I’m reading the accounts of delusional maniacs from across the state with not a little bit of bemusement.  The lack of economic thought is matched only by the lack of recognition that Republicans got far more out of this budget than they deserved to get, thanks to the anti-democratic 2/3 requirement.  Here’s a sample of this Algonquin Roundtable:

“The Republicans should have stood their ground,” fumed 70-year-old Tony Dragonetti. “Abel Maldonado is sick, and so are the other Republicans who voted for this. They give the you-owe-me crowd everything they need, but the poor slob who is working day after day paying taxes gets nothing.” […]

“I think they could have held out. There are a lot more cuts they could have made,” said Steve Pyle, 61, who said he was so unhappy with the country’s direction that he seriously was considering moving to Australia. “They could start by getting rid of all the illegal immigrants and the teachers unions.” […]

“I don’t believe everything would have stopped if this budget wasn’t passed,” Sanders said. “I support what the Republicans did.”

Local GOP activist Adele Harrison predicted new taxes would push the state and country into a depression […]

Terry Carter, 65, just smiled behind the counter and kept pouring coffee. The boisterous regulars have helped keep him in business for 22 years. As for his own opinions, he keeps those to himself.

“Sometimes the smartest thing you can do is listen,” he said.

Well, that depends on who you’re listening to.  For example, listening to talk radio is most definitely NOT the smartest thing you can do.  I’ve been tuning in to a lot of this down in Southern California, and the ignorance abounds.  A typical commenter is a well-off suburbanite bitching about $700 bucks in new taxes for their $126,000 salary (that was an actual conversation).  Roger Niello, one of the Yacht Party’s own who voted for the budget, got hammered on a Sacramento station.

John in Sacramento warned, “You’re going to bankrupt the state with taxes.”

And Dave in Cameron Park told Niello he was “outraged that you, as a Republican, caved in and voted with Democrats.” […]

“You should have let (California) fall off a cliff,” John from Sacramento told him. “Then, we pick up the pieces and put this state together, the way it used to be.” (emphasis mine)

This is the suicide cult politics played by the GOP.  And it features a lot of righteous anger and talk of censure and recalls and primary challenges.  There’s even some Ventura County Supervisor and anti-tax nut who’s mulling a run for Governor as the conservative alternative.

But I’m not sure it’s such a force anymore.  The John and Ken show ended Thursday with the two musing that “somebody should do something about this” and asking listeners to find each other to fight against the turncoats.  In other words, they’re not going to lead it.  Ultimately, these are lazy people shouting at the end of the bar.  Independents have turned dramatically against them, and the leader of the party won’t show up at their convention.  I don’t know that they’re entirely coordinated, after years of mismanagement and an almost broke state party apparatus, to even pull off the enforcer role.  If someone like Anthony Adams survives a primary challenge, that would be a powerful signal that the Yacht Party is all sound and fury, signifying nothing.

In fact, in maybe the most pathetic rallying speech I’ve ever heard in my lifetime, neo-Hooverist South Carolina Governor Mark Sanford argued for losing now, losing tomorrow, losing forevah!

“We are at the incredible gut check point for what happens next in American civilization,” Sanford said in the introductory address for the state party’s three-day Sacramento convention […]

“Would you be willing to lose? Would you be willing to support folks who may likely lose,” Sanford told the gathering at the Capitol Hyatt. He went on to say that it was paramount for party members to support the GOP “at a time when it may look like a losing cause” because their efforts will be “pushing the ball forward in the larger conservative movement.”

California Republicans: Willing To Lose.

The California Budget Project has done a preliminary report on the “solution” (and I’m glad they put it in quotes) reached yesterday and expected to be signed by the Governor today.  They demystify the fact that this is, once again, a short-term fix that will actually worsen our budget situation in the future.  The $42 billion dollar hole from this year is a direct result of constant short-term fixes over the past several decades, pushing off the problem until the current legislators are out of office.  Even in this budget, it is balanced through $6 billion in borrowing, which might as well be magic since we have the worst bond rating in the country.

The worst part of this is the spending cap, which could cripple future budget and severely ratchet down state services well beyond demand or even the rate of inflation and population increases.  We have seen from other states how this is a hammer on the heads of the least of society and it must be fought in the May 19 special election.  But the CBP is just as perturbed about the massive tax cuts, at a time of a $42 billion dollar deficit, to large multinational corporations:

Give multi-state corporations the option to choose between two different formulas for determining how much of their income would be subject to tax in California. This provision would be in effect in tax years beginning on or after January 1, 2011 and would cost $650 million in the first full year of implementation, eventually increasing to $1.5 billion annually. This provision provides no benefit to small businesses that only operate in California.

