California Proposition 1E (2009)
From Ballotpedia
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California Proposition 1E was on a special statewide May 19, 2009 election ballot in California, appearing as a legislatively-referred constitutional amendment, where it was defeated.[1][2],[3] It was part of the 2009-2010 California state budget and tax increase agreement.[4],[5]
To avoid additional cuts in general fund-supported state spending, Proposition 1E would have authorized a fund-shift of approximately $230 million annually in income tax surcharge revenue currently earmarked for specified mental health programs under the terms of California Proposition 63 (2004), also known as the Mental Health Services Act. For two years that revenue would instead have been used to pay for the state's share of the "Early Periodic Screening, Diagnosis and Treatment Program," a federally mandated Medicaid program for low income persons under age 21. Revenue for this program currently comes from the state general fund.[6]
The earmarked Proposition 63 (2004) revenue that would have been diverted comes from a 1 percent state income tax surcharge imposed on the portion of a taxpayer’s taxable income in excess of $1 million. In the past this surcharge has taken in between $900 million and $1.5 billion annually.
Background
Proposition 1E is one of six statewide ballot propositions placed on the May ballot as part of a part of the 2009-2010 state budget and tax increase agreement. (Propositions 1A, 1B, 1C, 1D, 1E and 1F) are intended to close an approximately $42 billion budget gap. However, the California Legislative Analyst's Office, an agency of the state government, said in early March that tax revenues flowing into the state treasury are "well below" the projections it used earlier in the year, and that California's government now faces an additional $8 billion gap in addition to the earlier $42 billion gap.[7]
Supporters
Proposition 1E is supported by "Budget Reform Now," a coalition of groups assembled by Governor Arnold Schwarzenegger to support the overall 2009-2010 budget agreement and tax increases.
On April 26, the California Democratic Party, meeting in its annual convention, rejected a recommendation from their party's legislative leaders to support Proposition 1E and instead adopted a position of neutrality on the measure.[8]
Opponents
Campaign ad opposing Prop 1E |
Some groups representing individuals who benefit from state mental health spending oppose the measure, because it would allow the diversion of money from their preferred government spending to other spending areas. These groups include:
- California Psychiatric Association
- California Psychological Association
- California Nurses Association
- American Federation of State, County and Municipal Employees.[9]
Arguments against 1E
Arguments that have been made for a "no" vote on Prop 1E include:
- According to Rusty Selix, the Executive Director of the Mental Health Association in California, "If Prop 1E is passed, people with mental illness will lose the care they so desperately need, and will cost taxpayers more in hospitalizations, homelessness and criminal justice."[10]
Donors against 1E
Donations to the campaign against 1E as of March 25 include:
- California Council of Community Mental Health Agencies: $100,000[11]
Opponents criticize ads
Dave Fratello, the campaign manager for the "NO on Prop 1D and 1E" campaign, objects to the television ads that Budget Reform Now is running that urge a "yes" vote on 1D and 1E. He says, "These statements aren't true. Prop. 1D & 1E take money out of voter-approved mental health and children's programs, then put that money into the state general fund. These measures then allow the Legislature and the Governor to spend that money with none of the accountability required by the original, voter-approved initiatives. Furthermore, the money taken won't be repaid."[12]
Polling information
The Field Poll conducted a public opinion research survey between February 20 and March 1 on Proposition 1E and the other five budget-related measures that will appear on the May 19 ballot.[13],[14]
- A Public Policy Institute of California poll that concluded in late March showed declining support for Proposition 1E.[15],[16]
- On April 20-21, SurveyUSA conducted a poll of 1,300 California adults for KABC-TV Los Angeles, KPIX-TV San Francisco, KGTV-TV San Diego, and KFSN-TV Fresno. 15% of the registered voters they spoke with had already cast their vote. They concluded that for Proposition 1E, opposition had increased over the last six-week period.[17]
| Date of Poll | Pollster | In favor | Opposed | Undecided |
|---|---|---|---|---|
| February 20-March 1 | Field | 57 percent | 23 percent | 20 percent |
| March 10-17 | PPIC | 47 percent | 37 percent | 16 percent |
| March 11-12 | SurveyUSA | 36 percent | 30 percent | 34 percent |
| April 16-26 | Field | 40 percent | 51 percent | 9 percent |
| April 20-21 | SurveyUSA | 32 percent | 41 percent | 27 percent |
| April 27 - May 4 | PPIC | 41 percent | 48 percent | 11 percent |
| May 8-10 | SurveyUSA | 35 percent | 51 percent | 14 percent |
| May 15-17 | SurveyUSA | 33 percent | 55 percent | 11 percent |
Newspaper opinions
Yes on 1E
Newspapers endorsing a "yes" vote on Proposition 1E include:
- The Los Angeles Times, which wrote, "...we cannot be as cheerful as the campaign ads that began running last week...but the good outweighs the bad... It's a shame to see money taken from successful programs. But it's temporary -- in this case, only two years -- and it's needed."[18]
Ballot title lawsuit
Rusty Selix and Richard Van Horn filed a lawsuit with Judge Michael P. Kenny in Sacramento Superior Court on March 4, 2009 saying that Proposition 1E's ballot title is "false and misleading" because it "does not clearly state that Proposition 1E would redirect the money the voters earmarked in 2004." The plaintiffs want the judge to order the California Secretary of State to re-write the ballot language.[19]
Selix and Van Horn dropped their lawsuit shortly after it was filed, saying they had come to an agreement with the Secretary of State's office to change elements in the ballot title. The agreed-upon new ballot summary says that 1E diverts $230 million annually for two years from certain state programs in order to help balance the budget.[20]
- The original ballot title was Ensures Funding For Children's Mental Health Services. Helps Balance State Budget.
