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Prop 87: A $4 Billion Tax-and-Spend Boondoggle
Human Events ^ | 9/19/06 | John Berthoud

Posted on 09/19/2006 5:13:29 PM PDT by NormsRevenge

Along with myriad decisions on elected officials, voters across the country will be asked to weigh in on ballot measures this fall. Taxpayers will have big stakes riding in a large number of these measures, but in one -- Proposition 87 in California -- there are important questions of both tax and spending policy at stake.

Proposition 87 will raise $4 billion in state revenue through new taxes on in-state oil extraction. In turn, the money will be used to fund a board that will dole out funds to alternative energy products and companies.

Regarding the measure’s big tax bite, Proposition 87’s backers say they will make it illegal for companies to pass these levies onto consumers. Supporters want to make citizens believe the taxes will come out of the hides of oil company executives. That is the first of many falsehoods underlying Proposition 87.

It is unfathomable how anyone in Sacramento will determine that any particular increase in gas prices is due to energy companies passing on part of the cost of higher taxes. But even if the state government’s economists claim to be able to divine this, and this claim survives the likely avalanche of legal challenges, that will simply mean that shareholders and employees will pay the costs of this tax. The millions of California residents who have either stock portfolios or 401(k)s invested in the energy sector would take a hit. Similarly, to the extent that state pension funds are invested in energy companies, all taxpayers will have to make up the slack for decreased earnings.

Not only is the tax scheme bad news, but the plans to spend the money will likely mean very low economic and social return (even by government standards).

Sometime in the future, as oil reserves become harder and harder to access, it will no longer be economically worthwhile to base much of our economy on oil. As that day approaches, the price of oil will naturally rise and free markets will drive the development of the most economically-efficient alternate sources of energy. Even if politicians could do a better job than markets in predicting which technologies will be successful (they can’t), they are hardly unbiased observers given the hefty campaign contributions they receive from lobbyists seeking targeted government subsidies (think of 2005’s terrible federal energy bill). In fact, big financial support for Proposition 87 is coming from those with a monetary interest in getting government funding for their alternative energy products. For these funders, expenditures on Proposition 87 can be viewed as a political down payment.

Supporters claim that this tax and spending scheme will “create jobs.” That’s another falsehood. Study after study has shown that employment is higher and economic growth is more robust where taxes are lower and government limited.

California voters may be upset at oil industry profits. But perhaps they should try to put those profits in perspective. First, millions of Californians are shareholders in the energy sector, so those profits are returned to them. And second, government is a far bigger profiteer off energy than is the private sector. Consider that at current prices, oil companies make about 10 cents in profit per gallon of gas. The federal government meanwhile rakes in 18.4 cents per gallon. California adds another 41.6 cents. So for every dollar that California drivers provide in profit for oil companies, they are shelling out six dollars to government. Giving $4 billion more of California taxpayers’ dollar to Sacramento -- via oil companies -- is a bad deal for the state. Proposition 87 should be rejected.

TOPICS: Business/Economy; Crime/Corruption; Culture/Society; Politics/Elections; US: California
KEYWORDS: billion; boondoggle; california; calinitiatives; prop87; taxandspend

1 posted on 09/19/2006 5:13:30 PM PDT by NormsRevenge
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One need only look at who endorses Prop 87 ,, nuff said.

Prop 87 is supported by a growing coalition of public health, consumers, business, environmental, and local government leaders and organization including:

Proposition 87 Endorsement List

American Association for Fuel Cells

American Solar Energy Society

Americans for Energy Independence

American Lung Association of CA

Apollo Alliance

California Alliance for Retired Americans

California Farmers Union

California Federation of Teachers*

California Labor Federation, AFL-CIO

California League of Conservation Voters


Center for Energy Efficiency and Renewable Technologies (CEERT)

Children's Health Environmental Coalition

Comite Pro Uno

Coalition for Clean Air

Environment California

Foundation for Taxpayer and Consumer Rights

Gray Panthers of California

Healthy African American Families II

The Interfaith Environmental Council

Latino Urban Forum

National Ethanol Vehicle Coalition

Natural Resources Defense Council

Orange County Society of Allergy, Asthma & Clinical Immunology

Physicians for Social Responsibility

Sierra Club, California

Silicon Valley Leadership Group

Union of Concerned Scientists

Union de Vecinos

Utility Consumers Action Network

Yolo County Board of Supervisors

Madeleine Albright
Former U.S. Secretary of State

Dianne Feinstein, United States Senator

Robert F. Kennedy Jr., President, Waterkeeper Alliance

Mayor Ronald Loveridge, City of Riverside

Mario Molina, UCSD Professor, Nobel Prize winner in Chemistry

Mayor Gavin Newsom, City of San Francisco

John Podesta, President, Center for American Progress

Vincent Tubiolo, President, CA Society of Allergy, Asthma, and Immunology

Businesses and Organizations

American Soybean Association
California Farmers Union
Community Alliance with Family Farmers
National Corn Growers Association

Association of Irritated Residents
Clean Air Now
Coalition for Clean Air

American Biodiesel, Inc.
Better Energy Systems
Biodiesel America
Buel Solar
Center for Energy Efficiency and Renewable Technologies (CEERT)
Clean Fuel Connection
Codding Enterprises
Community Environmental Services
Community Fuels
Desal Response Group
The Douris Corporation
Environmental Entrepreneurs (E2)
GAIA Tours
Go Solar
LA Biofuel, Inc.
New Voice of Business*
Open Energy Corporation
Peloton Energy, LLC
Permacity Solar
Planetary Kidz
Real Earth Inc.
Santa Barbara Electric Bicycle
Silicon Valley Leadership Group
Standard Biodiesel, Inc.
Strategic Capital Investments LLC*
The Douris Corporation
WilderHill Clean Energy Index (ECO)
Working Assets

