GOP lawmakers might agree to let voters weigh in on taxes that are set to expire July 1, in exchange for state spending restrictions, changes to public pensions and new regulatory policies. Gov. Jerry Brown wants to extend the taxes until an election can be held in September.
Reporting from Sacramento — Republican lawmakers are prepared to let voters decide whether to close California’s stubborn budget deficit with higher taxes in exchange for major changes in state spending, public pensions and regulatory policies.
But a week before the legal deadline for a spending plan, and with lawmakers’ pay hanging in the balance, a final budget accord between Gov. Jerry Brown and Republicans remains elusive amid disagreement over which should come first — tax hikes or an election.
Both sides said Tuesday that the crucial stumbling block is a demand by Brown that Republicans extend current vehicle and sales tax rates to help balance the budget until voters have their say. Those rates will otherwise expire July 1.