- The new ballot title is Mental Health Funding. Temporary Reallocation. Helps Balance State Budget.
The ballot label for Proposition 1E was also changed. The orginal ballot label said:
- "MENTAL HEALTH FUNDING BUDGET. Helps balance the state budget and preserve funding for children’s mental health services by providing temporary flexibility in the Mental Health Services Act to fund the Early and Periodic Screening, Diagnosis, and Treatment Program for children. Fiscal Impact: State General Fund savings of about $230 million annually for two years (2009-10 and 2010-11). Corresponding reduction in funding available for Mental Health Services Act programs."
The revised ballot label says:
- "MENTAL HEALTH FUNDING. TEMPORARY REALLOCATION. Helps balance state budget by amending the Mental Health Services Act (Proposition 63 of 2004) to transfer funds, for two years, to pay for mental health services provided through the Early and Periodic Screening, Diagnosis and Treatment program for children and young adults. Fiscal impact: State General Fund savings of about $230 million annually for two years (2009-10 and 2010-11). Corresponding reduction in funding available for Mental Health Services Act programs."[21]
External links
Basic information
- Ballot title, summary and analysis
- Arguments in favor and against in the official Voter's Guide
- Text of Proposition 1E
- California Secretary of State's announcement about May 19 ballot measures
- YouTube of Gov. Schwarzenegger advocating for Proposition 1E and other budget deal initiatives
- California Voter Foundation Guide to Proposition 1E
Supporters
- Budget Reform Now, official website in favor of Prop 1E
- Campaign finance reports of Budget Reform Now
Opponents
- No on Proposition 1E, official website of Prop 1E's opponents.
- California League of Women Voters
- Campaign finance reports of "No on 1E"
- Peace and Freedom Party
References
- ↑ Sacramento Bee, "Angry voters whack budget, politicians", May 20, 2009
- ↑ Los Angeles Times, "With budget stalemate over, next move is up to California voters", February 20, 2009
- ↑ Los Angeles Times, "May 19 election deadlines already drawing near", February 20, 2009
- ↑ Los Angeles Times, "With budget stalemate over, next move is up to California voters", February 20, 2009
- ↑ Los Angeles Times, "May 19 election deadlines already drawing near", February 20, 2009
- ↑ San Francisco Chronicle, "Budget-related measures on the May 19 ballot", February 20, 2009
- ↑ San Diego Union-Tribune, "State budget springs a leak", March 14, 2009
- ↑ Los Angeles Times, "State Democrats decline to endorse 3 of 6 ballot measures", April 27, 2009
- ↑ Mercury News, "Support, opposition for May ballot propositions", March 25, 2009
- ↑ California Progress Report, "Props 1D and 1E – Wolves in Sheep’s Clothing", May 1, 2009
- ↑ Donations of $5,000 or more to "No on 1E"
- ↑ Yuba Net, "YES Campaign TV Ad Misleading on Prop. 1D and 1E", April 25, 2009
- ↑ Sacramento Bee, "Field Poll shows early backing for budget items on ballot", March 4, 2009
- ↑ Field Poll results for initial polling on six budget measures on May 19 ballot
- ↑ Sacramento Bee, "Budget ballot measures face uphill fight", March 26, 2009
- ↑ Public Policy Institute of California, "Special Election Ballot Propositions Face Tough Road", March 25, 2009
- ↑ SurveyUSA, "One Month From California Special Election, Opposition Grows to 5 of 6 Ballot Measures", April 22, 2009
- ↑ Los Angeles Times, "Yes on 1A, 1C, 1D, 1E and 1F", April 26, 2009
- ↑ Sacramento Bee, "Lawsuit challenges Prop. 1E ballot label", March 4, 2009
- ↑ Sacramento Bee, "Mental health advocates drop challenge to ballot summary", March 5, 2009
- ↑ KQED Capitol Notes, "Prop 1E gets new title and summary", March 5, 2009
Additional reading
- California can't afford Propositions 1D and 1E
- California Props. 1D, 1E would divert child, health funds

