Democrats Delay Action on Davis’ Proposed Cuts

Senate Democrats, accused by Republicans of dragging their feet in the face of mounting budget problems, nevertheless agreed Thursday to delay until at least next month formal votes on the service cuts included in Gov. Gray Davis’ proposed budget for the coming fiscal year.

Senate leader John L. Burton said that because of the magnitude of the proposed cuts, Senate budget writers need more time to examine the implications of reductions before they can responsibly act on Davis’ scaled-down budget for the fiscal year that begins July 1. But Republicans attacked the delay as a maneuver to further dodge the unhappy task of making the reductions, especially to education and health programs for the needy.

Instead, Republican Sen. Richard Ackerman of Irvine, vice chairman of the Senate Budget Committee, said GOP members believe both houses ought to be taking budget votes and “conducting hearings almost around the clock.” Resolving the budget crisis “requires action now,” he said.

In the Assembly, Republicans also charged that majority Democrats had failed to confront the budget shortage head on. They noted that not a single substantial bill to reduce the deficit in the current fiscal year has reached Davis since he called a special session on the budget early in December.

“We are on the brink of bankruptcy and we are playing violin while the state government is burning,” said Assemblyman Ray Haynes (R-Murrieta).

Although Davis has frequently appealed to the Legislature to take swift action, warning that the state’s fiscal condition further deteriorates with each day that the situation persists, his director of finance, Steve Peace, on Thursday welcomed the Senate decision to delay votes on next year’s budget.

He said the decision was “consistent with our desire to get the earliest action possible and get it on a prudent basis.”

Normally, budget-writing subcommittees in both houses start hearings and voting in March. Typically, they fashion a relatively firm budget plan that can be amended in May, if necessary, to reflect updated revenue forecasts. This year’s process is complicated by the Legislature’s grappling with two budget problems at once: the cuts contemplated in next year’s spending plan and those that Davis is asking legislators to approve in this year’s budget.

Addressing the progress of next year’s budget, Burton said that because of the extraordinary money problems, votes in budget subcommittees would be postponed until April, when he believes the magnitude of the needs for higher taxes, deeper spending cuts, or a combination of both would become clearer.

“We are going to get all of the facts because we are being asked to cut billions of dollars that affect people’s lives,” the San Francisco Democrat said. “The Republicans don’t vote for budgets anyway, so what’s their beef?”

The Assembly and Senate earlier did approve a bill that called for $3 billion in cuts immediately but linked it to Davis’ signature on a separate bill that would have the effect of increasing vehicle license fees by $4 billion, all of it for the support of local government programs and services.

Davis favored the cuts but opposed the tax measure and promised to veto the package. Although the bills were passed by both houses, the lawmakers never sent them to Davis to sign.

Later, the Senate approved the budget cuts bill a second time, but it no longer tied the reductions to an increase in the car tax. However, the Assembly has refused to send the bill to Davis until a resolution is reached in a dispute between Davis and state Controller Steve Westly. They cannot agree over which official has the politically unpopular responsibility for activating an increase in the car tax without further action by the Legislature.