No on Prop. 56, Yes on 57 and 58 Essential for Recovery

(March 2, 2004) How Californians vote today on the statewide March ballot measures will be critical for the future of California’s economic and jobs recovery.

“It’s essential that voters reject Proposition 56 and pass Propositions 57 and 58,” said California Chamber President Allan Zaremberg. “Proposition 56 will just make it easier for legislators to increase taxes on all Californians and hurt the economy, aggravating the fiscal mess that Propositions 57 and 58 are trying to repair.”

The Chamber is leading the campaign opposing Proposition 56, the “Blank Check Initiative.” Proposition 56 makes it easier for the Legislature to increase taxes by eliminating the requirement that any tax be approved by a two-thirds vote. The initiative deceptively wraps its tax provision in popular ideas, such as punishing legislators for a late budget, as a diversion to gain public support.

In the final days before the election, Chamber First Vice Chair Eugene J. Voiland and Zaremberg were active in the push to keep support growing for Propositions 57 and 58, the Governor’s California Recovery Plan.

Voiland joined Governor Arnold Schwarzenegger on a weekend campaign blitz for Proposition 57 and 58.

Zaremberg promoted the merits of and need for Propositions 57 and 58 on talk radio, including a taped interview yesterday on “Talk of the City' on KPCC, the National Public Radio affiliate in Los Angeles.

Proposition 57 is the one-time bond to pay off the state’s accumulated deficit. It is tied to passage of Proposition 58, which requires the state to adopt a balanced budget. Proposition 58 also creates a 'rainy day savings account' to be used for paying the bonds off early and helping the state through any future economic downturns.

The secretary of state is projecting a 43 percent voter turnout — similar to that of many presidential primary years, but not as high as the March 2000 presidential primary, which brought out 54 percent of registered voters.

Chamber Positions
The Chamber recommends the following positions on the March propositions:

• YES on Proposition 55 - A statewide bond for kindergarten-university facilities that is a sound, fiscally responsible investment in our economy and future workforce. www.yeson55.com.
• NO on Proposition 56 - The 'blank check initiative' makes it easier to raise taxes on every single Californian. www.noblankchecks.com.
• YES on Proposition 57 - A one-time bond to pay off the state's accumulated deficit, an essential first step for California's economic recovery, which will help to foster an environment that stimulates job growth. Tied to passage of Proposition 58. www.yes57and58.org.
• YES on Proposition 58 - A balanced budget requirement that will stop the state from spending more than it takes in, which is essential for the future health of California's business climate. www.yes57and58.org.

Links to other articles and information appear on the ballot measures page at www.calchamber.com.

Staff Contact: Sara Lee