My daughter Karla asked that I post her drawing... a little cruel... and a more accurate drawing would have been multiple political persuasions taking satisfaction.
The elections are finally over and although I think the voters have reacted fairly predictably to the actions of our government, I think the future holds the key. What happens in California will be interesting to watch.
California has just elected democrats from top to bottom. What constraints on ‘revenue enhancement’ were once there, were lowered by an electorate wanting to see the state solve their budgetary problems. I do understand the desire to see California recover, but I am doubtful that anyone in government knows how to get there. Too many people forget WHY the original constraints were placed on the state to start. California voters wanted to prevented our state from reaching deeply and continually into the easy available pockets of Californians to solve their budgetary woes…. as they were so fond of doing until Prop 13 came along. What we forget it seems, we are doomed to repeat.
As for those who said that things will have to get much worse before things get better, they just might get their chance in watching what happens in California.
In California, legislation by ballot is more and more becoming a necessity CLICK on the picture about the extraordinary measure now before the San Luis Obispo City Council
This November represents , more than any time I can remember, a battle between individual citizens vs. incumbant politicians and their beneficiaries. One critic of democracy stated that a tipping point is reached when those who profit from government spending exceed — in power and influence — those who can provide the resources for that spending…. then the system changes. As for me, I try not to be too cynical, but a real problem exists when one party and one system controls the counting of the ballots.
Personally, I can understand how hard it is for those who enter politics to maintain a perspective over time. It is often easier to just get along. Some historians trace this back to President Andrew “old hickory stick” Jackson who “invented” both the “campaign” and the “campaign promise.” In traveling the country, he would place a hickory stick at every road intersection with his name etched or painted, hence the moniker. In addition, he would promise every voter what they wanted to hear, whether or not he planned to deliver on said promise. Today, many politicians haven’t strayed too far from this approach to politics and this is real troubling for those who have to “feed the beast.” Many California cities are approaching real bankruptsy and the monsterous $100 Billion unfunded pension liability of the state casts a heavy shaddow on the future. ( read my blog on this subject.)
When California’s Proposition 13 became law and maintained the dream of home ownership, politicians and their interests had to become more resourceful in the pursuit of ‘revenue enhancement.” It has taken them some time, but they found that they could raise certain fees without the consent tof the ‘governed.’ Many fees were originally set to cover the basic costs of the service provided, but it has now become an ‘opportunity.’ If you wanted to pour a short replacement driveway for your home, it might cost you $2000 in labor and materials; however, the ‘permit fees’ to the city might cost you an additional $2400. There was a time in California and still in most of the country where there are few fees — if any– fees associated with ‘flatwork.’
The State of California, the counties and many of it’s cities are once again facing huge shortfalls ( real and budgetary — there is a difference) and want to distract the voters long enough to pass the November 2nd election and resume a program of aggressive revenue enhancement.
Here’s a link to what should be on the 2012 Ballot in San Luis Obispo as it has already been submitted for certification. BTW, Thomas Jefferson had a remarkable quote that may seem quaint to some… but will ressonate with others and I prefer to end this blog on a positive note:
Have you traveled to a place that they said had good marinara sauce only to be disappointed?? Well come to San Luis Obispo and be transported! CLICK on the picture to be transported to paradice!
I first experienced Cafe Roma in San Luis Obispo well over 20 years ago… and it keeps getting better and better! Laura and I enjoyed our lunch today and the experience was extraordinary! Everything was wonderful… but the dessert was simple yet elegant. Cafe Roma’s bread pudding topped with a wonderful scoop of ice cream and what seemed like a caramel rum sauce. yummmmmmmm
If you have the opportunity to come to San Luis Obispo, stop and smell the roses at Cafe Roma… you will be very happy you did.
Quando le mie figlie a venire casa questo Natale, ceneremo tutti al ristorante “Cafe Roma”!
California Cities have found a loop hole to raise more money: RAISE FEES!
