I’ve only been able to talk to Villines staffers and they tell me that his about face on the tax issue is directly related to a fear of the State going bankrupt. He is said to have a "moral conviction" against this happening.

Obviously, this is a very big miscalculation on his part. Whatever "reforms" there are in this budget will be short lived, the taxes won’t, and bankruptcy, at this stage is the best possible option and the only way the State gets its obligations and spending under control.

I would, if given the opportunity, strenously argue that bankruptcy is the only true moral option at the point, as it will in fact save the State in the long term.

This whole thing is sickening. I can’t believe we are being played ……. AGAIN.… Read More

As i get ready to doze off, and figure out if government grew while I slept when I wake up, I was just thinking that it is sure great that Tony Strickland won his seat in November. If he wasn’t in Sacramento, and instead Hannah Beth "Taxin’ Jackson" was up there — this would all be done, and Californians would have the honor of being the highest taxes Americans in the country.… Read More

This morning, treating the members of the California State Legislature like they are criminals, the President of the Senate and the Speaker of the Assembly literally have the Capitol on "lock down" — no legislators are allowed to leave the building. Why is this?

EARLIER THIS MORNING, SENATOR DAVE COX ANNOUNCED THAT HE WILL NOT SUPPORT THE BIG-5, BIG-TAXES BUDGET PROPOSAL. COX HAS JOINED WITH TWELVE OF HIS SENATE REPUBLICAN COLLEAGUES AND BECAUSE THERE IS A VACANCY IN THE SENATE, THERE ARE NO LONGER THE VOTES TO GET A TWO-THIRDS FOR THE MASSIVE, RECORD-BREAKING $14 BILLION++ IN NEW TAXES.

Our message to Senate Republicans is loud and clear: THANK YOU AND KEEP HOLDING THE LINE.

Millions of California families that the Democrats would punish because of Democrat over-spending, slapping families with a projected annual tax increase of over $1200 a year (some say it’s over $1500 a year) are COUNTING ON YOU.… Read More

I will happily acknowledge that I am NOT a policy wong. Some of the back and forths below from policy-wonks on the language of the proposed spending cap (that would go before the voters, tied to extending taxes that are raised in this Big 5 deal) are above my pay-grade.

That said, my "open question" on the cap is this?

I am going to throw out there that there is distinct possibility that Republicans joinin hands with the Democrats for a plan that includes $14.8 billion in tax increases is going to cause a big problem for the GOP, and that it may very well lead to losses of seats in the Senate and the Assembly. When the smoke clears after the 2010 election, Democrats may have a supermajority of the legislature (yikes).

If that were to happen, AND the spending cap as proposed in this deal were in place (having been passed by the voters) — is the cap strong enough to keep Democrat supermajorities from racheting up spending (beyond the cap)? In otherwords, when we are forced off the beach, and back onto our landing craft, have we left some protection behind?

As I understand it, there is a big gaping hole in this proposal. To put… Read More

Over the last months of budget negotiations, there has not been evidence of a proposal forwarded by a state legislator of either party that reduces spending by the $40 billion necessary to balance the budget without a sizable tax increase. If that proposal exists, it has not benefited from sufficiently wide support from that legislator’s colleagues to become part of the budget debate.

Because of a lack of an alternative that balances the budget solely through spending cuts, it’s been apparent for some time that the final budget agreement will ultimately involve a considerable amount of additional taxes. That’s not a good thing, but it’s a thing. So at this point, Republicans have two options: either continue the stalemate indefinitely or propose that alternate budget. The lack of a state government holds great ideological appeal, but creates practical difficulties. So the question is: where is that alternative budget and the plan for building public and political support for it?

The budget before the Legislature is no cause for celebration. It’s unlikely that the Republican leaders who have been part of the negotiations –… Read More

This just off the transom…

California Assemblyman Chuck DeVore Resigns Leadership Post Due to $14 Billion Tax Increase Deal

Feb. 14, 2009, Sacramento, CA – California State Assemblyman Chuck DeVore resigned today as Chief Republican Whip due to his opposition to a massive tax increase deal brokered by Republican legislative leaders. DeVore said, “The St. Valentine’s Day deal to raise taxes on hardworking Californians will neither close the budget deficit nor control spending. I believe leadership thinks they are doing the right thing – but I cannot be a party to this agreement as I believe it will harm California.”

Excerpts of DeVore’s letter to Assembly Republican Leader Mike Villines follow:

“…the recent agreement you negotiated to increase taxes in exchange for a spending limit will not likely accomplish the twin aims of deficit reduction and budget control that you seek.

“This proposed agreement also strikes at the heart… Read More

OK, it’s getting hard to format what is nowa back-and-forth between Pacific Research Institute Economist Dr. Benjamin Zycher and Mike Genest, the California Director of Finance. In a nutshell, they are going back and forth over the language of the potential spending cap that is in the Big-5 Big-Tax deal. So, below you have in RED summaries of Zycher’s observations as penned by Genest (you can see all of Zycher’s original observations here). Then in GREEN are Genest’s responses. Now, in BLUE are Zycher’s responses to Genest.

I HAVE FAITH IN ENTERPRISE LEGISLATIVE STAFF MEMBERS TO MAKE SURE THIS IMPORTANT EXCHANGE GETS TO THEIR BOSSES DOWN IN CAUCUS… :-)

Oh yes – this is a great opportunity to make a further editorial comment about how this process is being rushed way too quickly. Heck, we can’t even get policy experts to agree on what should be very objective issues. Isn’t it time give this a few more days and let all of these questions be answered in a less harried environment?… Read More

The debate has begun on the Assembly Floor.

You can watch it live here.

Here’s a screen shot of my Assemblyman, Chuck DeVore. Undoubtedly saying something very conservative!… Read More