“His idea [Mayor Chuck Reed’s] of pension reform is, you sign up for one pension system, we’re going to change it now in mid career, and now you’re going to get something different.” Lou Paulson,President, California Professional Firefighters (ref.CPFVideo, April 1, 2015)

The biggest problem with Mr. Paulson’s comment is the double standard he applies. Changing pension systems “mid-career” are just fine when they improve the benefit to Mr. Paulson’s unionized government workforce, but when it comes time to roll back these financially unsustainable changes, he cries foul.

The most obvious, indeed egregious example of a “mid-career” change to pension systems that improved pension benefits began during the internet bubble year 1999, whenSB 400was passed by the California State Legislature. SB 400 changed the pension benefit formula for California’s Highway Patrol officers from “2% at 50″ to “3% at 50,” a 50% increase… Read More

[Publisher’s Note: As part of an ongoing effort to bring original, thoughtful commentary to you here at the FlashReport, we are pleased to present this column from Asm. James Gallagher.]

If you are new to the FlashReport, please check out the main site and the acclaimed FlashReport Weblog on California politics.

California faces significant challenges due to flawed policies instituted by liberal lawmakers in Sacramento. Whether it’s the state’s deteriorating business climate, education or natural resources, California is struggling. Republican leaders are working diligently to improve the forecast and make California the golden land of opportunity it once was.

From an overly burdensome and a regulation-heavy business climate that has forced business to leave California, to an education system that refuses to evaluate teacher performance and serves the powerful union instead of ensuring the most quality education for our state’s children, California is being held back from being a true… Read More

[Publisher’s Note: As part of an ongoing effort to bring original, thoughtful commentary to you here at the FlashReport, we are pleased to present this column from Tom Scott.]

If you are new to the FlashReport, please check out the main site and the acclaimed FlashReport Weblog on California politics.

An Open Letter to the County Counsels’ Association of… Read More

At the request of the Senate Governance and Finance Committee, the Board of Equalization’s Research and Statistics Section today released a report showing the State of California could reap up to $122.6 billion by imposing sales and use tax on services.

The size and scope of California’s service-related industry is mind-blowingly large, and the last thing overtaxed Californians need is another tax. In fact, these numbers are dangerous in the hands of legislators who want to raise taxes.

However, I hope this report stimulates conversation about how taxes can be simpler, and how we can attract more jobs to our state.

Although I strongly oppose Senate Bill 8 (Hertzberg), which would impose a $10 billion tax increase on service industries, I am open to considering a broader sales tax if it’s part of revenue neutral tax reform, such as abolishing the Franchise Tax Board and California’s income tax, along with other taxes that destroy jobs.

I’ve called for dynamic economic modeling that would show the benefits of such a change and look forward to being able to share those results with you… Read More

There is a strange disconnect that can be noted in the definition of economic recovery promoted by many on the political left when it comes to evaluating the economic performance of Democratic executive office holders. In the case of President Obama, many Democrats are eager to observe the resurgence of the stock market and the return to pre-recession baseline revenue levels as evidence of a restored economy. More recently, as the headline unemployment rate has declined, they’ve claimed the official reduction in unemployment as a landmark of economic recovery. Yet even as progressive rhetoric stresses income equality and champions the financial plight of the poor and… Read More

California has raised its minimum wage four times over the past 13 years, with each increase outpacing the federal minimum wage. California’s current minimum wage is 138% of the federal level, and with the impending statewide increase mandated by current law in 2016, California will have the highest minimum wage in the country.

Despite clear negative impacts on both California’s economy and low income citizens, Senate Bill 3 (Leno) would mandate an additional statewide increase to $13 per hour with annual, auto-scheduled wage increases thereafter.

With another increase already teed up for January 2016, pre-programing additional increases is reckless. The weight of economic data compels the conclusion that arbitrary minimum wage increases do more harm than good. Motivated by the understandable desire to help the state’s lowest wage earners, the reality is that they reduce access to jobs for those citizens who need them most and further suppress upward mobility for those clinging to the bottom rung of the employment ladder.

To read the entire column click here… Read More

Legend has it that upon being informed that the citizens of France had no bread to eat, Marie Antoinette, Queen-consort of Louis XVI of France, exclaimed “let them eat cake.”

California Governor Jerry Brown recently had his own “let them eat cake” moment: At a press conference last week announcing the need for a 25 percent cut in water consumption, Brownsaid, “People should realize we are in a new era. The idea of your nice little green lawngetting watered every day, those days are past.”

Brown showed his “let them eat cake” character once again.

Brown-the-elite

Jerry Brown enjoys an upper-crust Bay Area lifestyle, and is dependent on the very water projects he loathes and has shut down. Brown was the original push behind canceling crucial water infrastructure projects in the 1970’s and 1980’s, and has been supportive of diverting desperately needed reservoir water for fish, rather than food production in the Central Valley.

There is no doubt California is in a drought; we’ve been in one for several years. And California has had many droughts in its history, including when Brown was… Read More

[Publisher’s Note: As part of an ongoing effort to bring original, thoughtful commentary to you here at the FlashReport, we are pleased to present this column from Asm. Travis Allen.]

If you are new to the FlashReport, please check out the main site and the acclaimed FlashReport Weblog on California politics.

The Governor’s recent proclamation that Californians must cut water usage by 25% certainly caught the attention of Californians and pundits nation-wide. Featuring threats of fines of up to $500 per day, and even restrictions on personal shower habits, Governor Brown wasted little time getting right to class warfare over our green lawns. Unfortunately, he and the ruling Democrat party once again took a pass and resorted to draconian rationing measures and heavy handed fees, while offering no leadership and no real solutions to California’s current water crisis.

While it is true that we are in a drought, the little known fact outside Sacramento is that our water problems could be… Read More