San Francisco Business Times
Allan Zaremberg, president of the California Chamber of Commerce and
Larry McCarthy, president of the California Taxpayers, demonstrate that
they are not friends of businesses or taxpayers in their promotion of
Propositions 57 and 58 in his Feb 13-19 editorial, "State ballot
delivers two propositions you can't refuse". Here are the facts.
Prop 58 is a scam! This terribly misnamed "Balanced Budget Act" touts
toothless budget reforms that are largely ALREADY in our current
California Constitution. But the real purpose, buried in the measure,
is to legalize Prop 57, the $15 billion bond measure. Such borrowing
from Visa to pay the off the MasterCard is NOT legal under our state
Generations ago, state politicians wisely realized that it is a bad idea
to let government issue bonds to pay for deficit spending. Hence, under
our constitution, bonds can only be issued for "single use" purposes --
highways, parks, water projects, schools, etc.
Prop. 58 would repeal this limitation. While this is supposedly a one
time exception, if 57 and 58 pass, we can rely on our politicians to
seek this short-term bailout again and again.
Supposedly Prop. 57 will replace an already authorized (NOT approved by
the voters) $10.7 billion bond now being challenged in the California
courts. But what if the courts rule that this first bond is indeed
legal? Where is the REQUIREMENT that only one of the bonds is issued?
The answer is that there is NO such requirement. We are supposed to
rely on our politicians to "do the right thing" and issue only the
massive Prop. 57 bond. But if they can get the money from BOTH bonds --
totaling $25.7 billion -- it's hard to imagine the politicians not using
this windfall to continue spending as usual. The only real solution for
businesses and taxpayers is to dramatically reduce the size and expense
of State government and lower taxes across the board.
While we are at it, Prop 56 is also a clever scam. The measure is
filled with popular if meaningless "budget reforms," while the hidden
real purpose [buried in section 12 (f) (1) of the proposition's fine
print] is to repeal the 2/3 legislative vote requirement on the budget
and higher taxes. In perhaps the most deceptive ad seen in a decade,
their "legislator food fight" commercial never even mentions this key
Who the hell are Zaremberg and McCarthy working for? They should be
Michael F. Denny
Libertarian Candidate for Supervisor
Ph: (415) 986-7677 x123
Fax: (415) 986-4004