Capitol and California - State Politics
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Health, labor join forces to battle for bucks in California budget standoff

Published: Sunday, Jul. 27, 2008 | Page 1A

First of two parts on special interest influence on the budget.

Karen Kroeter and Normajean Janssen, two classroom teachers, appear on TV screens and say it's time for state lawmakers to "invest in education" – especially in an economic downturn.

An announcer reinforces the message: "We need a fiscally responsible budget plan that increases revenue to protect our schools."

The statewide ad was released by the California Teachers Association, the state's largest teachers union, with 300,000 members.

This summer, as lawmakers and Gov. Arnold Schwarzenegger weigh a plan to bridge the state's $15.2 billion deficit in a $101 billion general fund spending plan, a broad network of teachers unions, prison guards, state employees, health care providers and other groups are flexing their collective political muscle in an effort to get new revenues. Political experts say that can mean only one thing: pressuring minority Republicans to agree to tax increases.

Representatives of those groups, which have formed overlapping coalitions with names like "Together for California's Future" and "Education Coalition," say the movement has unprecedented cooperation because its members benefit from just about every dollar dispensed from the state's general fund.

"It's not unusual for us to get involved every year and yet, what I think is different this year, is that … it is so much more field-driven," said State Employees International Union spokeswoman Jeanine Meyer Rodriguez. "Our future is at stake."

While it's unclear how much these groups will spend to influence lawmakers this budget season, many already have a history of shelling out big bucks to get what they want.

SEIU, which has helped elect numerous Democrats to office, teamed with former Assembly Speaker Fabian Núñez on health care reform. The union also fought Schwarzenegger's special election initiatives in 2005. SEIU recently named Courtni Pugh to replace retired political director Dean Tipps, who coordinated those fights.

Money for lobbying

Since 2005, a half-dozen special-interest groups have spent more than $204 million, according to campaign and lobbying disclosure forms compiled by The Bee.

The six are CTA, SEIU, California Labor Federation, California Medical Association, California Hospital Association and California Correctional Peace Officers Association. The money has been spent to elect friendly lawmakers, lobby for favorable legislation and fight initiatives that would hurt their causes.

"They have an absolutely personal financial stake in it. They want to be able to get their legislation known," said Bob Stern, president of the Center for Governmental Studies.

"It's for government access purposes," he added.

Republican critics say the pendulum has swung too far in favor of government spending, leaving the state unprepared to deal with economic downshifts such as the one the state is facing right now. Schwarzenegger and state lawmakers have yet to strike a compromise.

Under the governor's most recent budget proposal, state spending for education since 2005 would be up $9.4 billion (17 percent), health and human services up $4.9 billion (16 percent), and corrections up $3.1 billion (31 percent).

Fiscal conservatives like Sen. Tom McClintock said interest groups are to blame for the growth of state bureaucracy.

"Who screams the loudest?" said McClintock, a Republican who is vying to replace Rep. John Doolittle in Congress. "The man who stands to gain $500 or the man who stands to lose 5 cents?"

Democratic leaders, who have deep ties to unions, defend their position.

"If teachers, doctors, nurses, prison guards, firefighters are all talking about the need for taxes that provide the services Californians expect, they ought to weigh that," said Senate President Pro Tem Don Perata. "If my son's teacher was telling me that things are awful and we can't get by with what we've got, I'd listen."

Perata denied he was coordinating with coalitions to get tax increases. He jokingly mocked his party and said, "We're Democrats, we don't coordinate anything."


Call Judy Lin, Bee Capitol Bureau, (916) 321-1115.

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