The Governator on taxes in 2003

posted at 8:16 am on February 20, 2009 by Ed Morrissey

Unfortunately, this YouTube video has its embed code disabled, so you’ll have to click the link to recall when Arnold Schwarzenegger was still a Republican.  He appeared at Galpin Ford in November 2003 to announce that he had repealed the car tax increase as his first action as Governator.  The state legislature had jacked up the tax by more than double its previous level, and Schwarzenegger had promised to eliminate the increase when he ran in the recall election.

Why?  Let’s let Arnold explain it:

I despised that increase in the car tax.  I think it was not fair because of the mistakes of the politicians are making up in Sacramento.  When they start spending, spending, and spending, and all of a sudden they run out of money, and then what do they do?  They go after you; they want to punish you.  They say ‘we have to increase the car tax’ — increase the car tax by 200%.  It’s unfair to do that.  …

The car dealers, like this dealership here, car dealerships all over this state have lost sales.  Their sales dropped by 33%.  Some car dealerships even talked about their sales dropping by 50%.  Now is that good for the economy when they have to lay off people?  When they have to close down dealerships and all that?  It’s not good for the economy.

What we want to do is the opposite.  We want to stimulate the economy.  We want to make California again the competitive, powerful, job-creating machine it once was.

Why bring this up now, more than five years later?  The car-tax increase has returned, along with a lot of new taxes and borrowing, in Schwarzenegger’s compromise budget bill.  It contains over $12 billion in new taxes, over $11 billion in new borrowing, with $15 billion in cuts to the budget that, depending on how one calculates the annual spending in California, exceeds either $105 billion (the Governor’s number) or $145 billion (analyst estimates) already.

Doesn’t that sound like out-of-control politicians spending, spending, and spending — and then punishing Californians for their excesses?  Nothing has changed except the dates.  Arnold had it right in 2003, but five years marinating in the nanny-state capital has apparently caused political amnesia.

Maybe someone can replay his remarks at Galpin Ford and remind him what the real problem in California is, and what tax hikes actually do.

Blowback

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Oh, this is the guy with the blue scrotum.

bloggless on February 20, 2009 at 8:19 AM

In a few short years – Arnold went from a penniless immigrant who moved to the richest state in the richest nation to find his future.

Today – he is one of richest citizens in one of the poorest states in a nation going broke.

Hmm.

jake-the-goose on February 20, 2009 at 8:20 AM

blah, blah.

rob verdi on February 20, 2009 at 8:20 AM

Kindergarten Cop.

pugwriter on February 20, 2009 at 8:21 AM

In Terminator the good guys reprogrammed him to fight for the good side, what happened here?

the_nile on February 20, 2009 at 8:23 AM

Will the man with the blue scrotum please report to the main office.

bloggless on February 20, 2009 at 8:25 AM

Note to Californians:

GET OUT WHILE YOU STILL CAN!!!!!

Keemo on February 20, 2009 at 8:29 AM

Oh, this is the guy with the blue scrotum.

bloggless on February 20, 2009 at 8:19 AM

Heh – you get first laugh of the day.

FuriousAmerican on February 20, 2009 at 8:32 AM

Why do you need to go through state government in order to cut taxes and spending? Just say, “I’m governor,” and proceed on making a bunch of executive orders.

And dont budgets need to be signed by the governor? refuse to sign anything you disagree with lol

Libertarian Joseph on February 20, 2009 at 8:39 AM

Note to Californians:

GET OUT WHILE YOU STILL CAN!!!!!

Keemo on February 20, 2009 at 8:29 AM

Before the wall is built around the Caliphonian Demokratische Republik.

the_nile on February 20, 2009 at 8:43 AM

Note to Californians:

GET OUT WHILE YOU STILL CAN!!!!!

Keemo on February 20, 2009 at 8:29 AM

Seriously. Abandon one of the most beautiful places on earth to the Illegals, welfare recipients, and San Fran fruits and nuts. I know they aren’t getting any more of my vacation dollars.

anniekc on February 20, 2009 at 8:43 AM

Why go back so far? Just a few months ago Ahnold, campaigning w/ McCain, bashed BHO for wanting to raise taxes. I think they were in Ohio.

jgapinoy on February 20, 2009 at 8:44 AM

…It was the speech where he called BHO & his plans “skinny”.

jgapinoy on February 20, 2009 at 8:45 AM

California is a microcosm of what is wrong with America:

1) the poor dramatize their plight all too well

2) the environmental wackos have literally cowed any rational discussion on the environment

3)illegal immigrants bloat budgets and cause massive deficits

4)the conservatives in California have been distracted by the issues of abortion and gay rights

technopeasant on February 20, 2009 at 8:48 AM

Years of marinating in the Kennedy clan will do that to you. Sold out his core values to placate his in-laws and to be popular with his Hollywood friends.

