Author: Joel Fox

A couple of follow up thoughts post election – then maybe I can put it behind me and move forward.

The well-to-do Governor Stanford

On election night I was talking to KNBC-TV political reporter Conan Nolan about rich candidates who were elected governor of California. I don’t know the history of all of California’s governors, but one that Conan immediately identified was Leland Stanford, eighth governor of California elected to a two-year term in 1861.

Stanford, of course, was a founder of Stanford University named after his son and became wealthy in the railroad business as a member of the Big Four who ran the Central Pacific Railroad.

While Stanford was a well off businessman when he won the governorship, his big dollars would come later. Some have argued he used the governorship in ways that benefited his business and increased his wealth.

Another wealthy candidate has failed to gain political office in California and you have to wonder what Meg Whitman will do now when it comes to politics and public affairs. Will she pull an Al Checchi, one time Democratic candidate for governor, and chalk up her run for the state’s top spot as an interesting experience and move on, making an occasional newsworthy comment now and again, or will she stay in the political game one-way or another?

I don’t know Meg Whitman well and don’t presume to know what she is thinking about her future in politics, but given who she is and what she recently endured during the campaign, there are certainly many ways she could stay involved in California politics if she so chooses.

If Whitman is considering a future run for office she might establish a record of working on public issues and coming up with solutions for California’s many problems. This suggests perhaps funding a think tank or financially supporting on-going efforts on reform, such as those being conducted by California Forward or the newly announced Think Long Committee funded by fellow billionaire Nicolas Berggruen.

For Republicans and smaller government types who celebrated national victories there was little joy in California because their candidates struck out. However, buried amongst the wreckage of a long election night, the message of no new taxes came through pretty clearly.

The only actual tax increase on the ballot, Proposition 21, a vehicle tax dedicated to parks, was crushed with a 58% NO vote. Proposition 24, which would have wiped out legislation from last year that promised a tax cut for businesses was also defeated by the voters allowing the tax cut to go through.

Proposition 26 passed requiring a two-thirds vote to raise fees that, in essence, were disguised taxes. Even Proposition 25, which lowered the two-thirds vote requirement to pass a budget to a majority vote, emphasized in its commercials that the two-thirds vote for tax increases was preserved.

Congratulations to the once and future governor, Jerry Brown.

With Brown capturing the governorship, on top of the Barbara Boxer win in the US Senate, the legislature staying solidly in the hands of the Democrats and Proposition 25 passing to require a majority vote budget, the Democrats and public unions had a big night and got much of what they wanted.

With the Democrats firmly in control, Brown will now have to lead the state in a “breakthrough” of it fiscal difficulties, as the governor-elect put it. However, he faces some big obstacles in his path.

During the campaign, I heard many times that Brown would be in position to fulfill the role of Nixon going to China – in other words, Brown was the only one who could stand up to the budget pressures created by the powerful public employee unions. The big question is can he convince the unions to make changes, and how hard will he try, given their important role in his victory. The unions for their part will begin the drumbeat for more taxes in the shadow of the win on Proposition 25.

Congratulations to the World Series Champion San Francisco Giants!

Perhaps the Giants victory signifies the beginning of the turnaround for California. After all, California finally beat Texas. One can only hope.

But is the Giants victory also a way for another underdog, Meg Whitman, to pull off an upset win in her version of a World Series?

Here’s the theory. With the Giants capturing the World Series, Giants fans in San Francisco and environs go into joyous celebration. Being San Francisco, the partying lasts through the night. Groggy, many citizens of the City by the Bay barely make it to work and struggle through the day. One thing they don’t do is vote!

With voting in the Democratic stronghold suppressed, Whitman and her fellow Republicans pull ahead in the voting.

The direction the state will take on the big issues of taxing and spending will be set by tomorrow’s election. While the result of the gubernatorial and legislative races will certainly affect that direction, the most immediate impact on budget/tax policy will be determined by the results on Propositions 25 and 26.

Proposition 24 is also an important tax-related measure, which should be defeated. Encouraging job growth in California is essential to getting us out of our deficit hole. If passed, Prop 24 would cripple job growth legislation put in place last year. However, Prop 24 is not as far reaching as its neighbors on the ballot, Prop 25 and 26, so I will concentrate on the latter.

After looking at the state unemployment numbers that came out last week, the Wall Street Journal declared in an editorial that Texas cities have become the destination for investment and entrepreneurship. The paper flatly states: "Texas is the New California."

Has the Golden State dropped so low that we have lost our reputation as the home of innovation and bright beginnings? Have entrepreneurs found a more comfortable, happier place to call home? It sure looks that way.

Of course, Jerry Brown would take the deal offered by Matt
Lauer to pull his "negative ads." Brown benefits from such a deal.

Today Show host
Matt Lauer, conducting an interview session with Governor Arnold Schwarzenegger
and governor hopefuls Jerry Brown and Meg Whitman at the Women’s Conference, brought
a rather sedate session to life by proposing the two candidates pull "negative"
campaign ads.

This election season gives understanding to observers of the electoral process why politicians seem to score so low with the public when tested in polls. Sure, many people give a thumbs down to politicians for their performance in office, but looking at the standards they set during election campaigns only strengthens the negative feeling toward politicians.

What is sleazy is that politicians use this anti-politician attitude to their advantage.