California Votes for Fundamental Change

By Phil Trounstine and Jerry Roberts
Calbuzz.com

The skunking of all five special election budget measures backed by Governor Arnold and the Can't Shoot Straight Legislature was a clear signal that voters are way beyond fed up with half-measures, marginal fixes and smoke and mirrors in Sacramento.

Like a winless team trotting out a five-lateral trick play in the final seconds of the last game of the season, Schwarzenegger and the Legislature tried to pull a fast one, hoping to avoid facing the hard reality that it's time for fundamental political change in California.

"The public is making a statement, loud and clear, that they expect action," said Jim Wunderman, CEO of the Bay Area Council. "The seriousness of the problem has reached a crescendo.

Executives of the council today are scheduled to roll out the most serious call for sweeping political reform in California since Hiram Johnson - an ambitious plan for an historic constitutional convention to overhaul the fiscal, management and electoral structures and operations of a government that spends $144 billion a year, chronically fails to pass a budget and has plunged the state into a thick muck of debt it will take decades to clean up.

With recession sapping the economic strength of the state, and voters holding record-low opinions of their state leaders, the time is ripe for this kind of quantum change. In parallel with the Bay Area Council, the good government group California Forward has launched its own agenda of political reform, while partisans and policy wonks alike prepare to fight for initiatives on reforms like open primary elections and dumping the two-thirds requirements for passing budgets and taxes.

California's challenge is deceptively simple to envision but horrifically complex to accomplish: restoring democracy where institutional chaos now reigns.

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Comments

[MichaelOFaolain]

May 19 the voters of California told their legislative representatives they just elected to office that they - the voters - really did not want those representatives to operate and maintain State government. Voters rejected the political compromise worked out by Governor Arnold Schwarzenegger who they elected when they recalled Governor Gray Davis.

The State and local governments of the world's 8th largest economy will suffer a financial shock over the next 6 months. The State is considering "borrowing" property tax revenues and will be unable to remit sales tax revenues to local governments because the State is again getting low on cash. The State's deficit is now 25% of the State General Fund and rising. Few Americans are old enough to remember the 1930's when, along with bank failures, state and local governments including schools, paid vendors and employees with "warrants" - IOU's based on the hope that someday enough cash would come into the treasuries to cover them.

State spending on everything from cars and computers to food and toilet paper is going to be cut by a minimum of 15%. This money will cease to enter the private sector. The ripple effect in the national and world economy will be noticed by the economy's statistics keepers. Private investment in California's economy will dry up. Business Week yesterday called California a "basket case."

Since 2005 the web site called "Three Californias" - 3cals.phrelin.com - has advocated dividing the state into Northern California, Coastal California, and Southern California. Its

[Mildmannered]

I would like to see a study done listing all of the states in order of their state and local tax burdens, and comparing it with lists of all states in order of education of its residence (both % high school grads and % four-year college grads), in order of household income, in order of start ups of new businesses, and in order of innovation (maybe patents per year per resident).

[Mildmannered]

"Gov. Arnold Schwarzenegger is proposing to completely eliminate the state’s welfare program for families, medical insurance for low-income children and Cal Grants cash assistance to college and university students."

Sounds like bad and sad news to me.

[thefirehorse]

Californians aren't as dumb as they think we are. We remember that the CA legislature just enacted payroll tax that effectively hijacks any stimulus that was to go to the people. Californians have always given to the state without reservation and were consistently ready to give to support the poor and education. But enough is enough. We know when we're being sold a bill of goods. Go ahead and do your worse, But remember. When you're done we're still going to be here and we're going to be "PISSED".

[nee]

CA is one of the highest taxed states. These guys need to balance the budget with the money they get (steal) from us. They need to cut programs, jobs, and pensions. The MILLIONS we spend on gang "prevention" - has it worked? CUT! Cronies who get paid $100,000 for being put on boards that meet once a month- CUT! All those government jobs where people collection 100% of their pay when they retire at 50 - where else do that happen? CUT! All the ILLEGAL ALIENS that are in our jails need to be DEPORTED to their own countries - let those governments foot the bill. CUT!That's just a start but it is better than what is happening now.

