Contributor

John Campbell

John Campbell (R-Irvine) is an Assemblyman representing the 70th District in Orange County. Mr. Campbell is the Vice-Chairman of the Assembly Budget Committee. He is the only CPA in the California State legislature and recently received a national award as Freshman Republican Legislator of the Year. He represents the cities of Newport Beach, Laguna Beach, Irvine, Costa Mesa, Tustin, Aliso Viejo, Laguna Woods and Lake Forest. He can be reached through his Assembly website and through the website for his California Senate campaign. [go to Campbell index]

The Budget Dance
Still grabbing for more taxes...
[John Campbell] 7/13/04

Admiral Denton Update

Thank you to everybody who forwarded and responded to last week's report. Because of the overwhelming response, Admiral Denton's story has been heard around the country. Not only have I received hundreds of supportive phone calls and emails from just about every state in the union, but news outlets in Dallas, New York, Washington D.C, and others have reported on this story. While Sacramento Democrats still don't get it, it seems clear to the rest of the nation that Admiral Denton is a true American hero and one that deserved special recognition for his service to our country.

The Budget

Back in early May, Governor Schwarzenegger proposed a state budget for the fiscal year beginning July 1, 2004. This budget was reasonable, balanced, contained no tax increases, and had some longer term reform elements. This proposal is commonly known in the capitol as the "May Revise" budget proposal. Total spending in the May Revise was up very slightly (1.4%) from last year.

But in order to pass a budget, a minimum of 35 Democrats out of 73 in both houses must vote for it to ensure passage assuming that all Republicans vote for it, which they probably won't. The bottom line is that the Democratic leadership will have to approve the budget.

Negotiations have been going on for several weeks now and appear to be nearing conclusion. Unfortunately, little that the Democratic leaders have asked for will make this budget better. Here is a snapshot of some of the items Democrats are demanding in the budget:

• Eliminating any reform of the state employee pension system. The 25% increase in pensions for 3200 billboard inspectors and others that I told you about a few weeks ago is now in effect. So are raises for other state employees.
• Some $30 million to jump start a government run/union staffed preschool program. The proponents of this want to add a multibillion dollar taxpayer-funded preschool and baby-sitting service for everyone eventually. This is the first step.
• Millions to fund a "labor institute" at the University of California where taxpayer money is used to indoctrinate college students in the evils of nonunion labor.
• Adding spending to a number of government programs to add more employees and throw good money after bad.

As this budget develops, you will hear Democratic leadership proclaim that they saved programs and support for the kids, the poor, the blind and the disabled.

Garbage.

Virtually everything they are pushing for adds more pay, more pension, more benefits or more employees to the state employee union bosses' ranks. As we saw on the pension reform and other areas, Democrats refuse to vote for something the unions don't want. Ever. This legislature is not run by the Democratic majority. It is run by a handful of government employee union bosses whose unyielding monopoly and massive political contributions have combined to make bad policy at the expense of the 99.9% of Californians who are not in one of these unions. That 99.9%, by the way is an accurate statistic. These union bosses and the Legislative Democrats they control have not added anything to this budget that will help kids or the poor or the disabled. What they have added is cost and bureaucracy without benefit.

The budget still has no tax increases and is better than any of the last 3 Davis budgets. But it could be so much better if Democratic leadership would stand up to the unions. And they are setting up to try to get tax increases in next year's non-election year budget. Maybe the people can send them a message in November that will change the dynamics next year. CRO

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