BILL NUMBER: AB 1781
VETOED DATE: 09/23/2008
Arnold Schwarzenegger September 23, 2008
Governor
State of California
Governor's Office
I object to the following appropriations contained in
Assembly Bill 1781.
Item 0690-011-0214-For support of Office of
Emergency Services. I delete this item.
This item would authorize a $30,000,000 loan from the
Restitution Fund to the Emergency Response Fund.
The final budget package does not create the
Emergency Response Fund nor appropriate any
funding from it. However, the final budget package
does include this loan, which is no longer necessary.
Therefore, on a technical basis, I must delete this item.
Item 0690-101-6061-For local assistance, Office of
Emergency Services.
I revise this item by deleting Provision 1. This Budget
Bill provision is unnecessary, as it simply restates
existing law. Specifically, this provision would require
the allocation of funding from the Transit System
Safety, Security, and Disaster Response Account,
Highway Safety, Traffic Reduction, Air Quality, and
Port Security Fund of 2006 to be consistent with the
provisions of Chapter 181, Statutes of 2007. Chapter
181 designated administering agencies for the bond
funds authorized by the voters via Proposition 1B in
November 2006, and imposed various requirements
on these agencies for the allocation of the bond funds.
Item 0690-101-6073-For local assistance, Office of
Emergency Services.
I revise this item by deleting Provision 1. This Budget
Bill provision is unnecessary, as it simply restates
existing law. Specifically, this provision would require
the allocation of funding from the Port and Maritime
Security Account, Highway Safety, Traffic Reduction,
Air Quality, and Port Security Fund of 2006 to be
consistent with the provisions of Chapter 181,
Statutes of 2007. Chapter 181 designated
administering agencies for the bond funds authorized
by the voters via Proposition 1B in November 2006,
and imposed various requirements on these agencies
for the allocation of the bond funds.
Item 1700-001-0001-For support of Department of
Fair Employment and Housing. I reduce this item from
$17,813,000 to $16,869,000 by reducing:
(1) 50-Administration of Civil Rights Law from
$23,668,000 to $22,624,000
(2) Amount payable from the Federal Trust fund
(Item 1700-001-0890) from -$5,855,000 to -
$5,755,000.
I am reducing this item by $944,000 which will result in
the loss of 9.5 personnel years for the enforcement of
civil rights. While this budget bill provides for a modest
reserve in 2008-09, it fails to make the necessary
statutory spending reductions and revenue increases
needed to eliminate the state's structural budget
deficit going forward. At the same time, constitutional
requirements, federal law and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is adequate to do so. Consequently --
and in order to further ensure that this budget remains
in balance -- I am taking the difficult but necessary
action reflected in this veto to further control state
spending.
I am also revising this item to conform to the action I
have taken in 1700-001-0890.
Item 1700-001-0890-For support of Department of Fair
Employment and Housing. I reduce this item from
$5,855,000 to $5,755,000.
I am revising this item to conform to the action I have
taken in Item 1700-001-0001 to reflect a reduction in
federal funds for processing dual filed housing and
employment discrimination claims.
Item 1730-001-0044-For support of Franchise Tax
Board. I reduce this item from $2,991,000 to
$2,844,000 to make a technical correction to the Budget
Bill.
This technical veto will conform with the Legislature's
intent and is consistent with the legislative action
taken in Item 1730-001-0001.
Item 1730-001-0064-For support of Franchise Tax
Board. I reduce this item from $5,615,000 to
$5,342,000 to make a technical correction to the
Budget Bill.
This technical veto will conform with the Legislature's
intent and is consistent with the legislative action
taken in Item 1730-001-0001.
Item 2240-001-0001-For support of Housing and
Community Development. I reduce this item from
$4,784,000 to $4,023,000 by reducing:
(1) 10-Codes and Standards Program from
$29,964,000 to $29,118,000.
(7) Reimbursements from -$1,132,000 to
-$1,047,000,
and by deleting Provision 2.
I am reducing this item by $761,000 for the Employee
Housing Program. While the budget bill provides for a
modest reserve in 2008-09, it fails to make the
necessary statutory spending reductions and revenue
increases needed to eliminate the state's structural
budget deficit going forward. At the same time,
constitutional requirements, federal law and court
required payments drive the majority of the spending
in any budget, and limit my ability to reduce spending.
As a result, I have an obligation to reduce spending
when my veto power is adequate to do so.
Consequently -- and in order to further ensure that this
budget remains in balance -- I am taking the difficult
but necessary action reflected in this veto to further
control state spending.
I am also eliminating the Legislature's augmentation of
reimbursements for this item by $85,000 and,
consistent with this action, I am deleting Provision 2
that expresses legislative intent that the Department of
Housing and Community Development increase fees
paid by employee housing providers to offset program
reductions.
Item 2240-101-0001-For local assistance,
Department of Housing and Community Development.
I reduce this item from $6,316,000 to$5,973,000 by
reducing:
(1) 20-Financial Assistance Program from
$173,116,000 to $172,773,000,
and deleting Provision 1.
I am reducing this item by $343,000 to reinstate the
budget-balancing reduction to the migrant housing
operations program that I proposed. While this budget
bill provides for a modest reserve in 2008-09, it fails to
make the necessary statutory spending reductions
and revenue increases needed to eliminate the state's
structural budget deficit going forward. At the same
time, constitutional requirements, federal law and
court required payments drive the majority of the
spending in any budget, and limit my ability to reduce
spending. As a result, I have an obligation to reduce
spending when my veto power is adequate to do so.
Consequently -- and in order to further ensure that this
budget remains in balance -- I am taking the difficult
but necessary action reflected in this veto to further
control state spending.
Item 2240-101-0890-For local assistance,
Department of Housing and Community Development.
I revise this item by deleting Provision 2.
