GOOD MORNING AGAIN WE APOLOGIZE
ABOUT THE DELAY WE WELCOME YOU
TO THE FIRST POLICY COMMITTEE.
OF THE CALIFORNIA STATE SENATE
GOVERNANCE AND FINANCE
COMMITTEE. WE LIKE TO TAKE CARE
SOME HOUSEKEEPING FIRST WOULD
LIKE TO BEA REPEAT THE FLOW OF
TODAY'S HEARING. ITEM TO IN
ITEM THREE WILL GO FIRST IN
TODAY'S HEARING. ITEM FOUR IS
ON SENT. WE WILL BE TAKING ITEM
NUMBER ONE. RIGHT HERE IN JUST
A BIT WE'LL TAKE A BRIEF BREAK
BETWEEN ITEMS TO IN THREE TO
ALLOW THE VICE CHAIR TO ATTEND
THE HEARING HE'S CURRENTLY
CHAIRING ENERGY COMMITTEE. HI
SO IT IS A BUSY DAY THROUGHOUT
THE CAPITAL WE'RE GONNA TAKE A
BRIEF BREAK AFTER SENATOR HILL
IN CEREMONY I TO ALLOW THE VICE
CHAIR TO BE ABLE TO ATTAIN THE
ENTIRE HEARING. FINALLY OUR
ALERT THE COMMITTEE WE ARE
GONNA HAVE THREE TO FOUR
OVERSIGHT HEARINGS BETWEEN
FIRST OF FEBRUARY AND INTO
MARCH IT WILL BE RELEASING OVER
HOW THE OVERSIGHT HEARING
SCHEDULE AND THE NEXT WEEK OR
TWO TO ENSURE THAT ALL MEMBERS
HAVE DATES ON THE WINTERS WE'RE
GONNA BE STARTING AS A SUB
COMMITTEE ONCE WE- HIT A PAUSE
BUTTON OF MUSIC COMMITTEE
INTAKE OF THE KISSING COUNTER
WITHOUT FURTHER ADO LADIES IN
JENIN WE'D LIKE TO BE ABLE TO
TRACK FOR TO ENTER HELP. THIS
IS A IMPORTANT BILL FROM FIRE
GRATEFUL FOR YOUR WORKS THEIR-
FIRST. GOOD MORNING ALL THE
PART CREEK IN MANY COMMUNITIES
ESPECIALLY IN RURAL AREAS WERE
A FIRE DEPARTMENT MAY NOT BE
FISCALLY POSSIBLE IN TWO
THOUSAND FIFTEEN I AUTHORED SB
FIVE NINETY EIGHT WHICH
EXEMPTED ALL VOLUNTEER FIRE TO
FROM HAVING TO PAY SALES TAX ON
THEIR FUND RAISING EFFORTS.
LIKE RELIGIOUS OR VETERANS
ORGANIZATIONS BUT LIKE THOSE
ORGANIZATIONS ALL VOLUNTEER
FIRE DEPARTMENT EXEMPTION WILL
SUNSET ON JANUARY THIRTY FIRST
OF TWENTY TWO SB THIRTY EIGHT
WILL REMOVE OF THE SUNSET
ALLOWING THESE EXTRAORDINARY
VOLUNTEERS TO CAN. SIR THEIR
COMMUNITIES WITH ALL OF THE
RESOURCES A FUNDRAISER WHICH IS
VERY IMPORTANT AND CRITICAL
THERE'S NO OPPOSITION TO THIS
MEASURE I RESPECTFULLY ASK YOUR
AYE VOTE AND HAVE ONE WITNESS
IN SUPPORT. THANK YOU MISTER
CHAIR THANK YOU SO MUCH FOR
CENTER ANY AND- ESPECIALLY WITH
THE SIZE AND SCOPE WHILE AND
FIRES AT THE STATE AT THIS FACE
HI THIS IS SUCH A CRITICALLY
IMPORTANT FOR THE MEN WOMEN WHO
ARE. TURNING THEIR TIME
THEMSELVES IN HARM'S WAY SO
WE'RE GRATEFUL FOR YOUR WORK OF
COURSE HAVE MISSED OR EFFORT
ARGUS HERE IN COMMITTEE THE
FLOOR IS YOURS SIR THANK YOU
SIR FOR THE CALIFORNIA'S THE
FIREFIGHTERS ASSOCIATION AFTER
VARGAS AND- REYES. OR WE ARE CO
SPONSORS OF THE BILL ONE
THOUSAND FIFTEEN AND WE'RE HERE
BECAUSE WE- WORK. THERE IS A
NEED FOR THE- THIS BILL WILL
HELP. AT THE END OF WOULD
PROBABLY MORE MORE MONEY IS
SPENT IN IN COLLECTING THE TAX
AND BOOKKEEPING AND KEEPING THE
RECORDS AND AN OUTING THEN WILL
BE SPENT BY EACH DEPARTMENT-
PHONE SALES TAX OF THIS IS A
GOOD SMART MEASURE WE ASK YOUR
SUPPORT THANK YOU SO MUCH OKAY
SO WE CAN OPEN IT UP TO ANYONE
WHO IS TO BE A SPEAK IN. THE
BILL IF YOU DON'T MIND COME ON
FORD WE WISH YOU A HAPPY NEW
YEAR AND WE WELCOME YOU ANY ONE
WOULD LIKE THIS BEGINS FOR THE
BILL FIRST LAP. ORGANIZATION
NINE. ANYONE WHO IS IN
OPPOSITION OF THE BILL. IF YOU
WANT TO. WE'LL TAKE A PRIMARY
AND SECONDARY WITNESS. AINSI
NINE WE NOW LIKELY ARE OPENING
UP TO THE PUBLIC YOU'D LIKE TO
BE TO SPEAK GAINST THE BILL IN
OPPOSITION PLEASE DO SO AT THIS
TIME. XENON WOULD LIKE TO BRING
IT BACK TO COMMITTEE TO GO TO
SEE IF THERE'S ANY QUESTIONS OR
COMMENTS. THAT'S GREAT WE'RE
GONNA HAVE SENIOR CENTER PER
PRETERM AS SOON AS WE STEP
ASIDE QUORUM SOON YES IT'LL BE
MOVING THE BILL. HELLO THIS
IMPACTS IN PARTICULAR AND AGAIN
GRATEFUL FOR YOUR WORK THE
FLOOR IS YOURS FOR CLOSING
STATEMENT A COMMITTEE CHAIR AND
COLLEAGUES I APPRECIATE THE
SUPPORT AND- YOU KNOW WE'RE
TALKING ABOUT URBAN AREAS THE
LAN THE FIRE BRIGADE IS A
VOLUNTEER ALL VOLUNTEER FIRE
DEPARTMENT IN MY DISTRICT THAT
HAS WILL. HARD DILIGENTLY AND
SAVE. WHAT IN THE WORLD THE SAN
MATEO COUNTY ELEPHANTS SKYLINE
AREA IN IN THE WHICH SIDE AREA
AND THEY'VE DONE IT WITH THE
LIMITED RESOURCES THIS THEY
BROUGHT THIS TO ME IN TWO
THOUSAND FIFTEEN REALLY RAISE
THE POINT IN THAT THE ISSUE IS
THAT IT'S IMPORTANT TO
PRESERVE. FREEDOM SPENDING IT
NEEDLESSLY THE SALES KEEPING
NECESSARY TO PROVIDE THAT IS A
UNNECESSARY I REALLY APPRECIATE
THAT AT THE APPROPRIATE TIME I
RESPECTFULLY ASK YOUR RIVAL
COLLEAGUES ABSOLUTELY THANK YOU
SO MUCH CENTER HELL AND-
EVERYTHING THAT. GOOD SENATOR
WHO REPRESENTS. SAYS THERE
NIELSEN HAS GONE THROUGH IS
WELL KNOWN IMPACTS NOR STATE AS
WELL AS- SENATOR BELL SO THANK
YOU SO MUCH SIR IT WILL TAKE
ACTION APPROPRIATE TIME THANK.
YOU VERY MUCH COLLEAGUES. THAT
IN GENERAL HE- BRINGING UP THE
LEGEND ON THE CENTRAL COAST HIS
NAME IS. HEY THERE YOU GO HI
DAY. SENATE BILL MONEY IN. IN
THIS IS A CRITICAL PIECE OF
LEGISLATION ON THE SEA OTTER
FIND AT THAT CALIFORNIANS HAVE
INVESTED SIGNIFICANTLY IN TO BE
TO PROTECT THE POPULATION.
WE'RE GONNA TURN THE BILL OVER.
TO SENATOR MONEY TO BE AT A
PERCENT WELCOME SIR. THANK YOU
MISTER CHAIR AND MEMBERS SPREE
SHE THIS OPPORTUNITY AND- YOUR
SCHEDULING THIS MORNING AS WELL
WEAPPRECIATE IT. I'M SENATE
BILL FIVE EIGHTY SEVEN RENAMES
THE CALIFORNIA SEA OTTER FUND
THE SEA OTTER VOLUNTARY TAX
CONTRIBUTION FUND AND EXTENDS
THE FUND TO TWENTY TWENTY
EIGHT. FOR MORE THAN A DECADE
CALIFORNIA TAXPAYERS HAVE CHEN
WE CAN GET. THE SIX LETTER
FUND. FUNDS ARE USED BY THE
DEPARTMENT OF FISH AND WILDLIFE
IN THE COASTAL CONSERVANCY. THE
DEPARTMENT OF FISH AND WILDLIFE
USES THE FUNDS IT RECEIVES FOR
SEA OTTER CONSERVATION
INCLUDING INCREASED
INVESTIGATION PREVENTION AND
ENFORCEMENT ACTIONS RELATED TO
SEE BETTER MORTALITY. ACOSTA
CONSERVANCY USES THE FUNDS IT
RECEIVES TO HELP SCIENTISTS
BETTER UNDERSTAND THE CAUSES.
THE OTTER MORTALITY AND
DEVELOPING GUIDANCE TO AID IN
ORDER RECOVERY. TO TESTIFY IN
SUPPORT OF THE BILL MISTER
CHAIR AND THEY WILL BE BRIEF
WITH RESPECT ASK YOUR
INDULGENCE WITH OUR THREE
WITNESSES. BAKER REPRESENTING
THE MONTEREY BAY AQUARIUM HIM
DELFINO REPRESENTING DEFENDERS
OF WILDLIFE IN JENNIFER FEARING
REPRESENTING OCEANIA. THANK
YOU. THANK YOU SO MUCH CENTER
MONEY TO BE SURE YOU WORK ON
THIS WE'RE GONNA TURN IT OVER
TO MISTER BAKER TWO MINUTES SIR
THE FLOOR IS YOURS. THANK YOU
MISTER CHAIR MEMBERS THE BAKER
WITH THEIR NEED ASSISTANCE FOR
THE MONTEREY BAY AQUARIUM. HERE
IN SUPPORT OF IT FIVE EIGHTY
SEVEN THAT WOULD. EXTEND FUND
IS SENATOR MINING HAS
ARTICULATED TEN YEARS IN
CALIFORNIA HAVE BEEN VERY
GENEROUS THEY'VE CONTRIBUTED
THREE POINT SIX MILLION DOLLARS
TO HELP. SEA OTTER RESEARCH
UNFORTUNATELY THERE'S MORE WORK
THAT NEEDS TO BE DONE AND SO
IT'S IMPORTANT THAT THIS FUND
GET EXTENDED SO THAT THAT WORK
CAN TAKE PLACE. UNFORTUNATELY
THE RATE OF RECOVERY HAS NOT
ALLOWED SEA OTTERS TO EXPAND TO
THEIR- PREVIOUS HABITAT AND SO
FOR THOSE REASONS WE SUPPORT
THE MEASURE. THANK YOU VERY
MUCH MISTER BAKER AND TURN THE
FLOOR OVER TO MISTER FINO TWO
MINUTES. GOOD MORNING THANK YOU
VERY MUCH. OUR LIFE WAS AN
ORIGINAL SPONSOR ON THIS BILL
BACK IN TWO THOUSAND AND SIX
AND SO WE'RE VERY EXCITED TO
SEE THIS TO BE AUTHOR BUT YET
AGAIN. AS NOTED BY MISTER
BAKER'S RAISE MORE THAN THREE
AND A HALF MILLION DOLLARS FOR
REALLY CRITICAL PROJECTS THAT
NORMALLY DON'T QUALIFY FOR BOND
FUNDING SO THIS FUNDING IS VERY
IMPORTANT FOR RESEARCH. AND
OTHER. PROJECTS IN PARTICULAR
IS ARE THEY ACTUALLY FUNDED
PROJECT THAT- SHOWED HOW THE
IMPORTANCE OF RESTORATION OF
THE EEL GRASS AND SEAGRASS IN
THE ELKHORN SLOUGH AT THE ROLE
OF SEA OTTERS IN THAT
RESTORATION. SO IT'S REALLY
GENERATED SOME CRITICAL
CRITICAL RESEARCH AND-
DISCOVERIES THAT ARE HELPING
WITH NOT JUST A SEA OTTERS BUT
TO POLITICAL RESTORATION
GENERALLY SPEAKING FOR THAT
REASON WE ARE CHEN AYE THOUGH
Q. THANK YOU. THANK YOU FOR
YOUR WORK AS WELL IN WE LOVE
WHEN THE SCREEN IS IN COMMITTEE
THE FLOORS OR ANY OF TWO
MINUTES. GOOD MORNING MR AND
MEMBERS. WE HAVE BOTH POINTS.
THAT THE OWNERS NEED OUR HELP
NOW MORE THAN EVER DESPITE THE
INVESTMENTS THAT WE'VE MADE.
THE MOST RECENT SURVEY IT
RELEASED IN TWO THOUSAND
EIGHTEEN BY THE CALIFORNIA
FISHING DEPARTMENT OF FISH AND
WILDLIFE IN THE U. S. G. S.
FOUND. THAT THE THREE YEAR
AVERAGE POPULATION INDEX OF SEA
OTTERS OFF THE CALIFORNIA COAST
HAD DROPPED 220-009-0060 TWO
INDIVIDUALS. THIS IS A DECLINE
FROM THE RECENT HIGH OF THREE
THOUSAND TWO HUNDRED AND
SEVENTY TWO AUTRES IN THE TWO
THOUSAND SIXTEEN SURVEY. THE
HIGHEST NUMBER RECORD SINCE
NINETEEN SEVENTY TWO. OBVIOUSLY
STILL DRASTICALLY LOWER THAN
THE HISTORIC POPULATION. SO WE
THINK THESE FUNDS ARE
INCREDIBLY IMPORTANT AND DR-
THANK YOU THANK YOU SO MUCH
MA'AM. SHE BEING HERE WE'RE NOT
AN OPEN UP TO THOSE WHO ARE IN
SUPPORT YOU CAN GIVE YOUR FIRST
AND LAST ORGANIZATION WELCOMED.
BY ONE OF. THE WITHOUT A ONE
CALIFORNIA. WE'RE STRONG
SUPPORT ALSO ON BEHALF. THE ON
SUPPORT BECAUSE YOU HAVE BEEN
HERE. THIS TIME. CURRENCY NINE
WE NOW GONNA WELCOME THOSE WHO
ARE OPPOSED. IF YOU WERE ANTI
SEA OTTER PLEASE COME FORTH.
ALL RIGHT WE'RE GONNA BRING IT
BACK TO COMMITTEE TO SEE IF WE
HAVE ANY QUESTIONS OR COMMENTS
FROM COMMITTEE. BEFORE TURN IT
OVER TO BACK TO CENTER MONEY TO
YOUR MONEY. THROUGHOUT HIS
CAREER IN THE LEGISLATURE HAS
BEEN A CHAMPION FOR COAST IN
JUST ONE TAKE MOMENT SAY
THINKING RECOGNIZE THAT WILL
HAVE YOU BRING FOR CLOSING
COMMENTS EIGHT WELL THANK YOU
AND JUST BRIEFLY. APPRECIATE
THE OPPORTUNITY THIS MORNING
THIS WILL BE OUR THIRD
EXTENSION OF THE FUND AS YOU
KNOW THERE'S GREATER
COMPETITION NOW WITH MORE
OPTIONS ON THE VOLUNTARY
CONTRIBUTION FORM. PART OF THIS
BILL DOES CHANGE NAME
CONSISTENT WITH THE LAW PASSED
LAST YEAR IT SPECIFIES THAT IT
IS A VOLUNTARY CONTRIBUTION. IN
JUST A FINAL NOTE. ONE OF THE
WITNESSES REFERENCE THE EEL
GRASS RESTORATION IN ALCORN LOU.
WE FOCUS ON THE SEA OTTER
PRESERVATION IN THIS BILL THERE
REALLY PART OF A BROADER
ECOSYSTEM IN IN MANY WAYS THE-
CANARY IN THE COAL MINE SO WE
LEARN. ABOUT THE BROADER
ECOSYSTEM AS WE TRACK SEA OTTER
SURVIVAL OR WHERE THEY'RE
THREATENED- AND WE KNOW THE
DEAL GRASS RESTORATION VITAL TO
THE SEA OTTER. IS ALSO VITAL TO
CARBON SEQUESTRATION SO. WE'RE
IN A CONNECTED ECOLOGY THE SEA
OTTERS GIVE US- A REAL
IMPORTANT FOCAL POINT. TO
PROTECTING THE BROADER ECOLOGY
AS WELL AS THE SURVIVAL. OF THE
SEA OTTER POPULATION AND ALSO
CRITICAL TO OUR TOURISM. IN
MANY OF THE COASTAL REGIONS OF
CALIFORNIANS PRISM ECONOMY.
CREATES JOBS. IS REVENUES. IT'S
THE SEA OTTERS. MAGNET BEING
THAT TOURISM SO- AT THE
APPROPRIATE TIME AND WONDERED
YEAR I VOTE THANK YOU FOR THE
OPPORTUNITY THIS MORNING. THANK
YOU FOR YOUR IN AT LEAST AT.
