California Crossroads

California voters have put the state at a crossroads. Using Robert Frost's "The Road Not Taken" as an analogy. One is a road deeply trodden black from elections past, the other grassy and wanting for wear.

One road will echo the path of Washington the past eighteen months, the other provide the people with protection from reckless spending, higher taxes and continuing failed economic policies that have pushed our state, and nation, down the road of insolvency.

With our gerrymandered districts for State Senate and Assembly there is little chance the composite of the California Legislature will change. It will remain firmly in control of Democratic majorities, who will need just a few defectors from the GOP side to pass any budgets. Not needed will be any defections to pass mountains of legislation that impact businesses, daily life and continue the intrusion of the state into our lives.

Our government is set up with a system of checks and balances, you learned about them in high school, or should have. Unfortunately too many voters, most voters, do not appreciate their role in the checks and balances between the Legislature and the Executive. Having one party with a significant control over the Legislature and the Executive removes safeguards for extreme legislation.

In the primary election yesterday Meg Whitman secured the Republican nomination in a brutal campaign with mostly Steve Poizner. Whitman trounced Poizner but in the campaign he took more than an ounce of flesh. In a critical election, once again the California Republican Party shows no discipline, no cohesion and assists the Democrats with a close primary fight that wounds the winner financially and politically. Whitman having secured the nomination of the minority party must now unite not only the Republican Party but also enough Independent and Conservative Democrats (are there any in California) to upset her opponent. If Poizner truly cared about this election he would start today in congratulating Whitman on the race and work hard for her campaign for November--without his supporters the race is lost.

Whitman's opponent is no surprise. Spending perhaps $100,000 through the primary former Governor Jerry Brown secured the nomination in a landslide. Making no news, merely sitting back and letting the two Republican candidates pound the politics out of each other, Brown's campaign just ran their DVRs and recorded what a fellow Republican said about Brown's opponent. The Democrats kept any serious candidates out of the race allowing no spears to chink Brown's armor.

Jerry Brown is an open book. He will campaign as close to the center as he can get. He need not appeal to the Democratic base because he is the base: he defines liberalism in California as shown by his years in the Governor's mansion, Mayor of Oakland and more recently as Attorney General. His sole campaign strategy will be to appeal to Independents and the right-wing of the Democratic Party. Sound familiar to November 2008? Like then Senator Obama, Brown can leave his principles and ideology off the campaign trail and pick them back up when, if, elected.

Quickly looking down ticket it is a landslide for Democrats: Lt. Governor will pit Abel Maldonado (R) against San Francisco Mayor Gavin Newsome (D). Maldonado has angered many in the GOP with his vote to raise taxes last year; Newsome is Jerry Jr. with his liberal agenda and willingness to ignore the California Constitution for his own political gain and popularity.

Secretary of State Debra Bowen (D) will face unknown Damon Dunn and unless she is caught doing something illegal will cruise to victory, though depending on the illegal act California voters will probably ignore and transgressions and re-elect her anyway.

Similarly Treasurer Bill Lockyer (D) will face Mimi Walters in a race that should mirror the Secretary of State race.

Perhaps showing some competitiveness will be the race for Attorney General between Kamala Harris (D) and Steve Cooley (R). Cooley has a record that can appeal to the middle, but enough to defeat rising star Harris? He may not contain the GOP base, which would be a shame for that base if they do not support him, if not he goes down.

Governor, Lt. Governor, Secretary of State, Treasurer, Attorney General, at a minimum four of the five seats can, and probably will, go Democrat. Facing the "checks" and "balances" of a Democratic Senate and Democratic Assembly.

So the question Californians need to ask is this: Can our state afford having every statewide office plus the Legislature in the control of one party? If you answer "no" then you need to support Meg Whitman for Governor, not just with your vote but with your voice, your money and your relationships. If you answer "yes" then just sit back and wait.

I shall be telling this with a sigh

Somewhere ages and ages hence:

Two roads diverged in a wood, and I—

I took the one less traveled by,

And that has made all the difference.

