Thursday, December 1, 2022

CalChamber Takes Positions on November Measures

2016ElectionThe California Chamber of Commerce Board of Directors recently took positions on the following two initiatives proposed for the November 2016 ballot:

Oppose Prop. 30 Tax Extension

The CalChamber Board voted on May 18 to oppose a proposed ballot initiative that would extend Proposition 30 income tax hikes until 2031. (8/11/16 update: The initiative will appear  on the ballot as Proposition 55.)

CalChamber did not oppose the original Proposition 30 tax increase because the measure was supposed to be temporary and the state was in the midst of a dire financial situation.

An extension of Proposition 30 would make the tax virtually permanent, even when the state’s budget is balanced. In voting to oppose the proposed tax extension, the Board noted that the state currently has in excess of $3 billion in reserves and the Governor has proposed a balanced budget that pays down debt and saves even more for future economic downturns.

Also, revenue from the personal income tax is highly volatile and any anticipated revenue from this initiative might be significantly reduced when California is faced with future recessions.

Passing an extension now is premature, according to the CalChamber Board, because Proposition 30 taxes do not expire for another two-and-a-half years.

Oppose Hospital Compensation Act

The CalChamber Board also voted to oppose the Hospital Compensation Act of 2016, a proposed ballot initiative that would impose a cap on total annual compensation paid to private nonprofit and for-profit hospital executives at the level of compensation received by the President of the United States—currently $450,000.

In voting to oppose the measure, the CalChamber Board noted that the proposal would put California’s health care system at risk for not being able to recruit top talent in a competitive environment, especially because California has a higher-than-average cost of living.

The California Chamber of Commerce is the largest, broad-based business advocate to government in California, working at the state and federal levels to influence government actions affecting all California business. As a not-for-profit, we leverage our front-line knowledge of laws and regulations to provide affordable and easy-to-use compliance products and services.

Related Articles

Voters Agree with CalChamber Positions: Say ‘No’ to Propositions 29, 30

California voters agreed with the California Chamber of Commerce by giving a resounding “no” to Propositions 29 and 30. Proposition 30 would have increased the tax on personal income above $2 million by 1.75 percentage...

Vote No on Prop 29: 21 Newspapers Across California Reject Prop 29

Newspapers across California are urging their readers to vote no on Proposition 29, a November ballot measure that would require dialysis clinics to maintain, at the dialysis clinic’s expense, at least one licensed physician,...

Governor Signs CARE Court Support System into Law

A California Chamber of Commerce-supported proposal to establish a support system for homeless individuals with mental illnesses or substance abuse disorders was signed into law last week by Governor Gavin Newsom. The proposal, SB 1338...