LEAST WE'LL THAT S. WE GET A
CORPSMAN APOLOGIZE THANK YOU
THANK YOU SO MUCH. PLEASE IN
GERMAN WE'RE GOING TO TAKE IT.
YES BUT WE HAVE TO STERN THAT
RECESS TRACK DOWN A VICE CHAIR-
AND MAKE SURE THAT HE IS IN
COMMITTEE AND HIS VERY CAPABLE
TEAM. HONEY HUNTING HIM DOWN
NOW. AND WE ARE ALSO GOING TO
BE INVITING SENATOR SKINNER TO
COMMITTEE TO BE A REPRESENT OUR
FINAL BILL OF THE DAY ONCE WE
ESTABLISH A QUORUM WILL TAKE
ACTION ON CONSENT COUNTER. TO
THANK YOU SO MUCH IN GIVE US A
FEW MOMENTS. MEMBERS THE
COMMITTEE
. L. L. HIGH HERTZBERG
FOLLOW YELTSIN. I LEADER. AT
KERN VOTE IS FOUR ZERO WE'RE
GOING TO KEEP THAT ROLE OPEN IN
AND ON HIS MEMBERS ARRIVE.
WE'RE NOT GONNA MOVE ON I. BE
SB FIVE EIGHTY SEVEN THE MOTION
IS TO PASTOR PERFORATIONS IS
THERE A MOTION TO APPROVE. SIR
WE HAVE A MOTION BY A SENATOR
NIELSEN. IT'S SAYING JUST A
ROGUE COP IS WHITER HI WHY I'M
MORE LOCKED. MORE LIKE I BELT.
WELL I HERTZBERG. HELLO NIELSEN
I WAS A NINE WIENER. AT
CURRENTLY IS A FOUR EIGHT ZERO
RING KEEP ROLE OPEN MEMBERS
WE'RE GONNA TAKE ONE ADDITIONAL
ITEM ITEM NUMBER TWO SB THIRTY
EIGHT THE MOTION IS PASSED TO
APPROPRIATIONS IS THERE A
MOTION TO MOVE. A MOTION BY
BELL MISSING CHESTER ROLL CALL
PLEASE WHILE I REQUIRE I'M MORE
A LOT MORE LIKE GOD BELL YEAH I
HERTZBERG THE TITLE NIELSEN.
YES AND I WINNER. THANK
CURRENTLY ENJOYS A FOUR IS ZERO
VOTE FOR A ZERO VOTE WE'RE
GONNA KEEP THE ROLE OPEN. IT IN
GERMAN AND COMMITTEE MEMBERS WE
ARE GOING TO TAKE A BRIEF BREAK.
WE'RE GONNA ALLOW CENTER
SKINNER TO BE ABLE LINE UP HER
WITNESSES AND WE'LL BE RIGHT
BACK WITH YOU THANK YOU OFFER
PATIENTS
. WE WANT TO SAY IF YOU
ONCE AGAIN FOR YOUR PATIENCE
TODAY. AGAIN THERE ARE MULTIPLE
COMMITTEES HAPPENING AND EVEN
AS WE SPEAK. AND MANY OTHERS
ARE JUGGLING BUSY SCHEDULE THIS
MORNING TRYING TO BE LITTLE IN
THREE PLACES AT ONCE. MEMBERS
YOU HAVE FOUR VOTES ON NINE
THREE BILLS CURRENTLY WE'LL BE
TAKING OUR TO ACTION ITEM BILLS
ALONG WITH HER CONSENT COUNTER
UP AFTER SB THIRTY SEVEN ZERO
AND ASK MEMBERS WHO MAY BE
VOTE. THE PLEASE HANG US IN
WILL AT. WE'RE NOT MOVING ON TO
AYE SB THIRTY SEVEN. WORKING
HARD OVER THE. FOR YEARS ON
THIS ISSUE- AND HER ENTIRE
CAREER ON ALL ISSUES OF INCOME
INEQUALITY WE LIKE TO BE ABLE
TO LAY OUT OUR EQUAL TIME RULES
AS WE TYPICALLY DO FOR A LARGER
ISSUES THAT ARE IN FRONT OF US.
SINNERS SKINNER IS OBVIOUSLY
GOING TO BE PROVIDING HER
TESTIMONY SHE WILL THEN HAVE A
PRIMARY WHICH IS THAT I HAVE I
MORE THAN SEVEN. WELL THEN HAVE
TWO PRIMARY TO SECOND. WILL
HAVE THREE NO MORE THAN FOUR
MINUTES TO BE ABLE TO SPEAK-
AND THEN WE WILL ALLOW THOSE
WHO MAY BE OPPOSE THE SAME
STRICT TIME LIMITS- IS WELL. SO
WITHOUT FURTHER ADO COMMITTEE
WE WELCOME CENTERS TO- THE
COMMITTEE AND WE WELCOME. IS
WELL. THE FLOOR IS YOURS. THANK
YOU VERY MUCH YOU'RE MCGUIRE
MEMBERS REALLY PLEASED TO
PRESENT SB THIRTY SEVEN TO YOU
TODAY SB THIRTY SEVEN IS A
MECHANISM TO INCENTIVIZE
CORPORATIONS THAT DO BIG IN
CALIFORNIA AND NOTE THAT IT'S
NOT JUST CALIFORNIA BASED
CORPORATIONS. RATHER
CORPORATION TO DO BUSINESS. WE
NEED TO PAY THE FEAR SHE
EMPLOYEES THE GOAL OF SB THIRTY
SEVEN IS TO SHRINK INCOME
INEQUALITY. AND INCOME
INEQUALITY IS NO LONGER IN AND
DISCUSSED ELEPHANT IN THE ROOM.
BUT LET ME BE CLEAR ABOUT THE
STARK REALITY. OUR ECONOMY IS
BOOMING HERE IN CALIFORNIA
ACROSS THE US. CORPORATE
PROFITS ARE AT RECORD HIGHS
UNEMPLOYMENT IS RECORD LOW YET
THE GAP BETWEEN RICH AND POOR
BETWEEN WEALTHY CEOS AND THE
AVERAGE WORKER THE AVERAGE
EMPLOYEE KEEPS WIDENING. THE
MIDDLE CLASS JOBS THAT MOST OF
OUR PARENTS AND SOME OF US.
WORKED A FEW DECADES AGO NO
LONGER PROVIDE A FAMILY WITH
ECONOMIC SECURITY. AND THE MORE
HOURS YOU WORK FOR THE HARDER
YOU WORK RARELY TRANSLATES NOW
TO A GREATER REWARD OR
SIGNIFICANT ECONOMIC
IMPROVEMENT TO YOU AND YOUR
FAMILY. INCOME INEQUALITY IN U.
S. IS NOW THE MOST EXTREME THAT
IT'S BEEN IN A CENTURY SINCE
THE GILDED AGE AND OUR TOP 1%
TWELFTH THE INDIVIDUALS IN
AMERICA HOLDS ABOUT 40% OF THE
ENTIRE NATION'S WEALTH. AND IN
OUR OWN CITIES UNFORTUNATELY WE
SEE IT WHEN CONSTITUENTS THE
BARS WORK FULL TIME JOBS BUT
CAN NOT AFFORD AN ADDRESS WHERE
THEIR W. TWO CAN BE MAILED TO.
MANY OF THEM THESE FIRST WITH
FULL TIME JOBS ARE LIVING IN
THEIR CARS OR COUCH SURFING AND
SOME UNFORTUNATELY EVEN ON THE
STREETS. WE NOW CALIFORNIA HAS
THE FOURTH BIGGEST GAP BETWEEN
RICH AND POOR IN THE NATION.
NOW OUR BIG CORPORATIONS ARE
ONE MAJOR SOURCE OF THIS
PROBLEM NOT ONLY BUT ONE. C. E.
O. PAY OF CORPORATIONS HAS SKY
ROCKETED NEARLY 1000% IN THE
PAST FOUR DECADES YET THE PAY
OF THE AVERAGE AMERICAN
EMPLOYEE HAS REMAINED MOSTLY
STAGNANT SINCE THE SEVENTIES OF
COURSE ADJUSTED FOR INFLATION.
SO IN THE SEVENTIES YOUR
COMPANY BOSS TOOK HOME ROUGHLY
THIRTY TIMES MORE THAN THE
RIVER EMPLOYEE BUT TO DATE THE
LONG RANGE OF CEO PAY TO
EMPLOYEE PAY IS ONE HALF TIMES
THE AVERAGE. IS THREE HUNDRED
TIMES WITH. MANY COMPANY COCA
COLA MANY OTHERS AREUPWARDS TO
A THOUSAND TIMES AND HIGHER. SO
SB THIRTY SEVEN IS DESIGNED TO
ADDRESS THIS DISPARITY WE'VE
DONE WELL IN CALIFORNIA BY
RAISING THE MINIMUM WAGE BUT WE
NOW THERE'S CONFRONTING THE
FACT THAT THE MINIMUM WAGE IS
NOT ADEQUATE YES OF HIGH PRICE
OF LIVING. BUT HE- OUR FOUR
YEARS HELP SHARE THIS BURDEN NO
I DON'T WANT TO CALL IT A
BURDEN IT'S NOT A BURDEN
BECAUSE INVESTING IN EMPLOYEES
HELPS THE ECONOMY OVERALL IF
THE EMPLOYEES ARE SPENDING
THEIR MONEY AND CARING LESS
DEBT THAN THEIR BUYING THE
GOODS AND SERVICES THAT THE
COMPANIES THEMSELVES ARE MAKING
IN PRODUCING SO SB THREE SEVEN
IS DOES NOT BIND TO PRECISE
SAID DRESSED JUST. QUICKLY SAY
WHAT NOW WE GET BY WITH THIS.
COULD HAVE DESIGNED IT SB
THIRTY SEVEN TO BE RICH REVENUE
NEUTRAL AND THE- LAST HAVE A
PROGRESSIVE CHANGE TO THE TAX
RATE. SO THAT WE PERHAPS
LOWERED THE CORPORATE INCOME
TAX RATE. IN THAT RANGE OF
THIRTY THIRTY TIMES CO PAYDIRT
WORKER PAY- AND THEN
PROGRESSIVELY RAISED IT BASED
ON THAT AMOUNT SO THAT THE
HIGHEST CORPORATE TAX RATE
WOULD BE IN FOR THOSE PEOPLE
WHO ARE THOSE CORPORATIONS-
THOUSAND TIMES AND HIGHER. NOW
THE REASON THE BILL BEFORE YOU
IS DESIGNED TO INCREASE REVENUE
AND HAS A BASE RATE OF THE
CORPORATIONS THAT DO BUSINESS
IN CALIFORNIA BASE RATE
INCREASE IS TO RECOGNIZE. THAT
CORPORATIONS JUST RECEIVED WHEN
ALL TAX CUT IN OUR PARKING NOW
FAR MORE MONEY THAN DID THE
PREVIOUS MONTH THAT OTHERWISE.
TO THE ART. AND THE ONLY TO
RECOGNIZE THAT CALIFORNIA YEAH
IN CALIFORNIA TAXPAYERS. RBC
PLEA PAYING THE COST FOR THE
SERVICES THAT EMPLOYEES THEN
TURN TO BECAUSE THEY DON'T HAVE
A WAGE THAT CAN PROVIDE THEIR
FAMILY'S NEEDS SO WE SEE AVERY
BIG INCREASE IN CALIFORNIANS
WHO ARE DEPENDENT ON MEDI CAL
FOR DEPENDENT ON- VARIOUS OF
OUR SOCIAL SERVICES. ON CAL
FRESHER FOOD STAMP PROGRAM
THOSE KIND OF THINGS SO IT'S
DESIGN NOW. TO RESET BASED
THREE BRING IN SOME NEW REVENUE
BUT IT COULD JUST AS WELL BE
DESIGNED TO BE REVENUE NEUTRAL.
WE INCENTIVIZE AT. INCREASE TO
GET EMPLOYEES NOW AS I
MENTIONED THE BILL A FAX.
CORPORATIONSTHAT DO BUSINESS
IN CALIFORNIA BUT IT'S ALSO
DESIGNED ONLY FOR THOSE THAT.
POST A TEN MILLION IN TAXABLE
INCOME FROM THE BUSINESSES THEY
DO IN CALIFORNIA THAT IS ONLY
POINT 002% TOTAL CORPORATIONS
NATIONWIDE OR ABOUT TWO
THOUSAND SO THIS ONLY AFFECTS
THE LARGEST CORPORATIONS ACROSS
THE COUNTRY. SO THE DESIGN
INVEST THIRTY SEVEN BEFORE YOU
TODAY RECOGNIZES THAT RELIANCE
ON STATE SERVICES INCREASES
WHEN CORPORATIONS UNDER PAY
THEIR WORKERS. RAISING THAT
BASE RATE ALSO RECOGNIZES THAT
CORPORATE INCOME TAX IN
CALIFORNIA AS A PORTION OF OUR
GENERAL FUND HAS FALLEN TO LESS
THAN 9% OF OUR TOTAL GENERAL
FUND COMPARED TO WHEN IT WAS
15% OR HIGHER. SO WITH THAT
ALLOW ME TO INTRODUCE MY
WITNESSES WHEN WE FIRST HAVE TO
INTRODUCE I'M MISS ABIGAIL
DISNEY WHO WILL BE MY PRIMARY
WITNESS AND THEN FOLLOWING
ABIGAIL DISNEY WILL BE THE HEAD
OF OUR CALIFORNIA STATE LABOR
FEDERATION ART PULASKI. BUT
SHOULD AT SENATOR N. S. DISNEY
WE WELCOME YOU TO COMMITTEE YOU
HAVE UP TO SEVEN MINUTES AND
WE'LL GIVE YOU A THIRTY SECOND
PROMPT AS YOU GET CLOSE TO THAT
SEVEN IN THE FLOOR IS YOURS
GOOD MORNING. AND I'M GONNA
SPEAK FAST. YOUR GOOD CARE MANY
MEMBERS THANK YOU SO MUCH FOR
THE OPPORTUNITY SPEAK I'M
ADVOCATE DISNEY. MY GRANDFATHER
WAS ROY O. DISNEY WHO CO
FOUNDED THE COMPANY NEARLY A
CENTURY OF THE WALT DISNEY
COMPANY NEARLY A CENTURY AGO.
NO I DON'T SPEAK IN AN OFFICIAL
CAPACITY BUT I AM SOMEONE WHO
CARRIES THE NAME AROUND. IS THE
NAME THAT PEOPLE AROUND THE
WORLD ASSOCIATE WITH ALL OF THE
HIGHEST ASPIRATIONS OF THE
AMERICAN PEOPLE IN TWENTY
EIGHTEEN I WENT TO ANAHEIM IS
BOOKED TO DISNEYLAND WORKERS.
HONESTLY SELDOM DOES A MORAL
IMPERATIVE. PRESENTED WITH KIND
OF CLARITY THAT IT DID THAT FOR
ME THAT DAY. THESE ARE PEOPLE
THAT I WAS TAUGHT BY MY PARENTS
AND GRANDPARENTS TO RESPECT.
THEY WORK HARD ALL DAY LONG FOR
A COMPANY THAT IS HISTORICALLY
PROFITABLE. IN THE WEALTHIEST
NATION ON EARTH AND YET AT THE
HAPPIEST PLACE ON EARTH THEY'RE
PAID SO POORLY. THAT THEY RELY
ON FOOD BANKS. SLEEPING CARS OR
LIVE SO CLOSE TO THE BONE THE
EVEN THE SMALL PROBLEM COULD
SEND THEM INTO A DEATH SPIRAL.
SO LET ME BE CLEAR THIS IS NOT
ABOUT DISNEY. AND THIS IS NOT
ABOUT DISNEY CEO. THIS IS A
PROBLEM OF CORPORATE CULTURE
FIFTY YEARS IN THE MAKING. THE
RESULT OF A CONCERTED CAMPAIGN
TO CONVINCE BUSINESS PEOPLE
PUNDITS POLITICIANS AND THE
AMERICAN PEOPLE. THAT UP IS
FOUND. WRONG IS RIGHT AND MORE
THAN ANYTHING THAT GREED IS
GOOD. FIFTY YEARS AGO WHEN MY
GRANDFATHER RAN THE COMPANY THE
CEO PAY RATIO WAS ROUGHLY
TWENTY TO ONE. IN TWENTY
EIGHTEEN ACCORDING THE
INSTITUTE FOR POLICY STUDIES
FIFTY U. S. CORPORATIONS HOW TO
PAY RATIO OF OVER A THOUSAND.
THAT LIST INCLUDES SOME OF
AMERICA'S MOST ICONIC COMPANIES
LIKE WALMART AND MCDONALD'S IN
THE APTLY NAMED THE GAP WHERE
IT'S AT THREE THOUSAND FIVE
HUNDRED SIXTY SIX. AMONG
STANDARD POOR'S FIRMS NEARLY
80% PAY THEIR SEAR YOUR MORE
THAN ONE HUNDRED TIMES THERE
MEDIAN WORKER PAY AND NEARLY
10% HAD A MEDIAN PAY BELOW THE
POVERTY LINE FOR A FAMILY OF
FOUR. IN THE FORTY YEARS DURING
WHICH CEO PAY HAS BLOWN BY OVER
9100% WAGES HAVE BARELY RISEN
ENOUGH TO COVER SKYROCKETING
COSTS THAT THINGS LIKE
EDUCATION HOUSING AND HEALTH
CARE I KNOW YOU ARE ALL WELL
AWARE OF THESE FACTS. THE
SOCIAL MOBILITY OF WHICH MY
GRANDFATHER AND GREAT UNCLE
WERE EXEMPLARS HAS ALL BUT
EVAPORATED. PRAGMATIC REASONS
TO WORRY ABOUT THIS. REALLY
PAID EMPLOYEES ARE LESS
PRODUCTIVE HAVE LOWER MORALE
AND HIGHER RATES OF TURNOVER
AND I CAN'T THINK OF THE
BUSINESS THAT NEEDS GOOD MORALE
OF MORE THAN DISNEY DOES
COMPANIES WITH HIGH PAY GAP
SPEND LESS ON OUR ANTI TAKE
RECKLESS RISKS AND SUFFER FROM
SHORT TERM ISM BUT ABOVE ALL.