Excerpt from "The Road Not Taken" by Robert Frost

Will California take the one less traveled by?

DCS06092010

Carly For California

"Only in America can my story be told." So begins Carly Fiorina's brief telling of that story. Yesterday I had the opportunity to hear that story first hand, as well as tell my own story of a mortgage broker trying to help Americans buy homes and manage their mortgages in 2010. Along with about thirty other real estate professionals, most from Orange County, I attended a round(table) lunch in the warehouse of a sign making company. There was no table as we sat in a circle on folding chairs eating box lunches on our laps. It was a perfect setting to discuss government regulations, government wasteful spending, the need to tighten belts in Washington as we have done in our industry and to listen to someone experienced in managing multi-billion dollar budgets and creating efficiencies in service and spending.

As I write this I realize the irony of a bunch of people in real estate coming together to air complaints and problems in the industry, many of the problems the result of solutions provided via government legislation. The most basic problem of course being the industry itself from the mid-2000's through 2007 as a housing boom was fed and price bubbles created and expanded. Almost every industry represented in the room, real estate agents, lenders, attorneys, escrow companies, appraisers, also had representatives guilty of bad ethics, bad business and bad greed that fed and fed the boom and bubble.

Those who were in the room however are the survivors of the recent market meltdowns, and have survived previous market downturns. Listening and looking around the room my guess is that the average experience in the industry was over fifteen years. Still in the business, the group is working hard for their individual businesses and clients to continue to help Americans fulfill the American Dream of homeownership. We were there to relay our stories of how our industries were being impacted in the current market. In Carly Fiorina, candiate for U.S. Senate, we found an active listener.

She attended Stanford University working her way through as a Kelly Girl, for younger readers that means she was an office temp. She worked in a beauty parlor helping with phones and the books. Upon getting a degree in Medieval History "I was unemployable, so I went to law school." Moving south to UCLA for law school Fiorina dropped out after one year--the law was not for her. She took a job as a receptionist/secretary/girl Friday for a small company known at the time as Marcus and Millichap. While there she began to learn about business and how things worked in the private sector.

Cutting her story short Fiorina said, "after teaching English in Italy for a while, getting an MBA, I became as a woman the CEO of a company worth $80 billion when I left. Now I am running for the United States Senate. Only in America is this story possible and able to be told."

Fiorina told us that she understands that most good solutions to a problem are known by those closest to the problem, and the politicians and bureaucracies of the Federal government in Washington are far removed from any problem. "Their cure is often worse than the disease." Something else Fiorina knows about having gone through chemotherapy and losing all her hair in a battle with breast cancer last year.

Regarding government waste and fraud Fiorina told of being assigned to manage a department and to cut expenses. She started with the bills being paid and quickly found problem after problem. "A billion dollar department was wasting over $100 million in bad billing. The bigger the number the bigger the waste." She knows that a billion dollars of federal money cannot be fully accounted for, it is too much and as a result millions, tens of millions, hundreds of millions are lost to fraud and waste. Fiorina cited that fifty percent of government issued credit card bills contain personal and fraudulent spending--and there is little to nothing being done.

"Grow the economy," she said holding up a finger, "and cut spending" as she thrust up the second finger. "Our deficit is growing and we are trillions of dollars in debt. The solution to the problem is not to spend more money. The solution is to grow the economy and stop spending." Fiorina recognizes that the government cannot create jobs without taking money from working Americans, which costs jobs in the private sector.

Listening to Carly Fiorina speak about fiscal policy, watching her as she listened to small business owners and independent contractors detail their difficulties in helping families purchase or sell homes, hearing the questions she asks and comments she interjects, I have little doubt that Fiorina will be a capable Senator representing the people of California.