The tax breaks for movie companies and new construction home buyers and for hiring new workers (which history has shown doesn’t end up increasing employment but increasing employer chicanery with their payrolls) are all temporary, as are the tax increases.  The only PERMANENT tax in the entire plan is this giveaway to giant corporations like Exxon.  This is why Richard Holober claims that big business is the “only winner” in this budget.

The worst of the business tax cuts is a permanent change in the formula for calculating the income tax for multi-state and multinational corporations. This produces an initial big business tax cut of about $700 million a year. The State Senate analysis estimates the recalculation will eventually yield a corporate tax reduction – and state revenue loss – of $1.5 billion a year. This is not tax fairness. Combined with the tax hikes on everyday Californians, it is redistribution of income away from workers and consumers and into the pockets of our state’s biggest businesses. And it provides no tax savings for the mom and pop businesses that we usually count on to provide the camouflage for these corporate welfare schemes.

Another major sin in this budget are the agreements secured by Republicans to essentially increase greenhouse gas emissions by relaxing environmental regulations for large diesel vehicles.  This is another example of Arnold Schwarzenegger being a complete hypocrite, running around the country painting himself as the “green governor” while ramming through a provision directly contrary to that.

Like the budget itself, AB 8 XX was not the subject of any public hearings. The measure’s scaling back of emission controls was one of many concessions sought by Republicans in order for three of them in the Assembly and three in the Senate to vote for the budget.

Since there were no public hearings on the measure, it was easy for the GOP to side with the construction industry and ignore the majority of its members who want California to reduce greenhouse gas emissions and improve air quality.

A 2006 statewide by the Public Policy Institute of California found that 62 percent of Republicans strongly support state action to ratchet down greenhouse gas emissions. So do 73 percent of Democrats and 70 percent of independent voters.

That same poll found that two-thirds of likely voters for rolling greenhouse gas emissions back to 1990 levels by 2020. That is the legislation that became AB 32.

Finally, there is $5.8 billion that will be on the ballot for voters to agree upon, including a privatization of the lottery (which assumes a $5 billion sale… who is lining up to buy the California Lottery?) that would be a net loss of revenue for the state in the long-term, and $800 billion in raids from various voter-approved funds for things like mental health treatment.  Considering how unpopular the legislature is these days, there is no guarantee that any of these will pass, which will leave another hole to fill by June.

These are just some of the details that reinforce the object lesson that major fundamental reforms, in particular repealing the 2/3 rule, are desperately needed.  None of the above measures help the state.  They were put in to placate a fanatical minority who is emboldened by a conservative veto.  Sign the pledge to repeal 2/3.

So Abel’s tears found a floor, and the deal is now done.  It’s a terrible, terrible deal.  Let’s first focus on what Maldonado got, which is less than meets the eye.

• He got his open primary legislation on the ballot, but not until June 2010.  Arnold was interested in it, and so it was likely to get on that ballot anyway.  This won’t help Maldo in 2010, which was probably a condition of the deal.  Considering that it affects Congressional races as well as legislative ones, I expect Nancy Pelosi to go all in trying to defeat and I don’t expect it to pass.  Open primaries have lost on the ballot in the past.

• The constitutional amendment banning legislative pay increases during deficit years passed; the amendment cutting all legislative pay during a late budget failed.

• The 12-cent gas tax increase was cut, replaced with a slight increase to the state income tax, federal stimulus money (which was always going to fill in because it was more than budgeted for) and $600 million in unspecified line-item vetoes from the Governor, which  are going to be ugly.  Let’s just say that the huge corporate tax cut is not the first place Arnold’s going to look.

Now, that’s what Maldonado got.  Among the other goodies in this budget, besides the corporate tax cuts and the privatization of state highway projects and the rest, are:

• A $10,000 tax credit for homebuyers, but only if they buy new construction.  So a “developer bailout” when there is all kinds of existing inventory sitting on the market and lowering property values inside communities.  And now there’s an incentive for them to stay there.  Great.

• Large commercial vehicles are exempt from the increase in vehicle license fees, because… gee, I have no idea.  This is perverse, the opposite of what we should be taxing, which are inefficient vehicles.

