Author: Lucy Dunn

OCTA Teaches Jobs Creation 101:

You know the facts: nationally, about 370,000 government
jobs were just "created" vs. only 41,000 private sector jobs. With
a real state unemployment rate nearing 20% (counting those underemployed and
those folks who just "gave up looking"), California needs two million jobs right now.

Even Orange County-damning by faint praise with
"only" a 9.5% unemployment rate-has lost almost 175,000 jobs,
with the transportation sector down over 40%.

But
good news for new jobs is here to share. Under the
leadership of City of Orange Mayor Carolyn Cavecche, who also serves on
Orange CountyTransportation Authority’s board of directors, a new OCTA
board policy
was unanimously adopted today: OCTA now has established as its target
that 100%
of all professional services allowed be contracted to the private
sector!

In the garden of OC what we need is some serious cabbage, but instead
we discovered last week some roses, radishes, and a few squirrels. Jobs
creation is job one. OC’s near 10% unemployment and the state’s near
13% unemployment, we see signs of economic recovery, but no jobs
creation. How do you create jobs? Reduce fees and taxes, cut
regulations and eliminate opportunities for frivolous lawsuits.

Anything else is a SQUIRREL, or a distraction, to the main event.

So what does our garden grow?

State and
federal lawmakers and bureaucrats are holding our children hostage.
They are well-intentioned, no doubt, but the road to hell is paved with
their good intentions. And the travel is getting hotter every day.

Sacramento is broke, programs are being cut, legislators’ management
skills are questionable and California’s economic recovery is not
evident. Local educators are doing their best with constrained, delayed
school funding, making the tough decisions every other private sector
company is making to get by.

But complicating this mess further, Orange
County educators have zero flexibility on 73% of the public funding
they do get! They are dictated by Sacramento and, frankly, Washington
as well, on how to spend, when to spend, who to spend on, leaving no
flexibility to meet local community needs for our children in tough
times.

Orange County doesn’t seem to have the best of luck when it comes to electing good treasurers. According to OC historian (and former OCBC CEO) Stan Oftelie, two of the county’s earliest treasurers, William B. Wall of Tustin, and Josiah C. Joplin of Trabuco Canyon, were Southern Democrats and Confederate soldiers. Joplin, who fought at Gettysburg for the Old South, was elected seven times despite political charges that his son, John Booth Joplin, was named after John Wilkes Booth, President Lincoln’s assassin. Joplin denied the charges.

In the 1950s, Treasurer Henry Gardner, a conservative Republican, was criticized by the Orange County Grand Jury for spending most of his work day at a Santa Ana cocktail lounge rather than investing county tax dollars. The Grand Jury said Gardner worked about 15 minutes a day, signed a few papers, then was busy getting soused by 10 a.m.

And who doesn’t know the story behind disgraced OC Treasurer-Tax Collector Bob Citron, Democrat,ending in the notorious 1994 county bankruptcy? Citron pled guilty to six felony counts and three special enhancements. Charges also included filing a false and misleading financial summary to participants purchasing securities in the Orange County Treasury Investment Pool. His successor, Republican John Moorlach, was elected saying, “Chicken Little was right. The sky IS falling!”

Toyota–the world’s largest automaker–has its troubles now, no doubt. Over six million cars recalled, product liability issues, injured drivers, and a reputation badly beaten. Add to that, Congressional, federal grand jury and National Highway and Traffic Safety Administration investigations and at least 89 class-action law suits. Clearly, this is a top employer under siege as it is recalling millions of vehicles and trying to make corrections.

It’s odd to me that one of those 89+ law suits comes from Orange County District Attorney, Tony Rackauckas, on behalf of the County “to protect the public and consumers.” What specifically is unique about OC cases that requires our DA to use this public office to pursue a civil case? Is it PR? Aren’t there enough lawsuits filed by those directly affected?

