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Arnold Schwarzenegger to call for deep spending cuts, plead for U.S. aid

Gov. Arnold Schwarzenegger will present the final budget of his governorship later this morning, calling for deep cuts to public transit, healthcare and social services, as well as pleading for billions of dollars in help from Washington to close California's roughly $20-billion deficit.

The Republican governor will renew his call to expand oil drilling off the Santa Barbara coast and extend the payroll cuts that have resulted in furloughs and a 14% salary cut for more than 200,000 state workers.

Mostly, Schwarzenegger will deliver bad news as cash-strapped California continues to muddle through the economic downturn, despite raising taxes and cutting back services severely in 2009.

"As bitter as the words are in my mouth, we face additional cuts," Schwarzenegger said in his State of the State speech before lawmakers Wednesday.  "We know what that means. We know the pain it entails. I mean, what can we say at this point except the truth, that we have no choice?"

Schwarzenegger vowed this week to "protect education funding" after two years in which billions of dollars were sliced from college and K-12 funding. But the governor has not said if that means more cuts to schools are out of the question, as he provides details of the budget today.

That has school advocates continuing to fret. "We're very heartened that he made that promise," said Jo A.S. Loss, president of the California State PTA. "And we will be very diligent to make sure that happens."

The governor will call for $8 billion in aid from Washington. If the funds don't come through, he will propose the wholesale elimination of CalWorks, the state's main welfare program, as well as a program that provides in-home care to the elderly and disabled.

Corporate tax breaks approved recently also could be rolled back. The proposed budget is just the first salvo in months-long negotiations to produce a spending plan that must be approved by two-thirds of the Legislature.

-- Shane Goldmacher in Sacramento

Comments () | Archives (45)

So we're balancing the budget on the shoulders of the workers, again. No wonder we can't recover. The incomes of many people are drastically reduced, so they don't have money to spend, we're in a downward spiral! And the atrition from the state is at an all time high, my advise is to leave the state, this is such a political mess! Oh and vote out the remaining incumbants in the next elections! I didn't see tham cutting their perks!

Arnold is looking for ways to take /slash/cut instead of how to bring in revenue
to california like legalize gambling it works for nevada think of all the tourist that would come from all over the world to something new not to mention all the
tourist money. this state would flurish for year all the new jobs created by this industry .

Maybe all of the "celebrities" in this state could settle for a little less flamboyant award season and a few less special gifts in their goody bags and at least a few million could be recovered. One film has brought in over a billion dollars in three weeks and we can't figure this out?
Stealing from the poor to pay for the rich...does that seem right? I'm so sick of people looking to cut welfare and social programs as the first option. Does anyone have a heart anymore. What's all this "survival of the fittest," reactionary selfishness. We're all on this ship together. Besides, if education programs are cut, how is ANYONE going to be able to get a decent job?
Some people like to sit there with their cushy jobs in their comfortable homes and point fingers at welfare as the problem as to why they are being taxed and can't afford the new flat screen tv for the bathroom. Probably the same people who think vagabond people who have to resort to begging are a public eye sore and an annoyance.
Bottom line is, we need to start cutting from the top instead of the bottom or this thing will keep perpetuating until all we have are the very very wealthy and the homeless. Which one do you like to think you will be?

Arnold just needs to get rid of the Cal works Program Healthy families and reduce State Pensions from 90% to 75% of the retiree. My brother makes $6500 a month as a correction officer and if he was to retire today his pension would be $6000 a month than they still get COLA. Some one on Social Security would get about $1500 a month to retire. You wonder why the state is broke.

Quit blaiming all the current problems on Schwarzenegger. Davis left us in a bind and there are 40 Senators and 80 Assemblymen, who have put the majority of the regulations and spending sprees into action that combined with current Federal mis-management to produce the current economic disaster. Our Governor is on the right track in getting rid of some of the fat in the form of welfare. He should also take a look at pensions, legalizing Nevada style gaming, eliminating prevailing wage laws, and a consumption based taxation system to replace the existing system to accompany the plan to drill for more oil.

Cut all the welfare to illegal aliens and their spawn first. Slash the ill conceived pension and health benefits to govt employees next. There's lots of other waste and corruption in the state and local govt's that can be trimmed. No need to increase anyone's taxes. NO AMNESTY.

Cutting funds to the people that need it Most is Stupid, and Sick. I am tired of hearing about education, and I was taxed over $330.00 dollars for LAUSD.LAUSD wants a parcel tax of $96.00, and we are being taxed Too much as it is. I do not have anyone attending school in LAUSD. The state needs to live within its budget like we have been doing. Our leaders do not want a pay cut, but they want us to have a pay cut. We did not creat this mess, but they want us to pay for it. Stop making these back room deals, and do the job we elected you to do.

