For decades working out a budget for the state of California has been a convoluted mess. Hefty surpluses in good times have been followed by cavernous deficits in bad times. This year started out with a $73 billion deficit for fiscal year 2024-25, which began on July 1. It ended with the Legislature passing, and Gov. Gavin Newsom signing, 19 budget bills totaling 2,100 pages.
The Sacramento Bee on July 11 reported budget analysts still are discovering exactly what is in that labyrinthine mess, in which lawmakers “maybe unknowingly, approved some pet priorities of Gov. Gavin Newsom” because he “has a history of tucking policy priorities into budget bills.” That lets him limit public debate, get the spending to take effect immediately and secure support from the Democratic supermajority – more than two-thirds – in both the Assembly and Senate.
The Republican superminority – less than two-thirds – has close to no say because it takes two-thirds to pass some budget matters, including raising taxes.
One anonymous Democratic legislator grumbled to the Bee, “It’s kind of offensive when the governor and legislative leaders basically say, ‘We don’t give a s— what anyone thinks, this is what we’re doing.’”
“Why are they complaining?” former state Sen. John Moorlach asked. He currently is the director of the Center for Public Accountability at the California Policy Center. “It’s either they don’t have the guts to challenge the party leadership, or they don’t even read the bills because their staff does. Probably a combination of both.” He was in office after the 2018 election when Republicans in the Senate dropped below two-thirds threshold, at least 14 of 40 seats. He remembered how his influence, as the only CPA in the Legislature at that time, quickly waned.
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The Bee article mentioned how the budget almost entirely is crafted by what’s called the Gang of Three – the governor and the two leaders in the Legislature, currently Senate President Mike McGuire, D-Healdsburg, and Assembly Speaker Robert Rivas, D-Hollister. Moorlach said there used to be a check on total Democratic power when Republicans held one-third or more of the seats and budget negotiations included the Republican Assembly and Senate minority leaders –the Gang of Five.
CalMatters added context in a June 15 report on the real power in the state: the public-employee unions. Just one, the Correctional Peace Officers Association – prison guards – has given Newsom campaigns $2.9 million since he was elected in 2019. No wonder last year he gave them $1 billion in raises. And the Legislative Analyst’s Office calculated it now costs $132,860 to house each inmate. Might as well put them up in luxury beach condos. In 2020 the CCPOA also gave $1 million to state Sen. Dave Min, D-Irvine, when he defeated Moorlach in a close race. Min now is running for U.S. Congress.
“I guess it’s the dilemma of this state,” Moorlach lamented. “It’s the massive power these unions have and you can’t do much about it.” Until that changes, don’t expect rational budgets in California.