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Wednesday, May 6, 2009

California Math: Double Spending = Cutting Funding

After writing my post earlier this week on the inability of school districts to remove bad teachers I began to think of the lack of control our local school districts really have. It seems the closer one is to the student the less control there is in the education and the decisions relating to it. The control and direction of funds is upside in my view. The on-site administrator, the principal, has almost no budget control; the local school superintendent is pushing money into boxes established by the State Department of Education; and the State funding and spending is also dependent on the Federal Department of Education. The person closest to the student has the least say in what programs may be needed at a school and what programs are not needed.

This has evolved because of several factors, primarily because our education system has evolved into one size fits all. This results in mandates and programs that must be implemented for students in rural Turlock as for urban San Francisco. Not trusting school districts to properly care for the children in their own communities, the state mandates how funds are to be spent restricting the maneuverability local school boards and superintendents need to fit their students in their district.

In the background of this is of course the budget, which is actually in the foreground. I am having a very hard time understanding how our State Legislature has passed budgets that have doubled spending from Sacramento in the past ten years, yet my local district is cutting programs that existed ten years ago. How bad is your government when it doubles in size across the state in a decade, but the programs available to your children ten years ago have to be eliminated because of lack of funding from the state? It speaks to the corrupt culture that is so pervasive in our election and budget process that those public employees' organizations who have donated so many millions across the past decade to elect the majority of our legislators have received raises and increased benefits in budget after budget, yet at our local school we are raising money to retain a computer lab instructor.

I will beat this drum again, and again, and probably several more times, the California voter has no idea what he or she is voting for when punching a ballot. Every single summer we go through the same budget crisis and some time in July or August or even September a few Republicans will cross the line and vote for another budget that increases spending in California--but not in the classrooms. Raises will be given to prison guards, state sanitation workers will be given higher retirement benefits and a guaranteed no lay off clause, Assembly aides will be promoted and paid well into six figures, and no voter will bat an eye to vote for the same person in the next election. All of this abetted by first Gray Davis and now Arnold Schwarzenegger.

In Long Beach the district has had to cut the science camp trip for fifth graders, a rite of passage in the culture of the district, as I said our campus is raising $50,000 to retain a full time computer lab teacher, other friends say they are losing Spanish instructors, or physical education (we already lost ours), or what music or art instruction they may have. Program after program is being cut from a budget that is getting less and less funding from Sacramento despite the doubling of the budget in the past ten years.

The new math in California: double spending while cutting funding. And we can expect it to continue because the public employee organizations will poor millions more into the coffers of our elected officials, primarily Democrats--or I should say exclusively--who will pass more budget items favoring the employees over the citizens, favoring their salaries and job security over children's education.

Our system is truly broken and needs to be fixed. For education my proposal is to release the mandated spending from the state and give funds to the districts. Then let the districts determine how best to put the funds into the classroom. Release control of education back to the local community. If a district is failing and it is evident the funds are not being spent in a way that is educating the children of its community then the State can step in with a program to rehabilitate the district. But do not make every district suffer because of the few who may mismanage their funds. We already have classes that tend to teach to the lowest common denominator, let's not have funding on the same principle. If Turlock feels more funding is needed in language arts and less in music let them spend their funds to support this, if Capistrano wants higher math scores and less funding for language arts let them spend their money how that community sees best for its students and its needs.

With the placing of Propositions 1A-F on the ballot the Governor and Legislature have shown the California people they have no clue how broken the system is, what is very scary is they have shown the people they have no clue how to fix the system either. The only way to force it to be fixed is to break it further--and the start to the fix must be returning control of funds for education to the local school boards, to the communities that paid the taxes should go the control on how they are spent. Take control away from the special interests in Sacramento and bring it back to parents and communities.

Monday, May 4, 2009

Why Are Millions of Dollars Spent to Protect Bad Teachers?


On Sunday (5/3/09) The Los Angeles Times had a major front page article by Jason Song detailing the job security teachers have in California once they obtain tenured status. This article is a must read for every adult in the state.

For parents the article pulls back the curtain showing some of the bureaucracy which controls your children six or seven hours a day, one hundred eighty days a year for thirteen years. It reveals the lack of control over the teachers by you a parent, and by your representatives elected to your local school board. Most basically it shows once again how important is your vote in school board elections to ensure independent members of your community are elected to represent you, the parent, and thwart any efforts by your local teachers union or the state organization to control your school district.

