Assembly Panel’s Budget Would Hike Student Fees

The Assembly budget committee Wednesday approved a $37.5-billion version of Gov. George Deukmejian’s proposed state budget that would hike state university student fees, place restrictions on sending National Guard troops overseas and increase funds to combat AIDS.

By a vote of 21 to 0, the Assembly Ways and Means Committee sent to the full Assembly a spending plan for the 1986-87 fiscal year that exceeds the governor’s request by about $340 million. It would also reduce his proposed reserve for economic uncertainties from more than $1 billion to about $725 million.

Both the Assembly and the Senate are scheduled to approve their versions of the budget on Friday and then send them to a two-house, six-member conference committee, in which differences between the two will be worked out before a final version is sent to the governor.

Faced with little anticipated increase in state revenues in the coming year--and no talk in any quarter of a general tax increase--neither house of the Democratic-controlled Legislature made major increases in Deukmejian’s proposed budget. Instead, in a few cases, Democratic lawmakers in the Assembly uncharacteristically resorted to trimming the governor’s spending plan.

“I know the governor’s going to enjoy putting it back together,” said a sarcastic Assemblyman William P. Baker (R-Danville) who nevertheless joined with other Republican members in approving the Assembly version.

Imposes Boost in Fees

While Deukmejian’s budget called for no increase in fees for University of California or California State University students, the Assembly spending plan would impose a fee hike that was required by legislation enacted last year.

At UC campuses, fees would go up by $117 a year, while students in the California State University system would pay $57 more a year under the plan approved by the Assembly committee.

The budget committee also adopted a provision designed to prevent Deukmejian from sending California National Guard troops on training missions in Honduras, El Salvador, Nicaragua or other foreign countries where armed combat has occurred in the previous 90 days.

The measure was prompted by concern that 30 National Guard troops had been sent to Honduras to aid in a road-building project this year and the disclosure that for the last eight years, guardsmen had been flying supplies to U.S. embassies throughout Latin America.

Like the Senate version, the Assembly would double spending to fight acquired immune deficiency syndrome over the amount Deukmejian proposed, including an increase of $21.4 million for prevention, education and treatment programs.

Among the cuts included in the Assembly plan were a $56-million reduction in the overall budget for parks and natural resources and a $30-million reduction in the budget for the Department of Corrections.

In an attempt to weaken the controversial Agricultural Labor Relations Board, the panel approved cutting 67 employees from its work force of 138--including eliminating the salary of its general counsel, David Stirling.

Insurance Commission Hit

The committee, acting on reports that the state Insurance Commission has been slow in responding to consumer complaints against insurance companies, also cut $1 million from the office of Commissioner Bruce Bunner while adding $1.5 million to pay for six consumer programs and more employees to handle complaints from the public.

In other actions, the Assembly committee also:

- Increased education spending by $100 million.

- Added $27 million to pay for Medi-Cal abortions.

- Provided $72 million for a cost-of-living increase for retired teachers.

While Senate staff members had earlier reported that the Senate version of the budget was $37.5 billion and $270 million over what Deukmejian requested, the Department of Finance said Wednesday that the Senate spending plan was actually $37.6 billion and $454 million over the governor’s proposed budget.