Capitol Alert

The latest on California politics and government

August 14, 2012
Unions circulating draft of workers' compensation overhaul

Labor unions are making a late-blooming effort to raise long-frozen benefits for workers with job-related illnesses and injuries and promising employers enough administrative savings to pay for them.

A 45-point summary of the proposed legislation is circulating among lobbyists who specialize in the multi-billion-dollar workers' compensation system, seeking to undo, in part, the reforms that former Gov. Arnold Schwarzenegger pushed through the Legislature eight years ago.

The changes could be placed into Senate Bill 863, a workers' compensation measure being carried by Sen. Ted Lieu, D-Torrance, when their labor union sponsors line up enough support. Business support is critical because Gov. Jerry Brown has indicated that he wouldn't sign legislation on the subject that's opposed by employers.

August 14, 2012
Rep. Dennis Cardoza to join Manatt lobbying firm

Hours after announcing "increasing parenting challenges" were forcing his immediate resignation from Congress, Rep. Dennis Cardoza has landed a job with a top Washington D.C.-based governmental affairs firm.

Manatt, Phelps & Phillips, LLP announced Cardoza would join the lobbying firm as a managing director.

"A lot of firms were recruiting Dennis, so we are doubly thrilled he will call Manatt home," James Bonham, chair of the firm's Federal Government Affairs and Public Policy Group, said in a statement. "His expertise with California issues, as well as his deep experience and insight into both federal and state affairs, makes him a terrific resource. Our vertically integrated approach to federal, state, and local government relations in combination with our California heritage made Manatt a natural fit for Congressman Cardoza."

August 14, 2012
Brian Nestande steps down as GOP caucus chair after tax vote

Assemblyman Brian Nestande stepped down as Assembly Republican Caucus chairman today after voting to support controversial legislation to raise taxes on some out-of-state corporations.

The move came one day after the Palm Desert Republican cast the only GOP vote in support of Assembly Bill 1500, by Speaker John A. Pérez, a measure to alter corporate tax law in a way that would generate an additional $1 billion per year from out-of-state businesses.

"Today I am stepping down as Republican Caucus Chair," Nestande said in a prepared statement. "I cast a vote yesterday as the only Republican to level the playing field for California businesses."

Nestande's statement cited more than a dozen other states, some with Republican governors, that have adopted a similar corporate tax policy, known in California as the "single sales factor."

Nestande, who as caucus chairman was top lieutenant to Assembly Republican leader Connie Conway, declined to discuss in an interview today whether he was asked by or forced by her to step down.

"I understood the ramifications when I took the vote," he said simply.

Many Republicans blast SB 1500 as a billion-dollar tax hike on businesses, but supporters say it would provide incentive for corporations to locate in California and would level the playing field for businesses in the state to compete with firms located elsewhere.

Current law allows companies to choose the more beneficial of two tax formulas - one based solely on sales in California in proportion to sales elsewhere, the other accounting for sales, payroll and property in California.

August 14, 2012
Rep. Dennis Cardoza announces resignation

Congressman Retiring Cardoza.jpgCiting sensitive family needs, Rep. Dennis Cardoza, D-Merced, has tendered his immediate resignation from the House of Representatives. The surprisingly timed departure takes effect at midnight Wednesday.

A veteran San Joaquin Valley politician first elected to the House in 2002, the 53-year-old Cardoza had previously announced he would not run for reelection. While citing the toxic partisan gridlock on Capitol Hill, he primarily attributed his speeded-up timing to growing burdens on the home front.

"In light of the fact that nothing is going to happen for the rest of the year, and in light of the fact that (my wife) and I are facing increasing parenting challenges, this seemed the right time to make this move," Cardoza said in an interview Monday.

Cardoza and his wife, Dr. Kathleen McLoughlin, have three children: a biological daughter and two adopted siblings. The adopted children, a brother and sister originally from Kern County, joined the Cardoza household in 2000 after living in foster homes. They are now teenagers.

The timing of Cardoza's resignation means there will be no special election to fill his 18th Congressional District seat, which encompasses parts of San Joaquin, Stanislaus and Merced counties. His office staff will remain, taking care of constituent services but steering clear of political advocacy. Cardoza informed most of his staffers of his resignation plans in an emotional telephone conference call Monday. His departure leaves House Republicans with a 240-190 majority over Democrats, with five House vacancies; by most political assessments, Republicans are favored to retain control of the House following the November elections.

