CFA GOVERNMENTAL RELATIONS OFFICE WEEKLY REPORT
"STATE BUDGET STALEMATE CONTINUES - NOW 27 DAYS LATE"
2002 EDITION - Issue No. 20
July 12, 2002


STATE BUDGET STALEMATE CONTINUES - NOW 27 DAYS LATE

With the Senate having approved a state budget proposal, and
leaving town for the summer recess, the Assembly has shown little
progress in approving a budget plan. This week, Assembly
legislators spent more time talking about the yearly Democrats v.
Republicans softball game then they spent trying to reach a
budget agreement.

Making matters even worse, the Democratic caucus may not even be
able to count on its members' votes. Last week, Assembly Speaker
Herb Wesson (D-Los Angeles) unexpectedly removed Assemblyman Dean
Florez (D-Fresno) from his post as chair of the Joint Legislative
Audit Committee. Florez had headed up JLAC's hearings on the
state's role in approving the Oracle computer software contract,
a contract that is expected to exceed costs by $40 million.

In an interview with the Fresno Bee, Florez said his vote for the
budget could no longer be counted on, although he cited the
budget proposal's inequities instead of his removal as chair.
Additionally, there are numerous liberal Democrats who are
hesitant to support a budget that includes large cuts in programs
for the poor.

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