Dear Friends of Libraries,

This cut that the Governor has made means there will be no funds for public

libraries from the State. This turns back library service in California to

pre-1950s when the State recognized that providing funds would make it

possible for public libraries to cooperate with each other and help

eliminate some duplication of purchases because the book or other library

material could be borrow from other libraries. This trigger cut means that

some library literacy programs will fold, and some public library systems

(public library systems provide delivery, training and answer reference

questions which cannot be answered at the local level) will fold. The one in

Los Angeles and Orange Counties can continue for awhile as it has some

reserve, but long term it will fold. That means no delivery of library

materials between libraries. No coordination of the Summer Reading Program.

No answering of the informational questions that cannot be answered at the

local level. Some libraries will charge non-residents for borrowing

materials (there is one County in the Bay area that has already started

this) which means the elimination of universal borrowing in California.

Interlibrary loan may continue, but there will probably be charges or

increased charges. Some libraries have used the Public Library Fund for

increased hours of opening and others have used it for library materials and

others (Monterey Park) used it for automation (paying for T-1 lines). In

addition, California will lose 80 percent of federal library funds which

have helped with book discussion groups, purchase of databases, trying out

of new services, etc. This will be very bad for the public. The notice

follows my message.

Now is the time to write to the Governor to reverse this with copies to the

leaders of the Assembly and Senate and to your local representative. Do it

now. If you need addresses, contact me or your local library before the

cutbacks go into affect. See if your City Council and County Supervisors

will also send resolutions to the Governor. Please note: no other State

funded program has had all of its funds eliminated. If you value Public

Libraries, take action now.

Linda Wilson, Monterey Park

TO:                  CLA MEMBERS/ NETWORKS/ SYSTEM CONTACTS

FROM:           Mike Dillon, CLA Lobbyist

Christina DiCaro, CLA Lobbyist

RE:                 News From the Capitol

DEPARTMENT OF FINANCE SAYS BUDGET TRIGGER WILL BE PULLED

Shortly after noon today, Governor Brown, flanked by his Director of the

Department of Finance, announced that despite a modest improvement in the

economy, (November sales tax receipts were up, as well as capital gains on

upper income earners) state revenues have not rebounded sufficiently.   As

such, the Governor announced that the so-called Tier 1 trigger and a portion

of the Tier 2 trigger will be pulled.   This action will include a $16

million reduction to state library funding, which essentially eliminates all

remaining state funding for the California Library Services Act, the state

literacy program, and the Public Library Foundation.  The Governor also used

the press conference to discuss his upcoming January Budget, as well as his

$7 billion revenue package initiative that he is qualifying for the November

ballot.

As you will recall, as part of the 2011-12 Budget agreement, the legislature

and the Governor created a so-called Budget trigger,(AB 121, Statutes of

2011) to serve as a balancing mechanism should $4 billion in anticipated

state revenues not materialize as projected.  Per the terms of AB 121, the

state’s Legislative Analyst and the Department of Finance were required to

prepare substantial fiscal analyses that would determine whether or not the

state could rely on the anticipated $4 billion in cash.  If the money was

not expected to materialize, the bill created a procedure (a trigger) by

which automatic cuts would be made to programs such as library services, UC,

CSU, In Home Support Services, disability services, etc. in the so-called

Tier 1 trigger.  A second Tier 2 trigger would make cuts to K-14 school

funding.

As previously reported, the Legislative Analyst’s Office produced their

analysis on November 16th and indicated that because the economic recovery

was slower than expected they anticipated that revenues would be

approximately $3 billion short of the anticipated $4 billion figure

associated with the trigger.  This amount would then be compounded by an

additional revenue shortfall of $10 billion for the upcoming 2012-13 Budget

year (mostly due to K-14 education guarantees and repaying the $2 billion in

property taxes borrowed from local government in 2009) leaving the state

with a year-end deficit of about $13 billion, absent any additional

budgetary corrections.

The Department of Finance was required to release their revenue projections

by December 15th, so we were surprised when we learned that the Governor and

Finance Director Ana  Matosantos would hold a press conference to make their

announcement today.  The Governor said that based on newer revenue

projections, the combined Tier 1 and Tier 2 cuts will amount to about $1

billion.   (Tier 1 cuts total approximately $600 million plus, and Tier 2

cuts would total $328 million, instead of the full $1.5 billion cut to K-14

education.)   The Governor also said that his 2012-13 Budget to be released

on or around January 10 will include more cuts to follow, and importantly,

will include $7 billion in revenues, predicated on voters passing his tax

initiative on the November 2012 ballot.  (The Governor is proposing a five

year ¬Ω cent sales tax increase as well as an income tax increase on $250K

filers and up.)  The January 2012-13 Budget will contain another trigger

providing for automatic cuts if voters reject his initiative.  When the

Governor was asked by a reporter to address those impacted by the cuts to

the Tier 1 programs, he acknowledged that the cuts were very difficult, but

added a phrase in Latin, which the Governor translated as, No man gives what

he does not have.  The Governor then also expressed frustration with the

state’s previous lack of fiscal discipline, adding that past Budgets were

compiled through obfuscation and gimmickry.    In response to a reporter’s

question about competing tax measures being circulated for the November

ballot, the Governor said that he talked to one of the groups and presumably

would be talking to the others.  He added, We hope to have a clear field in

November.  We want to avoid doubling cuts if (the tax proposal) fails.

The legislature will return to the Capitol to begin the 2012 session on

Wednesday, January 4.

Carol Simmons, Executive Director

California Library Association

2471 Flores Street

San Mateo, CA  94403

csimmons@cla-net.org

650-376-0886(ph)

650-539-2341 (fax)

www.cla-net.org