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Paul Hogarth

Paul Hogarth

Posted: June 9, 2010 03:05 PM

California Rejects PG&E, Despite Spending $46 Million

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I've been a political campaign junkie for years. And the frustrating part about this job is that after going to Election Night parties, I have to go home and write about it for readers to view the next morning. So if a particular race takes the whole night to resolve, I could be up very late. But I had no problem sticking around the "No on 16" campaign party last night until 1:00 a.m. -- monitoring the results with Supervisor Ross Mirkarimi, State Senator Mark Leno and our good friends at TURN. Because last night's defeat of Prop 16 was one of the most historic victories in California history. Outspent over 1,000-to-one by a monster utility company, consumer advocates defeated by a 52-47 margin an odious measure that would have cemented PG&E's monopoly. To call this a David & Goliath victory does not give it justice. As my friend Robert Cruickshank wrote at Calitics, it's like "an ant taking down an elephant." Oh, and Prop 17 failed too.

PG&E is desperate to stop community choice aggregation -- where local governments can purchase energy to offer their constituents a "public option" to the company's monopoly. Prop 16 would have required a two-thirds vote of the electorate before cities can do community-choice aggregation, and cynically dubbed it the Taxpayer's Right to Vote.

Never mind that taxpayers already have the right to vote out their elected officials -- if they don't support community choice aggregation. Never mind that ratepayers were not given the chance on voting for PG&E as their energy provider. Public power is not even one of my top "issues," but I was outraged that PG&E would try something like Prop 16.

PG&E shattered campaign spending records with $46 million to pass Prop 16 -- ratepayer money that we give them every month when we pay our energy bills. The only organized opposition was TURN (the Utility Reform Network), who only raised $90,000. Bloggers got creative by making "No on 16" videos, and a hilarious Twitter feed. But the campaign often seemed like a rag-tag army tilting at the windmills.

When I arrived at the "No on 16" party at Otis Lounge around 9:30 p.m., the results were looking bad. We were down by about three points, but the night was still young. Having watched statewide campaigns for years, I knew it would ultimately come down to Los Angeles County -- so I quickly went online to check how we were doing down there.

Not good. The early absentees had Prop 16 winning L.A. County by 13 points, far worse than where we were statewide. If this kept on during the night, it was going to be painful. The public power entity in Los Angeles had just raised rates, and folks at the party said it may be why Prop 16 was doing so well. Small comfort for the largest county in the state.

Mark Toney of TURN was saying we should be proud that we held PG&E to such a close margin, after having been outspent nearly 1,000-to-one -- but I cringed when I heard that. We were losing. Sure, we were doing pretty well in Northern California -- where people know and hate PG&E -- but we were getting creamed down south. Where the votes are.

But as the night wore on, some folks pointed out how well we were doing in counties like Fresno, Madera, and Mariposa. These are conservative places in the Central Valley, but PG&E had alienated these customers with "smart meters." I checked how we were doing in San Benito County, which political junkies often say is the bellwether of California state politics. We were slightly ahead in San Benito County, but only by about 50 votes.

And the L.A. County numbers were trickling in, slowly, but surely. We were still losing there, but the margin was noticeably trending in our favor. By now, everyone at the party was huddled around a small number of laptops, while I double-checked the Secretary of State's website with what individual counties were saying. Places like San Diego and Orange County were coming in where we were behind, but we were not losing ground.

Pretty soon, our three-point loss became a one-point lead -- and there was a palpable sense in the air that we could win it. I wasn't convinced yet, scouring the L.A. County numbers to see if this positive trend in our favor was not going to start reversing itself.

When 58% of L.A. County had been counted, we were ahead there. I got up, and boldly shouted that we had won. It reminded me of the scene in Milk, when Jim Rivaldo tells Harvey Milk not to worry about the Briggs Initiative. L.A. County had just come in, and we were going to win. By now, I was sure that we had slain the Prop 16 dragon.

During that whole time, Prop 17 -- Mercury Insurance's scam to rip off consumers -- had been ahead by a wider margin than Prop 16. As we were all fixated on the Prop 16 results, it became apparent that Prop 17 results were following similar trends. By the end of the evening, Prop 17 had likewise had the same fate -- it also lost by about five points.

As of 4:00 this morning, Prop 16 is losing 47-53 -- with 91.6% of all precincts reporting. Not only is this a stunning rebuke of PG&E, but it is a strong mandate for public power. Californians want a choice in the energy marketplace and are ready for a "public option" that provides them with competitive rates and renewable energy sources.

And PG&E will deserve every share of anger, rebuke and humiliation coming at it.

Paul Hogarth is the Managing Editor of Beyond Chron, San Francisco's Alternative Online Daily, where this piece was first published.

 

Follow Paul Hogarth on Twitter: www.twitter.com/paulhogarth

I've been a political campaign junkie for years. And the frustrating part about this job is that after going to Election Night parties, I have to go home and write about it for readers to view the nex...
I've been a political campaign junkie for years. And the frustrating part about this job is that after going to Election Night parties, I have to go home and write about it for readers to view the nex...
 
