Slow thaw

Mar 19, 2009

"A state panel Wednesday moved toward releasing $500 million for school, road and housing projects after it froze bond funds in December due to the budget stalemate," writes Kevin Yamamura in the Bee.

"The state's Pooled Money Investment Board agreed to release the money as soon as April if State Treasurer Bill Lockyer can sell $4 billion in bonds this month.

"The board halted funding in December for thousands of public works projects because the state could not access credit markets as lawmakers and Gov. Arnold Schwarzenegger kept the state budget in limbo.

"The state Department of Finance will set criteria for determining which projects will receive the first $500 million in bond funds, possibly focusing on health and safety projects or those in jeopardy of losing federal funding.

"Billions more are needed. State projects already have incurred costs of at least $2.6 billion owed by the Pooled Money Investment Account, said Finance Department spokesman H.D. Palmer."

 

"Among the legislation that passed last month as part of the California budget was a Senate bill that allows counties to continue the decade-old practice of paying additional compensation to judges beyond their state salaries," reports CW's Malcolm Maclachlan.


"Activist lawyers who have been fighting the practice for years are crying foul, claiming that what should have been a controversial bill became law with little public notice. They note that the bill circumvents a court case that would have stopped the payments.  


"The special-session bill, SB11, was sponsored by the Judicial Council of California and authored by Senate Leader Darrell Steinberg, D-Sacramento. It authorizes counties to elect to pay extra compensation to judges. It also stipulates that no judge who received these payments would have to pay them back or be subject to any other liability."

 

Capitol Weekly looks at the first legislative hearings into spending some of the federal stimulus money . "As billions of federal stimulus dollars begin to pour into the state, the Legislature is starting to track the money coming in, and exert some influence over which projects receive some of the new federal funding.


"And judging from the testimony at this week’s joint meeting of the Assembly and Senate Utilities Committees, the stimulus package seems to translate into state government on steroids.

 
"Small state programs that currently receive a few million dollars are set to balloon into hundreds of millions, and state lawmakers are trying to ensure they have some say in how the money is divided and spent." 

 

CW's John Howard looks at the fight at the Air Resources Board over the future of ethanol . "Ethanol, long viewed as a sound fuel alternative for an atmosphere tainted by gasoline and diesel exhaust, is now getting second, critical look in a fierce, two-pronged dispute that mixes science and politics. Once again, California’s Air Resources Board is breaking new ground and is at the heart of an air-quality debate with national and international implications.


"The ARB’s potential impact on what is being described as indirect land use also is being examined. This, as much as carbon emissions, is fueling the debate."

 

"Gov. Arnold Schwarzenegger on Wednesday appointed former Assemblyman Fred Aguiar as secretary of the State and Consumer Services Agency to replace Rosario Marin, who resigned this month amid questions about income she received for giving speeches to private companies doing business with her agency," reports Patrick McGreevy in the Times.

"Aguiar, who is a former chairman of the San Bernardino County Board of Supervisors and has headed the state agency before, said he is committed to "improving the efficiency, transparency and accountability of state government."

"Marin resigned her $175,000-a-year position March 5 after The Times inquired about her outside income, which included thousands of dollars in fees for speeches to pharmaceutical companies within months of her agency's push last year to reduce oversight of prescription drugs."

 

The Chron's Zachary Coile looks at the congressional vacancy created if Ellen Tauscher is confirmed for the State Department post.  "Already two of Contra Costa County's top Democrats - Assemblyman Tom Torlakson and state Sen. Mark DeSaulnier - are expressing interest in the race. On the Republican side, several local officials are considering the race, and Washington insiders are talking up former 49er tight end Brent Jones as a possible candidate."

 

Will Gloria Romero be chairing Torlakson's campaign?

 

George Skelton answers critics of his column about Darrell Steinberg's stated commitment to career tech ed, who pointed out that he supported 20% cuts to some career tech programs in the budget.

 

"No one's guilty of hypocrisy. But Steinberg may have committed the minor sin of hyperbole when citing his 'No. 1 priority.'"

 

"President Barack Obama led a rally-like town hall Wednesday, championing bailout plans, taking responsibility for AIG bonuses, outlining immigration plans, and announcing federal funding for two Southern California projects," reports Martin Wisckol in the Register.

"Before a standing-room-only crowd of more than 1,500 in an Orange County fairgrounds hall, Obama fielded questions from a loud and supportive crowd while calling for bipartisanship and for all Americans to help restore the nation.


"'It will take all of us talking with one another and all of us working together to see our nation through this difficult time and bring about a brighter day,' he said at the end of a 21-minute opening speech that echoed many of his campaign themes from last year.

"Obama then commented on how warm it was in the hall, took off his suit jacket, rolled up his sleeves and began fielding nearly 45 minutes of audience questions. From the crowd response, it was impossible to tell that Orange County has long had a reputation as one of the nation's GOP strongholds."

 

Just goes to show -- campaigning is often a lot more fun than governing...

 

"A state advisory board Wednesday recommended a 24.4 percent rate increase for workers' compensation insurance effective July 1, ignoring Gov. Arnold Schwarzenegger's complaint that a rate hike that big would harm California businesses and workers," reports Andrew McIntosh in the Bee.

