California's Death Throes: A View From Sacramento

California Governor Arnold Schwarzenegger and his Republican colleagues are using the trauma of the economic collapse and the record state budget deficit to implement policies they've been advocating for years. "This budget ought to be solved in one chunk, at one time," the governor says, "and let's do it quickly." As usual, the working poor are going to suffer the brunt of the Republicans' slash-and-burn fiscal policies aimed at decimating the state's social safety net. Arnold and his rich friends propose throwing one million children off CalWORKS, the state's primary welfare program, and they want to strip away health care for 900,000 children by ending the "Healthy Families" program. They'd rather destroy the state's services, including the higher education system, instead of raising taxes on big corporations and rich individuals.

The "supermajorities" needed to pass state budgets means that six Republicans (two Senators and four Assembly members) can hold hostage the nation's most populated state. "Cal-EE-Forn-Ya's day of reckoning is approaching," Schwarzenegger intones, (as if he's starring in another Terminator movie). No wonder voters rejected his and the Democrats' ballot propositions last month. The Governor says the vote means he has a mandate to gut the government, while the Democrats say it means that voters didn't understand the gravity of the situation. I think a lot of people were sending the message to these politicians that they should do their damn jobs instead of expecting voters to give them political cover.

With all the fiscal carnage you would never think that California's registered Democratic voters outnumber the Republicans by about 1.3 million and hold substantial majorities in both chambers of the legislature. California never gave a single electoral vote to George W. Bush and the trend lines show it is becoming more Democratic each election cycle. Yet for years now the Democrats' key constituencies have been taking it on the chin.

The origins of the current crisis go back to early 2001 when Dick Cheney and "Kenny Boy" Lay conspired with Cheney's "energy task force" to allow Enron and other renegade companies to plunder California's energy markets. Bush and Cheney blocked the Federal Energy Regulatory Commission (FERC) from stepping in to stop the hemorrhaging and California Republicans slammed Governor Gray Davis for causing the whole mess. They then tapped "The Terminator" to lead their charisma-challenged party. Arnold offered up his celebrity in a bid to topple Governor Davis by abusing the recall provision in the state's constitution.

Soon Arnold was out on the stump promising to "terminate" all new taxes. He even staged an event where his supporters dropped a car from a crane symbolizing their opposition to a vehicle tax that Davis had proposed to deal with the then relatively small (but growing) budget deficit. In 2005, Scharzenegger supported Bush's Social Security privatization scheme and tried to do the same thing to the state's pension plan CalPIRS, the biggest in the country, by pushing a set of failed propositions that were a frontal assault on California's working middle class. And throughout this entire spectacle the Democrats allowed Arnold to make them jump through hoops like trained circus dogs. And they continue to do so today.

The Democratic "leaders" in the state legislature have over and over again betrayed their most important constituencies -- working people, educators, public employees, etc. -- leaving millions of California Democrats to wonder why they were thrown under the bus only so their representatives can reach terrible "compromises" with a recalcitrant and retrograde Republican minority.

One thing that contributes to this dismal state of affairs is that in the legislature here in Sacramento the Democrats often carry out their governing duties differently than do the Republicans. For example, Senate President Pro Tem Darrell Steinberg (D-Sacramento), the typical California Democrat, values comity and decorum as he extends his hand across the aisle to reach compromises in good will with his Republican colleagues. While the Senate Minority Leader, Dennis Hollingsworth (R-Murrieta), the typical California Republican, tears out the Democrat's heart and pees on his lungs through the hole in his chest. You might say the two parties have different negotiating styles.

Californians concerned about the future of the state might think of forming "Progressive Democratic Clubs" at the grassroots level modeled on the California Democratic Clubs that kept the ideals of the New Deal going in California in the post-WWII era, especially during the administration of Governor Edmund "Pat" Brown who built up the state's educational and social services. Progressive clubs such as these (like a state-level Moveon.org) could link up local communities to press the Democrats to get off their knees and start fighting for the people who put them in office.

At a time when President Barack Obama enjoys a 62 percent approval rating, and the California Congressional delegation is stronger than ever with Speaker of the House Nancy Pelosi (D-San Francisco) in the driver's seat, it's curious that Democrats in Sacramento still cower from the bullying of "conservative" Republicans. A grassroots movement working within Democratic Party structures might break the cycle of abuse the Republican minority has inflicted upon the state for purely ideological reasons.

Comments

[quickemart]

Affluent Californians are leaving California. So California's taxable revenue is going to continue to decrease because California is no longer competitive with states like Texas. It's simple really. If you make 80k a year, do you want to leave in California where your taxes and mortgage are high or do you want to live in Texas where there is no state income tax and your mortgage is low.

If you increase taxes, your only speeding up California's brain drain to the southern part of the United States and speeding up the decrease in Cali's taxable revenue.

