What is a community organizer? ACORN stands for Association of Community Organizations for Reform Now — James O’Keefe and Hannah Giles expose ACORN fraud

Citizen journalists exposed ACORN on camera. Now the Obama/Democrat politicians have to sever their ties with the socialist group famous for ballot stuffing, voter registrations by the tens of thousands and illegal loans by the thousands (helping fuel the financial meltdown).  The two citizen journalists asked for tax advice on opening up a house of prostitution and got some good tips from ACORN staff members. 

 

The interview was taped and now Obama has some explaining to do. Why did he pick 9-11 for the first annual day of service? Now ACORN will forever be tied to a tragic day in American history. ACORN is a brownshirt political activist group hired to rig local elections and beef up poor and illegal numbers for federal aid.  What a shitty organization? My god! 

 

Two employees at the Baltimore, Maryland, branch of the liberal community organizing group ACORN were caught on tape allegedly offering advice to a pair posing as a pimp and prostitute on setting up a prostitution ring and evading the IRS.

The video  was recorded and and posted online Thursday by James O’Keefe, a conservative activist. He was joined on the video by another conservative, Hannah Giles, who posed as the prostitute in the filmmakers’ undercover sting.

Wonder why the New York Times or Washington Post didn’t think of doing this kind of real journalism? I think you know the answer.

The video shows the pair approaching two women working at the ACORN Baltimore office and asking them for advice on how to set up a prostitution ring involving more than a dozen underage girls from El Salvador. One of the ACORN workers suggests that Giles refer to herself as a “performing artist” on tax forms and declare some of the girls as dependents to receive child tax credits.

“Stop saying prostitution,” the woman, identified by the filmmaker as an ACORN tax expert, tells Giles. The other woman tells them, “You want to keep them clean … make sure they go to school.”

Both woman appear enthusiastic to help. The tape is on YOUTUBE. Google it. 

James O’Keefe and Hannah Giles visited one of ACORN’s New York offices in August, where they picked up handy tips on how to lie on housing forms to cover up a prostitution business (”Honesty is not going to get you the house,” one ACORN official advises) and how to hide cash from their illicit business (”When you buy the house with the backyard, you get a tin…and you bury it down in there…cover it…and put the grass over it…”).

Watch the whole thing at Big Government. This is now the third videotaped sting exposing the ACORN racket’s law-undermining, truth-sabotaging counseling sessions.

If the Census Bureau no longer trusts ACORN to collect data as a result of these videotapes, why is Congress still allowing taxpayer money to be funneled to the ACORN Housing Corporation?

AHC has received an estimated $16 million in taxpayer funds between 1997-2007, according to the Employment Policies Institute.

 ACORN is now managing apartments in Bedford-Stuyvesant for the newly completed Atlantic Avenue Apartments.

 

The video footage — which has been edited and goes to black in some areas — was recorded and posted online Thursday by James O’Keefe, a conservative activist. He was joined on the video by another conservative, Hannah Giles, who posed as the prostitute in the filmmakers’ undercover sting.

The video shows the pair approaching two women working at the ACORN Baltimore office and asking them for advice on how to set up a prostitution ring involving more than a dozen underage girls from El Salvador.

One of the ACORN workers suggests that Giles refer to herself as a “performing artist” on tax forms and declare some of the girls as dependents to receive child tax credits.

 

 

 

 

Governor Sarah Palin, in her Wednesday night speech to 40 million Americans said, “I guess a small-town mayor is sort of like a ‘community organizer, except that you have actual responsibilities.” Sarah hit a grand slam with that one.

 

But what exactly were Barack Obama’s actions as of community organizer in Chicago?

 

It’s been hidden from the news that Obama was a member of the Association of Community Organizations for Reform Now, ACORN. Google ACORN and you may be surprised to find that it is a liberal/socialist organization involved in voter fraud. Look up the lawsuits ACORN is involved in.

 

 

Obama’s community organizing involved training grievance-mongers from ACORN.

Last week, Milwaukee’s top election official announced plans to seek criminal investigatioins of 37 ACORN employees accused voter registration fraud on a massive level.

 

Obama’s campaign apologized for failing to report $800,000 in campaign payments to ACORN. They were “accidently” filed with the Federal Election Committee as money sent to “get-out-the-vote” and “advance work.”

