The Logic of Props 1D and 1E: If It Isn’t Broken – Break It!

In 1998 California voters approved Proposition 10, taxing tobacco sales to pay for educational and health care programs for children under age 5 whose families are otherwise unable to afford those services (the First Five program). And in 2004 voters approved Proposition 63, levying a 1% surcharge on incomes over $1 million to finally reverse decades of deliberate underfunding of mental health services. These programs have been VERY successful and both programs have stable long-term funding.

Only in the twisted logic of the May 19 special election could that be seen as a bad thing.

Propositions 1D and 1E on the May 19 ballot are raids on the Prop 10 and Prop 63 programs, respectively. As the LA Times explained in their article on the propositions today:

The early childhood and mental health programs became prime targets for budget negotiators working to solve the state’s $42-billion deficit. They were sporting a budget surplus of about $2.5 billion each at a time when health and welfare programs funded the old-fashioned way — through the state’s general fund appropriations — were being stripped.

Backers say those surpluses were a fiscal mirage, because the money had been committed to future programs or was being saved for tough times.

Let’s be clear here – because Props 10 and 63 were a successful method of creating important programs and paying for them, they are now seen as viable targets for attack. The LA Times goes further and uses this as an occasion to criticize ballot box budgeting:

But the measures, Propositions 1D and 1E, also represent ballot-box budgeting coming back to haunt the California electorate.

Though they often complain that statehouse lawmakers spend like drunken sailors, the state’s voters have in recent decades repeatedly performed in much the same manner. Time and again they have approved propositions that critics say have combined to straitjacket the state’s budgetary process.

“The voters have been as responsible for this budget mess as anyone else,” said Larry Gerston, a San Jose State political science professor. “Election after election they have authorized money for this or that. And it ties the hands of the Legislature at budget time.”

I don’t buy this. True, I tend to reject the “ballot box budgeting is bad” argument generally speaking, but in particular it’s not appropriate for this situation. Especially when voters are being asked to do more ballot box budgeting. Voters haven’t “tied the legislature’s hands” by things like Prop 10 or Prop 63. What they’ve done is say “we like social programs, we like taxing people to pay for them, and since you have proved unwilling or unable to do it, we’ll do it instead.”

To criticize ballot box budgeting without explaining why it happens – because Prop 13 gutted the state’s ability to pay for core services and created the conservative veto through the 2/3 rule – is to miss the point almost entirely.

And it enables things like Props 1D and 1E, which seem designed to punish voters for having successfully funded important programs.

One-time program raids are not a solution to the budget mess anyway. Nothing the LA Times has included in this article does anything other than convince me a NO vote on Props 1D and 1E is the right move for our state.

4 thoughts on “The Logic of Props 1D and 1E: If It Isn’t Broken – Break It!”

  1. about 1D and 1E are this:

    1. These are programs that protect funding for constituencies that by and large have no voice in Sacramento – young kids and the mentally ill.  We’ve seen them get the short end of the stick time after time after time in these debates, and so we devised programs to protect their funding streams.  If anything requires ballot-box budgeting, it’s that.

    2. The roughly $1 billion dollars diverted to the general fund by these measures is far less than the $1.5 billion dollar permanent corporate tax cut put into the budget deal.  The legislature had their chance to save these two important funding streams and they blew it.

    3. These programs save money in the long run, on hospital and police and prison costs for the mentally ill, on educational advancement benefits to early childhood ed and First 5 programs.  The down-the-line result costs the state more.

    4. The data point from supporters that these only attack reserve funds leaves me wondering whether these are the same people who support 1A who want to create a reserve fund.

  2. to go after two of the FEW examples of successful ballot box budgeting – ie, funded programs with a surplus, as if that’s somehow terrible.

  3. Voters aren’t saying “we like social programs, we like taxing people to pay for them, and since you have proved unwilling or unable to do it, we’ll do it instead.”  They’re saying, “I don’t smoke, I don’t make a million dollars, so I don’t care.”  There was no rationale to either of these proposals beyond the fact that supporters were able to identify an unloved minority to pay for it.

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