SB 653: The Threat of a Local Income Tax and More
Anyone interested in paying a county income tax on top of a
state income tax? I didn’t think so, but that’s what could happen if SB 653
(Steinberg) becomes law.
In anticipation of government restructuring that would move certain responsibilities to county government, this bill would authorize county supervisors to submit to voters a local personal income tax, a local corporate income tax, and a local sales and use tax.
Over fifty years ago, the legislature declared that income taxes would be the sole purview of the state while counties were authorized to levy other taxes such as taxes on hotel stays and business taxes. SB 653 would open the door to a local income tax to be placed on top of the state income tax, already one of the highest in the nation.
Pressure is off to solve state budget deficit
That didn’t take long. The bayonet in last November’s
Proposition 25 to cut Legislators’ pay in the
event of a late budget has been quietly re-sheathed. While proponents had insisted the measure "holds legislators
accountable for late budgets (and) ends budget gridlock," it is conceivable
that the budget standoff could continue well into the summer without any
consequence to lawmakers.
How could this be? Well, as proponents said at the
time, just read the initiative.
"…in
any year in which the budget bill is not passed by the Legislature by midnight
on June 15, there shall be no appropriation from the current budget or future
budget to pay any salary or reimbursement for travel or living expenses for
Members of the Legislature…"
The key phrase is, "not passed by the Legislature."
Note that the Constitution does not require that the bill be enacted, or be
signed by the Governor, or even presented to the Governor for his
consideration.
End Redevelopment Agencies’ Abuse
Any day now, Republicans in the California State Assembly will be given the opportunity to score an historic victory for private property rights. Governor Jerry Brown has proposed eliminating the state’s more than 400 redevelopment agencies, which have abused their eminent domain powers to terrorize Golden State property owners for decades. Now is the time for GOP Assemblymen and Senators to seize the occasion by casting off partisan concerns and focusing on doing what is right to end the abuse of public power for private gain.
California Republicans must stand up for Carlos Barragan, Jr., whose Community Youth Athletic Center uses boxing to train at-risk kids how to succeed in the ring, in school and in life. The National City Community Development Commission declared Barragan’s gym—along with almost 700 nearby properties—a “blight” on the community. If the blight label is allowed to remain, each of these properties could be the subject to eminent domain for private development for years to come.
The GOP in California must stand up for Ahmad Mesdaq, who was forced to close the doors of his upscale cigar store and café after San Diego redevelopment officials decided it stood in the way of their preferred upscale development. Mesdaq’s shop was impressive enough to be featured in Cigar Aficionado magazine and included former Governor Arnold Schwarzenegger among its clientele, but it was ultimately destroyed and turned into a parking lot.
Energy Crisis? What Energy Crisis?
According to a report released by the American Petroleum Institute, 2011 could go down as the first year since 1957 that there has not been A SINGLE offshore lease sale. Moreover, 85 percent of our nation’s offshore resources continue to be off-limits to development. This is despite the increased uncertainty in world oil markets and a rising worldwide demand for crude oil (think China, India, and eventually Japan).
Keep in mind that not only will increased domestic oil and gas production fuel our economy by lowering energy costs, while also creating good paying private sector jobs…more oil production in the Outer Continental Shelf (OCS) would also result in tens of billions of new tax revenue for state and local governments, including right here in California, and in Santa Barbara County where the budget deficits for FY 2011/2012 are $24 billion, and $43 million respectively.
President Obama delivered a speech on energy where he suggested that all is pretty well with our nation’s domestic energy production…I.e., energy crisis? What energy crisis? He even went so far as to boast that under his Administration 2009 saw an increase in domestic oil production. Well, below are some examle of how the Obama Administration is handling our nation’s domestic energy needs (Source: API):