Another California Budget Crisis
Daily Democrat
July 25, 2008

At Issue:

Gov. Arnold Schwarzenegger's cutting of pay for state workers.

Our Opinion:

Playing games with state workers misses the real problem behind stalled budget talks.

Gov. Arnold Schwarzenegger is now threatening to pay thousands of state employees the federal minimum wage of $6.55 an hour until lawmakers reach a deal on California's overdue state budget. It's an empty threat, and the governor knows it. But it's good for a few headlines.

Democrats and Republicans have so far been unable to compromise on a solution to the state's $15.2 billion budget deficit for the fiscal year that started July 1. As the stalemate continues, Schwarzenegger has ratcheted up his rhetoric.

If the Republican governor were serious, however, about a budget he would threaten lawmakers - who haven't even sat down to talk about their differences. However, Schwarzenegger is prohibited from doing that by law.

And if Schwarzenegger were REALLY serious about getting a budget, as the state leader of the Republican Party, he would have the Sergeant at Arms for the Assembly and Senate drag back every Republican to the Capitol, sit them down and start twisting arms. If that didn't work, he could make an announcement to identify those lawmakers who were stonewalling negotiations and let them offer their own explanations.

There are far more significant things which can be done by the governor and lawmakers to resolve the present budget crisis, and prevent future stalemates, but thus far a hard-core group of Republicans have dug in their heels to prevent any serious discussions from occurring, largely because it would rob them of any power to be heard.

And because the governor is powerless over these elected officials, he's forced into doing what he does best, theatrical posturing. That's why Schwarzenegger is contemplating signing an executive order next week that would reduce pay of about 200,000 state workers to the federal minimum wage, which is $1.45 an hour less than California's minimum wage.

Under the planned executive order, employees would receive their full salary retroactively once a budget is signed.

A draft of the executive order also said state agencies would be prevented from hiring any nonessential employees and would be forced to terminate about 20,000 contracts with temporary workers, interns and contractors.

Ultimately, this effort is going to cost the state, but apparently that's unimportant to either the governor or those intransigent lawmakers.

Original Text