“Senate Republicans believe Governor Brown is moving in the right direction by making education and law enforcement funding a top priority. We also applaud the governor for embracing Republican proposals of paying down state debt and providing some job-creation incentives.
“But the May Revise goes too far on taxes and not far enough on reforms.
“Rather than curbing government spending, the governor’s revised budget still sets the state on a course of excessive spending growth in the future – spending that relies on tax increases.
“With $6.6 billion in new revenues, Republicans are right – we don’t need, and it’s ridiculous to ask voters for, five years of new taxes.
“Clearly the California economy is trying to recover, which makes it critical that the state budget include reforms that Senate Republicans have been seeking from day one – a hard spending cap, pension reform and business-regulation relief.
“The Senate Republicans’ long-terms solutions provide the stability small businesses need to grow and create jobs.”
From State Senate Budget Committee Chairman Senator Mark Leno, D-San Francisco:
“The revised budget proposal Governor Brown released today makes use of the state’s unexpected improved revenues in a fiscally responsible way and addresses California’s structural deficit so that we do not dig the hole any deeper. While our cash forecasts are encouraging, we are far from resolving the long-term deficit problem, and must not fall into the trap of utilizing one-time solutions, borrowing and deferments that would only aggravate the problem. This revised budget is an honest and balanced spending plan that extends current revenues to stimulate the economy, secure jobs and protect public investments in K-12 education, universities, public safety and social programs. I am committed to working with Governor Brown, my colleagues in the Legislature and the people of California to help our state recover and flourish once again.”
From Assembly Republican Leader Connie Conway, R-Tulare:
“In our ‘Roadmap to a No Tax Increase Budget,’ Assembly Republicans showed that we can protect funding for the classroom and law enforcement without raising taxes. We call upon the Governor to stop trying to raise people’s taxes and start working across party lines on a no-tax increase budget compromise. Protecting our core priorities, reforming state government and bringing back private sector jobs – without raising taxes — must continue to be our focus as we work to get California back on track.”
From state Treasurer Bill Lockyer:
“The Governor deserves credit for not succumbing to expediency and remaining focused on California’s longer-term fiscal future. The plan reflects an understanding that, despite welcome revenue increases, the State still faces significant budget shortfalls not just in the next fiscal year, but in subsequent years. It closes those ongoing deficits with a balanced approach that solidifies California’s fiscal foundation without short-circuiting the state’s economic recovery.
“The plan’s effect on our ability to borrow $10 billion to meet the State’s cash-flow needs remains unclear. If full implementation of the Governor’s FY 2011/12 plan remains contingent on voter approval of taxes, my office will not be able to complete a cash-flow borrowing transaction unless the final adopted budget includes real, inescapable, quickly-implemented spending cuts that would be triggered if voters reject the taxes.”
Lots more, after the jump…
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Posted on Monday, May 16th, 2011
Under: Bill Lockyer, Bob Dutton, California State Senate, Darrell Steinberg, Jerry Brown, John Chiang, Mark Leno, state budget, Tom Harman, Tom Torlakson | 11 Comments »