(July 12, 2005) California Chamber of Commerce President Allan Zaremberg yesterday released the following statement after Governor Schwarzenegger signed the 2005 – 2006 budget:

“Today’s signature on the 2005-2006 budget is yet another step towards keeping California’s economy growing and creating new jobs.  By signing a budget with no new taxes and no new borrowing, Governor Schwarzenegger is helping give investors across the country reason to bring their jobs to California.  This new budget sends the message that California doesn’t automatically raise taxes or create new deficits when times are tough. 

“However, more must be done.  We must implement tight fiscal controls that fix California’s still broken budget system.  California is locked into autopilot spending that almost guarantees the state spends more money than it takes in each year.  We need controls that stop the overspending in good years, which creates deficits during bad times.  The special election is just a few months away, providing voters with a tool to stop this out of control spending.  By passing the ‘Live Within Our Means’ act, we can stabilize California’s fiscal situation and budget process for future generations.”

Staff Contact: Sara Lee