State Budget

| | |

What’s in a name?

Byuclafaculty

A prior post on this blog noted that Governor Brown had submitted an initiative for temporary taxes entitled “The Schools and Local Public Safety Act.” (That may not be the title that appears on the ballot which is set by the attorney general.) It was also noted that perusing the text of the act suggested it was aimed at K-14 funding, i.e., higher ed was in it only at the community college level. However, to get the initiative on the ballot – and then run a campaign to get it passed – Brown will need a lot of money. The…

| | |

Rosy Scenario on State Budget Likely to Be Ending Soon

Byuclafaculty

The Sacramento Bee points out today that the process of re-examining the rosy scenario budget forecast on revenues will soon be coming to an end. As readers of this blog know, the governor was unable to get GOP support for putting tax extensions on the ballot. But under new procedures approved by voters, only a simple majority was needed to pass a budget even though 2/3 was needed for the taxes. So extra revenue was assumed and the budget was passed. However, a trigger mechanism was included to cut expenditures if revenue assumptions were not met. Since then, it has…

|

State Budget:Ups and Downs

Byuclafaculty

The latest cash report of the state controller reports ups and downs. Unfortunately, the up is more expenditure than expected through November (expected when the budget was passed in June) to the tune of almost $2 billion. And the down in that period is revenues, down by a little over $1 billion than had been forecast. As prior posts have indicated, automatic trigger cuts in the budget are very likely which will cost UC $100 million. The report is at http://sco.ca.gov/Files-ARD/CASH/fy1112_nov.pdf

| |

The Governor’s Open (Electronic) Letter on His Tax Initiative

Byuclafaculty

Governor Jerry Brown has sent out a mass email regarding plans – that have been reported in the news media – to file a tax initiative. The same message was posted on his official website. The key word is “initiative” since – as last year’s budget process indicated – he would be unlikely to get a two-thirds vote in the legislature to put the proposition on the ballot. He is planning to go the signature route, which means he has – or expects to have – the $1-$2 million needed to pay signature gathering firms. The initiative would go on…

| | | |

Another Pepper Apology? Let’s Focus Instead on the UC Budget

Byuclafaculty

The UC-Davis chancellor has now apologized for the pepper spray incident last Friday. Meanwhile, the Washington Post reports that the incident has gone viral with creative images such as the one above on the web. See http://www.washingtonpost.com/blogs/arts-post/post/pepper-spray-cop-works-his-way-through-art-history/2011/11/21/gIQA4XBmhN_blog.html Below is video of the chancellor’s apology. A story about it is at: http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2011/11/22/MNK71M2548.DTL As noted in last night’s blog post, instead of trying to regain “control” via crisis management techniques, it would be nice if the Regents and the powers-that-be at UC focused instead on the ongoing UC budget emergency. Please see last night’s blog posting for a link to the UCLA…

| | |

Tax Leak

Byuclafaculty

Over the weekend, a group going by the name “Think Long” started leaking plans to put something on the ballot in 2012 that would revamp the California tax system and raise more funding. It is funded by billionaires so getting the signatures (typically at a cost of $1-$2 million) won’t be a problem. Even a big campaign for the votes – tens of millions can be involved especially for TV advertising – can be handled. Example of the leak/preview from the LA Times: Joining the battle over California taxes, a group of billionaires and political insiders say they will place…

| | | | |

PPIC Poll on Public Higher Ed in California

Byuclafaculty

The charts above come from a poll taken by the Public Policy Institute of California available at: http://www.ppic.org/content/pubs/survey/S_1111MBS.pdf [Click on the table above to enlarge it or go to the report itself.] You can interpret the charts as you like. As the saying goes, an optimist is someone who thinks we are in the best of all possible worlds – and a pessimist is also someone who thinks we are in the best of all possible worlds.

| | | |

It Sure Looks Like the Trigger Is Going to be Pulled

Byuclafaculty

There is an advance report from the Sacramento Bee that the Legislative Analyst later today will be announcing that projections of revenue will fall sufficiently short of assumptions to fire the budget trigger – which further chops the UC budget this year. By itself, just the LAO projection does not fire the trigger but it is part of the mechanism. The LAO report is not yet posted. From the Bee: California would impose $2 billion in mid-year “trigger” cuts next month, mostly through K-12 school reductions, under a new revenue forecast issued this morning by the nonpartisan Legislative Analyst’s Office……

| |

Controller Warns of Budget Trigger

Byuclafaculty

State Controller John Chiang today released his cash statement for the first 4 months of fiscal year 2011-12. Tax revenue is falling short of projections by about $1.5 billion. He warned that weak revenue inflows are raising the likelihood that the budget trigger will fire, further cutting UC’s budget. See http://sco.ca.gov/Files-ARD/CASH/fy1112_oct.pdf and http://sco.ca.gov/Files-EO/11-11summary.pdf

| | |

CSU Offers Negotiating 101: Maybe UC Should Enroll

Byuclafaculty

President Yudof gave assurance in advance of the event that if the legislative “trigger” is pulled – and cuts are therefore made in the UC budget – there won’t be a midyear tuition increase. Some might see this assurance as an invitation to be shot. President Yudof is apparently going to offer the Regents a budget plan for next year with the assurance that if the state grants it as proposed, there will be no tuition increase next year. He does not say what will happen to tuition if the budget plan (and the increase contained in it relative to…