CA Dem vs. CA Dem on taxes

by John Seiler | January 27, 2015 8:45 am

Democrats fighting logoOne-party systems are inherently unstable. People inevitably choose sides. And budget realities always limit what government can do, bringing conflict.

So it’s not surprising Democrats in California, who dominate the minority Republicans despite some GOP gains last November, are fighting among themselves. KPCC reported:

Gov. Jerry Brown orchestrated the successful push for temporary sales and income taxes on Californians three years ago to help ease the state out of recession and close a multibillion-dollar budget gap.

The financial crisis has passed and the economy is rebounding, but the fight over taxes is about to resume.

The Proposition 30[1] taxes are supposed to phase out by 2018. However, social welfare groups and Democrats in the Legislature, eager to expand programs that suffered cuts during the economic downturn, already are eyeing an extension, along with a host of other taxes, from extending sales taxes to services, increasing taxes on oil and tobacco, and even restructuring Proposition 13 that strictly limits property taxes.

They are likely to meet resistance from Brown. Since returning to Sacramento four years ago, the 76-year-old Democrat has successfully positioned himself as a fiscal moderate with a firm hold on the state’s check book, an image that propelled him to another term that began this month.

Brown is aware that California’s high taxes place a high burden on business. He has touted the state’s economic recovery in his speeches. But he’s aware that other states have lower unemployment and poverty rates.

Moreover, if he’s considering another run for president — which I believe he is — he would want to campaign on a record of fiscal responsibility and resisting blandishments for increasing taxes.

Given Brown’s authority and experience, we can expect him to prevail.

  1. Proposition 30:,_Sales_and_Income_Tax_Increase_%282012%29

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