For elected school board members it is a wake up call to get stronger rules for dismissal in their contracts with their teachers' unions. Reading the Times article detailing case after case of incompetent, or worse borderline sexual predator, teachers retaining their jobs for years while districts go through the process to dismiss them one wonders why we even have school boards at all. If an employer cannot take measures to ensure the safety, physical and emotional, of its charges from its employees then the system is broken. School boards across the state need to restructure their contracts to eliminate most of the process needed to dismiss teachers currently being protected by their unions and they processes installed in their collective bargaining contracts.

For members of our State Legislature this article is a wake up call that the gig is up. The relationship between the teachers' unions across the state and by the huge statewide umbrella to which most of the locals tithe, the vaunted California Teachers' Association, and funds funnelled from teachers' paychecks to the Democratic Party, its candidates and propositions it supports is evident. And thanks to the Los Angeles Times article, many parents will begin to see the correlation to the candidates supported by the unions and the inept teacher who may be teaching their child. Voters will begin to connect the dots between the over-protective laws handcuffing their district administration preventing them from firing the teacher making lewd and lascivious comments and actions to their daughter. As part of the upcoming process to break down and untangle the relationships and spending mandates that have led our state to a financial abyss, pressure should also be put on the legislature to change the laws restricting the ability of bad teachers to be dismissed.

As for teachers, this article begins to crack the veneer they have ably constructed that has held them as a protected class above criticism because of the noble profession in which they engage. The connection between their unions and the buying of officials enacting laws protecting bad teachers at the expense of our children is fully exposed. Millions and millions of teachers' salaries have been collected through automatic payroll deductions and syphoned to candidates and propositions without any real input for the majority of teachers. And the results are disastrous for those in the profession as evidenced by the budget cuts throughout school districts throughout the state. Propped up by millions of dollars every election the large majority in Sacramento has spent, spent and then spent some more until we arrived at our current budget crisis. Every school district budget cut can be laid at the feet of the number one contributor to those currently in office in Sacramento: teachers' unions. Spending millions to elect anyone with (D) next to their name. Los Angeles Unified is looking at laying off perhaps a thousand teachers or more--whose fault is that? The same people whose elections to office in Sacramento were paid for by those teachers being laid off.

The average teacher when asked about their political contributions or their local union politics typically replies, "I don't get involved in that." And they don't, they just blindly tithe to the apparatus that has screwed them with budget cuts and allows bad teachers to be in the classroom next to theirs. The system is broken, and it was broken by those who are supposed to look after the best interest of all teachers and work with our communities to instruct our children. It was broken by organized labor in conjunction with their political allies who cared more about the power of the whole instead of the good of the community.

Our teachers' unions have way to much power in our state. Voters need to stand up and take back their school boards and insist their elected officials protect their children first and teachers' second. There is no excuse for a pedophile or totally incompetent teacher standing in front of your child for six hours a day--and s/he will remain there as long as the CTA and its locals retain the control they have on our state political systems.

Should a local school board hold firm in negotiations at contract time to make it easier to dismiss those teachers who clearly need dismissal you can count on the local union to spend significant amounts of funds in a public relations campaign vilifying the school board. They will spend the funds of the many, many, many quality educators who are their members to protect the few who deserve no such protection. Vocal members of the local will campaign on campuses and at meetings pulling out the "woe are we the teachers" argument, and many of those voices will be from some of those being protected.

As a parent of children in the Long Beach Unified School District I am willing to undergo some short term pain for long term gain. If the LBUSD board draws a firm line in negotiations demanding easier resolution to dismissals that save time and needed funds for the district and more quickly eliminates bad teachers I will support them. If the Teachers Association of Long Beach, the local union, makes this a strike point and threaten to walk out over the issue I say: let them. Let the union take the position of closing down the district to spare the jobs of a few teachers. Let them show the public, their members and the students they would rather every student suffer than allow a few bad teachers be eliminated from the classrooms.


It is time for parents and the voters to take back control of the education of our children and wrest as much of that control away from Sacramento where control has been usurped by the CTA. Contact your local school board representative and tell him or her: I support you, change this insidious process.

Wednesday, April 29, 2009

Whither the Republican Party?

