I haven't heard Arnold say he'll cut taxes. Have any of you?
Have you heard specifically that he'll raise them?
Arnold said he would cut expenses, like a surgeon sometimes you have to cut to save the patient...
As for Prop 98 there are several ways to go, one being reducing the budget from say 100 billion to 80 billion results in a 20% budget cut across the board, and education can be cut the same as other cuts in state spending for other budgeted services... ....
"Test 3b: any reduction, compared to the previous year, must be no worse than cuts in state spending per capita for other budgeted services."
"Suspending the provisions of Proposition 98 requires a two-thirds vote of the legislature and agreement by the governor."
http://www.edsource.org/pub_edfct_prop98.cfm Proposition 98 In Practice
Tax cuts create test threes. In general, test 3 applies in years with relatively low state revenue growth, while test 1 applies when revenue growth is extremely strong. Low revenue growth can result from a lagging economy or from tax cuts that reduce state revenues. In short, TAX CUTS CAN CAUSE A TEST 3 SITUATION WHEREIN AS MUCH AS TWO-THIRDS OF THE REDUCTION IN STATE REVENUES COMES OUT OF EDUCATION. While the legislature can allocate more money for education than required by Proposition 98, fiscal constraints make substantial overfunding unlikely, particularly in years where revenue growth is minimal.
http://www.cbp.org/2000/qh000701.html (note getting rid of illegal aliens students will cut enrollment)