 

The New York Post has more quotes today from upset community organizers. Joshua Hoyt, executive director of the Illinois Coalition for Immigrant and Refugee Rights, says: “I don’t like seeing the really hard work that goes on in really poor communities being demeaned by cheap politicians.”

 

Hard work such as signing up non U.S. citizens as Democrats with voter cards.

 

The Arkansas connection
You know Acorn. You know the grassroots organization, now a national power, got its start here, led by Wade Rathke (pictured), who spent the group’s formative years wheeling and dealing in Little Rock before moving to New Orleans. The local affiliate remains a powerful voice for poor people.

Depending on your point of view, you’ll be saddened or gladdened to learn this shocking news:

The New York Times reports today that founder Rathke’s brother embezzled $1 million from the organization eight years ago and the matter was handled internally.He stayed on the payroll until a month ago, when whistleblowers finally forced him out.

Wade Rathke said the organization had signed a restitution agreement with his brother in which his family agreed to repay the amount embezzled in exchange for confidentiality.

Wade Rathke stepped down as Acorn’s chief organizer on June 2, the same day his brother left, but he remains chief organizer for Acorn International L.L.C.

He said the decision to keep the matter secret was not made to protect his brother but because word of the embezzlement would have put a “weapon” into the hands of enemies of Acorn, a liberal group that is a frequent target of conservatives who object to its often strident advocacy on behalf of low- and moderate-income families and workers.

Wade Rathke said he learned of the problem when an employee of Citizens Consulting alerted him about suspicious credit card transactions. An internal investigation uncovered inappropriate charges on the cards that led back to his brother.

“Clearly, this was an uncomfortable, conflicting and humiliating situation as far as my family and I were concerned,” he said, “and so the real decisions on how to handle it had to be made by others.”

If one of the prosperous businesses or public officials Rathke and Acorn have bedeviled and humiliated over the years had offered this alibi for wrongdoing, they would be in Lompoc right now.

Miss California has same views against gay marriage as President Obama, Biden and and Hillary

President Barack Obama didn’t think the media lap dogs would do this to him just 100 days into his term. But thanks to The Donald, Obama ended up in the middle of the gay/lesbian/transgender smear campaign against Miss California.  — the debate over Carrie Prejeans Christian beliefs — in opposition to gay marriage.

At a press conference addressing Carrie Prejean’s disputed title in the Miss USA competition, pageant owner Donald Trump compared Prejean’s stated views on gay marriage to Obama’s. Bloggers on Twitter have pointed this out weeks ago. 

“It’s the same answer that the president of the United States gave,” Trump said. “She gave an honorable answer. She gave an answer from her heart.”

In her own remarks moments later, Prejean echoed Trump’s statement, telling reporters: “The president of the United States, the secretary of state, and many Americans agree with me in this belief.” Let’s be clear on this media/gay smear, Miss Prejean would be Miss USA today, if not for the biased, hate-filled attacks by the gay/lesbian/transgender political arm of the Democratic party of the U.S. Perez Hilton is the one who should be in a controversy today by the major media.

Q: “Do you support gay marriage?” VP BIDEN: “No, Barack Obama nor I support redefining, from a civil side, what constitutes marriage. We do not support that. That is basically a decision to be able to be left to the faiths and people who practice their faiths to determine what you call it.”

Citizen Journalism gains status at the Washington Times, meanwhile more big cuts at the big publishers

The Washington Times promotes the  return of citizen journalism. 

 

Now this is what is called freedom of speech. Is this freedom the result of reality shows and especially America Idol? After all, rank amateurs turn out to be very good singers. 

At the same time, the cuts and shutdowns continue.

The Chicago Tribune plans to cut another 20% of its newsroom staff in yet another bid to reduce expenses amid continuing advertising declines.

Staffers were told of the impending layoffs last week, according to three people who attended a meeting on the topic. The cuts will take place over the next several weeks, the sources said.

The expected cuts are the latest attempt to reduce expenses at the paper, whose parent Tribune Co. filed for bankruptcy protection from creditors in December.

The Washington Times’ news gathering is about to become a whole lot bigger as the newspaper launches one full print page per day of news stories reported and written by average citizens in local communities. The citizen journalism project, set to debut Monday,(today) is a new take on a traditional idea.