I was born into a multi-generational Republican family, on both sides. My mother's parents were active in the party in Sacramento for decades. My father's grandfather upon hearing his great grandson, my brother, born in December 1960 just one month after JFK's election said, "what the hell did you name him that for?" when told his name was Michael Kennedy Smith. Upon being told the "Kennedy" was the maiden name of the baby's mother Pa, as he was known, muttered, "I guess that's okay then." Ask my brother and sister what bumper sticker adorned the back left spot on the bumper of our station wagon from 1968 until well into the 1970's and they would tell you "Bellmon" who was governor of Oklahoma. That same year, 1968, our mother was a delegate from the State of Oklahoma to the Republican National Convention in Miami; there to cast her vote for Richard Millhouse Nixon and Spiro T. Agnew. Yes I was reared in the shadow of the elephant. And I'm pissed to see where the once Grand Old Party lies today.

Much is being made of whether the Grand Old Party is dying, and I say to that: I do not think it is dying I think it has been killed. The lethal instrument was the GOP membership in Congress from 2000 through 2008--during President Bush's administration. The lethal means was fiscal imprudence and failure to follow one of the principles listed on the GOP.com website, "I BELIEVE government must practice fiscal responsibility and allow individuals to keep more of the money they earn." Not only did the Republican majority achieved in 2002 in both houses ignore and abuse the first part of this statement, they ignored and abused their party's leader in the White House. Sure they stood by President Bush on national security matters, and he aided them by signing budgets that increased the size of the Federal Government and spending, but they abandoned him on his efforts to reform Social Security allowing the Democrats to capture the dialogue with the public and never standing up to them. When that occured the Republicans lost control of any positive messages on any issue. They rolled over and the Democrats and press took advantage. The GOP was mortally wounded.

Many registered Republicans like myself started telling the party when they would call for donations or send "how are we doing polls" to quit spending like Democrats and to show some fiscal responsibility--in essence those we helped elect needed to follow their own principles. Once the Republican members of Congress and the Republican President began growing the budget and earmarks and reckless spending they lost countless moderate Republicans across the country. How could someone who believes in limited government, fiscal constraint and less taxes support a politician campaigning on those issues while voting different? Confidence was lost, the message was lost and the Party was truly an elephant; plodding through the new media and it use in campaigns and organizing at the grass roots. Democrats were able to adequately frame the party on strictly social issues: abortion, gay rights, minority rights and women's rights. While poll after poll showed that only a small percentage of voters agreed with the extreme liberal positions on these issues (limited restraint on abortions, gay marriage Constitutional Amendment, maintain affirmative action quotas) the whole Republican Party was framed and presented as supporting the extreme conservative positions on these issues (no abortion under any circumstances, no gay marriage or rights, not only no affirmative action but no consideration to be given based on race/gender). Coupled with the repeating of the lie that Bush's tax cuts only benefited the wealthy and the Repbulican Party let itself be presented by the opposition.

Those who know me in my Long Beach community would often be surprised when they learned I am a registered Republican--not a real common thing in Long Beach anyway--like they expected me to have fangs, horns and a tail. That was the result of consistent demonizing of my party, and therefore my affiliation. Many moderate Republicans grew weary of the association, grew weary of the lack of adherence to basic principles of the Republican Party and left, becoming Independents or in many, many cases registering as Democrats. The middle ground where over 60% of American voters reside politically, was lost. With it went the hopes of the Republican's future.

Here in California it is even worse for the Republicans than it is nationally. In California there are millions of voters who, if they were to ably listen, agree with many of the principles of the Republican Party when it comes to national security, the economy, fiscal responsibility, taxes and the purpose of government. They become lost when the only voices being heard from Republicans are about social issues to which they disagree. Take out the extreme positions of the far right on gay rights and abortion and it is my belief that the Republicans could take the majority in the State of California within two elections--provided their is cohesive organization and strict adherence to a couple of simple principles: lower taxes, shrink the size of the state government. But unfortunately it is easy to defeat the party because those who control it do take the extreme position on social issues thereby minimizing the chances of anyone who is moderate on those issues to receive the needed support to win.

