- Or -
Search blog archive
Republican Insurance Commissioner and Gubernatorial candidate Steve Poizner sat down with reporters with the Sacramento Bee this morning. He made a common sense suggestion on how to keep the state from going insolvent without ANY tax increases. Rather than pursuing an 18 month solution, perhaps we should look more short term, so that we don’t have to raise taxes? A novel thought.… Read More
In addition to Jon’s kudos to the Gang of 13 this morning, let’s also send a big birthday wish to Senator Tony Strickland. Keep in mind he missed both a Valentine’s Day weekend as well as a birthday weekend, holed up and locked down while protecting the taxpayers of California. That’s the best gift I ever received from someone else on their day.
Happy Birthday, Tony! 39?… Read More
There are a lot of problems with the Big 5/Big Taxes plan — some of which are a function of a broken process. The super secret-squirrel negotiations result in a scrambling of speedy analysis, trying to figure out what is really in the package.
State Senator Bob Dutton, who ironically is the Vice Chairman of the Senate Budget Committee, like everyone else has been scrambling to look into the details of the plan, having had it sprung on him just like everyone else.
One interesting analysis that his staff did was they looked over the stated $15.1 billion in cuts in the plan. Guess what they found? Yep, State Capitol "double speak" is alive and well.
Attached is a document (excel format) that details the sad truth, which is that if you apply the traditional "normal" definition of cuts (you know, were we actually reduce the amount of money on a program, as opposed to "cutting an anticipated increase" — or how about calling cuts items that have to be paid back?
Anyways, by the take you take out the "cuts that aren’t cuts" — the real cuts in this package are only $3.1 billion —… Read More
Kudos to CalTax for picking up on the Board’s reluctance to give up extra resources with regard to the new Flavored Malt Beverage regulation (link).
When we adopted the regulation last year, over my objections, the Board told the Department of Finance to expect $38 million in revenue for the fiscal year. As I warned repeatedly, it turns out the regulation is unenforceable and easily dodged.
The companies this regulation sought to punish simply changed the formula in their products so they no longer contain distilled alcohol. As a result, year-to-date, the state has collected only $6,000 of revenue. (Yes, that means our expert revenue estimates were off by 6,333%) To gear up to collect this tax we asked the Department of Finance for more money. Finance now understands how ridiculous this tax is and they want the BoE to completely withdraw the request. I agree with Finance. With a hemorrhaging state budget this should be a very simple decision to save the state money.
The BoE is asking for $1,328,000 (General Fund) in Fiscal Year 2009-10. Now that we… Read More
Our esteemed editor Jon Fleischman posted a John Fund commentary on the state budget crisis, in which Fund mentioned speculation that Darrell Steinberg and Karen Bass might pass a tax hike on a majority vote.
I say: please, go right ahead. Not only would it be declared unconstitutional, but California voters would be presented with an enormous, purely Democratic tax hike.
I’m all for clarity, and in this case such a rash action by Bass and Steinberg would make it crystal clear to California voters that the Democrats are the party of higher taxes, the party of raiding working family budgets rather than restraining the state spoending spree.… Read More
What has your Assemblyman done for you lately?
According to Capitol Weekly and Hagman COS Mike Spence, the Assemblyman pulled two people out of a burning car that had crashed near his Sacramento apartment last night.
The drive ran off after Hagman pulled him from the burning vehicle which later exploded. The passenger, a woman allegedly blew a .33 on the breathalyzer… Read More
The Lincoln Club of Orange County has sent a letter to the State GOP Legislative leaders and Senators Maldonado and Cox urging them to oppose the current budget deal.
See the link to the letter below.… Read More