Facing off in the Republican Primary with Fiorina is Tom Campbell. Campbell has had a strong political career and made a name for himself as a strong fiscal conservative and fighting wasteful spending and expansion of government. Campbell recently dropped out of the race for Governor because the other two Republicans in that race, Meg Whitman and Steve Poizner, are prepped for multi-million dollar campaigns using mostly their own money--the race is too rich for Campbell. Running against Fiorina for the Republican nomination, Campbell figures he would rather take on one wealthy opponent instead of two.

I like the career Tom Campbell has put together, considered a moderate Republican due to his position on social issues (he voted no on Prop 8) and conservative on fiscal and economic matters. I was sorry to see him drop out of the Governor's race as it would be my preference for him to fill that position. Against Fiorina in the Senate race however I am not as sure. Given the funding and usual support that Senator Boxer will get in the coming election, I feel the best chance to defeat her will be someone with more star power and funding than Campbell may bring to the table.

Fiorina's opponent, should she win the Republican Primary, is Senator Barbara Boxer. Boxer has been in Washington as a member of Congress since 1982 and joined the Senate in 1992. She will have a deep warchest built up over decades of service to her constituents in labor and government. She is entrenched in herself as a Senator and the arrogance that often goes with it. Boxer is as far removed from Californians as I am from the Senate Cloakroom. She is part of the problem in Washington, particularly with the current majority, of not listening to the people she represents, of not worrying about future consequences of current spending and being more concerned with being a Senator and than being a representative of the people of California.

Fiorina, or Campbell, has a pretty big wall to climb running against an incumbent Democrat in California, a state that has overwhelming re-elected Senators Boxer and Feinstein in their past re-election bids, a state that overwhelming has voted Democrat for President in the past five elections. But they have a chance. Boxer's approval ratings are falling and polling is showing she is vulnerable to an upset. As the race heats up the Republican nominee can expect support from across the country if polling numbers continue to show a chance.

I support Carly Fiorina in her race for the Republican Primary as I believe in her experience and intellect. I believe she can make a difference in Washington. And I believe she can defeat Barbara Boxer in November. I hope you join me in this support.

http://www.carlyforca.com/



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Turn On The Cameras, Open The Doors

It is increasingly clear that Joe Wilson spoke some truth, not with much decorum but nonetheless his outburst as President Obama addressed a joint session of Congress is showing to be not far off the mark. Of course he could have been addressing Senate Majority Leader Harry Reid or House Speaker Nancy Pelosi. This Gang of Three, Obama, Reid and Pelosi, are trampling all over their prior statements and pledges to the American people as they conspire to complete a health care reform bill.

Our nation is a republic, it is a nation governed by laws not by (wo)men. While the laws are crafted by elected representatives, signed by elected Executives and presided over by judges both elected and appointed by our elected representatives, it is the law that rules not those who create and enforce them. Today our republic is in transition to being a nation ruled not by law but by men, and one tough woman. And if they are successful our future will be changed, not only because of the changes in health care delivery and coverage for all future generations, but because of the precedent they will have set in ruling our country. Not governing but ruling.

As you have probably been aware both the House and Senate have now passed health care reform bills. Both were passed with the minimum of votes. In the House of Representatives one Republican, who is in office because he replaced a Democratic Representative arrested after $90,000 was found in his freezer and despite efforts by his party to save him ultimately gave up his seat in a district that is as deep blue with registered Democrats as you will find in America. In the Senate the bill passed despite never leaving Reid's office for a reading or public debate. Whoever on the Democrat side of the aisle spoke out against the bill and what may have been in it got a call from Reid's office and the White House and invited to a sit down. Most left with something nice for their state to buy their votes. Nebraska got their Medicaid deficits created by the bill covered and guaranteed by the Federal Treasury, Louisiana got a cap on Medicare premium increases for all recipients, current and future, Florida got guarantees that Medicare reimbursements for providers would not get cut and in some instances where providers in other states get cuts Floridian health care providers would get Medicare payment bumps. A vote in the middle of the night and it was "Here you go Mr. President a bill."

