Budget update

Its not looking good from disabled in CA.

CDCAN DISABILITY RIGHTS REPORT

#163-2010 – SEPTEMBER 23, 2010 – THURSDAY

CALIFORNIA DISABILITY COMMUNITY ACTION NETWORK: Advocacy Without Borders: One Community – Accountability With Action - California Disability Community Action Network Disability Rights News goes out to over 55,000 people with disabilities, mental health needs, seniors, traumatic brain & other injuries, veterans with disabilities and mental health needs, their families, workers, community organizations, including those in Asian/Pacific Islander, Latino, African American communities, policy makers and others across California.

To reply to this report write: MARTY OMOTO at martyomoto@rcip.com WEBSITE: www.cdcan.us TWITTER: www.twitter.com - “MartyOmoto



THOUGHTS AND PRAYERS FOR RECOVERY OF CINDY WHITE, DISABILITY ADVOCATE SERIOUSLY INJURED SEPT 20TH IN HIT & RUN ACCIDENT



California Budget Crisis – Day 85 Without A Budget:

BUDGET CRISIS CONTINUES WITH NO AGREEMENT IN SIGHT TO CLOSE OVER $19 BILLION DEFICIT – GOVERNOR & LEGISLATIVE LEADERS WILL MEET AGAIN TODAY

Assembly and State Senate Budget Committees Joint Informational Hearing 9/23 on Proposition 25 That Would Make Budget Approval Majority Vote – Also Update On State’s Ability To Pay Bills



SACRAMENTO, CALIF (CDCAN) [Updated 09/23/2010 5:20 AM (Pacific Time)] -California enters its 85th day without a state budget, with the Governor and Democratic and Republican legislative leaders still far apart on how to close the over $19 billion budget deficit.



Governor Arnold Schwarzenegger, still recovering from a cold, and the four legislative leaders – State Senate President Pro Tem Darrell Steinberg (Democrat – Sacramento, 6th State Senate District), Assembly Speaker John Perez (Democrat – Los Angeles, 46th Assembly District), State Senate Republican Leader Dennis Hollingsworth (Republican – Murrieta, 36th State Senate District ) and Assembly Republican Leader Martin Garrick (Republican – Carlsbad. 74th Assembly District) met for about four hours on Wednesday at the Governor’s private office in Santa Monica. No progress was reported toward a budget agreement.



Budget Committee Will Hold Joint Informational Hearing Today

The Assembly and Senate budget committees meanwhile, has scheduled an informational hearing today (September 23rd) at 1:30 PM at the State Capitol in Room 4203 to hear an update on the State’s “cash position” – or its ability to pay its bills that federal or state law requires, and also a review of Proposition 25 on the November 2nd ballot that would lower the requirement to approve the state budget from 2/3rds vote to a simple majority vote.



The proposition however would not change the 2/3rds requirement needed to approve any tax increases or to override a veto of the budget and related bills by the Governor. (see below for details on this and other informational hearings)



Governor, Legislative Leaders Will Meet Again Today In LA

· Another meeting with the Governor and four legislative leaders is scheduled for today (September 23) in Los Angeles – likely again at the Governor’s Santa Monica office.

· No meetings were held on Monday and Tuesday this week because the Governor was not able to travel to Sacramento from his Brentwood home in Los Angeles due to his illness. The Governor returned last week on Wednesday from a six day trip to Asia to promote California jobs and the economy.

· The Governor, Democrats and Republicans in the Legislature differ significantly on the extent of permanent spending cuts to close the deficit. Legislative Democrats are opposed to deeper spending cuts favor some increases in revenues including delaying implementation of certain tax credits for businesses and raising some taxes – proposals that legislative Republicans and the Governor adamantly oppose.

· The Governor is demanding as part of a budget deal reforms to the state’s pension (retirement) system.

· Both the Governor and Republican Legislative leaders want at least the level of cuts that the Governor proposed in January and May to solve the ongoing deficit problems.



Impact of Budget Crisis and Budget Delay Growing

· The impact of the crisis meanwhile is growing each week as more and more community-based organizations and other providers who provide supports and services to hundreds of thousands of children and adults with disabilities, low income families, people with mental health needs, seniors are struggling to find ways to meet payroll and pay other critical expenses with the delay in reimbursement payments from the State until a budget is enacted.

· Some providers – including many adult day health centers – received their last payments from the State in August – and are desperately trying to find ways to continue to provide services to over 37,000 seniors and other adults with disabilities and to meet its payroll of hundreds of workers across the state. Some have put up personal assets, including their own homes, as collateral in order to get short term bank loans to meet payroll.

· State Controller John Chiang, the statewide elected official who is responsible for paying the state’s bills, said earlier this month that the State had enough cash to pay bills required by federal or state law and avoid, at least until early October, the need to issue IOUs. Chiang reported earlier this month that there was enough cash on hand to pay bond payments, state employees, In-Home Supportive Services workers, SSI/SSP (Supplemental Security Income/State Supplemental Payment) grants, at least through early October. An update of what the State Controller can pay in the coming weeks will be made at today’s (September 23rd) Assembly and Senate joint budget committee hearing.

· The 21 non-profit regional centers contracted by the Department of Developmental Services to coordinate services and supports to over 240,000 children and adults with developmental disabilities – including thousands of infants in the early intervention program (called “Early Start” in California) are taking steps to conserve cash, take out short term loans (lines of credit from banks) in order to continue to pay community-based providers and individuals for as long as possible.

· The regional centers reimburse thousands of individual non-profit and for-profit community-based agencies and individuals for the actual providing of services and supports in “arrears” – meaning after the service was provided.

