Reuters - California Governor Jerry Brown said on Thursday he has bipartisan backing in the state Assembly for a plan to rewrite a corporate tax law to raise roughly $1 billion a year that would be put toward tax incentives intended to spur job growth.
President Barack Obama, prodding Congress to consider fresh economic proposals after two years of gridlock, called for restructuring business taxes so long as the initial revenue generated goes toward job creation.
In a speech today in Chattanooga, Tennessee, Obama said that years of budget fights have diverted attention from the need to help middle-income Americans recover from the recession.
This weekend President Obama called on Congress to pass the American Jobs Act via his weekly address (below). He highlighted how the proposals will create needed jobs rebuilding
and modernizing America and keep first responders on the job and teachers in the classroom. The
President’s plan will put Americans back to work in key areas that are central
to America’s future competitiveness. It wil repair and modernize classrooms across the country and make sure that teachers who have been laid off because of budget cuts can be brought back to work. It will take on the fact that the American Society of Civil Engineers (ASCE) awarded the United States a ‘D’ for the overall condition of its infrastructure. Both to modernize the nation’s roads, railways, airports and schools and to put hundreds of thousands of workers back on the job, the President is proposing a strategy that combines immediate investments in infrastructure with innovative reforms to ensure that the best projects get financing. These investments in infrastructure would not only put people to work now, but also yield lasting benefits for the economy, increasing growth in the long run.Key elements of his proposal are:A “Returning Heroes” hiring tax credit for veterans: This
provides tax credits from $5,600 to $9,600 to encourage the hiring of
unemployed veterans.Preventing up to 280,000 teacher layoffs, while keeping
cops and firefighters on the job.Modernizing at least 35,000 public schools across the
country, supporting new science labs, Internet-ready classrooms and renovations
at schools across the country, in rural and urban areas.Immediate investments in infrastructure and a bipartisan
National Infrastructure Bank, modernizing our roads, rail, airports and
waterways while putting hundreds of thousands of workers back on the job.A New “Project Rebuild”, which will put people to
work rehabilitating homes, businesses and communities, leveraging private
capital and scaling land banks and other public-private collaborations.Expanding access to high-speed wireless as part of a
plan for freeing up the nation’s spectrum.
toured Palermo’s Pizza with Mayor Barrett and met with local business leaders
as part of White House Business Council outreach effortActing
U.S. Commerce Secretary Rebecca Blank traveled to Milwaukee today to deliver
the keynote address at the 113th League of Wisconsin Municipalities
Annual Conference to discuss the American Jobs Act–how it will spur economic
growth, accelerate job creation and benefit Wisconsin. The League is a nonprofit and nonpartisan association of cities and
villages that serves as an information clearinghouse, advocacy organization and
legal resource for Wisconsin municipalities; it is comprised of 190 cities
and 392 villages.
At the Conference, Blank discussed details of
President Obama’s American Jobs Act. Blank highlighted the different ways
the plan would make an immediate impact on job creation: cutting taxes for
small businesses, putting more money in the pockets of consumers through an
expanded payroll tax cut, and preventing the layoffs of teachers, firefighters
and policemen, while putting construction workers to work through much-needed
renovations to school, roads, rail and airports renovations. Blank
underlined the need for Congress to act quickly on the bipartisan measures in
the Jobs Act.
experts say the American Jobs Act would put nearly two million people to work,
while putting more money in the pockets of workers and repairing infrastructure
vital to enhancing America’s competitiveness,” Blank said. “It’s time for
Democrats and Republicans in Congress to come together and swiftly pass the
measures in the Jobs Act, which will put people back to work right away and put
more money in the pockets of American families.”
in the day, Blank joined Milwaukee Mayor Tom Barrett on a tour at Palermo’s
Pizza, a rapidly growing regional company that added almost 100 jobs last year
and is leading the “Earn to Learn” program with the Mayor’s Office, which gives
high school-aged youth a chance to develop marketable skills through direct
work experience and training seminars.
THE CALIFORNIAN One Friday morning this spring, I drove to Washington’s Dulles airport at dawn, to catch the first nonstop flight to San Francisco. When I got off the plane six hours later, the morning sun still slanting through the terminal windows, my cellphone began ringing practically as soon as I turned it on.
In a long-overdue moment, governor Jerry Brown has finally admitted the obvious, the state's pension system is broke and California Has "Lived Beyond Our Means". Unions of course are howling at that obvious admission.
California, like Greece is perpetually in fiscal trouble. Overoptimistic revenue forecasts coupled with spending $2 billion more than expected has California in a deep hole. Governor Jerry Brown has the same non-solution as ever, hike taxes.
Brown wants a "temporary" (as in seven years) tax hike. Given we all know there are no such things as temporary tax hikes in California (seven years is permanent enough in the first place), and also given the California school budget needs an axe, the I say let him.
Standard and Poor's upgraded California's credit ratings to "A" from "A-" thanks to its improving fiscal and revenue outlook. The agency cites Gov. Brown's budget accomplishments as a key reason for its upgrade:
Gas in Vegas is a dollar cheaper a gallon than in the Golden State, or so a friend and recent LA transplant tells me. He went on to say the top tax rate in California is over 13%, while, of course, Nevada has no state income tax.