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California Election 2018: Updates and Analysis

California Election 2018: Updates and Analysis

June 1, 2018

GOP now at number 3

Election 2018

March 2, 2018 6:11 pm

Joe Sanberg wants to end poverty in California—and he wants your help

Senior Editor
Joe Sanberg speaking in Los Angeles, photo via Laura Capps
Joe Sanberg speaking in Los Angeles, photo via Laura Capps

Joe Sanberg got the news out of the way, first:

“I’m not running for anything in 2018,” he said by phone, emphasis on 2018.

Sanberg is the 38-year-old Gen-Xer who grew up in Orange County, the son of a single mom who lost her home to foreclosure. He went off to Harvard, made a bunch of money on Wall Street and came home.

Rather than living large and lavishly, Sanberg remains fixated: “I want to end poverty in California,” he said, just as he told me when we first met a few years back.

He is still involved in Aspiration.com, the online banking company with 250,000 customers and growing, and he’s a founding investor in Blue Apron, the company that delivers meal kits of fresh food with recipes marketed to people who are too busy to shop but like to cook a little.

He made a bit of news last month when the Trump administration announced plans to replace the Supplemental Nutrition Assistance Program, otherwise known as food stamps, by sending recipients boxes of canned and processed food.

Trump’s budget director likened the boxes to what Blue Apron sells. Sanberg took umbrage, writing in The Nation that Trump Boxes would be “a bleak, dystopian parody of the social safety net, one that robs human beings of their dignity.”

Sanberg continues to promote California’s version of the earned income tax credit. Ronald Reagan embraced the credit back in the day. So do current legislative allies, including Assembly Budget Committee Chairman Phil Ting, D-San Francisco. The idea is that low-income workers can file a tax return and get checks from the state and Uncle Sam—as much as $6,000.

“It is a huge opportunity to put a lot of money into the pockets of a lot people,” Sanberg said.

He helps fund and organize community events that draw attention and build support to the tax credit. Those people could form the foundation of support for some future campaign.

He had considered running for U.S. Senate, but opted out when state Senate President Pro Kevin de León decided to challenge fellow Democrat Sen. Dianne Feinstein. He calls de León a progressive, adding that Feinstein cast votes “that have contributed to the economy becoming more rigged.”

“I’m only closing the door on running for office in 2018,” he said.

For the 2018 campaign, he has created the political action committee Working Hero, aimed at helping to flip the U.S. House from Republican control, and perhaps playing in the Feinstein-de León race. He also hopes to use the committee to create a social network of working people who share the common goal of ending poverty, or at least making the economy a little more equitable. “There is a basic sense that there are two sets of rules in our society, in our culture and in our economy and people are sick of it,” he said.

The divide is not so much conservative vs progressive, but insiders vs. outsiders—those for whom the economy works and those who get the short end. Sanberg aspires to change. If you’ve got the money, there are worse ways to spend it.

Want to submit a reader reaction? You can find our submission guidelines here. Please contact Dan Morain with any questions, dmorain@calmatters.org, (916) 201.6281.

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Two years from now, California voters may have a chance to touch the third rail of state politics.

A coalition of good-government groups, social justice organizations, affordable housing advocates and teachers unions held press conferences across the state today announcing they had submitted signatures for a measure that would significantly increase property taxes on California businesses and generates tens of billions in revenue for local and state governments. If it qualifies for the 2020 ballot—which it likely will—it would mark the first time in decades that voters would have a chance to change a key provision in Proposition 13, the landmark 1978 ballot measure that placed stringent caps on California property taxes, making them some of the lowest in the country for both residential and commercial property.

What would this initiative actually do? 

California treats commercial and residential property almost identically when it comes to taxes.  In most cases, Prop. 13 allows properties to be reassessed for tax purposes only when they are sold to a new buyer. That means that a homeowner and the Target down the street (assuming Target owns that land) pay taxes on the value of the property when they acquired it, not at its current market value. That’s a huge discount for both homeowners and businesses, especially those who bought property a long time ago in a pricey area.

This initiative would treat California commercial property different than residential property, a concept in the Prop 13 wonk world known as “split roll.” Under the proposal, businesses would have their properties reassessed to market values every three years or less. Nothing would change for residential properties—the most untouchable part of Prop. 13. Commercial properties would still be taxed at 1 percent of their value.

Who’s behind it, and what do they want? 

Backers include good-government groups like the League of Women Voters, social justice groups like the Alliance of Californians for Community Empowerment and some prominent state and local teachers’ unions. Big money has come from Bay Area philanthropic organizations such as the San Francisco Foundation and the Chan-Zuckerberg Initiative (yes, that Zuckerberg). The California Teachers’ Association, one of the most powerful labor unions in the state, has not endorsed the initiative.

More than anything else, proponents want the revenue that would be generated from “split roll.” Prop. 13 has long been criticized for starving local governments by denying them a steady revenue source. Proponents estimate that altering this part of Prop. 13 would provide $11.4 billion annually for state and local governments, with about $4.5 billion going to schools.

Who opposes it, and why? 