Hummer53 on February 20, 2009 at 8:49 AM

Note to Californians:

GET OUT WHILE YOU STILL CAN!!!!!

Keemo on February 20, 2009 at 8:29 AM

Really, if california really wants to make some money, they should tax people for fleeing the state! LOL

jeffn21 on February 20, 2009 at 8:56 AM

Why go back so far? Just a few months ago Ahnold, campaigning w/ McCain, bashed BHO for wanting to raise taxes. I think they were in Ohio.

Ironies or ironies – We won’t see Arnold or McCain much anymore.
We must move forward – refocus our message.

Kalifornia is a case study of what not to do.

Small business, non-union business must band
together and get out the message of lower taxes,
opportunity and promoting personal responsibility.

Any business that takes bail-out money need not apply.

izoneguy on February 20, 2009 at 8:57 AM

Over 95 % of Lib-retard States (BLUE) = FLAT BROKE / HIGH TAXES / RAMPENT CRIME / HIGH WELFARE / THUG UNION CONTROL

Over 90% of Conservative States (RED) = BUDGET SURPLUS / LOW TAXES / LESS CRIME / BETTER SCHOOLS AND QUALITY OF LIFE / LOWER UNEMPLOYMENT / FAR LESS UNIONS / LOWER WELFARE

Hummmmm, anyone connecting the dots here?

Mark Garnett on February 20, 2009 at 8:59 AM

NYS’ budget is 120 billion dollars. The Governator is trying to tell the American public that the largest Libtard state in the union has a budget fifteen billion LESS than NYS? That’s like AFraud telling us his ‘cousin’ shot him up with something he really didn’t know what it was, and that had no perceivable effects on him for only a couple of years.
We aren’t suckers Ahnold or ARoid.

eaglewingz08 on February 20, 2009 at 9:03 AM

4)the conservatives in California have been distracted by the issues of abortion and gay rights

technopeasant on February 20, 2009 at 8:48 AM

Please. It’s not like the GOP caucus in the state house is pushing for an abortion ban or gay marriage ban every year. Also, the pro-life ballot referendum and prop 8 did better than McCain and probably many other Republicans. CA is a pro-choice state, but kicking out social conservatives is not the fix.

IR-MN on February 20, 2009 at 9:04 AM

conservatives in California have been distracted by the issues of abortion and gay rights

Distracted?
The right to life is one of the building blocks of the rule of law, & it’s enshrined in our founding document, the Declaration of Independence.
Marriage is one of the building blocks of civilization, & the Left is trying to undermine it.
These issues are more important than holding the line on taxes.

jgapinoy on February 20, 2009 at 9:11 AM

Here is Ahnold decrying spread-the-wealth, socialism, & big tax increases (skip to 3:20):
http://www.youtube.com/watch?v=rPpV8rqW3jE

jgapinoy on February 20, 2009 at 9:17 AM

…in October 2008.

jgapinoy on February 20, 2009 at 9:18 AM

4)the conservatives in California have been distracted by the issues of abortion and gay rights

technopeasant on February 20, 2009 at 8:48 AM

Agreed on three out of four, but I will NEVER agree on this… If Conservatives do not stand on principals, values and morals then all else to me is mute. You know my thoughts, I’m very Financially Conservative, not so staunch on the Social side, but still…

Holding firm on HUGE TAX CUTS, CUTTING WELFARE, DEPORTATION OF ILLEGALS, PRO-LIFE, HUGE REDUCTION IN GOVERNMENT AND REGUALTIONS… I think we CAN and SHOULD have them ALL!!!

Remember, bold broad strokes of contrast between the radical leftists and Conservatives IS a winner…

Mark Garnett on February 20, 2009 at 9:18 AM

In fairness and to sound out one small ameliorating note for Arnold…(and I have been posting here long enough that you know I’m no troll)

When I still lived there, there were several propositions (in ’04 or 05′- I’m fuzzy on the date) on the ballot that would have curtailed spending drastically, as it was already sorely needed. While it was still a band-aid, it would have been a good first step. However, it was a watershed moment for Schwarzenegger, and the ignorant electorate soundly defeated these measures, leaving Arnold with little choice but to throw in with the Spendaholic Democrat majority that still has no inkling of fiscal responsibility.

It was a resounding, demoralizing defeat for the governor, the LA Times was ecstatic, and he turned totally into Democrat mode after that election and never looked back.

marybel on February 20, 2009 at 9:28 AM

After this is all over, all of Californians will have a blue scrotum…black and blue…

right2bright on February 20, 2009 at 9:34 AM

Remember, bold broad strokes of contrast between the radical leftists and Conservatives IS a winner…

Mark Garnett on February 20, 2009 at 9:18 AM

My turn to return the favor….
+100

right2bright on February 20, 2009 at 9:35 AM

California is a perfect example of why socialism doesn’t work. When does the socialist ever get enough of your tax money? Never!

California continues to spend like a drunken sailor on a vast array of programs which have not improved the well being of its resident’s one iota. But it is worse than that. Not only can they not provide for basic necessities of its citizenry, but they want to be so generous as to extend the largess of the state (you) to millions of people who are here illegally.

The stark reality is that there are more groups and special causes which need to be fed than there are tax payers and the wealth they’ve earned.

So we are told that the rest of the country must step up and pay California’s freight. But does California have a moment of clarity and reflect on how it must live within its means? Hell no, they’ve got your credit card and they’re on to the next high ticket item. Where does it end, only when the system crashes and we’re all broke and enfeebled?

The Obama administration wants to turn out the car lights, stomp on the gas and send us careening down this mountain road of an economy we have. We’re told that he’s so smart, that he wants to take us in a new direction but we must act now before we fall into the abyss. But can someone tell me how extending a massive carbon cap and trade system through executive order is going to be a net gain to our society and our economy? Does anyone really believe that a govt takeover of medicine will provide equal quality of care and at the same cost?

If California is the regulatory and tax model, we’re screwed. I don’t know if anyone caught Rick Santelli this AM but he looks like he was the recipient of a brush back pitch from CNBC mgmnt. Don’t expect anymore rants off the reservation from him or anyone else on that network.

As an aside: I don’t know if anyone caught Rick Santelli this AM but he looked more sedate than a post lobotomized Randle Patrick McMurphy. I suspect Rick was the unhappy recipient of a brush back pitch from CNBC mgmnt. Don’t expect anymore rants off the reservation from him or anyone else on that network in the near future.

moxie_neanderthal on February 20, 2009 at 9:38 AM

The only truly honest and courageous politicians were the republican politicians who ran for office on the “contract with America” and kept their promise and resigned from office as they had promised.

Johan Klaus on February 20, 2009 at 9:40 AM

You can’t even get through to EDD for your unemployment. This state is a total mess because of funding for Illegal Aliens and their Bingo Babies. Politicians still not mentioning this….

RealDemocrat on February 20, 2009 at 9:57 AM

nothing has changed since 2003 /sarc *rolling eyes*

gatorboy on February 20, 2009 at 9:59 AM

This is what makes me worried about Meg Whitman for Governor, she’s not as tough as Arnold going into it, she’s going to get annihilated by Sacramento, if she wins.

And if she doesn’t win, then its in the hands of a Democrat, although I loved CA when I lived there, I do NOT get the sunshine in MN and thus have no interest in subsidizing the state.

mngirl on February 20, 2009 at 10:13 AM

And dont budgets need to be signed by the governor? refuse to sign anything you disagree with lol
Libertarian Joseph on February 20, 2009 at 8:39 AM

Newt Gingrich tried shutting the government down in 1995 and lost big. The Democrats control 63% of the state legislature. They run the show — bottom line. The Governator held out for a long time, demanding budget cuts. But the liberals wouldn’t budge and so, at the end of the day, that’s the best deal he could get.

The Republicans in California should point this out to the voters and say “look, if you want to rein in the spending and restore this state to its former glory, put Republicans in. Otherwise, enjoy the ride to oblivion.”

Outlander on February 20, 2009 at 10:23 AM

Moderate Republicans call themselves fiscal conservative social liberals, Arnold the pig is exhibit A. The tough guy talk on fiscal issues melts when faced with balancing a budget. A shining example of O’Sullivan’s Law. If you cringe at the thought of Grandma eating cat food with the oven open for heating, you just don’t have the stomach to call yourself a conservative. Because when it comes to cutting budgets, you have to have balls.