[Gib]

In physics, a quantum is the smallest possible increment.

[JoeySoCal]

BY THE WAY, WHERE ARE ALL THE BILLIONS OF DOLLARS OF EXISTING TAX REVENUE GOING?!?!?! DO YOU SEE IT?!?!?!

[JoeySoCal]

I've got one big fat burning question / anger.

California brings in MASSIVE revenues. It is rich in resources, and it's natural state is one of wealth. WHAT THE HELL IS WRONG WITH THESE PEOPLE THAT SO MUCH MONEY IS NOT ENOUGH!?!?­!?!?!??!?!­??!?!?

FIRE THEM ALL?!!????­!!?!!!!!!?­!!??!.....­........

IT IS DISGUSTING TO SEE THE POLITICIANS UNABLE TO MAKE ENDS MEET WHEN THEY ARE DRAWING ON THE REVENUES OF ONE OF THE LARGEST, RICHEST ECONOMIES IN THE WORLD- AND IT'S GEOGRAPHICALLY ONLY A MODERATELY SIZED STATE!!! AND WE HAVE THE HIGHEST TAX RATES IN THE UNITED STATES. HOW MUCH MONEY DOES IT TAKE TO FIX THE POTHOLES, MAN?!?!?! AND TO PAY THE TEACHERS? SURE THEY'RE UNION, BUT IT'S NOT LIKE THEY SIPHON OFF AS MUCH MONEY AS A BUNCH OF CEO'S, OR EVEN BEAUROCRATS. FIRE THE BEAUROCRATS. THEY TALK ABOUT CUTS- FIRE THE BEAUROCRATS AND OUR BUDGET WILL BALANCE. LAUSD HAS MORE BEAUOCRATS THAN STUDENTS, CAN YOU BELIEVE THAT?!?!?! THAT IS INSANE.

16 BILLION DOLLARS IN DEBT, WITH ALL OF OUR RESOURCES- IT IS ROTE CRIMINAL.

THIS COUNTRY HAS GONE STRICTLY BANANAS. A COUNTRY FULL OF THE MOST PRESTIGIOUS ECONOMICS UNIVERSITIES IN THE WORLD, AND NONE OF OUR OUR CITIZENS IN POWER ARE CAPABLE OF BALANCING A CHECKBOOK. IT TRULY MAKES ONE ILL.

[cloudminder]

the University of California system and the Cal. State Univ. system are the first ones to complain that this is going to be dire for them..

and I am glad, they should feel it and start operating as true universities where teaching is the focus and the student is served.

the overpaid senior management groups need to be shown the door without golden parachutes

[corwin]

California is going bankrupt.I don't know whether to be happy..........or overjoyed. (From Taxi). I am amused to see some of the above claiming Cal is undertaxed or doesn't have enough publicly employed representatives What is happening is the state with the most natural advantages has bankrupt itself. And it's going to get worse. And (Directly above ) Awake and Sing ;I want to have Cameron Diaz in various ways.But,both you and I have to be realistic.Since you're talking about repealing statewide petitions(Oh,and being democratic) on the day similar postions won,you have to see the inconsistency in your views.(Well,maybe not.)
Time to say it:Reality;what a concept.

[truelockCA]

California is the most Liberal State the union. We have had for decades what is now in place in Washington. Total control by the liberal politico. As California goes so goes the nation. We are headed down a very scary road.

[arcticterrier]

Thank you libs in California for providing the best argument yet against the Obamony. The bluest of blue states is a perfect model for the mentality of the libs...unf­ortunately it is going to cost the rest of us.

