November 4, 2008

When is News not News?

Last night the Democrats increased their membership in both the California State Assembly and Senate.  The increase, however, was not to the magic two-thirds necessary to pass a state budget or tax increase without Republican votes.  The election has not redefined the short-term political dynamics for California governance.  

Tomorrow the Governor will make his proposals for balancing the state budget and an economic stimulus package.  Because the short-term political dynamics have not changed significantly, we anticipate there will be little action on balancing the budget, but there may be action to encourage advancing bond funds to stimulate infrastructure projects.

School districts were very successful in passing parcel taxes and Proposition 39 bonds in this election.  We hope that the state economic stimulus package will provide state funded incentives for school districts to use those bond funds for school construction and repair projects.  

~Dave Walrath

dwalrath@m-w-h.com