Schwarzenegger invoke emergency powers to secure USD150mi US dollars in spending cuts without the legislature's approval.
Schwarzenegger declares fiscal crisis to impose spending cuts
www.chinaview.cn 2003-12-19 10:44:17
LOS ANGELES, Dec. 18 (Xinhuanet) -- California Governor Arnold Schwarzenegger on Thursday declared California to be in fiscal crisis in order to invoke emergency powers to secure 150 million US dollars in spending cuts without the legislature's approval.
@@"I was elected by the people of this state to lead. Since the legislative leadership refuses to act, I will act without them," Schwarzenegger said in Sacramento, the state capital.
Schwarzenegger said he would cut about 150 million dollars by the time the emergency powers expire on June 30, 2004, the end of the fiscal year.
The cuts announced include a 0.5 percent drop in support for the University of California and California State University systems, closure of a migrant farmworker housing center and decreased funding for the Department of Motor Vehicles.
Originally, Schwarzenegger proposed suspending a civil rights measure that guarantees care for the disabled, but was forced to withdraw the proposal after strong protests from care providers.
The cuts will free up money for city and county governments that have lost more than 300 million dollars since Schwarzenegger scrapped a law on tripling car taxes.
Schwarzenegger, the former Hollywood action star who swept to power in the Oct. 7 recall vote, repealed the car tax hike immediately after he took office in November. But the decision cutbillions of dollars in tax revenues that would have been used for local government services, particularly police and fire services.
Some legislators said Thursday they were surprised by Schwarzenegger's emergency declaration and said it was the wrong way to react to budget problems.
"I think a lot of us are worried about where he's going to get the money from," said Democratic Assemblyman Joe Nation. "I don't think you get yourself out of a hole by digging deeper - his action just means that there will be more devastating cuts down the road."
Only last week, Schwarzenegger reached agreement with the Democrat-controlled legislature which approved issuing a 15 billion dollar bond and setting a new spending limit. The measure will be put to vote in March. Enditem |
