League Budget Update
Update #17: September 17, 2008
Governor Plans Veto; Vote Counting Returns to Legislature
As widely reported, the governor plans to veto the budget sent to him by the Legislature, probably this Friday. While legislative leaders are promising an override, the governor is threatening to veto hundreds of non-budget bills that are pending, essentially canceling much of the work of this biennial legislative session. One lawmaker who voted for the budget, Sharon Runner (R-Lancaster), became the first lawmaker to switch from being a "yes" vote for the budget to refusing to vote for an override. The governor needs either eleven votes to switch in the Assembly or two votes to switch in the Senate to block an override.
Meanwhile, Lieutenant Governor John Garamendi and Superintendent of Public Instruction Jack O'Connell released statements supporting the governor's veto. While blasting the "fiscal irresponsibility" of the budget, both also called for more spending, specifically for education. Both are anticipated to be running for the Democratic nomination for governor in 2010.
What this means for community colleges
The next state payment for community colleges of $464 million is due September 26 <LINK> , and won't be paid unless the governor has signed a budget approved by the Legislature by that date. This is on top of the nearly $939 million that wasn't paid in July and August.
The League continues to assist college districts in ensuring they have enough operating cash to serve students and pay faculty and staff, and the System Office has provided the Controller's Office with the documentation necessary to immediately pay districts after the budget is signed. From our surveys, many districts will be out of cash and forced to borrow in a very difficult financial market if the September payment is not made by the state.
Along with Vice Chancellor Erik Skinner, we will keep you updated through this unfortunately historic situation.
Community College League of California
2017 O Street, Sacramento, California 95811
916.444.8641 . www.ccleague.org