In the midst of the energy crisis, he proposed a complete government takeover of the electricity system. During the budget crisis, his contribution to the spending problem was to renegotiate state bonds to obtain a payment holiday. In other words, for two years we did not pay off any of the principal while interest accrued. That is Phil Angelides way of "saving" the state money. In the end, state taxpayers ended up spending more money, and getting no relief, as Angelides tried to paper over the state’s deficit. You and I are still paying for his ill-considered solution to the defecit.

During his campaign against Steve Westly, he proposed tax increases to close the deficit he worked so hard to create and perpetuate. He claimed that the state could not cut any government programs, and that the only way to solve the state’s continuing fiscal crises was to raise taxes on you and me. Even though state spending was $57 billion just seven years ago, and $79 billion just two years ago, State Treasurer Angelides believes our $101 billion general fund budget is not adequate enough to deal with the state’s problems.

For example, when I joined the Legislature 14 years ago, the state spent approximately $6,000 per student in 2006 inflation adjusted dollars to educate our children. This year, we are spending well over $10,000 per student, over 70% increase in spending per student in the last 14 years. Angelides believes that 70% more is not enough.

In 1998, the state was spending approximately $20 billion on health and welfare. Last year that number was $34 billion. Another 70% increase.

Then he did a poll. Tax increases are not popular. Angelides said he only wants to tax the rich, not the middle class, but most people are smarter than that. They know that if a politician is eager to raise taxes on one group of people, it is only matter of time before their taxes will go up as well.

What is a big government liberal to do, when the old liberal line of "tax the rich" is not working? Resort to the old Bill Clinton line—tax cuts for the middle class. So, this week, Mr. Angelides proposed an increase in the deduction for dependents; a whopping $200 for a middle class family with kids. See, he says, "I’m not taxing you. I am cutting your taxes. It is safe to vote for me."

Except it is really bad fiscal policy. If the state increases taxes on the rich, they move to Florida or Texas, or some other state where they don’t tax income. Since rich people pay over 30% of our taxes, government revenue will go down and if these rich folks move to another state. Their employees pay income taxes and they pay thousands in sales taxes that are not directly attributable to them. In addition, most of these rich people own businesses that have employees who pay income taxes.

If these rich people start moving out of California, and taking their money and their businesses with them, the state will never be able to give anyone a tax cut. The Angelides budget will look an awful lot like the Davis budget; lots of red ink and a fiscal crisis of epic proportion.

He thinks it is good politics though. We all hate rich people. So, if he punishes rich people for being rich, Angelides thinks, we might actually vote for him. Good pandering, bad policy. It’s not worth the risk.

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08-18-06

Fearing a voter backlash this fall, Democratic lawmakers Thursday derailed legislation to allow illegal immigrants to obtain California driver's licenses. For the eighth consecutive year, legislation pushed by state Sen. Gil Cedillo, D-Los Angeles, that has provoked deep emotions on both sides of the immigration debate has apparently failed. Unlike last year, when the legislation was vetoed by Republican Gov. Arnold Schwarzenegger -- who had vowed to do so again -- Democrats in the Assembly pre-emptively shelved Senate Bill 1160.

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08-18-06

One of the unfortunate trends in California politics in recent years has been the use of initiatives to fund the causes of special interests, sometimes called "ballot-box budgeting." Funding comes from tax increases or from bonds that must be paid back from the state general fund. If general-fund spending is increased enough through bonds, tax increases also are almost inevitable to pay for the extra spending.

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http://www.latimes.com/news/printedition/la-na-immig16aug16,1,3320723.story

August 16, 2006

Since July, when the Pennsylvania city of Hazleton passed an ordinance aimed at making it "one of the most difficult places in America for illegal immigrants," dozens of other communities have picked up on the idea, saying local governments must find ways to expel illegal immigrants. Already, laws have passed in a handful of places: In Valley Park, Mo., population 6,518, landlords over the weekend began evicting tenants who were not legal residents. In Riverside, N.J., families departed so quickly that they left piles of mattresses behind.

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http://www.timesonline.co.uk/article/0,,2-2312860,00.html

August 15, 2006

Bodies of extinct Ice Age mammals, such as woolly mammoths, that have been frozen in permafrost for thousands of years may contain viable sperm that could be used to bring them back from the dead, scientists said yesterday. Research has indicated that mammalian sperm can survive being frozen for much longer than was previously thought, suggesting that it could potentially be recovered from species that have died out.

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August 12, 2006

If other tribes follow in the Agua Caliente Band's footsteps and strike deals that also allow them to significantly expand, the region's gambling market could double in size, said William Thompson, a University of Nevada Las Vegas public-administration professor who studies gaming. The other tribes are going to demand the same deal, Thompson said, adding, "They're entrepreneurs; entrepreneurs want money."

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http://www.sacbee.com/content/politics/story/14296634p-15149822c.html

August 14, 2006

As the Legislature reconvened last week, a flurry of electronic battle cries marked resumption of the perennial war over homosexuality -- and pro-gay rights forces immediately beat a tactical retreat on the year's most controversial bill. Sen. Sheila Kuehl, D-Santa Monica, and other supporters of her bill to mandate positive images of gays in textbooks and classroom, faced with a veto threat from Gov. Arnold Schwarzenegger, dropped those provisions. Instead, the measure, Senate Bill 1437, now would prohibit instruction or textbooks that "reflects adversely" on groups because of their sexual orientation.

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http://www.pe.com/ap_news/California2/Cross_Dispute_249574CA.shtml

August 14, 2006

A giant cross in San Diego that's been contested for 17 years by an atheist became the property of the federal government Monday with President Bush's signature. Supporters hope the legislation transferring the 29-foot cross and war memorial it's a part of to the federal government will protect it for good. A series of court decisions have deemed the cross unconstitutional because it stands on public property.

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http://hosted.ap.org/dynamic/stories/C/CA_TEST_SCORES_CAOL-?SITE=CADIU&SECTION=HOME&TEMPLATE=DEFAULT

August 15, 2006

The percentages of California students who passed standardized state tests in English and math continued to improve in 2006, but a majority still fell below proficiency levels, education officials said Tuesday. "California is clearly making meaningful, sustained improvement," Jack O'Connell, the superintendent of public instruction, said in a statement. "There is no doubt we still have a lot of work to do, and no one should be satisfied with our current position. But reforming an entire education system is slow, difficult work."

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http://www.bakersfield.com/102/story/68164.html

08-17-06

When legislative leaders pulled the plug on political reform this week, few people were more disappointed than Bakersfield's Republican state senator, Roy Ashburn. Ashburn is one of the strongest supporters of stripping politicians of the right to draw their own districts, but negotiations on a plan to do that broke down Tuesday. A backup version passed the Senate Wednesday, but its prospects in the Assembly don't look good.

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http://www.latimes.com/news/opinion/la-ed-faa17aug17,0,265568.story?coll=la-opinion-leftrail

08-18-06

The first time one of the air traffic control systems at Los Angeles International Airport failed, a month ago, it seemed a routine glitch. These things happen with sophisticated technical devices. The second time, on July 26, it was a little scary. Still, it passed with a shrug. Now that the fourth incident in a month has stalled air traffic at LAX, nobody's shrugging anymore. It strains credulity to believe that all these glitches are merely coincidental.

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http://www.leginfo.ca.gov

Assemblyman Haynes’ office can be reached at (951) 699-1113 in Temecula, California

or in the Capitol in Sacramento at (916) 319-2066

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