080712_Prop32NoVoice - California's Proposition 32 would still allow corporations to buy politicians

Politics

California’s Proposition 32 would still allow corporations to buy politicians

On the surface level, California’s Proposition 32, variously known as the “Paycheck Protection Initiative” or “Special Exemptions Act,” would ban special interest money (corporations, labor unions) from making its way into politicians’ campaign coffers. But the exemptions have some people and organizations understandably worried about its side effect.

A lot of businesses aren’t actually corporations: sole proprietorships, partnerships, LLCs, LLPs, hedge funds, real estate companies, etc., and therefore none of them would fall under the regulation as set forth by the proposition. Such businesses would still be able to contribute directly to candidates while labor unions would be banned. California’s unions, naturally, opposite it.

Prop. 32 also exempts Super PACS, which are mostly corporate campaign financing mechanisms, from the ban. To put it simply, the bill would not stop a corporation or billionaire businessman such as Sheldon Adelson or the Koch brothers from dumping millions into a Super PAC, thereby drowning out the workers and union voices in the process.

No one will deny that unions can have a negative effect on lean business and government, but Prop 32 is a bandaid on a severed limb gushing piles of cash.

The reality is that with the rise of Super PAC campaign spending (bribery), corporations are more than happy to relinquish their rights to directly contribute to candidates because they can quite simply outspend workers in secret. Their right was infamously validated by the Supreme Court in Citizens United. They will take all the money they would have commmitted to candidates and shift it to Super PACs, achieving the same effect. No amount of union money can compete with that sort of unrestricted financial power.

“Prop. 32 is not what it seems, and it will hurt everyday Californians,” said Trudy Schafer of the League of Women Voters of California. It’s hard to disagree.

The legislation, which is up for a vote in November, does deserve some points for recognizing that money in politics is big problem, but it does nothing to address the latest legalized form of bribery that is the Super PAC.

According to StopSpecialExemptions.org, “The Special Exemptions Act was placed on the ballot by the right-wing Lincoln Club of Orange County, which California Watch reports was ‘instrumental’ in the Citizens United Supreme Court decision that led to the recent explosion of secretive Super PACs onto the national political scene.”

If the Californian people vote for this bill in November without full knowledge of how it will empower corporate interests and undercut worker interests, then they will be digging their own graves. And then it will be used by ever ALEC-inspired GOP group to advance similar legislation in other states.

It must be stopped.

  1. August 08, 2012 at 11:11 pm, Rosie Dale said:

    Prop 32 doesn't only stop unions from donating, it stops them from taking money out of their members' paychecks to use for political purposes without their permission–no wonder they're fighting back so hard with misinformation! Prop 32 stops all companies from making political donations. It doesn't have to specify LLC, INC, etc. ALL companies. Prop 32 will help the voters get their voices back and stop the stranglehold special interests have on California politics.

    Reply

    • August 17, 2012 at 2:53 pm, Maria Clark said:

      I feel you are misinformed. Super PAC are dangerous to working middle class people.

      Reply

    • August 17, 2012 at 3:07 pm, Rosie Dale said:

      Sure, but voters can't do anything about them because of a Supreme Court ruling, so it doesn't really make a difference to Prop 32.

      Reply

    • August 23, 2012 at 11:41 pm, Kimmy Wilmott said:

      My boyfriend is in Iron Workers Union and I hate to break it to your Rosie. But, all the Union members know that thier money goes to fighting politiians who want to take thier jobs and their benifits away from them. You need to read more about this before speaking out like that. This Prop is away for Corporations to shut down Unions. I read all the facts before I write anything on an open forum. I suggest you do the same!

      Reply

    • August 23, 2012 at 11:52 pm, Rosie Dale said:

      Union money absolutely DOES NOT go just towards protecting jobs and benefits. The world would be a better place if it did. Unions have overstepped their original roles of protecting their workers. Example: the teachers union spent a bunch of money to kill a bill that would have made it easier to remove SEXUAL PREDATORS from schools. How many teachers do you think support that?

      PS, I've read the proposition. It specifically says neither corporations nor unions may donate. I'll respect your opinions, but please don't talk down to me.

      Reply

    • August 23, 2012 at 11:56 pm, Kimmy Wilmott said:

      Sorry if that you felt like I was talking down to you.. That was not my intention. And I understand where you are coming from on the teachers. I know nothing about their Union. But I do know that Firemen, Iron Workers and Nursers are the backbone of this country and deserve for their pensions to be saved and they need to make sure Democrats stay in office so they don't lose that. And if it were not for Unions there would be no 5 day work week, Payed overtime, weekends and holidays off. Plus so much more. They fought hard for our rights how about we fight for them too.

      Reply

    • August 24, 2012 at 12:04 am, Rosie Dale said:

      I definitely agree that teachers, firefighters, iron workers, nurses, etc are great. It's their unions I have an issue with. The thing is, they aren't fighting for the same things they used to. Back when unions first got started, work conditions sucked. We really needed unions, and they did a lot of good things that have lead to the conditions we have now.