Consumer Action
Consumer Federation of California
Foundation for Taxpayer and Consumer Rights
Public Citizen's Energy Program
Utility Consumers Action Network

California Federation of Teachers*
Los Angeles Community College Board of Trustees

Americans for Energy Independence
Apollo Alliance
California Apollo Alliance
Energy Independence Now
Foreign Oil Independence League
Oil Change International

Ballona Wetlands Land Trust
California Coastkeeper Alliance
California Labor / Environmental Solar Energy Project
California League of Conservation Voters
Californians Against Waste
Center for Energy Efficiency and Renewable Technologies (CEERT)
Center for Natural Lands Management
Citizens for a Quality Environment
Community Environmental Council
Earth Day LA
Earth Day Network
Earth Island Institute
Earth Resource Foundation
Eastern Sierra Land Trust
Education for Sustainable Living
Endangered Habitats League
Environment California
Environmental Center of San Luis Obispo County
Environmental Defense
Friends of the Earth
Global Green USA
Global Possibilities
Los Angeles Conservation Corps
Malibu Foundation for Environmental Education
Mono Lake Committee
National Wildlife Federation
Natural Resources Defense Council
People for Parks
Planning and Conservation League
Rainforest Action Network
Redwood Alliance
San Diego Coastkeeper
Santa Monica Baykeeper
Sierra Club, California
Southern California Watershed Alliance
Urban Corps of San Diego
Wild Heritage Planners
Windows on our Waters

Bayview Hunters Point Health and Environmental Resource Center
Committee to Save Silverlake Reservoirs
Literacy for Environmental Justice
Pacoima Beautiful
West County Toxics Coalition

California Interfaith Power and Light Campaign
Orange County Interfaith Council for the Environment
The Coalition on the Environment & Jewish Life of Southern California
The Interfaith Environmental Council

American Association for Fuel Cells
American Solar Energy Society
California Cars Initiative
Clean Fuel USA
Center for Energy Efficiency and Renewable Technologies
Electric Auto Association
Green Depot
Los Angeles Biodiesel Co-op
National Ethanol Vehicle Coalition
Northern California Solar Energy Association
Plug-In America
San Francisco Electric Vehicle Association
Southern Alliance for the Utilization of Biomass Resources
Vote Solar Initiative
World Council for Renewable Energy

California Labor Federation, AFL-CIO
California State Building & Construction Trades Council*
Service Employees International Union*
United Auto Workers, Region 5
Los Angeles County Labor Federation, AFL-CIO
Orange County Central Labor Council, AFL-CIO
Tri-Counties Central Labor Council, AFL-CIO

Comite Pro Uno
Latino Urban Forum
National Hispanic Environmental Council
Union de Vecinos

Association of Monterey Bay Area Governments
Davis City Council
San Francisco County Board of Supervisors
Santa Monica City Council
Yolo County Board of Supervisors

California Democratic Party
California National Organization for Women (Political Action Committee)
Los Angeles County Democratic Central Committee
Orange County Democratic Central Committee*
Sacramento County Democratic Central Committee*
San Mateo County Democratic Central Committee*
Trinity County Democratic Central Committee*
Yolo County Democratic Central Committee
Beverly Hills Democrats
Democratic Party of the San Fernando Valley*
Hayward Democratic Club
Inland Counties Stonewall Democrats
San Francisco Women's Political Committee*
Stonewall Democratic Club
West Hollywood Democratic Club

American Lung Association of California
American Nurses Association
Allergy and Asthma Medical Group and Research Center
California Conference of Directors of Environmental Health
California Public Health Association-North
Center for Environmental Health
Children’s Health Environmental Coalition
Healthy African American Families II
Physicians for Social Responsibility
Oakland Kicks Asthma
Orange County Society of Allergy, Asthma & Clinical Immunology
Southern California Public Health Association

Union of Concerned Scientists

California Alliance for Retired Americans
Gray Panthers of California
Senior Action Network

Alliance for Affordable Energy
American Progress Action Fund
Steven and Michele Kirsch Foundation
Sustainable Works
World Trust Foundation


A. Paul Alivisatos
Professor of Chemistry, University of California, Berkeley

Frances Arnold
Professor of Chemical Engineering and Biochemistry, California Institute of Technology

Harry Atwater
Professor of Applied Physics and Materials Science, California Institute of Technology

Robert Benson
Professor of Law, Loyola Law School, Los Angeles

Robert G. Bergman
Professor of Chemistry, University of California, Berkeley

Dr. Woodrow W. Clark
Managing Director, Clark Strategic Partners
Author, Agile Energy Systems: Global Lessons from the California Energy Crisis

David A. Dornfeld
Professor of Engineering, University of California, Berkeley

Andrew Frank
Professor of Mechanical and Aeronautical Engineering, University of California, Davis

David Goodstein
Vice Provost and Professor of Physics, California Institute of Technology

Harry B. Gray
Professor of Chemistry, Founding Director of the Beckman Institute, California Institute of Technology

Sossina M. Haile
Professor of Materials Science and Chemical Engineering, California Institute of Technology

Alan J. Heeger
Professor of Chemistry, Nobel Prize in Chemistry, University of California, Santa Barbara

Daniel M. Kammen
Professor of Energy and Society, University of California, Berkeley

David F. Kelley
Professor, School of Natural Sciences, University of California, Merced

Walter Kohn
Professor of Physics, Nobel Prize in Chemistry, University of California, Santa Barbara

Clifford P. Kubiak
Professor and Chair, Department of Chemistry and Biochemistry, University of California, San Diego

Nathan S. Lewis
Professor of Chemistry, California Institute of Technology

Rudy Marcus
Professor of Chemistry, Nobel Prize in Chemistry, California Institute of Technology

Mario Molina
Professor of Chemistry, Nobel Prize in Chemistry, University of California, San Diego

Sherwood Rowland
Professor of Chemistry, Nobel Prize in Chemistry, University of California, Irvine

