Friday, October 29, 2010
The Tax Foundation announced this week that California has the second worst business tax climate of the 50 states, with only New York more hostile to employers. Congratulations, but it gets worse. If a pair of ballot measures pass next week, the Golden State could soon take the tax lead and make even Albany look like Hong Kong.
Proposition 24 would raise $1.3 billion of new taxes on businesses, while Proposition 25 would allow the state legislature to pass budgets and tax increases with a simple majority vote, instead of the current mandated two-thirds supermajority.
The most pernicious is Proposition 25, which is being sold as a good government measure to end the state's annual fiscal follies and pass a budget on time. But what matters more than how a budget passes is what's in it. And the two-thirds rule that has prevailed since the passage of Proposition 13 in 1978 has been the lone restraint on the government unions and their political valets who have spent California to the brink of insolvency. ...
Both propositions are leading in the polls, which suggests that a majority of state residents are already smoking the marijuana whose legalization is also on the Tuesday ballot. If they pass, voters might as well legalize drugs because they're going to need something to ease their pain.