This just in from Ana Matosantos, Governor Schwarzenegger’s Director of Finance… This afternoon, Governor Schwarzenegger sends the revised version of his January budget proposal – the “May Revision” – to the Legislature. And while a budget should be a reflection of what Californians value the most – and a budget that safeguards its most important services and its most vulnerable citizens – that won’t be the case today, and the Governor will spell out clearly why that is.

What’s changed since January? Much that’s not positive. The recession’s lingering effects mean our overall revenues are below forecast. Program costs have increased and federal judges have blocked the state from implementing budget-saving measures that the Governor proposed and the Legislature approved. Because the budgetary solutions adopted in the Special… Read More

Greek Tragedy: There has been much publicity as of late, particularly among the financial community, about the fiscal problems in Greece. The Greek government has spent far more money than it has taken in and done it for enough years that they now have a huge deficit and an even bigger debt. There are fears that Spain, Portugal, Italy, and Ireland could be next. Stock markets around the world lurched downward out of fear that these systemic debts and deficits may not be able to be repaid and that these countries may need to default on their debt.

But they are not alone. Here are the current year deficits (2010) and outstanding national debt as a percentage of that country’s Gross Domestic Product (GDP) for Greece, the largest European countries and the U.S.:

Country

Deficit as % of GDP

Public Debt as % of GDP

As I read this article in the Los Angeles Times, it caused me to want to renew my call for Insurance Commissioner Steve Poizner to stop his pursuit of trying to force Insurance Companies to divest from investments that he does not like, which is what is going on here. The United States government has an official process whereby, if for national security reasons, they feel the extraordinary step of suspending the property rights of Americans to invest their money where they see fit, needs to be suspended in any way.

Steve Poizner doesn’t like that some insurance companies have some investments with companies that do some business in Iran. I don’t like it either — those companies ought to make new choices. Poizner should do two things — he should ask (and probably NOT on Department of Insurance letterhead) companies to change their investments, and he can write his Congressman and Senator, like the rest of us.

In the… Read More

Today the California State Assembly debated SJR 9, authored by Democrat State Senatoe Christine Kehoe, which would urge the Congress and the President of the United States to adopt the Military Readiness Enhancement Act of 2009 (H.R. 1283) that institutes a policy of nondiscrimination based on sexual orientation, and to repeal the "Don’t Ask, Don’t Tell" policy.

You can read the full resolution here.

Republican Assemblyman Nathan Fletcher, a Marine Corps Veteran, gave a passionate floor speech in support of ending this policy, saying that one should be able to serve openly in the military regardless of their sexual orientation.

… Read More

The lightly regulated world of social media has created high-profile privacy and security controversies for companies like Facebook, Google and others that collect and disseminate massive amounts of personal data from millions of users worldwide — issues that could create political liabilities for politicians like Democrat Attorney General candidate Chris Kelly. Bringing order to that Wild West environment has given candidates like Mr. Kelly, formerly Facebook’s chief privacy officer, a chance to work on policy making long before they hold elected office. But social media companies like Facebook also sit at the heart of intense debates over online privacy. Mr. Kelly’s campaign will be a litmus test for how these privacy issues resonate with the public in the political arena, and also for how the strengths and vulnerabilities of a background in social media companies confers on other executives who may consider running for public office. Our friends over at California Watch have written about this in more detail. Check it out… Read More

I think the only thing this political cycle that troubles me more than Republican candidates who tout the endorsements from editorial board of major newspapers (said editorial boards packed with liberals trying to mess in the Republican primary when virtually none of these editorial writers are Republicans) — are Republican candidates who are rolling out the endorsements of — public employee unions!

Seriously. I know that everyone likes it when I name names — but for the purposes of this blog post, I will refrain. But today alone I have received emails from two Republican candidates, campaigning as conservatives, bragging that they the choice of public employee unions.

In one case is the endorsement of the California Statewide Law Enforcement Association and in the other case it is the California Correctional Peace Officers Association.

In case anyone hasn’t noticed, our state and local governments have been hit by a pension tsunami of epic proportions and the state’s public employee unions have been at the forefront of lobbying for unsustainable salaries and benefits — with no seeming regard of whether these… Read More

This mail piece dropped in the primary in Congressional District 19 where State Senator Jeff Denham, former Congressman Richard Pombo and former Fresno Mayor Jim Patterson are duking it out to be the GOP standard bearer in this "safe" Republican Central Valley House seat, where incumbent George Radanovich is retiring… (click on the graphic to enlarge)… Read More

On today’s main page, the FlashReport debuted the latest television spot from the Poizner for Governor campaign, which talks about how opponent Meg Whitman didn’t vote for 28 years, missing scores of opportunities to vote against tax increases and such.

You can see the ad here:

The Whitman campaign has responded by directing the attention of politicos to an Associated Press article penned by Juliet Williams that "fact checks" the ad. Spokeperson Sarah Pompei says, “This ad is an absolute and total lie. Meg registered as a… Read More