California receives a majority of U.S. venture capital (VC).  Always
has, hopefully always will.  Our state produces brilliant creative
minds and ideas because of its University power and its sheer size of
35 million people.  This unique outcome alone does not however equate,
by default, to the meaningful job growth necessary for our many workers
whom are unemployed and under-employed (a term becoming all too common
for the folks forced to take any job they can find).

We must leverage our built-in VC advantage to ensure that emerging
green and other products are actually produced here.  California’s
wealth will be multiplied once VC cash gets beyond the investment board
room offices and into the bank accounts of our very own hard working,
middle class families.

Recently the LA Times wrote a piece about VC growth in California and the notion
that it does, and will, open the floodgates to new green jobs.  Often
the state’s VC numbers are used to support bold California-only
mandates and policies, without regard for the state’s competitive
disadvantage.   Now the impressive amount of VC investment is being used to justify opposition to Proposition 23 — the
ballot initiative to suspend AB 32 until our economy is in better shape
and unemployment numbers are reduced.

San Jose Mayor Chuck Reed is steering the Oakland A’s to his city.

Frustrated
after waiting 16 months for MLB Commissioner Bud Selig’s committee to
explore potential destinations for the Oakland ballclub, Reed decided
to make a dramatic move. He issued a proposal to put the privately
financed ballpark measure on the November ballot, with or without
approval from MLB.

Reed’s
hopes were that it might nudge MLB if they saw that a ballpark was
already approved, and Reed thought it would save the city money putting
the issue to voters in November. The nudge worked – at least providing
movement from MLB.

The newly hatched PPIC poll on the environment indicates Republican gubernatorial candidate Meg Whitman’s middle path related to California’s greenhouse gases law and a controversial November ballot measure could serve her well come Election Day.

Proposition 23 would suspend California’s greenhouse gases law (AB 32) until unemployment dropped to 5.5% for four consecutive quarters. California’s unemployment rate now stands over 12%.

PPIC pollsters did not ask a question about Proposition 23 using specific ballot language. PPIC found that likely voters supported the idea behind AB 32 to reduce greenhouse gases to 1990 levels by 2020, 61% to 28%. Without the ballot title, PPIC asked a general follow-up question whether the state government should act right away to reduce greenhouse gas emissions or wait until the state economy and job situation improve. Likely voters split down the middle on the question with 48% support to move ahead right away; 48% voted to wait.

There are rumors circulating that the Legislature is considering reducing State sales taxes while increasing personal income taxes as part of this year’s budget package.  If these rumors are true, then that is unquestionably a good thing.  As we described on these pages in January of this year as well as in the San Francisco Chronicle, such a tax swap could save Californians billions of dollars annually and help grow the economy.

Why is this?  Because personal income taxes are deductible from their federal taxes while sales taxes are not.  Under this tax reform, Californians would keep more money circulating within the State even if the reform was revenue neutral.  

That means more economic activity and more jobs in California.

The Candidate as Your New BFF?  Don’t LOL, it could happen.

The New York Times reported this week that the text craze
has arrived on the gilded doorstep of the prestigious world of the symphony.  
Both the New York Philharmonic and the Los Angeles Philharmonic have introduced
new audience texting participation programs, through which audience members can
now text their favorite song to be played during the encore.

Which got me wondering:  if it’s good enough for the
Philharmonic, isn’t it good enough to engage more folks in the democratic
process?

California’s Unemployment Insurance (UI) Fund  has continued to go deeper and deeper in debt through 2010-a debt of $7.6 billion at present, projected now to grow to $18.4 billion by the end of 2010. But 2010 has not been all negative for the Fund.

This year has seen advancements in a series of  Fund Information Technology projects that should improve call center operations, enable claimants to access their records and file and check claims via the internet, and enable the state to pay claims electronically and with greater security.

Why would Europeans be coming to California, seeking advice?

Well, a group of European activists and scholars are coming this week to learn as much as they can about our initiative process. Their goal? Learn what to do (and perhaps not to do) as they design a new initiative process of their own.

The process in question is called the European Citizen’s Initiative. It’s an agenda-setting initiative – permitting the people to introduce legislation (though not put a measure on the ballot – at least not yet).

The current NFL champions are the New Orleans Saints.  But thirty
years ago, they were horrible.  The team’s play was so embarrassing
that when a local sportscaster recommended fans wear bags over their
heads at home games, thousands responded.  The bag-head protesters
became known as the "Aints." The practice of fans wearing bags to
express discontent with  especially poor performing sports teams has
now become a custom  throughout the United States.

If
the California Legislature were a professional sports franchise,
Californians would be reaching for their bags.  They would, that is,
if  they could afford to pay the proposed "bag tax."

That’s
right; our embarrassing Legislature is working on another way  to cost
average citizens money.  Assembly Bill 1998 would punish  consumers by
banning lightweight, convenient plastic grocery bags —  often reused
at home as trash bags and to carry lunches to school and  work — and
require grocers to offer paper bags at a charge of a least a  nickel.
The bill allows the charge to go higher. Plastic
bag ban backers say the bag "fee" is not a tax, because  shoppers can
bring their own bags and avoid paying.  However, San  Francisco, which
has a similar ordinance, has not seen a significant  increase in
reusable bags, just more consumers using paper bags,  according to the
California Grocers Association.

California is facing nearly The Toughest of Times.
We face historically high unemployment, perennial budget crises and
more.  Don’t think it could get any worse?  Think again.  If Jerry
Brown is elected, in one short stroke, he could deal a potentially
crippling blow to the California economy before it gets a chance to get
back on its feet.

Even for a
committed political observer, volunteer and commentator such as myself,
it seems implausible – but true – that the stakes for elections grow
with each successive election.  For
California, the 2010 gubernatorial election unquestionably could be the
most important election ever – and not necessarily for a good reason.
If Jerry Brown is elected, he and his fellow Democrats could deliver a
devastating blow to California.

We well know that California’s unemployment rate is above 12%.  We
also know that well over 100,000 people are leaving California on a
yearly basis.  Beyond that, California faces an exodus of businesses –
large and small alike.  So it can be no surprise that state revenues
have declined nearly $40 billion over the last three years as a result
of the declining taxpayer base.