Angry Dumbo on February 20, 2009 at 10:25 AM

mngirl on February 20, 2009 at 10:13 AM

It doesn’t matter. Putting on the Barney Rubble brakes doesn’t work on a Ferrari intent on racing to the bottom. The speed of descent isn’t reduced and you just end up with red stumps for legs.

moxie_neanderthal on February 20, 2009 at 10:26 AM

Look at the British or U.S. economy today, the Third Way doesn’t work.

Angry Dumbo on February 20, 2009 at 10:28 AM

california sucks…visited and never to return…drug dealers, illegals, gangs… the perfect place to raise a family.

NRA Lifer on February 20, 2009 at 11:33 AM

Oh and the homos too…

NRA Lifer on February 20, 2009 at 11:33 AM

Terminate him.

watson007 on February 20, 2009 at 11:51 AM

california sucks…visited and never to return…drug dealers, illegals, gangs… the perfect place to raise a family.

NRA Lifer on February 20, 2009 at 11:33 AM

I was born and spent over 50 years there, some of the state is absolutely terrific…San Diego, nicest city in the U.S….Marble Mountains (spend a couple of weeks hiking though there and you will know God’s country), High Sierras, the incredible desert, Catalina Island, Santa Barbara and islands, Irvine, best school district in the U.S, great universities (and some horrendous ones, Santa Cruz for one)…but it has changed in the past twenty years, hence moving to NC.
But it (NC) too is now fully democrat, and it will soon enter into the same “state” as Ca.

right2bright on February 20, 2009 at 11:52 AM

Oh and the homos too…

NRA Lifer on February 20, 2009 at 11:33 AM

And where you live there are none?…sure…

right2bright on February 20, 2009 at 11:53 AM

John & Ken are great. They should syndicate across the country, but I’m glad they are here to remind me that LA and CA politics are just as disgusting as DC politics. You want to get riled up? Listen to one of John’s tirades. It’s like Mark Levin on caffeine and steroids.

tommylotto on February 20, 2009 at 12:00 PM

He’s got a Democrat chief of staff, so that says it all about him.

I Give Up

PattyJ on February 20, 2009 at 12:19 PM

Liberals destroy what capitalism creates.

Then they move to another state.

Rinse. Repeat.

nottakingsides on February 20, 2009 at 12:58 PM

Talk about your buyer’s remorse.

Ever since Arnold lost his “special election”, specifically Prop 76 (which btw if the dumbass voters of this state had passed, might’ve prevented all of this grief in the first place), he’s been acting like a spurned eunuch.

Rather than keep up the fight, he’s just thrown in the towel.

The Ugly American on February 20, 2009 at 2:54 PM

Don’t blame me, I voted for Tom McClintock in ’03.

OmahaConservative on February 20, 2009 at 5:27 PM

Arnold is SUCH A JOKE!!

build the wall on February 20, 2009 at 7:56 PM

It would appear I am in the minority here. It is easy to criticize the Governator for tax increases, but may I suggest that you look more closely into the California’s budget and the political crisis?

I believe the Governator did the best he could with what he had, and he had to scrape and cajole to get that one last vote to make the budget pass before the state started shutting down, literally. I think he put it well earlier this year when he told California legislator’s to “get off their ideological asses” and make the budget happen before even more serious financial catastrophie took place.

One may criticize the spending but the reality is that San Francisco, the Bay Area, Stanford, and Berkley are all part of California, like it or not. These areas in northern California are so far to the left if they leaned any further they would fall off the left coast. Please keep that in mind, and their representation, when considering the Governator and his actions.

Solutions: Split California into Northern and Southern Californa, left the left of Northern California spin off the left coast and spend with their own money. Another solution: legalize marajuana, sell “California Gold” and let the left puff their way to financial solvency.

omegaram on February 20, 2009 at 9:19 PM

I remember when the Governator said his favorite economist was Frederick Hayek.

burt on February 20, 2009 at 9:27 PM

the Governator said his favorite economist was Frederick Hayek

Obviously before the implant.

All he says now when asked is “John Maynard Keynes is the kindest, bravest, warmest, most wonderful human being I’ve ever known.”

moxie_neanderthal on February 20, 2009 at 10:55 PM