Facing a rapidly approaching Feb. 1 deadline when the state may not have enough money to pay its bills, California legislators continue to argue over how to close the $41 billion budget deficit while Catholic leaders predict dire consequences if proposed drastic cuts in education and social services are enacted.

Gov. Arnold Schwarzenegger, who vetoed the Democrats' $18 billion partial solution on Jan. 6, said last week he wants legislative leaders to consider his "four-legged" proposal: reducing spending by $16.5 billion with cuts in education, prisons and social services; increasing revenue by $14.8 billion mostly through a 1.5-cent sales tax hike; creating jobs by relaxing environmental regulations; and making state government more efficient by eliminating/consolidating unnecessary programs.

Though legislative leaders meeting this week with the governor say budget talks have been productive, many political analysts say Sacramento politicians are playing brinksmanship with the state's budget shortfall.

Linda Wanner, associate director for government relations for the bishops' California Catholic Conference, describes the budget situation as "kind of like up in the air," and harbors skepticism of the governor's claims that he has Republican votes for his administration's four-legged proposal.

And, she notes, the proposed budget cuts that specifically target CalWORKs children who make up two-thirds of the welfare rolls have been proposed by Schwarzenegger every year since 2004, and seem to be an entrenched partial "solution" to the growing budget deficit.

In an emergency session last month, the governor proposed cutting more than 200,000 children permanently off welfare and slashing welfare grants by 10 percent for poor families. The same cuts appear in the proposed 2009-2010 California budget.

Families and organizations protesting the proposed budget cuts reducing CalWORKs grants and services gathered Jan. 12 on the steps of the State Capitol Building. Hundreds of outgrown children's shoes were displayed along with pictures of low-income families who will have even greater difficulty providing shoes and other basic needs for their children if their cash assistance is cut. Currently, the average CalWORKs family of three struggles to make ends meet on $723 a month and that grant amount will be reduced to $651 if the proposed cuts are enacted.

This year, the budget crisis "will become downright dangerous for millions of Californians," said Steve Pehanich, director of advocacy and education for the California Catholic Conference. According to Pehanich, California's politicians have grown used to "staring each other down" instead of working toward solving the state's budget shortfall.

"It's just one long game of brinksmanship," said Pehanich. "The people who suffer the most are the poor and vulnerable."

Among the proposed cuts which will cause acute suffering, he noted, is elimination of a $32 million program for property tax assistance for seniors and the reduction in cash assistance for the poor, blind and disabled which, on average, will reduce benefits by approximately $100.

"Nobody's been negotiating. It shows poor judgment and poor faith," said Pehanich. Since few legislators "seem to be worked up about it," he noted, maybe they are relying on a federal bailout. Such a bailout, he predicted, won't come as fast as needed and will have strings attached.

"Meanwhile," said Pehanich, "all Californians --- especially the poor and vulnerable --- continue to sink."