Sacramento Bee columnist Dan Walters writes that cutting prison expenses is necessary to fix the budget. He also discusses the impact of the vehicle license fee that Schwarzenegger cut when he came into office.

Sacramento Superior Court Judge Patrick Marlette has ruled Gov. Schwarzenegger can furlough state workers and ordered Controller John Chiang to implement the furlough plan. The furlough will cut state workers' pay by about 10 percent until June 30, 2010. We will update this information as it becomes available. The Sacramento Bee's story quotes a response by Chaing. In the meantime, we would like to have your comments. You must be registered and logged in to comment, but registration is easy and free. You'll be able to read others' comments, too.

Gov. Schwarzenegger said yesterday if he loses the case to implement the furloughs, he will lay off state workers. The Sacramento Bee quotes the governor as saying, "I have the authority as the governor ... to lay off the amount of people necessary."

We're focused on Gov. Schwarzenegger's furlough plan, but member Bill Rigole of CDVA alerted us to this interesting article from MSNBC online giving a more national perspective. The article, by Eve Tahmincioglu in MSNBC's "Your Career" column, doesn't say furloughs are illegal, but it does caution there are "clear no-nos under federal and state labor laws." They're worth reading.

The Sacramento Bee has laid out an easy-to-follow guide on the hearing in Sacramento Superior Court tomorrow on the labor unions' challenge to the governor's furlough plan. It lists players, history, elements of the governor's proposal and a bit of legal background. ACSS is not a party to the lawsuit but is planning to file a "friend of the court" brief in support of the challengers.

The Ventura County Star has published an excellent column by Thomas Elias pointing out the gross inequities of the budget cuts. A 10 percent pay cut hurts low-income state workers far more than it does the six-figure ones. Corporations get property tax breaks of billions of dollars a year, yet public school children (but not necessarily private school kids) are being cheated out of school days. If a couple of major loopholes were closed and the vehicle licensing fee were restored, Elias says, the budget shortfall could be nearly resolved. (Thanks to Vice President Arlene Espinoza for passing this along to us.)

The 2009 CSEA Women's Conference celebrates women "Reaching New Heights Together" March 27-29. The weekend begins with a Friday evening reception, 7 to 9 p.m., welcoming special guests Lt. Gov. John Garamendi and his wife, Patti Garamendi. Saturday features workshops designed to promote women's leadership skills, including networking tips, technology and financial planning. A Sunday brunch will be enlivened by motivational speaker (and humorist) Dixie Schneider. Registration is $165. Detailed information and a registration form are in the event brochure at the above link.

CAPT, the California Association of Psychiatric Technicians, has filed a lawsuit contending the governor's furlough proposal is illegal. The suit argues psych techs would have to work their regular shifts in 24-hour facilities because staffing is tight, which would result in a 10 percent paycut without time off. According to the suit, this violates the Fair Labor Standards Act. No hearing date has been set.

State Controller John Chiang says he will defer payments on $3.7 billion worth of bills beginning next Sunday if a budget isn't approved. Some of the hits: Income tax refunds and student aid. Payments to schools and interest payments to state bondholders cannot be deferred. If IOUs are issued, they will not go to state workers.

A new analysis in The Sacramento Bee shows California would get $21.5 billion under the federal government's economic stimulus plan, the most of any state. The House is expected to approve the plan next week. Nearly $5 billion of California's money would go to education. An estimated $4.5 billion would go to infrastructure such as highways and bridges. The governor says he is not recalibrating his budget to take the stimulus money into account.

ACSS board members and staff met in a meet-and-confer with Julie Chapman, a deputy director of DPA, to get information for members on the order to furlough state workers and cut two holidays. Led by Bonnie Morris, senior labor relations rep, the group got some answers to such questions as whether departments can now rescind their alternate work schedules and whether there are options for furlough schedules.

According to The Sacramento Bee, some Republican lawmakers now say they are willing to consider a tax hike to help resolve the budget crisis. They want concessions from the Democrats, though.

The Sacramento Bee State Worker columnist Jon Ortiz looks at some of the dilemmas the furloughs would raise.

Saying the furloughs were illegal, State Controller John Chiang said today he will refuse to implement the paycuts for state workers, as ordered by the governor in December, according to The Sacramento Bee. Chiang filed court documents Tuesday arguing the furlough plan is illegal.

CalPERS has named Joseph A. Dear as its next chief investment officer. Dear comes to CalPERS from the Washington State Investment Board. CalPERS is the nation's larges public employee pension and health care provider.

