Lawmakers scramble to avoid budget shutdown

Facing a deadline of midnight June 30 to finish up the state budget, lawmakers are scrambling to find a compromise between the temporary sales tax increase Gov. Jan Brewer insists on and conservative Republicans, who fear a "yes" vote will be used against them in next year's primary election.

"We have the same issue that we've had for the last several months, and the big issue is the sales tax increase, and can we get enough votes to refer the sales tax increase to the ballot," said Rep. John McComish (R-Ahwatukee Foothills) the GOP Majority Leader in the House. "Were going to keep working right up to the last minute and get a budget that the governor will sign."

But Monday the Senate Appropriations Committee couldn't muster up enough votes to pass a trailer bill needed for the compromise to work.

The feeling around the capitol was that Senate President Bob Burns (R-Peoria) would send Brewer the already passed budget, despite her promise to veto it.

The state is facing a massive budget deficit of between $3 to $4 billion next year, depending on who you talk to.

Lawmakers passed an $8.2 billion budget earlier in June, but Burns has held it to negotiate with Brewer and avoid a veto.

A compromise ironed out over the weekend included a plan to pass trailer bills to refer the sales tax to voters to avoid a veto. Lawmakers also added a 2.5 percent flat tax to help encourage anti-tax lawmakers to sign on to the proposal.

But on Monday there were not enough votes in the House or the Senate to pass the trailer bills needed to insure Brewer's signature on the budget.

If no budget is passed by Tuesday, state government will go into shutdown with only certain critical services remaining in operation.

Pay checks for state workers, including university employees, which would normally be paid on July 3 would be held, vehicle registration and driver's license services would stop, Department of Public Safety officers would probably be taken off the streets and state parks would close.

Some services mandated by law, including prisons would continue to function, as well as a scaled backed Department of Administration and Treasure's Office, which collect the bills and would pay what they can.

McComish is planning on getting a budget passed that can be supported by a majority of the Legislature and the governor, but if not, legislative leaders are looking at options.

"We're working on plans on how to keep government afloat, at least minimally, until the budget is approved," he said.

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