Guv's Pay Decision: Who, How, Ever?

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Governor Schwarzenegger's signing of an executive order to delay full paychecks for tens of thousands of state workers, and to layoff temporary workers is now... old news. But there's more to the story.

To wit...

* ARNOLD VS. JOHN: It seems certain that if the governor really wants the minimum wage portion of his order to go into effect at the end of August (barring a -- gasp -- budget deal), he's going to have to take Controller John Chiang to court.

Chiang quickly wrote Schwarzenegger a "no thanks" letter today, making the case that the 2003 court ruling on the issue didn't actually decide that the appropriate pay level for employees in the absence of a budget is minimum wage, but rather found that it has to at least be minimum wage. Others, including attorneys for the Howard Jarvis Taxpayers Association (involved in the original case), seem to believe otherwise.

When asked today whether he'd take Chiang to court to enforce the order, Schwarznegger said this: "I'm here to make sure our state functions. And whatever it takes, I will do."

It's worth nothing that this is Chiang's biggest step into the spotlight since he became controller in 2006. Unlike numerous people who've occupied the office before him, the mild-mannered Chiang is not a publicity hound... making it hard for anyone who might seek to impugn his motives.

* SOME PAID, SOME NOT? Another interesting... and unanswered... part of the issue is whether some state employees can keep getting their full salary if others don't. The governor's top budget adviser, Mike Genest, said today that the executive order's exemption of "critical" employees will be sorted out by the heads of various state agencies within the next 24 hours. It certainly raises questions about whether the minimum-wage-only order would apply to... for example... highway patrol officers, firefighters, or corrections officers.

Controller Chiang says that kind of differering standard isn't supported by the 2003 court ruling. "I either have the authority to only pay minimum wage, or I do not," wrote Chiang in today's letter to the governor.

* BIPARTISAN DISAPPROVAL: It's not just Democrats who are taking aim at the governor's decision. "I understand what the governor is trying to accomplish with this action," said Assemblymember Greg Aghazarian (R-Stockton) in a written statement, "but I must respectfully disagree and urge the governor to reconsider his executive order." Most Republicans shied away from commenting directly on the action, instead focusing on the need to strike a budget deal soon.

* UMMM, NO THANKS: Senate Democrats plan to ask more questions about the governor's executive order in a hearing on Monday chaired by Sen. Dean Florez (D-Shafter). Florez has invited Schwarzenegger to testify; but gubernatorial spokesman Aaron McLear says the governor explained his reasons in today's event with reporters.

* AND ABOUT THAT PESKY BUDGET: Schwarzenegger and Democratic leaders both indicated today that there may be more to say about the budget as soon as next week. Assembly GOP Leader Mike Villines actually predicted a budget vote next week, though also said it could be a proposal Republicans won't be able to support.

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About John Myers

John Myers is Sacramento Bureau Chief for KQED Public Radio and "The California Report," heard daily on 23 public radio stations across the Golden State.

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