The Roundup

Aug 25, 2011

Nine to five

With just two weeks left in this year's legislative session, lawmakers are scrambling to come up with something -- anything -- that helps ease California's unemployment, which is the second worst in the nation after neighboring Nevada.

 

From the Chronicle's Wyatt Buchanan: "The proposals have yet to be completed, and some economists say a focus on regulations misses the real problem in the economy - anemic consumer spending - and will do nothing to create jobs to cut into the state's 12 percent unemployment rate."

 

"Even Brown downplayed the impact California could have in revving up a sputtering economy that is at the mercy of international forces."

 

"We've got the plan Obama has been looking for. And if you believe that, I've got a bridge to sell you, too," Brown said. He added later, "We'll do what we can at the state level. The state is a different kettle of fish than the nation. We don't have the Federal Reserve, we don't have the instruments of massive fiscal capacity that the United States government has."

 

There are a lot of distractions on lawmakers during the frantic end of session, but they need to keep their on the ball -- putting people back to work.  One of the possibilities is a tax package pushed by Gov. Brown and Sen. Kevin de Leon.  The LA Times' George Skelton tells the tale.

 

"Under the Brown-De Leon proposal, the business tax breaks would be paid for by eliminating a new corporate loophole that essentially rewards companies for not building facilities and creating jobs in California. Plugging the loophole would raise up to $1.5 billion a year."

"It's considered unlikely to pass, however, because a two-thirds majority vote is required. Republicans have opposed closing the loophole because it would raise taxes on some businesses, even if most are based out of state. The GOP is deathly afraid of anything that smacks of a tax increase."

"Democrats intend to put the bill up for a Senate vote anyway, then — in a twist — accuse Republicans running in competitive races next year of being anti-jobs creation."

"Yes, in many cases, politics and personality may be trumping policy as the Legislature lurches toward recess. Shock, shock!"

 

Speaking of jobs, the governor is proposing an extension to California's energy surcharge, a move he says will raise money to lure companies and encourage job development.

 

From the LATimes' Marc Lifsher: "The surcharge, added to monthly electric bills since 1997, is set to expire at the end of the year, and the Legislature has only two weeks to reauthorize the levy."


"But because the surcharge is a tax, the bill has to be passed by a two-thirds majority of the Legislature. That would require rare bipartisan approval, yet some Republicans have shown support for the idea."

"A draft of the bill — which the Brown administration calls the Clean Energy, Jobs and Investment Act of 2011 — was presented at a private meeting late last week in the governor's office with utility executives, legislative staffers, environmentalists and power plant developers, The Times has learned."

 

The move by Republicans to throw out the new electoral maps for the state Senate now includes former Republican Gov. Pete Wilson, who was elected in 1990 as part of a major GOP push to block an earlier redistricting.

 

From the LA Times' Patrick McGreevy: "Former Gov. Pete Wilson has joined efforts to overturn new district boundaries for the state Senate, saying they would increase Democrat control of the Legislature and result in higher taxes for Californians."

 

"Wilson and other GOP leaders have sent out a fundraising appeal to help finance a referendum drive that would give the state’s voters a chance to repeal the maps drawn by a Citizens Redistricting Commission. The GOP leaders say in a five-page memo to several thousand potential donors that the new districts could help give Democrats a two-thirds majority in the Senate."

 

"Democrats are perilously close to gaining the ability to raise our taxes and expanded our already bloated government -- unless we take immediate action," said the mailer from Wilson, California Republican Party Chairman Tom Del Beccaro and Senate Republican Leader Bob Dutton of Rancho Cucamonga."

 

Speaking of Republicans, party officials apparently have given the go-ahead after all for gay GOP presidential candidate Fred Karger to attend and address the party's statewide convention.

 

From the Chronicl'e Carla Marinucci: "After initially giving Fred Karger what he called "the cold shoulder'' in his attempts to speak at the upcoming California GOP state convention, the party has now apparently decided to welcome the only openly gay GOP candidate in the 2012 presidential race."

 

"I'm thrilled and I'm glad they came around to let me participate,'' said Karger today, who credited the party's shift to a Chronicle story published Tuesday about his case."

 

"The latest developments came after our report that Karger said he was being shut out by his own party in his efforts to attend the California GOP convention planned Sept. 16-18 in Los Angeles."

 

 
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