and contract vendors. The 85-day impasse stemmed from a partisan legislative standoff over how to close California’s $15.2 billion deficit.

The governor signed the budget bills in his office, rather than the Capitol rotunda where budgets are usually signed.


“Why I didn’t feel like celebrating in the rotunda is that it is inexcusable to have a budget that’s three months late,” Mr. Schwarzenegger said after signing the budget before a small gathering of local officials. “It’s three months late because both of the parties stayed in their ideological corners and refused to come out.”

Legislative Republicans opposed any tax increase, while Democrats sought to combine budget cuts with higher taxes on corporations and the wealthiest Californians.

Mr. Schwarzenegger had offered what he considered a compromise proposal involving a temporary 1 cent increase in the state sales tax that would drop after three years. That plan failed to gain support from Republicans, which meant it would not be able to generate the required two-thirds vote in the Assembly or Senate.

The New York Sun

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