May 16, 2008

What's going on with the budget behind closed doors?
 

·         The primary question is:  Why is the state's most important public business, the state budget, being done behind closed doors?  Is this anyway to run a democracy? 

·         Republican leadership is still trying to craft a budget without Democrats' input behind closed doors, but it seems it is tough going within their ranks, so nothing is public yet.  Apparently, ultraconservatives are being really difficult about wanting cuts and curtailing government, while moderates are trying to protect vital services like education and health and human services.  Opposition to bonding by leadership is still strong. (See chart below for reasonable options including bonding for solving the 2009 budget deficit.)

·         But the Republican leadership still thinks they want cuts according to Speaker Weiers at Valley Citizens League luncheon earlier this week in Phoenix.  What cuts is still private.   Weiers did say raising taxes is not an option.  He also said, they aren't close to presenting a budget publicly yet, so stay tuned.

·         They appear to be using the Chairman's cuts original list as a template.  Go to February 15 PAFCO update at http://www.pafcoalition.org/-weekly-email-update-archive/  to get full list of potential cuts and impacts.  Clearly, these types of cuts must be rejected. 

·         Most observers say a Republican-only budget is a non starter and will bring a veto from the Governor.

·         There are reasonable options --- see the updated chart of options below.

Our advocacy message to the Governor and Legislators:

·         Do NOT cut critical safety net health and human services for children and vulnerable adults when demand is growing.

·         Protect current services to current people being served and protect current capacity during this critical time of an economic downturn.

·         Don't lower eligibility limits in programs.  Working families need critical supports during an economic recession.

·         There are reasonable options for 2009 including bonding, rollovers, additional sweeps, the rainy day fund, and other revenue generators.

·         Demand continues to increase. Some community agencies are experiencing increases of 40% to 60% in requests for essential services for the necessities of life.

·         Flat budgets will already be a cut as costs for transportation, health care, and food, and other services increase.

·         Finally, open the budget discussion with more transparency and meaningful public input.