      HOWEVER, there is no danger of going back to where we once were. It's just not palatable to the American mentality. No one is trying to bring back 20 hour work days or an unlivable minimum wage. It's just not going to happen, and the unions know it.

      Now, unions have undue influence over our elections and propositions, often unrelated to the workplace. Unions donated heavily to one side of the Prop 8 campaign. It doesn't matter which, the point is that it is unrelated to labour conditions. And you know where they got the money? Automatic payroll deductions. I can guarantee that a lot of people would not have willingly donated to Prop 8, but they didn't have a choice. Prop 32 gives workers a choice again regarding what political measures their paychecks support.

      Reply

  2. August 09, 2012 at 5:33 am, Toscano News Central said:

    Wake up Americans! The only group prop 32 will hurt is working class Americans, NOT CORPORATIONS! Corporations will still be able to funnel money into elections through LLC's or Nonprofit “social welfare” organizations, or "dark money" groups. Corporations do not use payroll deductions to support or fight ballot measures or candidates, they do it through the profits of the company.
    Now look at the top ten donors of yes on Prop 32; 7 of them are individual donors, millionaire and billionaire donors. Prop 32 wasn't designed to help you and I, it was designed to further the agenda of multinational corporations and the wealthy. It would take more than 321,000 average American families donating an equivalent share of their wealth to match what one of the biggest donors in this years election is giving.

    Who are the masterminds behind this proposition?

    The "LINCOLN CLUB of ORANGE COUNTY".

    The Lincoln Club of Orange County is a group of corporate executives and millionaires from Orange County who were the backing for the Supreme Court decision "Citizens United vs. The Federal Election Commission." Thus giving corporations personhood.

    Please everyone, read both sides to this proposition. Forget about the sugar coating that is on the outside. Proposition 32 is an awful way to change the special interest money in California. The only money it will affect is the group that fights for american jobs, competitive wages, pensions, health & safety in the workplace, child labor laws, the 40 hr work week, vacation, etc, etc, etc.

    If this is truly a way to stop political contributions from both corporations and unions, why are the corporations not up-in-arms about such restrictions that this would potentially have on them.

    No On Prop. 32!

    http://www.facebook.com/ilwunoonprop32

    Reply

  3. August 09, 2012 at 6:11 pm, Tom Lemmon said:

    the right is wrong.

    Vote no on prop 32.

    Reply

  4. August 09, 2012 at 8:08 pm, Tia Parisite said:

    Here's where the devil is in the details. Even if direct contributions are restricted, corporations can still funnel as much money as they want through SuperPACs, which can spend without limits and are completely exempt from Prop 32.
    And all sorts of 'alternate' corporate structures — like Wall Street Hedge Funds, insurance companies and real estate investors — aren't classified as 'corporations' under Prop 32, so they're exempt as well… as are billionaires and corporate CEOs. Pretty much every well-heeled corporate special interest would be exempt under Prop 32… and that's exactly what the backers intended. They say it's about "stopping special interest money," but it's really all about silencing the voices of working people, while giving big CEOs and the very wealthy free rein to exert limitless influence on our political system.

    Reply

  5. August 15, 2012 at 8:43 pm, Victoria Holguin said:

    Keep our paychecks! Yes on 32!

    Reply

    • August 17, 2012 at 2:55 pm, Maria Clark said:

      Union members have a legal right to exempt themselves from political contributions IF THEY CHOOSE. Why take away my rights to do so?

      Reply

  6. August 22, 2012 at 7:51 pm, California’s Proposition 32 would still allow corporations to buy … | Citizens United Reporter said:

    [...] on http://www.deathandtaxesmag.com Share this:TwitterFacebookLike this:LikeBe the first to like this. This entry was posted in [...]

    Reply

  7. August 26, 2012 at 4:26 pm, The Billionaires Bill of Rights | Alternet « Ye Olde Soapbox said:

    [...] California’s Proposition 32 would still allow corporations to buy politicians (deathandtaxesmag.com) [...]

    Reply

  8. September 02, 2012 at 10:00 pm, Hector Ramirez said:

    It seems good on the surface until you read more about it. That's why people need to learn more before they can choose a side? Do not go with what seems good, instead choose what is right. Research is the best choice…

    Reply

  9. September 04, 2012 at 9:34 pm, Sharon Goldberg said:

    Read this article before you decide how to vote on Prop. 32.

    Reply

    • September 04, 2012 at 9:37 pm, Simon Burrow said:

      Believe this if you are happy with the status quo for education.

      Reply

  10. September 09, 2012 at 5:05 am, Peggy Donn said:

    Yes on 32!!!!!!!! I do not want MY DUES supporting union LIBERAL views!!!

    Reply

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