California Budget Crisis!!! July 1, 2010
State Controller released information indicating; SSI/SSP, IHSS Payments Will Continue
SACRAMENTO, CALIF (CDCAN) [Updated 07/01/2010 08:05 PM (Pacific Time)] – With a long budget stand-off expected to last possibly through the summer, the State Controller released information indicating what things the State can continue to pay – and what things cannot be paid, without a spending plan in place. Even without a State budget in place, federal law requires California to continue making payments to certain federally funded programs: · Medi-Cal (both institutional and non-institutional providers – regardless if special fund is exhausted) – includes most regional center funded services, and all of the developmental centers. · SSI/SSP (Supplemental Security Income/State Supplemental Payment) grants to the lowest income people with disabilities, seniors · In-Home Supportive Services (IHSS) workers (providers) pay · State employees – though the Governor today (July 1) ordered the State Controller to temporarily reduce the employee wages to the federal minimum wage until a state budget is enacted. Some state employees who are part of unions who have reached a tentative agreement on a new contract with the Governor, are exempted from this order. The State Controller however, as of today (July 1 – see letter below) said he would refuse to implement this order unless a court ordered him to do so. State Constitutional Requirements These are payments that the State Constitution requires the State to continue to make regardless whether a State budget is enacted or not such as: · Debt service (bond or loan payments) · Revenue limit education payments Prior State Budget Year Payments These are payments for spending that was occurred – but not yet paid out – in the previous State budget year that ended June 30, 2010, as authorized in the 2009-2010 State Budget that include payment to vendors for services provided on or before June 30, 2010. Continuous Legislative Appropriations These are payments required by State law to continue regardless if a State budget is in place such as: · CalWORKS payments (California’s “welfare to work” program) that includes thousands of children and parents with special needs and disabilities · Income tax refunds · Unclaimed property claims LIST OF WHAT STATE CANNOT PAY UNTIL BUDGET IS ENACTED: · Payments to community colleges, categorical school programs (including adult education, special education), local governments, some non-profit organizations and other programs or entities not included in the list of what the State can pay · Payments to vendors for services provided on or after July 1, 2010 · Salaries and per diem of state elected officials, including legislators, and their appointed staff.
Link to what the State is required to continue paying and what payments he cannot make unless a State budget is in enacted