• Rental car companies can pass VLF increases on to customers, which they probably would have done anyway, but this makes it even easier.

• One provision allows for the delay of retrofitting of heavy diesel equipment, which will maintain poor air pollution in at-risk communities, and let’s face it, kill people.  Don’t believe me, take it from the Chairman of the Air Resources Board, Mary Nichols: “There are people who will die because of this delay.”

Dan Weintraub is right – this is a budget the GOP can be proud of, because it’s a profoundly conservative budget.  Because they hold a conservative veto over it.  And they get the best of both worlds – they don’t have to vote for the budget en masse so they don’t have to own it.  In short, the hijacking worked.  And that’s a function of process, not personality.

As Jean Ross says, “If this year’s budget negotiations don’t increase public support for reducing the vote requirement for approval of a budget and tax increases, it is not clear what will.”

…there are two initiatives that have entered circulation that would repeal 2/3 for budget and taxes, and replace it with an arbitrary 55%.  It should be majority rule.  But it’s about to gather signatures.  Budgets and bad policies can eventually be changed if the process is changed.

So there is going to be a reconvening of the State Senate today at 10am.  I know, that’s what they said yesterday.  But the plan from Sen. Steinberg is to keep the Senate on the floor until 27 members vote for passage and the crisis is (temporarily) averted.  Meanwhile, 20,000 layoff notices and the closure of $3.8 billion in state public works projects will take place today.  Things like projects to eliminate arsenic in Live Oak in the Central Valley.  You know, dispensable things.  And the Times has a bead on the three Assembly members who plan to vote in favor – Roger Niello, Anthony Adams and Minority Leader Mike Villines.  This is a representative sample of the countervailing forces that Yacht Party members have to deal with.

Adams, a bearded 37-year-old who was elected in 2006 after working for San Bernardino County as its legislative liaison to Sacramento and Washington, has said he would provide the Assembly’s third GOP vote.

“It’s unconscionable that we let this state go over the cliff,” Adams said in an interview. “My job is to get the best possible deal for Republicans.”

Adams faces reelection next year, and his support for the budget package has antitax advocates interested in lining up a challenger in the GOP primary. And because he represents a swing district, Adams must also worry about a general-election challenge from a Democrat.Adams said he had not asked for specific concessions for his vote, or for assurances that he would get assistance to fend off election challenges.

“I’m not trying to find some soft landing,” he said, “although my wife is going to kill me if she hears that.”

They are not rewarded for their vote, and they fear their own “head on a stick” party members more than the opposition.  And so you get this gridlock.

It occurs to me that what Steinberg is doing is what progressives have asked Harry Reid to do in the US Senate for years now.  When GOP obstructionists threaten to filibuster key legislation, we always say “Make them filibuster!  Make them stand up in the well of the Senate and talk endlessly about how we can’t afford to provide health care for children, or how we have to offer more tax cuts to the wealthiest 1%.  Let the whole country see it!”  Well, we’re basically doing that.  The 15 members of the Yacht Party caucus in the Senate will be locked down and forced to reiterate their arguments indefinitely.

Problem is, the whole country won’t be seeing it, the whole state won’t be seeing it, in fact almost nobody will be seeing it.  This is the true failure of a lack of political awareness in California, and a lack of political media.  The pressure points are nearly impossible to hit.  A lot of lawmakers will get tired and need to “bring your toothbrush,” as Steinberg said, but there’s precious little drama outside of Sacramento.  And yet the decisions made in that chamber will undoubtedly impact the entire national economy, not just us.

But that is also good, in a sense, because it means that a sliver of opinion makers descending on the phone lines of the legislature can seen like an army.  I’m going to reprint the email alert that Brian sent out last night, which you may have received, because I think he captured the situation perfectly.  The leadership is making them filibuster.  Now it’s up to us to put on the pressure.

Hey there, registered Calitics user –

If you have been watching Calitics or the news this week, you’ve heard about the budget debacle going on in Sacramento.  For the last three days, we have remained one vote short of the required two-thirds majority for a budget deal, with only two Republicans being willing to join the Democratic caucus in the Senate. You can follow our coverage of the Budget here:

http://budget.calitics.com

To be blunt, the budget deal on the table is a mess. It consists of over twenty bills in each chamber. It guts environmental protections on several major projects, it offers gifts to corporations and a few powerful industries.  It relies on cuts and borrowing far too heavily, and does not provide the real long-term fixes of our revenue stream that we so desperately need. And the spending cap that will go to the ballot in the spring represents a major step backward, and progressives will have to expend substantial resources to defeat it. Yet despite all that, only one thing is really clear:

If we do nothing, the state faces systemic collapse.

