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'Blameless' Davis says fees raise [them]selves
Los Angeles Daily News ^ | 06-09-2003 | Chris Weinkopf

Posted on 06/10/2003 6:30:49 AM PDT by boris

Gov. Gray Davis chooses his words carefully.

When he came to the Daily News a few weeks ago to sell his new budget plan, he offhandedly declared, "I propose that we reinstate the vehicle..." before catching and correcting himself.

If he'd continued as he started, the next words out of his mouth would have been "license fee," as his budget includes a provision to triple the annual tax Californians pay on each car they lease or own.

But under a handy, tortured legal opinion produced by lawyers for Davis and state Controller Steve Westly, no one in Sacramento actually has to accept responsibility for hiking the vehicle license fee. The official line is that whenever the state is sufficiently short on funds, the tax goes up all on its own.

So instead of taking responsibility for raising the regressive car tax in the midst of a recession, Davis shifted gears and decreed: "I'm not proposing" any such thing, and he went on to offer a history of the onerous "fee" that looks like it's going up soon - and never coming back down.

When the Legislature began cutting the fee in 1998, the governor explained, it agreed that the state would reimburse local governments for revenues they would lose as a result of the reduction. But the Legislature intended that if the state were ever unable to make those payments, the tax could be restored to earlier, higher levels.

"Our budget assumes," Davis said, that in due time, the funds won't be there to make the repayments, and "the fees will start to kick in" - all by themselves, of course.

It's a done deal, and neither Davis and Westly nor the beleaguered taxpayers of California can do a thing to stop it.

But how about the federal government?

In the weeks since Davis visited our headquarters, Congress has approved President George W. Bush's tax plan, which includes $20 billion in cold, hard cash for the nation's financially strapped state governments.

For California, the recently signed law means $2.4 billion in new revenue that wasn't included in Davis' budget revision in May. And with an extra couple billion smackeroos on hand, presumably the state won't have such a hard time offsetting those vehicle-license-fee reductions of days long past (1998).

In fact, under a strict interpretation of Davis and Westly's legal opinion, the increase might no longer be justified at all. If nothing else, it needn't be so steep. Instead of requiring an extra $4 billion out of motorists, $1.6 billion should now more than suffice, in which case the car tax need be only doubled, not tripled, at an average saving of $46 per year, per car, for California families.

Not that Davis or Westly see it that way. Neither politician greeted the good news of the federal windfall with anannouncement that the VLF autopilot will now reverse course, or at least slow down.

Sacramento still expects the tax to raise itself miraculously, at the full rate, and Democrats in the Legislature have used Congress' largess to cancel earlier spending cuts.

Credit the lawyers. The way Davis and Westly's high-priced sophists have massaged the law, no infusion of revenue into the state treasury could ever derail the VLF express. That's because the lawyers' interpretation of the 1998 law is so skewed as to render tax relief for motorists the lowest of all possible state priorities. As long as Sacramento politicians can think of some other way to spend the extra $4 billion in car-tax revenue, the state will be deemed too short on cash to go without it.

The VLF will automatically "trigger" itself on, year after year, during recessions and boom times alike.

The more money the politicians spend, the more money they get. No wonder when the governor was asked when Californians might be able to &xpect the car tax to go back down, he was unable to offer a concrete answer. He pointed to top budget aide Nancy McFadden, who helpfully explained: "The (VLF) statute is actually very vague in terms of when it triggers off. It's clear about triggering on, but it's very vague about triggering off."

Go figure.

When the Sacramento lawyers got together to cut their deal, they produced 10 pages explaining that a car-tax increase this year was an unavoidable act of fate, but they didn't spend a single sentence spelling out how or when this overwhelming force might someday be contained.

They chose their words carefully, just as their boss does.

Chris Weinkopf is an editorial writer and columnist for the Daily News.


