1. The California Initiative System

2. What is the Initiative System? The initiative system is a process that enables citizens to bypass their state legislature by placing proposed statutes and constitutional amendments on the ballot. In California we have the direct initiative process, in which proposals that qualify go directly on the ballot.

3. Initiative System in California California initiative process was established in 1911. This movement toward direct democracy was part of increasing popular demand across the country in the late 1800s for social and political reform. A total of 350 initiatives have qualified for the ballot of which 116 were approved and 227 were rejected. In California, any approved initiative cannot be amended or altered by the legislature without another vote of the people. California is the only state with this law.

4. Propositions in California Some of the most controversial/influential initiatives in California include: Proposition 6 (1978) (defeated) on barring homosexuality in the public school system Proposition 13 (1978) (passed) on property tax; imposing 2/3 requirement for budget vote, tax increases Proposition 65 (1986) (passed) on notification of hazardous materials Proposition 98 (1988) (passed) on school funding (requires minimum percentage of budget to be directed toward education with increases based on inflation) Proposition 187 (1994) (passed, then declared unconstitutional) on denying illegal immigrants eligibility to receive public services (immediate stay was federally imposed and is still in effect) Proposition 209 (1996) (passed) on banning affirmative action in public sector (employment, education, etc.) Proposition 215 (1996) (passed) on legalizing medical marijuana Proposition 22 (2000) (passed, then declared unconstitutional) on a statute banning same-sex marriage Proposition 8 (2008) (pending appeal in the courts) on a state constitutional amendment banning same-sex marriage in order to override the In re Marriage (Proposition 22) decision earlier that year that legalized same- sex marriage Proposition 14 (2010) (passed) established non-partisan blanket primaries in place of closed primaries Proposition 19 (2010) (defeated) on the legalization of marijuana

5. Opinions on the Initiative System Opinions on the ballot initiative process in America vary widely. In California's experience, both the good and the bad are apparent. Positives- Direct democracy that lets voters make decisions on public policy issues the legislature refuses to address or is unable to resolve Empowers citizens to pass laws; alleviates voter frustration with the political process Stokes citizens’ interest in public policy Negatives- Has become a tool of special interests Paying for previous initiatives costs state billions annually Misleading information Many technical and complex issues with confusing language that makes it difficult for voters to fully understand

6. Something for Nothing Initiatives Something for nothing propositions: propositions that do not offer to provide source of funding to offset the new spending or tax reduction requested. Funding comes from bond sales. In the past two decades California voters considered 259 ballot measures. Of those 127 proposed something for nothing and 80 passed. This is one of the reasons why California is in debt. Over $42B was committed in 2006 alone. Most bonds cost twice as much to pay off as they fund. Total CA debt from all sources: $777B (Jan. 2014).

7. Why Does This Matter? Propositions we vote for have a huge effect on state laws and finances. In California, any approved initiative cannot be amended or altered by the legislature without another vote of the people. Voters need to analyze both sides of each proposition and make an informed vote because the outcome of the elections will have serious implications for all Californians.

8. Slideshow: 2014 California Ballot Propositions 1-2 slides on each of the following: Props. by number & title Explanation of purpose Background information Arguments in favor w/propaganda & supporters Arguments against w/propaganda & opponents Financial support & opposition

9. Political Contributions by Payroll Deduction. Contributions to Candidates. Initiative Statute. Proposition 32

10. Prop 32 Purpose: Prohibit unions and corporations from making contributions to state & local candidates Outlaw contributions by government contractors to politicians who contracted them Ban automatic deduction of wages to be used for politics Fiscal Impact: Costs could exceed $1 million annually to regulate

11. Background Political Reform Act of 1974 Established campaign finance & disclosure laws. Places a cap on how much can be contributed towards campaign. Makes it mandatory to report all campaign contributions. Does not apply to federal campaigns.

12. Background Similar measures failed: Both measures sought to protect payroll deductions. Proposition 226 in 1998 Defeated by 6% Proposition 75 in 2005 Defeated by 7%

13. YES on 32: Stop Special Interest Money Supported By: California Republican Party Howard Jarvis Taxpayers Association Cal Watchdog Citizens for California Reform Democrats for Education Reform (DFER) National Federation of Independent Business – California Cal Watchdog California for Liberty California for Property Rights California Business Alliance California Taxpayer Protection Committee Supporters argue that special interests run Sacramento. Because of the amount of money that is being spent towards campaigns, politicians move away from the voices of the voters, and instead the needs of special interests who fund their campaigns. Prop 32 would bring reform to the current system by preventing unions from spending members’ dues on political contributions. No exemptions, no loopholes. Proposition 32 will put the people back in charge.

14. NO on 32: Stop the Special Exemptions Act Opposed By: California Democratic Party California League of Women Voters California Teachers Association California Clean Money Campaign California Public Interest Research Group ACLU California California Faculty Association California School Employees Association Sierra Club California California Medical Association California Labor Federation Exemptions in the text of Prop 32: Other political expenditures remain unrestricted, including corporate expenditures from available resources not limited by payroll deduction prohibition. Opponents argue that Prop 32 is not real reform, because it is not equal, and contains too many exemptions. These exemptions allow business and corporate interests to continue their spending, but shuts out the voice of the representative unions. Proposition 32 exempts the same corporate special interests that are funding the campaign: Big oil companies, insurance company executives, hedge fund managers, Wall Street bankers, big developers and Super PACs.

15. PROPOSITION 32 Funding: Total campaign cash as of October 27, 2012 Support:$59,400,000 Top 5 Contributors: Opposition:$68,800,000 Top 5 Contributors: