About the Measures

Published online on Friday, Apr. 10, 2009

PROPOSITION 1A

Puts restrictions on how the state can spend unanticipated revenues, meaning tax receipts that come in above the average of the previous 10 years.

The extra money must first be spent to fulfil school spending obligations, to pay off debt and to boost the state’s rainy day fund, which would grow from 5% of the general fund to 12.5%. Money left over could only be spent on specified items such as public works or tax cuts.

If the measure passes, recently approved tax hikes would be extended for one to two years.

The 1-cent sales tax hike would be extended for one year through 2011-12. The vehicle license fee hike — from .65% to 1.15% of a car’s value — would last two extra years through 2012-13. And the personal income tax hike, which added .25 percentage points to all tax brackets, would be collected for two extra years through the 2012 tax year.

Support:
Gov. Schwarzenegger
Greater Fresno Area Chamber of Commerce
Assembly GOP leader Mike Villines of Clovis

Opposition:
Lincoln Club of Fresno County
Fresno County Republican Party

PROPOSITION 1B

Requires the state make $9.3 billion in extra payments to schools. The money would start flowing in 2011-12. Education advocates say the money is needed to make up for funds lost during poor economic years. Prop. 1B will only take effect if Prop. 1B passes.

Support:
Gov. Schwarzenegger
Assembly GOP leader Mike Villines of Clovis
California Teachers Association

Opposition:
Greater Fresno Area Chamber of Commerce
Fresno County Republican Party

PROPOSITION 1C

Seeks to modernize the state lottery with higher prize payouts and stronger marketing, in an attempt to increase revenues. Allows the state to borrow $5 billion from anticipated lottery profits to help balance the state’s 2009-10 budget. Lottery revenues would no longer go to schools, but this lost amount would be made up from the general fund.

Support:
Gov. Schwarzenegger
Assembly GOP leader Mike Villines of Clovis

Opposition:
Fresno County Republican Party

PROPOSITION 1D

Temporarily redirects some state tobacco tax money now spent on First 5 early childhood programs. Instead, the money would be put in the general fund and spent on other health and human service programs geared toward children.

About $340 in First 5 reserve money would be taken in 2009. Also, $268 million in First 5 revenues diverted each year through 2013-14.

Support:
Gov. Schwarzenegger
Assembly GOP leader Mike Villines of Clovis
Greater Fresno Area Chamber of Commerce

Opposition:
Fresno County Republican Party
California Nurses Association

PROPOSITION 1E

Redirects some of the money now aimed at expanding mental services. Instead, the money would pay for existing mental health programs that are required by the federal government, including counseling. More than $220 million would be redirected in 2009-10 and 2010-11.

Support:
Gov. Schwarzenegger
Assembly GOP leader Mike Villines of Clovis
Greater Fresno Area Chamber of Commerce

Opposition:
California Psychological Association
Fresno County Republican Party

PROPOSITION 1F

Bans pay raises for state lawmakers and constitutional officers during years in which the state ends the year in a deficit.

Support:
Gov. Schwarzenegger
Assembly GOP leader Mike Villines of Clovis
Greater Fresno Area Chamber of Commerce

Opposition:
Fresno County Republican Party

SOURCE: California Secretary of State, Legislative Analyst’s Office