The California business community writ large, including organizations like the California Chamber of Commerce and anti-tax groups like the Howard Jarvis Taxpayers Association. They argue that at best, increased property taxes would simply be passed on to consumers, and at worst, businesses would reduce employment or shut their doors entirely and flee to other states. The cost of doing business in California is already high—this would make it even more difficult to squeeze a profit.

This won’t be on the ballot for 2 years—why should I care now? 

Because even though you may not be voting on this until 2020, the political repercussions start now. Changing Prop. 13 is still an uphill fight—one that dissuaded advocates from their initial plan to place the initiative on this fall’s ballot. But the pro-split roll camp can proudly boast that they collected 800,000 signatures, and received a big bankroll to do so. A recent USC Dornsife/Los Angeles Times poll found that 54 percent of Californians said they would support the measure.  The core of Prop. 13—property tax initiatives for homeowners—is obviously a much tougher fight than targeting commercial properties.

The prospect of split roll on the 2020 ballot could also induce legislative action at the Capitol.  Leading gubernatorial candidate Gavin Newsom has voiced lukewarm support for the concept, but has repeatedly stated that Prop. 13 reform should be part of a “broader conversation on tax reform in the state.” With both legislators and special interests eager to avoid a costly battle at the ballot box, the initiative could spur action for a broader compromise well before voters get a chance to weigh in.

Want to submit a reader reaction? You can find our submission guidelines here. Please contact Dan Morain with any questions, dmorain@calmatters.org, (916) 201.6281.

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Election 2018

Aug. 13, 2018 6:45 pm

Meet California’s shortest-serving state senator in more than 100 years

Political Reporter
The newest member of the Legislature is Vanessa Delgado, a Montebello Democrat who will be able to cast critical votes for the next three weeks. And then—poof.
The newest member of the Legislature is Vanessa Delgado, a Montebello Democrat who will be able to cast critical votes for the next three weeks. And then—poof.

In probably the strangest outcome of California’s elections so far this year, a new state senator was sworn in Monday—with just three weeks left to go in the legislative session.

Vanessa Delgado, a Democrat from Montebello, was elected last week to replace former Sen. Tony Mendoza, who resigned in February after an investigation found he likely harassed several young employees.  

But voters had two chances to vote for Delgado this year—once to complete the remainder of Mendoza’s term and again to serve a new four-year term that begins in December—and in an odd twist, they chose her only to fulfill the rest of the current term. That means Delgado will serve as a senator for just three-and-a-half months.

“This is an unexpected result, but it’s what the voters decided,” she said in a brief interview after being sworn in while her parents and 15-year-old daughter looked on.

Delgado, a real estate developer who resigned as Montebello mayor to join the Legislature, will be the shortest-serving state senator in more than a century, according to legislative historian Alex Vassar. (The last time a senator served a shorter term was in 1903, Vassar said, when Orrin Z. Hubbell served 15 weeks before he died.)

Delgado arrived in Sacramento Monday as the Legislature begins the most consequential final three weeks of the legislative year, a time when lobbying is intense and lawmakers face tough decisions on hundreds of bills. In September she’ll return to the district in southeast Los Angeles County and work on constituent issues until Dec. 2. Then—poof—her time as a senator will be done.

The man who hopes to replace Delgado on Dec. 3 was also in Sacramento Monday. Democrat Bob Archuleta, who faces Republican Rita Topalian on the November ballot, mingled with lobbyists and Democratic senators at a campaign fundraiser near the Capitol, just minutes before Delgado began her super-short term.

Want to submit a reader reaction? You can find our submission guidelines here. Please contact Dan Morain with any questions, dmorain@calmatters.org, (916) 201.6281.

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Election 2018

Aug. 3, 2018 10:53 am

Yes, a political action committee exists to legalize ferrets

Senior Editor
Logo of the Ferret PAC, a political action committee which seeks to legalize ferrets.
A political action committee exists to legalize ferrets.

Gavin Newsom has raised more than $22 million for his run for governor. Patrick Wright hopes he notices one donation of $125 from his Ferret PAC.

Wright, who answers his phone “Ferrets Anonymous,” has been on a mission for 25 years to persuade California’s legislators to legalize ferrets as pets, without success. He hopes Newsom will change that if he is elected governor.

Wright told me: “He accepted the money. Sometimes they return it. I got a nice thank you note.”

Then again, the Newsom campaign has not returned Wright’s calls or responded to his pleading tweets. Wright also approached Republican John Cox, Newsom’s opponent, at a campaign stop at Rudfords Diner in San Diego, and asked for his support:

“He looked at me like I had three eyes.”

State scientists and environmentalists oppose legalizing ferrets, believing they will escape and do what their cousins the weasels do: reproduce and hunt prey, including burrowing birds and other native critters. Although Newsom’s spokesman opted against discussing the topic in any detail, Wright should not count on Newsom reversing that stand.

This story originally appeared in WhatMatters, our daily roundup of the most important policy and politics news in California. Subscribe here.

Want to submit a reader reaction? You can find our submission guidelines here. Please contact Dan Morain with any questions, dmorain@calmatters.org, (916) 201.6281.

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