Where to Go From Here? The Future of CapInsider...

Two Paths

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As you have probably noticed if you checked this site recently, I have not been updating it as regularly as I usually do. I feel bad about that, because I appreciate those of you who take the time to visit CapInsider, and I want to always have new content waiting for you when you check in here. However, I do have a pretty good reason for the sudden lack of posts: I've gotten a job (on a contract basis for now, but with the hope of something more permanent later) doing writing and content strategy for a company in San Francisco called ReadyForZero.

They are building an awesome tool for helping people get out of debt, and with the recent events in Washington, D.C., that seems somehow very important and very related to the political issues I've been thinking about for the past few years. Take a look at the ReadyForZero website and blog, where you can try out their free service and, if you want, track my new writing career.

Which brings me directly to the point: I need your help deciding what direction to take CapInsider. I want to keep updating it with stories and opinions about California politics, but the frequency of these posts will not be as great as it was previously. For at least the next few weeks, I will faithfully keep posting here, and if you, the readers and commenters, keep directing your browsers to this site I'll try my best to keep adding to it, as much as possible. But I also want to hear from you any ideas you have for utilizing and growing this site with more contributions from a variety of different people.

If you are someone who likes to write about politics, and wants to do so on a semi-daily basis, please send me an e-mail using the contact button above or via a message on Facebook or on Twitter and I'll put you in charge of running this site for now.

I've had so much fun building this site and learning from all the people who have posted comments and articles here. I can't tell you how much I appreciate your attention to and interest in this site given how many information sources there are online. It means the world to me.

Is High Speed Rail Becoming a Train to Nowhere?

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Map of proposed route for California High Speed Rail

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California's High Speed Rail project has some very vocal and very influential critics. Perhaps the most vocal and influential is Dan Walters, who wrote in his column yesterday,

It's rare for any human endeavor to achieve perfection, but California's High-Speed Rail Authority has done it – albeit in reverse.

Every single independent review of its project to link the northern and southern halves of the state with a bullet train has concluded that it's not working. No exceptions. Not even one.

That's a pretty harsh judgment, but it is one that is becoming increasingly more common these days, as the challenges facing the High Speed Rail project seem to grow more insurmountable by the day.

An article last December in the L.A. Times pointed out the dilemma facing the High Speed Rail planners who are required by language in federal grants to begin construction of a section of rail that will have no purpose until further funds are allocated to connect it with a high population area:

Costing at least $4.15 billion, the segment would run from the tiny town of Borden to Corcoran, an area hit so hard by the recession and agriculture declines that it has been dubbed the New Appalachia...

Included in the plan are tracks, station platforms, bridges and viaducts, which would elevate the line through urban areas. The initial section, however, would not be equipped with maintenance facilities, locomotives, passenger cars or an electrical system necessary to power high-speed trains.

Therein lies the problem. The project must be built in segments, but with the estimates of the total funds required rising rapidly, many observers are unsure if there will ever be enough money to finish the project:

The state's Legislative Analyst's Office (LAO) issued a report that said the Authority had about $13.6 billion available. That wouldn't cover the project even if it met the authority's cost forecast: about $45 billion.

But LAO projected it could cost more: as much as $67 billion.

This uncertainty has already caused the San Francisco Examiner to speculate about whether the Transbay Transit Center, which is supposed to be the Northernmost terminal for High Speed Rail, "will amount to little more than a $1.5 billion bus station."

Of course, it's still possible that the High Speed Rail vision will one day become a reality. Perhaps the momentum established by building the first few sections will inspire more state and federal funding to be allocated. But in the meantime, questions will no doubt continue to bubble up from all corners of the state.

And the High Speed Rail Authority will have to come up with good answers to those questions:

The authority is supposed to be producing a "business plan" to answer all the questions, but its first draft was laughably skimpy and contained pie-in-the-sky projections of federal and private construction funds, ridership and operational revenues. A new draft is due later this year.

July 19th Update: Curt Pringle, who had served as Chairman of the High Speed Rail Authority for two years, announced he is resigning in order to focus on his full-time job as a lobbyist. Also, today Senator Alan Lowenthal is quoted as saying the High Speed Rail project is at a crossroads.

What do you think? Can the High Speed Rail still be successful? Post your comment below.

UC Regents Increase Tuition

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The UC Berkeley campus
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According to the Sacramento Bee, the UC regents have decided to further increase tuition for students at all UC campuses:

University of California regents today voted to raise tuition by about $1,070, sending the total cost to $12,192 for the upcoming school year....

Regents said they were unhappy about raising tuition but they felt compelled to do it to preserve UC's academic quality.

Consider this yet another result of state budget cuts. And remember, there could be more cuts to the UC system if the state's revenues are not as high as predicted in the budget that was passed last month.

California Revenues $351 Million Lower Than Expected

According to the Sacramento Bee, California revenues are already $351 million lower than what last month's budget was counting on.

It didn't take long for California's optimistic budget to fall behind in tax revenues.

Controller John Chiang released data Monday showing that California received $351 million less in May and June than state leaders expected in the budget that Gov. Jerry Brown signed just 12 days ago.

This news will no doubt have some folks glancing nervously at the trigger part of the budget deal again.

CD-36 Election Today: Hahn Vs. Huey

Today marks the end of the campaign for the open 36th Congressional District seat. The New York Times wrote yesterday that the race has become closer than expected:

But Ms. Hahn, once the heavy favorite, now appears to be in a tight race with Mr. Huey, according to polling done by both parties, as he continues the heavy spending that helped propel him into the runoff. Accordingly, in recent days, her campaign has employed help from big political guns: Bill Clinton recorded several automated calls for her, and the Obama for America organization has put together phone banks to help turn out Democratic voters.

I'll post an update later tonight with the results.

Update: As expected, Janice Hahn has won the race and will be the next member of Congress representing the 36th District.

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