CA Majority Rule Campaign The California Budget Majority Rule

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Why is The Current Budget Process Failing California? Undemocratic Structure  A Small Minority of legislators control the budget and revenue  1/3 of the legislators + 1 more of either the Senate or Assembly can block the majority.  Result = Gridlock on the budget

Why is the Current Budget Process Failing California?  2/3 Requirement = Less Democracy  Allows a small minority (1/3 plus one) to rule by gridlock, thwarting the will of the majority until their demands are met  Circumvents the will of the majority of voters

Minority rule is destroying our state, our well-being, and our security! What has California lost?  We once had the best education system; we now have among the worst.  Teacher/Pupil Ratio Ranked 49th;  Per pupil spending ranked 47 th Source: 2008 Quality Counts Report – Education Weekly  Our children could once count on being healthy. Now, an estimated 2 million children will be without health care. (up from 1.1 mil. 2007) Source: Children's Defense fund

Minority Rule is Closing California  closing our magnificent state parks and beaches  closing libraries and public buildings  closing fire departments and police departments  closing old-age homes and shelters for battered women and children  closing off the future for our children and grandchildren. Minority rule hurts all of us

Government's Role is to Protect and Empower Government is there to protect us from  disease  disaster  crime  pollution  conditions that can leave us jobless and helpless

Government is there to empower us so that we are all able earn a living and live well, through  education  public works  public parks  cutting edge-research  secure banks  measures to spur business (especially small business)‏ Government's Role is to Protect and Empower

 That’s why we need responsible, functioning government.  Minority rule has been standing in the way of protection and empowerment. Government's Role is to Protect and Empower

Impact On Our Communities  Seniors  Disabled  Children  State Employees  Local Business: Reduction in monthly benefit for these groups detrimentally impacts local business – grocers, landlords, retailers  AIDS/HIV Funding

Solutions CA Majority Rule Campaign  November 2010 Budget Initiative has been submitted to the Attorney General by Dr. George Lakoff, “All Legislative Decisions on Budget and Revenue Shall be decided by majority vote”  Petitions available November  150 days to get 1 million signatures  Statewide Coalition (GR, Rel., Adv., Union)‏

CA Majority Rule Campaign How to Join the Campaign Facebook –Stop the Insanity: Majority Rule for California Yahoo Projects –George Lakoff Poll - Help us raise $35,000 –Speaker's Bureau – Join/Organizations –Hearings –Community Outreach – House Parties/Tabling

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Democracy In California “All legislative actions on revenue and budget must be determined by a majority vote.” Submitted by Dr. George Lakoff to the Attorney General for the November 2010 ballot.

Ellis Goldberg President & webmaster TriValley Democratic Club –Dublin, Pleasanton, Livermore Delegate 15 th AD Associate Member Contra Central Committee –Issues Committee –Committee for Democracy In California Troublemaker

Majority rule = democracy = 50%+1 In grade school we elect the class president by majority rule; it is the basis of democracy. Majority rule is more democratic than minority rule.

Minority rule = tyranny = protection of loopholes & freeloaders = 33.3%+1 veto The current 2/3 requirement allows a 1/3 plus 1 minority of extreme legislators to sabotage the state budget and hold the state hostage in order to extort concessions from the majority, resulting in budget cuts passed down to local governments throughout the state. Extortions include off shore oil drilling concessions & not collecting revenue on wine exported from California.

Government that fails to empower and protect citizens = dysfunctional state The California State Legislature and government at all levels have responsibilities, to empower and protect its citizens. Empowerment means education, infrastructure, buildings, and highways. Protection means health, safety, police, fire and consumer protection. The legislature determines how and whether these responsibilities are met through providing revenues and a budget. Revenue is needed for government to do its job. Revenue is economic air. California is being slowly suffocated and prevented from protecting & empowering Californians by a minority of legislators protecting loopholes for freeloaders.

Fair revenue in a wealthy state – revenue lost to loopholes & freeloaders = extreme budget cuts + lost pay for state workers California is the only dysfunctional state that stumbles from one fiscal crisis to the next on a regular basis. California is wealthy. Why don’t we have the money to run the state? Loopholes used by freeloaders to circumvent paying a fair share.