TOPICS: Government; News/Current Events; US: California
KEYWORDS: california; davis; taxes; vehiclefees

1 posted on 06/10/2003 6:30:49 AM PDT by boris
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To: boris
This really sucks. Realistically - what in the hell can we do to combat this? It sounds like even a recall of Davis wouldn't have any effect. Any ideas - anyone out there?
2 posted on 06/10/2003 6:40:10 AM PDT by M. Peach (eschew obsfucation)
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To: boris; madfly
B, "It ain't my fault!!" I'da do it!. Peace and love, George.
3 posted on 06/10/2003 6:42:08 AM PDT by George Frm Br00klyn Park (FREEDOM!!!!!!!!!)
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To: M. Peach
what in the hell can we do to combat this

Revolt. Start by not paying the tax. They aren't taking it out of your paycheck. Several million people would make a difference.

4 posted on 06/10/2003 6:50:04 AM PDT by Glenn (What were you thinking, Al?)
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To: Glenn
If you don't pay the tax, you won't get your car registered, then they give you a ticket which equals a fine which means more money for them. If you don't pay the tax - you can't drive...
5 posted on 06/10/2003 7:04:50 AM PDT by M. Peach (eschew obsfucation)
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To: Glenn
Glenn said: "Revolt. Start by not paying the tax. They aren't taking it out of your paycheck. Several million people would make a difference."

Don't be so sure. They will deduct it from any state income tax refund due. And they would probably deduct it from any type of state payment.

6 posted on 06/10/2003 10:50:29 AM PDT by William Tell
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To: M. Peach
Go to State Senator Tom McClintock's web page. He was one of the main proponents of the 1998 reduction in the VLF, and has recently promised to introduce an initiative either to abolish the VLF or to premanently reduce it to $1 if the tripling ever occurs. Then, it's up to all of us to circulate initiative petitions and convince people to vote for the initiative.
....
Although it is certain to be challenged in court, it is my intention to take the issue directly to the voters. I have already prepared two initiatives that I will submit the necessary paperwork the moment that Davis and Westly make a move toward increasing this tax.

One is a constitutional measure that will abolish the tax completely and will require 598,105 signatures. The other is a statutory measure that is narrower—it will simply reduce the car tax to $1—but will require only 373,816 signatures. The Attorney General and the Secretary of State will then have 25 working days to prepare the ballot title and summary and certify the petitions, at which time we can begin the signature-gathering process. During that five-week period, I will decide whether we expect to have the resources to proceed with the constitutional measure or fall back to the statutory initiative.
....

7 posted on 06/10/2003 2:46:47 PM PDT by heleny
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To: boris
We'll get a car tax repeal on the ballot the moment an increase takes effect. Gray Davis and the Democrats in Sacramento haven't seen nuthin' yet. It'll be the largest tax revolt in California history after Proposition 13. We're gettin' ready to rock n roll over the fees we pay to DMV every year.
8 posted on 06/10/2003 11:53:09 PM PDT by goldstategop (In Memory Of A Dearly Beloved Friend Who Lives On In My Heart Forever)
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To: boris
If you really want to stop this robbery, stop spending money in California.

Make as many of your purchases as possible out of state or online.

Last weekend I drove to Reno to purchase a new weed eater because California has outlawed them. While there my wife and I loaded up. We spent a little over thirty five hundred dollars on merchandise. That's thirty five hundred dollars lost to California business and taxes.

If more people would do this, business would stop supporting the thieves that are ripping us off.

Demand that the federal government stop bailing California out of trouble. I watched a talking head on the tv station in Sacramento gushing with delight about federal money being given to California. These people are like spoiled little children.

We don't need help. We need state government to stop squandering our tax money!

Freedom sometimes requires sacrifice.
9 posted on 06/11/2003 12:18:21 AM PDT by LittleJoe
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To: LittleJoe
Demand that the federal government stop bailing California out of trouble.

Huh? LOL! Remember Prop 187? Did you forget it's the Federal Governments responsibility to stop the epic invasion of millions of illegals that are pouring into Cal and the rest of the country. They are choking off all the social services etc....LOL! And you want to now protect the federal government? Sheesh!

10 posted on 06/11/2003 12:27:32 AM PDT by Joe Hadenuf
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To: Joe Hadenuf
LOL! And you want to now protect the federal government? Sheesh!

Hell no! I want the Republican federal government to stop helping the Democratic crooks who put us in this mess.

Davis just said the other night that we need to increase social spending because every day people who need help move to California. Don't give him the money. Let them go somewhere else!

