Did Arnold Jump the Gun On Budget?
The holiday surprise in California this year was that Gov. Schwarzenegger didn't wait to the usual date -- often January 9 or 10 -- to release his budget proposal for the 2009-10 fiscal year. Instead, the proposal was released on Dec. 31. And in another departure from protocol, the governor wasn't there to do the releasing. He was at his vacation home in Idaho with his family. Finance director Mike Genest handled the chore.
The release seems to be a way to accomplish two political goals: 1) to show urgency (we're releasing the budget early) while 2) burying the news of a horrible budget proposal that includes big spending cuts, borrowing and tax increases, many of which represent a reversal from previous Schwarzenegger positions. Shaking things up is a good thing, but I'm not sure if this early budget release accomplished much. The proposal itself is unlikely to spark fast action by a dysfunctional legislature. But it's not clear if there's any force in the universe that can force consensus in the California legislature.
I also have a more technical question: was Schwarzenegger's budget so early that it violates the state constitution. According to Article IV, Section 12, clause A, the governor shall submit his budget "within the first 10 days of each calendar year." Dec. 31 doesn't make it. But Genest, in his press conference on New Year's Eve, clarified that slightly, by saying that the official budget with budget bills will be formally delivered to the legislature on Jan. 9.
It's a fine point, sure. But it's just another way that California's leaders seem to be frustrated with the current constitutional structure, at least when it comes to the budget. Lawmakers are pushing the constitutional limits on borrowing. Democrats are plotting ways around the two-thirds requirement for passing budgets or raising taxes. The governor and his aides have never been fond of the current set of budget deadlines. I remember talk back in 2004 about whether the governor should even bother with submitting a revised budget in May. The legislature seemed to wait until then to do any real negotiating, so why not ignore that custom?