I am deleting Provision 2 which would specify that
$1,800,000 of the amount appropriated in this item
shall be made available upon receipt of a federal
grant. This language is unnecessary because the
Department of Housing and Community Development
cannot make the expenditure unless the federal grant
is received.
Item 2240-101-6069-For local assistance,
Department of Housing and Community Development.
I revise this item by deleting Provision 2.
I am deleting Provision 2, which would specify that
funding in this item shall be subject to legislative
review and approval of a request by the Department
of Housing and Community Development. This
language is unnecessary.
Item 2240-101-9736-For local assistance,
Department of Housing and Community Development.
I revise this item by deleting Provision 2.
I am deleting Provision 2, which would specify that
funding in this item shall be subject to legislative
review and approval of a request by the Department of
Housing and Community Development. This
language is unnecessary.
Item 2240-102-6038-For local assistance,
Department of Housing and Community Development.
I revise this item by deleting Provision 2.
I am deleting Provision 2, which would specify that
funding for the Building Equity in Neighborhoods
program shall be subject to legislative review and
approval of a request by the Department of Housing
and Community Development. This language is
unnecessary because the funding proposed in the
Budget is always subject to legislative review and
approval.
Item 2240-105-0001-For transfer, as an expenditure,
upon order of the Director of Finance, to the
Emergency Housing and Assistance Fund. I delete
this item.
I am reducing this item by $401,000 to reinstate the
budget-balancing reduction to the state grant program
for local emergency shelters that I proposed. I am
further reducing this item by $3,599,000. While the
budget bill provides for a modest reserve in 2008-09, it
fails to make the necessary statutory spending
reductions and revenue increases needed to
eliminate the state's structural budget deficit going
forward. At the same time, constitutional
requirements, federal law and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is adequate to do so. Consequently --
and in order to further ensure that this budget remains
in balance -- I am taking the difficult but necessary
action reflected in this veto to further control state
spending.
Item 2320-001-0317-For support of Department of
Real Estate. I revise this item by deleting Provision 2.
I am deleting Provision 2, which would require the
Department of Real Estate to report workload and
enforcement data to the Legislature.
This reporting requirement would result in an
expenditure increase without regard to the availability
of resources. Consequently, I am vetoing this
language. Nevertheless, in recognition of the
Legislature's desire to obtain this information, I am
instructing the Commissioner to comply with the
legislative request for this report to the extent
compliance can be achieved using existing resources
and without impairing the Department of Real Estate's
ability to perform its essential functions.
Item 2600-001-0042-For support of California
Transportation Commission. I revise this item by
deleting Provision 1.
While the Legislature approved the $100,000
augmentation to fund a contract with a financial
consultant to assist in reviewing the eligibility of high-
occupancy toll lane project applications, it also added
provisional language requiring that these funds only
be used for this purpose. While this provisional
language is consistent with the Administration's
intended use of this funding, it is unnecessary.
Item 2660-104-6063-For local assistance,
Department of Transportation. I reduce this item from
$62,999,000 to $61,299,000 by reducing:
(1) 20.30-Highway Transportation-Local Assistance
from $62,999,000 to $61,299,000.
Item 2660-302-0042-For capital outlay, Department
of Transportation. I reduce this item from
$847,800,000 to $747,800,000 by reducing:
(1) 20-Highway Transportation from $1,897,800,000
to $1,797,800,000, and
(a) State Highway Operation and Protection
Program ($1,897,800,000) to ($1,797,800,000).
I am reducing this item by $100,000,000 to reflect the
lower estimated revenues that the State Highway
Account is projected to receive from excise taxes on
fuel. Continuing increases in prices have reduced
consumption, resulting in less tax revenue.
Item 3340-001-0001-For support of California
Conservation Corps. I reduce this item from
$35,874,000 to $33,874,000 by reducing:
(1) 10-Training and Work Program from
$65,032,000 to $63,032,000.
I am reducing this item by $2,000,000. While this
budget bill provides for a modest reserve in 2008-09, it
fails to make the necessary statutory spending
reductions and revenue increases needed to
eliminate the state's structural budget deficit going
forward. At the same time, constitutional
requirements, federal law, and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is adequate to do so. Consequently --
and in order to further ensure that this budget remains
in balance -- I am taking the difficult but necessary
action reflected in this veto to further control state
spending.
Nevertheless, I am sustaining the legislative
augmentation of an additional $1,000,000 from the
Collins-Dugan California Conservation Corps
Reimbursement Account to maintain three non-
residential facilities and 75 corpsmember slots.
Item 3600-001-0001-For support of Department of
Fish and Game. I reduce this item from $77,301,000
to $73,410,000 by reducing:
(1) 20-Biodiversity Conservation Program from
$150,694,000 to $147,572,000;
(2) 25-Hunting, Fishing, and Public Use from
$71,276,000 to $70,737,000;
(3) 30-Management of Department Lands and
Facilities from $48,009,000 to $46,895,000;
(4) 40-Enforcement from $61,764,000 to
$61,648,000;
(6) 70.01-Administration from $44,359,000 to
$43,672,000;
(7) 70.02-Distributed Administration from -
$44,359,000 to -$43,672,000; and
(21) Amount payable from the Hatchery and Inland
Fisheries Fund
(Item 3600-001-3103) from -$17,297,000 to -
$16,297,000.
I am reducing this item by $3,891,000. While this
budget bill provides for a modest reserve in 2008-09, it
fails to make the necessary statutory spending
reductions and revenue increases needed to
eliminate the state's structural budget deficit going
forward. At the same time, constitutional
requirements, federal law, and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is adequate to do so. Consequently --
and in order to further ensure that this budget remains
in balance -- I am taking the difficult but necessary
action reflected in this veto to further control state
spending.
In addition, I am reducing $1,000,000 from the
Hatchery and Inland Fisheries Fund.
Item 3600-001-3103-For support of Department of
Fish and Game. I reduce this item from $17,297,000
to $16,297,000.