I did not vote for Arnold, I could not vote for Bass. We need to clean house, or we will not have a state. Every budget needs growth, but not as much as they have been doing. Growth should be about 2% or 3% a year. GR needs to stop giving people money that has been on it over 2 years. Aid to family with children that do not work should be cut.

COMMEN SENSE NEEDS A COME BACK!! Don't they realize that by taking away from us they are sending us in a downward spiral. You take our pay then we can't afford our homes. Now you have thousands of people in forclosure or bankruptcy. You take away health care programs and people get sick and die. I GUESS THAT'S WHAT THERE HOPING FOR. LESS PEOPLE LESS OF A PROBLEM. It doesn't make sense!! Just because Arnold can afford it doesn't mean we can.

California elected this unqualified scum to run our great state and he has run it into the ground. He's like a runaway train that nobody can stop. Don't let this happen to your state!!

Arnold came here as a nothing and a nobody and attended Santa Monica College, a public school funded by tax dollars. He
then found fame and fortune in the movies. He would be nothing without California. And look what he has done to California. He is dismantling the public schools and universities and he is auctioning off our assets (OC Fairgrounds) to his rich friends. He has taken a wrecking ball to our great state. He needs to go back to Austria!

Bush and Arnold. The two biggest failures of all time.

In addition to everything that’s being done we need to have an audit system in place for spending. On of hand the Governor is calling for deep cuts to public transit, healthcare and social services on the other hand local cities are spending millions of dollar on non-urgent new developments like parks. Here in Westlake Village, CA they’ve started grading hills to build a park which would cost millions of dollars.

Can someone explain why are we wasting money in times like this?

OK it REALLY ticks me off when people say that correctional officers make too much money!! The fact is that if you have never worked as one you have NO IDEA what they go through. My husband puts his life on the line everyday in order to make enough money to take care of our family of six. We currently rent because we had to file bankruptcy after the 15% furloghs and now they want another 10%? Go ahead and try to put in untrained people in those jobs and see what happens. It also ticks me off when people say to cut their pensions and retirement. The fact is if you put in the time you should recieve what you were promised. So whats next were gonna say doctors make to much money so cut their pays too? If you realized what correctional officers had to go through and the people their trying to protect YOU FROM you wouldn't complain. What they need to do though is to take away all the ammenities that the prisoners have. They get cable tv, gym equipment and FREE healthcare when ever they want! THATS WHERE THE CUTS SHOULD BE MADE!!!

California Governor please dont cut any more IN-HOME-Supportive-Service--People with Disability need that HELP eveny day ! thank you

Eliminate wasted and dependency developmental and regional centers.

It's time to get out of California. If, for whatever reason, we don't like it here, nothing is tying us to the this State.
California is not a business friendly State. Entire corporations have moved out to Texas and even D.C. It's time to get out of here. Stop crying and do something about it. Personal responsibility is something that we need to start dealing with. Stop thinking that the government will take care of all crying babies. Out of California and on with our lives.

Great Response Jill!

I have 26 years serving the City of Los Angeles. I am on two furlough days a month and having a extremely hard time surviving as a single parent. I stopped going out and buying things - only the necessities. The Governor and Villaragoisa need to keep their dirty hands off of our pensions. I look forward to the day I can retire and receive my pension.

People stop being haters of people who currently receive pensions. If you want one go and get a County, State, Federal or City job. Hopefully, there will still be a pension! Governor go back to your country and leave California alone.

There is no money. That should be the end of the conversation, but it never is. Arnold has done a great job, despite being hammered by Democrats and unions and the press. The State budget process has to be scrapped and start from scratch, so that expenditures tie into revenue.

End Cal-Works. They pay parents to stay home and not work, while we try to balance to jobs to pay the welfare!

"People stop being haters of people who currently receive pensions. If you want one go and get a County, State, Federal or City job. "

Are you kiding me? So we ALL should work for the goverment so we can collect FAT pensions? They are not hiring and we all cant get in on the gravy train. END PENSIONS NOW!!!!

Someone has to serve the state, federal government etc.... as employees - whether it's working as a firefighter or police officer. Thank god we have civil servants doing these jobs. They deserve their pensions!

He says over and over the fires area the cause. I don't live in a fire area. Most people in those areas make enough money to buy fire insurance. The poor and middle class should not have to pick of the tab from lack of insurance. Children will suffer with needed dental and medical care. And Doctors will continue to treat the low income as ..Low Income....Doctor and Dentist tend to do that when they don't get paid by the State.

If you live in a 'Known", fire area or flood area you should pay every year for being rescued.


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