Democratic legislative leaders said Monday that California's $40 billion budget deficit will require the Legislature to sacrifice, but they declined to agree to Gov. Arnold Schwarzenegger's proposal that they cut their budget by 10 percent.

The Republican governor last month ordered a 10 percent cut in state employees' salaries through furloughs and proposed the Legislature cut its budget by the same amount.

On Monday, President Pro Tem Darrell Steinberg, D-Sacramento, said, "We will certainly do the responsible thing, and we will share the pain."

"I don't know what form that will take yet," Steinberg said before meeting with Assembly Speaker Karen Bass, D-Los Angeles.

Asked if he would agree to the 10 percent budget cut proposed by Schwarzenegger, Steinberg said, "I'm not committing to that because we're still discussing what we'll do."

But Senate Republican leader Dave Cogdill of Modesto said, "If you're going to ask an employee of the state of California to take a cut in pay, then it should apply to everybody who gets a paycheck from the state."

Bass noted the Assembly reduced its budget during the second half of the 2007-08 fiscal year by 10 percent – the Senate did not – and said, "We are definitely going to be looking at ways for us to cut costs this year."

Asked if some Assembly aides would be laid off, Bass said, "Oh, no. I don't know that we would be laying off anyone. I would imagine, though, that we would do another 10 percent cut."

Cogdill said reducing the Legislature's budget by 10 percent would require majority Democrats to cut jobs.

"I think we could get there," he said. "But it would mean that (Democrats) would have to lay off a lot of staff they've put on all these various committees over the years."

The Legislature's budget, now $262 million, has grown 22 percent since 2004-05. With a $40 billion shortfall over the next 18 months, cutting the Legislature's budget by 10 percent would solve less than one-tenth of 1 percent of the problem.

But last month, during an appearance in Fresno, Schwarzenegger called on lawmakers to cut their expenses as a show of leadership while state programs are being cut and tax hikes proposed.

"I think to ask the people to sacrifice and for them not to sacrifice at all … is not really right," the governor said.

Schwarzenegger spokesman Aaron McLear said that in the past year, the Governor's Office has cut 16 staff positions, with the number now down "to 156 through attrition and layoffs," and has trimmed its budget by $700,000 to $19 million.

"We are going to cut, over the next year, our budget by 10 percent through further layoffs and furloughs," McLear said.

Last month, the governor signed an executive order calling for twice-monthly furloughs for state workers starting in February. He wants to reduce personnel costs by 10 percent, possibly through layoffs of the least senior workers.

State worker unions have filed lawsuits challenging the governor's actions.

Assemblyman Jared Huffman, D-San Rafael, said Democrats are taking a more deliberate approach to reducing the Legislature's budget.

"I think the difference you see between the Legislature and the governor is the governor wants to just do it by fiat," Huffman said. "We believe that there ought to be a bargaining process and more thoughtful approach."

But Assembly Republican leader Mike Villines of Clovis said, "The Legislature should do everything that we're requesting of others."

Villines noted that the Republican budget proposal introduced last month calls for legislators to receive a 5 percent pay cut. Lawmakers earn $116,208 annually and about $35,000 in per diem payments to defray living expenses while in Sacramento.

Villines said he would agree to cut the legislative budget by 10 percent, including reducing staff members' salaries. But he said it's not accurate to compare legislative aides to other state workers.

"They work all the time," he said of legislative aides. "The budget affects their lives. My staff was here, literally, until New Year's Eve. So they've taken a cut already because they didn't get to take their vacation."

Sen. Abel Maldonado, R-Santa Maria, said lawmakers should give up part of their salaries because of the budget crisis.

Maldonado, who represents one of the few competitive districts in the state, said he has not accepted a pay raise since he was elected to the Legislature a decade ago, and makes $17,000 less than he is eligible to receive. He's also declined per diem increases.

"I think if we're going to reform the state, we need to reform ourselves first," Maldonado said. "We need to lead by example."

Call Aurelio Rojas, Bee Capitol Bureau, (916) 326-5545.