Lackluster Response to Governor's Revised Budget


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(Sacramento, CA)
Wednesday, May 14, 2008


Democrats in the legislature call the Governor’s proposal to sell a portion of future lottery profits risky.  They’re also denouncing deep cuts to health and human services and public transit.  Senate President Pro Tem Don Perata says Schwarzenegger could have done better. 

“This is not a bi-partisan or a postpartisan budget.  This is a pale white flag being raised in the state of California. It is a eulogy if you will of the once great state…”

Republicans say they’re open to the Governor’s lottery proposal. But Senate G.O.P Leader Dave Cogdill says the plan for a sales tax increase won’t go anywhere.

“The threat alone of a one-percent sales tax increase out there can in and of itself have a detrimental affect on the economy.”

Meanwhile the State Controller says the Governor’s budget relies too heavily on risky borrowing and warns the state could run out of cash by August.