A Standoff With No Point

It’s not unfair to ask this question, as many Californians have in the past: If the state Legislature can’t enact the annual state budget on time, can it get anything right?

The state budget is the basic act of governing. It sets out priorities and appropriates the needed funding, in this case a proposed $101 billion for the fiscal year that began Sunday.

Democrats do enjoy large majorities in both houses, but it takes a two-thirds vote to pass the budget. A minority of Republicans can hold the budget hostage, which is just what’s happening. The state has gone weeks in the past without a budget and survived. But the opposition Republicans clearly hope that the fledging standoff will be politically embarrassing to Democratic Gov. Gray Davis, who crowed about his role in getting a budget passed and signed on time in his first two years in office.

If Republicans think this issue is a big political winner, they should go back and check the polls from past budget impasses. Invariably both sides get hurt about equally. But a governor has a greater ability to rebound and offset the damage he suffers. In addition, the Republicans are holding out on a weak issue. What they want is to extend a temporary reduction of one-quarter of a cent in the state sales tax. This cut was triggered by the budget surpluses the state enjoyed the past two years, a sort of bonus for the people to share in the good times. But now that the economy is sliding, the tax should revert to its former level. Republicans call it a tax increase, but it’s not.

The state budget could slip into serious red during the coming year, with sales tax revenues sharply off from forecasts earlier this year. This is not a good moment to be cutting state income, especially with a growing backlog of infrastructure needs, from highway repair to refurbishing state parks. The state must also help keep county governments afloat.

Californians already are enjoying roughly $4 billion in annual tax cuts approved in the past several years. There has been no public clamor for more. The longer the budget foes hold out, the more they appear to be obstructionists. They should end this fruitless quest. Taxpayers already have their doubts about the state’s ability to permanently solve the energy crisis and deal with the huge debt it has spawned. This ridiculous standoff isn’t going to raise anyone’s confidence.