Voters’ chance to rescue state

While some may want to punish politicians by rejecting the budget package, that tactic would also damage the state even further.

Published online on Wednesday, Apr. 29, 2009

We all know that Democrats and Republicans in Sacramento have severely mishandled the state’s budget crisis the past several years. Unfortunately, their ineptness has forced voters in the May 19 special election to consider solutions to California’s fiscal problems that are less than perfect.

The choices didn’t have to be this bad, and that has increased the cynicism toward state government. But now we need to work our way out of this mess. It would be easy to let our anger at the politicians prevail, and vote “no” on the six ballot measures the Democrats, Republicans and Gov. Arnold Schwarzenegger put on the special election ballot.

But while some may think they are punishing the politicians by rejecting the budget package, that tactic would also damage the state even further, and leave it with a much larger deficit.

It would be irresponsible to take the path offered by some to just let the state fail financially, and then restructure it from the rubble. Too many Californians would be hurt by such reckless public policy.

Voters have a chance to help close the budget gap and limit California’s out-of-control spending. Once these imperfect fixes are in place, voters can continue with the governmental changes they started when they passed redistricting reform last year. We will soon see a better Legislature as competitive elections rid the state of the “safe seats” that have made lawmakers unaccountable.

If voters want to express their deep dissatisfaction with state legislators, they can do that when they are up for re-election next year. “Throw them out” could be the theme of the 2010 legislative elections.

But something must be done now, and that’s why we are supporting five of the six measures on the May 19 ballot. We recommend “yes” votes on Propositions 1A, 1C, 1D, 1E and 1F. We urge a “no” vote on Proposition 1B.

Vote ‘yes’ on Proposition 1A

This measure is the main piece of the budget compromise agreed to in February by the governor and lawmakers. The passage of Proposition 1A is essential for California to get through the current crisis and avoid more financial pain in the future.

Proposition 1A has three key elements:

It would extend the various taxes that lawmakers approved in February on retail sales, vehicles and income. The taxes would generate an estimated $16 billion between 2011 and 2013, helping to bridge future deficits and preventing deeper cuts to schools and social services. We reluctantly support these temporary taxes, while realizing the increased burden they put on Californians.

The measure would make spending cuts by giving the governor additional authority to order mid-year cuts during times when state tax revenue decreases unexpectedly. A spending limitation would slow down expenditures and bring them in line with the growth of inflation and population.

It would establish a rainy day fund that would force lawmakers to put away surplus revenue during good times, so it could be used in lean years.

During a recession, no one wants to raise taxes. But the options are limited given the magnitude of the financial crisis caused by the politicians. Several billions of dollars have been cut from state programs. That leaves a temporary tax hike to complete the overall solution. The spending limitation is a trade-off for the temporary tax increases.

Vote ‘no’ on Proposition 1B

Proposition 1B promises more money for schools in future years when the state’s financial picture has improved. That seems like good public policy, and we support increased classroom spending. But it’s not that simple. This proposition makes spending commitments that could be a substantial burden on the state as soon as 2011. That concerns us enough to recommend against this measure.