Michael Sailor
Professor of Chemistry, University of California, San Diego

Mel Simon
Professor of Biology, Nat'l Medal of Science Winner, California Institute of Technology

Jim Stewart
Adjunct Professor of Physics, University of the West

William C. Trogler
Professor of Chemistry, University of California, San Diego

Ahmed Zewail
Professor of Physics and Chemistry, Nobel Prize in Chemistry, California Institute of Technology

Bradley E. Baker, CEO, Codding Enterprises

Thomas Baruch, Founder & Managing Director, CMEA Ventures

Rod Beckstrom, CEO, Carbon Investments

Roger Duncan, Deputy General Manager, Austin Energy

David Edwards, Managing Director, Greentech Research, ThinkEquity Partners

Ira Ehrenpreis, General Partner, Technology Partners

Bob Epstein, Co-Founder, Environmental Entrepreneurs (E2)

Greg Farall, Financial Advisor, Lakeside Financial

Tom Faust, CEO, Redwood Renewables

Irwin Federman, General Partner, US Venture Partners

Jonathan Foster, Vice President, Corporate Development and General Counsel, Atempo, Inc.
Board of Directors, California Clean Energy Fund (CalCEF)

Thomas Jacoby, Vice Chairman, Klipsch Group, Organizing Member, Environmental Entrepreneurs (E2)
Director, California Clean Energy Fund

Vinod Khosla, Partner, Kleiner, Perkins, Caufield & Byers, Founder, Sun Microsystems Inc.

Nicole Lederer, Co-Founder, Environmental Entrepreneurs (E2)

James Lyons, Software Engineer, Google

Amit Master, Sr. Financial Analyst, Cresa Partners

Audrey Philpot, Multi Media Communications, Transformedia

David P. Saltman, President & CEO, Open Energy Corporation

Tom Soto, Founder & President, Paladin Private Equity Partners
Former President, Coalition for Clean Air

Karl Susman, Owner, Susman Insurance Agency

Josh Tickell, President, Biodiesel America

Sheela Toor, Marketing Communications Manager, Raza Microelectonics

Daniel Weiss, Managing Partner, The Angeleno Group

Dr. Rob Wilder, CEO, Wilder Shares, LLC, President, Hydrogen Fuel Cell Initiative

Phil P. Bacerra, Executive Director, Democratic Foundation of Orange County

Julie Bear, Executive Director, Eastern Sierra Land Trust

Elaine Booth, President, Women for: Orange County

Ana Unruh-Cohen, Associate Director, Center for American Progress

Sam Duran, CEO, Urban Corps of San Diego

Mike Feuer, Former City Councilmember, City of Los Angeles

Sandy Grant, Chair, Santa Monica Sustainable City Task Force

Roger H. Gray, Director, Pasadena Walks

Tom Hayden, Former Senator, California State Senate

Greg Johnson, Community Services Director, City of Westminster

Jay Levin, Founder of LA Weekly

Mark Paul, Former Deputy Treasurer, State of California

John Podesta, President and CEO, Center for American Progress

Krishna Rallapalli, President, Huguenin Rallapalli Foundation

Alexia Salvatierra, Pastor and Executive Director of Laity United for Economic Justice

