The misguided quest for efficient government As the wildfires raged in southern California last month, we witnessed bipartisan support for the reintroduction of The Fix our Forests Act, ostensibly designed to reform forest management. At the same time, the Los Angeles Department of Water and Power announced that it will submit to outside investigations to...
Conservatives often wonder why California’s 13.3 percent top marginal income tax rate has not driven out more of its affluent residents. Indeed, a family earning $10 million annually stands to save over $1 million each year by moving to Texas, Florida, or another state that does not levy an income tax. But many high earners...
Pushing back against the winds of change in Washington, DC, California Governor Newsom reiterated his commitment to the state’s high-speed rail (HSR) boondoggle while tacitly lending support to a new effort to incinerate taxpayer funds: a 54-mile high-speed connector line that would join HSR with Brightline West service planned for the I-15 corridor. Newsom participated...
After a period of municipal financial stability, California local governments are once again facing fiscal distress. A robust system of municipal financial reporting and monitoring can provide early warnings of fiscal trouble and allow policymakers at the state and local level to proactively address them. Join California Policy Center and XBRL US for a half-day conference, Modernizing Municipal Reporting, featuring keynote speaker California...
As Californians head to the polls, voters statewide will be deciding on whether to approve hundreds of millions of dollars in local tax hikes and new government bonds. The problem? Over two dozen cities, counties and school districts are asking for more money, but elected officials in those jurisdictions don’t even know what their financial...
Californians tend to be credit card debt-laden and don’t seem to mind adding more debt to their monthly financial commitments. That may be why they, as voters, do not flinch when Sacramento legislators put bond measures on the ballot. These propositions usually receive enough votes to succeed and permit the state to borrow more money....
The many California agencies that have placed new taxes on the November ballot owe it to their residents and businesses to wean their organizations from reliance on serial tax increases to remain afloat. It’s disconcerting that such a clearly unsustainable strategy has become the go-to solution for so many municipal leaders. The problem is that...
There are several reasons for someone to run for public office. My journey set its own course, thanks to the nature of my previous occupation. As a certified public accountant, I would be asked to serve on nonprofit boards and invariably become the organization’s treasurer. So when I was asked to run for county treasurer,...
A quarter of a century ago, in conservative Orange County, two school bond measures were approved by voters, receiving more than two-thirds of the votes. This was something not seen in more than two decades. As the Orange County treasurer-tax collector at the time, many constituents were asking for my advice on such ballot measures,...
One of the fun components of reviewing annual comprehensive financial reports, which is a very time-consuming “hobby,” is when you see a trend that needs to be complimented. The ranking of Orange County’s 34 cities for the year ending June 30, 2023, was just released. When reviewing the rankings for the past seven years, there...
Of Orange County’s 34 cities in Southern California, the six with the strongest balance sheets maintained their positions in the annual fiscal rankings for the year ending June 30, 2023. However, the other 28 cities were a little more interesting. Overall, it was still a good year, with only one out of five seeing their...
As a Certified Public Accountant and Certified Financial Planner, one consistent piece of advice I would give to my clients was never to cosign on a loan. When doing so, you agree to be responsible for the debt should the original borrower miss a payment or stop paying altogether. It’s awkward. And I’ve seen sincere...