Community-driven news has been a long mainstay in American newspapers. The Times’ version ramps up the intensity and the outreach, focusing on six communities within the larger Washington area: academia on Monday, the Maryland and Virginia suburbs on Tuesday, the District on Wednesday, local military bases on Thursday, faith communities on Friday and the charitable and the public service community on Sunday. The citizen journalists’ work will be showcased in the A-section as an additional page of Metro coverage and will provide a natural complement to the work of the newspaper’s reporters and editors. “We know there are many issues and communities we have not been able to fully cover within the confines of a newsroom budget, and we are excited to empower citizens within those communities to provide us news that will interest all our readers, ” Executive Editor John Solomon said. “While we are expanding our reach through this project, we will not be diminishing our editorial quality. Citizen stories must meet the same rigorous standards for accuracy, precision, fairness, balance and ethics as those written by our newsroom staff,” Mr. Solomon said. Each citizen journalist is provided a set of rules for their reporting and newswriting, as well as copies of The Times’ policies governing ethics, anonymous sources and other journalistic standards. While the project calls for some first-rate news wranglers, The Times also is tapping into some of its own editorial talent known for its savvy – and heart. Former Editorial Page Editor Deborah Simmons, a veteran newswoman with close ties to the local community, is supervising the coverage for the District, the suburbs, academia, faith and the charitable communities. Longtime Times columnist Adrienne Washington, a staple on local TV and radio, also will be a part of the outreach and the editing. “Deb and Adrienne are pillars within the Washington community and their journalistic prowess, community ties and passion for news are perfectly suited for this project,” Mr. Solomon said. “This is a groundbreaking project, and I’m excited to be on the launching pad. Readers know our bylines. Now we’re flipping the script.” Grace Vuoto, editor of The Times’ new Web property BaseNews.com, will edit the Thursday citizen journalism page on military base news. “Grace is leading the way in providing citizen reports from every military base in the world through BaseNews.com, and the Thursday page is an ideal extension,” Mr. Solomon said. The idea of community journalism in a print format is actually a new take on an old tradition, said Al Tomkins, a media analyst with the Poynter Institute. “Rural and county newspapers, community weeklies – they always had space devoted to the community news, written by someone local. That kind of coverage was and still is incredibly popular,” Mr. Tomkins said. “It takes its inspiration from a simpler time. But it remains an effective way to give a voice to the voiceless.” The new citizen journalism page is one of several changes launched in the past few weeks in The Times’ print edition. By Jennifer Harper | Monday, April 13, 2009

Will the rabble be able to follow the AP stylebook? (I know that is going through many of the “professionals’ minds.”

Chronicle to purge 150 starting April 1 — A cruel April fools joke?

The SF Chronicle’s carbon footprint is getting smaller, about 150 people smaller.  Some may feel a little foolish now about turning off their lights for Earth Hour, especially when they learn that Al Gore kept the lights on in his 9,000 sq ft mansion. California’s power use didn’t budge. It was a dim idea. 

Back to the lights out on newspapers top heavy with executive editors: 

“Until the current newspaper crisis, you rarely heard politicians or activists bleating about how important newspapers were to self-government. They mostly bitched about what awful failures newspapers were at uncovering vital data. The only group that holds a consistently high opinion of newspapers is newspaper people,” Jack Shafer.

He cites a recent Pew study that shows most people don’t care if their local newspaper folds, and he says they have a point — few of the stories printed every day “are likely to supercharge the democratic impulse,” and even the ones that do, generally fail to spur voters to do anything.

 

Slate‘s Shafer laughs at the high-minded talk of the critical role newspapers play in a democracy, declaring, “I can imagine citizens acquiring sufficient information to vote or poke their legislators with pitchforks even if all the newspapers in the country fell into a bottomless recycling bin tomorrow.”

Shafer shows that some of the people arguing for the importance of newspapers — academics and liberal activists — have shown little love for them in the past.

CHRONICLE UNIT BULLETIN — It’s official!

More than 80 Chronicle staff members took the severance deal on March 31, 2009. The overall number will be 150 in the next two weeks. Is anyone keeping a talley? Has it been 500 cuts the last four years? That’s my estimate.

     

 

 

 

 

 

 

 

Because of the large number of employees volunteering for termination during The SF Chronicle’s voluntary termination period, the WARN Act provisions requiring 60 days advance notice of involuntary layoffs is not valid. That means that after April 1, another 80 will be given their walking papers.