THIS IS A MORAL QUESTION.
SHOULD NOT THE EVERYDAY
CONSIDERATIONS TAKE A BACKSEAT
TO THE FACT. THAT SIGNIFICANT
SEGMENTS OF OUR FELLOW
AMERICANS ARE DROWNING. WHILE
THE REST OF US ARE DINING AT
THE CAPTAIN'S TABLE REFUSING TO
THROW THEM SO MUCH AS A LIFE
JACKET. THERE IS NOTHING
INHERENTLYWRONG. WITH BEING
WELL PAID FOR DEMANDING AND
REALLY AT WORK JUST SO LONG AS
THE PEOPLE WHO WORK FOR YOU. ON
TO PLAY A VITAL ROLE IN THE
SUCCESS FOR WHICH YOU'RE BEING
PRAISE ARE BEING REWARDED
FAIRLY. SO WHO PICKS UP THE
BILL WHEN THE WORKERS CAN'T
MAKE ENDS MEET WE DO THE
TAXPAYERS THEY SUBSIDIZE THINGS
LIKE THE FOOD BANKS AND THE
HEALTH CARE IN THE HOUSING.%
THAT WORKERS HAVE TO TURN TO.
AS A REBUTTAL DISNEY OFTEN
POINTS TO IS A SPIRE PROGRAM
IT'S A GREAT EDUCATION PROGRAM
I HAVE NO CRITICISM OF IT BUT
IN ORDER TO ASPIRE TO BETTER
TOMORROW. YOU DO HAVE TO GET
TODAY. WHAT'S MORE ALL THE
EDUCATE IN IN THE WORLD WON'T
GET YOUR FLOOR SCRIPT. IF YOU
ARE UNWILLING TO SCRUB THEM
YOURSELF AND IF YOUR ENTIRE
REPUTATION AS A COMPANY RELIES
ON THE IDEA OF ITS CLEAN
FLOORS. YOU HAD BETTER BE
WILLING TO PAY YOUR WORKERS
ENOUGH TO DO THE JOB WELL AND
WITH DIGNITY. DIDN'T ANY IS NOT
A PERK. SO IF YOU WANT TO HELP
YOUR WORKERS SEND TO BETTER
PAYING JOBS IN THE FUTURE
THAT'S GREAT IT DOESN'T RELIEVE
YOUR OF YOUR OBLIGATION TO PAY
THEM FAIRLY FOR WHAT THEY DID
TODAY. SOME CONTENT. I DON'T
LIKE THEIR PAY THEY SHOULD JUST
GO FIND OTHER JOBS. BUT THERE'S
NOWHERE ELSE FOR THEM TO GO
WHEN EVERY OTHER EMPLOYEE
SHARES DISNEY'S VIEW. THAT
WORKERS ARE AN INFINITELY
REPLENISHING SUPPLY OF NAMELESS
FACELESS SPARE PARTS. WE SHOULD
ALWAYS AND ONLY BE PAID AS
LITTLE AS THE GOVERNMENT ALLOWS.
BRITAIN UNANIMITY ON THIS
BORDERS ON POLLUTION THERE'S NO
SUCH THING AS A FREE MARKET
WHEN THERE'S NO WHERE ELSE FOR
WORKERS TO GO. THIS IS WHY I'M
SPEAKING OUT FOR SB THIRTY
SEVEN IT WOULD BE NICE TO
IMAGINE THE CORPORATIONS WOULD
ALL BE NICE. AND DO THIS
VOLUNTARILY BUT I THINK WE CAN
BE CERTAIN THAT'S NOT GONNA
HAPPEN. THE CHAMBER OF COMMERCE
CALLS A JOB KILLER AND IT
DEFIES ALL LOGIC I'M STILL
TRYING TO FIGURE OUT WHY IT
WOULD BE A JOB KILLER. EVEN
COME WITH MORE MONEY TO INVEST
IN HIGH. IN CAPITAL
IMPROVEMENTS THAT'S NONSENSE A
TAX CODE IS AS MUCH A STATEMENT
OF SHARED VALUES AS A WAY FOR
GOVERNMENTS TO GENERATE REVENUE
SOMETIMES IT USES CARROTS LIKE
TAX BREAKS FOR CORPORATE
BEHAVIOR THAT BENEFITS AT ALL
AND ALL I AM ALL FOR THAT. BUT
WHEN FIFTY THREE MILLION
WORKERS EARN BARELY ENOUGH TO
LIVE AND C. SUITE EXECUTIVES
CONTINUE TO BUILD AND REINFORCE
THE STRUCTURE THAT CREATE THESE
PROBLEMS IT'S TIME TO BRING OT
THE STICKS. THIS IS A COMPLEX
HISTORICAL PROBLEM AND IT WON'T
BE SOLVED IN ANY SINGLE MATCHER
BUT SB THIRTY SEVEN IS A BIG
STEP IN THE RIGHT DIRECTION AND
I URGE YOU TO SUPPORT. MUCH AT
SOME MONEY WE'RE GONNA HAVE YOU
HANG THERE WITH US AND SEE IF
WE HAVE QUESTIONS OR COMMENTS
FROM THE COMMITTEE JUST A BIT
THAT COULD TAKE CARE OF SOME
HOUSEKEEPING BEFORE WE GO TO
MISS KLASKY JUST WANNA INSURED
SENATOR YOU ACCEPT THE
TECHNICAL MEN'S YES I DO AND
APOLOGIES FOR NOT OPENING WITH
NO YOU YOU'RE GOOD YOU'RE GOOD
THANK YOU SO MUCH WAS PLUS GIVE
THE FLOOR IS YOURS SIR YOU
HAVE. FOUR MINUTES HE WAS
SHERMAN. REMEMBER THE COMMITTEE
AND MARK PULASKI. CALIFORNIA
LABOR FEDERATION WE SUPPORT
THIS BILL. IN ADDITION TO WHAT
TOM THE AUTHOR SAID ABOUT. HE
INCOME IN THE CAR. CALIFORNIA
PARTICULAR SUFFERS FROM THE
WITH ANY OF MORE THAN ANY OTHER
STATE. AND THE SB THIRTY SEVEN
GIVES AN INCENTIVE FOR
COMPANIES TO STOP OR AT LEAST
SLOW DOWN THIS GROWING GAP. OUR
OF INCOME INEQUALITY IS GOING
GAP BETWEEN CEO COMPENSATION
AND WORKERS PAY. WE GREW PETER
DRUCKER PREACH THE MAXIMUM
EXECUTIVE COMPENSATION SHOULD
BE. AT AROUND SHOULD TOP
OFFERED TWENTY TIMES THE WORK
OF THE AVERAGE WORKER'S WAGES
THAT TWO HUNDRED TIMES A THREE
HUNDRED TIMES A HUNDRED TIMES
THOUSAND TIMES BUT TODD TWENTY
TIMES THE AVERAGE WORKER PAYS
WHAT. WHAT COMPENSATION SHOULD
TOP OFF AT. CORPORATIONS NOW
ENJOY THE LOWER SHARE OF TAXES
IN FORTY YEARS. OFFICE OF THE
STORED AND WORKERS INCOMES HAVE
STAGNATED. DELL DELL'S ANOTHER
GROUP WHO SUPPORTS STRONG
CORPORATE PROFITS. ADMITS THE
PAY DISPARITY IS QUOTE A
SERIOUS VERY SERIOUS SOCIETAL
PROBLEM. AS WE'RE DOING ABOUT
IT HIS IS NOT UP TO HIM. THERE
WAS ECHOED BY THE RECENT
RECENTLY BY THE CEO OF UBER WE
SAID THAT WE KNOWLEDGE THAT
THIS IS A PROBLEM. BUT ALSO
SAID THAT- HE SECOND DOING
ABOUT IT IS UP TO SOCIETY TO DO
IT. BUT WE ARE THE BEST
REPRESENTATION OF SOCIETY HERE
IN THIS IN THIS BUILDING. MANY.
MANY OF BOTH SIDES OF THE AISLE
ASSUME THAT- OR FORESEE THAT
THE NEXT RECESSION IS AROUND
THE CORNER. WHEN IT HITS WITH
THIS PIECE THIRTY SEVEN OF THE
FACT. FOR YOU CAN CONTINUE TO
GROW OUR ECONOMY. WE CAN CREATE
MORE SUSTAINABLE JOBS BECAUSE
WE GIVE THOSE WORKERS THE
PURCHASING POWER TO KEEP OUR
ENGINE GOING. SB THIRTY SEVEN
WERE GIVEN INCENTIVES THAT
ENCOURAGES BETTER WORKER PAY
OVER EXCESSIVE CEO COMPENSATION.
TO LOWER THE TAX RATE FOR
COMPANIES WHO NARROW THE GAP OF
INEQUALITY FOR THEIR WORKERS
AND THAT'S ALL I HAVE TO SAY.
THANK YOU THANK YOU VERY GREAT
FOR YOUR SUPPORT THANK YOU SO
MUCH HER GRAVE OF YOUR
TESTIMONY BUT WE LIKE TO BE TO
DO NOW IS OPEN IT UP TO THOSE
WHO ARE IN SUPPORT IF YOU COULD
PLEASE STATE YOUR FIRST AND
LAST NAME ALONG WITH YOUR
STATION WE WELCOME YOU AND WISH
YOU HAPPENING. I CHAIR MEMBERS
MY NAME IS SEVEN MEN CAN I'M
WITH VOICES FOR PROGRESS AND
OUR MEMBERS ARE THE PRESENTERS
IN SOCIETY WHO ADVOCATE
ALONGSIDE THE 99% MANY OF THEM
ARE BUSINESS LEADERS WE. AND IN
STRONG SUPPORT OF THIS BILL
EVEN THOUGH IT MIGHT GO. AROUND
FINING SOUTH IT. AS BELIEVE
THAT WORKERS. I SHOULD LIVE
LIVES WITH DIGNITY AND RESPECT
AND THAT MEANS THAT.
CORPORATIONS MUST PAY THEIR
FAIR SHARE AND WORKER SHOULD
NEVER LIVE IN POVERTY. THANK
YOU SO MUCH. GOOD MORNING.
HAPPY NEW YEAR CHAIR AND
MEMBERS OF THE COMMITTEE MY
NAME IS JACKIE LONG TIME WITH
THE GRACE INSTITUTE AND THE
AND- POPPING CAMPAIGN- WE WORK
TO ADDRESS CHILDHOOD POVERTY
FOR THE TWO MILLION CHILDREN.
AND CALIFORNIA- IN THE RICHEST.
NATION IT IS ACTUALLY
UNCONSCIONABLE THAT WE HAVE TWO
MILLION CHILDREN LIVING IN
POVERTY. I BELIEVE THAT IT WILL
GO A LONG WAY. ADDRESSING THEIR
NEEDS AND CREATING THE REVENUE
AND TERRY TANTRIC. CAL PARTY IN
CALIFORNIA. YOU SEE THANK YOU
SO MUCH. MORNING THANK YOU
MISTER CHAIR MEMBERS OF. THE
JESSICA BARTOLO WITH THE
WESTERN CENTER ON LAW AND
POVERTY AND ALSO THE CHAIR. OF
THE SAFETY NET SUBCOMMITTEE
FOUR THAT LEFT CHILDREN OUT OF
POVERTY TASK FORCE WOULD
SUPPORT JUST MEASURE THANK YOU
SO MUCH. THE MORNING. TURN
MEMBERS SURELY DOWN THE HAVE
THE CALIFORNIA SCHOOL VERSUS
YUSHIN STRONG SUPPORT OF THE
SPELLING SCHOOL FUNDING THANK
YOU THANK YOU SO MUCH MORNING
SIR MORNING CHAIRS MEMBERS- MY
NAME IS TREVOR ROGERS AND I
REPRESENT GOLDEN STATE
OPPORTUNITY- AND WE'RE HERE TO
SUPPORT THIS MEASURE HAPPY NEW
YEAR A HAPPENING THANK YOU SO
MUCH. ONE OF THE NEAR MISTER
CHAIR. SANDRA LOW I REPRESENT
WORKING HERE ACT. NO SANDBURG I
FOUNDER STANDING IN STRONG
SUPPORT WE REPRESENT WORKING
FAMILIES WHO ARE TRYING TO GET
OUT OF POVERTY THANK YOU THANK
YOU FOR BEING HERE. GOOD
MORNING SIR. MISTER CHAIR
MEMBERS NOW BROUGHT FOR THE
TEAMSTERS AND UNITE HERE AND
SUPPORT WE REPRESENT SOME OF
THOSE WORKERS AT DISNEY THANK
YOU. THANK YOU. THE MORNING.
THIS CHAIRMAN MEMBERS TERRY
BRENNAN BEHALF OF- S. YEAH YOU
CALIFORNIANS STRONG SUPPORT
THANK YOU THANK YOU SIR. GOOD
MORNING. GOOD MORNING CHAIR
ESPERANZA ROSSUM BEHALF OF ASKS
BE THIRTY TWO NINETY NINE UC'S
SERVICE SUPPORT WORKERS IN
SUPPORT A THANK YOU SO MUCH
MORNING IT RAMOS RETURN
MEMBERS- CATALINAS AND SHOW
SOME. OF THE CALIFORNIA THE
FORMER STATIONS. SENIOR MORNING
MORNING KATIE HARD I MEAN WITH
THE CALIFORNIA TEACHERS
ASSOCIATION AND SUPPORT THEM AS
THEY WOULD PROVIDE ADDITIONAL
RESOURCES TO SCHOOLS
INCOMMUNICADO THANK YOU SO MUCH
THE MORNING GOOD MORNING SHERRY
MEMBERS KELSEY PAM OF THE
CALIFORNIA PATRIOTIC
MILLIONAIRES WE SEE IN STRONG
SUPPORT OF THIS BILL. THANK YOU
SO MUCH. MORNING. MEMBERS
TRISTEN BROWN OF CALIFORNIA
FEDERATION OF TEACHERS FROM THE
REASONS YOU'VE HEARD THE
SUPPORT SCHOOLS WE ARE IN
STRONG SUPPORT OF THIS BILL
THANK YOU SO MUCH IT'S GONNA BE
LAST CALL FOR THOSE WHO ARE IN
SUPPORT LAST CALL FOR THOSE IN
SUPPORT IF YOU COULD PLEASE
COME FOR THIS TIME. ALL RIGHT.
BUT WE NOW WOULD LIKE ME TO DO
IS TRANSITION TO OPPOSITION.
WE'RE GONNA ASK THAT ARE TWO
WITNESSES MAKE WAY FOR-
WITNESSES WHO ARE OPPOSE WILL
ASK OUR WITNESSES TO BE ABLE TO
COME BACK AFTER OPPOSITION
SPEAKS. I AM ARE EQUAL TIME
WE'RE GONNA HAVE ONE PRIMARY
ONE PRIMARY. NOT TO EXCEED
SEVEN MINUTES IN UP TO
SECONDARY NOT TO EXCEED FOUR
MINUTES EACH. ALL RIGHT. WHO IS
GOING TO BE OUR PRIMARY
OPPOSITION GOOD MORNING SIR IF
YOUR MIND IS INTRODUCING
YOURSELF THE FLOOR IS YOURS AND
I'LL GIVE YOU THIRTY SECONDS
PROMPT AS YOU GET CLOSE THAT
SEVEN WELCOME TO COMMITTEES
GOOD MORNING CHAIR MEMBERS
PETER BLOCKER CALIFORNIA
TAXPAYERS ASSOCIATION AND ALSO
REPRESENT A LOT COALITION OF
TAXPAYERS WHO ARE IN OPPOSITION
TO THIS BILL. SB THIRTY SEVEN.
HOUSE OF TAX INCREASE. ON MORE
THAN DOUBLE THE STATE'S
CORPORATE TAX OF FOR SOME
EMPLOYERS. HOWEVER IT'S NOT
JUST THE INCREASE THAT IS
PROBLEMATIC FOR CALIFORNIA
TAXPAYERS BUT THE NOVEL WAY IN
WHICH ECHOES ABOUT. RAISING THE
RATES. SO EXAMINE HOW THE BILL
WORKS IS IMPORTANT TO NOTE THE
SIGNIFICANCE IN CONTEXT OF JUST
HOW LARGE. A TAX INCREASE THIS
WOULD BE. IF THE COMPANY'S NET
INCOME IS OVER TEN MILLION
DOLLARS. IT'S TAX RATE GOES
GOES UP RIGHT OFF THE BAT 25%
AND THIS IS BEFORE ANY
COMPENSATION RATIOS ARE
CONSIDERED. AND IT SHOULD BE
NOTED THAT THESE TAXPAYERS PAY
ROUGHLY TWO THIRDS OF ALL
CORPORATE TAX REVENUE IN THE
STATE REVENUE SOURCE THAT IS
INCREASED- EVERY NEARLY EVERY
YEAR OUTSIDE OF RECESSION
ADVANCE. SO ALL THESE TAXPAYERS
WOULD HAVE A TEN POINT 84% RATE
WE SHOULD GET CALIFORNIA AT
THIS POINT NEARLY THE HIGHEST
STATE IMPOSE CORPORATE TAX FREE
IN THE U. S. FROM THEIR
COMPANIES TAX RATE CAN
INCREASE. ANYWHERE FROM UP TO
FOURTEEN POINT EIGHT FOUR
PERCENT. BASED ON THE RATIO.
