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Last Day of California Legislature Session Ends With Passage of Major Bills—But No Budget as Republicans Reject Appeals From Governor of Their Own Party and Democrats

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Assemblymember Ted Lieu presenting the most important bill on foreclosures and the sub-prime mortgage mess in California—that passed in the waning hours of the session

By Frank D. Russo

Labor Day is normally a day of rest, spending time with the family and friends, and for a few of us, reflecting on the role that working people play in the United States and giving thanks to those who toil in the fields of California and all walks of life in the Golden State. Given the calendar this year, it was to mark the beginning of the Republican National Convention (an odd choice of date in my humble opinion and that of others) and a day that would ordinarily call for many articles on a number of bills—significant to the lives of ordinary Californians--passed yesterday—a Sunday--at the close of the 2007-08 legislative session.

The California State Senate adjourned first--abruptly at 1 p.m. yesterday, leaving a few of its major bills that were struggling to secure Assembly passage orphaned, as to secure final passage they would have needed to return to that body for final passage. The Senate will return today for an unusual 4 p.m. Labor Day session to check in on the progress that Republican Senators are making in coming up with a fleshed out budget proposal of their own. Despite the fact that we are now at a record 62nd day after the start of the fiscal year, these 15 Senators who are holding the budget up because at least two of their votes are needed for the two-thirds vote to pass it, have been cajoled into making clear just exactly what they are proposing. Pressure is being kept on them by Governor Schwarzenegger who has admonished them in public to “stop hiding” and by Senate President pro Tem Don Perata, himself a former teacher, who is asking them for their homework.

The Assembly, at 6 p.m. was the last house to adjourn, after passing dozens of bills that on any other day would receive headlines of their own. One Assembly Member, as he was packing some of the blizzard of paper that was piled on his desk and walking off the floor, commented that he expected even less press than ordinarily would be in the mainstream news about the bills that had just been passed, because all eyes of the nation would be on New Orleans.

Before partaking of my own Labor Day leisure activities with my family, here is a rundown of some of the major legislation that passed yesterday and will be landing on the Governor’s desk later this month:

AB 1830 (Lieu): A mortgage foreclosure bill dealing with subprime loans with some strong provisions that will need a big push to get signed by the Governor given the opposition of some of the state’s powerful financial interests, despite neutrality from others due to recent amendments.

AB 180 (Bass): Another mortgage bill that goes after the “bad apple” foreclosure consultants who take advantage of people in their most vulnerable times, holding them accountable for fraud and requiring those providing these services to register with the California Department of Justice to ensure this.
SB 1440 (Kuehl): Requiring health plans and health insurers to spend at least 85% of the premiums they take in on health care benefits and not their own overhead and profit.

SB 840 (Kuehl): Universal health insurance for all Californians—dubbed by some as “Medicare for all,” similar to the bill passed in the last legislative session that was vetoed by the Governor.

AB 1945 (De La Torre): At truly historic bill on rescission of health insurance-- to protect innocent patients from retroactive cancellations of their coverage after they become ill and file an insurance claim.

Two “green chemistry” bills on toxic chemicals: AB 1879 (Feuer) to bring science and rigor into the identification and prioritization of action on toxic chemicals that need to be regulated or outlawed. SB 509 (Simitian) that dovetails with AB 1879 in the definitions and exemptions of these chemicals dangerous to human health. Together these established a comprehensive program of action by California government.

AB 2939 (Hancock): Allowing cities and counties to implement stricter green building guidelines than state law.

AB 1656 (Jones) to ensure the privacy and reduce the risk of identity theft of Californians from data breaches due to the failures of businesses to protect credit and debit cards.

SB 1407 (Perata): $5 billion of lease-revenue bond funding for the state of California taking responsibility for all 450 courthouses in the state and dangerous conditions that endanger jurors, witnesses, litigants, visitors, and court employees due to disrepair and antiquated design--paid for by increased criminal fines and civil fees and penalties.

SB 823 (Perata): To prevent “diploma mill” abuses by private post secondary education and vocational education for which state oversight and regulation has lapsed.

We will have lots more-- beginning tomorrow. There were many more significant bills passed yesterday and dozens in the last two weeks that deserve commentary and note as they await Governor Schwarzenegger's attention. We will also report on bills that didn't make it through the legislative gauntlet and remain for action next year. And, of course, the budget--where analysis of the Republican Senate Caucus proposal warrants a detailed look.

Posted on September 01, 2008

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