In the current budget debate, HJTA has taken a principled stand against placing massive tax increases on the June ballot. The only circumstance, in our view, that would justify this proposal is if the California Legislature also agreed to put tax reductions on the ballot as well. Several legislators (all Republicans) agreed with our view as well as supporting other major reforms.
Other Republican legislators, while supporting substantive reforms, did not necessarily include tax reductions as part of an overall budget fix. Although we disagree, it is now apparent that these Republican legislators were nonetheless holding out for major structural reforms of a positive nature. Even this more moderate stance, however, has been rebuffed by the Governor and the Democrats in the Legislature. In frustration, it now appears that they have broken off talks with the Governor.
Although we continue to believe that any reform package should include tax reductions as an option, we acknowledge the efforts of the five legislators who yesterday signed the letter to Governor Brown. They have now come to the realization, a realization reached by many of us earlier, that the Governor is powerless to negotiate the kinds of reform so badly needed in California. The reason is simple. The unions won’t allow it.