"The governing board of the Workers' Compensation Insurance Rating Bureau approved the recommended rate increase during a morning meeting in San Francisco.

"Workers' comp officials cited rising medical treatment costs and other potential changes resulting from recent rulings on appeals.

"The bureau recommendations will go to state Insurance Commissioner Steve Poizner, who is free to accept or reject the recommendations and release his own proposed rate increases.

"Ultimately, insurance companies serving the workers' compensation market are free to set their own rates."

 

"State officials announced Wednesday they will deliver more water to Southern California this year than previously predicted but cautioned that shipments will remain well below normal," reports Bettina Boxall in the Times.

"State water resources director Lester Snow said "a series of very beneficial storms in February and early March" prompted his department to increase allocations to water agencies by 5%.

"Snow's characterization of the state's water supply was not as bleak as earlier in the winter, but he said water managers remained 'very concerned.'" 


The LAT's Jean Merl reports that it'll likely take longer to fill Mark Ridley-Thomas's Senate seat.  "Eight candidates are running to replace Mark Ridley-Thomas, who was elected to the Los Angeles County Board of Supervisors in November, in the district, which is politically liberal and ethnically and economically diverse. Six Democrats, one Republican and one Peace and Freedom Party member are on the ballot in the district, which includes several Westside communities, parts of South Los Angeles, Baldwin Hills, Ladera Heights, Culver City, West Hollywood, Silver Lake and Larchmont, among others.

"The district's registration -- 66% Democratic -- and voting history virtually ensure the seat will again go to a Democrat. But if no candidate musters a majority of the ballots Tuesday, another special election will be held May 19, with the top vote-getter from each of the three political parties with candidates in the race.

"That means whichever Democrat comes out on top Tuesday will be the next representative of the district, said Allan Hoffenblum, publisher of the California Target Book, which provides nonpartisan, detailed analyses of the state's political districts."

 

"San Diego City Council President Ben Hueso is running for state Assembly next year to seek a “better opportunity to deliver” for the communities he represents in southern San Diego," reports Craig Gustafson in the Union-Tribune.

"Hueso said he knows he opens himself up to criticism by launching a campaign with two years left on his term and the city is still mired in financial problems.

"'There will always be things to be done,' Hueso said Wednesday. 'And the greater role I have in government, the greater opportunity I have to make a positive impact ... to solve a wider range of problems.'

"In his first interview about his Assembly candidacy, Hueso said he felt he was the right person to fill the void left by 79th District Assemblywoman Mary Salas, D-Chula Vista, who is running for state Senate next year."

 

"Owners of the flagging San Diego Union-Tribune, one of the largest daily newspapers in California, said Wednesday that the publication would be sold to a private equity firm for an undisclosed sum," report Tiffany Hsu and Tony Perry in the Times.

 

"Platinum Equity of Beverly Hills would be the Union-Tribune's first owner since the paper was acquired in 1928 by Copley Press Inc., a family-owned chain based in La Jolla.

"The sale would mark the end of the Copley family's eight-decade involvement in the newspaper business and comes at a time when buyers are scarce in an industry battered by falling circulation, revenue and profits.

"Platinum specializes in buying businesses in declining markets and has completed nearly 100 acquisitions in numerous industries since being founded in 1995. The Union-Tribune would be the firm's first newspaper holding.

"'This is a market that is undergoing substantial upheaval and transition, and we intend to try to help the paper redefine, reinvent and reorient itself,' said Mark Barnhill, a principal at Platinum. 'That doesn't just mean scaling downward -- we try to grow our businesses. If other folks are running out of a burning building, we're running into it.'"

 

Speaking of dying industries, it looks like another race track may be on it's way out. The Contra Costa Times' George Avalos reports, "Golden Gate Fields and other horse racing tracks owned by bankrupt Magna Entertainment are scheduled to be auctioned April 3, and one commercial developer already has plans to raze the East Bay complex.

 

"MI Developments Inc. has offered $195 million for a package of racetracks now owned by Magna, including Golden Gate Fields.

 

"If MID acquires the Golden Gate Fields property, it intends to immediately commence seeking all required approvals to develop the property for commercial real estate uses, MI stated in regulatory documents it filed March 6."

 

LA Observed posts the latest mugshot of Charles Manson. "Charles Manson is now 74 years old and has been in state prison for almost 40 years. Prison officials released the new photo today. Manson, housed at Corcoran on a life sentence, still bears the swastika he etched into his forehead during his trial in the old Hall of Justice in downtown Los Angeles."

 

And from our Ha, Ha We Get It Files, "Detectives in Carroll County are investigating allegations a school principal held a knife on a student as a joke.

 

"Patrick Johnson does his school work at home these days instead of actually going to school. The problem at Temple High School, he said, involves the three tattoos on his arm and what he says happened in a school hallway Feb. 6.

 

"'And the next thing I know, I felt something poking me in the arm and I looked over thinking it was one of my buddies, and it's Principal Nash standing there with a knife to my arm. He had a smile on his face and he said, 'You want me to cut that off your arm?' playing around about it,' said Johnson."


 
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