THIS RATE ALONE WHEN NEARLY
DOUBLE THE STATE'S CURRENT
RATING WOULD BE THE HIGHEST IT
WOULD BE THE HIGHEST IN THE U.
S. THEN WHEN YOU ADD ON THE
PERSON. ALREADY COMPANIES US
WORKFORCE. ONE CREASING
CONTRACT WORKERS ARE FOR
EMPLOYEES. CALIFORNIA'S TOP
RATE WOULD NOT JUST BE THE
HIGHEST IN THE US WITH A TWENTY
TWO. POINT 26% RATE BUT IT ALL
BUT THIS WOULD EXCEED THE
AVERAGE RATES OF COUNTRIES IN
ASIA AND THE EUROPEAN UNION.
WHICH IS SPECIALLY DISADVANTAGE
AT A DISTANCE JUST A BIG A BIG
DISADVANTAGE FOR STATE THE
PROBABLY COMPETES GLOBALLY.
COULD ALSO THAT WHEN EXAMINING
THE 50% INCREASE PROVISION IT'S
NOT HARD COPY EXAMPLES WHERE.
THIS WOULD APPLY TO SITUATIONS
NOT NECESSARILY INTENDED BY THE
AUTHOR. FOR EXAMPLE A COMPANY
COULD HAVE A PRODUCT THAT
SUCCESSFUL ANOTHER PART OF THE
WORLD. SO IT OPENS UP MORE
RETAILERS MORE RETAIL STORES
MANUFACTURING OR THINGS THERE-
AND THAT IS A TOTAL SEPARATE
EITHER FINANCIAL VAN NATURAL.
THE EVENT FEDERAL INTERVENTION
SOMETHING HAPPENS- IN THE U. S.
AND IT COULD CAUSE A DECREASE
EMPLOYEES- THERE ARE CERTAIN
SITUATIONS LIKE THAT. THAT A
COMPANY WOULD THEN BE PENALIZED
BY 50% HIGH- HIGHER RATE. WHEN
IT MAY BE IN A SITUATION THAT
IT'S ACTION NEEDS HELP BECAUSE
IT'S NOT DOING WELL. ON TOP OF
THAT THE FRANCHISE TAX BOARD
STATES IN THERE. THE BILL. IN
REFERENCING THIS PROVISION THAT
THE THAT QUOTE THIS COULD RAISE
CONSTITUTIONAL CONCERNS AND OF
THE FOREIGN COMMERCE CLAUSE OF
THE U. S. CONSTITUTION. BECAUSE
IT COULD APPEAR TO IMPROPERLY
FAVOR U. S. ACTIVITY OVER
FOREIGN COMMERCE. DESPITE THIS
CONSTITUTIONAL ISSUE LET'S
ASSUME THIS IS THAT THIS
BECOMES THIS IS LAW AND IT'S
LEGAL- THESE COMPANIES TAX
RATES GO UP AS A RESULT OF THE
BILL. I'M THE QUESTION IS WOULD
CEO PAY ACTUALLY GO DOWN. AND
NOT ACCORDING TO WHAT WE'VE
SEEN RECENTLY- THERE IN THE
CITY IS THEANALYSIS POINTS
OUT. THE CITY PORTLAND
IMPLEMENTED A VERY SIMILAR-
MEASURE AND- AN ANALYSIS FOUND
THAT THERE WAS NO NO EVIDENCE
THAT THE LIGHT ANY IMPACT ON
CEO. COMPENSATION THERE. AND
ALSO JUST AS A REMINDER LAST
YEAR CALIFORNIA CONFORM TO A
PIECE. OF FEDERAL TAX LAW THAT
REMOVED THE DEDUCTION FOR
EXECUTIVE PAY. INCLUDING
PERFORMANCE PAY THUS PENALIZING
COMPANIES THE MORE THEY PAY
THEIR HIGHEST PAID EXECUTIVES.
WE'VE ALREADY TAKEN STEPS
TOWARDS THIS GOAL LESS THAN
TWELVE MONTHS AGO. SO THEN WHO
FEELS THE PAIN OF TAX INCREASES
LIKE THIS TAX INCREASES LIKE
THESE USUALLY OFTEN FALL
EMPLOYEES AND CONSUMERS. I TWO
THOUSAND SEVENTEEN TAX
FOUNDATION STUDY FOUND THAT THE
CORPORATE TAX FALLS PROBABLY ON
LABOR WHICH A GROUP ESTIMATES
BEARS AT LEAST 70% OR IF NOT
ALL OF THE BURDEN. AT SOME
POINT TAX INCREASES ON BUSINESS
IMPACTS INDIVIDUALS THROUGH
LAST ECONOMIC GROWTH LOWER
WAGES HIGHER PRICES FEWER JOBS
OR DECREASE RETURNS IN
RETIREMENT INVESTMENTS. IN
ADDITION THESE PROBLEMS THIS
TAX BE INCREDIBLY DIFFICULT AND
PROBLEMATIC TO IMPLEMENT. AS
THE COMMITTEE ANALYSIS ALSO
POINTS OUT IT WOULD TAKE THE F.
T. B. WOULD TAKE UP TO BE
SIGNIFICANT RESOURCES THAT THEY
LIKELY DO NOT HAVE IN ORDER TO
COLLECT ADMINISTER THE TAX. AND
TAX CARE. AND THE TAXPAYERS
SIDE COMPLAINTS WOULD BE
NOTHING SORT OF SHORT OF A
NIGHTMARE. ESPECIALLY WHEN
TRYING TO CALCULATE
COMPENSATION RATIO. AS
GREENHOUSES ALSO NOTES
CORPORATIONS HAVE COMPLEX TAX
RETURNS THAT CAN INCLUDE
THOUSANDS OF US SUBSIDIARIES
AND AFFILIATES AROUND THE
ORLD. AND INVOLVE COMPLEX
UNITARY GROUP DETERMINATIONS
AND APPORTIONMENT COMPUTATIONS.
ADDITIONALLY THESE COMPANIES
REGULARLY CREATE MERGING
DISSOLVE NEW AFFILIATES AND
SUBSIDIARIES AND THROUGH ALL OF
THIS THEY WOULD BE REQUIRED TO
FIND A SINGLE MEDIAN SPARE. AND
THIS IS IN AN EVER CHANGING CUP
CLIMB- FROM DAY TO DAY FOR-
BUSINESSES. AND YET TO BE
WITHIN HAVE TO VERIFY THE HAVE
THE RESOURCES TO VERIFY EACH OF
THESE MILLION TAXPAYERS WHO
THEY ARE- THEY WOULD LIKELY
HAVE TO PERFORM AN AUDIT. AND
THEN ON TOP OF THAT THEY WOULD
HAVE TO DEAL WITH IT THE
TAXPAYER FELT LIKE THEY WERE
LIKE THERE'S- RATE WAS-
INCORRECTLY DETERMINED. THEY
COULD FILE- FILE FOR A CLAIM
FOR REFUND WHICH WOULD. AGAIN
INCREASE THE COMPLIANCE COSTS
AND WORK FOR AT TO BE. UNTIL
FINALLY WE CONSIDERING SB
THIRTY SEVEN ONE MAY ASK
WHETHER IMPLEMENTING THIS BILL
IS EVEN NECESSARY ESPECIALLY
AFTER THE GOVERNOR. YES OPPOSE
A RECORD SETTING TWO HUNDRED
TWENTY TWO POINT TWO BILLION
DOLLAR BUDGET- WITH ENORMOUS
SURPLUSES RECORD SPENDING FOR
EDUCATION AND FOR THESE REASONS
WE AFFECT RESPECTFULLY URGE A
NO VOTE. THANK YOU SO MUCH TEST
ME SIR WE'RE GRATEFUL RAN
TURNED OVER TO OUR SECONDARY
WITNESS SIR YOU HAVE. NO MORE
THAN FOUR MINUTES WE WELCOME
YOU TO COMMITTEE HAPPY NEW YEAR
AT WILL GIVE YOU THIRTY SIX
SECOND POMPOUS TO GET CLOSE TO
FOUR. FLOORS OR SERVE YOU CAN
SENATORS YOURSELF EXCELLENT.
CHAIRMAN MEMBERS GOOD MORNING
THANK YOU FOR THE OPPORTUNITY
HERE TODAY MY NAME IS ROB
LAPSLEY ON THE PRESENT A
CALIFORNIA BUSINESS ROUNDTABLE.
WE REPRESENT A LARGE EMPLOYERS
ACROSS THE STATE. AND I WANT TO
PUT MY OPPOSITION TO THIS BILL
IN KIND OF A MORE SPECIFIC
CONTEXT IF I COULD. HI I'M I'M
NOT HERE TODAY TO DEFEND CEO
PAY. WHAT I AM HERE TODAY TO DO
IS TO SEND JOBS AND FUTURE JOB
GROWTH. BECAUSE WHAT THIS BILL
DOES AND THE MESSAGE IS SENDING
ACROSS THE COUNTRY I WHEN YOU
TAKE INTO CONSIDERATION AB FIVE
AND YOU TAKE INTO CONSIDERATION
MINIMUM WAGE AND OTHER BILLS
BILLS THAT FRANKLY FROM AROUND
TABLE PERSPECTIVE WE DIDN'T
OPPOSE MINIMUM WAGE. FIVE WE
OPPOSED AB FIVE WE SUPPORTED
THE TAX CONFORMITY BUILT WE
NEED WE LOOK FOR POLICIES THAT
ARE GOOD BUT IN THIS CASE WHEN
YOU LOOK AT THE MAGNITUDE OF
THIS POLICY IS GOING TO SEND
THE WRONG MESSAGE ACROSS THE
COUNTRY AGAIN OF EXACTLY WHERE
CALIFORNIA IS GOING. IN TERMS
OF ITS JOBS CLIMATE. WE
COULDN'T SEND AWARD SIGNAL
BECAUSE WHAT IT'S DOING IS
AGAIN TAKE THE CEO PAY OUT OF
IT WHAT IS SENDING IS A BROADER
SIGNAL THE LEGISLATURE IS
INTENDING TO BE ABLE TO
REGULATE EVERY ASPECT OF FREE
ENTERPRISE. IN THE STATE. AND
PEOPLE GET. WHAT IS NOT DOING
IS ITS JOB AND LOOKING AT IF
THERE IS A DISCUSSION ABOUT
PAYING YOUR FAIR SHARE WE HAVE
A PERSPECTIVE ON THAT OTHERS
HAVE A DIFFERENT PERSPECTIVE
AND LET SIT DOWN AND MODERNIZE
OUR TAX STRUCTURE MISTER
CHAIRMAN AND MEMBERS LET'S HAVE
AND LEAD A DISCUSSION ABOUT
WHERE CALIFORNIA NEEDS TO GO.
I'VE HAD THIS DISCUSSION WAS
CENTER HERTZBERG REGULARLY
BECAUSE WE WOULD SUPPORT THAT
WE WOULD BE PART OF THAT I AM
PART OF AN APPLE I HAVE A BROAD
COALITION OPPOSITION'S BILL BUT
I'M ALSO PART OF MOBILIZING THE
BUSINESS COMMUNITY IN
OPPOSITION TO SPLIT ROLE. I'M
AGAIN ANOTHER CHIU THAT
EXEMPLIFIES WHY WE HAVE TO GET
AT MODERNIZING OUR TAX SYSTEM.
AND YOU HAVE THE EXPERTISE HERE
EVEN IN THE IN THIS ROOM TO DO
THAT. WE WANT TO WORK WITH THE
GOVERNOR WE WANT TO WORK WITH
YOU. BUT WE CAN'T DO IT ON A
PIECEMEAL APPROACH WITH BILLS
LIKE THIS. BECAUSE OF THE
BROADER IMPACT IS GOING TO HAVE
FOR CALIFORNIA'S HOLE AND THEN
LASTLY I WILL LEAVE YOU WITH
THIS THOUGHT. YOU'RE NOW
OPENING UP THE DOOR ON THESE AS
A MATTER TO PRIVATE BUSINESS.
WELL NO IDEA. WHAT'S GOING TO
HAPPEN WITH THE BEHAVIOR
PRIVATE BUSINESSES BECAUSE YOU
SEE THE PRICE ON THE ON PUBLIC.
COMPANIES PRIVATE BUSINESSES
ARE A WHOLE DIFFERENT MATTER.
SO WE WOULD FOR THAT MATTER
ALONE ASK FOR YOUR OPPOSITION
TO THIS BILL. AND WE THANK YOU
FOR THE OPPORTUNITY TO BE HERE
THIS MORNING MISTER CHAIRMAN.
BUT SEE THANK YOU SO MUCH WE'RE
GRATEFUL FOR YOUR TESTIMONY
WOULD LIKE TO TAKE CARE OF SOME
QUICK HOUSEKEEPING BEFORE WE GO
TO OPPOSITION. THERE ARE FIVE
MEMBERS FIVE MEMBERS IN ENERGY
COMMITTEE FOR ON THIS DIES IN
ONE WHO IS PRESENT IN THE BILL.
AND ALL FIVE MEMBERS ARE GONNA
HAVE TO GO VOTE IN JUST A FEW
MINUTES. SO WHAT WE'D LIKE TO
BE ABLE TO DO IS WE WOULD LIKE
TO. INVITE THOSE WHO ARE
OPPOSED TO THIS BILL TO BE TO
SPEAK FIRST AND LAST NAME AN
ORGANIZATION. WE WOULD THEN
LIKE TO TAKE A- RECESS. ALLOWED
THOSE MEMBERS TO GO VOTE SINCE
THERE ARE SO MANY. AND WE HAVE
A CHAIR AND ENERGY WHO NEEDS TO
GO TO HIS NEXT HEARING. TO
APOLOGIZE ABOUT THAT. WHAT WE
LIKE TO BE TO DO NOW. IS INVITE
THOSE WHO ARE OPPOSED TO PLEASE
ADVANCE THE MICROPHONE THIS
TIME. WILL THEN TAKE A QUICK
RECESS. HEAD OVER TO ENERGY AND
THEN COME ON BACK AND FINISH
THE HEARING AND APOLOGIZE TO
ALL INDIVIDUALS INVOLVED. THE
FLOOR IS YOURS IN A CELL WE
HONOR WE HAVE THE FAMILY
BUSINESS ASSOCIATION CHAIRMAN I
DO REQUEST WE HAVE TWENTY
SECONDS TO EXPAND ON THE
PRIVATELY HELD IDE OF THIS
VERY QUICKLY THE OTHER ONES
HAVE BEEN PUBLICLY HELD
COMPANIES. THIS IS PRIVATE
THAT'S A DECISION HAS BEEN MADE
HOWEVER WHAT THAT REQUIRES A
WHOLE HOST OF DISCLOSURE THE
PRIVATE COMPANIES DO ART MAY
NOT BE PREPARED TO DO. AND DO
NOT TYPICALLY DO AS AS PUBLICLY
HELD CORPORATIONS ARE SO THIS
TO REQUIRE AN ADDITIONAL BURDEN
ON PRIVATE BUSINESS AND THAT'S
A FAMILY BUSINESSES ARETHE
PRIVATELY HELD ONE OF OUR
DEFINITIONS. SO THAT'S IT
THAT'S AN ISSUE AND THEN THE
PRIVACY WANT TO DISCLOSE THAT
WHAT HAPPENS TO IT SO THANK YOU
THANK YOU SO MUCH WE'RE VERY
GRATEFUL. THE MORNING MORNING
MR MEMBERS MANY HERE WITH A
CALIFORNIA LICENSE IS ISSUED IN
OPPOSITION THANK YOU SO MUCH. A
GOOD MORNING MISTER CHAIR
MEMBERS MAUREEN HIGGINS
REPRESENTING IN THE VAN MEDICAL
TECHNOLOGY ASSOCIATION AND BY A
COMMON OPPOSITION. THANK YOU SO
MUCH. HAVE BEEN HERE. MORNING I
DROVE COOK FOR THE CALIFORNIA
MANUFACTURERS AND TECHNOLOGY
ASSOCIATION WE ARE POST THANK
YOU SO MUCH. GOOD MORNING GOOD
MORNING JUSTIN HIGHER WITH THE
SILICON VALLEY LEADERSHIP GROUP
AND WE ARE ALSO OPPOSED THANK
YOU THANK YOU SO MUCH. A GOOD
MORNING MORNING PRESTON YOUNG
FROM THE CALIFORNIA CHAMBER OF
COMMERCE MORE OPPOSED TO THIS
BILL. THANK YOU SO MUCH.
MORNING WHEN FRED MAY NOT BE
HALF OF THE CHAMBER OF COMMERCE
ALLIANCE OF VENTURA AND SANTA
BARBARA COUNTIES IN OPPOSITION
THANK YOU. GOOD MORNING WELCOME
PARTY. JOANNE BUT IN COURT
REPRESENT IN SIX MONTHS THE
SECURITIES INDUSTRY AND
FINANCIAL MARKETS ASSOCIATION
ALSO IN OPPOSITION THANK YOU SO
MUCH. A GOOD MORNING THE
MORNING AIRING GUERRERO ON
BEHALF OF THE CALIFORNIA
ATTRACTIONS AND PARKS
ASSOCIATION ALSO IN OPPOSITION
THANK YOU MISTER GOOD MORNING
GOOD MORNING KEVIN TO DRY THE
REPRESENTING NFIB AND
OPPOSITION THANK YOU THANK YOU
SO MUCH GOOD TO SEE YOU. A GOOD
MORNING. JASON LANE CALIFORNIA
BANKERS ASSOCIATION AND
OPPOSITION THANK YOU MISTER
LAN. MASON GENERALLY LIKE TO
DO A LAST CALL LAST CALL FOR
THOSE WERE IN OPPOSITION TO THE
BILL. CAN YOU PLEASE ADVANCE AT
THIS TIME. ALL RIGHT. AGAIN I
FEEL LIKE I'VE BEEN APOLOGIZE
AND YOU ALL MORNING AND ON YOU
SAY ONE MORE TIME I APOLOGIZE
WE'RE GONNA TAKE A QUICK RECESS-ALLOW SINNERS SKINNER FOR
OTHERS TO BE A GO VOTE IN
ENERGY WILL RECONVENE SHORTLY
WE'RE GOING TO ASK THAT OUR TWO
WITNESSES IN OPPOSITION STAY
WHERE THEY ARE- AND BURIED
FIELD ANY QUESTIONS OR COMMENTS
FROM MEMBERS WE ALSO ARE GOING
TO ASK OUR TWO OUT WITNESSES IN
SUPPORT TO PLEASE COME FORWARD.
