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Progressives say polls back millionaires tax

With a blizzard of tax-hike measures vying for slots on next November’s ballot, a coalition of labor and progressive groups said today that polling shows their “millionaire’s tax” is the most popular.

So popular, in fact, that proponents say everyone – including Gov. Jerry Brown, who has a different plan of his own – should support it as the only one that has a chance of passing.

The Restoring California Coalition – comprised of more than two dozen groups including unions such as the California Federation of Teachers and progressive groups such as the Courage Campaign – last week submitted to the Attorney General’s office a proposed measure that would hike taxes on income over $1 million by 3 percent and over $2 million by 5 percent. The coalition says this would raise about $6 billion per year, to be spent on K-12 and higher education; services for seniors and the disabled; child care; police and fire services; and roads and bridges.

California Federation of Teachers President Joshua Pechthalt told reporters on a conference call today that the plan “does not put it on the backs of working families and middle class families who have been suffering, particularly during this economic downturn,” and “resonates with the growing awareness of economic and tax inequity that we’ve seen in recent months.”

Pollster Ben Tulchin said he has interviewed nearly 5,000 likely November 2012 voters in several surveys this year and conducted 16 focus groups around the state, finding strong support for such a measure.

Voters’ perceptions that the rich have gotten richer while the middle class has struggled in recent years, and that the rich don’t pay their fair share in taxes, surged from May to October, perhaps due to rhetoric coming from the Occupy movement, the White House and other quarters, Tulchin said.

He said his October survey found 73 percent of voters are open to raising taxes on the wealthy in order to restore funding to essential services that have been cut, such as education, health care and public safety, while 24 percent said they’re not and 3 percent said they don’t know.

When read a title and summary for their proposal that the proponents believe is similar to what the Attorney General’s office will prepare, 67 percent said they would tend to vote yes – including 37 percent who gave a definite yes – while 24 percent said they would tend to vote no, with 15 percent a definite no. “I have never in my career seen such strong numbers for a title and summary poll for a proposed ballot measure,” Tulchin said.

Support for the plan is at 84 percent among Democrats, 68 percent among decline-to-state or third-party voters, and 45 percent among Republicans, he said. “The fact that it can draw bipartisan support puts it with the best chance of winning.”

In contrast, only 36 percent (14 percent definite) said they would vote for a plan including a 1 percent sales-tax hike and a 0.25 percent income tax hike, while 62 percent are opposed (with 45 percent a definite “no”). “That dog won’t hunt,” Tulchin said.

And the idea – advanced last month by the Think Long Committee – of lowering the state’s sales tax rate for goods but extending the tax to services such as dry cleaning, auto repair, accounting and law say 40 percent support (16 percent definite) and 45 percent opposition (26 percent definite). Tulchin called that “another dead end.”

Lots more, after the jump…
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Posted on Thursday, December 15th, 2011
Under: ballot measures, polls, state budget, taxes | 3 Comments »

What they’re saying about Jerry Brown’s tax plan

Gov. Jerry Brown today issued an open letter to Californians announcing, as expected, that he’s filing a proposed ballot measure to hike income taxes on those making more than $500,000 a year and temporarily boost the state sales tax by half a cent to prevent devastating budget cuts in education and public safety.

From state Senate President Pro Tem Darrell Steinberg, D-Sacramento:

“Californians realize that four years of draconian cuts have swung the pendulum too far. We’ve done enough damage, and enough is enough. It’s time to stop the bleeding and begin reinvesting in public education and local public safety. The Governor’s plan dedicates new revenue where it’s most needed – guaranteed to go directly into our public school and community college classrooms. At the same time, it protects ongoing funding for local public safety programs. The temporary taxes also create a more equitable system, with everyone paying a little more in sales tax while the wealthiest among us pay their fair share at a time when they enjoy record income growth. Bringing more balance to the support of essential services will begin to restore the greatness of our state.”

From state Senate Republican Leader Bob Dutton, R-Rancho Cucamonga:

“Clearly the governor has put tax hikes ahead of job creation. Californians have consistently voted down tax-only proposals. Senate Republicans continue a call to action on reforms first. Only with reforms can we put Californians back to work and restore the people’s confidence in state government.”

From Assembly Speaker John Perez, D-Los Angeles:

“The Governor’s revenue plan is fair, focused and forward-thinking. The plan asks the wealthiest among us to pay their fair share and takes us another major step forward on getting control of our long-term finances. More importantly, this plan helps minimize the need for cuts to higher education and other critical services and ensures that California is making the kinds of investments in education and public safety that will keep our communities safe and help our economic prosperity in the long term. I believe this is a plan that every Californian can and will support, and I look forward to working with the Governor and my colleagues in the Legislature to win approval from the voters.”

