For months now, Governor Gavin Newsom has spared no opportunity to demean and bash conservatives for their efforts

May 14th, 2021
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John,

For months now, Governor Gavin Newsom has spared no opportunity to demean and bash conservatives for their efforts to do what he thought unthinkable: put him up for recall. But as quickly as he sent his kids back to in-person private school ([link removed]) this past fall, Newsom seems to have embraced a very conservative principle: return to taxpayers some of their money.

Predictable as it is, it’s nevertheless brilliant political theater, an attempt to undo the damage of his French Laundry soirée and term of for-me-but-not-for-thee reign.

In his press conference this week announcing his economic recovery plan/attempt to overcome the recall, the governor the governor proudly proclaimed ([link removed]) , “California is roaring back!” In true Golden State fashion, our governor will celebrate with traditional gilded stimulus checks. Under his proposal, Californians earning less than $75,000 per year would receive $600 stimulus checks. Those with children and undocumented immigrants would receive $500 bonues.

He’s doing this in part because he’s required by law to do so thanks to something called the Gann Limit. Led by tax-reform advocate Paul Gann, California voters overwhelmingly implemented this tax protection in 1979, capping state spending at 1978-79 levels, adjusted for population and inflation. Revenues that exceed this limit must be returned to taxpayers through tax cuts or rebates — and to public schools, thanks to a subsequent initiative, Prop. 98. Donate here to support fiscal conservatism like this.

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The governor is sitting on a mountain of cash ([link removed]) because (a) California’s highest earners pay the highest income taxes in the nation and (b) two successive administrations have sent to California billions in federal cash. The result: a $75.7 billion state surplus. Rather than distribute that money equitably to the taxpayers who paid it or enact real tax reform as required under Gann — permanent tax cuts that would benefit the state and its residents for decades – Newsom plans to redistribute it to just some taxpayers on the eve of his looming recall.

Wealth redistribution is of course core to liberal ideology. But what makes Newsom’s plan interesting is how he justifies it: with reference to a decades-old law born of true fiscal conservatism.

He’s even sounding like a conservative.

“We believe people are better suited than we are to make determinations for themselves on how best to use these dollars,” Newsom said ([link removed]) .

Certainly, this isn’t the real fiscal conservatism Gann was going for, and giving anything more than a passing glance to Newsom’s proposal raises eyebrows. It’s wealth distribution and politicking on the backs of taxpayers, thinly veiled as conservatism.

John Coupal, president of the Howard Jarvis Taxpayers Association, raised questions about ([link removed]) whether Newsom’s targeted approach would actually satisfy the Gann Limit, but acknowledged it’s hard to argue with returning money to taxpayers even through such a flawed proposal.

Lest we forget that the surplus was achieved not because of the governor and his policies but despite them, Coupal offered a poignant reminder ([link removed]) : “The people who deserve the credit are the people who are writing checks to the government.”

Quote of the week

“‘Labor partners’ have held students hostage for over 400 days, all so they can stack up more concessions that have little-to-nothing to do with ensuring a safe return to the classroom.” – Mehrsima Moussavian, LAUSD parent ([link removed])

More from CPC
* Why are we not talking about California’s pension problems? ([link removed])
* Science with the union label ([link removed])
* Getting wise to union antics? ([link removed])


CPC and allies in the news
* California’s Gavin Newsom recall - why the country needs to get behind it ([link removed])
* California’s 944 school districts: strong balance sheets or drowning in debt? ([link removed])
* Stop calling teachers’ unions our ‘partners’ ([link removed])
* Newsom’s double whammy to California: Drought declaration & incentives not to work ([link removed])


Classroom headlines
* Editorial: Wake up, LAUSD. You have an urgent job to do: Saving kids’ education ([link removed])
* Kids will pay a steep price for this war on merit in schools ([link removed])
* An East Bay teacher chose not to teach in person. Parents are asking why she’s now headed to Mexico ([link removed])
* Bullis Charter School threatened with closure if it doesn’t fix lack of diversity ([link removed])
* S.F. seniors might go back to school for only one day before term ends. Families are furious ([link removed])
* CTA works to weaken charters - now High Tech High teachers want in ([link removed])
* CA parents seek to abolish the California Teachers’ Association ([link removed])
* Newsom’s school plan has billions for college savings accounts, after school programs and more ([link removed])
* Sacramento parents have a new school option: Virtual academies for kids who want to stay home ([link removed])




COVID and openings
* President of key teachers’ union shares plea: ‘Schools must be open’ in fall ([link removed])
* Newsom says indoor mask mandate may not lift June 15, but experts say it will soon be safe to do so ([link removed]) ([link removed])
* EDD’s communications fog compounds agency problems, infuriates claimants ([link removed])
* COVID economy: Bay Area prices jump as inflation surfaces ([link removed])
* Wealthy Americans in New York, California fled to ‘hidden gems’ like Salt Lake City, Phoenix amid COVID-19 ([link removed])
* No, really, why is Joe Biden wearing his mask around other vaccinated people? ([link removed])
* CDC to tell vaccinated Americans they can ditch masks indoors ([link removed])


Other things we’re reading
* Facing recall, Newsom uses anti-tax amendment for his own devices ([link removed])
* Law tied to Republican activist may be the reason for CA stimulus checks ([link removed])
* San Diego hands out almost $400K to city employees under 2020 rewards program, records show ([link removed])
* California spent $320 billion and refuses to disclose a single transaction ([link removed])


Connect with CPC

Want to keep up with CPC and our partners during the week? Follow us on Twitter ([link removed]) , join our Facebook ([link removed]) community, and sign up to be part of the growing Parent Union ([link removed]) .

***

Chantal Lovell is the communications director for California Policy Center.



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