Because Republicans refused for years to look at new revenues to balance the state’s budget, California is being hit harder by the economic crisis than any other state. We face a $40 billion deficit, and already the state is running out of money. Schools are looking at cutting classes and laying off teachers. Tomorrow, if there is no budget, 276 infrastructure projects will be halted – affecting 38,000 workers in the state, and the governor has announced that he will issue layoff notices to 20,000 state workers. And the state’s credit rating, already low, will suffer further downgrades, effectively costing taxpayers more money.

The media has now taken notice that the Republicans are trying to bring the state down with them. But the media has little power if we aren’t watching and if our leaders don’t know we are watching them. So, here is what we need to do:

Call Senator Abel Maldanado (R-Monterey County, 916-651-4015) and tell him to give up his list of demands and end this hostage situation.

Call Senator Dave Cox (R-Fair Oaks, 916-651-4001) and tell him that the state deserves better than a Senator who goes back on a deal when threatened by his own party’s extremists.

Tell as many people to do the same thing. Use every tool at your disposal, Twitter, facebook, or just word of mouth. The more people that know about this Republican extremism threatening our state, the better.

The Senate is set to once again resume session, and we might be in for another all-nighter. However, keep at it, because this is simply too important to let Republicans play their dangerous games with the lives of Californians.

Just a thought or two on this whole mess while we wait for the Senate to reconvene.  While I didn’t think it was the best strategy to announce a deal and start voting on it before there was an actual deal in place (although the rumor that Dave Cox reneged on a handshake deal changes my perspective a bit), Darrell Steinberg seems to have backed into a strategy of playing Yacht Party obstruction out very publicly, so that the essential insanity of their anti-tax, sink-the-state agenda can be well-described by what’s left of political state media.  So George Skelton does the math and refutes the Yacht Party assertion that cutting spending alone can solve the budget crisis, and Dan Walters manages to describe the situation accurately.

And we all sit at our computers and type out our “even Dan Walters and George Skelton believe” articles, eternally hopeful that this is the corner-turning event, that the public will find the right people to blame for the sorry state of affairs, and punish them repeatedly forever more.  Only it’s wishful thinking.  First of all, I hate to break it, but nobody reads George Skelton and Dan Walters.  They are opinion leaders to about .001% of the electorate.  Second, there was another audience watching Sacramento this weekend, and they were the bondholders, who would be crazy to allow California to borrow one more red cent from them given the political fracturing (and this budget calls for 1.1 trillion red cents, or $11 billion dollars, to be borrowed).  Even if this passed tomorrow there would need to be lots of short-term debt floated to manage the cash crisis until new revenues actually reached state coffers, and with the bond rating the lowest in the country and the dysfunction being played out, I don’t see it happening.

The other point is that this is, let’s face it, a bad deal for Californians.  Among the sweeteners thrown in the deal to attract that elusive third Republican vote are a $10,000 tax break for home buyers to re-inflate the bubble and set the state economy up for an even bigger crash; weakened anti-pollution laws that will cost the state additional public health and environmental cleanup spending in the long-term; a potential budget cap that will make it impossible for public schools and social services to meet demand; and much more.  The tax changes, which are short-term except for a huge break to multinationals, tax things that we want to encourage in a downturn, work and consumption.  What the federal government is offering to spur demand and get the economy moving again is exactly what the state government will be cutting to balance the budget.  That’s not an argument to kill it, but it’s a reflection of reality.

So there will be at best a kind of zero-growth stasis, and at worst a further crumbling of the local economy, with shrunken revenues likely to require another round of this by summer.  Ultimately, the media cannot help the Democratic Party solve this problem.  The bill is coming due for 30 years of anti-tax zealotry and the belief that we can provide whatever citizens need without paying for it.  There isn’t a light at the end of the tunnel.  That some opinion leaders are coming around about 20 years to late doesn’t wash the blood from their hands.  And that the Democratic Party is finally thinking that they should maybe fight against the 2/3 requirement that has relegated them to a functional minority in Sacramento since is was instituted doesn’t absolve them for 30 years of inattention.