THE SERGEANTS WILL ADD A THIRD
CHAIR WE'LL BE RIGHT BACK WITH
YOU THANK YOU SO MUCH FOR YOUR
PATIENCE. WE'RE IN RECESS
. GOOD
MORNING. WE'RE GONNA RECONVENE
COMMITTEE HERE IN ABOUT A
MINUTE. WE'RE GOING TO ASK THAT
OUR- THANK YOU A VICE CHAIR.
THERE NIELSEN. HEAD ON BACK
WILL RECONVENE HERE IN JUST A
MOMENT
. WHAT YOU GET AS MUCH
TIME AS. ALL RIGHT I THINK
YOU'RE NEVER GOING TO RECONVENE
THE COMMITTEE THANK YOU FOR
YOUR PATIENCE WE ARE GOING TO
START WITH CONVERSATION FROM
THE COMMITTEE QUESTIONS
COMMENTS SHARING THE CONCERNS
WE'RE GONNA START WITH A VICE
CHAIR CENTER MORLOCK. THANK YOU
SENATOR SKINNER. I IN FOR
MORTGAGE COUNTY SO I WANT TO
DISCLOSE THAT. I'M A BIG IS THE
LAND. PAN. TWENTY FIVE YEARS
AGO WE HAD THE BANKRUPTCY THE
NEW YORK TIMES HAD TO TELL
EVERYBODY THAT I WAS REALLY
INTO MICKEY MOUSE TIES AND- I
DO HAVE QUITE A COLLECTION. OUR
MISSION TO MRS DISNEY RECENTLY
THERE THIS MORNING THAT I. IS
BORN IN NINETEEN FIFTY FIVE SO
I AYE BY ALL THE MEMORABILIA IF
IT SAYS NINETEEN FIFTY FIVE THE
NINE. ACRE AN IDEA AND I BUY IT
SO IT'S ALL FUN. I ALSO SHOULD
DISCLOSE THAT TO. DISNEY HAS
BEEN GOOD ABOUT STEALING MY
STAFF MEMBERS. YEAH I LOST THAT
ONE WHEN I WAS SUPERVISOR AND I
JUST LAST ONE LAST WEEK- FOR MY
DISTRICT OFFICE. BUT I'M I'M
NOT BITTER. YEAH THANK YOU
SENATOR HERTZBERG I DID NOT
COME HERE TO RAISE TAX RATES SO
THAT'S WHERE I'M I'M HAVING.
ISSUES OF COURSE BUT JUST THE
WHOLE CONCEPT OF DEALING WITH
COMPENSATION ISSUES DISNEYLAND
HAS BEEN USING- YOU KNOW A LOT
OF- SPACE SAID THE ANAHEIM
STADIUM AS WELL FOR PARKING IN
AND SO THERE WE HAVE ATHLETES
ARE MAKING INCREDIBLE AMOUNTS
OF INCOME FOR THEIR SKILL SET
SO THERE'S ALWAYS SOME DYNAMICS
ON ON. ON THAT SO I JUST HAD A
FEW QUICK QUESTIONS SENATOR
JUST- THE FIRST WOULD BE LIKE
WHAT WOULD BE THE IMPACT ON
STOCK PRICES. OF SOME OF. THE
MY DISNEY WHICH WOULD BE YOU
KNOW PROBABLY IN THAT CALPERS
OR CAL STIRS. PORTFOLIO AND I
JUST. WONDER IF WE IF WE HAVE
ANY ECONOMIC STUDIES OF WHAT
HAPPENS WHEN YOU RAISE RATES I
I'M SURE I CAN GO TO. ART
LAFFER AND FIND SOME
INTERESTING STUDIES BUT I.
WONDER IF WE HAVE ANYTHING ELSE
THAT. WHERE WOULD WOULD IMPACT
EVEN JUST OUR COSTS THANK YOU.
MISTER ROYSTER FOR THE QUESTION
SO IS I THINK ALL OF US KNOW
STOCK RATES ARE YOU KNOW HOW
THE STOCK MARKET RESPONSE TO
THINGS IS NOT ENTIRELY
PREDICTABLE AND ISN'T ALWAYS
RATIONAL BUT DE WHAT I THINK IS
THE REALLY WAY TO ANSWER THIS
IS THAT THE BILL IS DESIGNED
YES THE WAIT IS CURRENTLY
BEFORE YOU IT DOES INCREASE THE
BASE RATE. ONE LARGE
CORPORATIONS THAT HAVE TAXABLE
BUSINESS OF HIGHER THAN TEN
MILLION IN CALIFORNIA SO THERE
IS A BASE RATE INCREASE NOW
THIS I OUR FIRST COMMITTEE IT
CERTAINLY COULD BE DESIGNED SO
THAT IT DIDN'T INCREASE THAT
BASE RATE. AND IT SAID INSTEAD.
YOU KNOW CORPORATIONS THAT ALL
OF YOU IN THIS CATEGORY OF-
DOING TEN MILLION OR MORE IN
BUSINESS IN CALIFORNIA. IF YOU
HAVE A RATIO BETWEEN YOUR- I'M
CEO PAY YOUR EXECUTIVE SUITE
PAY AND YOUR AVERAGE. EMPLOYEE
PAY OF FIFTY OR BELOW WHICH WAS
EVEN HIGHERTHAN WHAT IT WAS IN
THE SEVENTIES THEN YOU WILL AND
YOU WILL HAVE JUST THE SAME
RATE YOU HAVE RIGHT NOW. AND IN
FACT THE SENATE DID ENTERTAIN A
BILL LIKE THAT A NUMBER OF
YEARS AGO. AND THAT THEN WE
WOULD PROGRESSIVELY RAISE IT
JUST AS AN EXAMPLE. BASED ON IF
YOU KEPT YOUR- YOUR DIFFERENCE
BETWEEN THE CEO PAYING YOUR
EMPLOYEES A LARGER AND LARGER
AMOUNTS SO IN THAT KIND OF A
STRUCTURE. IT'S REALLY UP TO
THE CORPORATION IF THE
CORPORATION WANTS TO AVOID THE
HIGHER RATE. THEY COULD MODIFY
THEIR THE CURRENT COMPENSATION
TO THEIR EXECUTIVES SANDER
AVERAGE EMPLOYEE PAY. AND
THAT'S REALLY WHAT WE'RE TRYING
TO INCENTIVIZE NOW AS I STATED
IN MY OPENING I BUILT IN THE
INCREASE. BECAUSE THOSE SAME
CORPORATIONS ARE THE ONES THAT
RECEIVED A SIGNIFICANT BENEFIT
FROM A RECENT TAX CUT THAT
OTHERWISE WAS GOING TO THE IRS.
AND THAT THAT SIGNIFICANT
BENEFIT HAS NOT YET TRANSLATED
INTO INCREASED PAY TO EMPLOYEES
SO. WITH IT WHEN EMPLOYEES AND
YOU KNOW LET'S LOOK AT
CALIFORNIA WE HAVE VERY LOW
UNEMPLOYMENT SO WE HAVE MOST OF
OUR CALIFORNIANS ARE WORKING
AND YET WE HAVE 25% OF PEOPLE
IN VERY EXTREME POVERTY. BUT
THEIR WORK IN. SO THOSE SAME
PEOPLE ARE THEN USING OUR
SOCIAL SERVICES THAT WE ARE
PAYING FOR. AND SO IT'S SORT OF
LIKE TO CREATE THAT MORE LEVEL
PLAYING FIELD TO ACKNOWLEDGE
THAT THE TAXPAYER NOW IS FUND
IS HOLDING THAT BILL VERSUS THE
CORPORATION. SO THAT'S WHY I
DECIDED THE WAY DID BUT
CERTAINLY AS THIS BILL MOVES
FORWARD WE COULD HAVE
DISCUSSIONS ON SINCE MY PRIMARY
OBJECTIVE. IS TO INCENTIVIZE
THE CORPORATION SHRINK INCOME
INEQUALITY I AM HAPPY TO HAVE
THE CONVERSATION ABOUT WHAT IS
A WAY TO STRUCTURE THIS IN A
BETTER WAY THAT MIGHT ACHIEVE
THAT. I'M I'M CONCERNED TOO
ABOUT WAGE DISPARITY WITHIN
EVEN SAY THE STATE OF
CALIFORNIA HOW DO WE LOOK AT
OUR OWN HOUSE THE LA TIMES JUST
A COUPLE WEEKS AGO CAME OUT
WITH AN ARTICLE ON THE WORKERS
COMP PROVIDERS STATE
COMPENSATION INSURANCE FUND AND
I HAD THE PRIVILEGE OF THIS
WEEK MEETING WITH THEIR CEO
WHO. I WAS REPORTED OF HAVING A
SALARY OVER SEVEN HUNDRED
THOUSAND DOLLARS A YEAR- WELL
IN EXCESS OF WHAT OTHER STATE
EMPLOYEES ARE MAKING ARE WE
GOING TO BE LOOKING AT OUR OWN
HOUSE WE HAVE. YOU SEE. THAT
AND WE HAVE YOU SEE COACHES FOR
FOOTBALL TEAMS ARE MAKING IN
EXCESS OF SIX FIGURES. HI I YOU
KNOW I'M I'M JUST WONDERING HOW
WE- DEAL WITH THAT WE HAVE
DOCTORS IN OUR SYSTEM OF COURSE
BUT- YOU WANNA TAKE. SHIFTING
YOU WANT TO TAKE. THE REVENUE
AND DEDICATED SPECIFICALLY TO.
CHILD CARE AND SCHOOLS JUST
LIKE IT HOW DOES IT INTERFACE
THEM WITH PROP NINETY EIGHT. SO
THE BILL NOW DOES NOT DEDICATE
THE REVENUE THE REVENUE
INCREASE WOULD GO TO THE
GENERAL FUND. BUT AS WE KNOW
UNDER PROP NINETY EIGHT. ANY
INCREASE IN GENERAL FUND A
MINIMUM OF 40% AND UPWARDS
GHOST FOR K. THROUGH TWELVE
SCHOOLS SO FROM THAT.
PERSPECTIVE IN INCREASE REVENUE
WOULD BENEFIT OUR K. THROUGH
TWELVE SCHOOLS WHAT OTHER
SERVICES IT BENEFITS WOULD OF
COURSE THEN BE WHATEVER THE
BUDGET IS ADOPTED BY THE
LEGISLATURE WHETHER IT GOES TO
INCREASE CHILDCARE. OR YOU KNOW
ANY OTHER NUMBER OF THINGS THAT
OF COURSE WOULD BE UP TO
GOVERNOR AND LEGISLATURE IN THE
BUDGET BUDGET THAT'S APPROVED.
MAYBE TO MISTER LAPSLEY. BY
COULD ASK A QUESTION- WE
SHOULDN'T THIS BE AT LIKE A
SHAREHOLDER MATTER ON HOW YOU
COMPENSATED CEO AND- I'M JUST
JUST KIND OF CURIOUS. HOW DO WE
INCENTIVIZE SAY ABOARD AS A
BOARD OF DIRECTORS TO. A LITTLE
MORE SENSITIVE TO THESE MMHM
MULTIPLIERS THAT ARE UP TO A
THOUSAND TO ONE SO CENTERED A
COUPLE POINTS CERTAINLY. IT
SHOULD BE A CHERYL MUCH
SHAREHOLDER MATTER THERE'S NO
QUESTION ABOUT THAT SOME
COMPANIES WILL MOVE QUICKER
THAN OTHERS. WHEN YOU TALK
ABOUT. THE GOOD SENATOR HERE
ABOUT THE FACT THAT THEY
RECEIVED A TAX CUT. I HAVEN'T
SEEN THAT TRANSLATE TO PAY
INCREASES THAT'S NOT
NECESSARILY TRUE THAT IS NOW IS
THERE IS THERE IS PAY INCREASES
HAPPENING THERE ALSO COMPLYING
WITH THE MINIMUM WAGE. BILL
THAT WAS PASSED BY THE
LEGISLATURE SO. THAT'S
RESIDENTS IN AUTOMATIC. A PAY
INCREASE AND THEY'RE ALL PAYING
FOR THAT. YOU KNOW WHEN YOU.
IT'S A VERY AS WE KNOW.
DELEGATE RELATIONSHIP BETWEEN
SHAREHOLDERS AND EXECUTIVES C.
SUITE EXECUTIVES IS WHAT'S
BEING SAID. HI I THINK THE REAL
QUESTION FOR THE COMMITTEE IS
WHAT MESSAGE DO YOU WANT TO
SEND WHAT KIND OF. JOB GROWTH
CLIMATE DO WE WANT IN THE STATE
WE ARE A FULL EMPLOYMENT NOW-
A- THAT'S BEEN A POSITIVE
SILICON VALLEY'S BEEN OVER 40%
OF THAT. BUT WHAT DOES IT MEAN
PARTICULAR FOR PRIVATE
COMPANIES HI THEY CAN GO AND
YOU WILL. PROBABLY NEVER KNOW.
WHEN A CUT WHEN YOU START TO
GET THESE KINDS. OF LAWS
PASSED. SO. AGAIN WE ARE CALL
AND I REQUEST IS THAT WE LOOK
AT IT FROM A BROADER
COMPREHENSIVE PERSPECTIVE THAT
WE REALLY LOOK AT THE POLICY
THAT AFFECTS EVERYONE. EQUALLY
AND THEN YOU CAN BRING THIS
ISSUE INTO THAT- BUT LET'S
MODERNIZE THE TAX SYSTEM LET'S
NOT DO IT AGAIN IN A PIECE BY
PIECE BASIS- THROUGH THE CHAIR
MAY I ALLOW MY WITNESS ALSO TO
ADDRESS THAT QUESTION.
STRUCTURE ARE GREAT PLEASE. SO
I'M DISEASE COMPENSATION
PACKAGE- WHEN ON- UP OR DOWN
VOTE FOR THE SHAREHOLDERS IN
TWENTY EIGHTEEN AND WAS
REJECTED BY SHAREHOLDERS. BUT
UNFORTUNATELY A LOT OF MADE IT
A NON BINDING VOTE. SO CHIRLA
GOVERNANCE IS OF VERY LIMITED
WAY OF GETTING. THINGS TO
CHANGE INSIDE OF COMPANIES
ESPECIALLY IN AN ENVIRONMENT
WHERE SHAREHOLDER PRIMACY HAS
BECOME THE ORDER OF THE DAY AND
IN THE BUSINESS ROUNDTABLE
ACTUALLY I COMMEND THEM FOR.
THEIR STATEMENT LAST YEAR
QUESTIONING THE CENTRALITY OF
THE SHAREHOLDER IS THE PRIMARY
AND ONLY THAT THE FISHERY OF A
COMPANY'S ACTIVITIES SO THE
BUSINESS COMMUNITY IS STARTING
TO ASK ITSELF SOME HARDER
QUESTIONS. AND THINK ABOUT THE
WAYS TO MEASURE SUCCESS BEYOND
SIMPLY SHARE PRICE AND I THINK
THAT'S A GOOD NEWS AND FRANKLY
I WORKED WITH MY FATHER. IN TWO
THOUSAND AND THREE- WE GOT A
39% MONTH NO VOTE FOR MICHAEL
EISNER WHO STATE BOARD ESTATE
YEAH IT'S A VERY EFFECTIVE WAY
OF MAKING CHANGE INSIDE
COMPANIES- FOR DISNEY THE
SHAREHOLDERS VOTE ON THE SALARY
NOT THE BOARD OF. NO NO THE
BOARD VOTED ON AND APPROVED IT
CHERYL THIS REJECTED IT BUT IT
WAS A NON BINDING VOTE. THE
BOARD WAS FORCED TO GO BACK AND
MAKE SIGNIFICANT CUTS AND IT
WAS ONLY JUST BARELY APPROVED
IN TWENTY NINETEEN. WILL THEN
AND DESIGNING. SOME KIND OF YOU
CALL AND SENATE BUT I HAVEN'T
REALLY. I ARMS AROUND THAT WORD
I'D LIKE TO BE. THE CENTER FOR
BUT- YOU THOUGHT ABOUT. AYBE
HAVING SOME REPERCUSSIONS TO
THE BOARD OF DIRECTORS WERE SB
THEY HAVE A- SOMETHING AS
OPPOSED TO PUNISHING THE WHOLE
CORPORATION AND- THE HIGHER
TAXES MAY BE PUNISHING THE
EMPLOYEES THEMSELVES. AS A- BUT
INTO A CONSEQUENCE. WELL DISNEY
AND IT IS- STOCK OPTION PROGRAM
MANY YEARS AGO SO UNFORTUNATELY
THAT THE EMPLOYEES ARE NOT
AFFECTED BY SHARE PRICE AND
RIGHT NOW UNDER THE UNDER THE-
BUT THE PRINCIPLES BY WHICH IS
BEING RUN WHICH ARE THE CHERYL
TO PRIVACY PRINCIPLES ON THE
SHAREHOLDERS INTERESTS AND CEOS
INTERESTS ARE TOTALLY A LOT- IN
THAT ALL ANYBODY'S LOOKING FOR
IS A HIGHER SHARE PRICE AND YOU
KNOW AS WELL AS I DO THAT-
THAT'S NOT GONNA BRING ABOUT
THE BEST AND MOST LONG TERM
DECISION MAKING AND FAT THE
BENEFIT THE STATE OF CALIFORNIA
IS COMPANIES ARE SPENDING LESS
ON OUR ANTI. TAKING MORE A
RECKLESS RISKS ARE THINKING IN
SHORT TERM THE STATE OF
CALIFORNIA DOESN'T BENEFIT BY
COMPANIES MAKING THOSE KINDS OF
PLACE. WE IN ALSO DRESS MY MAY
WITH CARE. AS A GOVERNMENT WE
ARE LIMITED IN THE WAYS THAT WE
CAN HAVE A CERTAIN POLICY
OBJECTIVES. BUT TO ACHIEVE THEM
WE HAVE TO DESIGN THINGS THAT.
