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Mar. 19, 2010 CALIFORNIA SCHEMIN’ California is faced with another 20 billion plus debt and as usual, state Republicans will block any attempt to raise taxes, and would rather pull a David Copperfield and give the illusion of solving the debt problem. The state would be better off if it took all the money in the treasury and wagered it in a series of three-card Monte. In fact, what the state is doing is something similar, for what the Schwarzenegger administration proposes is nothing less than a deceptive game, as they continue their policy of “Jack Peter to pay Paul.” This includes raiding county coffers of tax revenues, which several counties are posing a legal challenge to. More insulting is the Schwarzenegger administration’s tendency to play economic scrabble” as they re-label taxes “fees.” And use the redefinition to loot additional agencies of revenue. If you are stricken by H1N1, you would want the truth from your doctor and not, “Don’t worry, you’re just a bit under the weather.” California ’s economic health is dire, but Republicans act as if this is a mere blip. So for the eighth time in the last ten years. residents of the not-so-Golden state can expect a budget impasse that will stretch beyond the June 30 deadline. Let’s start with the basics: A tax is fees that residents who are required to, contribute to the support of government agencies that manage the operations of the state. In California , a new tax must be approved by the voters with a 2/3 majority vote. Fees, however, are simply payments for services, such as those that are generated from automobile registration or fro, the use of utilities. This is an important distinction, because Governor Schwarzenegger wants to take tax money from gasoline sales and label them fees, which would then direct those funds to the state’s general fund, rather than the transportation fund which they were mandated by voters. The Governor has already cut funding for schools (after promising to “protect education”), TANF (assistance payments and welfare-to-work training), drug diversion, in-home care, Medi-Cal and SSI benefits to name a few. Tough decisions are in order, but to continue to cut without balancing it with a tax increase, which would narrow the gap between revenue and expenditures minus the hocus pocus. WRECKS ‘N F/X: Can Toyota recover from 4 billion dollars in losses, a 16% sales dip in January, and the recall of more than 5 million vehicles? Let us not forget that more problems are on the horizon: Lawsuits brought by families who’ve had loved ones maimed or killed in their cars. The name Toyota (originally ‘Toyoda’—named for its founder) was once syn0nymous with quality. When I worked at USS-POSCO Industries, a large number of my co-workers were buying Toyotas, and some purchased more than one. But the times they are a-changing, and now the Toyota brand is synonymous with “unsafe.” ABC news showed a controversial clip as to how electrical failures caused cars moving at 25 miles per hour to accelerate to 70 miles per hour. Neither the brakes nor fail-safe mechanism kicked in, and the computer that is to record the problem failed to do so. The company argues that the testing was flawed and part of the video was doctored—which ABC later admitted to. Meanwhile the company will recall almost 6 million vehicles, amidst allegations that an internal memo shows the company was aware of the problems, and because they were slow to address them, it saved the company $100 million. Meanwhile, Ford, Hyundai, Nissan and GM are taking advantage of Toyota ’s missteps and have seen their sales rise 25, 24, 16 and 14%. Toyota could also face civil penalties. If this problem continues another year or so, the pot could be divided more liberally among what appears to be the aforementioned big 4, as Chrysler and Hyundai are experiencing significant sales losses, too. Ford currently holds 21% of the U.S. market and expects to sell no fewer than 11.5 million cars next year. Without a major merger between two of these companies, someone is going to be hit even harder—and I suspect it will be Toyota , which is likely to result in lower sales, layoffs and possible plant closings. Can you say “bankruptcy?” WHAT’S THE WORD? THUNDERBIRD! In this economic downturn, American s quite naturally, are drinking more. With buying power being reduced, they are also drinking cheaper brands. According to the Distilled Spirits Group (DSG), Consumers also spent more time drinking at home, rather than a public venue. Sales of expensive brands ($30 or more for a fifth) fell 5%, while the cheaper brands (with a price range of about $10 for a fifth), rose nearly 6%. According to the DSG, vodka is America ’s most popular distilled beverage, making up a third of sales. The fastest growing segment of the market is low-cost tequila. In shot, Hennessey, Non! Wolfschmidt, Oui! WHERE’S NOSTRADAMUS WHEN YOU NEED HIM? This healthcare debate is down and dirty and the lies are flying fast and furious. Republicans assert that passage of the bill will cause the Democrats to lose control of the House of Representatives in November, even though the bill won’t take effect until 2011 at the earliest or 2014 at the latest. Hence, how do they make the assertion without having an inkling how the bill will work? Second with the passage of a bipartisan jobs bill and the stimulus apparently working, that could be enough to offset GOP arguments, as most people are concerned about finding work or keeping their jobs. When the economy is going in, everything else becomes moot and disinteresting. I don’t think the GOP should count their ballots before they’re cast. People are so fed-up with the lies from both sides of the aisle that it wouldn’t surprise me the 2010 turnout will be one of the lowest ever. In short, politicians are making Americans sick and something is going to have to change. The emergence of a third party could wreak havoc in 2016. EAT MY SHORTS Following iun the footsteps of Elvis, Tupac Shakur and Biggie Smalls, Michael Jackson is hopping aboard the post-mortem gravy train. Handlers of Jackson ’s estate recently signed a contract with Sony that could net a quarter-billion dollars. With Michael not around top waste it on new noses and gold vases, his children just might make out pretty well…Final four: Kansas , Kansas State, Kentucky and Villanova. Kansas takes it all, stopping the Wildcats 71-64 in the final…Watch the San Francisco Goants this year. If Jonathan Sanchez steps up his game, which some insiders are saying he’s pver the head trips that plagued his first two seasons—and with some additional firepower in the batting order—the Giants could improve their win toal by 8-10 games, which would likely be enough to get them into the playpoffs. They have the best pitching staff in the National League…A lot of rain in California this year. Water rationing may come to an end in several counties, but the allergy season will be longer and more fierce. ------------ About the author: Timothy N. Stelly is a poet, essayist, novelist and screenwriter from northern California. His novel, HUMAN TRIAL, is the first part of a sci-fi trilogy and is available from Amazon.com, allthingsthatmatterpress.com and in e-book format at mobipocket.com. HUMAN TRIAL II: ADAM’S WAR is pending review and editing. Stelly also has a short story included in the AIDS-themed anthology, THE SHATTERED GLASS EFFECT, due out in February 2010. His story, SNAKES IN THE GRASS, Is a tale of love, betrayal and its deadly consequences. Reviews of HUMAN TRIAL can be read at amazon.com Visit me at: http://www.myspace.com/pittwit website: http://www.stellyhumantrial.com Email: stellbread@yahoo.com
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