Legislative Update

Saturday, June 18, 2005

HEATING UP 

Perry considering veto on budget itemMove, to be decided Saturday, would force lawmakers to fix school financeBy Mike Ward, Laylan CopelinAMERICAN-STATESMAN STAFFFriday, June 17, 2005 Gov. Rick Perry is threatening to veto the budget for public schools in Texas as a way to force lawmakers to agree on reforms to the beleaguered school finance system, as a prelude to calling the Legislature into a special session beginning Tuesday.
Five sources with knowledge of the ongoing negotiations between Perry, Lt. Gov. David Dewhurst and House Speaker Tom Craddick confirmed today that the governor by Saturday will decide whether to use his veto power to jump-start the inability of the Legislature so far to agree on a compromise reform plan.

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Complete Legislature coverage Perry is to announce his line-item vetoes of the budget bill on Saturday. Presumably, he might also issue a proclamation for the special session about the same time.
Without an approved budget, public schools across Texas would be unable to open in August.
"The courts aren't the only ones with a gun here to get school finance reform done," said one source. "This way, the Legislature will have to come up with a budget for the schools. School finance reform should be a natural byproduct."
Perry advised Dewhurst and Craddick earlier this week of his plans to veto the public schools budget and to call lawmakers back into a special session
According to other sources familiar with ongoing negotiations, House and Senate leaders have moderated their positions somewhat during the past two weeks - the Senate on upping the sales tax, the House on changes to existing business taxes and exemptions.
Dewhurst and Craddick reacted coolly to the veto threat. A House source said House leaders are more willing to await a state Supreme Court decision on school finance, but two sources said Dewhurst believes legislative leaders are close to a deal on school finance.
However, a Senate source said, "for three months, we've been telling you we're close. It's embarrassing."
A lobbyist familiar with the negotiations said Craddick is willing to wait.
"It's like two people living in a house. One wants to build a new house and the other is happy to continue living there until the place is condemned and they have to move," the lobbyist said.
Politically, Perry's veto of school funding and call for a special session would at least partially eclipse Saturday's scheduled announcement by Comptroller Carole Keeton Strayhorn of her political plans - presumably to challenge Perry in the GOP primary in 2006.

posted by Elmer  # 10:03 PM

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