Author: Chris McKenzie

Co-authored by Jon Coupal, President of the Howard Jarvis Taxpayers Association

Those familiar with Sacramento politics know that the Howard Jarvis Taxpayers Association and the League of California Cities are often on opposing sides of major policy issues. Nonetheless, we have worked together on a number of issues where our interests overlap. One issue on which we have always agreed is firm opposition to unfunded mandates on local governments. Many in local government are unaware that it was a taxpayer advocate, Paul Gann, who placed in the California Constitution a prohibition against unfunded state mandates to local governments.

Today, we stand together again as state legislators attempt to inject paralysis and dysfunction into local budgets. Specifically, our organizations join in strong opposition to several bills attempting to restrict the ability of local governments to reduce costs, manage their budgets and spend tax dollars in the most efficient manner possible.

As Shakespeare tells the story in his famous play Hamlet, the Prince of Denmark (Hamlet) wanted desperately to impart some fatherly wisdom to his son who was leaving for a trip to France (perhaps for a junior year abroad?) when he uttered the immortal phrase “[n]either a borrower nor a lender be, for loan oft loses both itself and friend…” Where is Hamlet when we need him today?

The Governor and just about every other source tell us at least two (if not actually three) of the legislative leaders are flirting with the idea of the state incurring more operating debt by borrowing from a wide range of local government and other voter approved and protected funds. Some legislators and legislative staffers are even saying as recently as yesterday that the state would even pay local governments’ costs to “securitize” the state’s promise to repay them. Does it sound too good to be true? It is and it’s also reckless and expensive.