I am reducing this item by $1,000,000 to conform to
the action I have taken in Item 3600-001-0001.
Item 3720-001-0001-For support of California
Coastal Commission. I reduce this item from
$11,809,000 to $11,192,000 by reducing:
(1) 10-Coastal Management Program from
$16,630,000 to $16,049,000;
(2) 20-Coastal Energy Program from $1,112,000 to
$1,076,000;
(3) 30.01-Administration from $1,914,000 to
$1,827,000; and
(4) 30.02 - Distributed Administration from -$1,814,000 to
-$1,727,000.
I am reducing this item by $617,000. While this
budget bill provides for a modest reserve in 2008-09,
it fails to make the necessary statutory spending
reductions and revenue increases needed to
eliminate the state's structural budget deficit going
forward. At the same time, constitutional
requirements, federal law and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is adequate to do so. Consequently --
and in order to further ensure that this budget remains
in balance -- I am taking the difficult but necessary
action reflected in this veto to further control state
spending.
Item 3780-001-0001-For support of Native American
Heritage Commission. I reduce this item from
$786,000 to $707,000 by reducing:
(1) 10-Native American Heritage Commission from
$792,000 to $713,000.
I am reducing this item by $79,000. While this budget
bill provides for a modest reserve in 2008-09, it fails to
make the necessary statutory spending reductions
and revenue increases needed to eliminate the
state's structural budget deficit going forward. At the
same time, constitutional requirements, federal law,
and court required payments drive the majority of the
spending in any budget, and limit my ability to reduce
spending. As a result, I have an obligation to reduce
spending when my veto power is adequate to do
so. Consequently -- and in order to further ensure that
this budget remains in balance -- I am taking the
difficult but necessary action reflected in this veto to
further control state spending.
Item 3790-001-0001-For support of Department of
Parks and Recreation. I revise this item by reducing:
(1) For support of the Department of Parks and
Recreation from $432,009,000 to $431,099,000,
and by deleting
(4.5) Amount payable from the Motor Vehicle
Account, State Transportation Fund
(Item 3790-001-0044) (-$910,000).
I am revising this item to conform to the action I have
taken in Item 3790-001-0044.
Item 3790-001-0044-For support of Department of
Parks and Recreation. I delete this item.
I am deleting this item of appropriation which acts as a
$910,000 legislative funding shift from the General
Fund to the Motor Vehicle Account (MVA), State
Transportation Fund to enable the Department of
Parks and Recreation to comply with the State Air
Resources Board's new diesel particulate matter
emission regulations for on-road heavy-duty diesel
vehicles. I believe regulatory compliance activities
should be funded by the department's own funding
sources. Consequently, the MVA is not an
appropriate fund source for this purpose.
Item 3810-001-0140-For support of Santa Monica
Mountains Conservancy.
I am sustaining the provisional language added by the
Legislature providing that the Santa Monica
Mountains Conservancy (Conservancy) shall
reimburse to the Attorney General's Office (AG) for
costs associated with grant reviews and attending
meetings.
The clear intent of this language is to create an
incentive for the AG to provide legal services to the
Conservancy and to have the Conservancy to
reimburse the AG for its costs related to Proposition
84. However, this new language inadvertently
appears to conflict with the language in Provision 1,
which requires the AG to otherwise provide legal
services to the Conservancy as if it were a General
Fund department.
Therefore, by sustaining this language, it is my intent
that the Conservancy reimburse the AG for costs
associated with Proposition 84 grant reviews and the
associated meetings, and that all other legal costs be
funded in a manner consistent with past practice. The
Department of Finance will revisit this issue next
budget year.
Item 3900-001-0001-For support of State Air
Resources Board. I reduce this item from $2,189,000
to $189,000.
I am reducing this item by $2,000,000. While this
budget bill provides for a modest reserve in 2008-09, it
fails to make the necessary statutory spending
reductions and revenue increases needed to
eliminate the state's structural budget deficit going
forward. At the same time, constitutional
requirements, federal law and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is
adequate to do so. Consequently -- and in order to
further ensure that this budget remains in balance -- I
am taking the difficult but necessary action reflected
in this veto to further control state spending.
Item 3940-001-0001-For support of State Water
Resources Control Board. I revise this item by
deleting sub-schedules (a) and (b) under Program
10-Water Quality, and Provision 2 of this section.
I am eliminating Budget Act language that displays the
allocations to the state's nine regional boards and
requires additional actions should a reallocation of
resources be necessary. The Regional Boards
develop and enforce the water quality objectives and
implementation plans that are developed by the State
Water Board, recognizing local differences in climate,
topography, geology and hydrology. The joint
authority of water allocation and water quality
protection enables the State Water Board to provide
comprehensive protection for California's waters. This
centralized structure allows the State Board to
implement program priorities and to respond to
statewide needs through the Regional Board. The
State Board should not require a change in authority
to move funds from one region to another should
events occur that make it necessary - such as a fire,
a flood, or a change in priorities. Creating separate
line items in the budget for each Regional
Board would challenge the State Board's ability to
manage and prioritize the needs of the whole state.
Alternatively, the Water Board can address the
Legislature's intent to better understand the role of the
regional water boards through an anticipated strategic
and structural reorganization the Water Board is
planning through its Water Quality Initiative.
Item 3960-001-0001-For support of Toxic
Substances Control. I reduce this item from
$23,325,000 to $22,170,000.
I am reducing this item by $1,155,000. While this
budget bill provides for a modest reserve in 2008-09, it
fails to make the necessary statutory spending
reductions and revenue increases needed to
eliminate the state's structural budget deficit going
forward. At the same time, constitutional
requirements, federal law and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is adequate to do so. Consequently --
and in order to further ensure that this budget remains
in balance -- I am taking the difficult but necessary
action reflected in this veto to further control state
spending.
