From reading MSM reports this morning while putting together the website, it sure sounds like there is a budget deal, although details have yet to be presented by the "Big 4" to their respective caucuses. It sounds like this deal can best be summed up as "No new taxes, mostly, and not enough cuts."
On the new taxes side of things, NOT in this plan based on what I have read are the outrageous proposals by Democrats for a massive income tax hike, or the disappointing proposal by the Governor for a massive sales tax increase. Still present, however, and quite disturbing is a de facto tax increase on California businesses (an estimated $300 million++ bit) reducing their ability to write off losses.
According to reports, it would appear that while the best interests of California would be to have more cuts in state government, such as proposed by legislative Republicans, this budget comes up with a myriad of various one-time accounting gimmicks and other "creative ideas" to close the budget gap — so there will be a game of "kick the can" to the upcoming state budget (which will actually be introduced by the Governor in just a few months!).
The budget reforms insisted upon by the Governor? Apparently some are still there, in a watered-down fashion, reflecting the fact that this current proposal is a product of legislative, and not Gubernatorial negotiations. Democrats want to limit spending cuts. Republicans want to hold the line on taxes.
It remains to be seen what all of the details truly are, whether the caucuses will sign off on the plan, whether there are enough votes given that liberals and conservatives (like us!) can find plenty of reasons to vote against this compromise (but I guess that is the nature of a compromise).
The Governor, of course, can use his veto pen if he is unhappy with it. But of course the same 2/3 vote to pass a budget can also be used to override a veto…
I will close by saying this — if there is truly a budget with no new taxes that is brought forward (come on, let’s get that business tax hike out of there!), then it is a great victory for Republicans, given their minority status in the legislature. It is also a victory for taxpayers, and a reaffirmation of the important, positive process that voters placed in the Constitution — requiring 2/3rds votes for tax increases, and to pass a budget.
As Matt Drudge says… DEVELOPING….