SACRAMENTO — While it may be hard to find sympathy for California politicians who are going without pay until a budget is adopted, they are not the only ones under the Capitol dome without a paycheck.

Security guards, committee secretaries, vendors and legislative aides — including those in district offices — all fall under the same guidelines for wages as lawmakers. None can be paid until an overdue budget is approved by the Legislature and signed by Gov. Arnold Schwarzenegger. June 15 was their last payday.

For them, the late state budget, which was due July 1, is an annual inconvenience. Anticipating the problem, most have signed up for "budget crunch loans" from sympathetic lenders.

As of June 1, there were 900 employees of the Senate and 1,171 in the Assembly. Unless they have savings to cover their postponed summer salary, they must rely on outside resources.

"There are eight city blocks in Sacramento filled with legislative staff. If they had no money, the whole city could shut down," said Jana Saastad, a senior staffer in the office of Sen. George Runner, R-Lancaster.

Golden One Credit Union, Wells Fargo and Bank of America are three financial institutions that provide loans to legislative staff nearly every July. Often, loans are granted at zero percent interest, but borrowers must have direct deposit on their accounts to qualify.

"Golden One Credit Union was the harbinger of the loan program. I'd be the first to stand in line to thank them for their service to the staff members over the years," said Tony Beard Jr., Senate sergeant at arms.

Some say the penalty of working without paychecks encourages the bureaucracy to get a budget passed. But although the hold on paychecks is widely perceived by the public as a punishment to legislators and their staff for budgetary tardiness, that's not the reason.

Not subject to civil service

Courts have held that most state workers must be paid even in the absence of a budget because the state has a contractual obligation to pay their wages. But because they are employees of the Legislature and not subject to civil service regulations or even most state employment laws, those who work in the Capitol are considered "at-will" employees. There's no contract under which payment is required for them.

At-will employees do not usually get overtime, although, unlike legislators, they do receive pension benefits.

Without the protection of collective bargaining contracts or a court order, the Legislature's at-will employees must rely on bank loans to get by during a budget stalemate.

"There's actually not much of a hardship for us anymore," Saastad said of the loan application process. "It's a pretty seamless process once you get used to it, and it's in the banks' best interest for people to have money to spend."

With the advent of budget crunch loans, some are asking what incentive is left for legislators to pass a budget on time. But Beard said there's only so much a staffer, security technician or secretary can do to lean on the lawmaker he or she works for.

"The sob stories might get you some sympathy, but it won't make them get the budget done any quicker," Beard said.

Some employees are having a hard time getting loans set up, either because of pre-existing poor credit scores or not having a direct deposit account.

"It's scary times," said one staffer who declined to give her name. "We've got no job security at all, and sometimes no pay, either."

"It's a goofy setup, but after people have been here through a couple budget cycles, they begin to settle down about it," said John Waldie, chief administrative officer to the Assembly. "It's part of the institution, right or wrong."

Students who work for legislators over the summer have been known to not get paid until after they go back to school in the fall. They are usually warned of this possibility at their initial interview. If they want the job, they have to plan ahead for how they will pay for rent, transportation and food without the summer salary.

Comes with territory

While this financial hurdle could potentially limit the types of students who end up taking internships at the Capitol, Waldie said it is simply something that comes with the territory.

"People who look for these types of jobs aren't doing it for the money in the first place," he said. "They are looking for experience and a letter of recommendation, and they usually have family support."

Businesses that provide goods and services to the state must also wait for reimbursement. Vendors and utility companies usually continue their services in trust and send a bill for what's owed once the budget is signed.

Waldie said legislative staff typically anticipate a late budget and stock up on such supplies as paper and ink. That's a common practice in June, because no one wants to be caught without office supplies and no way to procure replacements.