Despite budget hard times, Gov. Schwarzenegger has appointed two former Assembly members, one a Republican and the other a Democrat, to six-figure board positions. So far, the governor has named six former legislators to similar high-paying positions since the election.

The State Worker blog today contains several items of interest to state workers: Four agencies -- the Office of the State Chief Information Officer, the Office of Information Security and Privacy Protection, the Department of Technology Services and the telecommunications division of the Department of General Services -- may be consolidated into one. Estimated savings: $1.5 billion.

Scroll down for more items (in order) on: CalPERS' position on furloughs ("wait and see"), the protest at the Capitol Wednesday, the legality of a DPA outsourcing deal, the status of exemptions and hiring in the wake of the furloughs. There's been so much state worker new ACSS' impeachment story has been edged off the page.

The legality of the Democrats' plan to bypass the two-thirds majority requirement is "very questionable," says Sacramento Bee columnist Dan Walters.

According to a Sacramento Bee article, Gov. Schwarzeneggers' State of the State speech asked only for a solution to the budget crisis. The governor warned the state is within weeks of not having enough cash to pay its bills.

Note: The Jan. 13 State Worker column in The Sacramento Bee has noted our call to impeachment.

At its quarterly meeting Jan. 11, the ACSS board of directors voted unanimously to call for the impeachment of Gov. Schwarzenegger. “His inability to pass a budget is placing California in financial jeopardy, and his order to cut state workers’ pay by 10 percent, to place the burden of balancing the budget on our backs, is an act of malfeasance,” said President Olin King. Read the press release ACSS sent here.

Only the Legislature can impeach the governor. ACSS urges you to contact your legislators, by mail, email or telephone, to demand they begin impeachment proceedings. You can use our Legislative Action Center to write an email that will automatically be sent to your representatives. You’ll find a letter already written (which you can edit or overwrite).

You do not have to be a member or even a state worker to use this action center, nor do you have to sign in. Invite your coworkers and friends to contact their legislators as well.

According to the Associated Press on msnbc.com, more people are moving out of California than moving into it. They're even trading ocean sunshine for snowy winters. The budget problems are part of the story.

If you work for Lt. Gov. John Garamendi, Attorney General Jerry Brown or state Treasurer Bill Lockyer, you're in luck. According to The Sacramento Bee, the three state officials will not furlough their employees. Lockyer challenged the legality of the furloughs. Jerry Brown will implement "alternative measures." Our favorite State Worker columnist, Jon Ortiz, has published an internal memo from Brown's office.

ACSS' first quarterly meeting of 2009 begins today with committee meetings and continues through Sunday morning. The meeting is in Sacramento at the Radisson Hotel, 500 Leisure Lane (916-920-7362). The agenda features a Blue Shield representative during the Presidents Forum Saturday morning and a panel of speakers on retirement issues Saturday afternoon. Click the headline to see the full agenda.

A Sacramento Bee alert reports that a lawsuit filed by the Professional Engineers in California Government and the California Association of Professional Scientists, seeking to block the governor's executive order, will be argued in court today. The organizations are challenging the governor's authority to force furloughs on state workers.

Legislative Analyst Mac Taylor issued a report today saying the governor's latest budget proposal relies on risky borrowing assumptions that could make closing the $40 billion gap even harder if they don't pan out. The Legislative Analyst's Office is nonpartisan. A Sacramento Bee article quoted Taylor as saying the problem is now "colossal." In a January 9 follow-up, The Sacramento Bee reports the Legislative Analyst is proposing that voters should decide whether or which taxes should be raised, perhaps as early as an April election.

State Worker columnist Jon Ortiz taps a nerve with state workers when he asks how they feel about the governor's handling of the budget crisis.

In the never-ending battle to close the budget gap, Gov. Schwarzenegger has vetoed the Democrats' plan that he said fell short of meeting his demands. The plan passed the Legislature with a simple majority vote because Democrats said it contained tax increases that did not require the two-thirds approval. The governor explained his action in a joint letter to Senate President Pro Tem Darrell Steinberg and Assembly Speaker Karen Bass.

As state agencies determine how to impelement the governor's furlough plan, State Worker columnist Jon Ortiz reports at sacbee.com that Cal/EPA is planning to close two Fridays a month. Other agencies may need to keep services available every day. Ortiz also reports that the Franchise Tax Board and Board of Equalization may be exempt from the furlough because they bring in revenue.

