August 20, 2008 - 21:17

Cogdill not happy with governor's budget proposal

Senate Republican Leader Dave Cogdill took a dim view of Republican Gov. Arnold Schwarzenegger's "compromise" state budget proposal Wednesday, saying the governor was rejecting sound economic strategies that his own party has embraced.

"The only true answer is what Republicans have been saying all along, meaningful budget reform and spending reductions," Cogdill (R-Modesto) said in a statement released by his office. "Increasing taxes on hardworking Californians is irresponsible."

Media outlets reported that State Senate Pro Tem Don Perata (D-Oakland) also thought the governor's approach needed work, saying "you don't negotiate with a press conference."

That would mean all four state legislative leaders - including the leading Republican and Democrat in the State Assembly - had failed to fully embrace Schwarzenegger's proposal, with the budget now 50 days overdue.

Democrats have said they want to increase state revenues, possibly through taxes, as a way to solve the budget. Republicans have opposed any taxes, and called for further cuts instead, along with such budget reforms as a rainy-day fund and a state spending cap.

While Schwarzenegger's proposal contained some of each party's wish list, such as a temporary sales tax increase and a robust rainy-day fund, he had said at a press conference earlier Wednesday that breaking free from ideological purity would be the key to getting a budget done.

After Assembly Republican Leader Mike Villines (R-Clovis)  assailed Schwarzenegger's proposal for, among other things, putting a $7 billion deficit into next year's budget, the governor's press office disputed Villines' characterization.

In an e-mail, Schwarzenegger press secretary Aaron McLear said the governor's proposal would actually give the state a $1.44 billion reserve for the next budget year, though a budget that relied on borrowing would create a deficit.

At the press conference, Schwarzenegger had said he was not in favor of any budget solution that involved borrowing. It was not clear whether that applied to an earlier proposal by the governor to borrow against future state lottery revenues to fill the budget deficit, estimated at $17.2 billion.

EARLIER on PolitickerCA.com:

Ben van der Meer is a PolitickerCA.com Senior Reporter and can be reached via email at noreply@politicker.com.

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