 
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Popularity
12:56 AM on 06/15/2010
Woo hoo! The key with ballot propositions is to look at who sponsors them. I'm so happy we beat this!
01:01 AM on 06/10/2010
It is easy to understand why PG&E spent so much to try and stop community utilities. I am lucky to live in a CA city that has a city run electric utility and rates that are about 1/2 those of PG&E.
HUFFPOST SUPER USER
Jimcracky
11:27 PM on 06/09/2010
Another attempt by "deregulated" power companies trying to maintain their monopoly. Thank God this time they bit the dust. But, vampire-like, they will rise again. Let's be ready and in the meantime, let's push our towns and cities for power options. It's about time we had some.
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Bompa
Grampa to eight
09:49 PM on 06/09/2010
Thank you my fellow Californians!!!!
I am out in the mid-west this week, and I am thrilled to hear that the Big Corp money didn't get to buy this one!

Bravo!!!
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HUFFPOST COMMUNITY MODERATOR
Callyson
I don't respond to haters or paid trolls.
09:09 PM on 06/09/2010
Yes! So glad this one went down...
And the next time the lackeys at Pigs Greed & Extortion want to tell us that they can't afford to invest in alternative energy sources, we need to remind them of how much money they threw away on this election.
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Kevin Bard
05:00 PM on 06/11/2010
Great point. I know the guy who wrote this article, and I was on the verge of panicking, until the numbers flipped around midnight against PG&E.

Thank goodness it failed. And Prop 17 too.
07:38 PM on 06/09/2010
Props 16 & 17 defeated....GREAT!!!!!!!!!!!!!!!!!!!!
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RodgzK
07:25 PM on 06/09/2010
Talk about mixed feeling. I'm pleased that a majority of my fellow Californians saw fit to reject PG&E's cynical attempt to present Prop 16 as a "right to vote" issue. At the same time, I'm disturbed by the fact that 47% of those voters thought it would be a good idea to make it effectively impossible for communities to seek energy alternatives less expensive that offered by PG&E. Nonetheless, on the whole, Cal voters showed remarkably good sense in rejecting both special interest sponsored initiatives.
07:18 PM on 06/09/2010
Frankly, I am amazed. I battled PG&E on the Nuclear Safeguards Initiative in 1978. They are sneaky, misleading, and have all the money in the world.

So, when Prop 16 ads first came out as the "Taxpayer's Right to Vote Act" I knew it was PG&E up to its old tricks. Why in hell would we need or want to vote on our municipality generating its own power... isn't that what we elect people for??

I never dreamed that the majority of California voters would see through the sham. Frankly, these same voters have made a mess in the past of state politics without immense advertising like PG&E had.

So, I am pleasantly surprised and astounded that the voters turned this down. It restores a portion of my faith in the populace of this state!
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RodgzK
08:37 PM on 06/09/2010
I couldn’t agree more. Last night was an unexpected victory for Californians and an uncommon defeat for special interests. The manner in which the Prop 16 and 17 campaigns were waged, however, should serve to highlight a growing problem in our state, the attempts by corporation to manipulate the legislative process to serve their own interests. This year both PG&E and Mercury Insurance tried to induce voters to support legislation favorable only to the corporations by misrepresenting them in hugely expensive ad campaigns. Late last year a Santa Barbara based oil company used a petition to qualify for a vote a measure designed to allow the company to bypass the review process Santa Barbara has long used to protect itself from unwise expansion of costal oil well drilling. That was also defeated last night.

Unfortunately, the initiative process in place here means that more and more often Californians are being asked to vote on issues requiring information and/or expertise the public does generally possess and supported by campaigns designed to obscure and mislead. I wouldn’t go so far to say we dodged a bullet last night but we at least avoided having a large albatross hung around our collective necks. The initiative process served a purpose in 1911 when it first came in to being but the political climate that fostered has long since past and it is time our legislators address this seriously outmoded procedure.
ThePeacemakers
Concerned Citizen
06:20 PM on 06/09/2010
Outside of about 3 races...in Dem and GOP races in Cali, the women won.
How about THAT!

Voters also rejected the Auto Insurance Industry with Prop. 17.
01:47 AM on 06/10/2010
Women? Anti choice, ant
01:51 AM on 06/10/2010
Women?! Imagine a woman trying to dictate another woman's reproductive choices! Fiorina is more dangerous than any fat white rich bald white dude because idiot women will vote for her because she IS a woman and NO other reason. You're celebrating her victory is a slap in the face to all women if the world.
04:45 PM on 06/09/2010
Yay! I was so worried about this passing! PG&E was super sneaky about this, and the closeness of the vote shows that. Good job, slight majority of California voters, for seeing through the corporate sham!!!
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patricklee5150
Texas Liberal
04:29 PM on 06/09/2010
I am so happy that this prop.16 failed....good news! I am going become a fan of yours...I like your style.
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steveobviously
trying to point out the obvious
03:53 PM on 06/09/2010
This was the race that I had my eye on too. I wanted to see if the public was going to let a corporation basically write and enact law. That it was promoted in such a dishonest way also increased my ire. That it came so close to working for PG&E shows how much we need an educated electorate that is aware of the real issues and is not swayed by the most and the slickest commercials. Now we will see if that carries over to candidates. Whether the flurry of slick, high-priced negative ads will allow a couple of candidates to buy their respective political offices.
01:46 AM on 06/10/2010
The fact that this almost passed shows what idiots a large number