One of the casualties in the governor's 2009 budget proposal to close the $40 billion shortfall is the California Conservation Corps. The plan would eliminate the state CCC and reassign its responsibilities to local nonprofit groups. The CCC hires young adults to age 25 to help respond to disasters. Many of them live in state-owned residences. One director says the local CCC groups are not prepared to respond to emergencies.

The governor's plan also would eliminate or combine several state boards to "eliminate duplication."

For more information, read a Jan. 2 Sacramento Bee article and the governor's full budget proposal (in pdf format).

The governor's budget proposal would close the $40 billion deficit over the next 18 months partly on the backs of state workers. The proposal cuts $1.7 billion by furloughing state workers two days a month, eliminating Columbus Day and Lincoln's birthday as paid holidays, eliminating overtime pay for holidays, laying off some workers and shifting state employee health care from CalPERS to managed care.

Among the other proposed adjustments: Increasing sales tax by 1.5 cents for three years and alcohol tax by 5 cents a drink; reducing the tax credit for dependents; borrowing more than $10 billion; and cutting funding to K-12 education and CalWORKS. See a synopsis here.

State Controller John Chiang has once again stood up for state workers. In a short statement issued Dec. 19, Chiang criticized the governor's executive order, saying it was the painful result of the governor's and Legislature's failure to resolve the budget crisis. "It is clear that the governor's executive order would hurt public servants and in turn adversely impact our economy and slow its recovery," he wrote.

In a letter dated Dec. 23, Chiang proposed the federal government authorize a limited guaranty program for state or local infrastructure bonds to help jump-start the economy. He said the proposal could "prevent the cancellation of important state and local government projects. ... Local economies recover when people are put back to work and physical assets are created." I

n a Dec. 22 letter,  Chiang warned the governor and Legislature and the state is less than 70 days from running out of cash. He characterizing the state's financial crisis as "dire."

ACSS President Olin King on Dec. 23 wrote Gov. Schwarzenegger a letter criticizing his plan to furlough state workers two days a month. The governor's executive order, King said, "transfers the deficit to the backs of your 238,000 state employees." He asked the governor to rescind the order and to meet with him and the rest of the ACSS board members.

Democratic leaders negotiating with the governor say the negotiations have "significantly narrowed" and a deal is "very close," The Sacramento Bee reports. Talks are continuing over the weekend by phone with the governor, who is vacationing in Idaho, and Democrats are hopeful a deal will be approved by the end of next week.

Using hand-held phones while driving became illegal July 1. Beginning Jan. 1, Senate Bill 28 will also make it illegal to write, send or read text messages while driving. Violations could result in fines but do not add points to the offender's driving record. The bill alludes to more driving restrictions in the future: applying makeup, shaving and reading, for example.

Gazing into your crystal ball next Christmas, were the furloughs good for California? State Worker columnist, Jon Ortiz, gives a mostly imaginary glimpse.

According to The Sacramento Bee Web site this morning, cutting two state workers' holidays is one of the concessions the governor is still demanding from Democratic legislators as they scramble to fix the budget deficit. A major issue is whether the legislators will relax environmental review for state transportation projects. The legislators claim the reduction will give the administration too much control. Schwarzenegger's office estimates his proposal would create 18,000 jobs.

New York Times columnist Bob Herbert this morning praises the "vilified" American workers. "Working men and women are not getting the credit they deserve for the jobs they do without squawking every day, for the hardships they are enduring in this downturn and for the collective effort they are willing to make to get through the worst economic crisis in the U.S. in decades," he writes. In an early morning television interview, Herbert said he was speaking of all workers, whether union or not, and that the government and the media had let them down.

ACSS board member Elnora Fretwell tells The Sacramento Bee that state workers "feel like pawns" as yet another administration aims budget cuts at the employees. "All of us are fair game," she said in the front-page article. Her photo's on the back page. Fretwell is a supervisor with CalSTRS.

The article pointed out a new possibility for the furlough plan: that workers could have their pay cut without being given the time off until later. Department of Personnel Administration spokeswoman Lynelle Jolley says that idea is "not off the table," according to the story. Jolley told The Bee there would be very few exemptions to the furlough.

In other news, two unions have filed lawsuits and SEIU Local 1000 has filed an unfair practice charge against the governor's furlough plan.

After refusing to sign a budget plan put forth by Democrats, Gov. Schwarzenegger yesterday ordered furloughs for state employees and "surplus" notices for the state's 20 percent least senior workers. Furloughs will begin Feb. 1 for rank and file and supervisors, Jan. 15 for managers and exempts, and will continue through June 30, 2010. Surplused workers will be subject to layoff, transfer or demotion beginning 120 days after receiving their notices.

