In spite of his protestations that "he is so rich that he does not have to be beholden to the special interests" and that "We need to live within our means," the RINO (Republican In Name Only) once again followed his core belief, "Don't do as I do; do as I say" and urged fellow Republicans to pass a California budget with disastrous consequences.

The Governor had the temerity to release the following press release ...

“The budget passed by the Assembly is a budget the people of California can be proud of. It takes the operating deficit down to $700 million – and more after I use my blue pencil authority.  The legislature has done a magnificent job through these tough negotiations by getting the deficit down from the May Revision.  This budget moves the reserve up to $3.4 billion and makes tremendous investments in law enforcement and education.

“Bringing the operating deficit to zero this year would mean a cut to the education budget.  The question now is whether we cut education funding and I don’t think that’s what the people of California want.  I will not cut education.”

Like most democrats and liberals, the Governor is willing to say almost anything even if it contradicts the facts. As an example, lets look at a few items that were provided by one of the few, and perhaps the only, honest man in California politics, Tom McClintock (once the Governor's running mate for Lieutenant Governor until he was denied the logistical support he needed to win.)

"'The May Revision continues the Governor’s commitment to restraining the growth in spending, pre-paying debt, eliminating the net operating deficit, not raising taxes and maintaining an adequate reserve.' Or so says the introductory paragraph of the Governor’s updated budget plan."

"'Restraining the growth in spending?' When the Governor took office, Gray Davis was spending $78.3 billion from the general fund. The May revision 'restrains' spending to just under $103.8 billion, an increase of 32.6%."

"'Eliminating the net operating deficit?' When the Governor took office in 2003, the general fund was bleeding $1.6 billion in red ink. Under Schwarzenegger’s May budget revision, it will rack up a $2.5 billion deficit, and according to the LAO, $5 billion more the following year. Put another way, in five years, Davis accumulated a combined deficit of $4.2 billion and Schwarzenegger is on track during his first five years to put us under by $10 billion."

“'Maintaining an adequate reserve?' Thanks to massive state borrowing in 2004 and revenue windfalls in 2005 and 2006, we began the 2006-07 budget year with $10.5 billion in the bank (and nearly $10 billion in credit card debt). Instead of using the money in the bank to pay off the credit card, the Governor will have blown through all but $2.2 billion of it with the May revision. That’s the 'adequate reserve.'"

"And the Legislative Analyst’s Office has just added a sour post-script: the actual 'adequate reserve' will be closer to $500 million – meaning that a $10 billion nest egg will have been squandered in just 24 months. And the 2008 budget will begin in a $5 billion hole."

But those were the numbers from the "May Revision," and here we are in June with no balanced budget and a failure of the Senate to pass any budget ... even after having taken the almost unprecedented "lockdown" of the Senate chamber which was used to compel legislator's attendance at the budget hearing. According to Tom, the Democrats have agreed to "go back to the drawing board to consider additional Republican budget reductions." No wonder why Schwarzenegger didn't want a "truth talker" like McClintock that close to his Administration.

The current July 20, 2007 Legislative floor package notes...

Revenues and Expenditures.

"The budget assumes the state will start 2007-08 with a fund balance of $4.8 billion. It projects $102.3 billion in budget-year revenues, an increase of 6.5 percent from 2006-07. The budget authorizes expenditures of $103 billion, an increase of 1.3 percent from 2006-07. The resulting operating shortfall of $0.7 billion leaves the General Fund with a year-end reserve of $3.4 billion."

Future Shortfalls Likely.

"Based on current estimates of the policies reflected in the package, the state would continue to face operating shortfalls of about $5 billion in both 2008-09 and 2009-10, requiring future corrective actions."

And, of course, the devil is in the details as the report goes on to note "revenue assumptions" and such "rob Peter to pay Paul" items as:

"Revenue Assumptions. Assumes $1 billion in General Fund revenues from the sale of EdFund, the state’s nonprofit student loan guaranty agency. Also assumes $293 million in new General Fund revenues from amended tribal gambling compacts."

"Transportation. Uses $1.3 billion of PTA funding to reduce General Fund expenditures, including almost $100 million for education."

Should any of these assumptions fail to materialize or if the State faces unanticipated expenses (e.g. extra heavy fire season), the projections will need serious adjustments.

But the question remains, why can't the Governor simply cut expenses as per his campaign promises. Perhaps it is due to his close and somewhat unhealthy association with the liberal democrats who only know how to tax-and-spend.

What can YOU do?

Call the California Governor at 916-445-2841 or send him a message via e-mail at to let him know that you are disappointed that he has not kept his campaign promises to bring California's spending under control and that his behavior is reminiscent of the previous recalled governor, Gray Davis.

Do not elect RINOs who appear to campaign like conservative Republicans, but who turn into liberal-spending democrats after the election.

Know what you want in fiscal responsibility before electing any local, state or federal candidate and then demand that they perform in the promised manner. Never re-elect those who have broken their faith with the public. They are unlikely to change and will do almost anything to preserve their political power. I, for one, am sorry that I supported the "Governator" in the last election. Perhaps I was blinded by the "Hollywood" image where everything is scripted, all action is based on special effects, and nothing is what it first appears to be.

-- steve

A reminder from a large improvement can result from a small change…

Reference: The impartial California Legislative Analyst's Budget Report for the June 20th Session.

“Nullius in verba.”-- take nobody's word for it!

“Beware of false knowledge; it is more dangerous than ignorance.”-- George Bernard Shaw

“Progressive, liberal, Socialist, Marxist, Democratic Socialist -- they are all COMMUNISTS.”

“The key to fighting the craziness of the progressives is to hold them responsible for their actions, not their intentions.” – OCS

"The object in life is not to be on the side of the majority, but to escape finding oneself in the ranks of the insane." -- Marcus Aurelius

“A people that elect corrupt politicians, imposters, thieves, and traitors are not victims... but accomplices” -- George Orwell

“Fere libenter homines id quod volunt credunt." (The people gladly believe what they wish to.) ~Julius Caesar

“Describing the problem is quite different from knowing the solution. Except in politics." ~ OCS