Schwarzenegger's hopes for federal help may be improbable

[kskiska]

WASHINGTON – Almost $1 billion of the savings that Gov. Arnold Schwarzenegger unveiled in his state budget on Friday rests on the assumption that Congress and the White House will make profound – and some say politically improbable – changes in the way they do business.

Some of these changes would require other states to sacrifice money so California could have more. Some presume the Bush administration will lift penalties on California for failing to follow rules that come with federal money.

While Schwarzenegger on Friday criticized former Gov. Gray Davis for "using tricks and gimmicks to put off the hard decisions" of budgeting, his own 2004-2005 budget may rely on overly optimistic scenarios when it comes to getting more money from Washington, experts said. "I think it's going to be a tough sell across the board," said Jean Ross, executive director of the California Budget Project, a research group that focuses on policies affecting low- and middle-income people. "The budget is certainly optimistic in some respects."

(snip)

Bush, however, may find it politically problematic to let California off the hook without doing the same for other states. "Most likely, they (the White House) will do ... just enough to be helpful, but not so much as to cause political problems," said Bruce Cain, a political science professor at the University of California Berkeley.

more…
http://www.signonsandiego.com/news/state/20040113-1440-cnsreimburse.html

[jamesinca]

1. CA is in no more trouble than any other state

It is a large state and the 5th or 6th largest economy in the world so when they talk of $32 billion dollar debt, it is no more red ink than any other state has proportional to population. Bush may help out in an attempt to win votes but that would be the only reason.