Irving Sarnoff, Founding Director, Friends of One United Nation

Wendy Schmidt, Non-Profit Director, 11th Hour Project

Jack O'Connel, California State Superintendent of Public Instruction

Julia Brownley, President, Santa Monica-Malibu Unified School District

Mona Field, Trustee of Los Angeles Community College

Eric Mar, Commissioner of SFUSD, Board of Education SFSU

Dianne Feinstein, United States Senator

Nancy Pelosi, Minority Leader, United States House of Representatives

Howard L. Berman, Member, United States House of Representatives

Linda T. Sanchez, Member, United States House of Representatives

Loretta Sanchez, Member, United States House of Representatives

Hilda L. Solis, Member, United States House of Representatives

Phil Angelides, Treasurer, State of California

Don Perata, President Pro Tem, California State Senate*

Gloria Romero, Majority Leader, California State Senate*

Richard Alarcón, California State Senator

Liz Figueroa, California State Senator

Sheila Kuehl, California State Senator

Fabian Nunez, Speaker, California State Assembly*

Karen Bass, California State Assemblymember*

Wilma Chan, California State Assemblymember

Judy Chu, California State Assemblymember

Dave Jones, California State Assemblymember

John Laird, California State Assemblymember*

Joe Nation, California State Assemblymember

Jenny Oropeza, California State Assemblymember*

Fran Pavley, California State Assemblymember

Lori Saldana, California State Assemblymember*

Aaron Peskin, Board of Supervisors President, San Francisco County

Fred Keeley, County Treasurer, County of Santa Cruz

Keith Carson, County Supervisor, Alameda County Board of Supervisors

Alice Lai-Bitker, County Supervisor, Alameda County Board of Supervisors

Chris Daly, County Supervisor, San Francisco County Board of Supervisors

Victor Mow, County Supervisor, San Joaquin County Board of Supervisors

Blanca Alvarado, County Supervisor, Santa Clara County Board of Supervisors

Helen Thomson, County Supervisor, Yolo County Board of Supervisors

Mardi Wourmhoudt, County Supervisor, Santa Cruz County Board of Supervisors

Ruth Atkin, Mayor, City of Emeryville

Tom Bates, Mayor, City of Berkeley

Jane Bender, Mayor, City of Santa Rosa

Beth Ingalls, Mayor, City of Truckee

Bill Judge, Mayor, City of Orinda

Dennis Kennedy, Mayor, City of Morgan Hill

Judy Kleinberg, Mayor, City of Palo Alto

Ronald Loveridge, Mayor, City of Riverside

Nury Martinez, Mayor, City of San Fernando

Gavin Newsom, Mayor, City of San Francisco

Leticia Vasquez, Mayor, City of Lynwood*

Bobby Shriver, Mayor Pro Tempore, City of Santa Monica

William Broderick-Villa, Vice-Mayor, City of Waterford

Kelly Fergusson, Vice-Mayor, City of Menlo Park

Otto Lee, Vice-Mayor of Sunnyvale

Ron Orenstein, Vice-Mayor of Willits

Sam Pierce, Vice-Mayor, City of Sebastopol

Pete Sanchez, Vice-Mayor, City of Suisun City

Karl P. Warkomski, Councilmember, City of Aliso Viejo

David Meserve, Councilmember, City of Arcata

Maxwell G. Anderson, Jr., Councilmember, City of Berkeley

Kriss Worthington, Councilmember, City of Berkeley

Linda Maio, Councilmember, City of Berkeley

Frank A. Tierney, Councilmember, City of Coronado

Josve Barrios, Planning Commissioner, City of Cudahy*

Juan Romo, Councilmember, City of Cudahy

Stephen Souza, Councilmember, City of Davis

David Weinsoff, Councilmember City of Fairfax

Bob Wieckowski, Councilmember, City of Fremont

Dean Williams, Councilmember, City of Grass Valley

Christine Krolik Councilmember City of Hillsborough

Louie A. Lujan M.Ed., Councilmember, City of La Puente

Jane Egly, Councilmember, City of Laguna Beach

Janice Keller, Councilmember, City of Lompoc

Gerrie Schipske, Councilmember, City of Long Beach

Eric Garcetti, President, Los Angeles City Council*

Rockard J. Delgadillo, City Attorney, City of Los Angeles

Wendy Greuel, Councilmember, City of Los Angeles

Alex Padilla, Councilmember, City of Los Angeles*

Ed. P. Reyes, Councilmember, City of Los Angeles*

Herb Wesson, Councilmember, City of Los Angeles*

Jim Aldinger, Councilmember, City of Manhattan Beach

Esther Sanchez, Councilmember, City of Oceanside

Peter Drekmeier, Councilmember, City of Palo Alto

Dr. Michael G. Harris, Councilmember, City of Pleasant Hill

Jim Rogers, Councilmember, City of Richmond

Sanmukh Bhakta, Councilmember, City of Rio Vista

Kevin McCarty, Councilmember, City of Sacramento

Judy Chirco, Councilmember, City of San Jose

Linda J. Lezotte, Councilmember, City of San Jose

John B. Ewan, Councilmember, City of San Luis Obispo

Jan Epstein, Councilmember, City of San Mateo

Das Williams, Councilmember, City of Santa Barbara

Dominic J Caserta, Councilmember, City of Santa Clara

Mike Rotkin, Councilmember, City of Santa Cruz

Kevin Mckeown, Councilmember, City of Santa Monica

Cliff Barrett, Councilmember, City of ScottsValley

David W. Roberts, Councilmember, City of Solana Beach

Joseph J. Gonzales, Councilmember, City of South El Monte

Mari Rodin, Councilmember, City of Ukiah

Abbe Land, Councilmember, City of West Hollywood

John J. Duran, Councilmember, City of West Hollywood

Jeffrey Prang, Councilmember, City of West Hollywood

Carol M. Browner, Former Administrator, U.S. Environmental Protection Agency (1993-2001)
Board Member, Center for American Progress

Winston Hickox, Former Secretary, California Environmental Protection Agency

Roland Hwang, Senior Scientist, Natural Resources Defense Council

Robert F. Kennedy Jr., President, Waterkeeper Alliance

John A. Knox, Executive Director, Earth Island Institute

Peter Meisen, President, Global Energy Network Institute

Mary Nichols, Director, UCLA Institute of Environment

Jerome Ringo, Chairman of the Board, National Wildlife Federation

James Strock, Former Secretary, California Environmental Protection Agency

Nadine Weil, Global Green

Diane Wittenberg, President, California Climate Action Registry

Charles A. Bucks, Vice President, U.S. Postal Service

John Connolly, President, AFTRA, AFL-CIO

Ron Garcias, IA Representative, IATSE Union

Danny Ramos, Political Director, SEIU Local-535

Jennie Carreón de Lacey, Director of Governmental and Public Relations, Soledad Enrichment Action

Alexandra Gallardo Rooker., 1st Vice-Chair, California Democratic Party

Dolores Huerta, President, Dolores Huerta Foundation*

Madeleine Albight, Former U.S. Secretary of State

Robert H. Friis, President, Southern California Public Health Association

Linda Rosenstock, Dean, School of Public Health, University of California, Los Angeles

Vincent Tubiolo, President, California Society of Allergy, Asthma, and Immunology

All titles and affiliations are for identification purposes only
* indicates recent addition to list as of 9/12/06

2 posted on 09/19/2006 5:19:06 PM PDT by NormsRevenge (Semper Fi ......Help the "Pendleton 8' and families --
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To: NormsRevenge

Great article!!!
I'm e-mailing this to my friends, especially the ones who have been duped by the Yes on 87 campaign.

3 posted on 09/19/2006 5:20:58 PM PDT by Commander8 (Am I therefore become your enemy, because I tell you the truth? Galatians 4:16)
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To: NormsRevenge
Let's see:

$1 profit to "Big Oil", and 6$ in taxes...then, we bash Bush because he's "in bed with Big Oil" and the "Big Oil Bastards" are causing gas price increases?

This is the mentality of the Loonies; whatever the DNC spews, they imbibe.....gasoline today in Ohio is approaching $2.00/gallon today (exactly $2.07 at this time).....

Democrats are crying about the falling prices right before the November elections, bigtime.

4 posted on 09/19/2006 5:21:23 PM PDT by traditional1
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To: NormsRevenge
What about Friends of the Clams? (or was it Friends of the Snails?)

Oh..........never mind.

