The California Partnership

  Issues

2003 State Budget Platform
for more information, call Rebecca Vilkomerson at 415.572.1445 or Alicia Lepe at (562) 862-2070 x 304

We call upon the members of the California State Legislature to fight to save the critical safety net services of last resort for low and moderate income Californians. All Californians need access to medical care, childcare and a basic safety net. Governor Davis’ proposed cuts will make it harder for people to climb out of poverty. Don’t balance the budget on the backs of poor Californians! We need to raise revenues by taxing wealthy individuals and corporations, not just by cutting safety net programs.

[platform continued below]

 
  Join the CA Partnership Action Alerts Press
  Donate to the CAP Issues Español
  Publications  Contact Us CAP Home
 
c. 2003 California Partnership
8201 Fourth St., Suite G, Downey, CA 90241
(562) 862-2070
 

* Don’t Reduce the CalWORKS/SSI Grant by 6%. Don’t Suspend the CalWORKs/SSI Cost of
Living Adjustment (COLA).

  • There are no general fund savings from the cuts.
  • CalWORKs recipients’ income will decrease from an average of $663 to $617 per month if their grant is reduced and an additional $41 if the COLAs are suspended.
  • Over 1 million aged, blind and disabled rely on SSI/SSP for basic subsistence
  • SSI recipients’ income will decrease from an average of $757 to $722/month if their grant is reduced and an additional $22 if the COLAs are suspended. They are not eligible for food stamps.

* Don’t reinstate Quarterly Status Reports (QSRs). Don’t reduce MediCal Eligibility (1931B
Parents)

  • Approximately 250,000 working families eligible for Medi-Cal would lose coverage because of administrative QSR requirements and would be a great bureaucratic burden for counties.
  • The public health system does not have the capacity to care for people without Medi-Cal
  • Interrupted health coverage increases overall health costs.
  • Reducing eligibility from 100% of the poverty line to 61% of the poverty line (making parents whose households earn between $9,000 and $15,000 a year ineligible) means that approximately 350,000 parents will no longer be eligible between now and June 2004 and ultimately 700,000.

*Don’t cut child care for newly working families

  • Will punish families who have successfully moved from welfare to work and will force many parents who have jobs to go back on welfare.
  • 55,000 children in 29,000 families would be affected initially, more as CalWORKs time limits continue to take effect.

*Realignment: Could lead to reduced access to safety net programs

  • We view with concern the Governor’s plan to shift funding for state programs to county governments, including child care, some immigrant programs, Medi-Cal, and parts of the CalWORKS program. These proposals appear to create an incentive for counties to make access to these safety net programs harder, may place a bigger financial burden on counties in future years, and raise serious questions about the responsibility of the state to maintain standards for 58 county programs.

* Revenue: Don’t balance the budget on the backs of poor people, the wealthy and corporations
must pay their fair share

  • Substantial tax cuts were enacted during the economic boom years of the last decade.
  • Cutting programs and services to the most vulnerable will have long-term impacts that will end up costing California more.
  • We support the Governor’s proposal to raise the income tax on the top tax brackets, which would increase revenue by $2.5 billion. The remaining portions of his tax package are regressive and will further hurt low-income families.
  • We support other revenue options suggested by the Legislative Analyst’s Office, such as: eliminating the Manufacturer’s Business Investment Credit ($400 million annual additional revenue), suspending the Research and Development Credit ($770 million this budget year), and restricting the Subchapter S Corporation Treatment (between $785 and $1 billion revenue annually).
  • We support LAO recommendations to free 20,000 prison beds by making minor adjustments in prison/parole policies for non-violent offenders, which would save $373.5 million, and legislative efforts (AB 231 and AB 1057) to eliminate the costly and inefficient fingerprinting of CalWORKS and foodstamp recipients (saving between $10 and $51 million per year).
  • We support legislative efforts to reinstate the Vehicle License Fee to 1998 levels ($4.7 billion).
  Join the CA Partnership Action Alerts Issues Español
  Donate to the CAP Publications Contact Us CAP Home
 
c. 2003 California Partnership
8201 Fourth St., Suite G, Downey, CA 90241
(562) 862-2070