Californians demonstrated their usual inimitable politics yesterday. Democrats won nearly every statewide office. The next Governor is Jerry Brown. Mr. Brown promised that there would be no tax increases without a vote of the people. (Barbara Boxer was reelected to the Senate.) How Mr. Brown assuages his union supporters and doesn’t make the drastic cuts that just have to happen without tax increases will be the story of next summer.
It will be easier for Democrats to pass a budget. They no longer need Republican votes as Proposition 25 passed (a majority can now enact a budget rather than a 2/3 vote). However, Californians also passed Proposition 26; most “user fees” will need a 2/3 vote to pass. Californians rejected Proposition 21, so there won’t be a tax to support state parks. Proposition 24 failed, so we’ll have conformity between federal and California law for some business NOLs and multi-state issues.
Voters don’t like gerrymandering, and they supported Proposition 20 (letting a non-partisan commission draw Congressional districts) and rejected Proposition 27 (which would have disbanded the non-partisan commission). Proposition 19, which would have legalized marijuana, failed; it’s almost certain had it passed that it would have been thrown out by the courts as being in violation of federal law.
Proposition 22 passed. The state can’t raid transportation funds and other local funds in the future.
I’m disappointed that Proposition 23 (the proposed suspension of the global warming/greenhouse gas measure) failed. California’s attempt to change the laws of thermodynamics is doomed to failure, and a lot of good money will be wasted here.
Overall, Governor-Elect Brown is looking at a Hobson’s choice for his first budget. He can cut funding to his supporters (public employee unions) or he can renege on his promise regarding tax increases. When the state finance office notes the likely $30 billion deficit, it will be interesting to see if he offends his supporters, the voters, or both.