5 posted on 09/19/2006 5:22:59 PM PDT by traditional1
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To: NormsRevenge

The passage of Reiner's tobacco tax bill and later the stem cell funding bill have put a lot of bad ideas into people's heads, and this is one of them. There's a sudden frenzy to get voters to pass special measures to create slush funds that the People for a Perfect World can tap for every fantasy they've been unable to get thru the normal budgetary process.

6 posted on 09/19/2006 5:23:13 PM PDT by John Jorsett (scam never sleeps)
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FRom the
No on Prop 87 web site

Proposition 87: Bad Policy and Bad News
for California Schools

Contrary to the misleading propaganda put forth by Prop 87’s sponsors, this $4 billion oil tax initiative means double trouble for our schools. The Legislative Analyst reports Prop 87 would reduce both state and local revenues – funds that would no longer be available to our schools. The principal author of the state’s education funding guarantee (Proposition 98) and one of the state’s most respected education finance experts reports Prop 87 would rob schools of their fair share of new revenues.

If Prop 87 is approved, it would encourage other special interests to place measures on the ballot which circumvent the constitutional requirements of Prop 98, with serious consequences for our schools in the short and long-term -- an issue that should be of great concern to any organization that cares about schools and their funding in California.

John Mockler, Principal author of Proposition 98 states:
“At a time when California school funding is already below the national average, Prop 87 will make matters worse. It could deny schools their fair share of up to $1.9 billion in new revenues over the next 10 years."

Elizabeth Hill, California State Legislative Analyst, reports that Prop 87 would result in a “Reduction in Local Property Tax Revenues” and “Reduction in Income Tax Revenues.”

Larry Reider, Superintendent of Education for Kern County, states:
“We are concerned about the cycle of statewide ballot initiatives which constitutionally lock away funding in protected accounts, keeping education’s fair share out of reach. We oppose Proposition 87.”

Kevin Burton, Trustee, Fruitvale Unified Board of Education states:
“Prop 87 would raise billions of new taxpayer dollars – but not one penny is dedicated to K-12 schools.”

Jose Luis Solache, Vice President, Lynwood Unified Board of Education warns:
Make no mistake. Prop 87 harms schools and would have a serious impact on Prop 98 funding in the future.”

Prop 87 Reduces Education Funds
The state’s independent Legislative Analyst reports that while Prop 87 would place $4 billion of new tax revenue into a “special fund,” it will actually reduce the state’s general fund revenues. That means less money for schools. According to the Legislative Analyst, Prop 87’s tax would be automatically deducted from corporate income taxes that currently go directly into the state’s General Fund and which contribute to education’s fair share of the state budget under Proposition 98.

Prop 87 Exempts Itself from Prop 98 Requirements – Robs Education of $1.9 Billion in New Funds
Our state Constitution (Proposition 98) requires that a portion of new state tax revenues be spent on schools, but Prop 87 exempts itself from that law, robbing education of its fair share of future revenues (Sec. 4(e) of Prop 87).

John Mockler, a leading expert in California education funding and the principal author of Proposition 98, pegs this loss of revenue to schools at approximately $1.9 billion over ten years. (For John Mockler’s complete analysis, click here).

Reduces Local Property Tax Revenues That Support Schools
The Legislative Analyst also reports that property tax revenues in counties throughout the state will decline under Prop 87 in addition to state General Fund revenues. A portion of those property taxes due to schools will have to be reimbursed by the state, further reducing General Fund revenues. For some school districts, there would be no reimbursement from the state.

Billions of New Tax Dollars – Not One Penny Dedicated to K-12 Schools
Prop 87 proponents point to one sentence in their 31-page initiative (Sec. 26050(a)) which says school districts with fleets may apply for funding to help convert their bus fleets to alternative energy technology, but provides no guarantee they’ll get those funds. That’s it. And, what they don’t tell you is that those school districts would be competing with any number of private fleet owners, private companies and individuals for the same pot of money.

And, those limited funds come at the expense of the state Education Budget as a whole which supports all school services, faculty and staff, and which the state’s Legislative Analyst reports Prop 87 will reduce. Hardly a fair trade-off for California schools.

Schools Would be Denied $1.9 Billion in New Revenues?
Actually, it could be more than that. While Prop 87 requires the new agency spend $4 billion, it places no limit on the tax increase. So, the new tax could go on indefinitely, providing billions upon billions for the new bureaucracy to spend, with not one cent of it going to K-12 classrooms. And, Prop 87 authorizes the new agency to sell billions in bonds they may not be able to repay, which could force a state bailout, taking away even more General Fund revenues.

No Representatives of K-12 School Community at the Table
Prop 87 authors wrote specific criteria for the career experience of the appointees who will decide how to spend the new money. One higher education representative is included, and higher education facilities are eligible for research funds. They also specified which state officials to include. But, not one representative from K-12 education community made their list to ensure any of the new funds go to K-12 school districts.

Higher Fuel Costs for School Districts
Despite Prop 87’s sponsors’ promises, a $4 billion tax on California oil production will mean higher fuel costs. School transportation budgets are already stretched to the limit. Prop 87 would only make it worse.

No Requirement that All of Prop 87’s New Taxes Be Spent in California
How can Prop 87 proponents promise economic growth in California, when the measure doesn’t even require they spend all the new taxes in California, much less in the U.S.? The California Chamber of Commerce, California Black Chamber of Commerce, California Hispanic Chamber of Commerce, and small business associations throughout California oppose Prop 87.

Creates Huge New Bureaucracy, No Accountability,
No Requirement They Show Results
No one knows where Prop 87’s $4 billion would go for sure. Its new state bureaucracy -- run by more than 50 political appointees -- has the power to write its own process for allocating all the money. Billions of dollars allocated – outside the state budget review process and outside the normal checks and balances that govern other agencies.

Moreover, the new bureaucracy is authorized to spend additional taxes year after year after year, even if they are making absolutely no progress advancing alternative energy use or reducing petroleum use.