I am revising the dollar amount specified in Provision
1 to conform to the action taken in this item.
"The Director of Toxic Substances Control may
expend from this item: (a) $11,604,000 for the
following activities at the federal Stringfellow
Superfund site: (1) operation and maintenance of
pretreatment plants to treat contaminated
groundwater extracted from the site, (2) site
maintenance and groundwater monitoring, and (3)
implementation of work to stabilized the site, and (b)
$4,266,000$3,111,000 for the operation of the
Illegal Drug Laboratory Removal Program."
Item 3960-001-0014-For support of Toxic
Substances Control. I revise this item by reducing:
(1) 12-Site Mitigation and Brownfields Reuse from
$89,426,000 to $88,271,000.
(8) Amount payable from General Fund (Item 3960-
001-0001) from -$23,325,000 to
-$22,170,000.
I am revising this item to conform to the action I have
taken in Item 3960-001-0001.
Item 4170-101-0001-For local assistance,
Department of Aging. I reduce this item from
$56,109,000 to $42,945,000 by reducing:
(1) 10-Nutrition from $73,373,000 to $72,804,000;
(2) 20-Senior Community Employment from
$10,304,000 to $7,139,000;
(3) 30-Supportive Services and Centers from
$71,894,000 to $65,916,000; and
(4) 40-Special Projects from $50,003,000 to
$46,751,000;
and by deleting:
(4.5) 97.20.004-Local Projects ($200,000).
I am reducing this item by $13,164,000 for the
following programs:
� $316,000 from the Home Delivered Meals program;
� $253,000 from the Congregate Nutrition program;
� $3,165,000 from Senior Community Employment;
� $5,978,000 from the Long-term Care Ombudsman
and Supportive Services programs;
� $2,526,000 for the Multipurpose Senior Services
Program;
� $416,000 for the Alzheimer's Day Care Resource
Centers;
� $250,000 for the Linkages program;
� $60,000 for the Brown Bag program; and
� $200,000 for the Senior Legal Hotline
While this budget bill provides for a modest reserve in
2008-09, it fails to make the necessary statutory
spending reductions and revenue increases needed
to eliminate the state's structural budget deficit going
forward. At the same time, constitutional
requirements, federal law and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is adequate to do so. Consequently --
and in order to further ensure that this budget remains
in balance -- I am taking the difficult but necessary
action reflected in this veto to further control state
spending.
Item 4200-001-0001-For support of Department of
Alcohol and Drug Programs. I reduce this item from
$14,701,000 to $6,019,000 by reducing:
(1) 15-Alcohol and Other Drug Services Program
from $57,702,000 to $48,275,000;
(2) 30.01-Administration from $11,999,000 to
$8,999,000;
(3) 30.02-Distributed Administration from
-$11,999,000 to -$8,999,000;
(4) Reimbursements from -$4,932,000 to -
$4,544,000;
(10) Amount payable from the Substance Abuse
Treatment Trust Fund (Item 4200-001-3019)
from -$3,565,000 to -$3,208,000.
I am reducing this item by $9,070,000 ($8,682,000
General Fund and $388,000 Reimbursements), as follows:
� $8,000,000 for the California Methamphetamine
Prevention Campaign;
� $776,000 and 5.3 positions for the Drug Medi-Cal
Program;
� $154,000 for the Non-Drug Medi-Cal Program;
� $110,000 and 0.5 positions for the Drug Court
programs; and
� $30,000 and 0.4 positions for the Offender
Treatment Program.
While this budget bill provides for a modest reserve in
2008-09, it fails to make the necessary statutory
spending reductions and revenue increases needed
to eliminate the state's structural budget deficit going
forward. At the same time, constitutional
requirements, federal law and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is adequate to do so. Consequently -- a
nd in order to further ensure that this budget remains
in balance -- I am taking the difficult but necessary
action reflected in this veto to further control state
spending.
I am also reducing $357,000 and 3.0 positions in Item
4200-001-3019 to conform to the action I have taken
in Item 4200-105-0001.
Item 4200-001-3019-For support of Department of
Alcohol and Drug Programs. I reduce this item from
$3,565,000 to $3,208,000.
I am reducing this item by $357,000 to conform to the
action I have taken in Item 4200-105-0001.
Item 4200-101-0001-For local assistance,
Department of Alcohol and Drug Programs. I reduce
this item from $89,197,000 to $83,665,000 by
reducing:
(1) 15-Alcohol and Other Drug Services Programs
from $438,351,000 to $423,168,000;
(4) Amount payable from the Substance Abuse
Treatment Fund (Item 4200-101-3019) from -
$96,514,000 to -$86,863,000.
I am reducing this item by $5,532,000, as follows:
� $2,983,000 for the Drug Court programs;
� $1,970,000 for the Offender Treatment Program;
and
� $579,000 for the Non-Drug Medi-Cal Program.
While this budget bill provides for a modest reserve in
2008-09, it fails to make the necessary statutory
spending reductions and revenue increases needed
to eliminate the state's structural budget deficit going
forward. At the same time, constitutional
requirements, federal law and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is adequate to do so. Consequently --
and in order to further ensure that this budget remains
in balance -- I am taking the difficult but necessary
action reflected in this veto to further control state
spending.
I am also reducing $9,651,000 in Item 4200-101-3019
to conform to the action I have taken in Item 4200-
105-0001.
Item 4200-101-3019-For local assistance,
Department of Alcohol and Drug Programs. I reduce
this item from $96,514,000 to $86,863,000.
I am reducing this item by $9,651,000 to conform to the
action I have taken in Item 4200-105-0001.
Item 4200-104-0001-For local assistance,
Department of Alcohol and Drug Programs. I reduce
this item from $23,457,000 to $21,111,000 by
reducing:
(1) 15-Alcohol and Other Drug Services Program
from $40,511,000 to $38,165,000.