From Assembly Republican Leader Connie Conway, R-Tulare:

“Governor Brown is once again relying on his failed budget playbook in proposing a massive $35 billion tax increase on hard-working Californians and job creators. Voters rejected similar tax increases in the past and have shown a strong reluctance in polls to accepting higher taxes to bailout Sacramento. Ironically, Sacramento Democrats are again proposing higher taxes at a time when Washington Democrats are suggesting a tax increase on families could plunge the country back into recession.

“Despite their rhetoric, it is clear that our state’s projected $13 billion budget shortfall is not the result of a lack of revenue, but rather that Democrats want to grow government spending by $10 billion next year. The majority party’s budget priorities are clear – sock working families with a painful tax increase to pay for more health and welfare spending and unsustainable public employee pensions, while education continues to take a massive hit. Assembly Republicans will again stand united as the last line of defense for taxpayers and will fight these reckless taxes every step of the way.”

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Posted on Monday, December 5th, 2011
Under: Assembly, ballot measures, Bob Dutton, California State Senate, Connie Conway, Darrell Steinberg, Jerry Brown, John Perez, Nancy Skinner, state budget, taxes | 8 Comments »

Judge issues temporary order to halt IHSS cuts

A federal judge in Oakland has issued a temporary restraining order to keep California from implementing a 20 percent across-the-board cut in the In-Home Supportive Services program on Jan. 1.

IHSS is meant as an alternative to nursing homes or other out-of-home institutionalization for the elderly, disabled and blind. The deep cut was part of the state budget deal passed earlier this year.

But U.S. District Judge Claudia Wilken found that the planned cut “will cause immediate and irreparable harm by placing members of the plaintiff class at imminent and serious risk of harm to their health and safety, as well as unnecessary and unwanted out-of-home placement including institutionalization.”

The order gives a coalition of disability rights and senior-citizen advocacy groups, plus labor unions representing IHSS workers, more time to make a case to overturn the cut completely. A hearing on a preliminary injunction in the case is scheduled for Dec. 15.

The TRO will remain in effect until there is a hearing in which the Court will decide whether to grant a preliminary injunction. This hearing is tentatively scheduled for December 15th.

“We are pleased that Judge Wilken recognized the urgency of preventing the state from moving ahead with this devastating cut that would affect nearly 400,000 elderly and disabled Californians,” Doug Moore, executive director of the 65,000-member UDW Homecare Providers Union and an international vice president of AFSCME, said in a news release. “We believe these cuts to IHSS would violate the Americans with Disabilities Act and other laws and need to be stopped immediately.”

Posted on Thursday, December 1st, 2011
Under: state budget | 5 Comments »

Loni Hancock speaks in support of faculty strike

State Senator Loni Hancock, D-Berkeley, joined striking faculty members, staff, students and California Faculty Association supporters at a rally this afternoon at California State University, East Bay in Hayward.

From her prepared remarks:

“This is a pivotal moment for California’s educational system. In times of economic fragility such as we are in now, we are faced with gut-wrenching choices. It is all too easy for high-level managers to shift a disproportionate burden of cutbacks and suffering to those who are the real heart of the university system – the faculty, staff and students.

“I am here to congratulate and support the faculty of this great university for having the courage to stand up for fairness and for making a stand against the destruction of our education system.

“You have been more than patient as you have watched the California university system diminished by drastic budget cuts, skyrocketing tuition and fee increases, reduced resources for faculty and staff and an intransigent administration refusing to compromise on contracts.

“You have been more than patient as you have watched students suffer the consequences. Every day, I hear from frustrated and angry Americans worried about being able to send their kids to college because their savings have been depleted thanks to Wall Street greed and mismanagement.

“I urge the university’s administration to listen to you – to heed the voices of the faculty, staff and students who are the heart and soul of this great university. You are the 99 percent, and your voice will be heard.”

Posted on Thursday, November 17th, 2011
Under: California State Senate, education, Loni Hancock, state budget | 6 Comments »

What they’re saying about the budget forecast

The Legislative Analyst’s Office today issued a fiscal forecast showing California’s state budget deficit for the fiscal year starting next July 1 will be almost $13 billion.

If the state Finance Department concurs next month, this could mean $2 billion in mid-year “trigger cuts” this year, mostly in the K-12 and higher education budgets.

From Gil Duran, spokesman for Gov. Jerry Brown:

“California’s budget gap is the result of a decade of poor fiscal choices and a global recession. This year, we cut the problem in half. Next year, we’ll continue to make the tough choices necessary until the problem is solved.”

