San Francisco to reduce budget deficit; California budget nonexistent

Submitted by Erin Dage on Thu, 07/01/2010 - 19:09

As San Francisco’s Board of Supervisors approves numerous new fees on city services to cut the city’s $483 million budget deficit, California has officially started off the new fiscal year with no budget.

On Tuesday SF Appeal reported on San Francisco supervisors giving first approval to several new fees and fee hikes proposed by Mayor Gavin Newsom to reduce the deficit for the upcoming fiscal year. Among the changes initially approved are:
  • Imposing a fee that would increase patient care charges at city hospitals, making patients put out hundreds of dollars more for daily in-patient care and surgical procedures. Exams and mental health and substance abuse services prices would spike as well.
  • Establishing a fee through the Mayor’s Office of Housing that would help first-time homebuyers and provide financing for affordable housing.
  • Raising the cost of medical technician certificates from $34 to $145.
  • Increasing prices for underground parking in Golden Gate Park.
  • Setting and raising police department permit fees.
  • Increasing fire department fees for high-rise inspections.
  • Raising fees for emergency medical services.
The second vote is will most likely take place in two weeks, and will need the mayor’s signature for final passage.
 
On Thursday the San Francisco Chronicle reported on California beginning its fiscal year with no budget. Lawmakers and the governor have not made any agreements on how to chip away from the state’s $19 billion budget deficit. Without a budget, the state loses $52 million a day, and if a budget is not set by July the loss of money could force the state to issue IOUs, halt infrastructure projects and decrease state worker pay. State Treasurer Bill Lockyer told the Chronicle: “It’s absolutely critical that the governor and the Legislature quickly adopt a budget that’s free of hope-and-a-prayer math and legal clouds. Every day without a credible plan brings us closer to the deterioration of the state’s credit rating and the humiliation of IOUs.”

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