With fairly recent proposals for the State to further shift revenues from local governments, including special districts, still fresh, and after careful deliberations, the CSDA Board of Directors voted to join the California Budget Reform Now Coalition in support of Propositions 1A through 1F.
The CSDA Legislative Committee had previously made the recommendation to the board to support all of the propositions. Passed by the Legislature in February as part of the state budget compromise, these propositions seek to fill significant revenue gaps and begin to develop reforms in the process.
CSDA recognizes that the propositions don’t necessarily provide the ideal or completely comprehensive structural reforms needed in the state budget, however they are the core options on the table at this point to assist in repairing the state’s staggering deficits.
Equally important, if they don’t pass, districts will certainly be at risk for further shifts or borrowing that would continue to erode revenues at the local level.
Through the suspension of Proposition 1A (2004) – which puts limitations on the state’s ability to take money from local governments – the State can still declare a fiscal emergency and “borrow” billions from local governments. CSDA has strongly opposed a suspension of Proposition 1A (2004) and it continues to be one of our top priorities. Considering the difficulties many districts are facing this year from the economic situation and housing crisis, a shift of revenues would be devastating.
To that end, CSDA has joined the Coalition in support of these measures on the May 19 ballot.
The measures are supported by a broad coalition of prominent statewide business, taxpayer, local government and public safety groups as well as a bipartisan group of current and former state and local elected officials. For more information about the propositions and coalition, go to www.cabudgetreformnow.com.