Mr. Rackauckas says the lawsuit was motivated by questioning if Toyota “puts profits over people.” Interesting choice of words for a DA who seeks monetary damages from a company through a contingency fee agreement with a private law firm. Is this to fill his own diminished department coffers in a very tough economy? Determining whether or not Toyota “used deceptive business practices” should not be the responsibility of a county, nor the DA, nor is it good public policy in the trend by government agencies to use private contingency fee lawyers to go after business. And please share with us, Mr. D.A: exactly what is your financial arrangement with the private law firm you hired to go after Toyota?

Have you seen Disney’s animated movie, UP? It’s a great story about Carl, a 78 year old retired salesman who ties balloons to his house and flies away with Russell, an 8 year old stowaway, and his faithful dog, Dug. It’s a wonderful story, very touching.

The dog, however, really caught my attention. Dug has a special collar that allows him to speak! He helps Carl and Russell on his adventures throughout the film, but does have one tragic flaw: Dug gets distracted by squirrels. He may be on the most important mission of his life, but when he sees a squirrel out of the corner of his eye, his attention is completely diverted and—“SQUIRREL!”—he says. Off he runs to chase it.

Doesn’t this remind you of some of our state leaders? The mission is jobs creation–private sector jobs creation–pure and simple. It’s about getting folks employed who can pay taxes, and businesses that hire, grow and pay taxes, that will help Sacramento get its house in order. How can a state leader help create jobs? In one of three ways: reduce taxes and fees; reduce the glut of regulations business faces every day; and reduce opportunities for frivolous lawsuits.

‘Twas the night before Christmas when all through the county
Not much was stirring, due to lack of a bounty.
Our stockings are hung by the chimney with care
Hoping soon our state will know fiscal repair.

No visions of sugar plums dance in our heads,
But more practical gifts we ask from Santa instead:

1. Jobs
And by that, I mean an inviting business environment that encourages businesses to locate and grow here. Thriving businesses pay taxes that fill the state’s coffers. Thriving businesses hire people, resulting in less demand for expensive unfunded government social programs. Let’s make the whole state an enterprise zone and offer tax credits to businesses hiring the unemployed. Let’s streamline the permit process for getting a manufacturing plant up and running. How about a short-term moratorium on any new law that would add even one cent more to the cost of doing business here?

They aren’t doctors, they don’t even play them on TV, yet our esteemed leaders in Washington have taken out their prescription pads to fix what they think ails us. What it really sounds like is Herbert Hoover’s old campaign chestnut, “a chicken in every pot” – in other words, quality healthcare for everyone that won’t cost us a penny.

To be sure, some of what is proposed will help some of the uninsured as well as some of the underinsured who face chronic health problems. But is the cure worse than the disease? Based on what is currently proposed, we get very little real-time reform at the cost of both our economic future and as the leading country in innovative and life-saving medical technology and pharmaceutical breakthroughs.

If the purpose is to lower costs and increase competitiveness in the health insurance market, a provision should be included to allow for the purchase of health insurance over state lines. And no cost reform can be obtained without significant tort reform. A federal health care plan should limit frivolous lawsuits against health care providers to prevent fraud and free up our legal system. Shouldn’t we start with some of the basics before we launch into a massive new bureaucracy with 110 new federal panels and commissions?

The deadline for states to apply for federal “Race to the Top” (RTTT) education funding is fast approaching and while other states have their applications ready to go, the California Assembly has not yet passed the measures needed to make sure California is even able to apply for the much-needed money.

Every child has a right to a quality public education. Today, school officials across California are wondering, not about quality education, but about whether they will even be able to keep schools open due to Sacramento’s chronic fiscal crises, deferred education payments and huge cuts (over half a billion dollars lost in Orange County alone). Luckily for California, the Obama administration has offered federal funding opportunities, but with strings attached. In order to qualify for these funds, California must agree to allow the use of specified accountability and measurement tools and develop new reform strategies with a focus on achieving higher academic standards.

California must move to increase skilled teachers and promise to turn around struggling schools. The California Senate has agreed to these rules, stepped up to the challenge and passed SBX5 1 to meet eligibility requirements for RTTT federal funding. The Governor has expressed support for this bill as well. The legislation would make California schools eligible for a share of the $4.3 billion in federal funding allocated for education.