Reaction to the measure has been strong. In an eblast yesterday to members, ACSS President Olin King said the order "won’t come close to resolving the deficit. This is showboating of the highest order.” He added: “It is counter to what President-Elect Obama is doing. Obama is trying to create jobs and the governor’s creating unemployment.”

We are protesting this unfair order and urge you to use our Legislative Action Center, at left, to tell the governor and the media your thoughts. We believe the governor and Legislature should focus on cutting expenses and increasing revenue, not on -- yet again -- placing an unfair burden on state workers.

ACSS met with CDCR on Dec. 11. At this meeting, rather than pose new agenda items, ACSS asked CDCR to respond to all pending issues from the last meeting.

CalPERS announced today it has appointed Anne Stausboll, a former CSEA attorney, as the pension fund's new chief executive officer. Stausboll worked for CSEA from January 1987 through December 1992. She will be the first woman CEO to head the pension fund. For the past eightmonths, Stausboll has served as CalPERS' interim CIO. For four years before that, she was the system's chief investment operating officer. She also served as general counsel for state Tresurer Phil Angelides and California's chief deputy treasurer.

The Republican legislative leaders released their plan to close the budget shortfall late Monday. Total cuts: $22 billion. They maintain the governor's proposed day-a-month furlough for state workers and the loss of two paid holidays. They also propose legislators take a 5 percent paycut. Here are lists of the plan's specific revenues and cuts.

The Sacramento Bee's "State Worker" blog, by columnist Jon Ortiz, has posted portions of a recent interview with ACSS President Olin King. Ortiz talked to Olin for a Dec. 8 front-page story on state workers' reactions to layoff threats. He had room in the story for only a brief quote from King, so he added some comments in his blog.

A couple of them: On correlating staffing to state revenue: "Many revenue-gathering agencies have been understaffed for some time. If the Board of Equalization, for example, employed enough auditors, the state would get more revenue."

On what ACSS members are saying: Our members are concerned that the governor is not being fair with them. ... They're confronted with the same increases in cost of living as everyone else. The governor should remember that. He shouldn't do something just because he has the power to do it."

Ortiz would welcome your comments on this and other posts. Email him at jortiz@sacbee.com. Copy us at lholderness@calcsea.org.

The budget stalemate is getting nastier. A Sacramento Bee editorial accuses Republicans of holding the budget hostage for policy changes wanted by the California Chamber of Commerce. The writer calls the tactic "a dangerous game." See also: "Budget talks with Schwarzenegger dead" and Capitol columnist Dan Walters'  "Deficit soars, but deadlock persists."

ACSS members: Please use our Legislative Action Center to contact your legislators to insist they resolve this budget crisis.

CalPERS reassures state workers their pensions are safe. You can link to other information about CalPERS' investment strategies.

Are unions backing away from the hard line in the face of California's massive budget deficit and the threat of state-worker layoffs? The State Worker columnist Jon Ortiz explores that issue. One fact Oriz offered: "State worker jobs this fiscal year, barring layoffs or other cuts, will account for ... roughly 17 percent of California's expenses. So making job cuts won't drain much red ink from the state ledger."

Gov. Schwarzenegger, at a press conference yesterday, warned the state faces a "financial armageddon" if the budget crisis isn't solved this month. He has installed a clock in his office that ticks off the amount of money -- $470 -- the state is losing every second the budget stalemate continues.

Chapter 513: ACSS Director-at-Large Frank Ruffino’s chapter invited all four CSEA affiliates to its October meeting in San Diego to meet with three San Diego-area Assembly members. It was Ruffino’s vision “to prove a point that the affiliates can work together even though we have diverse interests.” All three legislators, Marty Block, Manuel Perez and Anthony Portantino, emphasized they are committed to helping state workers, Ruffino said. "They were impressed by our unity and our commitment to good government," he said.

Ruffino chatted with Assembly Speaker Karen Bass at a later political function. Ruffino said Bass showed genuine concern for our needs and would like to meet with ACSS members. “She was really listening to us,” he said. (Continue)

If you thought the budget news couldn’t get worse … it has. At yesterday’s joint legislative session, four state finance officials described the crisis in terms like “dire,” “toxic,” “catastrophic,” “dangerously short of cash.”

But the worst news is this: Legislators aren’t any closer to agreeing on a solution.

IT IS IMPERATIVE you tell your representatives they must resolve this budget crisis NOW! California’s economy is in peril, and state workers will bear an unfair burden.

Contact your representatives easily. We have written a sample letter you can send, or you can delete our text and add your own. Just write!