I am reducing this item by $2,346,000 for perinatal
substance abuse treatment programs. While this
budget bill provides for a modest reserve in 2008-09, it
fails to make the necessary statutory spending
reductions and revenue increases needed to
eliminate the state's structural budget deficit going
forward. At the same time, constitutional
requirements, federal law and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is adequate to do so. Consequently --
and in order to further ensure that this budget remains
in balance -- I am taking the difficult but necessary
action reflected in this veto to further control state
spending.
Item 4200-105-0001-For transfer by the Controller to
the Substance Abuse Treatment Trust Fund. I reduce
this item from $100,079,000 to $90,071,000.
I am reducing this item by $10,008,000 for the
Substance Abuse and Crime Prevention Act program.
While this budget bill provides for a modest reserve in
2008-09, it fails to make the necessary statutory
spending reductions and revenue increases needed
to eliminate the state's structural budget deficit going
forward. At the same time, constitutional
requirements, federal law and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is adequate to do so. Consequently --
and in order to further ensure that this budget remains
in balance -- I am taking the difficult but necessary
action reflected in this veto to further control state
spending.
I have taken conforming action in Item 4200-001-3019
and Item 4200-101-3019.
Item 4260-001-0001-For support of Department of
Health Care Services. I revise this item by reducing:
(1) 20-Health Care Services from $383,834,000 to
$381,821,000,
and by deleting:
(10) Amount payable from the California Discount
Prescription Drug Program Fund (Item 4260-
001-8040) (-$2,013,000)
I am deleting $2,013,000 intended to specifically fund
costs for the California Discount Prescription Drug
Program. While this budget bill provides for a modest
reserve in 2008-09, it fails to make the necessary
statutory spending reductions and revenue increases
needed to eliminate the state's structural budget
deficit going forward. At the same time, constitutional
requirements, federal law and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is adequate to do so. Consequently --
and in order to further ensure that this budget remains
in balance -- I am taking the difficult but necessary
action reflected in this veto to further control state
spending.
I am also deleting Item 4260-001-8040 to conform to
this action.
Item 4260-001-8040-For support of Department of
Health Care Services. I delete this item and Provisions
1 and 2.
I am deleting this item to conform to the action I have
taken in Item 4260-001-0001 regarding the California
Discount Prescription Drug Program.
I am also deleting Provision 1 and 2 to conform to this
action.
Item 4260-006-0001-For transfer by the Controller to
the California Discount Prescription Drug Program
Fund. I delete this item and Provision 1.
I am deleting the $5,870,000 in this item to conform to
the action I have taken in Items 4260-001-0001, 4260-
001-8040, and 4260-119-8040 regarding the
California Discount Prescription Drug Program.
I am also deleting Provisions 1 to conform to this
action.
Item 4260-113-0001-For local assistance,
Department of Health Care Services. I reduce this
item from $208,380,000 to $206,744,000 by:
(3) Benefits (Medical Care and Services) from
$567,046,000 to $563,226,000, and
(4) Amount payable from the Federal Trust Fund
(Item 4260-113-0890) from -$363,428,000 to -
$361,244,000.
I am reducing this item by $1,636,000 to make a
technical correction to conform to the Legislature's
action to utilize unanticipated Medi-Cal savings in
fiscal year 2007-08 to reduce expenditures in 2008-
09.
I am reducing Item 4260-113-0890 by $2,184,000 to
conform with this action.
Item 4260-113-0890-For local assistance,
Department of Health Care Services. I reduce this
item from $363,428,000 to $361,244,000 to make a
technical correction to the Budget Bill.
I am reducing this item by $2,184,000 to conform to
my action in Item 4260-113-0001.
Item 4260-119-8040-For local assistance,
Department of Health Care Services. I delete this
item.
I am deleting the $3,857,000 intended specifically to
fund local assistance costs for the California Discount
Prescription Drug Program. While this budget bill
provides for a modest reserve in 2008-09, it fails to
make the necessary statutory spending reductions
and revenue increases needed to eliminate the state's
structural budget deficit going forward. At the same
time, constitutional requirements, federal law and
court required payments drive the majority of the
spending in any budget, and limit my ability to reduce
spending. As a result, I have an obligation to reduce
spending when my veto power is adequate to do so.
Consequently -- and in order to further ensure that this
budget remains in balance -- I am taking the difficult
but necessary action reflected in this veto to further
control state spending.
Item 4265-001-0001-For support of Department of
Public Health. I reduce this item from $86,147,000 to
$82,850,000 by reducing:
(2) 20-Public and Environmental Health from
$501,031,000 to $497,734,000.
I
I am reducing this item by $3,297,000, as follows:
� $1,042,000 for the Childhood Lead Poisoning
Prevention Branch;
� $976,000 for the Medical Device and Drug Safety
Program;
� $841,000 for the Epidemiology and Prevention for
Injury Control Branch;
� $277,000 for the Prostate Cancer Treatment
Program; and
� $161,000 for the Cosmetic Safety Program.
While this budget bill provides for a modest reserve in
2008-09, it fails to make the necessary statutory
spending reductions and revenue increases needed
to eliminate the state's structural budget deficit going
forward. At the same time, constitutional
requirements, federal law and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is adequate to do so. Consequently --
and in order to further ensure that this budget remains
in balance -- I am taking the difficult but necessary
action reflected in this veto to further control state
spending.
Item 4265-111-0001-For local assistance,
Department of Public Health. I reduce this item from
$257,472,000 to $244,479,000 by reducing:
(3) 20.20-Infectious Disease from $365,085,000 to
$358,845,000;
(4) 20.30-Family Health from $1,504,545,000 to
$1,498,477,000;
(6) 20.50-County Health Services from $40,691,000
to $39,791,000;
(7) 20.60-Environmental Health from $132,541,000
to $131,557,000;
(8) Reimbursements from -$160,479,000 to -
$159,280,000;
and by deleting Provision 3.
