EXECUTIVE ORDER S-3-03


WHEREAS, Executive Order D-70-03, issued on July 1, 2003, prohibited the filling of vacancies that would constitute a new hire to state government except for specified positions; and WHEREAS, state government has an obligation to safeguard the trust of the people of the State of California; and WHEREAS, it is vital to the economic health and prosperity of California that state government be conducted in the most business-like and economical manner, and that the people of this State be assured that their tax dollars be spent wisely; and WHEREAS, the State General Fund is facing a significant imbalance between revenues and expenditures; and WHEREAS, additional action must be taken to assure that the State lives within its means; NOW, THEREFORE, I, Arnold Schwarzenegger, Governor of the State of California, by virtue of the power and authority vested in me by the Constitution and statutes of the State of California, do hereby issue this order to become effective immediately: 1. All State agencies and departments are prohibited from filling vacancies that would constitute a new hire to state government except a new hire into a position exempt from civil service pursuant to Article VII, Section 4 of the California Constitution. 2. All State agencies and departments are prohibited from filling vacancies through promotion, or otherwise promoting personnel; provided, however, that this Executive Order shall not prohibit State agencies and departments from filling vacancies that arise in any position presently designated by the State Personnel Board as a Career Executive Assignment (CEA). 3. In order to facilitate the timely movement of personnel from the State Restriction of Appointments list to non-General Fund positions and to otherwise speed the necessary reduction in General Fund personal services costs, State agencies are encouraged to work with the Department of Finance to gain blanket exemptions from this prohibition with respect to vacant positions financed by funds other than the General Fund. Such exemptions shall not be granted, however, for vacancies financed by reimbursements from General Fund budgets or from funds that in the judgment of the Department of Finance are in jeopardy of incurring a deficit. 4. Agency Secretaries and other Cabinet-level positions will be responsible for ensuring compliance with the provisions of this Executive Order. For those departments that do not have Cabinet-level representation, the Department of Finance will be responsible for ensuring compliance with the provisions of this Executive Order. 5. The provisions of this Executive Order shall not apply to the Legislative and Judicial branches of government, nor shall it apply to the Constitutional Officers of this State. However, I invite these branches of government and the Constitutional Officers to participate. 6. For the purposes of this order, the University of California and the California State University System are requested to comply with the provisions of this Executive Order. Participation, however, should be limited to a level that will not interfere with meeting their educational mission. 7. The Department of Finance is hereby directed to coordinate the implementation of this Executive Order and may issue management memos or other instructions, as appropriate. 8. The provisions of this Executive Order will terminate on June 30, 2004. IT IS FURTHER ORDERED that to the extent specific directives contained herein are inconsistent with directives contained in Executive Order D-70-03, the directives contained herein supersede those contained in that order. All other directives remain in effect. IT IS FURTHER ORDERED that as soon as hereafter possible, this order be filed in the Office of the Secretary of State and that widespread publicity and notice be given to this order.