From Assembly Speaker John Perez, D-Los Angeles:

“Today’s announcement by the LAO is indicative, but not determinative of the final decision on whether the budget triggers will be pulled next month and we must wait until the Department of Finance December forecast, which will have up to date information and certainly may alter the trigger calculation to lessen the level of trigger cuts.

“Given the uncertainty in the global economy, we included these triggers as a mechanism to ensure California’s fiscal solvency through this budget year. We approved budget solutions that eliminated seventy five percent of the ongoing structural deficit over time, and we have more work to do to accelerate the elimination of the remainder of that deficit.

“Ultimately, we all know that the best long-term solutions to our budget challenges are rebuilding our economy and putting Californians back to work, and we will continue working to build on the progress we’ve made with respect to job creation in the coming year.”

From state Senate Majority Leader Ellen Corbett, D-San Leandro:

“I am deeply troubled by this forecast and the prospect of making another round of deep cuts to public schools and higher education. The Legislature and governor should explore all of our available options, and do everything we can, to prevent mid-year cuts.

“The bottom line is our public schools and institutions of higher education are woefully underfunded, and we must find a way to reverse this trend of cutting their support if we are serious about providing Californians and their children with a bright future.”

From Assembly Budget Committee Vice Chairman Jim Nielsen, R-Gerber:

“The Legislative Analyst’s Office report indicates, as predicted, that the budget passed by Democrats with only a majority vote was overly optimistic and based on shaky assumptions. In this budget, state spending is predicted to increase by 12 percent by 2012-2013. It is clear that state spending has not been brought under control, and that’s not even factoring in the enormous cost of the federal healthcare mandates.

“It indicates that a lot more needs to be done to get California’s budget under control, and that does not happen through tax increases. Government has changed very little in how it conducts its business in the last three years.”

From state Controller John Chiang:

“Today’s news is no surprise. Our economy’s sluggish growth means a tax windfall is unlikely, and not a penny of the estimated $4 billion has been collected to date. The Governor and lawmakers were smart to backstop their hopeful budget projections with mid-year cuts, but they may not have gone far enough. Today’s report tracks with the troublesome pattern we have seen in the State’s receipts and spending, which could mean a cash-flow problem in California’s near future.”

From state Senate President Pro Tem Darrell Steinberg, D-Sacramento:

“Today’s numbers make it clear that the state’s first priority must be to get to the ballot in November and raise needed revenues to avoid any more damage to Californians. The notion of cutting deeper into education, public safety and services for those in need is unthinkable. I imagine an overwhelming majority of Californians agree.

“We’ve cut to the point that the results are being felt like never before. The cupboard of easy solutions is bare. Just ask the students in our higher education systems; the more than one million elderly, blind, or disabled living in poverty; the families who see their kids go to school where the classrooms are more crowded and the resources are dwindling. We’ve hit a crossroads where the time has come to turn things around.

“Democrats have tackled more than half of the reoccurring deficit problem we’ve been plagued with ever since Governor Schwarzenegger cut the Vehicle Licensing Fee. As the LAO points out, last year’s budget actions have put our ongoing deficits at the lowest we’ve seen since the recession began. By building on that foundation, new revenue will finally allow the state to recover and reinvest.”

Read more, after the jump…
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Posted on Wednesday, November 16th, 2011
Under: Assembly, Bob Dutton, California State Senate, Darrell Steinberg, Ellen Corbett, Jerry Brown, John Chiang, John Perez, Mark Leno, state budget | 2 Comments »

Leland Yee supports UC/CSU protests & strike

State Sen. Leland Yee, D-San Francisco, says he supports today’s University of California and California State University day of action, including a student and faculty strike:

“As an alumnus and as a State Senator, I stand with UC and CSU students in their two-day strike. I am proud to have voted against cuts to public higher education and to have taken on the egregious executive compensation practices of the Regents and the Trustees. Faculty and students are united in saying, ‘enough is enough.’

“If we are going to turn around our economy and give working families a chance in California, the UC and CSU governing boards need to stop raising fees on students and stop allowing their top executives to live high on the hog – receiving pay hike after pay hike.

“While a student at UC Berkeley, I protested during the People’s Park movement of the late 1960s, and I thus understand the frustration many students and their families are currently facing. They are right to stand up to the UC and CSU administration, which seems more interested in taking care of the top executives than addressing the needs of our students and low wage workers. It is time to immediately put a moratorium on student fee hikes and executive pay raises.”

Yee has made the public universities’ executive compensation and lack of transparency his legislative cause celebres.