I am reducing this item by $5,030,000 ($3,831,000
General Fund and $1,199,000 Reimbursements) by
eliminating funding to local entities for the following
programs:
� $1,824,000 for the TeenSMART Outreach
Program;
� 1,322,000 for the Male Involvement Program;
� $984,000 for the Beach Safety Program; and
� $900,000 for the State Public Health Subvention.
I am also reducing this item by $3,670,000 by
reducing funding to local entities for the following
programs:
� $2,269,000 for the Domestic Violence Program;
� $748,000 for the Tuberculosis Control Housing
Program;
� $403,000 for the Teen Life Skills Information and
Education Program; and
� $250,000 for the Maternal, Child and Adolescent Health Program.
While this budget bill provides for a modest reserve in
2008-09, it fails to make the necessary statutory
spending reductions and revenue increases needed
to eliminate the state's structural budget deficit going
forward. At the same time, constitutional
requirements, federal law and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is adequate to do so. Consequently --
and in order to further ensure that this budget remains
in balance -- I am taking the difficult but necessary
action reflected in this veto to further control state
spending.
I am deleting $5,492,000 of the $6,842,000 General
Fund legislative augmentation to local health
jurisdictions for AIDS/HIV Education and Prevention
programs. With this reduction, $31.8 million still
remains to support the AIDS/HIV Education and
Prevention programs.
I am also deleting Provision 3, that expresses a
legislative wish to have the Department of Public
Health not exclude any drugs from the AIDS Drug
Assistance Program (ADAP) formulary for the
purpose of reducing ADAP expenditures and would
require funding to be maintained using the ADAP
Rebate Fund. The Office of AIDS within the
Department is the appropriate entity to determine the
proper alignment of program expenditures within the
funding available, including the ADAP Rebate Fund.
Provision 3 would restrict the Office of AIDS' ability to
manage ADAP expenditures. Consequently, I am
vetoing this language.
Item 4440-103-0001-For local assistance,
Department of Mental Health. I reduce this item from
$232,856,000 to $225,136,000 by reducing:
(1) 10.25-Community Services - Other Treatment
from $232,856,000 to $225,136,000.
I am reducing this item by $7,720,000 for the Mental
Health Managed Care program. While this budget bill
provides for a modest reserve in 2008-09, it fails to
make the necessary statutory spending reductions
and revenue increases needed to eliminate the state's
structural budget deficit going forward. At the same
time, constitutional requirements, federal law and
court required payments drive the majority of the
spending in any budget, and limit my ability to reduce
spending. As a result, I have an obligation to reduce
spending when my veto power is adequate to do so.
Consequently -- and in order to further ensure that this
budget remains in balance -- I am taking the difficult
but necessary action reflected in this veto to further
control state spending.
Item 4700-001-0001-For support of Department of
Community Services and Development. I delete this
item.
I am deleting this item to conform to the action I have
taken in 4700-101-0001.
Item 4700-101-0001-For local assistance,
Department of Community Services and
Development. I delete this item.
I am deleting the $2,565,000 for the for the
Naturalization Services program. I am also deleting
the $154,000 in state operations funding for this
program (refer to Item 4700-001-0001). While this
budget bill provides for a modest reserve in 2008-09, it
fails to make the necessary statutory spending
reductions and revenue increases needed to
eliminate the state's structural budget deficit going
forward. At the same time, constitutional
requirements, federal law and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is adequate to do so. Consequently --
and in order to further ensure that this budget remains
in balance -- I am taking the difficult but necessary
action reflected in this veto to further control state
spending.
Item 5180-001-0001-For support of Department of
Social Services. I reduce this item from $107,134,000
to $106,640,000 by reducing:
(2) 25-Social Services and Licensing from
$168,929,500 to $168,829,500;
(3) 35-Disability Evaluation and Other Services from
$260,159,500 to $259,381,500; and
(6) Reimbursements from -$26,048,000 to -
$25,664,000.
I am reducing this item by $778,000 ($394,000
General Fund) for the Disability Determination
program and $100,000 General Fund for the
Independent Adoptions program. While this budget
bill provides for a modest reserve in 2008-09, it fails to
make the necessary statutory spending reduction and
revenue increases needed to eliminate the
state's structural budget deficit going forward. At the
same time, constitutional requirements, federal law
and court required payments drive the majority of the
spending in any budget, and limit my ability to reduce
spending. As a result, I have an obligation to reduce
spending when my veto power is adequate to do
so. Consequently -- and in order to further ensure that
this budget remains in balance -- I am taking the
difficult but necessary action reflected in this veto to
further control state spending.
Item 6110-123-0001-For local assistance,
Department of Education. I reduce this item from
$120,209,000 to $114,209,000 by deleting:
(2) 20-Corrective Actions $6,000,000.
I am deleting the $6,000,000 restored by the
Legislature that allocates funds to non-Title I
Immediate Intervention Underperforming Schools
Program (II/USP) schools that are still subject to state
sanctions and are working with school assistance and
intervention teams (SAITs). Although the II/USP
ended in 2004-05, schools continue to receive grants
of $150 per student to implement improvement plans
prepared by SAITs. I do not believe that the state
should continue to fund these activities. Earlier this
year, the Legislature accepted my proposal to
eliminate from the Budget federal Title I funds for
these purposes. This veto would be consistent with
that agreement.
I am deleting provision 2 to conform to this action.
Item 6110-125-0890-For local assistance,
Department of Education. I delete Provision 4 of this
item.
I am deleting the appropriation located in Section 4 of
the provisional language related to a $1.8 million
intervention program for local education agencies not
meeting federal Title III benchmarks that was
administratively established in the 2007-08 fiscal year
as little information has been provided on what the
program would achieve.
I am deleting Provision 4 to conform to this action.
