Senator Boxer Says State Budget Impasse Slows Federal Stimulus Delivery

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(Sacramento, CA)
Wednesday, February 18, 2009

California U-S Senator Barbara Boxer is getting involved in the fray over the state budget.    Boxer showed up at the state capitol today (Wednesday 2.18) and warned that any further delay in getting a budget approved may jeopardize the state’s full share of the federal stimulus package. 
If state lawmakers don’t act on the budget in a timely fashion…Senator Boxer estimates the delivery of 5.8 billion dollars in California’s first piece of the stimulus package could be delayed. 
“There’s no question in my mind…that California is going to be disadvantaged enormously if they don’t have a budget because they will have to seek a wavier from certain portions of this legislation…”
Boxer says the state’s budget impasse sends a message to Washington that California isn’t ready to handle the infusion of federal funds.
The democrat says she wasn’t fully aware of the impact of the state’s 40-billion dollar deficit until she had a telephone conversation this week with state controller John Chiang… 
“I can tell you that when I got off the phone with him my hands were shaking as to what could lie ahead if we don’t get one vote…” 
That one vote Boxer’s referring to is the coveted single republican needed in the state senate to get the budget approved.  Controller Chiang is already delaying income tax refunds and payments to companies that do business with the state during the financial crisis.