We’ve been pretty quiet about Prop 8 recently, but that’s more because of the other stuff going on taking precedence rather than anything else than anything else.  You know, there’s a thing or two going on in California politics these days.

Anyway, there’s been a measure kicking around in the Secretary of State’s Database for a few weeks. It is quite simple, and merely repeals the one line of text added into the State Constitution by Prop 8. The entire thing (PDF) is about 50 words, mostly procedural.  However, this basically came out of nowhere.  The group behind it, Yes on Equality is one of a number of very new groups to organize around marriage equality post-Prop 8.  While I’m all about doing over talking, this one probably could have been a little better managed by working with a broader coalition.  But, it seems they wanted to get a jump on the issue:

“Our logic is that we should not put all our eggs in one basket and wait for the Supreme Court,” said Charles Lowe, who after campaigning against Proposition 8 founded a Davis-based group called Yes! on Equality. “By doing so, we lose anywhere from 8 to 12 months.”(SacBee 1/21/09)

On a more collaborative organizing front, the Equality Summit is scheduled for this Saturday. It is intended to bring as many stakeholders as possible to the table to discuss options for moving the ball forward after our defeat on Prop 8.  Much of the meeting will be off the record, and for a summary of the brouhaha related to that, check out the Mad Professah diary. While I’m generally key on openness, perhaps it might be worthwhile to get some of the tension out in the open without the concern of it appearing in the interwebz.

Finally, there is one more interesting story to note.  A new group calling itself Yes on Gay Marriage! is trying to situate itself as a national pro-gay marriage lobbying group. Their major action thus far has been some initial organizing towards building a march upon Washington in favor of marriage equality.  Well, they have now hit a rough patch.  It turns out that the two main consultants, Kelley Moran and Barry Wyatt, have accepted money from Yes on Prop 8 for their COPS voter slate.  From the Bay Area Reporter:

Kelley Moran and Barry Wyatt are with Yes on Gay Marriage, an organization that, like others, seemed to come out of nowhere in recent weeks after the passage of Proposition 8, which eliminated same-sex marriage in California. Moran, who said that he married his same-sex partner of 16 years last summer, said last month that what sets his group apart is that it is leading the charge for a march on Washington.

The slate mailer carries the names of both the COPS Voter Guide and the California Vote by Mail voter guide, as well as the Yes on 8 logo. Records filed with the secretary of state show that Yes on 8 paid the COPS voter guide at least $25,000, as well as a total of at least $50,000 to the California Vote by Mail Voter Guide. … Last year, according to data filed with the secretary of state’s office, the COPS voter guide paid at least $245,000 to Moran and Associates, which Moran is president of, and at least $105,000 to Barry Wyatt Associates.

Moran essentially runs both of these guides, and is apparently willing to part with his values to chase the slate dollars.  Moran actually got married to his partner of 16 years while he was out pushing Yes on 8 on his slate mailers.  

As of yet, neither Moran nor Wyatt has openly discussed this issue.  It’s hard to imagine a real grassroots group growing up from such foundations. It’s something of grassroots buzzkill to know that the consultant is taking money from both sides. Whether the organization can grow beyond this controversy is also outstanding.

Democratic legislative leaders are in Washington today arguing for increased stimulus money for California.  I’ve been arguing that this is required for some time, and hopefully it will be done in such a way that a) it can be applied to the General Fund deficit (so far Arnold has not asked for budget relief in that way) and b) it can be used without up-front money that will be matched, because the cash crisis limits our ability to do that.

However, there is something else that the Obama Administration can do right away to help the bottom line of the state and its citizens, and that is deal with the crisis in the housing market here.  It’s no secret that California is one of the hardest-hit states by foreclosures; in Stanislaus County, for example, 9 percent of all houses and condos in the county have been foreclosed upon, a staggering figure.  That’s almost $4 billion dollars worth of foreclosures in Stanislaus alone.  In larger counties like San Bernardino and Riverside, you can see how this foreclosure crisis affects new housing starts (there are a glut of cheaper foreclosed homes on the market) and thusly unemployment figures.

Only four years ago, Riverside and nearby San Bernardino, often called the Inland Empire, were California’s economic powerhouse, accounting for more than a fifth of the state’s new jobs. Today, unemployment reigns in the sprawling region east of Los Angeles. The 9.5 percent jobless rate in the two counties matches Detroit’s as the highest of any major metropolitan area in the U.S.

Although there was a surge in construction employment in the U.S., and about a 50% increase in California (as a percent of total employment), construction employment doubled (as a percent of total employment) in the Inland Empire […]

With the housing bust, the percent construction employment has declined sharply and the unemployment rate has risen to almost 10%. Is it any surprise that jobless rate in the Inland Empire matches Detroit’s as the highest of any major metropolitan area in the U.S.?