Item 6120-150-0001-For local assistance, California
State Library, for the Civil Liberties Public Education
Program. I reduce this item from $475,000 to
$450,000.
I am reducing this item by $25,000. While this budget
bill provides for a modest reserve in 2008-09, it fails to
make the necessary statutory spending reductions
and revenue increases needed to eliminate the state's
structural budget deficit going forward. At the same
time, constitutional requirements, federal law and
court required payments drive the majority of the
spending in any budget, and limit my ability to reduce
spending. As a result, I have an obligation to reduce
spending when my veto power is adequate to do so.
Consequently -- and in order to further ensure that this
budget remains in balance -- I am taking the difficult
but necessary action reflected in this veto to further
control state spending.
Item 6120-160-0001-For local assistance, California
State Library, for the California Newspaper Project
Program. I reduce this item from $228,000 to
$216,000.
I am reducing this item by $12,000. While this budget
bill provides for a modest reserve in 2008-09, it fails to
make the necessary statutory spending reductions
and revenue increases needed to eliminate the state's
structural budget deficit going forward. At the same
time, constitutional requirements, federal law and
court required payments drive the majority of the
spending in any budget, and limit my ability to reduce
spending. As a result, I have an obligation to reduce
spending when my veto power is adequate to do so.
Consequently -- and in order to further ensure that this
budget remains in balance -- I am taking the difficult
but necessary action reflected in this veto to further
control state spending.
Item 6120-211-0001-For local assistance, California
State Library. I reduce this item from $13,625,000 to
$12,908,000 by reducing:
(1) 20.30-Direct Loan and Interlibrary Loan
Programs from $10,899,000 to $10,182,000.
I am reducing this item by $717,000. While this
budget bill provides for a modest reserve in 2008-09, it
fails to make the necessary statutory spending
reductions and revenue increases needed to
eliminate the state's structural budget deficit going
forward. At the same time, constitutional
requirements, federal law and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is adequate to do so. Consequently --
and in order to further ensure that this budget remains
in balance -- I am taking the difficult but necessary
action reflected in this veto to further control state
spending.
Item 6120-213-0001-For local assistance, California
State Library, for the English Acquisition and Literacy
Program. I reduce this item from $4,811,000 to
$4,558,000.
I am reducing this item by $253,000. While this
budget bill provides for a modest reserve in 2008-09, it
fails to make the necessary statutory spending
reductions and revenue increases needed to
eliminate the state's structural budget deficit going
forward. At the same time, constitutional
requirements, federal law and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is adequate to do so. Consequently --
and in order to further ensure that this budget remains
in balance -- I am taking the difficult but necessary
action reflected in this veto to further control state
spending.
Item 6120-221-0001-For local assistance, California
State Library, for the Public Library Foundation
Program. I reduce this item from $13,642,000 to
$12,924,000.
I am reducing this item by $718,000. While this
budget bill provides for a modest reserve in 2008-09, it
fails to make the necessary statutory spending
reductions and revenue increases needed to
eliminate the state's structural budget deficit going
forward. At the same time, constitutional
requirements, federal law and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is adequate to do so. Consequently --
and in order to further ensure that this budget remains
in balance -- I am taking the difficult but necessary
action reflected in this veto to further control state
spending.
Item 6610-001-0001-For support of California State
University. I revise this item by revising Provision 10.
While I am sustaining the Legislature's action to
earmark funding for student academic preparation
and student support services programs, I am vetoing
the language requiring the university to report on
these programs. This reporting requirement would
result in an expenditure increase without regard to the
availability of revenues. Nevertheless, in recognition
of the Legislature's desire to obtain this information, I
am instructing the Chancellor of the California State
University to comply with this legislative request for
this report to the extent compliance can be achieved
using existing resources and without impairing the
university's ability to perform its essential functions.
I am revising Provision 10 to conform as follows:
"10. Of the amount appropriated in Schedule (1),
$52,000,000 is appropriated for student academic
preparation and student support services programs.
The California State University shall provide
$45,000,000 to support the Early Academic
Assessment Program and the Educational
Opportunity Program. It is the intent of the Legislature
that the university report on the outcomes and
effectiveness of the Early Academic Assessment
Program to the fiscal committees of each house of the
Legislature no later than March 15, 2009."
Item 6870-001-0001-For support of Board of
Governors of the California Community Colleges. I
reduce this item from $10,109,000 to $9,778,000 by
reducing:
(4.5) 97.20.001-Unallocated Reduction from -
$200,000 to -$531,000.
I am reducing this item by $331,000. However, I am
sustaining the remaining $500,000 legislative
augmentation for the purpose of ensuring sufficient
resources to fill key positions that are critical to
maintaining accountability and fiscal oversight
functions that will ensure the solvency of all districts. I
anticipate that the Chancellor's Office will be able to
accommodate the remaining reduction. While this
budget bill provides for a modest reserve in 2008-09, it
fails to make the necessary statutory spending
reductions and revenue increases needed to
eliminate the state's structural budget deficit going
forward. At the same time, constitutional
requirements, federal law and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is adequate to do so. Consequently --
and in order to further ensure that this budget remains
in balance -- I am taking the difficult but necessary
action reflected in this veto to further control state
spending.
Item 7980-001-0784-For support of California
Student Aid Commission. I reduce this item from
$1,000,000 to $500,000.
I am reducing $500,000 from the Federal Policy and
Program Division (FPPD) to align funding with the
FPPD's responsibilities and to preserve resources.
The current funding level exceeds what is necessary to
support the staff of the FPPD. Furthermore, any
savings that can be achieved in the Student Loan
Operating Fund will result in the program being more
valuable and thus result in additional General Fund
revenue upon the sale, or other transaction, involving
EdFund that is authorized by Chapter 182 of the
Statutes of 2007.
Item 7100-001-0514-For support of Employment
Development Department. I revise this item by
deleting Provision 5.
