Flashreport Blog

The Governor must act on the budget by midnight today. If he had the courage, he would send it back and demand the Legislature send him a fully vetted plan that is truly balanced, contains real reform and spurs job creation in our state.

The truth is that California won’t have a real budget until November. That’s when voters will decide whether to embrace or reject the billions in higher taxes the budget assumes.

Should taxes fail, the budget calls for billions in ‘trigger cuts’ to education funding. I suspect these ‘trigger cuts’ are little more than a head fake aimed at scaring overtaxed Californians into taxing themselves even more.… Read More

Make no mistake, the Democrats’ budget isn’t about solving California’s fiscal problems—it’s only goal is to ensure lawmakers keep their paychecks flowing.

When voters last fall granted Democrats their wish of majority-vote budgets, they demanded lawmakers forfeit their pay if those budgets are not approved on-time. But it was never the voters’ intention for lawmakers to approve a sham budget simply to keep their paychecks coming.

What’s worse is that to protect their own pay, Democrats are poised to sacrifice the paychecks of thousands of California small businesses known as affiliates. Up to 25,000 of these Internet entrepreneurs will lose their affiliate status if Democrats approve a so-called ‘Amazon tax.’ According to the Board of Equalization’s analysis, ‘termination of affiliate programs would have an adverse impact on state employment’ and ‘lead to lower revenues.’

The dumbest idea of all is the Democrats’ plan to sell state buildings for one-time revenue. If lawmakers want real one-time dollars, they should consider my proposals to raise billions in revenue by (1) granting an interest and penalty holiday to spur… Read More