The company would have no legal need to give the 60-day notice provided for under the WARN Act.

Some members have said that they would not apply for the voluntary termination package and would, instead, wait for the layoff in order to get 60 days notice and the additional pay involved. Given the current situation, however, the Guild advises against taking this course of action because it appears there is a good possibility that the 60 days additional notice with pay won’t materialize. Remember that after April 3, 2009 no member regardless of age can receive the Supplemental Pension Benefit as a lump sum and all will have to take it as a monthly annuity. So if the Supplemental Pension Benefit as a lump sum from the Guild Pension Plan is important to you, and if the 60 days notice you were counting on is no longer a solid possibility, and you are certain you want to leave The Chronicle, we suggest that you should strongly consider volunteering to terminate your employment by the 5 p.m. March 31 deadline.

So, if another 50 or more rush to get your modest buyouts. The remainder who wait very well could end up with an extra 60 days pay.  Not a bad bet. And there are still 60 days of skiing at Heavenly and Squaw Valley.

 “Until the current newspaper crisis, you rarely heard politicians or activists bleating about how important newspapers were to self-government. They mostly bitched about what awful failures newspapers were at uncovering vital data. The only group that holds a consistently high opinion of newspapers is newspaper people,” Jack Shafer.

 Names of Chronicle staff taking the buyouts are piling up like winos in front of the Salvation Army food kitchen.   

Some of the paper’s veteran reporters and biggest names are leaving. It looks like music, books and arts coverage will be hit hard, as well as the photo department.

 Here are the names so far:

 Joel Selvin, who has covered the rock and roll scene for 30 years or so.

 Carl Hall, a longtime science reporter currently on leave.

 Tom Meyer, editorial cartoonist.

 Zachary Coile, a long-time reporter in the Washington D.C. bureau.

 Nancy Gay, who covers 49ers football and other major league teams. 

Three of the papers top culture writers are departing, including:

 Jesse Hamlin, Edward Guthmann, and Heidi Benson. They frequently profile authors, actors, and musicians.

Sabin Russell, who has covered science for decades.

Alison Biggar, the long-time editor of the Chronicle Magazine.

Sylvia Rubin, who covers fashion.

Bernadette Tansey, a biotech reporter. (She has been writing a new feature each Sunday that I love, a round-up of books on a particular business topic, but done in a very clever way.)

The photography department will take a big hit as six photographers, including Pulitzer-Prize winner Kim Komenich, are departing. The others include Michael Maloney, Craig Lee, Eric Luse, Mark Costatini and Kurt Rogers, a sports photographer

Other departures include:

Kevin Albert, editorial assistant

Greg Ambrose, copy editor

Charles Burress (who has covered Berkeley for years.)

Peter Cafone, sports copy editor

Ken Costa, graphic designer

Elizabeth Hughes, copy editor
Leslie Innes, Datebook editor
Timothy Innes, foreign news wire editor
Rod Jones, copy editor, news
Eric Jungerman, designer
Kathy Kerrihard, library researcher
Simar Khanna, editor of Home and Garden section

Even lower level employees are taking the bum’s rush:

Bonnie Lemons, copy editor, news
Glenn Mayeda, editorial assistant, sports
Johnny Miller, library researcher
Dan Giesin, sports night copy editor
Janice Greene, editorial assistant on the op-ed page
Shirley-Anne Owden, copy editor, features
Courtenay Peddle, copy editor, news
Lee Sims, copy editor, news
Michelle Smith, a sports reporter who covers women’s basketball
Patricia Yollin, metro reporter

There are many, many more. Please post what you know on comments.

 So the list will grow longer. Hearst wanted to lay off as many as 225 workers, (and threatened to shutter the paper) but backed off after the Newspaper Guild agreed to cuts in vacation time and seniority rules.

I wonder how these soon to be retired professionals feel now about their liberal politics, the kind that use their taxes to pay for the Mayor Gavin Newsom to fly off to Davos, Paris and London to mingle with the rich and powerful world leaders, while the “good people” work 50-hour weeks and pay nearly 50 percent of their wages in tax?

This is a profile of journalists in Gawker:

“While journalists might continue to forge forward despite workload, deadlines and salary issues, they will not stand by as the foundation of journalism crumbles beneath them. At that point, they will quit,” the study concludes. Hey! Anyone want to start a rock band or a truffle farm with me? Clips not required.