I feel I am a very typical Republican in California, or potential Republican. I am for law and order and abiding by the rules. When in doubt read the Constitution. The lowest tier of government should have the most control on exactly how funds should be spent, no specific mandates from the Federal Government or the State Government---give the money to the local school district and let them spend it how that district needs it spent. The needs in Fresno are not the same as the needs in San Juan Capistrano so do not mandate the same programs. Lower taxes create more jobs and economic growth, it has been proven again, and again, and again. Get rid of the overwhelming influence of the public employees unions on our elections. They dictate who wins primaries and elections and therefore they dictate policy and laws that benefit them and hurt the general public. Protect me and my family. Secure the borders, quit wasting billions on anti- this and pro-that feel good programs that have solved no problems such as gangs, graffitti, truancy, teen pregnancy and other issues that create more waste of public safety, health care and education funds to deal with these costly segments of our communities.

Fiscal prudence, public safety, limited government concentrated at the local level where those who know best what is needed are able to direct resources more efficiently. Individuals and communities need to be responsible and accountable, quit molly-coddling those who are not.
Sounds good to many people.

At the same time I am for abortion in many circumstances, but not all. I am for gay marriage; if the state is providing a license, and it is called a "marriage license" then it should be available to hetero- and homo-sexual couples alike. These two issues alone are minor on most people's political decision making process--but unfortunately they are now the litmus test for support from those with the funding and the organizations. Essentially in California a bright young person with views similar to mine, and the majority of Californians according to polls, cannot get elected.

The leadership of the Republican Party, both in the state and nationally, better be pretty darned scared of the future of that which they lead. Rich Galen, a national political writer and commentator, who worked with Newt Gingrich and other high profile Republicans through the years, a staunch Republican and with a huge national following on his thrice-weekly blog Mullings has opined that now may be the time for a third party. And he may be right. If properly formed and organized it certainly tempts me. The current third, fourth, fifth parties are not appealing to moderates like myself due to their history and the looniness of many of their candidates.

How does the GOP recapture registered voters? How does it recapture votes and win elections? Simple. Get on the street. Hold regular face-to-face meetings with voters, and not white voters in Orange County, but with black pastors, hispanic business owners, local community leaders, college and high school students. Sit down with them and show them the principles of the Republican Party. Explain to them the loss of the message, the need to rebuild the party, the desire to work to return hard earned dollars and paid taxes to their pocket and their communities; not through government stimulus packages which are wasteful and inefficient, not through one time programs that have too many restrictions and rules, but in funding of local government with broad guidelines: educate, protect, build.

Unless the Republican Party, and especially those elected under the banner of the elephant, begin acting like Republicans on major issues of defense, public safety, education, fiscal responsibility and the economy no amount of outreach will recapture the passion of those like me. But with demonstrated leadership and consistent votes by those elected it becomes easier to point to them and their commitment when giving a personal message.

Whither the Republican Party? Yes, whithered indeed, but it is possible to have a bright future.


Monday, April 20, 2009

Political Calculus

There are those who follow politics the way others follow baseball and box scores, there are hits, runs and errors. These days in the City of Long Beach, and the State of California, one needs not a box score but a calendar. For any politician, or anyone thinking of becoming a politician in Long Beach, a calendar is the most important tool in the box; well besides financing from unions.

Term limits are the root cause of our state's political and budgetary problems. While term limits in the city create problems locally, even our city budget issues can be traced directly to the term limits for elected officials in Sacramento. Enacted in 1990 by voters, primarily to get then Speaker Willie Brown out of office, members of the State Assembly are limited to three terms of two years each and members of the State Senate are limited to two terms of four years each.

Further compounding the problems caused by term limits on the state level has been the drawing of legislative districts that create "safe seats." In the last election voters passed one of the few worthwhile propositions we have seen in the past two decades, Proposition 11 took the ability to redraw legislative districts out of the hands of the legislature and gave the power to a panel appointed by a commission of auditors. If the Prop 11 re-districting commission works as voters hope then after the 2010 census our state's legislative districts will be redrawn to more accurately reflect population and geographic boundaries than political party boundaries. However, big however, the changes will not be in effect until the 2012 state elections at the earliest.

Virtually every seat in the California Assembly and California Senate is a "safe seat". Our Bixby Knolls abode sits in the 55th Assembly District and the 27 Senate District, it does not really matter who the elected representatives are because they have been and will be Democrats due to the districts each being over 65% registered Democrat. So while we have term limits for those currently in office, what we have is a revolving door of the same person in a different body always in the Assembly and the Legislature.