August 14, 2012
Senate committee to address Bay Bridge testing

By Charles Piller
cpiller@sacbee.com

The California Senate Transportation and Housing Committee will hold a hearing today to address concerns raised in an ongoing Bee investigation about the adequacy of state bridge testing.

The articles identified concerns about the construction and examination of reinforced concrete foundations for the new San Francisco-Oakland Bay Bridge main tower and other Bay Area toll bridges, and about their ability to withstand an extreme earthquake. The hearing will offer California Department of Transportation Officials an opportunity to respond to issues raised in articles. Caltrans previously has dismissed concerns about the Bay Bridge.

The agency "must adequately resolve questions about the quality of (seismic upgrade and inspection) work," according to the committee's background paper. It added that the Senate hearing "will identify potential next steps" toward reassuring the public and the legislature about Bay Area bridges.

August 14, 2012
Dan Walters Daily: Steinberg apologizes for TV blackout

Dan Walters notes that the Senate's Democratic leader issued an apology on Monday.

Have a question you'd like Dan to answer? Post it on our Facebook page.

See other Dan Walters Daily clips here.

August 14, 2012
AM Alert: Fees for lobbyists, candidates lack GOP support

DAN WALTERS DAILY: Dan's video says Darrell Steinberg did something rare for a politician on Monday.

Lobbyists and politicians will want to keep an eye on Senate Bill 1001 as it heads to the Assembly Floor. The bill by Democratic Sen. Leland Yee would double the registration fee lobbyists pay to the Secretary of State's Office - and, for the first time, require political candidates and ballot measures to pay a committee registration fee, too.

Recipient committees and lobbyists alike would pay $50 a year, with the money going toward building a better system to track lobbying activity and campaign finance reports. The bill was introduced following last year's massive crash of the Cal-Access system, which left political junkies without their fix for weeks.

Here's the thing: The bill amends the state's Political Reform Act, which means it requires a two-thirds vote. The lobbyists' association supports the bill. Assembly Republicans voted against it in Appropriations last week. "I would certainly hope that it's not (because) they don't want to see their fees increased," said Yee's spokesman, Adam Keigwin.

I'VE GOT DREAMS: Sergio Garcia, an undocumented Mexican immigrant who is battling the feds over whether he can become a practicing lawyer, will be in the Capitol to talk about his case. Garcia, 35, came to the U.S. illegally as a toddler. He has completed law school and passed the California bar exam but needs permission of the state Supreme Court before he can become a practicing lawyer. Lawmakers and immigration activists will join Garcia for a media availability at 2 p.m. in room 317 of the Capitol. They're touting the so-called "State Bar DREAM Resolution" that says immigration status should not determine whether people can practice law in California.

MEET THE CANDIDATES: U.S. Rep. Lois Capps (D-Santa Barbara) and former Lt. Gov. Abel Maldonado (R-Santa Maria) face off today in a forum sponsored by KSBY and the San Luis Obispo Chamber of Commerce. The candidates for the 24th Congressional District meet at noon in SLO's Grace Church.

MEET THE PRESS: Newspaper, television and radio reporters gather tonight to talk about how social media is changing the news biz. The panel discussion includes The Bee's Matt Weiser, who broke the story last month about the state parks department hiding $54 million while it made plans to close 70 parks. Learn more about the event here.



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Capitol Alert Staff


Torey Van Oot Torey Van Oot covers the California Legislature and state politics. tvanoot@sacbee.com. Twitter: @CapitolAlert

Amy Chance Amy Chance is political editor for The Sacramento Bee. achance@sacbee.com. Twitter: @Amy_Chance

Dan Smith Dan Smith is Capitol bureau chief for The Sacramento Bee. smith@sacbee.com

Melody Gutierrez Melody Gutierrez covers the state Legislature. mgutierrez@sacbee.com. Twitter: @MelodyGutierrez

Micaela Massimino Micaela Massimino edits Capitol Alert. mmassimino@sacbee.com

Laurel Rosenhall Laurel Rosenhall covers the lobbying community and higher education. lrosenhall@sacbee.com. Twitter: @LaurelRosenhall

Jim Sanders Jim Sanders covers the state Legislature. jsanders@sacbee.com

David Siders David Siders covers the Brown administration. dsiders@sacbee.com. Twitter: @davidsiders

Dan Walters Dan Walters is a columnist for The Sacramento Bee. dwalters@sacbee.com. Twitter: @WaltersBee

Jeremy White Jeremy B. White covers California politics and edits Capitol Alert's mobile Insider Edition. jwhite@sacbee.com. Twitter: @jeremybwhite

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