Nobody is calling on the federal government to prop up a sick housing market that will not see a broad recovery for a while.  But foreclosures have a disruptive effect on the greater economy.  They hurt property values, they hurt banks, and they hurt employment.  The crisis is only slated to grow if nothing is done, with homeowners of every income class affected.  And so foreclosure aid would be a major boost to California, and it can be done both quickly and effectively.  By pledging that $100 billion from the TARP program will go to limit foreclosures, Obama has already begun this effort.  Ted Lieu thinks that the Obama Administration understands the nature of the problem. (over)

Time is of the essence. I commend the incoming Obama Administration for pledging up to $100 billion from the Troubled Assets Relief Program (TARP) to help distressed homeowners stay in their homes. In California, which has the highest number of foreclosures in the nation, we experience one foreclosure filing every 30 seconds to 1 minute. The TARP funds, which the U.S. Senate recently released, should be immediately put to use to rescue homeowners from foreclosure. Our economic recovery will not begin until we slow down the astronomical rate of foreclosures and stabilize the housing market.

Strategic direction is of the essence. The haphazard strategy of the Bush Administration’s use of the initial $350 billion in TARP funds resulted in the following: more foreclosures, less market confidence, and zero benefits for the ordinary citizen. How does giving yet another $20 billion to Bank of America so it can complete its purchase of Merrill Lynch’s brokerage arm help anyone on Main Street? Answer: it doesn’t. The only people this TARP money under the Bush Administration has been helping have been Wall Street firms. It is time for change and January 20th cannot come soon enough.

State efforts are of the essence. Helping our economy recover will require the combined efforts of both state and federal resources. In California, I introduced the California Foreclosure Prevention Act to provide immediate foreclosure relief. This Act imposes a foreclosure moratorium, but allows lenders to avoid the moratorium if they have a comprehensive loan modification program designed to keep people in their homes. Swift passage of this Act will complement and enhance proposed federal efforts. We need action and we need it now.”

However, more needs to be done.  Earlier this month, Democratic Senators got Citigroup on board for what is known as “cramdown” legislation, which would allow bankruptcy judges to restructure mortgages that would give homeowners the ability to pay them.  The lenders take a haircut but it’s a better situation for them than foreclosure, and those who get to keep their homes can continue to contribute to the economy.  It’s a great idea and a major step toward reforming the hideous 2005 bankruptcy bill.  Yet despite supporting it, Obama’s team doesn’t want to include this reform in the economic recovery package, which I think is a mistake.

President-elect Obama and his advisers are resisting attempts to include a provision in the economic stimulus bill backed by congressional Democrats that would allow bankruptcy judges to shrink mortgages.

In a hastily convened Democratic Caucus meeting last week, Obama economics adviser Jason Furman made it clear to lawmakers that Obama thinks the so-called “cramdown” provision would cost GOP votes and endanger bipartisan support in the Senate.

He committed to dealing with the issue after the bill passes, as did House Speaker Nancy Pelosi (D-Calif.).

Lead supporters of the cramdown provision say the time to deal with the issue is now. Rep. Jerrold Nadler (D-N.Y.) said it’s worth losing some Republican support to help homeowners.

“I would take that risk,” Nadler said. “I don’t think you’re going to get a lot of Republican votes anyway.”

This is absolutely correct by Nadler, and risking a few votes on the margins is no reason not to limit foreclosures now.  There is an urgency here, because each foreclosure hurts the housing market more and makes it less liable to recover quickly.  We cannot wait a few months for the sake of political expediency.  Cramdown needs to happen fast, particularly for us in California.

Dear Friends,

I’m here in Washington, DC, for meetings and was privileged yestreday to attend the inauguration of our 44th president, Barack Obama.  As you can imagine, it’s been impossible to walk the streets of the capital and not feel the overwhelming sense of anticipation and optimism radiating from the crowds.  Like you, I have awaited this inauguration with tremendous anticipation because of my great hope for real change after the damaging Bush policies of the last eight years.  As Americans, we suddenly are overflowing with optimism because the presidency is to be assumed by a man whose experiences bring a unique understanding of our nation’s history, diversity, and challenges.

Our challenges, though serious, are by no means insurmountable. During the next four years, I believe we will see genuine progress in the fight to guarantee health care for all Americans, as well as a renewed urgency to address the degradation of our environment during the Bush presidency.  President Obama has assembled an excellent team to tackle the economic quagmire left behind by the Bush Administration and we expect major investment in our

country’s infrastructure.  Moreover, unlike its predecessor, we fully expect an Administration that respects the rule of law.

A third of all Americans call this inauguration the nation’s most historic.  I join that third in their sentiment.   As the Obama Administration assumes the nation’s helm, I very much regret that I will not be able to fight for the residents of the 44th Congressional District from within the halls of Congress in this next session.  However, we will continue our fight to bring effective representation to our district-representation that reflects the real values of our residents!

All over DC the signs say, “Yes, we did!”  As we look toward 2010 in the 44th Congressional District, we say proudly, “Yes, we will!”

Bill Hedrick