It gives me no pleasure to bear the bad news, but there’s no wake-up call on the horizon.  Even all 38 million Californians coming to the same “Hey, GOP is suxxor” conclusion at the same time doesn’t change structural realities.  Those must be fought for over years if not decades, and it is not defeatist to wonder whether it’s too late.

…I think Joe Matthews says it fairly well.

A day after Calitics called the roll of the Yacht Party on the budget deal to be voted upon tomorrow in the State Senate, Shane Goldmacher does the same and comes up with just three Republicans who haven’t signaled a no vote:

The field of potential Republican votes for the budget compromise in the Senate — widely viewed as the most challenging caucus to corral support — has narrowed so significantly that only three members have yet to throw cold water on the tentative deal.

That happens to be the bare minimum of Republican votes needed to pass the $40 billion-plus budget plan.

Those three are Senate Republican leader Dave Cogdill, Sen. Dave Cox of Fair Oaks and Sen. Roy Ashburn of Bakersfield.

Neither Ashburn, Cox OR Cogdill said they would actually vote for the budget, by the way.  You can read all of the statements at the link.  It should be noted that normally, the Senate would need only two Republican votes to pass, but since Mark Ridley-Thomas’ seat is vacant (he was elected to the LA County Board of Supervisors in November) until the March special election, it takes three.

That basically means that full caucus unity is needed from the Democrats, and these three votes would have to come through, for the budget to pass.  And we know that Lou Correa is wavering.

And the outside pressure is on.  Opportunists like Steve Poizner are slamming the deal, and advocacy groups on both sides are urging a no vote.

GOP conservatives were incensed at the notion of a colleague supporting tax hikes, while labor and environmental groups were mad at what they consider Democratic concessions.

“If we’re going to win elections in 2010, we have to say that we’re the other party ? that we’re going to stop tax increases,” said Jon Fleischman, a conservative blogger and a vice chairman in the state Republican Party.

Jeanine Meyer Rodriguez, spokeswoman for the state council of Service Employees International Union, representing 750,000 workers statewide, was upset by spending restraints and billions in budget cuts in the proposal.

“We’re making it clear to all the legislators that if they vote for this, they’re not representing our members,” she said.

This morning’s Republican press release painted the budget as a necessary evil, so the skids are being greased for passage.  Still, with nobody owning the bill and lots of variables, it’s entirely possible that it goes down tomorrow.  Given some of the details, I’m not convinced that’s a bad thing.  But clearly, tomorrow should be… interesting.

I think we may be a little premature in calling this budget a done deal.  Dave Cogdill says it’s the best the GOP could get, but won’t even commit to voting for it HIMSELF:

“My deal, one more time, has always been that I would try my best to get it to a position where I felt it was as good as I could get and I was willing to release my members,” Cogdill said in a brief interview in the hallway outside his office. “That’s where I am. So I’m not guaranteeing any votes; it’s up to them (his members) to make that decision.”

“But I’ve negotiated it to the point where I think it doesn’t get any better,” Cogdill said.

Asked if he specifically would support the package, Cogdill hedged, “We’re waiting to see all the language and all of that so I’m not ready to commit who the votes will be at this point.”

Not a guarantee at all.  This still could be torpedoed when the votes come in.  In fact, Abel Maldonado, thought to be the most likely Yacht Party member to vote yes, had this to say:

“All I can say is that there’s still another $1 million for John Chiang for furniture in this budget so it’s an easy vote ‘no’ for Maldonado,” the Santa Maria Republican said.

That’s a reference to the recent spat between Maldonado and state Controller John Chiang over furniture purchases.

Doesn’t seem like a deal to me.  And Maldonado is an idiot, because the Controller budget was appropriated before Chiang showed up and was probably agreed to by him at the time.  But this isn’t about intellectual consistency.  It’s about looking for any excuse for the Yacht Party to hide from their responsibilities.

…oh, and the whole thing could be sunk by Lou Correa.  Awesome.

Update by Robert: Someone needs to ask Abel Maldonado why he thinks chairs come before children.

Punishable by two-four years in prison:

Labor and environmental groups have asked California Attorney General Jerry Brown to investigate whether Republican state lawmakers are engaging in illegal vote trading during budget talks.

“It’s a serious question and we’re reviewing the matter carefully,” Brown responded Thursday.

The California Labor Federation, State Building and Construction Trades Council, Sierra Club California and the Planning and Conservation League wrote to Brown on Wednesday – and sent a copy to U.S. Attorney General Eric Holder, too – citing reports that the Legislature’s GOP leaders are withholding votes on a state budget while attempting to win votes on unrelated matters.

