The Governor’s budget provides more money for schools, transportation and the healthy families programs, without significant borrowing or raising taxes. That’s good news…says Chico Republican Rick Keene who chairs the assembly budget committee. But Keene worries about the future deficit:
“Our concern is that we need to make more progress because we do have a good budget year this year, but obviously the deficit is going to be a factor next year.”
Democrats are concerned about the some of the social services cuts Schwarzenegger has proposed….particularly a nearly 200 million dollar reduction for Calworks – which in part, provides help for those moving from welfare to work. Senate President Pro Tem Don Perata says Democrats won’t tolerate cuts for the poor:
“that’s the commitment, this is the year when California’s economy has finally tipped back where it belongs and we want to make sure everybody benefits from it.”
Some lawmakers are also concerned that the state is still spending more than it takes in.