So Who’s Really the ‘Special Interest’ in the Prop 56 Debate?

Friday, February 20, 2004

Page 7

CALIFORNIA COMMENTARY (Column)

So Who’s Really the ‘Special Interest’ in the Prop 56 Debate?

By JON COUPAL

(The writer is an attorney and president of the Howard Jarvis Taxpayers Association.)

The first rule of politics is to tear down your opponent. That might not be fair but, regrettably, it is just a fact of campaigning in modern democracies. When your opponent is a candidate, you conduct “opposition research” to dig up dirt. But with an initiative, it is more difficult to make it personal.

Nonetheless, one way to fight in the initiative wars is to claim that your opposition does not represent “real” Californians but, rather, “special interests” consisting of organizations or businesses with a narrow self-interest agenda.

The proponents of Proposition 56 are making that claim. Proposition 56 would eliminate the two-thirds vote requirement necessary to pass a state-wide tax in California. It is also a direct assault on a key taxpayer protection of Proposition 13 and would make it much easier—far too easy, in fact—to raise taxes. Backers of Proposition 56 argue that their opponents are “special interest” corporations out to rip off “normal” citizens.

It is time to pull the curtain back and look at who the real special interests are in the Proposition 56 debate.

Prop 56 proponents claim to be League of Women Voters, good government groups like the California Budget Project and Californians for Warm Fuzzy Animals. (Just kidding on that last one). But the campaign finance disclosures reveal a startling fact. Public employee unions are the biggest—and almost exclusive—driving force behind Proposition 56.

Indeed, just one contribution—a $2.8 million—was transferred from the state service employees union into the Proposition 56 campaign. Cumulative campaign contribution data as of February 12 show total contributions supporting Proposition 56 are now in excess of $10 million, with more than $6 million coming from the same union.

But they are not the only labor group financing Proposition 56. Other public employee unions are infusing cash into the Yes on 56 campaign including the California Federation of Teachers.

These same unions, in the debates, commercials and literature supporting Proposition 56, try to deflect legitimate criticism of the initiative by highlighting the sources of the financial support for the opposition. The unions cry crocodile tears over the fact that some of California’s largest corporations have contributed money to the No on 56 campaign. However, they conveniently ignore the fact that the largest contributor to either side is a single public employee union whose contributions dwarf any individual corporation’s support against the measure.

Talk about the pot calling the kettle black.

And these same unions ignore the fact that every legitimate taxpayer group in California—large or small—vehemently opposes Proposition 56. From the San Diego Tax Fighters to the Humboldt Taxpayers League, taxpayers throughout California are doing what they can (with not much money) to educate California voters as to what Proposition 56 really does.

They have a tough job.

The proponents have cleverly included provisions in Proposition 56 that many voters would eagerly embrace—such as docking legislator pay for late budgets. Indeed, the whole façade of “budget accountability” is one that most Californians can agree with since our Legislature often resembles a playground rather than an august institution of deliberative policy making.

Yes, the California corporate community opposes Proposition 56. But it does so for the same reason that grassroots taxpayers do. Proposition 56 is about making it easier to raise taxes—anyone’s taxes—whether they are a major corporation, a mom-and-pop small business, a retired couple on a fixed income or a young family just starting out on the California dream.

Raising taxes at this precarious point in the state’s recovering economy would hurt California and her citizens. But it wouldn’t hurt the narrow special interests backing Proposition 56. These are the interests that thrive on higher taxes and bigger government. They would use tax increases to expand both their memberships and their benefits. Quite frankly, they deserve neither.

California voters can send a strong message against the special interests of big public labor in California by voting against Proposition 56. Defeating Prop 56 will preserve the important taxpayer protection of the two-thirds vote currently required by Proposition 13.