I am deleting Provision 5 which requires the
Employment Training Panel (Panel) to prioritize
funding for "green jobs" training. This language is
unnecessary because the Panel already identifies
clean technology products, services, and processes
as a priority in its strategic plan, providing more than
$6,900,000 to these industries.
Item 8140-001-0001-For support of State Public
Defender. I reduce this item from $11,551,000 to
$10,928,000 by reducing:
(1) 10-State Public Defender from $11,551,000 to
$10,928,000.
I am reducing this item by $623,000 for the Office of
the State Public Defender, which provides post-
conviction appellate representation in death penalty
cases. While this budget bill provides for a modest
reserve in 2008-09, it fails to make the
necessary statutory spending reductions
and revenue increases needed to eliminate the
state's structural budget deficit going forward. At the
same time, constitutional requirements, federal law
and court required payments drive the majority of the
spending in any budget, and limit my ability to reduce
spending. As a result, I have an obligation to reduce
spending when my veto power is adequate to do
so. Consequently -- and in order to further ensure that
this budget remains in balance -- I am taking the
difficult but necessary action reflected in this veto to
further control state spending.
Item 8570-001-0001-For support of Department of
Food and Agriculture. I reduce this item from
$83,730,000 to $80,341,000 by reducing:
(1) 11-Agricultural Plant and Animal Health; Pest
Prevention; Food Safety Services from
$128,861,000 to $125,472,000,
and by deleting Provision 5.
I am reducing this item by $3,389,000 and 8.6
personnel years for the Agricultural Plant and Animal
Health; Pest Prevention; Food Safety Services
Program. While this budget bill provides for a modest
reserve in 2008-09, it fails to make the necessary
statutory spending reductions and revenue increases
needed to eliminate the state's structural budget
deficit going forward. At the same time, constitutional
requirements, federal law and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is adequate to do so. Consequently --
and in order to further ensure that this budget remains
in balance -- I am taking the difficult but necessary
action reflected in this veto to further control state
spending.
I am deleting Provision 5 because the language is
unnecessarily restrictive. These funds are part of the
base budget for the Light Brown Apple Moth
Eradication Project and should be available for the
Department to allocate for use as necessary once the
toxicology study that was recently completed has
been reviewed and aerial spraying is determined to be
a safe tool for the Department to utilize in its
eradication efforts.
Item 8570-004-0001-For transfer by the Controller to
the Pierce's Disease Management Account. I reduce
this item from $4,380,000 to $4,150,000.
I am reducing this item by $230,000 for the Pierce's
Disease Control Program. While this budget bill
provides for a modest reserve in 2008-09, it fails to
make the necessary statutory spending reductions
and revenue increases needed to eliminate the state's
structural budget deficit going forward. At the same
time, constitutional requirements, federal law and
court required payments drive the majority of the
spending in any budget, and limit my ability to reduce
spending. As a result, I have an obligation to reduce
spending when my veto power is adequate to do so.
Consequently -- and in order for further ensure that
this budget remains in balance -- I am taking the
difficult but necessary action reflected in this veto to
further control state spending.
Item 8640-001-0001-For support of Political Reform
Act of 1974. I reduce this item from $2,745,000 to
$2,470,000 by reducing:
(1) 10-Secretary of State from $790,000 to
$711,000;
(2) 20-Franchise Tax Board from $1,747,000 to
$1,572,000; and
(3) 30-Department of Justice from $216,000 to
$195,000.
I am reducing this item by $275,000 for the Political
Reform Act of 1974. While this budget bill provides
for a modest reserve in 2008-09, it fails to make the
necessary statutory spending reductions and revenue
increases needed to eliminate the state's structural
budget deficit going forward. At the same time,
constitutional requirements, federal law and court
required payments drive the majority of the spending
in any budget, and limit my ability to reduce spending.
As a result, I have an obligation to reduce spending
when my veto power is adequate to do so.
Consequently -- and in order to further ensure that this
budget remains in balance -- I am taking the difficult
but necessary action reflected in this veto to further
control state spending.
Item 8940-001-1014-For support of Military
Department. I delete this item.
This item contains an appropriation from the
Emergency Response Fund, which was not
authorized in the final budget package. Therefore, I
must delete this item on a technical basis.
Item 9100-101-0001-For local assistance, Tax
Relief. I reduce this item from $693,885,000 to
$503,005,000 by deleting:
(1) 10-Senior Citizens' Property Tax Assistance
($40,562,000);
(3) 30-Senior Citizens Renters' Tax Assistance
($150,318,000);
and by deleting Provisions 2, 4, and 6.
I am also revising Provision 5 to conform to this action
as follows:
"5. Notwithstanding any other provision of law,
the Director of Finance may authorize
expenditures for Schedules (1), (2), (3), (4), and
(5) in excess of or less than the amount
appropriated not sooner than 30 days after
notification in writing of the necessity therefor is
provided to the chairpersons of the fiscal
committees of each house of the Legislature and
the Chairperson of the Joint Legislative Budget
Committee, or not sooner than whatever lesser
time the chairperson of the joint committee, or his
or her designee, may in each instance determine."
I am reducing this item by $190,880,000. While this
budget bill provides for a modest reserve in 2008-09, it
fails to make the necessary statutory spending
reductions and revenue increases needed to
eliminate the state's structural budget deficit going
forward. At the same time, constitutional
requirements, federal law and court required
payments drive the majority of the spending in any
budget, and limit my ability to reduce spending. As a
result, I have an obligation to reduce spending when
my veto power is adequate to do so. Consequently --
and in order to further ensure that this budget remains
in balance -- I am taking the difficult but necessary
action reflected in this veto to further control state
spending.
With the above deletions, revisions, and reductions, I
hereby approve Assembly Bill 1781.
ARNOLD SCHWARZENEGGER