For years California has repeatedly extended every government program known to man as far as possible. Time and again the voters have spoken through the ballot box for the biggest government and the most programs possible. When told there would have to be cuts, bloody screams erupt. And now, when asked to find a way to pay for them the reaction seemed to be "What? You want us to pay for all these things we demanded. NO!" So went the recent vote.

California for the past 15 years or so seems to have been the Obamony in microcosm. Spend like crazy and promise everything to everybody. Fortunately, or unfortunately depending on how you look at it, California doesn't have a printing press to churn out more money as the US Obamony will.


The President seems to be indicating that there will be some bailout of the State of California. Great. It's citizens demand everything and then some, refuse to pay for it themselves, so now the rest of us will be forced to. Sounds like the model for the Obamony...let's give away lots of stuff we can't afford and let someone else pay for it.

[Awake-and-Sing]

No, what California proved once again is that supply-side economics is caca. You cannot have low taxes and quality government services.

No matter how often conservatives repeat their delusion, it doesn't make it any more true.

[Dale07]

California has low taxes? There are nine states that have NO state income tax, great services and aren't bankrupt.. California is a welfare state. Proof, the most progressive state in the union suffers it's politics.

[arcticterrier]

Really....States in the worst economic trouble in the union-California, New York, New Jersey, Massachusettes, Illinois, Michigan and a number of others-all overwhelmingly liberal and the proposed solution for all is raising taxes.

States doing best in this difficult economy-Texas, Alaska, Oklahoma, Montana, Utah and a few others-all stongly conservative (note: I didn't say Republican) with low or (most) no state income taxes, low business taxes, low "user fees".

Look at a time line...the "bluer" California has gotten the worse shape economically it has become. How is WE want it all but WE don't want to pay for it supply-side economics? Sounds like "find someone else to pay for our stuff". Government cannot do most anything for you nearly as well as you can do it yourself. Of course for this to work you must be willing to DO and not live through government beneficence.

[econ1]

Well actually California has among the highest taxes in the nation.
We also have the second best paid teachers (but among the poorest education performance).
We have among the most generous benefits for the broadest section of the population.
Pensions for public workers are also among the most generous.
In the last quarter of last year the state actually added workers.
We also house some 18,000 illegal immigrants in our prisons...the most expensive in the nation...(which the Federal government is supposed to pay for but doesn't).

The issue is not that Californians are under-taxed but that expenses have increased faster than income. Perhaps the federal government will allow the state to spend some other people's money but I doubt it will for long.

[thefirehorse]

Hey do you even live in CA? Where are your facts? Prove It. I live here.

[Awake-and-Sing]

Why wasn't repealing the undemocratic 2/3 vote for a state budget rule on the ballot?

While the elected politicians and the voters with their initiatives are all to blame for California's financial Armageddon, that one rule is more responsible for our mess than anything.

Our State Assembly of only 80 members is ridiculously small for a state of 36,000,000 people. (That's only one Assemblymember for every 450,000 people, over 10 times the national average.)

I want to see the 2/3-vote for state budget rule revoked.

I want to see all tax and spending voter initiatives for the last 40 years, including Prop. 13 and Prop. 98, repealed so that the elected governor and legislature can do their jobs, and an moratorium on ballot box budgeting.

I want to see an Assembly of 160 members so that we can have less populous districts, requiring less campaign cash from special interests.

I want to see an end to term limits which end institutional memory, throw the babies out with the bathwater, and gives lobbyists massive power in Sacramento.

Let the majority party make majority decisions and be held accountable for those decisions. Right now, even if the majority party changes, there will be no change because the supermajority 2/3 vote for a state budget rule allows a superminority of both sides to hold the state hostage.

I want to see our State Assembly doubled from 80 members to 160 members, b

[nee]

2/3 vote would have been kept in. That is the only thing keeping these guys even a little bit honest.

[Awake-and-Sing]

No, it just gives the minority power they did not earn at the ballot box.

[Mildmannered]

so much for majority rule