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FlashReport Weblog on California Politics

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Edward Ring

Desalination Plants vs. Bullet Trains and Pensions

Current policy solutions enacted to address California’s water crisis provide an object lesson in how corruption masquerading as virtue is impoverishing the general population to enrich a handful of elites. Instead of building freeways, expanding ports, restoring bridges and aqueducts, and constructing dams, desalination plants, and power stations, California’s taxpayers are pouring tens of billions each yearinto public sector pension funds – who invest 90% of the proceeds out-of-state, and the one big construction project on the table, the $100B+ “bullet train,” fails to justify itself under virtually any credible cost/benefit analysis. Why?

The reason is because infrastructure, genuinely conceived in the public interest,lowersthe cost of living. This in-turn causes artificially inflated asset values to fall, imperiling the solvency of pension funds – something that would force them to reducebenefits. Beneficial infrastructure is also a threat to crony capitalists who don’t want a business climate that attracts competitors. Affordable land, energy, and water encourage economic growth. Crony capitalists and public sector unions alike hide… Read More

BOE Member George Runner

Falling Gas Prices Mask Hidden Tax

So why is it that while other states are now enjoying gas prices of less than $2 per gallon, California is still paying higher prices?

Due to high taxes and costly regulations, our state’s gas prices are higher than other states. It’s been that way for years.

But what’s new is that the gap between California’s and other states’ gas prices has grown.

To get a sense of the change, compare California gas prices with those of the nation as a whole. According to GasBuddy.com, even while overall prices have fallen, the gap has grown from about 32 cents per gallon just a month ago to as much as 47 cents this January.

That’s a 15 cent increase in just one month!

The likely culprit is a new “hidden gas tax” that took effect January 1. The new regulation expands the state’s cap-and-trade program to include transportation fuels. The expansion is the latest in a series of sweeping and costly regulations developed by the California Air Resources Board as it implements the California Global Warming Solutions Act.

Luckily for the Governor and his Air Board appointees, gas prices barely budged when the new rule kicked in; in fact,… Read More

Katy Grimes

Gov. ‘Moonbeam’s Historical Transformation of ‘Crazifornia’

The Golden State of California has been dubbed “Crazifornia” and “La-la land,” and called “the land of fruits and nuts.” Furthermore, California’s governor, Jerry Brown, is known as “Governor Moonbeam,” a moniker from which he’d like to disentangle himself.

The rest of the country believes California has earned and deserves these disparaging names. And unless something changes in this batty state, Governor Moonbeam is on track to meticulously and completely destroy the state’s economy and bankrupt the government.

But hey… who’s going to stop him? The media?

Gov’s Agenda – Not Voters’Read More

Katy Grimes

California’s High Speed ‘Browndoggle’ Breaks Ground

Desperate to get any part of California’s High Speed Rail built, Gov. Jerry Brown pushed the groundbreaking for the rail system upto Tuesday, just as the new Republican Congress is getting settled.

The motive? Democrats want to get their hands on $3.5 billion in federal stimulus money. And, there’s no time like the present… following a recent Third District Court of Appeal ruling which overturned a Sacramento Superior Court decision which contended that the funding plan for the high-speed rail project violated the ballot measure voters approved in 2008.

Dan Richard, chairman of the board of the California High-Speed Rail Authority, said they would move “aggressively” to build “a modern high-speed rail system that connects the state, creates jobs and complies with the law.”

There’s no time to waste lest another legal decision derail their plans.“Jobs, jobs, jobs” was the campaign rally cry for Jerry Brown during his 2010 run for governor, when he vowed his support for high-speed rail. He supported it so much it’s earned the nickname the “Browndoggle.”

In January 2013, Brown held carefully staged signing… Read More

Katy Grimes

How to Spend the Cap and Trade Riches, Part ll

Part ll in a two part series. Part l can be found here.

Last week I wrote about a recent Senate Budget Committee cap and trade hearing and the billions of dollars expected to be generated by the Air Resource Board’s cap and trade auctions.

One of the issued I posed was the original purpose of passage of AB 32, the legislation under which the cap and trade hearings are conducted.AB 32, California’s Global Warming Solutions Act of 2006, established the goal of reducing… Read More

Edward Ring

The Unholy Trinity of Public Sector Unions, Environmentalists, and Wall Street

Taken at surface value, there ought to be minimal identity of interests between these three special interests. But if you follow the money and power instead of the rhetoric and stereotypes, you will find this unhealthy alliance is alive and thriving. For example, unions use “greenmail,” the threat of a lawsuit on environmentalist grounds, to block developments until the businesses involved concede to union demands. Once they back down, the environmental problem magically disappears.

California’s much vaunted high-speed rail and delta tunnel proposals are also examples of the unhealthy rapprochement between unions (public and private) and environmentalists. Because the construction unions, God bless ‘em, want thousands of good new construction jobs, and the only big projects that are environmentally correct are these monstrosities. The unions have a choice – fight the environmentalists in order to lobby for public works that actually yield economic benefits to society, or enjoy their considerable support for a couple of misguided mega-projects.

Beyond obvious examples, how unions, environmentalists, and America’s overbuilt financial sector collude –… Read More

Katy Grimes

State Democrats kill High-Speed Rail accountability spending bill

SACRAMENTO — It is very discouraging that something so clear-cut like the High-Speed Rail Authority’s misspending practices are embraced by state Democrats.

Assembly Bill 1501, by Assemblyman Jim Patterson, R-Fresno, California High Speed Rail Funding Accountability Act, was killed in the Assembly Transportation Committee Monday, with the majority of Democrats voting in opposition.… Read More

Richard Rider

THE final CA HSR lie is exposed for what it is — fraud

Yeah, it’s true — I DO fiendishly enjoy beating a dead iron horse — in this case, our California HSR choo-choo. But bear with me. New stuff! Three solid articles, as a matter of fact. At this point, it’s hard to imagine we Californians will continue with this HSR madness, but never underestimate the bull-headed stupidity of Democrat politicians — both state and national. Fortunately there now is a new stake (a silver spike?) that’s been driven through the putrid heart that sustains this beast. As an educational aside, let me suggest that this singleexample of government running amok at the behest of special interests — in this case, HSR train lovers, green religionists, labor unions and big rail business profiteers — a project justified by obviously fraudulent “facts” — could and should constitute an entire college political science course on how government REALLY works. Of course, it won’t make the course list (or even be mentioned as an aside in the classrooms), but collegiate pro-socialist bias (with the … Read More

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