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State of California May 19, 2009 Election
Proposition 1A
State Budget. Changes California Budget Process. Limits State Spending. Increases "Rainy Day" Budget Stabilization Fund
State of California

Legislative Constitutional Amendment - Majority Approval Required

Fail: 1,665,030 / 34.6% Yes votes ...... 3,145,011 / 65.4% No votes

See Also: Index of all Propositions

Results as of Jun 12 4:29pm, 100.0% of Precincts Reporting (17393/17393)
Information shown below: Summary | Fiscal Impact | Yes/No Meaning | Arguments |
Summary Prepared by the Attorney General:
  • Increases size of state "rainy day" fund from 5% to 12.5% of the General Fund.
  • A portion of the annual deposits into that fund would be dedicated to savings for future economic downturns, and the remainder would be available to fund education, infrastructure, and debt repayment, or for use in a declared emergency.
  • Requires additional revenue above historic trends to be deposited into state "rainy day" fund, limiting spending.

Fiscal Impact from the Legislative Analyst:

  • Higher state tax revenues of roughly $16 billion from 2010-11 through 2012-13 to help balance the state budget.
  • In many years, increased amounts of money in state "rainy day" reserve fund.
  • Potentially less ups and downs in state spending over time.
  • Possible greater state spending on repaying budgetary borrowing and debt, infrastructure projects, and temporary tax relief. In some cases, this would mean less money available for ongoing spending.

Meaning of Voting Yes/No
A YES vote on this measure means:
Various state budgeting practices would be changed. In some cases, the state would set aside more money in one of its "rainy day" reserve funds. Higher state taxes recently passed would be extended for up to two years.

A NO vote on this measure means:
No changes would be made to state's current budgeting practices or its rainy day reserve funds. Higher state taxes recently passed would end by 2010-11.

Arguments Submitted to the Secretary of State

Summary of Arguments FOR Proposition 1A:
Yes 1A: REFORM OUR BROKEN BUDGET SYSTEM. 1A forces budget stability and accountability. It strictly limits state spending and mandates a bigger rainy day fund--forcing politicians to save more in good years to prevent tax increases and cuts to schools, public safety and other vital services in bad years.

Summary of Arguments AGAINST Proposition 1A:
1A is not what its supporters promise. Why? Because 1A: Treats the "Rainy Day Fund" as a slush fund for Pork Barrel spending ; Could force service cuts even in good times; Encourages unlimited tax increases--doesn't stop them; Gives unchecked power to Governor. Vote No on 1A.
Contact FOR Proposition 1A:
Budget Reform Now (866) 978-3444

Contact AGAINST Proposition 1A:
Douglas Herman 790 E. Colorado Blvd., Suite #506 Pasadena, CA 91101 (626) 535-0713

  For General Information on California State Budget Issues and All May 19th Propositions

Go to California State Propositions Page

More Information on 1A
Official Information

Secretary of State

Campaign Finance Data

Secretary of State

Nonpartisan Information

League of Women Voters

  • In Depth explanations of the measure, its provisions, fiscal effects, main arguments for and against, as well as a list of supporters and opponents.
  • Easy Voter Guide - Provides easy-to-read summary of what the proposition would do, its effect on the state budget, and what people for and against say.
California Budget Project Center for Governmental Studies and Easy Voter Guide News Media Coverage

KQED/FM Public Radio, SF

  • California Report on Prop 1A
    Part 1 and Part 2 - 4/20 and 4/21/09. Overview
  • Forum: Proposition 1A - 4/29/09. 55 min. Hosted by Michael Krasny w/ guests Wright, Myers, Kaye
Google News Search
  • News coverage of Proposition 1A - Note: This link to an external resource is offered strictly as a convenience for users interested in coverage by outside news organizations. The content is provided by organizations unaffiliated with Smart Voter and its partners, and no endorsement of any views expressed or guarantee of its accuracy is intended or implied.
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Created: July 31, 2009 13:14 PDT
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