Throughout the debates Obama stayed out of the fray, publicly saying it was not his job to craft the legislation and to let the process work. Despite his constant rhetoric on the campaign trail about inclusive government, reaching across the aisle, open debate for Americans to see and experience, he said nothing of Reid's behind closed door meetings, nor members of his Administration arm-twisting Democrats to back any bill presented. In the end several closed door meetings with just the President and Democrats, if your registration says "GOP" you're not welcome, resulted in a bill.

And now we are on the precipice of, as defined by Obama and Reid and Pelosi, the most significant legislation to change America since Civil Rights legislation in the 1960s. Crafted behind closed doors. With legislative bribes used to gain passage. That an overwhelming majority of Americans oppose.

At this point the legislative process calls for a reconciliation of the two bills passed by the Senate and the House so one bill can be presented for passage by both. A Conference Committee is appointed by the leadership of the Senate and House, typically bi-partisan with membership determined by party representation in each chamber. Thus a Health Care Reform Conference Committee would consist of Senators and Representatives with a majority of each being Democrats; as is their right they have the majority in both houses as a result of the elections in 2008. This committee with argue and debate and trade and eventually should reach agreement and produce a bill--often not resembling at all the original bills presented. This bill is then voted up or down by both chambers and then presented to the President for signature and passage into law.

Small problem. The gaps between the two bills are so great that everyone appears dissatisfied. As evident as it was before that the purpose appears not to reform health care so much as to give the President a huge legislative victory before his first year in office is over, it is becoming more evident now. It is not about listening to the American people, or the members of their own party, for Obama, Reid and Pelosi; it is about passing any bill to say they passed monumental legislation reforming health care. Consequences be damned.

As evidence of this consider the plan being worked on by the Gang of Three to obviate the Conference Committee and instead work over members of their party behind closed doors and control the reconciliation process. Instead of having an open Conference Committee with representatives of both chambers of the legislature and both political parties, Obama, Reid and Pelosi are planning to shut out the opposition party and the American people and craft a new bill to gain passage. This is not about health care reform, this is about personal victory for narcissists ruling our country.

Promises of transparency from Pelosi in her campaign to gain Democratic majority in the House, promises of open leadership from Reid in his support of Obama's Presidential campaign, speech after speech by Obama about new day, and change, and transparency, and no more back room deals or governance by lobbyists. Rhetoric or deceit? You decide. In the meantime the representative elected by the American people are aiding and abetting their take-over of the government and disregard for the rules and laws which govern us. And complicit in the take-over is the majority of the American people who have elected those representatives. Will they continue their complicity in 2010? Will it be too late? Obama, Reid and Pelosi are betting it will be too late, that they can get to their fellow Democrats to pass their version, the Gang of Three version, of health care reform before the American people get to them in the ballot box in 2010.

I am not a Democrat, that should be pretty obvious by now. My Congressional Representative, Laura Richardson is, my two Senators, Diane Feinstein and Barbara Boxer, are, the majority of my neighbors and fellow Californians are Democrats or historically vote that way. Will those neighbors and Californians that Richardson, Boxer, Feinstein and other Democrats in California depend on for votes and support contact their elected representatives and demand openness? Demand they tell Reid and Pelosi that the American people deserve and demand open debate on reconciliation of the health care bill that will not only change their lives but also their children and grandchildren? I am hopeful but doubtful.

In the end I'm just a guy in Long Beach, California with a laptop a teeny piece of space on the internet and lots of opinions. Opinions that are not too popular for many in my region but mine nonetheless. Hopefully however the American people who voted for Hope and Change and a new attitude in Washington will follow the lead of C-Span Chairman and CEO Brian Lamb who wrote our Congressional leaders asking that cameras be allowed to cover health care reconciliation. Hopefully other guys, and gals, across Long Beach, California and the United States with laptops and pencils and phones will contact their elected representatives and demand the same thing. Don't hide from us, don't forever change our country behind closed doors.

One can hope.

Here again is link to C-Span letter

UPDATE 3:00 PM 1/6/10: Here is collection of video showing then Senator Obama promising 8 times to have televised health care debates and transparency. Click here.