The House of Representatives just REJECTED the $700 billion dollar bail-out of Wall Street. YES!!

Largely on the strength of Republican opposition, but also with healthy opposition from House Democrats, the bill could only muster 205 votes, 13 short of that necessary for passage.

To reiterate my comments from this morning, IF you can get past the immoral nature of using tax dollars from person A who took no risk to subsidize the bad investments of person B, then you are confronted with the fact that this bail out legislation contains no real provisions to get the federal government out of the business of monkeying with market forces.

The reality is that eventually the balloon is going to burst, values of property have been skyrocketing well beyond realistic levels. How bad will the burst be? That depends on who you talk to about it. But it is certain the the legislation that was rejected by Congress today gives too much authority and power to Treasury Secretary Hank Paulson. Paulson, the former Chairman of the Board of Goldman Sachs, and who has an estimated net worth of around a half-billion dollars, is hardly the kind of person you want to… Read More

For the past two months, there has largely been a one-sided conversation with California voters about the same-sex marriage issue. Opponents of Proposition 8 have spent $5 million on an 8 week media buy airing an issue ad designed to create public support for gay marriage. They got the AG to rewrite the official summary of the measure. And last week they began spending millions on their official campaign ads.

Today, voters begin to hear the rest of the story.

You’ve heard from the other side that gay marriage is only about the rights of gay couples and the entire issue should be viewed from the perspective of these gay couples. The purpose of this ad is to educate voters that redefining marriage for all of society has broad consequences for all Californians. It is powerful, provocative and likely to be highly effective. California, meet San Francisco Mayor Gavin Newsom!

… Read More

GOP Convention Write Up Coming… It’s actually a rainy morning at the international headquarters of the FlashReport in Orange County. Due to unforeseen circumstances yesterday involving more than one tow truck and an unhappy family vehicle. As such, my desired goal of penning a write up of last weekend’s State GOP convention for your reading pleasure this morning has been delayed (but not forgotten). We’ll bring you an overview of the activities of the weekend, as well as some politicking of the weekend, highlight some of the important reforms passed in the party’s bylaws, positions on ballot measures, and some great stories including an hour-long battle at the party’s Executive Committee between an Orange County Prosecutor and the former District Attorney of Los Angeles County. While we’ve moved away from our “Winners and Losers” format, I’m still… Read More

GOP Convention Write Up Coming… It’s actually a rainy morning at the international headquarters of the FlashReport in Orange County. Due to unforeseen circumstances yesterday involving more than one tow truck and an unhappy family vehicle. As such, my desired goal of penning a write up of last weekend’s State GOP convention for your reading pleasure this morning has been delayed (but not forgotten). We’ll bring you an overview of the activities of the weekend, as well as some politicking of the weekend, highlight some of the important reforms passed in the party’s bylaws, positions on ballot measures, and some great stories including an hour-long battle at the party’s Executive Committee between an Orange County Prosecutor and the former District Attorney of Los Angeles County. While we’ve moved away from our “Winners and Losers” format, I’m still looking for good stories… Read More

As many return home from the California Republican Party Convention this weekend I would like you to consider a couple ideas.

First, it is time that we only have one convention per year. There is no need to have two. If there is then the Chairman can call it.

We are supposed to the party of efficiency and family values. There is no reason that the convention can’t start early on Saturday morning and adjourn later that night. Then we could all go home and go to church with our families. People that wanted to come early or stay longer would have that opportunity but the party business could all be done in one day.… Read More

From the “I’m not a nuclear weapons expert, but I won an Oscar for playing a Wall Street banker” department… You just have to laugh at the irony of actor Michael Douglas holding a press conference to push the US and other holdout nations to ratify a nuclear test ban treaty, then being peppered with questions about what Gordon Gekko thinks of the current financial meltdown. Hilarious exchange:

Reporter – "Are you saying Gordon that greed is not good?"

Douglas – "I’m not saying that. And my name is not Gordon. He’s a character I played 20 years ago." Somehow, I think the reporter already knew that. The only other question is whether Douglas knows more about nuclear test bans or investment banking. But, I have a better job for him. When their current star retires, perhaps he can do Geico commercials.

Please bear with me, but I can’t resist… Thanks to Roger Covalt for sending this along. The photo below captures a… Read More

Edging towards common sense. Bonds, yes, but purchased withprivate equity. Perhaps free markets can still play a significant role before taxpayers foot the entire bill….

Issa Offers Proposal for Guaranteed Recovery Bonds to Rescue Financial Markets – Proposal Uses Private Equity to Keep Government from Buying Mortgage Assets, Assures Wall Street Won’t Get Rich While Taxpayers Get Stuck with Trillion Dollar Bill Washington, DC – Rep. Darrell Issa, a businessman and entrepreneur before coming to Congress, today offered a new proposal to protect the economy without a taxpayer-funded bail out of Wall Street. Under Rep. Issa’s plan, private investors would provide the capital for a Rescue Fund through the purchase of government issued Guaranteed Recovery Bonds. The Rescue Fund would be managed by the Treasury Department and would offer troubled financial firms interest accruing loans based upon their holdings of at-risk mortgage assets.

“My plan uses private investment and gives Wall Street the same liquidity as the Paulson plan and guarantees… Read More

After patiently and, frankly, quietly watching our Republican Governor propose and support massive tax increases (after he campaigned vehemently against them), the California Republican Party Board of Directors has finally put down its foot — we voted overwhelmingly to both praise our legislators for holding the line on taxes, and we also urged the Governor to change his tune, and oppose tax increases going forward.

The resolution is below. I should add that there was a motion in our meeting to amend out the language referencing the Governor. After debate, the Board overwhelmingly voted to retain the language.

As Vice Chairman, South, of the CRP, I was very proud to be a Board Member this afternoon…

Here is what was passed:

California Republican PartyBoard of Directors RESOLUTION

Whereas the People of the State of California are among the most heavily taxed citizens in the United States; and, Whereas The California Republican Party is the party of balanced budgets, limited government, and fiscal responsibility; and, Whereas we believe that taxes in California are too high, and that state government… Read More