California Association of Realtors asks Gov & Legislators - let the people decide.

By
Real Estate Agent with 1st Action Real Estate

C.A.R. today sent a letter to Gov. Jerry Brown and members of the California Legislature asking them to place the Governor’s budget framework on the June ballot.  The Governor’s budget framework calls for a $26 billion solution - half in the form of budget cuts and half in the form of revenue from the extension of existing taxes.

C.A.R. has not taken a position in support of tax extensions, but is only in support of putting the tax extensions on the June ballot to let California voters decide.

For more information, contact Christopher Carlisle, C.A.R.'s legislative advocate at (916) 492-5200.

I don't know if I agree with today's move by CAR - but they didn't ask me. However, it appears to be in line with recent polls showing the majority of Californians prefer having a voice in this latest budget skirmish. 61% believe the issue of  Gov. Browns tax & cut budget should be decided by a vote of the people. Even 56% of Republicans believe this should be the case although 61% of Republicans also say they would vote against the tax measure. A majority of voters also indicate they would not vote for any new or increased taxes - but the survey didn't drill right down to whether the majority would vote to extend the currently increased taxes for another 5 years.

While I am not in favor of the tax increase that was foisted on us two years ago and is now scheduled to expire, if the few Republicans who have not backed themselves into a corner with the No New Tax pledge can negotiate some meaningful cuts - not just the lame-ass cuts proposed by the Governor, it's worth bringing to a vote of the people. Without the current taxes being extended, there will be foul nastiness ahead for our state. The few real cuts that have been proposed as well as any future cuts, would be to programs that probably should not be cut. The retirement boondoggle, entitlements and growing employment at the state level will not be impacted. Education, police and parks will be.

Whats worse, if the current tax structure is not extended for another 5 years, in addition to the worthless and superficial cuts that may occur, we would likely face a slew of new taxes disguised as fees, levies and outright thievery from our cities and counties. Many of those taxes would also be aimed at independent contractors, small business owners and other housing related areas. I mean, face it folks, our state is broke and should be declared bankrupt if such a thing were allowed and if we had any politicians with enough balls to do it. Unfortunately it's not and we don't.

Further, if the tax extension is placed on a special ballot I believe it would pass. It would be supported by massive spending by the  public employee unions, teachers, nurses, etc, as well as the vast entitlement population who live on the public dole. California has reached a tipping point where we have more takers than  givers, people who rely on the system for their income whether it's direct payroll, retirement or welfare. When that dynamic exists in a state without the political will to address it, the result will inevitably result in those voters making sure their nest continues to be lined as long as the rest of us can pay for it.

Of even greater concern, and something I believe is another inevitability, taxes will get placed on the ballot with the promise of real and substantial cuts to programs and entitlements. The taxes will get passed but the cuts will not occur. We already saw what happened a few years ago when Arnold worked up the machismo to try to tackle a few state employment issues. He was sued under the table  and no jobs were lost. Even the few cost reductions that might have been realized by the imposition of a few months of furlough days was largely negated by the lawsuits necessary to defend the governors right to impose them.

So we'll get our existing higher taxes extended another five years, the $12 Billion in cuts will not materialize, there will be a call for more 'fees' on services and any other way to wring the last few bucks out of the business class and the paying populace and next year we'll be right back here trying to figure out why we're another $25 Billion in the crapper.

Ahhh California.

On the upside, it is almost 80 today and the sun is shining beautifully. Had a great lunch with my Congressional Rep on an outdoor patio and it's almost time to pour a cold one. What? Me worry?

  

 

 

 

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Rainmaker
383,144
Kevin Robinson
Twin Falls, ID
Fractional Developer

Gene- It is hard for me to watch. You had better have a few of those cold ones buddy.

Mar 17, 2011 03:40 AM #1
Rainmaker
519,075
Harrison K. Long
HomeSmart, Evergreen Realty - Irvine, CA
REALTOR , GRI, Broker associate, Attorney

Gene ... I was surprised and disappointed to see that California Association of REALTORs had written to CA Gov Brown and the legislature yesterday and asked for income taxes to be placed on the June ballot.

The question of whether those taxes should be placed on the CA ballot is highly political about government, is controversial and not real estate related. 

CAR should stick with political issues involving protection of private property rights, the real estate business, Realtors and real estate professionals.

Getting the CA tax extensions on the June ballot is exactly what the governor, majority party controlled legislature, public employee unions, and entitlement population wants.  CAR support for getting taxes on the June ballot is essentially getting behind those groups and their agendas. 

Mar 17, 2011 04:45 AM #2
Rainmaker
161,942
Satar Naghshineh
Satar - Amiri Property and Financial Services Corp. - Irvine, CA

I agree with Harrison on this (I'm suprised he has time to blog and comment!). CAR should be promoting the reduction of taxes, both on individuals and property.

We should be focusing on illegal aliens, unions, reducing government regulations, reducing taxes and other aspects that are killing us financially. We are already taxed enough.

Mar 17, 2011 08:35 AM #3
Rainmaker
830,410
Broker Nick
South Florida Real Estate & Development, Inc. - Coconut Creek, FL
Broker Nick Relocation Broker Service

 

 Congratulations - This post is now featured in Silent Majority of The Active Rain Network!

Mar 17, 2011 02:42 PM #4
Rainmaker
383,144
Kevin Robinson
Twin Falls, ID
Fractional Developer

Gene- Congratulations, this post is now featured in the Tea Party group of AR.

Mar 19, 2011 02:01 AM #5
Rainmaker
1,239,146
Wallace S. Gibson, CPM
Gibson Management Group, Ltd. - Charlottesville, VA
LandlordWhisperer

I HATED this about California when I lived there.  Their ballots were HUGE and I had to read them and mark them up.  My husband and I would go to vote together and I'd vote first with sample ballot and then give it to HIM to use....I suspect this is why there is so little leadership in the state....Where is Pete Wilson when CA needs him?

Mar 21, 2011 11:35 PM #6
Rainmaker
354,838
Dale Terry
Yadkinville, NC

Another reason to push NAR out the window folks, they aren't working for you anymore.

Mar 23, 2011 12:10 AM #7
Rainmaker
227,956
Gene Wunderlich
1st Action Real Estate - Murrieta, CA
Realtor & Legislative Liaison

I was surprised by CAR's decision as well as they are customarily narrowly focused on real estate issues - too narrowly focused sometimes IMHO. Although I have no confidence whatsoever in the vote of the people to decide this (we have too many takers and not enough givers who will vote for their own self-interest to continue their freebies), I ultimately think the people should decide. It might be better if the vote is postponed until November so the people can see if the so-called 'cuts' the Gov. has proposed actually are cuts or just more of the same ole same ole. (They are). If the existing tax increases are not extended, you can look for serious cuts to every program you like and none to the programs you don't like. You can also expect new taxes fees on services, new transfer fees, business license fees, accelerated withholdings, etc. It's gonna get ugly no matter what.

Mar 23, 2011 06:47 AM #8
Rainmaker
383,144
Kevin Robinson
Twin Falls, ID
Fractional Developer

Wallace- Pete was one of the better govs that state has inb the last 20 years. And then Davis came along.

Mar 25, 2011 03:14 AM #9
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Gene Wunderlich

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