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Schwarzenegger Cuts Deal to Trim Billions From Education (NOT!)
Associated Press ^ | Jan 8, 2004 | Tom Chorneau

Posted on 01/08/2004 7:13:50 PM PST by BenLurkin

Teachers, school officials and parent-teacher groups agreed Thursday to back Gov. Arnold Schwarzenegger's plan for education, which increases funding next year but provides $2 billion less than schools could claim under a voter-approved law. The plan is a key part of Schwarzenegger's proposed budget, set for release Friday. But even with the education savings, the governor still must find a way to close a projected $12 billion budget gap next year.

Leaders of major state education groups - the California Teachers Association, Association of California School Administrators and the California PTA - stood alongside the Republican governor Thursday in support of his education proposal.

Although the plan provides less for education than Proposition 98 calls for, it increases overall funding by $200 per pupil and gives school districts more flexibility in spending state money.

"We are getting more money than we had this year, and working, being part of the solution, is a lot better than being on the sidelines," CTA president Barbara Kerr said.

Schwarzenegger called the agreement "historic," but social service advocates worry that other state programs will be harder hit.

"I expect that there will still be hard hits on health programs that will hurt children and working families very hard," said Catherine Teare, spokeswoman for the Oakland-based advocacy group, Children Now. "I just don't see how this all gets done."

According to estimates updated this week, the state will have a deficit of nearly $27 billion by June 2005 - created by an existing deficit of $12.6 billion run up over the past three years and a projected shortfall of $14 billion in the fiscal year that begins July 1.

Schwarzenegger and the Legislature have put a $15 billion bond issue on the March ballot that would pay off the existing deficit. The state's budget for the current year is $99 billion.

The administration has released few details of the 2004-2005 spending plan, but Schwarzenegger has promised he will not call for higher taxes.

Schwarzenegger is expected to call Friday for cutting at least $4 billion in spending, much of it coming from public health and welfare programs, although administration officials insist that all corners of government will be nipped.

With $4 billion in cuts, the $2 billion in lower education costs, $2 billion in higher tax revenues California's improving economy may bring, and $2 billion in aid Schwarzenegger hopes to get from the White House, California still would have a $4 billion deficit next year. If voters reject the bond issue, the budget gap would be far greater.

To close the expected $4 million gap, Schwarzenegger aides have said, he might propose a number of one-time savings - such as selling surplus state land and curtailing transportation programs.

Schwarzenegger's budget plan, which will be revised in May, requires legislative approval.


TOPICS: Business/Economy; Constitution/Conservatism; Culture/Society; Government; US: California
KEYWORDS: budgetdrisis; calbudget2004; deficit; fakecut; sleightofhand; slieghtofhand; smokeandmirrors
Am I just really confused today, or is the AP headline wacky?

" . . .Schwarzenegger's plan for education, which increases funding next year but provides $2 billion less than schools could claim under a voter-approved law."

Get it? By not increasing the budget by billiions, we are now 'cutting".

1 posted on 01/08/2004 7:13:50 PM PST by BenLurkin
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To: All
Be part of the Vast Right Wing Conspiracy. Make a donation!
2 posted on 01/08/2004 7:15:44 PM PST by Support Free Republic (Freepers post from sun to sun, but a fundraiser bot's work is never done.)
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To: BenLurkin
A billion here, a billion there. Pretty soon you have cut your way out of a record debt! (This is why I voted for McClintock).
3 posted on 01/08/2004 7:25:05 PM PST by Visalia
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To: BenLurkin
It's not you.. I've seen quite a few wacky headlines lately... that appear to contradict each other but are about the same thing.. the college fees / cuts for one..
4 posted on 01/08/2004 7:26:36 PM PST by NormsRevenge (Semper Fi Mac ....... Become a Monthly at FR....... https://secure.freerepublic.com/donate/)
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To: NormsRevenge
Norm,what happend to all that money that the lottery was going to bring in for the schools??? hmmmmmmm Semper Fi, Kelly
5 posted on 01/08/2004 7:36:02 PM PST by kellynla ("C" 1/5 1st Mar. Div. U.S.M.C. Viet Nam 69&70 Semper Fi!)
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To: All
Here's a clue for the confused.

When the preliminary budget is released tomorrow the governor's web site should provide a "summary" of his proposals which include pie charts and simplified expenditure numbers in each broad category.