[Bruins97]

Yes because of course all of us that make over 80k per year make all of decisions based on taxes.....

Its actaully only that simple if your too simple to actually evaluate all the factors involved beyond taxes.....If taxes are less and mortgages are lower (i.e. cost of living) do you think wages are the same? I doubt it....I am sure of course states that dont have income taxes of course just rely on money trees for funding or maybe could it be sales tax, property tax, etc......? Which of course would probably lead to unequal taxing again when you spend your larger income......so maybe Texas will lose everyone to Tax Havens like the Cayman Islands?

California is diverse, great food, Beaches, Mountain, Snow, All kinds of entertainment, etc........Texas? - BBQ? I really cant think of much else....but of course nobody with any money would value any of those little things like lifestyle......

Hrmm how come everyone doesnt live in Nevada already? No Income taxes right..........

[2sleepy]

What I find amusing is that for the past two months, rather than providing leadership, Schwarzenegger has been doing everything in his power to 'scare' the feds into fixing his mess. He has been launching one 'fear bomb' after another.. One day he talks about releasing 50,000 prison inmates, the next day he is going to sell state property. (which would probably take 3 or 4 years to realize any $$), then he is going to kill all entitlement programs, even those where the feds contribute far more than California does. A week later 3,500 prison guards get layoff notices, but he does not cancel a scheduled academy in July for new correctional officers

I'm pleased that the feds didn't buy into the BS and are refusing to consider financial aid until California comes to grips with the mess they have and make some realistic attempts to fix it.

[skeck]

California State Government has been behaving like a college kid with their first credit card for years. Out of control spending with no little or no thought on to how to pay the bills. And now the " Bank " (taxpayers) has finally cut them off. We have had it with their fiscal irresponsibility! Most of us have had to make painful financial decisions in the last year and so should the State. No more taxes- no more borrowing- live within your means just like we have to do!!

[Tim303]

Very good analysis. I'm crying with irritation myself about the clowns who pretend to be left wing in this state. It's time to show some ahem, power here...The bigger picture, as Krugman just argued, is that the Limbaugh style right wing started here, and it's going to have to be cornered and put down, rapidly.

[Ben Dixon]

Quite simply put both parties are to blame for this mess. Republicans for being overzealous tax cutters, and Democrats who are either unwilling or unable to control spending.

[Bruins97]

I think voters are responsible for this mess because they did not hold the politicians accountable and.....I remember when Arnie first got elected and the news was interviewing people - the comments were so clueless and outrageous.

I also think being "Republican" (or espousing Republican Economic policy even if you were Democrat) became a little "fashionable'. My theory is that it was a backlash to the constant "liberal" brand that is put on CA (Hollywood, SF, etc...) and a product of money being glamorized as the end all be all (Reality TV Stars doing anything for money, The Hills, Paris Hilton and that Ritchie girl). People were glamorized for either having money or "looking like/living like" they had money....and I recall people thinking it was a symbol that you had money if you were "Republican" or a "Fiscally Conservative Democrat" which meant you voted Republican because that was the party of Money. Just my too cents but look where it got us now.......Funny how Hollywood is liberal but the two big actors in politics that come to mind (Arnie and Reagan) are/were Republicans.

Lets see what happens.

[Katzencats]

One has to wonder if Democrats generally have been so browbeaten over the last 7 years (You're either with us or you're against us - You must support the President in a time of war or you're a traitor - Being against the war is the same as being against the troops & it demoralizes them, so you musn't speak out) that they no longer know how to lead.

I'm mystified at the national level how the Dems in both sides of Congress are refusing to do what they were elected into the majority for - to straighten out the Republican screw-ups. California is the state level example. The Dems need a leader who won't back down from the Rep bullies, no matter what they throw at him or her. We all thought Obama was it, but he's taken compromise to a new level, where the minority party still calls the shots & the majority just sits & fumes. Harry & Nancy are hardly leaders, when every time they say something the Reps don't like, they immediately back down.

Thanks for a good explanatory article, it was very enlightening.

[johnie2xs]

"Comity" and "Empathy" are not in the Rethuglican Party's vocabulary, within California or within our national legislature. The "Shermanesque" attitude of the Rethuglicans, in league with the right wing radical element, are headed toward bringing this country to its knees.

I don't see a good outcome. Someone talk me down.

[johnie2xs]

Hey!!! My comment made it. YEEEEEEEEE­EEHAAAAAAA­A!!!!!!!!!­!!!

[Joseph A. Palermo - Huffpost Blogger]

I almost deleted that paragraph about the differing "negotiating styles" because the original sentence was far more spicey than the one I used -- thanks Johnie2xs and Katzencats for getting the ball going on this post -- I know it's parochial to many people out there, but California's health really does affect the rest of the country. I hope we can push back and not allow them to destroy what makes this state great.