Posted on Tuesday, November 15th, 2011
Under: California State Senate, education, Leland Yee, state budget | 3 Comments »

Cash-strapped courts offer traffic-ticket amnesty

How hard up for cash are California’s courts? So much that they’re granting partial amnesty to traffic scofflaws.

The state’s Administrative Office of the Courts announced Thursday that Superior Courts in all 58 counties are offering a 50-percent-off discount on some old unpaid traffic tickets – a limited-time amnesty program” for certain outstanding court debt.

Only traffic tickets that were due to be paid in full before Jan. 1, 2009 are eligible, and parking tickets, driving under the influence (DUI), and reckless driving cases are not eligible. To qualify, you have to have either failed to appear in court or failed to pay in full; you can’t owe restitution to a victim on any case within the county where the traffic case was filed, and you can’t have any outstanding misdemeanor or felony warrants in that county.

The courts estimate more than six million cases statewide could qualify.

“This is a win-win,” Ronald Overholt, the interim administrative director of the courts, said in a news release. “People have an opportunity to clear their traffic tickets at a reduced cost, and the courts and the counties will get an injection of much-needed funds to help maintain critical services for the public.”

The program will begin Jan. 1 and end June 30, 2012; contact your county’s court during that time for further details.

The amnesty program was authorized by AB 1358 by Assemblyman Felipe Fuentes, D-Sylmar, which the state Senate approved unanimously and the Assembly approved 77-1; Gov Jerry Brown signed it into law Sunday.

California’s courts are facing an unprecedented financial crisis.

“This year, the judicial branch budget is only 2.4 percent of the state budget and we also unwillingly contributed $1.1 billion back to the General Fund,” Chief Justice Tani Cantil-Sakauye told the State Bar of California at its annual meeting last month in Long Beach. “That’s 2.4 percent of the state budget to protect the constitutional rights of 38 million Californians, to provide a place for the resolution of civil disputes, to protect public rights, and to protect the rule of law.”

Posted on Friday, October 14th, 2011
Under: state budget | 2 Comments »

Death row abolition bill yanked, bound for ballot

State Sen. Loni Hancock today abandoned her bill that would’ve abolished California’s death penalty, even as a coalition supporting it vowed to take it to voters as a ballot measure instead.

Hancock, D-Berkeley, withdrew SB 490 from consideration by the Assembly Appropriations Committee, which was scheduled to vote on the bill today.

“The votes were not there to support reforming California’s expensive and dysfunctional death penalty system,” she said in her news release. “I had hoped we would take the opportunity to save hundreds of millions of dollars that could be used to support our schools and universities, keep police on our streets and fund essential public institutions like the courts.”

SB 490 would have replaced the death penalty with life imprisonment without possibility of parole for those already condemned and for the future. Hancock chairs the Senate Public Safety Committee as well as the Budget subcommittee that oversees the criminal justice system’s funding. The bill had been opposed by groups including Crime Victims United of California and the California District Attorneys Association.

But California Taxpayers for Justice, which had been backing Hancock’s bill, said it’s far from done.

“If the California Legislature will not act to put an end to California’s death penalty debacle, and to keep California families safe, then we will. We will take immediate steps to file a ballot initiative for the November 2012 general election,” the group said in a news release; more information will be released at a news conference Monday morning in Sacramento.

Stefanie Faucher, a member of California Taxpayers for Justice and associate director of San Francisco-based Death Penalty Focus, said she and her colleagues “are confident that Californians are ready to replace the death penalty.”

Well… maybe.

A July 2010 Field Poll found 70 percent of California voters support capital punishment, up from 67 percent in 2006; this support cut across age, gender, racial, religious and party lines. The survey had a 2.8 percentage point margin of error.

However, a subsample of that same poll found that if given a choice, about as many voters would personally opt to impose a sentence of life in prison without the possibility of parole — 42 percent — as would choose the death penalty — 41 percent — for someone convicted of first-degree murder. This subsample had a 4.6 percentage point margin of error.

The state Senate Public Safety Committee heard testimony Tuesday from 9th U.S. Circuit Court of Appeals Senior Judge Arthur Alarcón and Loyola Law Professor Paula Mitchell, co-authors of the study, “Executing the Will of the Voters? – A Roadmap to Mend or End the California Legislature’s Multi-Billion Dollar Death Penalty Debacle,” published in June. The study had concluded California has “the most expensive and least effective death penalty law in the nation.”

And last week, former California Attorney General John Van de Kamp and Loyola Law Professor Laurie Levenson testified in support of the bill to the Assembly Appropriations Committee. Van de Kamp chaired the California Commission of the Fair Administration of Justice, which produced a 2008 report that called the state’s death penalty system dysfunctional and a waste of money.

