May 1, 2003
| TO: | Cla Members/ Systems/ Network Contacts |
| FROM: | Mike Dillon, Lobbyist Christina Dillon, Lobbyist |
| RE: | News From The Capitol |
I. SENATE BUDGET SUBCOMMITTEE CONSIDERS PLF AND TBR
Late Monday afternoon, the Senate Budget Subcommittee on Education Finance met to consider the budget of the California State Library. Contained in the State Library budget are two major issues - the Public Library Foundation, and the Transaction Based Reimbursement. You will recall that the Governor is proposing a reduction to the PLF of $15.8 million in the 2003-04 Budget, and further, he is proposing to eliminate all $12.1 million of funding for the TBR. The Governor suggests that libraries instead, charge $1 for direct loans, and $5 for Inter-Library Loans to backfill the $12.1 million for reimbursement to libraries. In addition to opposing the proposed reduction to the PLF, CLA is strongly opposed to the Governor's TBR proposal, and has been engaged in a wide-scale effort to educate legislators about this important resource-sharing program.
In the Senate subcommittee hearing on Monday, the Department of Finance was asked to comment on the large reductions to the two programs. Said the representative from Finance, "The majority of the money in the State Library Budget was contained in these two programs. The goal was to sustain services. One of those goals was to shift from a General Fund source to fees (ie. the TBR)." Subcommittee member Senator Vasconcellos seemed troubled by Finance's logic, and offered, "You did this because [the libraries] are flush with money now?"
CLA then testified, thanking the subcommittee for its past support of the PLF, and its efforts to save the PLF from a significant Mid-Year cut earlier this session. We called to their attention the now-famous "72 percent cut chart" and added that "we know of no segment of local government that has been hit so hard." Anne Cain, the CLA Legislative Chair and Contra Costa Library Director noted that the PLF has direct benefit to libraries in helping to keep the library doors open, buy books, and pay the electrical bills. She added that as her circulation has spiked upward significantly this year, Contra Costa has also seen a 52% increase in students for the Summer Reading Program - a program assisted with PLF dollars. Melinda Cervantes, the Santa Clara Library Director addressed TBR, and noted that her county library checked out 9 million items last year, with 3.5 million items borrowed by non-Santa Clara residents. She argued that "to charge a fee is simply not feasible," for both administrative and philosophical reasons. Senator Vasconcellos asked Director Cervantes, if the $12.1 million was eliminated, "Would you be able to make up this difference? Did the Department of Finance consult with you before hand?" She shook her head "no," and he added, "I didn't think so - it's irresponsible."
Senator Scott revisited the PLF issue, stating, "My two libraries expressed concern over the rather harsh cut. Not only a 50% cut in 2003-04, but a 72% cut total over two years." In the end, the subcommittee decided to hold all of the State Library items open and will plan to revisit all of them after the Governor's May Revision of the Budget is available in mid-May. The May Revision will give the legislature a better idea of the most current fiscal projections on the Budget deficit, and any new proposals by the Governor regarding reductions or add-ons.
II. BUDGET TRAILER BILL STRIPPED - ONEROUS TBR PIECE REMOVED
At CLA Legislative Day yesterday, we referenced a major Budget Trailer bill, (AB 1419-Committee on the Budget), which contains the Governor's statutory proposals regarding Transaction Based Reimbursement, the Library of California, and various K-12 education items. As is common practice, the Committee on the Budget will draft a measure containing all of the items contained in the Governor's January Budget proposal that will require statutory change. For example, if there was agreement to eliminate the TBR funding and allow libraries to begin charging a $1 fee for direct loan, and a $5 fee for Inter Library Loan, per material, that would require legislation to accomplish that intent.
In recent years, the policy committees - in this case, the Assembly Education Committee - requested initial jurisdiction over these trailer bills so that they can weigh in on some of these major proposals. This process allows for them to debate the issues and then forward their recommendations back to the Budget subcommittees. Late Wednesday, the Assembly Education Committee discussed AB 1419. When they reached the library issues, Assemblywoman Carol Liu, who is also a member of the important Assembly Budget Subcommittee on Education Finance said that she had just been visited by her library folks, and had concerns about the Governor's TBR proposal. The Department of Finance representative indicated, "We just don't have the [state] resources to replace the costs (for borrowing.) This allows the locals the option to charge the fee if they choose to." Assemblywoman Liu said that she was not inclined to support the library changes from current law, and asked if she could make a motion to strike them all from the bill. The motion was encouraged and seconded by Assemblywoman Sarah Reyes.
The committee also disapproved of several K-12 measures in AB 1419, and systematically proposed that they each be removed. In the end, very little remained in the initial version of the Governor's bill.
We would like to thank the members of the Education Committee for their strong symbolic vote of support today in opposing the TBR proposal. The library language will now be entirely removed from AB 1419 in the next few days. The Assembly Education Committee's recommendation regarding AB 1419 will now be forwarded to the Budget subcommittees and Budget Conference Committee, where CLA will need to continue its efforts. Special thanks to Anne Cain, CLA Legislative Chair and Ann Cousineau, Solano County Library Director for their assistance in an important meeting on this issue with Education Committee staff.
III. CLA LEGISLATIVE DAY SUCCESSES -YOU DO MAKE A DIFFERENCE
We hope that those of you who came to Sacramento for CLA Legislative Day had an enjoyable experience. Just to let you know that your contacts do make a difference: after one of your visits with Assemblyman Juan Vargas, his office called us to request that he be added to Senator Alpert's bond measure, SB 40, as a co-author. And clearly, those of you who visited with Assemblywoman Carol Liu were instrumental in advising her to oppose the TBR proposal in AB 1419. Thank you all for your efforts.