January 13, 2006

Budget Firewalls

If you remember the scene from Star Wars where Luke, Leia, Han, and Chewbacca felt the walls of the Death Star’s trash compactor closing in on them, then you might have a sense of how some advocates for social service programs feel these days.

In this case, those walls are the increasingly powerful “firewalls” being built around more and more of the state budget– walls that seem to continually be squeezing benefits and programs from those who rely on the social safety net.

On today’s newsmagazine version of The California Report, we take a look at how budget items protected by voter-approved initiatives often lead lawmakers to make ends meet in the social services sector. That trend continues this year, with the budget proposed by Governor Schwarzenegger calling for cuts in the welfare-to-work program CalWORKS and more diversions of federal money for the disabled to other state programs.

“It’s the folks who have the least amount of [political] power who don’t benefit,” said Teresa Favuzzi, executive director of the California Foundation for Independent Living Centers.

That trend may increase if laws like Proposition 98 (education) and Proposition 42 (transportation) are amended to prohibit any temporary suspensions. Supporters are now working on such a plan for Prop 42, either at the Capitol or on the ballot.

Even the governor’s own initiative, Proposition 49 (after-school programs), appears to be forcing spending reductions elsewhere. This week, Legislative Analyst Elizabeth Hill again called for lawmakers to ask the voters for a modification of Prop 49 that would delay its implementation until the state’s fiscal house is in order.

And more “formula” spending plans may be on the way. In a news conference this week, Senate President Pro Tem Don Perata included the upcoming universal preschool initiative on that list. The measure, appearing on the June 6 ballot thanks in part to actor/director Rob Reiner, would raise taxes on the most wealthy with the money being earmarked for early education

“It’s virtually making it impossible to have a thoughtful, intelligent budget discussion in this building,” said Perata.