The Governor's office has released a document titled "August 2008-09 Update and Proposed Compromise" in an attempt to break the stalemate over the 2008-09 State Budget. This document contains revenue enhancements and cuts to close the $15.2 billion budget gap. Public transportation funding is yet again targeted, as the Governor proposes seizing the $250 million of spillover revenue that has matriculated since the May Revision, as well as the $317 million Conference Committee restoration to the State Transit Assistance (STA) program. This $567 million cut ($250m +$317m) would leave the STA program with a balance of $306 million. The Governor does not deem this as a cut since it is approximately the same funding level provided to in 2007-08.

The Association's position has been to support the Budget Conference Committee action which provided the STA with $559 million. While the budget is currently in the possession of the Legislature, the fear is that the Governor may use his blue-pencil to line-item veto funding for transit should the Legislature not concur with his recommendation. We urge you to contact the Governor's office and your legislative delegation and ask them to maintain the $559 dedicated to the STA program. See our latest Funding Update for more details.