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8A Page 1 Advocate Weekl September 14, 2009 Issue #36-2009 SPECIAL END OF SESSION UPDATE .................................... LEGISLATURE CONCLUDES SESSION LEAVING MAJOR ITEMS UNRESOLVED After a long and raucous year dominated by a historic budget crisis, tension between legislators and Gov. Arnold Schwarzenegger, a recent legislator's resignation, grass roots-clamoring for legislative reform, and last-ditch efforts to establish major policy changes on water to avoid being labeled what Senate Pro Tem Darrell Steinberg called "a culture of failure," the Legislature wrapped up Its efforts at 6 a.m. Saturday morning embroiled in a partisan dispute in the Senate that left many items unresolved, including necessary budget clean up measures important to local government. Budget Cleanup: Proposition 1A Securitization and HUTA Deferral Changes In the closing hours of the legislative session, Senate Republicans adopted the position of not supplying any votes for any legislation requiring a two-thirds vote. This position stemmed from a dispute with Senate Democratic leadership over what Republicans believed were violations of previous commitments as well as house procedural rules. The action resulted in many otherwise noncontroversial bills being stalled for lack of sufficient votes, inclUding two measures containing necessary fixes to both the Prop. 1A securitization process and the Highway Users Gas Tax Account (HUTA) deferral. · 5B 67. The securitization of the Prop. 1 A property tax loan. Please see additional details posted on the League's Web site www.cacities.ora/resource files/28317.Prooosition1A Securitization SB67-AB185 .odf; and · 5B 65. Deferral of the Highway User Tax Account (HUT A), or gas tax revenues, Please see additional details posted on the League's Web site www.cacities.ora/resource files/28318.CleanUoOfHUT ADeferrasb65-AB183.odf. In the final hours, Senate Democrats amended the provisions of this measure into another vehicle AB X3 37, and sent it to the Governor. This legislation, however, cannot take effect for 90 days after the adjournment of the special session. The Third Extraordinary Session has not adjourned, meaning that the provisions affecting local HUT A revenues will not take effect in a timely manner. Thus, if the Senate returns It should be encouraged to pass SB 65, which will take effect immediately. While the Legislature is technically in recess, there are already plans to return this fall to address several items in special session. The Legislature can also be reconvened at any time to address issues. The League has encouraged Senate leadership to set aside internal disputes and immediately reconvene to adopt necessary budget clean up and other non-controversial measures, so that Prop. 1A securitization efforts can move forward in an expedited manner. City officials are encouraged to contact their Senators to ask that the Senate reconvene immediately to approve the Prop. 1A clean up measure. For more, see Page 2.