LegAlert #97-12

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Wilson's Power Play Jeopardizes the Environment
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Governor Wilson has sparked the outrage of environmentalists,
local governments, and advocates for immigrants and the poor
throughout the state. The "neutron bomb" dropped by the
Governor late in budget negotiations has created a $1.36 billion
hole in the 1997-98 state budget. Among the many programs
threatened is $100 million in environmental and park funding that
was ALREADY APPROVED by the Legislature's Budget
Conference Committee.

After failing to convince Democrats in the Legislature to accept his
$1 billion personal income tax cut proposal, the Governor broke off
negotiations and made a secret, non-debatable, unilateral decision
to make immediate, full payment on the state's $1.36 billion debt to
the Public Employee Retirement System. Intended as a move to
avoid granting state employees a wage increase, the power play in
effect will remove from the budget all new spending initiatives.

Environmentalists have won some significant victories in the
Legislature so far this year, and many substantial new protection
and restoration initiatives have a strong chance of reaching the
Governor's desk. This legislation is now at risk, however, without
the funding to implement it. The Sierra Club has worked on dozens
of bills this year which contain both policy improvements and
funding allocations. These bills may now fail to pass due to the
inability to fund them, and the policy improvements will be lost.

In the Legislature's original budget proposal, over $100 million was
allocated for the environment and parks. In addition, the Natural
Resource Infrastructure Fund (NRIF) was proposed, which would
add about $60-90 million each year for the environment by
dedicating the state's tideland oil revenues to natural resources
projects. ALL OF THAT FUNDING IS NOW AT RISK.

The Department of Finance has issued a proposed cut list totaling
$1.7 billion, including over $80 million that would be dedicated for
coastal issues. A Senate-Assembly conference committee will meet
over the next few days to create their own spending proposal,
which by necessity will also include substantial cuts in order to
balance the budget. Legislative leaders need to hear from
environmentalists that natural resources funding must be
maintained, even if at reduced levels.

STATUS: Legislators will be negotiating their own revised budget
proposal over the next few days -- possibly including the weekend.
The Legislature is anxious to settle the budget impasse, and
members may give up some of their goals in order to come to an
agreement with the Administration.

ACTION NEEDED: Call Senate President Bill Lockyer (916/445-
6671), Assembly Speaker Cruz Bustamente (916/445-8514), and
your own Senator and Assemblymember and urge them to:

- Work to save as much of the new environmental funding as
possible from the Legislature's original budget proposal; and
- Approve the "trailer bill" that establishes the Natural Resources
Infrastructure Fund, so that tideland oil revenues will be dedicated
to conservation purposes in this year's and in future state budgets.

If possible, please also contact Senator Mike Thompson (916/445-
3375) and Assemblymember Denise Ducheny (916/445-7556), co-
chairs of the Budget Conference Committee.

These decisions are being made NOW, so please call as soon as
possible!

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To find out who your state legislators are, call:
(916) 445-3614 (Assembly)
(916) 445-4251 (Senate)

To find out the email addresses for your state legislators, check the
following Web pages:
http://www.assembly.ca.gov/acs/acsframeset7.htm
http://www.sen.ca.gov/htbin/seninfo/sen.senator

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