Minority rule/veto loophole = all the loopholes minority rule prevents from closing The biggest loophole is the minority veto that 1/3 plus one of the legislators use to protect those taking advantage of the loopholes from being required to pay a fair share.

Minority ruled California = only fiscally dysfunctional state in the US Two other states have a minority rule situations but they don’t experience California’s dysfunctions. In California freeloaders find that supporting legislation and electing legislators to protect freeloader loopholes is much less costly than what would happen if the loopholes closed.

Time (2009) = Perfect storm (fiscal disaster) Just as the perfect economic storm effected the 2008 election, California’s fiscal dysfunction will create the “Perfect Storm in 2009”, making it possible to amend the state constitution. Voters feeling the pain will support the ballot measure.  Local governments are forced to slash programs.  College students are burdened with huge tuition increases & fewer classes are offered, so it takes longer to graduate.  State workers are furloughed 3 days/month.  K-12 funding is one of the lowest in the US.  Prison system is over packed and under funded with federal rulings to deal with.  Lawsuits concerned with budget cuts are likely to result in more costly rulings.  Loans made from future revenue come due with interest.  Budget based on overly optimistic revenue forecasts are cause for future cuts.

Budget only control = disaster Marketing guru Tom Peters says "under promise and over deliver" keeps customers satisfied. If a “majority for budget only proposition” passes; the voters (customers) will expect an end to the fiscal gridlock from the Democrats since this is what the Democrats asked for. However without “majority rule for revenue” the Democrats can't deliver California from gridlock. "Over promise and under deliver" is the formula for disaster for Democrats.

You = Game Changer Take action! SIGN UP at Facebook group Democracy In California Visit for information on the progress of the initiative and support information

FAQ: What is the timeline? September 25, submitted measure to the Attorney General. November 17, begin circulation of the petition April 16, Last day to file the petition April 28, Last day for elections officials to complete raw count May 7, Last day for SOS to receive raw count total June 21, Last day for elections officials to verify & certify results June 24, SOS determines if 100% signature verification is necessary. At this point, if a 100% signature verification is necessary, it would not qualify for the November 2, 2010 ballot. Source

FAQ: Who will support the campaign?  Unions  State worker furloughed 3 days/month  Environmental groups  Those hurt by the cuts  Friends  Family  Parents, students  The empathetic, responsible & courageous  Is that you?

FAQ: What Loopholes? Not paying to extract California oil as in all the other oil producing states. Loss carry-backs: allows corporations to get refunds for taxes already paid to the state when the business takes a loss 2 years later. If the state’s economy declines and corporations take a loss, they will be able to get a refund for prior taxes just when the state is in worst shape.

Elective single sales factor: allows multi-state and multi-national corporations to choose how much income they want to attribute to California. Companies can choose every year which formula they want to use—sales only, or sales, property and payroll—in order to determine the amount of profit they made in California. So they can attribute more losses or less income, depending on their yearly position, to their advantage and the detriment of the state. Credit-sharing: allows a corporation which cannot use all the credits they have received to share those credits with parent or affiliated corporations in order to shelter the income of the affiliate. Multinational pharmaceutical companies are likely to benefit most from this. FAQ: What Loopholes?

More loopholes at Elective single sales factor, Credit-sharing & Loss carry- backs were never discussed and never made public until they were passed as part of the budget agreements in September 08 and February 09. Taken together, they lose $2-2.5 billion in revenue. They also open up opportunities for endless manipulation of tax liabilities by accountants and attorneys. FAQ: What Loopholes?

FAQ: What YOU can do now! FAQ: What YOU can do now! Sign Up at  Speaker's Bureau  Signature Gathering  Tabling Events  Attend House Parties  Host House Parties  Fundraising  Precinct Captain  Canvassing  Phone Banking  Blogging  Letter Writing  Graphic Design  Lawyers

FAQ: What YOU can do now? FAQ: What YOU can do now? HELP RAISE $35,000 TO GET GEORGE LAKOFF'S MESSAGE OUT! The Democracy in California & CA Majority Rule campaign are dedicated to making this happen. This is your chance to change California history! In order to run an effective campaign, we first need to conduct a public opinion poll to aid in our message strategy. George Lakoff has drafted questions and we are in the process of hiring a reputable polling company. We need to raise money to conduct this unique poll.