UTA eNews
March, 2013

Period of Repose?


Michael Belote, Esq.

By Michael Belote, Esq., California Advocates, UTA California Lobbyist

After convening briefly in December to swear in new members, the Legislature effectively began the 2013-2014 two-year session on January 7.  The changes in mood are palpable, and are actually quite positive.  Contributing to the changes are the following:

  • New Members:  The combination of redistricting and term limits resulted in greater changes to the composition of the legislature than perhaps ever before.  In the Assembly, 38 of the 80 members are brand-new.  With one new Senator in the 40-member house, this means that 39 of 120 legislators have never served before.  For reasons discussed below, these members are bringing fresh energy and vitality.

  • Changes in Term Limits:  Important changes were enacted last year in California’s term limit law.  Instead of maximum tenure of three two-year terms in the Assembly, and two four-year terms in the Senate, members may now serve up to 12 years in either house.  This is an enormously beneficial change, as Assembly members may now serve up to twice as long as before, with Senators serving up to 50% longer.  Already this reform is working: almost to a person, new members indicate that they will begin slowly and thoughtfully, as they no longer are facing a short six-year clock in their Assembly careers.  The term limits change should also slow down the constant fundraising and electioneering so prevalent under the old system.

  • Top-Two Primary:  November was the first general election under California’s new “top-two primary” system, wherein primary election voters were permitted to vote for the candidate of their choice, regardless of party, with the top two vote getters advancing to the general election.  This meant that in heavily Democratic districts, the general election could feature a Democrat against a Democrat, with the opposite in very Republican areas.  The idea was to promote more moderate candidates, since individuals could appeal to voters of the opposite party in primary elections.  While the system is not popular with party leaders, and while some experts disagree, the new system appears to be having the desired result: in several areas more moderate candidates defeated those who were either more liberal, or more conservative, depending upon the area.

  • Improving Economy:  While improvement in the state’s economy certainly varies by region, and will not lead to overnight prosperity, many economic indicators are up, including improving car sales, increasing real estate values, stronger tax receipts, and more.  Thus, legislators elected in November will be the first in a number of years who have not been asked to vote for a state budget containing deep cuts.  Regardless of party, no legislator is ever eager to vote for a proposed budget with deep cuts to schools and other programs, so the prospect of a truly balanced budget clearly provides a psychological lift.

For UTA, the question is whether, having legislated so comprehensively on foreclosures and loan modifications in 2012, the legislature will take a breather for 2013.  The early indications are positive: although a total of 2189 new bills were introduced prior to the bill introduction deadline of February 22, no foreclosure moratoria or other “stop the press” bills were introduced.  Of note are AB 526, proposing a complete deferral of mortgage and other obligations for those in military service; AB 642 on Internet publications; AB 683 on collection of local fines and assessments;  AB 1091 adding minor new information to the notice of default; AB 1322 to reinstate the property tax postponement program;  and SB 426 proposing yet further limitations on deficiency judgments.

Of course, all we know at this point is what has been introduced prior to the deadline. Bills can be amended at virtually any point in the legislative session ending in September, so continual vigilance is necessary.  Watch future editions of UTA eNews for updates.

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