'08 down, '09 to go

There are Democrats who don't like it, there are Republicans who don't like it; yet like it or not, the bill that was created through a strike-everything amendment in the Senate this afternoon, quickly passed, transmitted to the House and passed there too is the solution Arizonans of either party will have to live with.

Overwhelming majorities - 24-5 in the Senate, 53-3 in the House - passed the legislation, which is the result of weeks of intense negotiations between Governor Janet Napolitano and her staff and legislative leaders and staffers.

In the end, the compromise reached was to cut $311.5 million out of state agency spending, while also tapping the state's rainy-day fund for just under $500 million and the special reserve fund for around $300 million. The legislation does not dictate to the state agencies the ways in which they have to implement the reductions.

The House Republican Caucus, speaking through Speaker Jim Weiers (R-Phoenix), immediately praised the legislation, which will receive the Governor's signature:

“This assures the residents of Arizona that we are fiscally sound and will not run out of money before the end of the fiscal year,” Weiers said. “The governor has agreed with the agency reductions and has assured us those reductions will not significantly impact the delivery of most government services."

State Senate President Tim Bee (R-Tucson) was also upbeat:

“When confronted with a budget crisis of the magnitude Arizona currently faces, it is critical we solve the problem in the most fiscally responsible way possible.  This budget does that for 2008.” 

Now the task becomes sorting out the FY '08-'09 budget, which carries a much larger deficit of $1.8 billion and must be in place by July 1.