ARE LEGALLY THAT YOU KNOW MEET
OUR LEGAL REQUIREMENTS. AND
WHILE I IMAGINE. BUT I'M NOT AN
EXPERT AND I'M SURE IF WE WERE
TO CHARGE OUR COMMITTEE WITH
TRYING TO COME UP WITH SOME
WAYS THAT WE MIGHT DO A
REQUIREMENT ON THE BOARDS OF
COMPANIES. YOUR THAT IS A SPACE
WHERE OUR LEGAL OPTIONS ARE.
MORE LIMITED. SINCE WE DO SET
THE TAX STRUCTURE FOR OUR STATE
IT IS IT. DOESN'T NECESSARILY
HAVE TO BE THE ONLY WAY. BUT IT
IS A TOOL THAT WE CAN USE. TO A
TO TRY TO DRIVE GOOD GOOD
BEHAVIOR. NOW AGAIN I RATE I
SAID IN THE OPENING IS THAT THE
ADDITIONAL REASON THAT I. PUT
IN THE BILL THE RAISING ON THE
BASE RATE IS BECAUSE WERE OUT
OF PLACE TODAY. WITH
CORPORATIONS THAT RECORD
PROFITS WITH. BASICALLY NO ONE
EMPLOYMENT AND YET 25% OF OUR
RESIDENTS LIVING IN POVERTY.
AND AS A TOTAL PORTION OF OUR
GENERAL FUND REVENUE. THIS
CATEGORY OF TAX THIS CORPORATE
INCOME TAX THE AMOUNT THAT A
CORPORATION PAYS BASED ON THE
BUSINESS THEY DO IN CALIFORNIA
IS THERE ARE LOWEST POINT AS A
PERCENT OF GENERAL FUND. SO I
REALIZE THAT I'M TRYING TO IN
THE WAY IT'S CURRENTLY DESIGNED
TO INTEGRATE A NUMBER OF POLICY
OBJECTIVES BUT I JUST WANT
EXPLAINED THAT THAT'S WHY IT
WAS DESIGNED THAT WAY NO I I'VE
THE LAST QUESTION BE SHEET IT
REAL QUICK- INTO VICE CHAIRMAN
CHASSIS. BRAKE QUICKLY I THINK
YOU WANT TO SAY ONE ITEM. FIVE
BY MR AROUND FIVE FOR A MOMENT
THANK YOU SO MUCH- SO IT'S
GONNA BE. REMINDS FRAZIER REAL
QUICK AND I APOLOGIZE LAST
COMING FROM THE VICE CHAIR WE
HAVE THREE OTHER MEMBERS WOULD
LIKE TO SPEAK SO WE'D LIKE TO
BE TO GO TO NEXT SENATOR
HERTZBERG THEY WERE GOING TO
SIT ON THE BALLOT. AND IN
SENATOR WIENER PLEASE MR BY
SURE THE FULL RESOURCE. FOR
THERE IS A COMPANY AND-
CALIFORNIA THAT THIS STATE IS
HEAVILY SUBSIDIZED THROUGH TAX
CREDITS. CARPOOL STICKERS AND
THAT'S TESLA. ITS C. E. O. ELON
MUSK WAS- JUST I JUST QUALIFIED
FOR A THREE HUNDRED FORTY SIX
MILLION DOLLAR PAY OUT- JUST
THE LAST FEW DAYS. I DOUBT IT
THAT COMPANIES EVEN HAD A
TAXABLE INCOME. TAX RETURN YET
AND SO HOW DO WE DEAL WITH
SITUATIONS WHERE YOU'RE NOT.
SEVEN TAXABLE INCOME BUT WE
STILL HIGHLY COMPENSATING BY
SEVERE MULTIPLES A COMPANY THAT
WERE ACTUALLY. SUBSIDIZING YEAH
IT'S AN IRRATIONAL HISTORICAL
ANOMALY THAT I THINK NEEDS
ADDRESSING THERE'S NO QUESTION
I DON'T KNOW IF WE ADDRESS IT
WITH THE SPELL I DON'T THINK IT
WILL BE QUITE ENOUGH. BUT AS
LONG AS THE VALUE OF A COMPANY
AND A PERSON ARE ONLY SEEN IN
TERMS OF SHARE PRICE I THINK
WE'RE GOING TO RUN UP AGAINST
THIS AGAIN AND AGAIN AND THIS
INSIDE ARE WE JUST STATE THAT A
CALCULATED ILAN MUST PERISH- IF
YOU ASSUME IS MINIMUM WAGE
EMPLOYEE. FIFTEEN PERSON OUR
IT'S ACTUALLY. SIXTY SIX. SIX
HUNDRED AND SIXTY SIX POINT SIX
JUSTIN WE'VE BEEN ABLE TO THEM
AND WE'VE BEEN ABLE TO YEAH
THIS LEGISLATURE OKAY THANK YOU
THANK YOU MISTER NOTHING SO
MUCH AS VICE CHAIR AND THANK
YOU TO SEND SKINNER WITNESSES
WERE NOT GONNA TURN IT OVER. TO
A MAJORITY LEADERS FOR. THANK
YOU MISTER CHAIRMAN ON. I DO
THINK MISTER LAPS LEE THERE IS
A SENSITIVITY THAT WE HAVE TO
HAVE HOME. I DO THINK THAT
THERE'S ASSUMPTIONS THAT ARE
MADE. THAT ON ALL SIDES THE
WRONG. QUESTION FROM A PUBLIC
POLICY PERSPECTIVE FROM MY VIEW
IS. WE FIND OURSELVES IN THIS
POINT IN HISTORY IN A UNIQUE
SITUATION. WELL WE WILL SOON
HAVE TRILLION AIRS. WHERE THERE
IS A TENSION BECAUSE OF THIS
DISPARITY THAT IS- DESTROYS THE
VERY FABRIC OF OUR DEMOCRACY.
IT'S DEEPER THAN WE'VE EVER
SEEN EVEN BACK IN THE DAYS WHEN
DUST REALIZATION ALIKE THE RATE
OF CHANGE THE ABILITY OF THE
GLOBALIZATION LEVEL O CAPTURE
CAPITAL IS EXTRAORDINARY. SO I
LOOK AT THIS MEASURE NOT IN ITS
PARTICULARS AND WHETHER IT'S
GOING TO COST THE F. T. BE MORE
MONEY ON THE BOARD OF
EQUALIZATION OR WHATEVER GROUPS
ADMINISTRATIVE. BUT I LOOK AT
IT YET CONTEXT OF MODERNIZATION
AND- WE USED TAXING AND THE
WORK OTHER PUBLIC POLICIES AS
TOOLS. AND ME FORD FAMOUSLY
SAID I WANT TO MAKE SURE THAT
MY PEOPLE HAVE ENOUGH MONEY TO
BUY MY CAR. RIGHT THE END OF
THE DAY EVERYTHING THAT WE DO
WE MENTIONED. TESLA YOU KNOW I
HAVE A SECTION THIS BOOK THERE
ARE MANY CALL THE TAX
SUBSIDIZED HAMBURGER WE ALL
WANT TO HAVE A DOLLAR
HAMBURGER. FAST FOOD STORE BUT
WHICH QUITE FRANKLY TAX
SUBSIDIZED BY EVERYBODY UNDER
THE SUN. IF WE HAD CORPORATIONS
THAT RAN LIKE POLITICAL
ORGANIZATIONS WE WOULD ORGANIZE
JANITORS AND CAFETERIA WORKERS
IN THE PEOPLE THAT THE MOST.
RATHER THAN INCENTIVIZE TO BUY.
ON BY SHEER PROFITS RIGHT HOW
TO WHAT IS THAT LOOK LIKE RIGHT
WE ARE BECAUSE WE'D BE WE WANT
THE MOST NUMBER OF VOTES VERSES
MAKING THE MOST AMOUNT OF MONEY
FOR THE FEWEST NUMBER OF
PEOPLE. TO THE QUESTION I LOOK
AT THIS QUITE FRANKLY YOU KNOW
I'VE BEEN THINKING ABOUT THIS
FOR A LONG TIME OF ALIGNING
CENTERS. IN MODERNIZING THIS
STUFF TO FIGURE OUT HOW WE
GREAT EQUITY AND IF YOU LOOK IS
YOU KNOW I'VE BEEN INVOLVED IN
THE ENERGY IN THE ENERGY
ALTERNATIVE SPACE FOR MANY
YEARS AND I REMEMBER. WHEN NONE
OF THE FORTUNE FIVE HUNDRED
COMPANIES HAD SHE
SUSTAINABILITY OFFICERS NOW
THEY ALL DO. I'VE SEEN THESE
FUNDAMENTAL SHIPS THAT A CAR IN
TERMS OF CULTURAL CHANGES AT
THE NATIONAL LEVEL THE
BUSINESS. ROUNDTABLE BEGINNING
TO CHANGE WHAT THEY DEEM IT YOU
KNOW TAKES A WHILE THESE THINGS
DON'T HAPPEN OVERNIGHT BUT IF
YOU LOOK IN THE VERY SHORT
ORDER THERE'S A SIGNIFICANT
SHIFT IN SO I. MY JUDGMENT ON
THIS IS THAT ALSO CORPS. COULD
YOU. JUST MENTIONED CENTER BELL
MAYBE MAKE IT A TAX REVENUE
REVENUE NEUTRAL TO REWARD THE
COMPANIES THAT ARE DOING BETTER
BEHAVIOR. I'M NOT ONLY TO THE
RIGHT ANSWER. YOU KNOW. THE
MONTH NOTHING FURTHER THAT IT.
BEARS A AN INTELLIGENT. NON
TONAL CONVERSATION THAT WE ALL
NEED TO SURVIVE WE ALL NEED TO
TAKE CARE OF EACH OTHER AT A
MUCH DEEPER LEVEL THAT PEOPLE
ARE REALIZING THAT AND WHETHER
IT'S THIS SORT OF TAX POLICY
WOULD OTHER SORT OF TAX POLICY
THE NOTION IS TO ALIGN
INCENTIVES OR REMOVE
DISINCENTIVES WHATEVER THE CASE
MAY BE. COURAGE INVESTMENT TO
ENCOURAGE SAVINGS TO ENCOURAGE
AND AVOID THIS SMALL BOX
CHRISSY IS THE TERM THAT I USE
THAT WE COULD ULTIMATELY GET.
BY VIRTUE OF THIS DOWNWARD
SPIRAL YOU KNOW FOLKS JUST
CAN'T KEEP INSULATING
THEMSELVES IT'S GOT IT WE HAVE
TO HAVE A SOCIETY THAT WORKS IN
THESE. THESE TERROR THE FABRIC
OF WHAT OUR DEMOCRACY IS ABOUT
THAT THE BALANCE HAS TO EXIST.
AGAIN WHAT THAT IS BUT I DO IT
IN THAT SENSE THAT I THINK THAT
IT'S AN HONORABLE CONVERSATION.
AT THE TONE HAS TO BE
RESPECTFUL OF ALL SIDES NOT
THAT I'M STICKING IT TO YOU
YOU'RE STICKING IT TO ME BUT WE
ALL CARE ABOUT ONE THING THAT
THIS DEMOCRACY WORKS OF THIS
EQUITY AND FAIRNESS OF THE
MARKETS ON THE ANYBODY
DISAGREES WITH THAT. BASICALLY
MADE THAT STATEMENT IN. YOUR
OLD I THINK. IS WE DEBATE THESE
THINGS INSTITUTIONS LIKE THIS
SHOULD NOT BE AFRAID TO ASK THE
TOUGH QUESTIONS IS WE ENGAGE IN
THIS LARGER. LARGER DYNAMIC I
JUST WANT TO SHARE THAT IS I
THINK THE LAST TEN YEARS
THINKING ABOUT THIS STUFF
TRYING TO FIGURE. IT'S
THORNBERG. YEAH ABSOLUTELY A X.
ON SOME OF THE TOUGHEST ISSUES
DOES THE DEEP DIVE TO BETTER
BRING BACK EVIDENCE BASED
SOLUTIONS APPRECIATE THAT VERY
MUCH WOULD LIKE TO BETTER TURN
THE FLOOR OVER TO SENATOR BELL
CENTRE WINNER IN CENTER NIELSEN.
SOME REPRESENTING THE AREA I DO.
I THINK THERE ARE CERTAIN
THINGS THAT. SILICON VALLEY ARE
APPLIED TO. WAIT CORPORATE
BEHAVIOR OF HERS IN MY AREA.
YEAH. EITHER BENEFITS OR
DOESN'T BENEFIT THE ECONOMY I
THINK BENEFITING THE ECONOMY
SHOULD BE PART OF OUR
DISCUSSION OF THE CORPORATE TO
ALL INCOME TAX STRUCTURE I
BELIEVE THAT. THANK ARM I
BELIEVE THAT. BENEFITING
ECONOMY MEANS TO ME. HIRING
PEOPLE EMPLOYING PEOPLE FAIR
WAGES. OUR CORPORATE PROFITS.
CORPORATE GROSS. HAVING ABILITY
TO FUNCTION IN THE STATE.
SUCCESSFULLY AN IN COMPETITION
WITH ANYWHERE IN THE WORLD. I
THINK THOSE ARE PRINCIPLES YOU
KNOW WHEN WE WANT A- LOOK AT
THE TAXATION PRINCIPLES THAT WE
SHOULD ESTABLISH FOR THE
CORPORATE INCOME TAX WE OUGHT
TO LOOK AT THAT. CLOSELY
FAIRNESS IS A PRINCIPAL.
COLLECTION IS A PRINCIPAL. BUT
WHEN I WHEN I LOOK AT WAY
THINGS ARE NOW. I THINK THERE'S.
LEAGUE CAUGHT LEAKAGE
LOOPHOLES- MAYBE ENCOURAGEMENT
OF SOME BEHAVIORS THAT ARE NOT
MORALLY ACCEPTABLE. MORALLY
ACCEPTABLE AND. I THINK ONE OF
THEM IS THAT. SAU RESERVES THE
INCUMBENT EXECUTIVES BASED ON
MARKET CAPITALIZATION. WE'RE
PART OF THE MARKET
CAPITALIZATION TACTIC IS TO LAY
OFF PEOPLE. I THINK IS A. MORAL
DILEMMA IN THAT TAX STRUCTURE
THAT WE HAVE NOW SO WE WANT TO
DISCOURAGE. LAYING OFF PEOPLE
WHO WANT TO ENCOURAGE
INVESTMENT REINVESTMENT. IN THE
BUSINESSES IN THE COMPANY- WE
WANNA COURAGE OF HIRING MORE
EMPLOYEES. BUT MARKET
CAPITALIZATION BONUSES. AT
OBSCENE LEVELS. THREE HUNDRED
FORTY SIX. MILLION DOLLARS. IF
THE MARKET VALUE IN THE
CAPITALIZATION OF THE VALUE OF
THE COMPANY GOES TO A CERTAIN
LEVEL. AND AT THE SAME TIME
THAT YEAR. I DON'T KNOW WHAT IT
IS EIGHT HUNDRED FIFTEEN
HUNDRED PEOPLE WERE LAID OFF
FROM THE SAME COMPANY I DON'T I
DON'T I DON'T I SEE THAT'S A-
THAT'S THE DILEMMA IN THE TAX
STRUCTURE. SO THE QUESTION IS.
IS THIS A WAY TO. DO WITHOUT-
IS JUST ONE WAY OF DEALING WITH
THAT HOW DO WE DO WITH THAT
PARTICULAR PROBLEM IN A AND I'M
VERY CONCERNED ABOUT LAOS. I'M
VERY CONCERNED ABOUT ITS
ECONOMY GOES SOUTH. IN
CALIFORNIA THAT. RATHER THAN.
CUT THE EXECUTIVE PAY. WE'RE
GONNA START TO BE LAID OFF BY
THESE COMPANIES. I CAN I CAN BE
IN VISION OF FUTURE. WERE THE
UNEMPLOYMENT RATE WOULD GO UP.
YET THE CORPORATE EXECUTIVES
ARE STILL MAKING WHICH IS A-
SIXTY SIX. HIGH TIMES THE
MEDIAN SALARY. HELLO SO- I
DON'T PARTICULARLY THINK PAYING
SOMEBODY THAT I. IS GOOD I
WOULD CONCLUDE THE PAYING
SOMEBODY THAT AS OPPOSED TO
PAYING EMPLOYEES AND KEEPING
EMPLOYEES AND- REINVESTING IN
THE BUSINESS AND DOING OTHER
KINDS OF THINGS IS GOOD FOR THE
ECONOMY I DON'T THINK I CAN'T.
SEE HOW IT WOULD BE GOOD FOR
THE ECONOMY OKAY SO MAYBE WE
CAN HAVE BOTH SIDES. ANSWER THE
QUESTION. OF CENTER SCANNERS
TRYING TO DEVISE A BILL THAT
THAT. PRAISE GOOD BEHAVIOR I'VE
I WOULD THINK. AND. IF GOOD RE
HAVER IN THE BILL COULD YOU
KNOW LIKE WE WERE TALKING ABOUT
REVENUE TO DROUGHT A- GOOD
BEHAVIOR COULD BE REWARDED. IN
A TAX BILL YEAH SOMEHOW. OF
THAT WOULD BE A COULD NOT A
SECOND QUESTION APPRECIATION
ABOUT SO I'M CONCERNED ABOUT
THE LABOR FORCE IN OUR STATE.
