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HomeMy WebLinkAboutLa Malfa LetterSTATE CAPITOL ROOM 3070 SACRAMENTO. CA 95814 (9 ] 6) 65 I -4004 5800 STANFORD RANCF-I ROAD SUI"{E 726 ROCKLIN, CA 95765 (91 6) 435-0744 1550 MYERS STREET SUITE C OROVILLE, CA 95965 (530) 532-5860 2885 CHURN CREEK ROAD SUITE C REDDING, CA 96002 {530) 225-3 ] 42 1080 MA50N MALL SUITE 4 CRESCENT CITY, CA 95531 (707} 464-1255 C~~xXY~.axxt~~ ~5~~x~.e ~5~x~~t~~ SENATOR DOUG LA MALFA FOURTI-E SENATE DISTRICT ,~q SE d I 4 COMMITTEES NATURAL RESOURCES & WATER VICE-CHAIR ELECTIONS & CONSTITUTIONAL AMENDMENTS VICE-CHAIR AGRICULTURE BUDGET & FISCAL REVIEW GOVERNANCE & F[NANCE JOINT LEGISLATIVE AUDIT JOINT FAIRS, ALLOCATIONS & CLASSIFICATIONS CHAIR August 5, 2011 BQARD Of Si1PERVISORS Mr. Steve Lambert AUG 10 201' 25 County Center Dr Ste 200 Oroville, CA 95965-3365 ORDVILLE, CAl~fFORNfA Dear Mr. Lambert: Thank you for contacting my office to convey your views and concerns relative to the state budget. The Legislature has sent the Governor a spending plan that relies on an additional $4 billion in revenue and contains "triggers" to impose pre-set spending reductions in specific areas if revenues do not materialize; however, it is important to note that the revenue assessment will not be conducted until December and the "trigger" reductions will not take effect until February. The remaining deficit will be rolled into next year's budget. The sales, income and vehicle license fee increases imposed in 2oog expired as of July i, reducing the average tax burden for a family of four by about $1,000 annually. Efforts to place afive-year extension of the temporary taxes of 2oog could have been approved in both houses if an initiative to reform state pensions and another to impose a hard spending cap based on population growth and inflation were included on the same ballot. This effort was rejected. There was no agreement on a "bridge tax" sought by the Governor, whereby the state would maintain the "temporary" tax rates, continue to collect and keep any tax revenues collected before obtaining voter approval. This proposal was unsupportable. There are several provisions in the plan that may violate state law and will likely face litigation. The budget contains a tax "flip" intended to shift revenue from one source to another while avoiding the provisions of Proposition g8 (that requires that 40% of all new revenue be appropriated for education). The budget also includes a $12 annual per-vehicle licensing "fee" increase, and aper-dwelling State Recreation Area fire protection "fee" that will affect many of my rural constituents. Since the funds collected are for a general purpose rather than used to provide a direct benefit to the payer these "fees" are actually taxes that violate the intent of Proposition i3, which requires atwo-thirds vote of approval of both houses of the Legislature. Proposition 26, approved by voters last year, further clarified these limitations to prohibit public officials from calling a tax a fee to avoid meeting the legal vote threshold. Page z As the representative for the Fourth Senate District, my objective has been to represent the best interests of the people I serve and to hold to the priorities that will bring lasting recovery and long-term economic stability. With regard to parks in particular, the Governor's budget includes General Fund reductions for state parks of $xx million in ~oix-1~ and $~~ million ongoing. Furthermore, the budget includes language that requires the department to achieve General Fund reductions through full or partial park closures and service reductions. The Department of Parks and Recreation indicated that ~o parks would be closed by July x, 2ox2, but the state would still retain g2 percent of today's attendance, 94 percent of existing revenues, and keep 20$ parlts'open. The department has not released all details specifying how the savings will be achieved, so the plan remains unclear. In the meantime, my staff and I are still looking into creative means of keeping several popular parks in the district open. The department is now indicating that it will seek partnership agreements to keep as many parks open as possible. These partnerships should have been created prior to deciding to close state parks. It's been very clear since voters rejected Proposition 2x (VLF park fee) last year that the department would need a new operating plan. Several legislators have offered alternatives which would allow local governments ornon-profits to contract with the state to manage parks slated for closure, but these have so far been rejected. Unfortunately, AS x2o, a trailer bill, will make it easier for people to sue the state if they get hurt in closed or partially closed parks. Governor Brown recently signed AB x2o into law. Additional information on the closure process and a list of the parks slated for closure can be found by accessing the following webpage: http://www.parks.ca.gov/pages/~x2/files/2oxxparkclosures_attachmentsaoxxo5x8.pdf I trust this information is helpful. Please feel free to contact my office whenever my staff or I may be of service. Again, thank you for taking the time to relay your views on these important issues facing our state. Sincerely, / ~ ~-` Doug LaMalfa SENATOR, Fourth District DL:cb