Pasadena Chamber of Commerce Announces Positions on State Propositions

At its August meeting, the Pasadena Chamber of Commerce Board of Directors considered the entire slate of propositions that will appear on the November, 2, 2010, state election ballot. Acting on recommendations from its Legislative and Government Affairs Committee, the Board recommends the following positions on the November initiatives:

Proposition 19 (Legalize Marijuana): No position. While it is understood that passage of Proposition 19 would impact Pasadena’s business community, there was not consensus among the members of the Board to formulate a position. Arguments were made to oppose and to support Proposition 19 and no agreement on an official position by the Chamber Board was reached.   

Proposition 20 (Congressional redistricting by citizen commission): Support. Following the previous Board decision to support the citizen commission on redistricting for state offices, the Board felt strongly that extending responsibility for redistricting for elections to congressional offices should rest with that same commission. 

Proposition 21 (Special license plate surcharge to support state parks): No position. The Board did not feel this significantly impacts our local business community.

Proposition 22 (Bars state from borrowing from or taking local government funding): Support. The Board reiterated its strong position in support of Proposition 22. Members of the Board were very clear that the State needs to balance its budget without raiding local governments, redevelopment or transportation funds to overcome budget deficits.    

Proposition 23 (Suspends implementation of anti-greenhouse gas legislation – AB 32- until there are four consecutive quarters with 5.5% unemployment): Oppose. The Board was in agreement that AB 32 needs to be implemented carefully and that consideration of impacts on the state economy should be taken into account as part of that process. The Board voted to oppose the measure because the 5.5% unemployment standard is unattainable and much of AB 32 is positive and worthy of support. “There was a sense among the Board that environmental legislation is inevitable, though a national program that imposes an equitable and even standard among all the states would be preferable as that would not put California and California Businesses at a competitive disadvantage,” said Chamber CEO Paul Little. “The Chamber Board expressed significant reservations about some aspects of AB 32, especially the cap-and-trade proposals, which would result in a wealth transfer to Northern California at the expense of Southern California and our business community without impact greenhouse gas emissions. The best option is a national standard that impacts each state equally and would really effect a reduction in greenhouse gas emissions in the U.S.” 

Proposition 24 (Ends corporate tax breaks for large companies) Oppose. The Chamber Board felt it is inappropriate to set tax policy by initiative. The Board also felt it is important to support California’s economy at this time and not to increase the cost of doing business, even to a relatively small segment of the business community. 

Proposition 25 (Removes the 2/3 requirement to pass the state budget): Support. After a lengthy discussion, the Board, on a split vote chose to support Proposition 25. The majority of the Board expressed frustration at our state government’s inability to pass budget in a timely manner. The Board was clear that the difficulty in passing a state budget has significant negative impacts on our state and local economy. The inability to pass a budget at the state level hurts our local business community and local governments, especially our school district. “The Board majority supported Proposition 25 because they felt allowing a simple majority to pass the state budget could eliminate the incessant delays and uncertainly that currently pervades the budget process and our state,” said Mr. Little. “It was also felt that reducing the necessary margin to a simple majority will force accountability because the majority that supports the budget will be answerable to the voters for their decisions.”      

Proposition 26 (Raises the margin needed for the state legislature to pass fee increases to 2/3): Support. Coupled with the already in place requirement that a 2/3 majority vote in the legislature is required to raise taxes, the Chamber Board felt this measure would force the state government to live within its means, especially if borrowing or taking of revenues from local governments is prohibited through passage of Proposition 22. The Board felt passage of the proposition would be another step to force fiscal responsibility on California state government. Some fee increases and any new fees imposed by local governments would require a 2/3 vote of the public before they could be implemented. Local fees and charges in place before November 2010 would remain in place.   

Proposition 27 (Eliminate citizen’s redistricting commission): Oppose. Chamber Board previously supported the creation of the commission. Since the commission is not yet in place there is no way to evaluate effectiveness. The Board feels the redistricting commission could be a key component in helping restore confidence in California’s state legislature by helping break the stranglehold each party has on individual seats in the legislature. The Board was also very concerned that the proponents of Prop. 27 are entrenched politicians and those who benefit from the political status quo, which is not serving the needs of California, Californians or our businesses. 

“Clearly, the Pasadena Chamber of Commerce Board of Directors has little confidence in the ability of our state government to effectively run California,” said Mr. Little. “The Board is very concerned that California continues to lose companies, lose employers and lose jobs because our state legislature and governor cannot pass a budget, are unable to agree on measures necessary to enhance the economic climate in California and continue to impose costs and regulations that are a burden to doing business in our state.”   

The Pasadena Chamber of Commerce does not endorse or support individual candidates for office at any level.  

The Pasadena Chamber of Commerce and Civic Association is a professional business support and advocacy organization. Since the earliest days of Pasadena, the Chamber has played a major role in the development of this internationally renowned city. Since 1888, when the organization was founded as the Board of Trade, the Chamber’s primary purpose has been the enhancement of both the business climate and the quality of life in Pasadena and supporting the prosperity of the membership. The Pasadena Chamber of Commerce serves more than 1450 members.