AND WHETHER OR NOT THEY'RE
GETTING ADEQUATE. AND BENEFITS
BECAUSE OF THEY DON'T I KNOW
WHAT HAPPENS. WE THE TAXPAYER
HAVE TO PICK UP. SOME CARE IF
YOU DON'T MIND IF I JUST A
QUICK STAB AND THEN WE CAN HAVE
THE OPPOSITION ALSO ANSWERED
YEAH ABSOLUTELY WHAT WE'RE ****
IN SKINNER- JUST TRYING TO KEEP
IT A YES WE ABSOLUTELY GREAT
JUST BECAUSE WE HAVE OTHER
MEMBERS THAT WOULD LIKE TO
SPEAK SOMETHING ABSOLUTELY. ON
THE. I REALLY APPRECIATE
SENATOR VALUE POINTING THIS OUT
BECAUSE- THE- THE OTHER WAY AND
I DIDN'T TALK ABOUT IT MUCH BUT
THE OTHER WAY THIS BILL. IS
DESIGNED IN AGAIN DRIVER
PERFECT DESIGN NO AND THIS IS
WHY I THINK THESE KINDS OF
HEARINGS AND OUR WHOLE. PROCESS
COULD HELP US. NO I'M DESIGN
SOMETHING THAT WORKS FOR WILL
RETURN OF CHIEF BUT- HAVING.
CALIFORNIA RESIDENTS WITH IN
ADEQUATE INCOMES AND HIGH DEBTS
IS NOT BENEFICIAL TO OUR
ECONOMY. THEY ARE NOW WORKING
SO WE'VE NOT KILL JOBS THERE
HAS BEEN JOB GROWTH HE'S
CALIFORNIANS ARE WORKING. BUT
THEY'RE NOT ABLE TO SPEND IN
THE ECONOMY THE WAY THAT YOU
WOULD EXPECT BECAUSE THEIR
WAGES ARE LOW. AND A THE
EXECUTIVE SUITE MAKING THE-
WIND SHEAR OF THE WAGES WHILE I
DON'T HAVE ANYTHING AGAINST
PEOPLE BEING RICHER MAKING A
LOT OF MONEY. THAT IS NOT
REINVESTED IN THE CAR TO MEET
THE SAME WAY THAT. A LARGER
NUMBER OF PEOPLE HAVING THAT
HAVE MORE MONEY AND SPENDING IN
THE ECONOMY DOES RIGHT SO. HARD
THIS IS ALSO TRYING TO DEAL
WITH THAT. WE KNOW THAT OUR TAX
STRUCTURE IN CALIFORNIA BECAUSE
TAXES. IN HIGH SALES TAXES IS
MOST VULNERABLE IF WE HAVE A
RECESSION. HAPPEN PEOPLE WITH
BETTER WAGES WILL HIT IS IT
JUST GIVES US A LITTLE MORE
RECESSION SECURITY YOUR
INSURANCE. NO THANK YOU ABBAS
MIGHT EXPONENT ADD ONE THING
AND THEN. ARTICLES WELL I JUST
WANTED TO OFFER RIGHT I THINK
THAT- OF RULE OF AROUND CEO
COMPENSATION MIGHT BE ON THAT
YOU THINK OF HIM AS OF FOR HER
IN RARE CASES. THEY'RE MORE
CEO'S NAMED JOHN THAN THERE ARE
WOMEN CEOS BUT- BUT AS THE
SHIP'S CAPTAIN. AND SAW THAT
HE'S RESPONSIBLE FOR EVERYBODY
ON THE SHIP AND HE'S WELCOME TO
A SIXTY FIVE MILLION DOLLARS AS
LONG AS PEOPLE WHO ARE WORKING
FOR HIM ARE NOT HAVING TO GO TO
THE FOOD BANK TO MAKE THEIR
BASIC NUTRITION. NEEDS ME. THIS
IS A WE'RE GONNA GO TO COLLAPSE
THE WOULD YOU LIKE TO BE IN A
SAFE YOU WORDS ON THIS AS WELL
SIR YES JUST A QUICK POINT
BECAUSE NUMBER ONE WE- VERY
MUCH APPRECIATE THE THOUGHTFUL.
COMMENTS HERE TODAY. AND THOSE
THOUGHTFUL COMMENTS REFLECT
THAT THIS IS A BILL THAT. IS
TRYING TO TAKE A MORE SIMPLE
APPROACH TO ONE OF THE MOST
COMPLEX ISSUES THAT WE FACE ON
ALL FRONTS AND I SAY THAT VERY
RESPECTFULLY. HI BECAUSE WHEN
WE TALK ABOUT NOT ENOUGH TO
PAY. FOR LOWER LEVEL EMPLOYEES
WHAT DOES THAT MEAN THAT. THEY
CAN'T AFFORD A HOME BECAUSE WE
HAVE A HOUSING CRISIS IN
CALIFORNIA THAT A C. E. O. OR A
COMPANY'S FAULT IT'S NOT. I
THERE'S OBVIOUSLY BROADER
ISSUES AT PLAY IN CALIFORNIA
SOCIETY. THAT ARE REFLECTIVE OF
POLICIES THAT HAVE BEEN PASSED
OR NOT PASSED DAD WILL
CONTRIBUTE TO THAT THAT'S NO
ONE'S FAULT THAT'S ALL PART OF
WHERE WE ARE TODAY IN A DYNAMIC
SOCIETY. BUT AT THE SAME TIME.
YOU KNOW THEY- THE ABILITY TO
TRY AND REFLECT THE VALUES OF
OUR SOCIETY THROUGH OUR TAX
CODE NEEDS TO AGAIN BE
MODERNIZED IN A THOUGHTFUL
APPROACH IN SITTING DOWN AND IF
IT IS THE INTENT. OF THE
LEGISLATURE TO REFLECT VALUES
THAT INTEND TO GET AT
ESSENTIALLY ANOTHER TAX
INCREASE ON SEALS AND LET'S SAY
THAT AND THEN LET'S BUILD IT.
AND THEN LET'S LOOK AT HOW
ELSE. WE CAN CREATE BALANCE SO
WE ENSURE LONG TERM JOB GROWTH.
THAT'S THE KEY. AND SO- DATA
AGAIN MEMBERS WILL IS WHAT WE
ASK FOR TODAY NOT A YOU KNOW
NOT PIECEMEAL APPROACH SO BUT
WE APPRECIATE THIS DISCUSSION
IT IS A- CRITICALLY IMPORTANT
DISCUSSION WELL LOW. IN MY AREA
WE ARE SERVICE- PROBABLY THE
LEADER OF. THE MANUFACTURING
GROUPS WHEN I WAS ON THE.
INVOLVED IN CREATING THE
HIGHWAYS AND ALL THAT KIND OF
THE WAS PARTNER WITH THE.
NEWMAN HIS PARTNER. I WAS WHO
WOULDN'T PACKARD. THEY HAD A
THEY HAD A RULE CALL THE
ATTACKER GOLDEN RULE. AND THE
GOLDEN RULE WAS. DID YOU GET A
JOB PACKARD NEW PERFORMED
YOU'RE NOT GOING TO LOSE YOUR
JOB EVER. WE WILL ALL LEASE I
WILL I WILL PROMISE YOU IS
EXACTLY THAT OUR COMPANIES
GOING TO GROW AND I'M GOING TO
REINVEST IN THE COMPANY AND I'M
GOING TO CONTINUE TO. PAY
ADEQUATE WAGES TO THE PEOPLE
WORKING FOR ME AND TREAT HIM
AS- CAPTAIN THE SHIP PART OF MY
FAMILY. THAT WAS THE ETHIC THAT
THEY HAVE SO I DON'T THINK THE
CORPORATE TAX CODE HAS TO BE. I
THINK THERE HAS TO BE SOME
PRINCIPLES I THINK IT HAS TO.
MORAL OF THOSE I DON'T THINK IT
SHOULD BE A MORAL. SO I THINK
WE ARE THAT WE AUTO LIMóN
EIGHT. THOSE PARTS OF IT THAT
ARE NOT GOING IN TWO DIRECTIONS
THAT I THINK IN MY OPINION
VIOLATE THE GOLDEN RULE. THE
GOLDEN RULE YOU STAB IN THEIR
COMPANY. AND IT WAS A LASTING
RULE TO THE FAMILY LEFT TO THE
LEFT OF. SO I TAKE A OF I TAKE.
THOSE ARE KIND OF OLD SCHOOL
KIND OF PHILOSOPHIES I HAVE BUT
I THINK THEY'RE GOOD ONES I
THINK THE BUSINESSES AND
SILICON VALLEY. HAVE SOMEONE.
TIMES. THIS RULE AND SOMETIMES
THEY HAVE SO I THINK WE HAVE TO.
INTO TO INSIST ON REINVESTMENT.
HIRING EMPLOYEES. NOT BEING SO
SENSITIVE TO THE STOCK PRICE OF
THE WEEK. AND THE TAXI CAN
QUOTE THE TAXATION CODE. SHOULD.
HAVE SOME REFLECTION ON THAT IN
TERMS OF THE WAY WE SET IT UP.
EMPLOYEES PLEASE OUR MOST
VALUED IN THE PACKARD GOLDEN
RULE. THANK YOU SIR ABOUT VERY
VERY GRATEFUL- IT JUST OUT OF
FAIRNESS THAT WE HAD TO SPEAK
ORIGINALLY TO MISTER BELL WE
HAD A SERVICE SKINNER MRS NAMES
BLOCKER WAS OR ANYTHING ELSE
YOU'D LIKE TO ADD ON THAT. JUST
THAT WE ALSO ALSO APPRECIATE
THE COMMENTS THAT. WE SHOULD BE
SENSITIVE TO LAYOFFS AND TO YOU
KNOW MAKING SURE THAT THAT.
YEAH WE CAN THAT. WE CAN KEEP
OUR OUR WORKFORCE EMPLOYED. AND
WITH RESPECT FOR THIS BILL I
THINK OUR OUR DIFFERENCES THAT
WE FEEL THAT THIS IS NOT THE
BEST THE BEST APPROACH TO DO
THAT ALTHOUGH WE TOTALLY SHARE
THE SENTIMENT THAT- BUT YOU
KNOW WE HAVE THE SAME GOALS WE
JUST THINK THERE MAY BE SOME
UNINTENDED CONSEQUENCES THAT
COULD COME ALONG WITH THIS THAT
MAY BE DETRIMENTAL TO THE
CAUSE. THANK YOU SO MUCH WOULD
LIKE TO BE ABLE TO GO OVER TO
CENTER WINNER AND WE'D LIKE TO
TURN THE FLORIDA CENTER
NUISANCE AND WIENER. I THANK
YOU VERY MUCH. MISTER CHAIRMAN
I. THANK THE AUTHOR FOR-
EMISSIONS THE PURSUING THIS
LEGISLATION. I TAX BILLS ARE
NEVER EASY AND THE- CALIFORNIA
LEGISLATURE. AND THE I.
APPRECIATE WRITTEN OUT CITY- I
STRONGLY SUPPORT. THIS BILL FOR
A VARIETY OF REASONS- RELATING
TO- TEST. HEY EQUITY IN GENERAL
BUT ALSO- THEIR TAX POLICY AND-
REALLY BE. FRANKLY UNDER
TAXATION OF. OF CORPORATIONS IN
pWHERE WE JUST SAW. A FORTY
PERCENT. REDUCTION IN THE
CORPORATE TAX RATE. TWO YEARS
AGO UNDER- THIS PRESIDENT. 40%
TAX CUT CORPORATIONS IN THE US
THAT IS AN EXTRAORDINARY CUT-
AND THIS IS JUST A FRACTION. OF
THAT WE ALSO KNOW THAT YOU KNOW
AND YOU SEE THAT THERE ARE SOME
THE LARGEST CORPORATIONS IN
THIS COUNTRY THAT BARELY PAY.
ANY FEDERAL OUR CORPORATE TAXES
ON SO I'M NOT I DON'T. YOUR
CORPORATIONS ARE BEING
SMOTHERED- BY TAXES IT'S JUST
NOT HAPPENING I IN THE US AND I
DON'T THINK THAT THIS BILL IS
POSING SOME DRAMATIC. NO TAX
BUT IT'S NOT. I THINK IT'S
DRAMATIC AS AS SOME HAVE.
SUGGESTED. I ALSO WHEN I PLEASE
YOU BRING UP THE HOUSING ISSUE
AS MY COLLEAGUES SOMEONE'S GOT
TIRED OF HEARING ME TALKING
ABOUT- TALK ABOUT HOUSING BUT-
IT IT IS A HUGE ISSUE AND WE
ARE DEFINITELY DRIVING PEOPLE
IN THE POVERTY WITH THE COST OF
HOUSING CALIFORNIA BECAUSE FOR
DECADES WE'VE NOT BUILT ON
HOUSING OR NOW IN THE WHOLE BY
MILLIONS OF HOMES. AND SO WE'RE
PUSHING PEOPLE IN THE POVERTY
AND HOMELESSNESS. BUT THE OTHER
PIECE OF THAT. IS THE LACK OF
INCOMES RIGHT BECAUSE WE KNOW
THAT WE CAN GET THE COST OF
HOUSING DOWN TO THE MORE MIDDLE
CLASS PEOPLE. CAN AFFORD IT-
BUT AS YOU GO LOWER DOWN ON THE
ECONOMIC LADDER IT BECOMES
HARDER AND HARDER AND IT DOES
REQUIRE US TO. DO MORE HOUSING
SUBSIDIES FOR LOWER INCOME
PEOPLE WHICH I'M HAPPY TO DO
AND I STRONGLY SUPPORT THAT AND
WE NEED TO DO THAT- BUT WE'RE
ALSO AGAIN STEPPING IN TO
SUBSIDIZE. HOUSING BECAUSE OF
WHAT PEOPLE ARE BEING. YOU JUST
LEAVE LOW WAGES OF SO MANY WORK.
I'M GONNA DATE MYSELF AND ALLOW
YOU TO CALCULATE MY AGE- WHEN I
WHEN I WAS SEVENTEEN YEARS OLD
IN NINETEEN EIGHTY SEVEN YES
I'M GOING TO TURN FIFTY NEXT
YEAR. WHEN I WAS SEVENTEEN
YEARS OLD IN NINETEEN EIGHTY
SEVEN IN SUBURBAN NEW JERSEY- I
WENT I WORKED I WENT TO WORK AT
BURGER KING- ON AND- HI. BY THE
TIME THE FEDERAL MINIMUM WAGE
WAS THREE DOLLARS AND THIRTY
FIVE CENTS AN HOUR AYE AYE UP
TO THREE FIFTY AN HOUR. AND I
WAS LIKE SO HAPPY THAT IT WAS
FIFTEEN CENTS A MINIMUM WAGE
BUT I WAS ALSO LUCKY THAT I YOU
KNOW I LIVED IN THE MIDDLE WITH
MY PARENTS IN A MIDDLE CLASS.
FAMILY SO FOR ME THAT MONEY YOU
KNOW WAS AS A TEENAGER YOU HAVE
SOME EXTRA MONEY- I ALSO I HAD
PEOPLE WHO WERE WORKING WITH ME
AT THE TIME WHO WERE NOT IN
THAT. POSITION FOR DOING THE
SAME JOB THAT I DID FOR THE
SAME WAY AIDS BUT THEY WERE
SUPPORTING THEIR FAMILIES YEAH
AND- AND IT WAS I KNOW IT WAS
TOUGH. FOR THEM THEN. I THEN
WORKED FOR CONVENIENCE STORE
DURING COLLEGE EIGHTY NINE NINE
NINETY ONE I WAS MAKING FIVE
DOLLARS AN HOUR AND I BOY I WAS
LIKE. THRILLED BUT NOW ALL WORK
FAST FORWARD THIRTY YEARS
THIRTY THREE YEARS FROM WHEN I
WAS WORKING BURKE HANG. AND THE
FEDERAL MINIMUM WAGE ANY AT
SEVEN TWENTY FIVE AN HOUR. I
MEAN NOT EVEN LIKE NOT EVEN
INFLATION. FROM THAT THREE
THIRTY FIVE IN NINETEEN EIGHTY
SEVEN LET ALONE THE PROFOUND
INCREASES IN THE COST OF LIVING
AROUND HOUSING AND FOOD AND
EVERYTHING. ELSE THAT ARE
REALLY DRAGGING PEOPLE DOWN.
AND EVEN THOUGH IN CALIFORNIA
WE'RE GOING HIGHER IN THE
MINIMUM WAGE GIVEN THE COST OF
LIVING IT IS JUST NOT IS DOES
NOT TENABLE FOR PEOPLE SO WE
HAVE THIS HUGE PROBLEM OR WE
ARE CREATING LIKE A AMONG
WORKERS IS LIKE UNDER CLASS OF
PEOPLE WHO THAT THEIR WAGES
THEY CANNOT POSSIBLY SURVIVE ON
THE WAGES THAT THEY'RE BEING
PAID. CAN SURVIVE BUT THEY MAY
BE LIVING IN A CAR THEY MAY BE
CAL SURVEYING MAYBE LIVING FOR
FAMILIES I TO A HOME AND WE'VE
WE'VE ALLOWED. TO EXIST AND
IT'S UNCONSCIONABLE THAT WE AS
A SOCIETY AND ECONOMY HAVE
ALLOWED OUR PRIVATE SECTOR TO
CREATE THAT KIND OF SITUATION
AND SO THIS BILL THE WAY I LOOK
AT IT MUST THIS BILL ISN'T A
CURE ALL RIGHT WE MORE
RESTRUCTURING TO MAKE THAT
HAPPEN TO THE PEOPLE CAN CAN
MAKE ENOUGH MONEY TO SURVIVE
AND THRIVE. BUT STARTING TO RE
BALANCE ITS TEAM EXECUTIVE PAY
THESE OF THE WORKERS AND MAKING
A PURCHASE A SMALL FRACTION OF
THE 40% TAX CUT THE DONALD
TRUMP TO CORPORATE AMERICA I
THINK IS SUPER REASONABLE AND
SO I SUPPORT THIS LEGISLATION.