Compare the already posted summaries for 2003/2004 and the new 2004/2005 summaries and see if there has been a reduction in any part of the new budget relative to this year's budget.

6 posted on 01/08/2004 7:39:39 PM PST by Amerigomag
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To: BenLurkin
If this bit of spinning seems confusing just wait until the budget proposal is released tomorrow. The gnashing of teeth and tearing of hair will start immediately and will not cease for months. I'm sure more than one wailer will include the "cuts" in education in the litany of abuses sought by Schwarzenegger.
7 posted on 01/08/2004 7:43:01 PM PST by concentric circles
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To: kellynla
Well, I'm going to be very curious as to how this affects my kid's school.

Our school district is threatening to close 3-4 elementary school because of "budget" problems. Since they are now getting more money, then I don't see that they have to close the schools.
8 posted on 01/08/2004 7:43:19 PM PST by luckystarmom
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To: BenLurkin
LOL! What the AP liberal writers missed is the big story: Arnold wrested a big concession from a union who could have made life miserable for him. And you betcha he'll use the precedent to get other government unions to give up their share of the pie. Every one makes a sacrifice for the good of California. A concept the Democrats here with their tiny brains can't wrap a thought around.
9 posted on 01/08/2004 7:45:40 PM PST by goldstategop (In Memory Of A Dearly Beloved Friend Who Lives On In My Heart Forever)
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To: goldstategop; All
Good points, all.
10 posted on 01/08/2004 7:57:36 PM PST by BenLurkin (Socialism is Slavery)
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To: BenLurkin
Get it? By not increasing the budget by billiions, we are now 'cutting".

Standard political doublespeak.

When I first saw the headline, I thought maybe he had seen the light and would try to de-fund free education for illegals. But if our own president wouldn't favor that, why should Arnold?

11 posted on 01/08/2004 8:01:07 PM PST by Tim Osman (It's okay, I wasn't using those constitutional rights anyway.)
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To: BenLurkin
Increases referred to as cuts.
Promises to increase back to higher values in future.
So much for reform.
---------------

OFFICE OF THE GOVERNOR
FOR IMMEDIATE RELEASE
01/08/2004

Gov. Schwarzenegger, Members of the Education Coalition Announce Education Funding Agreement

Gov. Arnold Schwarzenegger and members of the Education Coalition announced an education funding agreement that will help alleviate the state's current fiscal emergency while protecting the integrity of Proposition 98 and increasing the per pupil funding from last year. The announcement was made today at a press conference at Sutter Middle School in Sacramento.

The historic agreement was negotiated between Gov. Schwarzenegger and members of the Education Coalition, including the California Teachers Association, Parent-Teachers Association, California School Boards Association, California Association of School Business Officials, Association of California School Administrators and California County Superintendents Educational Services Association. The agreement would keep Proposition 98 structurally intact for future years while providing $2 billion in budget relief for the 2004-05 fiscal year.

"When I was elected governor, I said I would change the way business is done in Sacramento," said Gov. Schwarzenegger. "I am confident that this agreement will help us protect the long-term health of our budget. It will allow us to deal with the deficit today, rather than putting every program at risk for years to come. It will help us do what the people demand and deserve: real action and solving problems together. I want to thank our education leaders for joining the fight to get our budget back on track."

Highlights of the agreement include:

* Per pupil funding still increases year over year.
* Funds deferred by the rebasing process will be restored in future years.
* Trigger provisions contained in Prop. 98 that allow the funding level to be rebased in a fiscal emergency. The measure was included in Prop. 98 to relieve the budget burden in a fiscal crisis.
* Increase year-over-year funding for education from the 2003-04 budget act to the 2004-05 proposed budget by $2 billion.

In the state budget that will be released on Friday, Gov. Schwarzenegger will keep his campaign promise that children are first in line for the state treasury.

"Education is the key to every future success for our state," said Gov. Schwarzenegger. "This Prop. 98 funding will be restored as required by law and our agreement. Today, I am making that promise to our teachers and students."

Education Funding Background

GOVERNOR ARNOLD SCHWARZENEGGER · SACRAMENTO, CALIFORNIA 95814 · (916) 445-2841

12 posted on 01/09/2004 1:17:26 AM PST by calcowgirl (No on Propositions 55, 56, 57, 58)
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