That’s a recipe for waste, not progress.

7 posted on 09/19/2006 5:23:49 PM PDT by NormsRevenge (Semper Fi ......Help the "Pendleton 8' and families --
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To: John Jorsett

Oops. Correction: those measures weren't bills, but rather voter initiatives.

8 posted on 09/19/2006 5:24:28 PM PDT by John Jorsett (scam never sleeps)
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Who Opposes?
(as of September 18, 2006)

Taxpayer Organizations
Alameda County Taxpayers Association
Butte County Taxpayers Association
Butte County Citizens for Better Government
California Taxpayer Protection Committee
California Taxpayers’ Association
Central Solano Citizen/Taxpayer Group
Contra Costa Taxpayers Association
Howard Jarvis Taxpayers Association
Humboldt Taxpayers League*
Kern County Taxpayers Association
Marin United Taxpayers Association
National Tax Limitation Committee
National Taxpayers Union
Orange County Taxpayers Association
Sacramento County Taxpayers League
San Diego County Taxpayers Association*
San Diego Tax Fighters
Santa Barbara County Taxpayers Association
Sonoma County Taxpayers’ Association
United Californians for Tax Reform
Valley Taxpayer’s Coalition, Inc.
Ventura County Taxpayers Association
Waste Watchers, Inc.
Yolo County Taxpayers Association

State & National Organizations
Air Transport Association of America, Inc.
Alliance for Retail Energy Markets
Association of Energy Service Companies
(California Chapter)
Associated General Contractors of California
Automobile Club of Southern California
Black Business Association
California Autobody Association
California Black Chamber of Commerce
California Business Properties Association
California Business Roundtable
California Chamber of Commerce
California Coalition of Law Enforcement
Associations* (CCLEA)
California Department of Forestry and Fire
Protection (CDF Firefighters)
California Hispanic Chambers of Commerce
California Furniture Manufacturer’s Association
California Grocers Association
California Independent Grocers &
Convenience Stores
California Independent Oil Marketers Association
California Independent Petroleum Association
California Manufacturers & Technology
California NAACP
California Narcotic Officers Association*
California Professional Firefighters
California Restaurant Association
California Retailers Association
California Short Line Railroad Association
California Small Business Alliance
California Small Business Association
California Space Authority
California State Association of Counties
California State Firefighters’ Association
California Trucking Association
CELSOC (Consulting Engineers & Land
Surveyors of CA)
Chemical Industry Council of California
Clean Air Performance Professionals
Consumers Coalition of California
Consumers First
Council of Asian Business Associations
Independent Oil Producers’ Agency
Industrial Environmental Association
Korean Dry Cleaners & Laundry Association
National Association of Manufacturers
Mabuhay Alliance
Mexican American Grocers Association
Peace Officers Research Association of California
Printing Industries of California
Small Business Action Committee
The Seniors Coalition
U.S. Chamber of Commerce
Western States Petroleum Association
Western Electrical Contractors Association