THANK YOU SO MUCH SKINNER
WINNER IN A BIG BIRTHDAY COMING
UP. YEAH I'M WHERE I'M WAITING
FOR MY A. R. P. PACKAGE. NO.
VERY GRATEFUL SERVER THOSE
PERSONAL WORDS AS WELL SO- SHE
DIED THANK YOU VERY MUCH WE'D
LIKE TO BE TO TURN THE FLOOR
OVER TO THE DEAN INCIDENTS AN
INNOCENT. BRIEF OBSERVATION.
OPTICS IS A PART OF THE DEAL.
CALIFORNIA DOES NOT HAVE A GOOD
REPUTATION. AND IT'S GETTING
WORSE. AND THIS WILL BE A PART
OF THAT. BUSINESSES ARE NOT
FLOCKING TO THIS STATE BUSINESS
RELATING. PEOPLE EARLY. I JUST
LOST A SON IN LAW AND A
DAUGHTER AND TWO GRANDCHILDREN
THEIR HIGH RANKING U. S. AND P.
S. RANGERS. BUT WHERE THEY LIVE
THEY COULDN'T AFFORD EVER BUY A
HOUSE. THEN WHAT COLORADO I
DON'T BLAME BUT SOME OF THAT
IMPACT IS FROM THE LEGISLATIVE
ACTIONS THAT HAVE BEEN TAKEN.
LEGISLATURE HAS DRIVEN WHEN THE
BUSINESSES AWAY AND CONTRIBUTED
TO THE HOMELESS SITUATION THAT
WE'RE ALL GRAPPLING WITH. I
DON'T THINK WE NEED TO CONTINUE
AS A STATE CONTINUE AT THE END
OF SEND THE SIGNALS THAT
CALIFORNIA THERE'S AND I
BUSINESS. THIS DOES NOT. ANTI
CORPORATE RICH PRESIDENTS. YES
THERE'S A PROBLEM THERE BUT
THERE CERTAINLY IS WITH THE UC
EXECUTIVE PAY AS WELL ARE WE
GOING TO ADDRESS AT THIS YEAR I
DOUBT IT. I JUST THINK THAT WE
DO NOT NEED TO KEEP SENDING THE
MESSAGES. CHAMBER CALLED A JOB
KILLERS. THANK YOU SO I SERIOUS
AND VERY GRATEFUL WITH AGASSI
CENTER TARA WOULD LIKE TO BE
ABLE TO CONTRIBUTE. OKAY THANK
YOU SO MUCH. MEMBERS WOULD LIKE
TO JUST BE ABLE TO OFFER SOME
VERY BRIEF. CLOSING WORDS AND
INTERNET OVER TO SINNERS
SKINNER TO BE ABLE TO OFFER ANY
CLOSING COMMENTS. PRISON FROM
SOMEONE- SAY THANK YOU TO OUR
WITNESSES WHO ARE HERE BOTH IN
SUPPORT AS WELL AS OPPOSITION.
FOR THE ELOQUENT COMMENTS AND
TAKING THE TIME TODAY AND WE DO
APOLOGIZE BUT THE DELAYS IN
THANK YOU FOR HANGING WITH US.
I'M YOU WANT TO SAY THANK YOU
TO SEND A SCAN FOR ADVANCING
THIS BILL I'M GOING TO
PARAPHRASE WHAT CENTER SKINNER
SAID- DURING PARTS OF HER
TESTIMONY THIS IS THE BEGINNING
OF THE CONVERSATION NOT THE END.
AND AS WE JUST HEARD CENTER
WINNER STATE THIS IS NOT GOING
TO BE THE SILVER BULLET. BUT
THIS IS AN IMPORTANT THAT WE
CAN MAKE. UNDERSTANDING THAT
THERE ARE MOST LIKELY NEED TO
BE SOME AMENDMENTS TO THE
LEGISLATION AS IT MOVES
FORWARD. AND WOULDN'T ONE THING
I'VE ALWAYS FOUND WAYS CENTER
SKINNER AND SHE IS. A STRAIGHT
TALKER. HI SHE WILL TELL YOU
WHAT YOU FEELS IN WHEN THERE
NEED TO BE SOME POTENTIAL
CHANGES SHE WORKS WITH YOU THIS
COLLABORATIVE. AND KNOW THAT
WILL BE THE CASE IN THIS
SITUATION AS WELL. BOTTOM LINE
IS S. INCOME INEQUALITY IS
NEVER BEEN GREATER IN THE STATE
IN THIS NATION. I AND I A AM
NERVOUS. I BELIEVE THIS INCOME
INEQUALITY IS GONNA CAUSE
TREMENDOUS AND REST. HERE IN
CALIFORNIA AS WELL THROUGHOUT
THE NATION IF WE DON'T TACKLE.
INCOME INEQUALITY ESPECIALLY
IMPACTS WOMEN. TWO THIRDS OF
MINIMUM WAGE EARNERS IN
CALIFORNIA I WENT. IN PACKS. MY
FAMILY MY MOM WAS A BANK TELLER
FOR TWENTY ONE YEARS. HER
PENSION IN THE BANK AFTER TWO
DECADES IS FOUR HUNDRED EIGHTY
ONE BUCKS A MONTH. IF YOU ARE
LIVING IN THE BAY AREA. EARNING
FIFTEEN BUCKS AN HOUR YOU HAVE
TO WORK THREE FULL TIME JOBS.
TO BE ABLE TO FOR THE AVERAGE
RENT. SKINNER POINTED OUT IN A
MEETING THAT I HAD WITH HER.
THE REASON WHY THERE ARE SO
MANY KIDS IN DEEP POVERTY. IN
THE STATE IS BECAUSE WE PAY
WOMEN TO LITTLE. WE'RE NOT
KEEPING UP. AND THERE'S A GREAT
DISPARITY. WE ALSO NEED TO TALK
ABOUT FEDERAL ACTION ON TAX
CUTS. TAX CUTS WERE SUPPOSED TO
HELP WITH INCOME INEQUALITY. A
FEDERAL MINISTRATION SAID THAT
THE AVERAGE MIDDLE INCOME
WORKER WOULD RECEIVE
APPROXIMATELY FOUR THOUSAND
DOLLARS IN THESE TAX CUTS. THAT
WOULD BE ABOUT A 7% RISE IN PAY
ON AVERAGE. THUS FAR WE SEEM TO
TWO POINT EIGHTY THREE POINT
SIX PERCENT. SO I CAN HIT THE
FOUR THOUSAND DOLLARS. CAN WE
TAKE A LOOK AT. GDP I WAS
SUPPOSED TO HELP THIS NATION.
ARE IT HAS BEEN A MINOR BUMP IN
GDP DEPENDING ON THE STATE
ANYWHERE BETWEEN TWO POINT 43%
IF YOU TAKE A LOOK AT WHERE THE
DOLLARS ARE GOING HELPING
PROFIT. IT'S NOT HELPING THE
BOTTOM LINE WORKERS AND THAT IS
YOU TAKE A LOOK AT NONPARTISAN
ANALYSIS SOME OF THESE TAXES
ARE GONNA BE. ITS RECORD
PROFITS. AND IT IS A DEEP
CONCERN. ARE WE PERFECT IN HERE
ARE WE PERFECT HERE IN
CALIFORNIA YEAH. BUT WE HAVE
THE ABILITY TO BE ABLE TO MAKE
INCREDIBLE STRIDES AN ISSUE OF
INCOME INEQUALITY IN BELIEVE
THAT THIS IS A TOOL. ARE BOX TO
DO SO. SO WITH THAT. I KNOW THE
SENATE SKINNER IS GONNA
CONTINUE HAVING CONVERSATIONS
ON THIS BILL. BUT TOBE ABLE TO
IMPROVE IT SHE IS DONE YEOMAN'S
WORK. AS FAR AT THIS IS. ABOUT
FOUR YEARS IN THE MAKING I'M IN
TEARS CAN EVEN TOOK A PAUSE ON
THIS BILL. A COUPLE YEARS AGO.
ALL RIGHT TO BE ABLE TO
CONTINUE TO WORK THE ISSUE.
WITH THAT I'LL BE SUPPORTED
TODAY AND I IN TURN OVER SENATE
SKINNER FOR HER CLOSING
COMMENTS BEFORE THAT THAT MR ME
CAN I MAKE A MOTION TO PASS AS
AMENDED TO RULES COMMITTEE
THANK YOU SO MUCH MOTIONS ON
THE FOR PRICING HERTZBERG.
THERE'S GONNA. CLOSING COMMENTS.
THANK YOU SO MUCH- ST STE.
THANK YOU VERY MUCH FOR
KNOWLEDGE IN THE FACT THAT IT
IS- BADLY AMONGST CALIFORNIANS
IS OUR WOMEN. THAT ARE
PRIMARILY IN THESE. SERVICE
JOBS THAT ARE SOME OF THE
LOWEST PAYING JOBS AND THOSE
SAME WOMEN ARE SUPPORTING
CHILDREN IT'S NOT THAT WE DON'T-HAVE. TWO PARENT FAMILY
SUPPORTING CHILDREN IT'S JUST
THAT. THE HIGHEST RATE OF
POVERTY IN OUR STATE IS AMONGST
WOMEN WITH CHILDREN AND THUS
CHILDREN. SO I REALLY
APPRECIATE THAT YOU POINTED
THAT OUT. AND WHILE THE BILL'S
NOT DESIGNED SOLELY AND ONLY
YOUR SURGICALLY TARGETED TO
THAT POPULATION ONLY IT REALLY
IS TRYING TO. AS I'VE ALREADY
INDICATED. TRYING TO FIGURE OUT
HOW WE AS A STATE RECONCILE.
THAT WE'VE HAD PHENOMENAL JOB
GROWTH. OUR RESIDENTS ARE
WORKING. WE DO NOT HAVE IT.
THERE'S STILL SOME UNEMPLOYMENT
BUT BASICALLY NOTHING LIKE
WE'VE HAD N THE PAST. IN YET
TWENTY FIVE PERCENT. OF OUR
RESIDENTS ARE IN POVERTY. SO
HOW DO WE RECONCILE THAT. HOW
DO WE DESIGN. POLICIES THAT
HELP ADDRESS IT. WE ARE USING.
OUR GENERAL FUND SO TAXPAYER
MONEY. WE ARE WE'VE CREATED A
CALIFORNIA EARNED INCOME TAX
AND WE'RE INCREASING OUR THE
POSITIVE GENERAL FUND REVENUES
INTO IT. WE ARE. EXPANDING THE
SUBSIDIZATION OF CHILDCARE. WE
ARE EXPANDING WITH EACH BUDGET
IN EVEN THE BUDGET ARE
GOVERNOR'S PRESENTED TO US-
JUST A COUPLE OF DAYS AGO. I'M
MORE MONEY TO SUBSIDIZE
AFFORDABLE HOUSING AND MORE
MONEY FOR EMERGENCY RENT
ASSISTANCE AND SUCH. ALL OF
THIS IS TAXPAYER MONEY THAT
PRIMARILY WILL GO TO WORKING
CALIFORNIANS. WORKING
CALIFORNIA TO DO NOT. EARN
ENOUGH TO MAKE ENDS MEET. AND
YET. THEY'RE IN I AM NOT
TRAINED I. TRYING TO MAKE
COMPANIES BAD OF PLAYERS OR
MAKE IT THAT THERE SHOULDN'T BE
PEOPLE WHO ARE REALLY PAID WELL
AND EVEN A C. E. O. WHOSE
COMPENSATED IN THE- MILLIONS.
RATHER I WANT TO TRY TO SEE HOW.
WE CAN DESIGN A STRUCTURE SET
THOSE CORPORATIONS AT THE TIME
THAT THEY'RE RECORDING RECORD
PROFITS AND PAYING THEIR CEO'S
MORE THAN EVER. WILL ALSO
INCREASE THE PAID OF THEIR
WORKERS. AND CERTAINLY MINIMUM
WAGE IS ONE WAY TO DO THAT. AND
BUT IT IS INTERESTING THAT THE
SAME ENTITIES THAT CAME BEFORE
US OPPOSING THIS BILL NOT ALL A
FEW OF THEM WERE WE WERE ABLE
TO CUT A DEAL AROUND MINIMUM
WAGE. BY IN LARGE OPPOSE
MINIMUM WAGE INCREASES SO
THAT'S THE KIND OF DILEMMA WERE
IN THIS BILL IS DESIGNED TO TRY
TO ADDRESS THAT. AND I WILL
INTERESTINGLY POINT OUT THE
POLLS ACROSS THE NATION SHOW
THAT AMERICANS BY 80% AND
HIGHER. FUEL THAT C. E. O. PAY
HAS BECOME EXORBITANT AND FEEL
THAT. I'M REGULAR WORKERS PAID
BETTER AND THAT IS POLLS ACROSS
THE US IN NUMBERS OF 80% AND
HIGHER. AND I REALLY APPRECIATE
THAT WE HAD SUCH A VERY HEALTHY
DISCUSSION AND APPRECIATE OTHER
INPUT ON DESIGNING SUCH THINGS
ARE AS A WAY TO ADDRESS THESE
ISSUES. BUT I THINK THE
FUNDAMENTAL ISSUE OF TRYING TO
INCENTIVIZE CORPORATIONS TO PAY
EMPLOYEES BETTER. AND SORT OF
EQUALIZE THAT GAP BETWEEN. HI
PAVE THE EXECUTIVE SUITE AND
THE AVERAGE EMPLOYEE IS A GOOD
STRATEGY BUT I AM VERY OPEN TO
LOOKING AT ADDITIONAL
STRATEGIES TO ACHIEVE THESE
GOALS AND WITH THAT. I
APPRECIATE THE MOTION AN
ATMOSPHERE I'VE- THANK YOU SO
MUCH SOONER SKINNER CLOSING
COMMENTS HAVE BEEN COMPLETED WE
HAVE A MOTION ON THE FLOOR BY
THE MAJORITY LEADERS TO PASS AS
AMENDED TO RULES LET'S GO TO
THE ROLL CALL MISSING JUST
RECALL THE PLEASE. REQUIRE I
REQUIRE I'M MORE A LOT.
MOORLACH NOBEL. WELL I
HERTZBERG HIGH REGARD HER TITLE.
NO NO NO NO. WIENER AYE
DEMEANOR HIGH BUTTON WISHES IT
IS A FOUR TO VOTE THAT'S OUR
FINAL VOTE THE BILL IS OUT.
THANK YOU SO MUCH WE'RE CLOSING
THE ROLE. THANK YOU SO MUCH TO
THOSE WHO ARE HERE IN
OPPOSITION AS WELL AS THOSE WHO
WERE HERE IN SUPPORT WE'RE VERY
GRATEFUL LAYS IN GERMAN
COMMITTEE WE'RE NOW GOING TO BE
MOVING FORWARD ON ALL ISSUES
RELATED TO ADDING ON IF YOU.
DID NOT VOTE AND ITEMS TO.
WE'RE GONNA ASK IF YOU'RE GONNA
BE EXITING THE CHAMBERS IF YOU
COULD PLEASE DO SO QUIETLY IS
WE'RE GONNA HAVE TO ADD ON
VOTES WE'RE GONNA BE TAKING
ACTION AND ITEMS. TWO THREE AND
FOUR ITEMS TO THREE IN FOR.
LET'S START WITH ITEM NUMBER
TWO THIS IS SB THIRTY EIGHT. IT
HAS A MOTION DO PASTOR
PREPARATIONS. COURSE THE
CURRENT VOTE IS FOUR ZERO MISS
LANCASTER MISLAID JUST A ROLL
CALL PLEASE. HI HI RICARDO. I
WIENER. HI SEVEN ZERO SEVEN
ZERO VOTE THAT BILL IS OUT
WE'RE CLOSE THE ROLE. WE'RE
GONNA SERGEANTS BEGIN PLEASE AB
QUITE IN CHAMBERS AT THIS
MOMENT TO SALUTE MEMBERS CAN
HEAR OUR BOATS. WE'RE NOT A
MOVING ON ITEM NUMBER THREE. SB
FIVE EIGHTY SEVEN THE MOTION IS
TO PASS YOUR PREPARATIONS
CURRENT LOTUS FOUR ZERO MISSING
CHESTER. I. HI WIENER. YOUR
EYES SEVEN ZERO THAT STILLIS
OUT CLOSE THE ROLE WE'RE NOW
MOVING ON TO OUR FINAL ITEM
THIS IS CONSENT FILE ITEM
NUMBER FOUR SB SEVEN SEVEN
THREE. THE MOTION IS TO PASS
APPROPRIATIONS. CURRENT LOTUS
FOUR ZERO MISSING CHESTER
HERTZBERG FIVE. YOUR TOTAL AYE
WIENER WIENER AYE SEVEN ZERO
THE BILL IS OUT WILL CLOSE THE
ROLE MEMBERS WILL BE REALLY
SEEN OUR OVERSIGHT CALENDAR
HEARING HEARING CALENDAR HERE
IN THE NEXT WEEK OR TWO WORKING
WITH YOUR OFFICES ON DATES WE
APPRECIATE THE ROBUST
DISCUSSION TODAY WANT TO SAY
THANK YOU AS ALWAYS TO THE
GOVERNMENT FIGHT TEAM FOR ALL
OF THEIR WORK. HAPPY NEW YEAR
IN THIS MEETING IS ADJOURNED