Budget can't find a friend

Whenever confronted with Gov. Arnold Schwarzenegger's political views, conservative Republicans could always fall back on one thing about the Democrat-dealing governor: Well, at least he's a fiscal conservative.

Today, Republicans had almost nothing good to say about the governor's budget. It "doesn't go far enough," increases "spending too much, borrows too much and relies on too many shaky assumptions to be received favorably today," and continues to "push California further and further off track, with more borrowing, more spending and more gimmicks."

Of course, Democrats don't like it either. Senate leader Don Perata (pictured with Assembly Speaker Fabian Nunez) said cuts to the poor and disabled puts "the most vulnerable Californians ... in the free-fire zone."

Once again, Schwarzenegger is exactly where he wants to be, in the middle: "I have an obligation, which is I promised the people of California that I will bring down the structural deficit to zero, and that we will be fiscally responsible."

What about the nonpartisans? The Legislative Analyst's Office has just released its budget interpretation, calling the governor's numbers unrealistic. The report:

"The administration has attempted to address a $2 billion decline in the state’s fiscal outlook. Due to several overly optimistic assumptions, however, the May Revision overstates its reserve by about $1.7 billion — leaving an estimated reserve of $529 million. Even this reserve level would be subject to considerable risks and pressures. As a result, the Legislature will face a significant challenge to develop a 2007-08 budget that realistically reflects revenues and spending while maintaining a prudent reserve."

(Photo: Rich Pedroncelli/AP)