Schwarzenegger move blasted (charges of "unilateralism" fly)
OFFICE OF THE GOVERNOR
FOR IMMEDIATE RELEASE 12/18/2003
Governor Provides Immediate Funding For Counties, Cities 12/18/03
SACRAMENTO - Governor Arnold Schwarzenegger today exercised his executive branch power to ensure that scheduled payments will be made to cities and counties.
"I was elected by the people of this state to lead; since the Legislative leadership refuses to act, I will act without them," said Governor Schwarzenegger. "We must protect the people in this state and give the cities and counties the money we owe them."
Flanked by law enforcement, fire personnel, and supervisors, the Governor today announced his decision to invoke mid-year budget authority granted to the Governor by the Legislature. Section 27 of the 2003 Budget Act allows the Governor to spend approximately $2.7 billion for local governments over the balance of the current budget year.
The section also gives the Governor new authority to redirect up to five percent of a specific appropriation item into another category. Schwarzenegger invoked this new authority to redirect nearly $150 million in current-year spending to provide funds to local governments.
The Governor also announced that the Department of Finance has informed him that revenue receipts and projections through the end of this fiscal year will be $1.8 billion higher than anticipated.
"I support local governments here today just as I did when the mayors of the state visited the Capitol weeks ago," said the Governor. "I had the responsibility to correct the error of the previous administration."
This action upholds the Governor's promise to provide local governments with the funds for essential local services -- including fire and police services. Attached is a copy of Finance Director Arduin's letter to the Legislature notifying them that the Administration is invoking the authorities under Section 27.