The BoE has released its 2007-08 Annual Report that breaks down the $53.1 billion in revenue collected by the BoE in year ending June 30, 2008. The BOE collected approximately $700 million less than the previous fiscal year, a decrease of 1.3 percent.

It is clear the economy was getting softer in the first half of last year and that retail sales were declining even more than other revenue categories. In light of this, February’s decision to raise the sales tax by one percent was a punitive and destructive decision. The Governor and legislators that signed off on it claimed raising the sales tax would bring in $6 billion more in revenue, despite the dynamic revenue analysis of the BoE’s chief economist showing that a … Read More

Speaker Bass has to go!

California’s budget crisis cannot be solved until those responsible are removed from leadership. Last February the “big five’ leaders from both parties in both houses plus the Governor, rammed down billions in new taxes and put to vote more billions on the May 19th ballot. That didn’t work.

Everyone knows the new taxes didn’t resolve the budget gap and the voters in a 2-1 vote scuttled the new new tax increases.

**There is more – click the link**

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Speaker Bass has to go!

California’s budget crisis cannot be solved until those responsible are removed from leadership. Last February the “big five’ leaders from both parties in both houses plus the Governor, rammed down billions in new taxes and put to vote more billions on the May 19th ballot. That didn’t work.

Everyone knows the new taxes didn’t resolve the budget gap and the voters in a 2-1 vote scuttled the new new tax increases.

So far of the original gang of 5, two have been removed. If the budget log-dam is to be broken we need new more flexible leaders.

Speaker Bass is ineffective to do the job. She has to go. Sadly, Bass has only one constituency she must answer to. Government unions are her only and sole concern. They elected her. They funded her. They control her. Since 2003 California government has grown with over 50,000 net new state employees, all union members. Don’t let anyone tell you there a hiring freeze either.

Bass doesn’t have the background for… Read More

In the coming weeks, every kind of commentator from every corner of the state is going to have a recommendation about how to solve the budget crisis. Democrats are going to pound their chest and say they won’t "cut" government any more. Thousands of articles are going to be written attacking Republicans for being obstructionists (and that will be the nicest things they say), everyone is going to have a solution, an idea, a comment, a thought, every kind of way of "solving" the crisis, most of which will tell legislators that they have to "leave their ideology" at the capitol steps, and become "problem-solvers." These are media speak for "Republicans have to raise taxes."

In my opinion, there is only one strategy that will actually solve this crisis, and the crises that will occur in the future. Republicans must stand firm. I realize that is asking a lot. Republicans have never stood firm. Republicans have always given in. Republicans in the Legislature are as responsible for today’s collapse because past leaders have given in to Democrat demands for bigger government, and have never stood up… Read More

Last week the San Francisco Chronicle published a story in which they “broke the story” that former Hewlett Packard Chief Operating Officer and ersatz United States Senator Carly Fiorina may not have complied with required government filings concerning two business entities which she owns – Carly Fiorina Enterprises and the Fiorina Foundation.

Fiorina, who has been prepping behind the scenes for a run for the Republican nomination for United States Senate next year – even as she undergoes treatments for breast cancer – was quick to respond to the allegations through her spokesman and Chief of Staff Deborah Bowker. Bowker contacted me with the following statement…

Last week the San Francisco Chronicle published a story in which they “broke the story” that former Hewlett Packard Chief Operating Officer and ersatz United States Senator Carly Fiorina may not have complied with required government filings concerning two business entities which she owns – Carly Fiorina Enterprises and the Fiorina Foundation.

Fiorina, who has been prepping behind the scenes for a run for the Republican nomination for United States Senate next year – even as she undergoes treatments for breast cancer – was quick to respond to the allegations through her spokesman and Chief of Staff Deborah Bowker. Bowker contacted me with the following statement…

Adding significant muscle to a bill that appeared to have some legs already, State Controller John Chiang on Friday sent a letter to Assemblyman Joel Anderson in support of AB 1506. The Anderson legislation, a badly-needed piece of creative juice in the midst of another protracted State budget mess, would require the State of California to accept as payment its own registered warrants, otherwise known as IOUs.

Quite simply, for Controller Chiang to support this legislation is…well…huge. He is, after all, the one forced to issue IOUs in lieu of real monetary payments owed by the state to several thousand taxpayers, state contractors, and service providers.

For Democrat Chiang to agree with Republican Anderson that "if it’s good for the goose, it’s good for the gander" makes AB 1506 as credible as it is compelling. Until now, even though many legislators of both parties have jumped on board as bill co-authors, there has been a lingering question for some: "What does the Controller say about the idea? He will have to implement it." Chiang answered the question with a letter to… Read More

Adding significant muscle to a bill that appeared to have some legs already, State Controller John Chiang on Friday sent a letter to Assemblyman Joel Anderson in support of AB 1506. The Anderson legislation, a badly-needed piece of creative juice in the midst of another protracted State budget mess, would require the State of California to accept as payment its own registered warrants, otherwise known as IOUs.

Quite simply, for Controller Chiang to support this legislation is…well…huge. He is, after all, the one forced to issue IOUs in lieu of real monetary payments owed by the state to several thousand taxpayers, state contractors, and service providers.

For Democrat Chiang to agree with Republican Anderson that "if it’s good for the goose, it’s good for the gander" makes AB 1506 as credible as it is compelling. Until now, even though many legislators of both parties have jumped on board as bill co-authors, there has been a lingering question for some: "What does the Controller say about the idea? He will have to implement it." Chiang answered the question with a letter to… Read More