This is Part 2 of a series on the EDD. Part 1, an interview with Spokesman Dan Stephens, ishere.

Just after the Labor Day weekend, the California Employment Development Department released a $100 million computer upgrade. Itcrashed.

Without warning,150,000 joblessCalifornians were cut from unemployment benefits. The EDD blamed a computer glitch and said it would take weeks to fix.

November hearings in the Legislature produced promises to fix the system. In response,Henry Perea, D-Fresno, the chairman of the Insurance Committee, senta letterto EDD Director Hilliard demanding fixes by Dec. 31. Perea identified five… Read More

This is Part 1 of a series.

Obamacare’s computers aren’t the only government systems struck by major glitches.

Two months after a California Employment Development Departmentcomputer crashcut off tens of thousands of Californians from their unemployment benefits, the EDD remains overwhelmed by overdue unemployment claims from thousands of people looking for jobs.

State Labor Secretary Marty Morgenstern, an appointee of Gov. Jerry Brown, quicklyordered EDDofficials to pay the unemployment claims immediately, and check eligibility later. Yet today thousands of… Read More

For the third year in a row, California has been named the worst-run state in America, by 24/7 Wall Street. Is it any wonder? With at least10 Californiacitieson the verge of municipal bankruptcy, a $24 billion budget shortfall in 2012, including a mid-year shortfall of $930 million and $8.2 billion carried over from the year before, California is a mess.

“California carries an A credit rating from Standard & Poor’s, and an A1 from Moody’s — both worse than any other state except for Illinois. Explaining its rating, Moody’s pointed to the state’s history of one-time solutions to resolve its budgetary gaps,” 24/7 Wall Street reported in… Read More

I received my notice of cancellation from Anthem Blue Cross October 14, stating my company’s health insurance plan will no longer be available Jan. 1, 2014. But as a 20-year former Human Resource professional, panic did not set in.

Instead, I was angry.

I have a really good PPO plan. My annual out-of-pocket is high, but my coverage is good. It makes doctors smile when they see I have a PPO. Cha-ching $$.

I like my insurance plan. I like my family doctor — we have a 23 year relationship. Skin cancer and San Joaquin Valley allergies have plagued me for years, so my two favorite docs are my dermatologist of 25 years, and my ear, nose, throat doctor of nearly 28 years.

The cancellation of my plan means Anthem Blue Cross agreed to what Covered California forced on them, to cancel all employer plans by December 31, 2013.

Tuesday, Anthem Blue Cross of California announced it has agreed to a two-month extension of more than 100,000 individual policies. This was supposedly after they failed to give the required 90-day cancellation notice, state Insurance Commissioner Dave Jones announced this week.

The policies had been set to expire on Dec.… Read More

Legislators in Sacramento typically fall in line behind party leadership, but freshman Assemblywoman Cristina Garcia, D-Bell Gardens, appears to have a pronounced independent streak.

I had a chance to talk with Garcia about her experiences as a political reformer, and her recent call for a fellow Democrat, state Sen. Ron Calderon of Montebello, to resign amidFBI allegations of corruption.

Garcia has a solid record fighting political decay. She took on the corruption in Bell, volunteering her time with the city’s recall campaign, which ended with every Bell council member being voted out of office.

Garcia said her co-volunteers then wanted her to run for office.

Running as a government reformer, Garcia beat Democrat Tom Calderon, a former Assemblymanand Sen. Ron Calderon’s brother, in the June 2012 primary. She then went… Read More

Ouch! That’s the cry of someone trying to sign up for the Affordable Care Act, usually called Obamacare.

Health insurance cancellation notices have gone out to millions of Americans. Many cannot get insurance at all. And for many who can, “premium shock” strikes those seeing their health plans canceled and renewed at higher rates.

Insurance industry experts are warning that two-thirds of already insured Americans will see their current insurance dumped into the hospital waste bin.

Obamacare is supposed to take care of people with pre-existing health conditions. But the actual “preexisting health condition” turns out to be already having private insurance. Obamacare means you have to sign up to find out whether that “condition” still exists — or has been canceled.

Another Obamacare bombshell about to… Read More

The Caltrans Bay Bridge debacle is worse than just a case of embarrassment for government infrastructure projects. The bridge is unsafe, according to engineering experts across the country, after the discovery that a third of the of the 96 massive, high-strength steel rods, installed for seismic safety, cracked under pressure when the nuts affixed to the rods were tightened.

Under construction for more than a decade, the Bay Bridge project has not only taken much longer to build than planned, but cost overruns have escalated the total cost to build it to a whopping $6.4 billion. And that’s not the half of it.

According to CBS San Francisco, retired Bechtel metallurgist Yun Chung recently prepared an unsolicited 32-page report stating that Caltrans engineers “were ignorant to the threat of hydrogen embrittlement — a process in which high strength metals, such… Read More

SACRAMENTO — Balancing the economic realities of the state budget with political influences surely is a challenging task. Unfortunately, in California it is a task which few administrations have managed in recent state history.

Democratic Gov. Jerry Brown announced Tuesday morning that despite a state budget surplus, his May budget revision included projected lower budget figures for fiscal year 2013-14, which begins on July 1, than for the previous fiscal year. The reasons are one-time revenue surges because of federal tax changes that last only one year; and the retroactive part of the Proposition 30 tax increase for 2012.

The result will be less program spending, but with most of the spending increases focused on schools and Medi-Cal.

“We have climbed out of a hole with a Proposition 30 tax,” Brown said, referring to his 2012 initiative which increased taxes on those with incomes exceeding $250,000; and increased sales taxes on everyone. “This is not the time to break out the Champagne,” said Brown, who still called for caution despite an uptick in the state’s revenues.

“I am pleased that for the first time since I was elected to the… Read More