 

Dems to ban modern firearms, labeling them assault weapons?

This is the big one. Hillary is discussing how the Mexican border is our problem because so called “assault weapons” are flowing from the USA to Mexican drug lords. 

Funny, I call them home defense weapons.

Here comes the government gun grab, take away Americans’ Second Amendment rights to own firearms and protect their family’s lives and do it for Mexico? How gullible do they think we are? 

We all know that the Mexican drug gangs have military, fully automatic weapons from China and Eastern Europe and are exporting tons of drugs and scores of people every day over our borders. Why would banning modern home defense firearms from Americans stop or even slow the drug violence and human trafficing? 

It’s “new speak” coming from the Obama/Orwellian Big Brother/Big Sis government. 

The progressive Democrats are going to ignore a major tenant of the Constitution out of fear, I believe of a civilian backlash.

Tip of the day: Buy guns and bullets. They are the new gold. 

 

 

The Obama administration didn’t waste more than a month to seek to reinstate “the assault weapons ban” (really the modern home defence firearm band) that expired in 2004 during the Bush administration, Attorney General Eric Holder said today.

PHOTO Wednesday Attorney General Eric Holder said that the Obama administration will seek to reinstitute the assault weapons ban which expired in 2004 during the Bush administration.
Wednesday Attorney General Eric Holder said that the Obama administration will seek to reinstitute the assault weapons ban which expired in 2004 during the Bush administration.

(AP Photos/ABC News Graphic )

“As President Obama indicated during his campaign, there are just a few gun-related changes that we would like to make, and among them would be to reinstitute the ban on the sale of assault weapons,” Holder told reporters.

Holder said that putting the ban back in place would not only be a positive move by the United States, it would help cut down on the flow of guns going across the border into Mexico, which is struggling with heavy violence among drug cartels along the border.

Really, why can’t we stop the flow of humans and drugs along the border?

“I think that will have a positive impact in Mexico, at a minimum.” Holder said at a news conference on the arrest of more than 700 people in a drug enforcement crackdown on Mexican drug cartels operating in the U.S.

How are Americans to defend themselves, with only 150-year old gun technology against Mexican drug runners and a well armed new U.S. socialist police state?

Imagine the government making a law that kept new computer or cell phone technology from the public?

Which country’s citizens is Obama concerned about?

New York ABC radio newsman George Weber was a gay pedophile, killed by his boy date. Sanchez, the gay pedophile train engineer was texting teenage boys seconds before he crashed and killed 25 people in LA

The mainstream news has been filtering the news and making everything nice and PC for the dumbed down readers. They only report what fits the “progressive” agenda. 

With the rise of blogs, the truth can now be reported. Did you know that the longtime New York radio newsman was paying teenage runaways for gay sex? George Weber was found stabbed to death in his Brooklyn apartment Sunday morning, cops said. Now we find he was accidently killed by a troubled teen, paid to have rough gay sex with the radio newsman. 

The bloody body of Weber, a passionate liberal fan of the city who spent a decade doing local news on WABC morning radio, was found just after 9 a.m. when he didn’t show up for work. It can now be told that Weber, an outspoken Democrat, was a gay pedophile. He was a chicken hawk who paid teenage boys, often runaways money for sex. A boy who just turned 16 accidently killed Weber during a session of “rough” gay sex.

Weber, 47, was freelancing at ABC’s national radio network after being laid off last year.

 

What kind of books or DVDs did Mr. Sanchez have in his home? Doesn’t the media look into these things? Oh, wait, Sanchez was a gay pedophile Democrat, not a Christian Republican.

The first results of the National Transportation Safety Board investigation are in. Surprising no one, it’s now confirmed that train driver Robert Sanchez was sending text messages moments before crashing a train full of people into an oncoming freight train, killing 25 people. His last text message was sent 22 seconds before the two trains collided. Sanchez was an outspoken Democrat and Obama reporter with a keen interest in teenage boys.

While we’ll likely will never be able to definitively say one way or the other due to the lack of eyewitnesses, those 58 seconds between received message and sent message are likely the reason why Sanchez missed the “red lights” on the track as the freight train approached. Shouldn’t we know what Sanchez was texting? What if it was something like “the brakes don’t work well?”