Posted on Thursday, August 25th, 2011
Under: ballot measures, California State Senate, Loni Hancock, Public safety, state budget, State Prisons | 4 Comments »

State Lands Commission leaves millions on table

California’s State Lands Commission is doing a poor job of managing its more than 4,000 leases, leaving millions of dollars of potential state revenues on the table, the State Auditor’s office reported today.

The commission – which consists of the lieutenant governor, the state controller and the state finance director – is responsible for managing lands that California acquired from the federal government at statehood, including the beds of navigable rivers and lakes, submerged land along the State’s coast, and school lands granted to the State for the benefit of public education.

The audit found the commission has missed chances to generate millions of dollars in revenues for the state’s beleaguered General Fund — as much as $8.2 million for just some of the leases in the sample of 35 reviewed. Specifically, the audit found the commission:

  • lacks policies and procedures specifying steps needed for managing leases and is ineffective or inconsistent in seeking payment from or evicting lessees whose rent is past due; more than 10 percent of the revenue-generating leases were past due on rent and yet some of the lessees have remained on state land without paying rent for up to 22 years.
  • does not take timely action to renew its expired leases, conduct rent reviews, or appraise properties; the commission lost up to an estimated $269,000 for the leases the audit reviewed that have not been extended or renewed.
  • lost $6.3 million in increased rent that it may have been able to receive on a sample of leases because it failed to promptly conduct rent reviews, which frequently result in increased rent amounts.
  • may be losing up to $174,000 each year for a sample of pipeline leases reviewed because it has not updated the rate — established in 1981— to use when calculating rent.
  • is not appropriately tracking the status of some of its leases – its Application Lease Information Database has inaccurate and incomplete data and staff do not always use it to track lease information.
  • lacks a plan for monitoring its revenue-generating leases, in particular those leases that are potentially the most profitable because they involve the extraction of oil and gas from state properties.
  • hasn’t taken sufficient steps to quantify its need for additional staff.
  • “We agree with many of the Bureau’s recommendations and, in fact, are implementing or plan to implement most of them,” commission executive director Curtis Fossum wrote to the auditor’s office Aug. 1. “We do appreciate the efforts of the Bureau in providing constructive criticism and analyses of past and present practices, as well as its recommendations, which we look forward to implementing where feasible and appropriate. Many of the recommendations suggested by the Bureau are practical and achievable if the Commission is provided the opportunity to acquire and retain adequate staff to address these areas.”

    Former state Sen. Dave Cogdill, R-Modesto, who had chaired a Senate Select Committee on Surplus Property, called for this audit last year, citing various anecdotes of waste. Among those examples was USS-POSCO, a steel company that continued to occupy 490 acres of state-owned land in Pittsburg for 12 years after the lease expired. The property originally was leased at $235,137 per year, but the commission only collected a total of $66,784 in back rent during the 12 year period even as California’s land prices peaked.

    Posted on Tuesday, August 23rd, 2011
    Under: California State Senate, Dave Cogdill, state budget | 2 Comments »

    Lawmakers: Cancel your Amazon.com account

    A pair of East Bay lawmakers will join with a group of nonprofits and concerned citizens Monday to launch a campaign urging Californians to cancel their Amazon.com accounts until the retail giant backs off its ballot-measure effort to repeal an online sales tax.

    State Sen. Loni Hancock, D-Berkeley, and Assemblywoman Nancy Skinner, D-Berkeley, who were instrumental in the tax legislation’s passage, will hold a news conference on the State Capitol’s north steps Monday morning with Nan Brasmer, president of the California Alliance for Retired Americans; Jessica Lehman, lead organizer with Community Resources for Independent Living; and a few dozen California seniors, families, people with disabilities and health and human services advocates.

    They’ll be making a case that making Amazon collect sales tax from Californians’ online purchases would level the playing field between online and brick-and-mortar businesses, bringing the state $200 million per year in revenue that’s desperately needed to maintain vital public services.

    After the news conference, participants will testify to the state Senate Appropriations Committee in support of additional measures needed to raise revenues.

    Monday’s event, one of several planned statewide, is sponsored by the Health and Human Services Network of California, California Partnership, Health Access, California Immigrant Policy Center, Western Center on Law and Poverty, Parent Voices, California Alliance for Retired Americans, Community Resources for Independent Living and other groups.

    Posted on Friday, August 12th, 2011
    Under: Assembly, California State Senate, Loni Hancock, Nancy Skinner, state budget, taxes | 40 Comments »