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Schwarzenegger Flexes His Muscles For California Work Comp Package
By John Franklin - March 5, 2004

Gov. Arnold Schwarzenegger took no time out to party Wednesday after his victory at the ballot box over Propositions 57 and 58.  He immediately began pumping iron to overhaul the State of California's costly Workers' Compensation system. 

With no day off for champagne toasts after the California elections, Schwarzenegger met privately in the Capitol with the four Republican and Democratic legislative leaders. 

The passage of Propositions 57 and 58, a $15-billion deficit bond measure and a balanced-budget amendment to the state Constitution, give the governor the clout and image of power in the eyes of the legislature that he can persuade voters to do what he wants.  Now, on to Workers' Compensation...

After legislative leaders met with Schwarzenegger on Wednesday, Senate President Pro Tem John Burton (D-San Francisco) said, "We made progress today.  I'm very hopeful we'll have a Workers' Comp package."  He added that a compromise is "doable" because "once you agree on something, it's 'bing, bang, boom.'"

Joel Fox is the official proponent of the Workers' Compensation ballot measure that Schwarzenegger would support in November if he cannot make a legislative deal to his liking.  Citing the victory of Propositions 57 and 58, Fox said he thought it would make it easier for Schwarzenegger to make a deal.  "It's evident he can take an issue to the people and sell them on it," Fox said. 

Fox, who is president of the Small Business Action Committee, predicted that the governor would find a legislative compromise.  Asked what compromise would persuade him to keep his measure off the ballot, Fox said: "If we can save over 25% of the cost of Workers' Comp, we'd be happy with that."

 
 

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