If the illegals are choking off social services, stop spending our tax money on social services until the federal government stops the illegal invasion. What's so hard to understand about that?
11 posted on 06/11/2003 12:40:44 AM PDT by LittleJoe
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To: LittleJoe
Davis just said the other night that we need to increase social spending because every day people who need help move to California. Don't give him the money. Let them go somewhere else!

Of course he said this, how do you think we got into a financial ditch in the first place? Davis is history. The man is going to be recalled. Hopefully.

If the illegals are choking off social services, stop spending our tax money on social services until the federal government stops the illegal invasion. What's so hard to understand about that?

Well what about the California citizens that these social services were designed for in the first place? Should they suffer due to the federal government not doing it's job to secure the borders?

Seems to me most of this mess is due to the federal governments inaction, and failure to do it's job to secure the *Federal* borders in the first place.

12 posted on 06/11/2003 12:49:10 AM PDT by Joe Hadenuf
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To: LittleJoe
I want the Republican federal government to stop helping the Democratic crooks who put us in this mess.

The federal government is supported by both the Reps and the Dems, two sides of the same coin, it's two headed snake. Not a lot of difference between them. Look no further that the other 45 states that are now operating in the red, ran by both Republicans and Democrats.

I mean, our federal government just gave away $15,000,000,000 to Africa. LOL!

13 posted on 06/11/2003 12:56:24 AM PDT by Joe Hadenuf
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To: LittleJoe
I want the Republican federal government to stop helping the Democratic crooks who put us in this mess.

The federal government is supported by both the Reps and the Dems, two sides of the same coin, it's two headed snake. Not a lot of difference between them. Look no further that the other 45 states that are now operating in the red, ran by both Republicans and Democrats.

I mean, our federal government just gave away $15,000,000,000 to Africa. LOL!

14 posted on 06/11/2003 12:58:26 AM PDT by Joe Hadenuf
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To: M. Peach
"This really sucks. Realistically - what in the hell can we do to combat this? It sounds like even a recall of Davis wouldn't have any effect. Any ideas - anyone out there?"

Move to Florida.
15 posted on 06/11/2003 1:06:26 AM PDT by Beck_isright (When Senator Byrd landed on an aircraft carrier, the blacks were forced below shoveling coal...)
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To: boris
"It's a done deal, and neither Davis and Westly nor the beleaguered taxpayers of California can do a thing to stop it."

http://www.tommcclintock.com

16 posted on 06/11/2003 1:19:36 AM PDT by Roscoe
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To: M. Peach
It's outrageous how so few can screw so many.
17 posted on 06/11/2003 1:26:46 AM PDT by Bullish
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To: Bullish
It's outrageous how so few can screw so many.

Yes, It IS disturbing.. BUt apparently, liebrals Love It!

18 posted on 06/11/2003 7:00:28 AM PDT by NormsRevenge (Semper Fi .. Support FRee Republic)
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To: Joe Hadenuf
I mean, our federal government just gave away $15,000,000,000 to Africa. LOL!

Ok, you got me there!

Forget the feds, and focus on the DMV. This corrupt department has squandered over $170 million on a computer system that does not work. To put the frosting on the cake, the director gave her husband $23 million for software that didn't work and had to be scrapped! The director of the DMV should be fired, if not prosecuted!

Sure, I'll sign the petition. I've signed many petitions. Have'nt see one yet that's worked. Remember the ballot boxes found floating in the bay? What was that all about?

We live in a state where the governor ripped off billions with his phony energy scam and gave the money to his cronies. How did he get re elected when he should have been prosecuted and sent to Folsom Prison?

Vote buying is a crime, yet we never prosecute even the most flagrant violaters.

Corruption is our problem in California, and it needs to be stopped!
19 posted on 06/11/2003 8:56:26 AM PDT by LittleJoe
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To: Joe Hadenuf
Well what about the California citizens that these social services were designed for in the first place? Should they suffer due to the federal government not doing it's job to secure the borders?

Yes. The liberals want huddled masses...well give 'em the suffering huddled masses they long for.
20 posted on 06/11/2003 9:01:22 AM PDT by LittleJoe
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