Agricultural Council of California*
Alliance of Western Milk Producers
California Agricultural Aircraft Association
California Association of Winegrape Growers
California Citrus Mutual
California Cotton Ginners Association
California Cotton Growers Association
California Farm Bureau Federation
California Floral Council
California Grape & Tree Fruit League
California League of Food Processors
California Poultry Federation
California Thoroughbred Breeders Association
California Women for Agriculture
Far West Equipment Dealers Association
Fresno County Farm Bureau
Harris Farms, Inc.
Imperial County Farm Bureau
Imperial Valley Vegetable Growers Association*
Kern County Farm Bureau
Kings County Farm Bureau
Madera County Farm Bureau
Mendocino County Farm Bureau
Monterey County Farm Bureau
Nisei Farmers League
Olive Growers Council
Sacramento County Farm Bureau*
San Joaquin County Farm Bureau
San Luis Obispo County Farm Bureau
Santa Cruz County Farm Bureau*
Solano County Farm Bureau
Sonoma County Farm Bureau
Stanislaus County Farm Bureau
Tulare County Farm Bureau
Ventura County Agricultural Association
Western Growers Association
Western Plant Health Association
Western United Dairymen
Wine Institute*
Regional & Local Organizations
African American Chamber of Commerce
Palm Springs
Alameda Merchants Association
American Association of Blacks in Energy --
Southern California Chapter
American Canyon Chamber of Commerce
Apple Valley Chamber of Commerce
Asian Service Organization
Association for Los Angeles Deputy Sheriffs
Association of Orange County Deputy Sheriffs*
Azusa Chamber of Commerce
Bay Area Council
Bethel M.B. Church
Black Economic Council
Boyle Heights Chamber of Commerce*
Camara de Camercio Agrupacion de
Comerciates de San Jose
Carson Black Chamber of Commerce
Central California Hispanic Chamber of Commerce
Central City Association*
Central Valley Asian American Chamber
Chamber of Commerce Mountain View
Chico Chamber of Commerce*
Claremont Chamber of Commerce
Clovis Chamber of Commerce
Coalition of Labor, Agriculture & Business
(COLAB) of Santa Barbara County
Commerce Industrial Council/Chamber of
Contra Costa Council
Corona Chamber of Commerce
County of Santa Barbara Industrial Association
Crenshaw Chamber of Commerce
Death Valley Chamber of Commerce*
El Monte/South El Monte Chamber of Commerce
Filipino American Chamber of San Joaquin
Folsom Chamber of Commerce*
Fresno Area Hispanic Chamber of Commerce
Fullerton Chamber of Commerce
Garden Grove Chamber of Commerce
Goleta Valley Chamber of Commerce
Greater Bakersfield Chamber of Commerce
Greater Corona Hispanic Chamber of Commerce
Greater Fresno Area Chamber of Commerce
Greater Los Angeles African American
Chamber of Commerce
Greater Merced Chamber of Commerce
Greater Riverside Chambers of Commerce
Greater Sacramento Urban League
Guatemalan American Chamber of Commerce,
San Francisco
Hanford Chamber of Commerce
Hispanic Chamber of Commerce – Alameda County
Hispanic Chamber of Commerce –
Contra Costa County
Hispanic Chamber of Napa County
Hispanic Chamber of Commerce – Silicon Valley
Inland Empire African American Chamber of
Inland Empire Hispanic Chamber of Commerce
Irvine Chamber of Commerce
Irwindale Chamber of Commerce
Kern County Black Chamber of Commerce
Kern County Hispanic Chamber of Commerce
Kern Law Enforcement Association
Lake Elsinore Valley Chamber of Commerce
Latino Chamber of Commerce of Lynwood
Long Beach Area Chamber of Commerce
Long Beach Firefighters Association Local 372*
Los Angeles Area Chamber of Commerce
Los Angeles Metro Hispanic Chamber of
Lynwood Latino Coalition
MADIC – Making A Difference in The Community
Manhatten Beach Chamber of Commerce
Modesto Chamber of Commerce
Milpitas Chamber of Commerce
Murrieta Chamber of Commerce
Newport Beach Chamber of Commerce*
Napa County Latin Business Association
Nicaraguan American Chamber of Commerce,
San Francisco
Oakland Metropolitan Chamber of Commerce
Ontario Hispanic Chamber of Commerce
Orange Chamber of Commerce & Visitor Bureau
Orange County Business Council
Oxnard Chamber of Commerce
Palm Desert Chamber of Commerce
Rancho Cordova Chamber of Commerce
-- Los Angeles Chapter
Raul Murillo Hermandad Mexicana Nacional
Regional Black Chamber of Commerce
(San Fernando Valley)
Regional Hispanic Chamber of Commerce
Regional Hispanic Chamber of Commerce
(Long Beach)
Regional Legislative Alliance of Ventura &
Santa Barbara Counties
Ridgecrest Chamber of Commerce
Saint John Missionary Baptist Association
San Bernardino County Safety Employees
Benefit Association (SEBA)
San Diego County Hispanic Chamber of
San Francisco African American Chamber of
San Francisco Hispanic Chamber of Commerce
San Jose Silicon Valley Chamber of Commerce
San Mateo County Economic
Development Association (SAMCEDA)
San Mateo County Hispanic Chamber of
San Rafael Chamber of Commerce*
San Ramon Chamber of Commerce
Santa Clara Chamber of Commerce
Santa Rosa Chamber of Commerce
Shasta Builders’ Exchange
Simi Valley Chamber of Commerce
Solano Hispanic Chamber of Commerce
Sonoma County Black Chamber of Commerce
South Bay Latino Chamber of Commerce
South Orange County Regional Chambers of
Southwest California Legislative Council
(chamber coalition in Riverside County)
Temecula Chamber of Commerce
Tulare Chamber of Commerce
Tuolumne County Chamber of Commerce
Valley Industry & Commerce Association (VICA)
Ventura Chamber of Commerce
Ventura County Economic Development Association
Victor Valley African American Chamber of
Visalia Chamber of Commerce

Government & Elected Officials
California State Association of Counties
California Contract Cities Association*
Regional Council of Rural Counties
State Board of Equalization Board Member
Bill Leonard*

Cities & Counties
Butte County Board of Supervisors
City of Bakersfield
City of Lynwood*
City of Taft
Colusa County Board of Supervisors
Inyo County Board of Supervisors
Kern County Board of Supervisors
Madera County Board of Supervisors
Merced County Board of Supervisors
Siskiyou County Board of Supervisors

