In response to Jennifer Nelson’s post below, the Governor’s office has responded. Below is a brief commentary from David Crane, Special Advisor to Governor Schwarzenegger on Jobs and the Economy…

FR readers HAVE to check out the details on how Democrats plan on raising income taxes, the car tax, gas taxes and more — without a 2/3 vote.

This is sick.

I’ve been intently looking for a statement from our Republican Governor announcing that such an end-run against the spirit of the 2/3 vote for new taxes would be DOA. Still waiting..… Read More

This was published in today’s edition of Investor’s Business Daily. It outlines a few of my thoughtsand ideason the path towardsrestructuring our financial regulatory system.

Bold Changes Should Prevent Another CrisisBy REP. JOHN CAMPBELL

The credit markets continue to unfreeze. The general economy continues to sink. There are new stock market lows and unemployment highs and we don’t know where and how it will all end.

But it will end. And we need to start thinking about what regulatory structure will replace the one that failed us so miserably this time. We came perilously close to an abyss (or collapse or Armageddon, depending on who is describing it).

I looked down into that abyss and what I saw was way scarier than any Stephen King movie. Therefore, I think we need dramatic changes to ensure that this sort of calamity does not befall us again.… Read More

Despite what you are hearing in the news these days, taxpayers are not to blame for California’s recurring budget crisis. Trust me on this one.

Overspending is built into our state’s budget system and the Democrats have long insisted that Republicans in the Legislature are simply obstructionists blocking the passage of state budgets filled with spending increases. They argue that if the two-thirds vote requirement was abolished, California would have on-time and fully-funded budgets. Even Governor Schwarzenegger has suggested that he might support eliminating the two-thirds vote requirement for passing a budget bill.

The voters of California reaffirmed their strong support of the two-thirds threshold by rejecting Proposition 56 in March of 2004 by a resounding 66% to 34%.

Well, we have learned that in California politics, if at first you do not succeed, just rig the system to get what you want—that is exactly what the Democrats are trying to do with their budget proposal. They have devised and schemed up a proposals that rob or eliminate voter-supported initiatives—such as Proposition 42 funds for transportation projects—and added fees on the… Read More

Today I am pleased to offer this guest editorial from longtime FR friend State Senator Jeff Denham…

Last week, Assembly Speaker Karen Bass threatened that shemay very well "lock down" the California State Assembly next week, for the Christmas Holiday. In legislative parlance, a lock down is when the members of the Assembly are literally forced to stay in the Legislative Chamber and not allowed to leave. I know, it sounds very immature, but it is true. I guess Bass’ theory is that Republican resolve to not punish California taxpayers in response to the chronic overspending of the Speaker’s party is so fragile that the threat of missing church for Christmas mass, or missing a chance to sip eggnog, or not being able to watch their kids open presents under the family tree will cause some GOPers to suddenly embrace billions of dollars in devastating tax increase.

Below is a marquis that one of our loyal readers put together that really captures the essence of Speaker Bass and this very stupid idea.

You’re a mean one, Speaker Bass!!

Care to read comments, or make your own about today’s… Read More

Last week, Assembly Speaker Karen Bass threatened that shemay very well "lock down" the California State Assembly next week, for the Christmas Holiday. In legislative parlance, a lock down is when the members of the Assembly are literally forced to stay in the Legislative Chamber and not allowed to leave. I know, it sounds very immature, but it is true. I guess Bass’ theory is that Republican resolve to not punish California taxpayers in response to the chronic overspending of the Speaker’s party is so fragile that the threat of missing church for Christmas mass, or missing a chance to sip eggnog, or not being able to watch their kids open presents under the family tree will cause some GOPers to suddenly embrace billions of dollars in devastating tax increase.

Below is a marquis that one of our loyal readers put together that really captures the essence of Speaker Bass and this very stupid idea.

You’re a mean one, Speaker Bass!!

… Read More

This afternoon the liberal Democrats who have overspent California's budget into the deficit-mired creature that we have before us today are queuing up their latest attempt to stick-in to taxpayers. Speaker Karen Bass is telling all that this afternoon the lower chamber will have a vote on BILLIONS of dollars in higher taxes — and to that, Republicans should and must send a resounding message –NO WAY.

It doesn't take much of a look in the rear view mirror to know that as of today, we have had NO real cuts in state spending. In fact, the budget adopted after much agony a few months ago still managed to INCREASE (not decrease) state spending by a half a percent. Yes, all of the screaming by liberals and posturing by the unions was all over a “decrease in the increase” that they wanted.

Today's votes are critical in demonstrating that Republican resolve is strong — that without a permanent spending cap tied to growth in population and inflation, passed by the voters — tax increases are not even on the table for a discussion. Frankly, even then, they are a stupid idea in a bad economy.

I have… Read More