[…]

It asserts this violates California Penal Code Section 86, prohibiting lawmakers from giving or promising to give “any official vote in consideration that another Member of the Legislature shall give this vote either upon the same or another question.

Join the Facebook Group to stand with unions and environmentalists in asking that Jerry Brown investigate.

Not sure where the LA Times is pulling this figure from.

A $5-million plan to replace 78 wood piles that support the pier is among the hundreds of California projects that stand to benefit from the federal stimulus measure. In fact, the first major initiative of the Obama administration could deliver as much as $63 billion to the state.

Some of the money would help ease California’s budget crisis, although officials in Sacramento say it would cover only one-quarter of the nearly $42-billion deficit […]

The $63-billion projection for California — provided by the Center for American Progress, a liberal think tank with ties to President Obama — includes about $44 billion to help pay for things such as infrastructure projects, healthcare for the poor and increased unemployment benefits.

The remaining $19 billion would cover the cost of the individual tax cuts to Californians.

To be fair, the story does make clear that state and local government relief would only directly impact about 1/4 of the budget hole.  But I think it’s dangerous to throw around $63 billion when there’s still going to be a need for tough solutions on revenues and cuts in the budget.  That number throws in the kitchen sink – it includes tax cuts to individuals and businesses, unemployment insurance extension, food stamp benefits, everything.  The fact that more people have money to spend may positively impact the bottom line if California catches some of that cash in sales taxes, but the story – and really the projection by CAP – makes it sound like California will be handed a $63 billion dollar oversized novelty check.  This will only serve to aid the radical Yacht Party agenda, allowing them to say that California just got a bailout so there’s no need for tax increases.  Every sane person knows that the federal windfall will help but not fix the budget, and talk of $63 billion like it’s a sugar plum fairy really hurts the ability to make that fix happen.

For example, when citizens all over the state don’t get their tax refunds in the coming months, with taxpayers on the low end of the income scale feeling the greatest effect, and they read stories about $63 billion flowing to the state, who do you think they’re going to blame?  And I’m sure the Yacht Party will be around to direct that blame, too.

It’s fairly irresponsible to headline “$63 BILLION!” when we know only $10 billion of that will directly hit the budget.

Jim Sanders reports that tax increases are on the table for the Yacht Party, but only with additional long-sought concessions.  This actually is a shift because taxes weren’t even on the table before, but not much of one.

The GOP caucus realizes a tax hike will be part of any budget pact but could support it only if agreement were reached on permanent program cuts, a hard spending cap and other issues, lawmakers said.

“The reforms have to be there,” said Assemblyman Anthony Adams, R-Hesperia.

“(We must be able) to tell constituents, ‘Look, we had to raise taxes, we had to go forward, but we’ve fundamentally altered the way in which Sacramento is going to be budgeted – and we will not have these problems again because of it,'” Adams said.

Obviously the wavering from business groups who are frightened by the prospect of the state’s looming insolvency is driving this.  But let’s take a look at what the Yacht Party wants as an exchange for their support on taxes, which would probably be regressive ones like sales tax hikes instead of the progressive tax solutions needed like eliminating loopholes for businesses and upping the top marginal rates on the wealthy.

They want a spending cap.  They’ve wanted it for some time.  In fact, it already EXISTS, and it has for 30 years.  But the Yacht Party wants tighter restrictions.  The CBP blog has provided a chart showing what they really want.

The chart shows how much state spending would have had to been cut in the past decade to comply with the kind of cap that Republicans have offered in the past.

Our analyses found that such a cap would have limited total state spending in 2008-09 to $39.7 billion below actual budgeted levels. The General Fund’s share of the necessary reductions would be $31.2 billion. What would it take to cut $31.2 billion out of the General Fund budget? Eliminating all General Fund support for higher education; the judiciary; child support services; health care services; resources – including fire protection; and environmental protection. Maybe that’s why the campaign to modify California’s original cap was led by then-Governor George Deukmejian, then California Chamber of Commerce president Kirk West, and then-California Taxpayers Association president Larry McCarthy.

So the price exacted for revenue increases is an end to basically every service California provides.  At that point, who needs the revenue increases?

Of course, the Yacht Party would have to get voter approval for a spending cap, so it’s a gamble for them.  But this movement should not be confused with a serious desire to actually serve the needs of a struggling citizenry.