City Council Members & Supervisors
Adelanto City Council Member Charley Glasper*
Antioch City Council Member Arne Simonsen
Apple Valley City Council Member Timothy Jasper*
Apple Valley City Council Member Scott Nassif*
Bakersfield City Council Member Harold Hanson
Barstow City Council Member Steve Curran*
Barstow Mayor Lawrence E. Dale
Beaumont City Council Member Larry Dressel*
Beaumont Mayor Jeff Fox*
Beaumont Mayor pro tem Brian Deforge*
Beaumont City Council Member Roger Berg*
Big Bear Lake Mayor Bill Jahn*
Bishop Mayor pro tem Frank Crom*
Bishop City Council Member Kathryn Henderson*
Blythe City Council Vice Mayor Charles Grotke
Brea Mayor pro tem Marty Simonoff
Camarillo Mayor Michael Morgan*
Canyon Lake City Council Member
Francis Kessler*
Carpinteria City Council Member Gregory Gandrud
Chino Hills Mayor Ed Graham*
Chino Hills City Council Member Curt Hagman*
Chino Hills City Council Member Gary Larson*
Clayton City Council Member Julie Pierce*
Cloverdale Mayor Bob Jehn*
Clovis City Council Member Jose Flores*
Clovis Mayor Nathan Magsig
Colton Mayor Deirdre Bennett*
Colton City Council member Kelly Chastain*
Fillmore Mayor pro tem Ken Smedley*
Folsom City Council Member Sam Spiegel*
Fontana City Council Member Janice Rutherford
Fontana Mayor pro tem John Roberts*
Fort Bragg City Council Member Jere Melo
Fresno City Council Member Jerry Duncan
Fullerton Mayor pro tem Don Bankhead*
Fullerton City Council Member F.R. Jones*
Galt Council Member Thomas J. Malson*
Glenn County Supervisor Gary Freeman*
Grand Terrace Mayor pro tem Bea Cortes*
Hemet City Council Member Lori Van Arsdale*
Hemet Mayor Robin Lowe*
Highland City Council Member Larry McCallon
Highland Mayor Ross Jones*
Huron Mayor Ramon Dominguez*
Imperial County Supervisor Joe Maruca*
Imperial County Supervisor Gary Wyatt*
Lafayette Vice Mayor Carol Federighi*
La Habra Council Member Steve Anderson*
La Habra Council Member Thomas R. Beamish*
Lancaster Mayor Henry Hearns*
Lancaster Vice Mayor Ed Sileo*
La Quinta City Council Member Terry Henderson*
Laguna Niguel City Council Member Paul Glaab*
Lake Forest City Council Member Peter Herzog*
Lake Forest City Council Member
Marcia Rudolph*
Lake Forest City Council Member
Kathryn McCullough*
Lompoc City Council Member William Schuyler*
Lompoc Mayor Dick DeWees*
Lompoc City Council Member
DeWayne Holmdale*
Los Angeles County Supervisor
Michael D. Antonovich
Los Angeles County Supervisor Don Knabe*
Lynwood City Council Member Fernando Pedrova*
Lynwood Former Mayor Rick Sanchez
Lynwood Mayor Leticia Vasquez*
Marina City Council Member Michael Morrison*
Monrovia Mayor Rob Hammond*
Moorpark City Council Member Janice Parvin*
Needles City Council Member Bob Rath*
Norco Mayor pro tem Harvey Sullivan*
Norco Fire Chief Jack Frye*
Orange County Supervisor Bill Campbell
Paso Robles City Council Member Fred Strong*
Perris Mayor Daryl Busch*
Perris City Council Member Al Landers*
Placentia City Council Member Russell Rice*
Plymouth City Council Member Michael O’Meary
Port Hueneme City Council Member Toni Young*
Rancho Mirage Mayor Richard W. Kite*
Rancho Santa Margarita Mayor James Thore*
Ridgecrest City Council Member
Steven P. Morgan
Ridgecrest Mayor Marshall “Chip” Holloway
Ridgecrest Mayor pro tem Richard “Duke” Martin
Ridgecrest Vice Mayor Dan Clark*
San Bernardino City Council Member Neil Derry*
San Clemente City Council Member
Steve Knoblock*
San Clemente City Council Member Joe Anderson*
San Clemente City Council Member
Susan Ritschel*
San Luis Obispo City Council Member Paul Brown*
San Luis Obispo Mayor David Romero*
San Pablo Vice Mayor Paul V. Morris*
San Ramon Mayor H. Abram Wilson*
San Ramon City Council Member David Hudson*
San Ramon Vice Mayor Carol Rowley*
San Ramon City Council Member Scott Perkins*
San Ramon City Council Member Jim Livingstone*
Santa Maria City Council Member Marty Mariscal*
Signal Hill Mayor Larry Forester*
Simi Valley Mayor pro tem Glen T. Becerra
Stanton City Council Member Alexander A. Ethans
Stanton City Council Member David Cadena*
Thousand Oaks City Council Member
Thomas Glancy*
Thousand Oaks City Council Member Jacqui Irwin*
Tuolumne County Supervisor Richard Pland*
Tustin City Council Member Jerry Amante*
Tustin City Council Member Lou Bone
Twentynine Palms City Council Member
Dawn Benton, Jr.*
Twentynine Palms Mayor pro tem Joel Klink*
Twentynine Palms Mayor Kevin Cole*
Victorville City Council Member Bob Hunter*
Victorville City Council Member Rudy Cabriales*
Victorville City Council Member Terry Caldwell*
Victorville Mayor Mike Rothschild*
West Covina City Council Member
Roger Hernandez
Yucca Valley Town Council Member Chad Mayes
Yucca Valley Town Council Member Robert J. Leone
Yucca Valley Town Council Member
Frank J. Luckino
Yucca Valley Town Council Member
William L. Neeb

Marian Bergeson, Past President,
California School Boards Association
Academic Uprise
Amador County Board of Education
California School Employees Association –
Chapter 596 Vice President Lilia D. Corona
El Segundo Unified School District*
Fruitvale School District
Fruitvale School District Board Trustee
Kevin Burton
Garvey School Board Vice President Felipe
Agredano-Lozano (South San Gabriel)
Huntington Beach Union High School District
Trustee Matthew Harper
Kern County Board of Education
Kern County Superintendent of Schools
Larry E. Reider
Kern High School District Trustee Chad Vegas
Kings County Board of Education*
La Mesa-Spring Valley School Board
President Rick Winet*
Lynwood Unified School District Board
Member Alfonso Morales
Lynwood Unified School Board Vice President
Jose Luis Solache
Newport-Mesa Unified School District Board
Member Martha Fluor
Rosedale Union School District
Rosedale Union School District Board President
Ken Mettler
San Benito County Superintendent of Schools
Timothy Foley*
Scotia Union School District
Sunol Glen Unified School District
Superintendent Diane E. Everett*
West Covina Unified School District Trustee
Mike Spence

*New Endorsement

9 posted on 09/19/2006 5:25:54 PM PDT by NormsRevenge (Semper Fi ......Help the "Pendleton 8' and families --
[ Post Reply | Private Reply | To 7 | View Replies]

To: All

Mr. Berthoud is President of the 350,000-member National Taxpayers Union (

10 posted on 09/19/2006 5:27:12 PM PDT by NormsRevenge (Semper Fi ......Help the "Pendleton 8' and families --
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To: NormsRevenge

You left a couple of people off. Please re-validate.

11 posted on 09/19/2006 6:18:19 PM PDT by Darteaus94025
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To: Darteaus94025

As a voter this is simple Vote No on 87.To much PORK money in it.

12 posted on 09/19/2006 6:53:41 PM PDT by jocko12
[ Post Reply | Private Reply | To 11 | View Replies]

To: NormsRevenge

What a war! Given the LAO analysis, will the CTA oppose it too? (Hopeful thinking!)

13 posted on 09/19/2006 7:57:08 PM PDT by calcowgirl ("Liberalism is just Communism sold by the drink." P. J. O'Rourke)
[ Post Reply | Private Reply | To 9 | View Replies]

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