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Tuesday, March 29, 2011

Gov. Brown Halts Budget Negotiations

Good for Governor Brown! He finally was forced to call out the GOP on their absurd demands and obstructionist tactics. Let the people vote and don't ever, ever, mess with CEQA.


Contact: Governor's Press Office
Tuesday, March 29, 2011 (916) 445-4571

SACRAMENTO - Governor Jerry Brown today issued the following statement on his decision to halt budget negotiations:

"Yesterday, I stopped the discussions that I had been conducting with various members of the Republican party regarding our state’s massive deficit.

The budget plan that I put forth is balanced between deep cuts and extensions of currently existing taxes and I believe it is in the best interest of California. Under our constitution, however, two Republicans from the Assembly and two from the Senate must agree before this matter can be put to the people.

Each and every Republican legislator I’ve spoken to believes that voters should not have this right to vote unless I agree to an ever changing list of collateral demands.

Let me be clear: I support pension reform, regulatory reform and a spending cap and offered specific and detailed proposals for each of these during our discussions. While we made significant progress on these reform issues, the Republicans continued to insist on including demands that would materially undermine any semblance of a balanced budget. In fact, they sought to worsen the state’s problem by creating a $4 billion hole in the budget.

One glaring example is the taxation of multinational corporations. My budget plan requires that gigantic corporations be treated the same as individual taxpayers and not be allowed to choose their preferred tax rate.

This is the so-called single sales factor. The Republicans demand that out-of-state corporations that keep jobs out of California be given a billion dollar tax break that will come from our schoolchildren, public safety and our universities. This I am not willing to do.

Much is at stake, and in the coming weeks I will focus my efforts on speaking directly to Californians and coming up with honest and real solutions to our budget crisis.

Attached is my letter to Republican Leader Dutton last Friday that outlines in greater detail my position."



Blogger Bill Haller said:

At least state Republicans were successful in their demand to be ignored and made irrelevant... Same thing happened in the Schwarzenegger administration.

March 29, 2011 4:55 PM  

Anonymous Anonymous said:

The GOP is in deathly fear of two loud mouthed radio hosts from LA. What a bunch of wussies.

March 29, 2011 5:43 PM  

Anonymous Anonymous said:

Joe, you know nothing about budgets.

Brown MUST fix the problem or else it gets worse vis a vie higher interest expenses.

I hope to god that DC doesn't bail out California or LA, so they have to go bankrupt.

That's the only way we'll ever get out of this hole.

March 29, 2011 7:33 PM  

Anonymous trojan2002 said:

The CA GOP is DEAD... in all of the districts they don't already hold.
However, the districts they already have are die hards. They will always vote right, just like certain districts will always go left.

The CA GOP will be forced to go mainstream once redistricting takes place.

Having said that... we're already a very highly taxed state. We need to cut to the bone and get to basics. That means layoffs. That means early retirements without replacements. That means pay cuts. That means state employees paying more for their health care and retirement benefits.

We're a failed state. We need to start from scratch. I would love to see Brown do that. Just take everything OFF the table and start from 0.

March 29, 2011 7:49 PM  

Anonymous Anonymous said:

We will now see if the People of the State of California want to tax themselves so that the freeloaders who got the cushy, outrageous pension deals can live in luxury.

I think not.

When the People reject the tax raises (extensions) Brown will have one more alternative left; cut services.

Then you will see the unions come to the table and start earnest negotiations as to cutting their own benefits in order to avoid massive layoffs (read: reductions in dues from unemployed members)

It is a shame the game has to be played out to the last step, but the unions play hardball, and when you get hit with a comebacker, it hurts.

March 29, 2011 7:54 PM  

Anonymous Anonymous said:

From the LA Times;

Brown lashed out at GOP lawmakers Tuesday for blocking a June election, the linchpin of his budget plan. He cited a demand that he keep rather than jettison, as his budget proposed, a tax break given to California companies that move jobs out of state.

"Republicans demand that out-of-state corporations that keep jobs out of California be given a billion-dollar tax break that will come from our schoolchildren, public safety and our universities. This I am not willing to do," he said in his statement.

March 29, 2011 11:00 PM  

Anonymous Anonymous said:

When it comes to economic issues, I tend to lean towards the conservative side. In the example cited in his letter, I agree with Gov Brown.

My concern with the public vote isn't that it should/should not be brought before the public-- it's about how the ballot measures are written. I sure hope they keep it straight forward and no misleading titles, no term limit extension add ons or the like. All mailers should clearly indicate who paid-be it unions (our tax/rate dollars) or other corporations (their profits)-no quick little microscopic flashes at the end of a commercial.

March 30, 2011 12:06 AM  

Anonymous Anonymous said:

I hate to break this to you, Joe, but this is bad news for Brown, on whose shoulders the future of California rests.

Jerry needs four Republican votes to put the tax extension issue on the ballot. If he doesn't get them, and right now it looks like he won't, then all of his promises will fall flat.

Say hello to California bankruptcy. It's long overdue, and I hope it comes soon.

March 30, 2011 8:37 AM  

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