· Regional centers have funding to pay providers this month (for services provided in August), and next month (for services provided in September). Most – but not all - of the regional centers may have enough funding (through bank loans and other means) to pay in early November for services in October, though it is not clear at this point whether that is for all services in October or a portion. The ability of regional centers to make payments was helped by the infusion of federal Medicaid matching dollars obtained by the Department of Developmental Services.

· The problem for providers and other vendors across the State is not just the problem of obtaining a short term loan to meet payroll and other critical expenses – but not knowing when a budget will be passed and enact, and beyond that - what cuts will actually end up in whatever budget is enacted – and whether those cuts will be retroactive.

· Advocates are concerned about reimbursement of the interest for short term loans providers are being forced to take out – which is adding additional costs to them on top of reductions passed last year and reductions that will likely be in the 2010-2011 whenever one is enacted. Except in certain cases – IOUs for state employees for instance, the State has not allowed for reimbursement to providers for the cost of interest on loans they were forced to take out due to a budget delay.



Informational Hearings On Budget Related Propositions on November Ballot

Meanwhile while there have been no floor sessions by the State Senate or Assembly since August 31st, certain committees of both houses will be holding informational hearings this week and next on the various propositions on the November 2nd ballot.



The Legislature does not have the power to change or take any other action on any of the November 2nd ballot measures. [CDCAN will issue a full report on all propositions later today]



SEPTEMBER 23, 2010 – THURSDAY

JOINT HEARING – ASSEMBLY BUDGET COMMITTEE & SENATE BUDGET & FISCAL REVIEW COMMITTEE

1:30 PM – State Capitol – Room 4202 (Jesse Unruh Hearing Room)\

Informational Hearing:

· Update on California’s Cash Position (the cash on hand or available for the State to continue to pay its bills required by federal law, the State Constitution or state law.

· Review of Proposition 25 (Constitutional amendment initiative that would change the current Legislative vote requirement to pass a Budget from 2/3rds to a simple majority vote in both houses – but keeps 2/3rds vote requirement to override Governor’s veto of the budget and also 2/3rds vote needed to approve any tax increases.

CDCAN COMMENT: Proposition 25 is on the November 2nd ballot, and would, if approved by voters, take effect the day after the election. If that happens, Democratic legislative leaders could pass the stalled 2010-2011 State Budget with simple majority votes in both houses as early as November 3rd. However they would still need the Governor to approve it (overriding his veto would still require 2/3rds vote – meaning Republican votes would be needed in both houses), and 2/3rds vote would still be needed to raise any taxes.



SEPTEMBER 28, 2010 - TUESDAY

JOINT HEARING OF ASSEMBLY ELECTIONS AND REDISTRICTING COMMITTEE AND SENATE COMMITTEE ON ELECTIONS,

REAPPORTIONMENT AND CONSTITUTIONAL AMENDMENTS

10:00 AM to 1:00 PM

State Capitol – Room 3191

Informational Hearing:

· Proposition 20 - Redistricting of Congressional Districts. Initiative Constitutional Amendment

· Proposition 27 - Eliminates the Citizen’s Redistricting Commission created by Proposition 11 in 2008 and returns that responsibility back to the Legislature. Consolidates Authority for Redistricting With Elected Representatives. Initiative Constitutional Amendment and Statute.

CDCAN COMMENT:

If approved by voters, Proposition 20 the responsibility to determine the boundaries of California’s congressional (US House of Representatives) districts would be moved to the Citizens Redistricting Commission, a commission established by Proposition 11 in 2008. (Proposition 27 on this ballot also concerns redistricting issues. If both Proposition 20 and Proposition 27 are approved by voters, the proposition receiving the greater number of “yes” votes would be the only one to go into effect.)



SEPTEMBER 29, 2010 - WEDNESDAY

JOINT HEARING ASSEMBLY REVENUE AND TAXATION COMMITTEE AND SENATE REVENUE AND TAXATION COMMITTEE

Informational Hearing:

· Proposition 24: Repeals legislation that would allow businesses to carry back losses, share tax credits, and use a sales based income calculation to lower taxable income;

· Proposition 26: Increases legislative vote requirement to two–thirds for state levies and charges. Imposes additional requirement for voters to approve local levies and charges with limited exception.

CDCAN COMMENT: Both this propositions, if approved, would have impact on the State budget for 2010-2011 (the propositions, if approved, would take effect the day after the November 2nd election).





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MANY, MANY THANKS TO BOB BENSON, the Pacific Homecare Services, Easter Seals, California Association of Adult Day Health Centers, Valley Mountain Regional Center, Toward Maximum Independence, Inc (TMI), Friends of Children with Special Needs, UCP of Los Angeles, Ventura and Santa Barbara Counties, Southside Arts Center, San Francisco Bay Area Autism Society of America, Hope Services in San Jose, FEAT of Sacramento (Families for Early Autism Treatment), RESCoalition, Sacramento Gray Panthers, Easter Seals of Southern California, Tri-Counties Regional Center, Westside Regional Center, Regional Center of the East Bay, UCP of Orange County, Alta California Regional Center, Life Steps, Parents Helping Parents, Work Training, Foothill Autism Alliance, Arc Contra Costa, Pause4Kids, Manteca CAPS, Training Toward Self Reliance, UCP, California NAELA, Californians for Disability Rights, Inc (CDR) including CDR chapters, CHANCE Inc, , Strategies To Empower People (STEP), Harbor Regional Center, Asian American parents groups, Resources for Independent Living and many other Independent Living Centers, several regional centers, People First chapters, IHSS workers, other self advocacy and family support groups, developmental center families, adoption assistance program families and children, and others across California.