Prop 1A-The Emperor’s New Clothes
I have been fascinated by the Governor’s insistence that Prop 1A will "solve" the problems that have led to the current budget crisis. As in Proposition 58, the Governor capitulated to the demands of the Democrats, gave them in this case their tax increase, and got nothing in return. The Democrats and their staff acted much like tailor in the Emperor’s New Clothes, and now the Governor is parading around the state showing them off. Just like the emperor in the story, this Governor is showing off just how little he got for his capitulation to the lefties in Sacramento.
I read Bill Leonard’s commentary on Prop 1A, and its flaws as a spending limit. His conclusion was that it would not be effective as a limit because of the loopholes. He did say it had a better reserve than the Gann limit, because Gann had no reserve, but remember, during all of the time that Gann was in effect, no reserve was necessary because Gann limited spending in the first instance, that is, when the money was first being spent, rather than after spending had ballooned. The salad days of the 80’s saw revenue grow as fast as it is now, but the state… Read More