Contributors
Jon Coupal- Columnist

Jon Coupal is an attorney and president of the Howard Jarvis Taxpayers Association -- California's largest taxpayer organization with offices in Los Angeles and Sacramento. [go to website] [go to Coupal index]

Sorting Out the Ballot Propositions
Next Tuesday's scorecard...the No's and Yes's
[Jon Coupal] 2/26/04

In the early days of professional baseball, players just had numbers, not names, on their jerseys. So while some popular players like Babe Ruth (#3) were easy to recognize, others weren't. This helped the teams make money, because you really couldn't tell the players without buying a program. This was especially true if you were in the cheap seats.

When it comes to trying to figure out which of the four March 2 ballot propositions are which, it looks like all California voters are in the cheap seats. Not only are the measures confusing -- with one masquerading under an assumed name -- but to make matters worse, the program that is supposed to help the voters identify the issues, the Official Voter Information Guide, was sent in two parts.

For those having trouble sorting out which measures will help the state budget, and which measure will make it easier to increase taxes, here is a guide for taxpayers.

Proposition 55 is titled Kindergarten-University Public Education Facilities Bond Act of 2004. This name is actually pretty straightforward considering it was provided by the Legislature, which is responsible for this measure.

Proposition 55 would provide another $12.3 billion for school construction. Like all state bonds, it requires a simple majority vote for passage. State bonds do not trigger a tax increase but they are not free. They have first call on the general fund, which means that before any other services are funded, the state must make its bond payments.

While anything related to schools sounds good -- because as proponents will say, "it's for the children" -- the Howard Jarvis Taxpayers Association strongly urges a "no" vote on Proposition 55. Voters just approved a $13.05 billion state school bond in November of 2002, and local voters have approved an additional $21 billion in local school bonds since 2001. The state is already paying off $73 billion in approved debt and passing another $12.3 billion will mean there will be that much less available to meet the state's other pressing needs.

Proposition 56 is calling itself the Budget Accountability Act, but this is a fraud. If Proposition 56 were a business, the District Attorney would be filing charges for dishonest advertising. It has been rightfully labeled as the Blank Check Initiative by taxpayer groups.

Promoters are touting Proposition 56 as way to rein in an out-of-control Legislature, but what it really does is make it much easier for lawmakers to increase taxes by eliminating Proposition 13's mandate of a two-thirds vote. Yes on 56 television spots show actors portraying legislators engaged in a food fight to demonstrate their irresponsibility, which Proposition 56 is supposed to correct. The ad better reflects the wild party lawmakers will be throwing if voters make it easier for them to raise taxes by passing Proposition 56.

Governor Schwarzenegger opposes Proposition 56 and the Howard Jarvis Taxpayers Association considers a "no" vote on Proposition 56 to be the top priority for the coming election. [For more detailed information on Prop. 56 - click here]

Proposition 57, called the Economic Recovery Bond Act by its backers, at first glance gives fiscal conservatives the willies, but it is important to recognize that this $15 billion bond it is not new debt. It is a consolidation and refinancing of existing Gray Davis debt. Last year, Gray Davis and a majority in the Legislature tried to force massive debt on Californians without voter approval. Governor Schwarzenegger is asking for permission to refinance this debt so he can lead California out of its ongoing budget crisis without raising taxes. Passing Prop. 57 will allow voters to put the Gray Davis era behind us. Governor Schwarzenegger and the Howard Jarvis Taxpayers Association recommend a "yes" vote.

Proposition 58, the Balanced Budget Act would bar the state from borrowing to meet operating expenses in the future -- or, as the governor says, it will tear up the credit card. Propositions 58 and 57 are linked so one cannot pass without the other. The Howard Jarvis Taxpayers Association joins Governor Schwarzenegger in recommending a "yes" vote on both. However voters must be very careful not to confuse the Balanced Budget Act (58) which is good, with the so-called Budget Accountability Act (56) which would result in higher taxes.

For those who want to avoid confusion, all they need to remember when voting on the four ballot propositions is No, No, Yes, Yes.

copyright 2004 Howard Jarvis Taxpayers association

§