Everyone knows when a seat will become available, and everyone knows who will get elected. In all but 3 of the Assembly and Senate seats whoever has a (D) next to their name on the ballot in November will win the election. In the other seats the winner of the Republican primary will win the election. So if you live in the Bixby Knolls area your Assembly representative, Wayne Furutani who was elected in a special election in 2008 will be leaving office in 2016 (finish his special election term then finish his two terms under term limits).

Of greater interest locally is when will Bonnie Lowenthal be termed out of office following her election to the State Assembly in 2008? Following her re-election in 2010 (and with the safe districts how can she not?) Lowenthal is termed out of her seat. And already individuals are lining up to take a run at her seat which overlaps parts of the both the Long Beach 1st City Council District and the Long Beach 7th City Council District. If my map reading and knowledge of home addresses is correct, this confluence of term limits and current district boundaries presents a 2014 showdown between two very bright up and comers in the Democratic Party.

Earlier this month Robert Garcia ran a perfect campaign on the Obama blueprint and won a special election for the Long Beach 1st Council District (filling the seat vacated by Bonnie Lowenthal). Garcia was attacked by the local Democratic Party because he is a "newcomer" to the party, but make no mistake Garcia's politics are very aligned with the Democratic majority in the region. Everything about Garcia makes him star material for the Democrats, born in South America, immigrating with his parents as a young child, received amnesty under President Reagan, left the Republican Party, Hispanic, homosexual, working on a PhD, incredibly bright and articulate and handsome to boot; Garcia is a great political package and he has a political future beyond the Long Beach city council. Garcia will be finishing his first term, presuming he wins his re-election in 2010, which he will by landslide, when Lowenthal is termed out of office in 2014.

Further uptown Long Beach City Council 7th District Representative Tonia Reyes Uranga is being termed out of office in 2010 and her husband Roberto Uranga was a stated and obvious candidate to keep this seat under family control. Uh, not so fast. You see the 1st District is not the only geographic area of the state with young, intelligent and political savvy individuals. A few days after Garcia won the election for the 1st District, James Johnson announced his candidacy for the 7th Council Seat in 2010.

Johnson gets a complete breakdown of his experience in the City of Long Beach on the Long Beach Report, while I am generally not a huge fan of the site's primary contributor his history on Johnson taken in context is pretty thorough. Johnson is very intelligent and also a rising star in the Democratic Party. He apparently is also good at math as if he wins the 7th District Council seat he will be ending his first term when....Bonnie Lowenthal is termed out of office.

Now there is a chance that the 54th Assembly District Boundaries could be redrawn before the 2014 election, but with the natural border of the 710 Freeway on the western edge of part of the district any redrawing will probably include the home bases of both Garcia and Johnson. Looking beyond the Assmebly both are in the same California State Senate District as well as the same Congressional District.

Because of term limits both these intelligent young men know what is avaiable politically in 2014, know their best chance of winning the prize of the Assembly is to have experience on the City Council to help boost their fund raising and friend making, and know that even with re-districting their district will not change much demographically--it will still be solidly Democrat. Further, both being bright they know that incumbents within the party are extremely difficult to beat so they must win in 2014 to continue their political futures.

So sports fans, grab some popcorn and a lawn chair. The race for the 7th District Council Seat in Long Beach is a race for much more than just that seat. Due to political calculus and term limits it is also a race to set up opponents in 2014 between two of our city's brightest young men with equally bright political futures...potentially.

Friday, April 17, 2009

Oooohh A Bell Curve AND A Graph!
















Every week I post on my mortgage website a Weekly Rate and Market Update. It is a copy of an email I send to over six hundred clients, potential home owners and real estate professionals. If you are not on my the email list please check it out.


In the update I give some economic analysis, some predictions for the near term regarding rates and discuss the mortgage and real estate markets. This week I even have the nifty Bell Curve! (I am very excited about this!).


As well every Friday I post the rates for 30 year fixed rate conforming, hi-balance conforming and FHA programs for those purchasing property. By always using the Friday rate I can track the long term trends of the mortgage rates and compare apples to apples through the year.


Long time readers have learned how mortgage rates are impacted by inflation, what APR really means, and have seen my predictions for this year come true in regards to stabilizing home prices and that our financial system is awash in cash.


Politics and economics are intertwined like peanut butter and jelly, which is why I have a combined economics-political studies degree. I love writing about both and between this site and my blog on my professional DennisCSmith.com site I am able to do both.