WHEREAS, the national and State economies are experiencing a significant slow down and as a result the State General Fund is experiencing a significant decline in revenue; and

WHEREAS, the tragic events of September 11 have resulted in major disruptions to large segments of the State and national economies, and introduced uncertainty into the State's economic outlook; and

WHEREAS, the implementation of increased public safety measures requiring additional law enforcement personnel at airports and other public facilities in the State has caused unexpected expenditures by the State; and

WHEREAS, there may be additional expenditures that will be required by the State resulting from the events of September 11 that are unknown at this time; and

WHEREAS, when businesses are faced with declining revenues and increasing expenditures they take actions to reduce spending; and

WHEREAS, the State of California must take similar actions without delay to ensure that it lives within its means;

OW, THEREFORE, I, GRAY DAVIS, 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, regardless of funding source, are prohibited from filling vacancies that would constitute a new hire to State Government.
  2. The above provision will not apply to the hiring of public health safety and security personnel, as directed by my office, including personnel hired by the California Highway Patrol, the Office of Emergency Services, the Military Department, and those Department of Health Services personnel directly involved in public health safety and security.
  3. Provision 1 also will not apply to the hiring of personnel directly involved in (a) producing State revenues, (b) direct care treatment and custody in prisons, special schools, hospitals, and health care facilities, and (c) fire fighting.
  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. However, I invite these branches of government 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 and grant exemptions from its provisions, as appropriate.
  8. This Executive Order will remain in effect until termination on June 30, 2003.