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2. WHO IS CALIFORNIA FORWARD? Focused on improving the results, transparency and accountability of government in California Committed to being bipartisan and fact-based Designed to craft solutions from the best available analysis and to build coalitions to support change Supported by five foundations: The California Endowment The Evelyn and Walter Haas, Jr. Fund The William and Flora Hewlett Foundation The James Irvine Foundation The David and Lucille Packard Foundation 2

3. OUR WORK Our goal is a government that makes the best use of public resources to meet community, regional and state needs. We can achieve this through: Fiscal Reform Structural Reform Democracy Reform 3

4. OUR GOVERNMENT IS BROKEN Historic budget crisis persists Record low approval ratings Mistrust of our leaders Partisan gridlock Chronically poor performance 4

5. WHAT DO WE NEED GOVERNMENT TO HELP US ACHIEVE? Our policies should always lead to: Improved Education Increased Employment Improved Health Decreased Poverty Decreased Crime 5

6. 6 The State Budget is Really a Local Budget Local Assistance State Operations

7. HOW DO WE GET THERE? Focus on Outcomes Align Authority with Responsibility Focus State Role Encourage Regional Collaboration Foster Greater Efficiency of Public Functions 7

8. FOCUS ON OUTCOMES State budgeting process should have a longer horizon and focus on program performance. The state/local relationship should work collaboratively, with a focus on outcomes. Program effectiveness should be measured regularly. Outcomes should be tied to indicators like employment rates, graduation rates, obesity rates, and crime rates. 8

9. ALIGN AUTHORITY WITH RESPONSIBILITY Local governments should have the clear authority to integrate services in a way that will improve results. Ensure each government program is transparent so people can hold the appropriate body accountable for results. The state role should focus on oversight and issues of equity. 9

10. ALIGN REVENUE WITH RESPONSIBILITY Providing Community governments with more authority to implement state programs Greater flexibility in spending state funds and rules, in exchange for accountability for results. Develop strategies, partnerships and programs. Integrate services and state funding.

11. THE PRACTICE OF CALIFORNIA GOVERNMENTS IS NO LONGER ACCEPTABLE We can’t fix CA without major institutional change in the way our public business operates. This will require a careful reallocation of authority from the state to community governments. November 2012 will be pivotal to the long term transformation of how our community governments operate. 11