Zev Yaroslavsky on the State Budget
an urgent message

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URGENT MESSAGE FROM
SUPERVISOR YAROSLAVSKY
ON THE STATE BUDGET

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I have received numerous calls, letters and e-mails asking about the Governor's budget proposal and its impact on local government. I wanted to share my thoughts with you at this very early stage in the budget debate.

California finds itself in today's financial mess because for the past several years, state government has been spending more than it was taking in. While Gov. Schwarzenegger bears no direct responsibility for creating this debacle, as the state's Chief Executive he bears a large responsibility for fixing it. I share the Governor's assessment of the situation that the state must learn to live within its means. Failure to do so will only push the deficits higher and threaten California with bankruptcy. Moreover, I agree with the Governor that the state needs a long-term policy that insures fiscal solvency and stability. California's failure to engage this issue has driven down the state's bond ratings to a notch above "junk" status, burdening taxpayers with billions of dollars in added interest costs just to borrow money for legitimate purposes.

However, it's simply wrong for the Governor to balance the state budget by robbing cities and counties of hundreds of millions of dollars in local property taxes to meet the state's own spending obligations. We pay our local taxes to our local jurisdictions for police, fire, paramedic, library and other vital municipal services. For the State of California to reach into local governments' treasuries in order to cover its expenses is nothing more than an old fashioned heist.

It's not the state's money; it's your City and County's money.

Taking local property taxes threatens our ability to provide these vital services. Those of us in local government are required annually not only to present balanced budgets, but also to implement them. Deficit spending is strictly forbidden.

Here in the County of Los Angeles, we routinely make difficult and politically painful decisions to cut spending, and even to raise revenues when necessary. In so doing, the County - which stood on the brink of fiscal oblivion barely eight short years ago - has turned its fortunes around. We have adopted responsible budgets and established a prudent reserve. We have been able to meet most of our critical obligations and respond periodically to massive emergencies such as earthquakes, brush fires or floods.

Most cities and counties around the state can say the same. It appears to me that our County and other local governments statewide are essentially being punished for their prudence by a state government eager to plug a $15 billion dollar state deficit caused by the carelessness of the state itself.

That's why Mayors, County Supervisors, Sheriffs and District Attorneys throughout the state have responded so angrily to the Governor's proposed budget. I am committed to fighting this property tax shift. It strikes at the heart of the most basic services Los Angeles County and City government provide.

State officials say that local government should "share in the pain" of the State's deficit solutions, but we have already borne the pain of balancing our budget as the law requires. We're living within our means; we must not be pressed into service so that the state can live beyond its means.

There is a great deal at stake in the pending budget battle. On the local level, our budget uncertainties are challenging enough without continually jeopardizing our local property taxes.

Please let the Governor and your state representatives know how you feel, and show them that you're paying attention. Remind them that taking our money does nothing to solve their budget problems; it just allows them to continue their profligate spending at our expense.

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EDITOR'S NOTE: The article above was a portion of Supervisor Zev Yaroslavsky's Third District Diapatch #3, from Jan-Feb 2004, his e-mail newsletter for Third District constituents. At your request, you can hear from him regularly with news and information of potential interest to residents in the Third Supervisorial District.

You are invited you to bookmark and visit his home page at http://zev.co.la.ca.us; please feel free to contact Zev by e-mail at zev@bos.co.la.ca.us. Should you need to request constituent assistance for any County-related problem in the Third District, just click here: http://zev.co.la.ca.us/forms/touch.htm#constituent.