By Kevin Yamamura
Gov. Arnold Schwarzenegger asked lawmakers Friday to eliminate the state's welfare program starting in October and dramatically scale back in-home care for elderly and disabled as part of his May budget revision to close a $19.1 billion deficit.
The Republican governor also proposed cuts to state worker compensation. Besides asking for a 5 percent pay cut, 5 percent payroll cap and 5 percent increased pension contribution, Schwarzenegger has proposed cutting one day per month of pay in exchange for leave credit.
The proposal would affect all state workers under the governor's authority, regardless of whether they are general fund or special fund employees. Employees would not be able to cash out any of this unused leave credit when they leave from state service.
The governor did not propose any new tax hikes.
Schwarzenegger proposed eliminating state-subsidized child care for all but preschoolers as a way to reduce the states education funding guarantee.
He agreed, however, to fully fund state parks.