Years ago, Californians attempted to limit the growth of statewide government spending by placing a cap on how much one’s property tax could be raised in any year. However, local governments not satisfied with living within their means and buffeted by internal pressures; they exploited a loop hole. Simply put, all ‘revenue enhancement’ was in the form of raising the fees for many activities well beyond the original cover-their-cost intent. All one has to do is look at a comparison of how much it costs to offer a service and how much is charged for the service. For example, water and trash collection fees have been highly inflated as well as cell phone ‘taxes’ in which the cities have no real cost or negliable.
The problem of increased fee’s is mainly a symptom of poor management. Local governments have inflated each others salaries beyond reason ( review case of the City of Bell). In our town San Luis Obispo, California of roughly a mere 40,000 people we have a city manager who makes over $300,000 a year not including perks. Our little county ended up having to fire it’s chief and second in command for — what I would call — lapses in ethical judgement. In the midst of the worst economy in history, they are still hiring!
So are we surprised at what is currently on the November Ballot??
California Ballot Measures related to City and State Finance CLICK on the picture above to get the entire report
So, here we are. However, we have not discussed the giant financial crisis that looms ahead. Cities have what are called ‘unfunded liabilities.’ These are obligations — many related to retirements past and future — that are growing exponentially. Some cities have chosen or looking at bankrupsy and defaulting on all their retirement benefits rather than face the voters and the unpleasant realities early in the process. What this means is that a retirement isn’t just scaled back, but cut to zero.
So here are a few questions I would think would be fundamental to ask today’s candidates for local office:
What are your plans to manage the projected revenue shortfalls?
Do you believe that raising fees is key to solving fiscal shortfalls?
Do you support citizen effort to bring fee requests for a public vote?
I am sure there are many other worthwhile questions to ask… but these need to be answered first.
“The two largest pension funds in California, the California Public Employees’ Retirement System (CalPERS) and the California State Teachers’ Retirement System (CalSTRS), have lost billions of dollars in value. Hundreds of thousands of retiring state employees and teachers now face the stark choice of accepting much reduced pension checks or working past their retirement age.”
“How bad is it? It’s this bad. A new Stanford study indicates that the State of California’s unfunded liability for its three largest public employee pension systems will grow to half a trillion dollars by 2025. Is there any better example of the tyranny of government, that it would plunder the wealth of several generations of Californians. With these results, how can anyone justify electing the same people over and over again to the California Assembly?”
“While it surely is not the preferred method of dealing with financial shortfalls, the approval by the Vallejo City council to change their firefighter pension agreement may set the tone for the rest of our state. Sadly, Vallejo had to file for bankruptcy protection before organized labor saw the handwriting on the wall….”
““We found the city’s system of internal control to be nonexistent, as all financial activities and transactions revolved around one individual, the former chief administrative officer, who had complete control and discretion over how city funds were used,” the auditors wrote.”
“An investigation by California Watch early this year found the state’s local governments and tow companies generated an estimated $40 million from checkpoint impounds in 2009. Many of the unlicensed drivers who lose their cars at checkpoints are illegal immigrants. The Cedillo measure was touted as an anti-corruption provision since police officers in Bell, near Los Angeles, admitted last month that the city used revenue from impounds to pay top officials massive salaries. Bell police referred to checkpoints as “tow-a-thons,” says former Sgt. James Corcoran, who investigated corruption issues in the city.”
"a secret message for all voters" CLICK on the picture and see how to make your own
I learn so much from my children. Last night as we were wishing Karen a Happy Birthday, we were discussing the many uses of what are referred to as ‘QR Codes.’ Karen had been teasing me for some time about not having a ‘QR Reader for my phone which I have just now added (it would be helpful in San Luis Obispo would get their act together and give me more than one bar on my highly taxed phone!)
* I had to contact my service to find out which company had compatable software
Karen placed QR codes on my site which seem a little less mysterious now and I can see the fun in it. So if you have a QR Reader and can read this super secret message embeded into the design above… it might amuse you. At the very least, it may make you feel more hip and even impress your friends!
