Policy Errors at the Root of California Community College Enrollment Fraud
Policy Errors at the Root of California Community College Enrollment Fraud
California’s community college system continues to struggle with massive enrollment fraud, costing taxpayers millions in improper financial aid payments and raising hurdles to real students trying to complete their programs. California community colleges are especially vulnerable to fraud because of two progressive policy imperatives: tuition-free education and protecting undocumented immigrants. While providing free education without...
By Marc Joffe
Pre‑Shocks on the Fault Line: City of Hayward Needs More Than Cosmetic Fixes to Stay Solvent
Pre‑Shocks on the Fault Line: City of Hayward Needs More Than Cosmetic Fixes to Stay Solvent
Hayward, the Bay Area’s sixth largest city, is facing a self-inflicted financial crisis. By failing to responsibly budget, municipal leaders are failing the 162,000 residents who pay the city’s high taxes and rely on municipal services. At its June 17, 2025, meeting, the Hayward City Council adopted the city’s operating budget for Fiscal Year 2025-26.1...
By Mark Moses
For Isleton (and other small California cities), disincorporation is the answer
For Isleton (and other small California cities), disincorporation is the answer
The small Sacramento Delta city of Isleton has been making news for all the wrong reasons this summer. It is facing a financial crisis and talk of bankruptcy is in the air. But a better option is to cease being a city at all by disincorporating. As the accompanying population chart suggests, Isleton has seen...
By Marc Joffe
The Economic Development Paradigm – City-Created Problems and Taxpayer-Funded Fixes
The Economic Development Paradigm – City-Created Problems and Taxpayer-Funded Fixes
Economic development departments are often celebrated as promoters of prosperity and local employment. Each year, local governments spend tens of billions of dollars on economic development incentives—tax abatements, fee waivers, and direct subsidies—intended to lure private investment. Cities across the nation tout their ability to entice marquee employers, generate buzz with ribbon-cuttings, and implement incentive...
By Mark Moses
John Moorlach: The predictably harmful consequences of Assembly Bill 218
John Moorlach: The predictably harmful consequences of Assembly Bill 218
California’s school districts, counties and cities are fiscally strapped. And the public employee unions just cut their noses off to spite their faces, adding to the consternation. As a member of the California Assembly, Lorena Gonzalez-Fletcher felt that organizations and school districts should be held financially responsible for the bad acts of their employees who...
By John Moorlach
High-speed rail CEO’s new plan is an improvement, but probably is not legal
High-speed rail CEO’s new plan is an improvement, but probably is not legal
Ian Choudri, the California High-Speed Rail Authority’s relatively new CEO has rolled out a new proposal for the bullet train’s future. His newly released supplemental project update report offers more realistic projections and some worthwhile ideas, but they are not consistent with current law. If Choudri wants to reimagine the high-speed rail program, the Authority...
By Marc Joffe
John Moorlach: Don’t let Sacramento hide the truth about new taxes
John Moorlach: Don’t let Sacramento hide the truth about new taxes
Imagine you’re looking at your ballot and you see a measure titled something like: “Better Roads and Schools – See Voter Guide for Details.” Would you take a few minutes to dig into the fine print? Or would you just vote “yes,” assuming it sounds like a good idea? Most people would expect the ballot to say...
By John Moorlach
Is California’s Economy Really Larger Than Japan’s?
Is California’s Economy Really Larger Than Japan’s?
In 2024, California’s Gross Domestic Product surpassed that of Japan. The Golden State’s GDP is now higher than those of all but three countries: the United States, China, and Germany. Governor Newsom’s office was quick to trumpet the statistical development, declaring California “the 4th largest economy in the world.” But is this true in any...
By Marc Joffe
Iowa Senator Slams Wasteful California Rail Transportation Projects
Iowa Senator Slams Wasteful California Rail Transportation Projects
Senator Joni Ernst (R-IA) has issued a report identifying wasteful federally funded construction projects, and California’s rail projects are prominently featured. In addition to High-Speed Rail, Ernst’s “Off the Rails” report correctly singles out three transit projects in Northern California. While Californians may discount criticisms from a Red State Senator, Ernst’s report might ultimately benefit...
By Marc Joffe
California May Never Get High-Speed Rail as Brightline Also Struggles
California May Never Get High-Speed Rail as Brightline Also Struggles
Although Governor Newsom and Rail Authority management are in denial, President Trump’s decision to claw back $4 billion in California high-speed rail funding is likely the coup de grace for the state project. But the state’s other high-speed rail project, Brightline West’s effort to connect Rancho Cucamonga with Las Vegas, also faces headwinds and may...
By Marc Joffe
California Might Stop Making Necessary Debt Payments for 2 Years
California Might Stop Making Necessary Debt Payments for 2 Years
It’s July. The California State Legislature has successfully met the budget submission deadline of June 15, and it was signed by the governor. There was one small fly in the ointment: how to cut $12 billion in spending? All while trying to provide $750 million in tax credits annually to one specific industry: Hollywood. Go...
By John Moorlach
1 in 5 Los Angeles County School Districts Had Major Accounting Moves in 2020
1 in 5 Los Angeles County School Districts Had Major Accounting Moves in 2020
The fiscal year of July 1, 2019, to June 30, 2020, was one of the more memorable for California’s school districts. The COVID-19 pandemic would dramatically impact students in March of 2020. The Golden State had not seen anything like it since the Spanish Flu epidemic in 1918, more than a century prior. This unique...
By John Moorlach