The cellular network clock and the train’s onboard computer clock are almost certainly set slightly differently, so the final, incoming text message may have arrived somewhat earlier or later than 22 seconds before the crash. If the timestamps are reconciled exactly, the NTSB could then use information about the speed and location of the train to determine exactly where Sanchez’s train was when he took his eyes off the track ahead and whether that is what likely caused him to miss the signals. The content of the message is important, also. If it was a urgent warning, rather than just a friendly “HOW R U?” Sanchez shouldn’t have had to rush back with an answer. Was he having text sex games with the teenage boy?

Why didn’t you read about this in the LA Times or San Francisco Chronicle? How about this?

There is a dark side to the tragedy

Sanchez’s “partner,” Daniel Burton, allegedly hanged himself in the garage of the home they shared in Crestline, a community in the San Bernardino Mountains about 80 miles east of Los Angeles.

Burton’s sister, Carolann Peschell, said she suspected foul play and never believed her 39-year-old brother, who was HIV-positive, would have killed himself. He had found a job at a gourmet restaurant and sounded well when she spoke to him two weeks before his unusual death.

“He was doing fine; he was happy, no signs of depression,” Peschell said. “We didn’t feel my brother was capable of doing this to himself.” He was a gentle man and hanging is a brutal way to kill yourself.

Peschell, who described Sanchez as “very odd, very strange, and obese” said her suspicions were not investigated throughly by San Bernardino County sheriff’s investigators.

A coroner’s report said the two men had argued the night before Burton’s body was found; Sanchez had told Burton they should break up. That would draw attention by a professional CSI team.

Peschell kept her brother’s purported suicide note, which read: “Rob, Happy Valentine’s Day. I love you. Please take care of yourself and Ignatia. I love you both very much.” Ignatia was their dog.

From KFI radio, the John and Ken Show, Los Angeles

Newsman Eric Leonard reported on KFI radio (3:15 PT today) that the driver in the LA Metrolink crash last week, Robert M. Sanchez, is suspected of having killed his male lover 5 years ago. Leonard reports that the that the family of the lover, Daniel Charles Burton, has always believed that Sanchez killed Burton. The Burtons tried to get the police to investigate their son’s death as a murder to no avail. The death appeared to be a suicide, but the family has handwriting experts who say that the handwriting on the suicide note was not Burton’s. The family also told the police that Burton was HIV positive and that he and Sanchez had a fight right before the “suicide.” More recently, the Burtons called Metrolink to warn them that Sanchez was unstable.

Eric Leonard also reports that “it looks clear from [Metrolink’s] review of the [train] controls, that Sanchez did actually apply some speed controls within seconds of the crash but never braked.”

Would Sanchez have lost his home? That could be a motive. Was Sanchez a chicken hawk preoccupied with teen texting? He was arrested and plead guilty to theft of expensive electronic gaming equipment. And on Sept. 2 his train killed a pedestrian. Was Sanchez texting then too?

California dream turning into a nightmare for middle class

California has turned into a high-tax, socialist state where the working middle class has to support millions of illegals and highly paid government employees. The state income tax has now broke the 10 percent barrier. The number of people leaving has for the first time in 70 years outpaced the incoming number, (including illegals).

Nevada, Arizona, California and Florida had the nation’s top foreclosure rates. In Nevada, one in every 70 homes received a foreclosure filing, while the number was one every 147 in Arizona. Rounding out the top 10 were Idaho, Michigan, Illinois, Georgia, Oregon and Ohio.

Among metro areas, Las Vegas was first, with one in every 60 housing units receiving a foreclosure filing. It was followed by the Cape Coral-Fort Myers area in Florida and five California metropolitan areas: Stockton, Modesto, Merced, Riverside-San Bernardino and Bakersfield.

The Scobleizer has written a good blog post on the subject. Scoble is an IT and social media guru in Silicon Valley who often visits Texas. He interviewed the Texas governor, Rick Perry and they Twitter each other. Even after the real estate bubble burst in 2005-06, and homes fell in price by 20 percent each of the last three years, homes are still overpriced and only 10 percent of California  households can afford median-priced homes. Nationally, 50 percent can afford the median-priced home.

The state of California has lost it’s glamorous image. I think of it now as a congested, welfare state with the highest taxes in the United States and the largest “public” workforce to support. Did you know that most of the government employees retire at full pay after 20 years of service?

http://scobleizer.com/2009/03/24/is-california-is-setup-for-a-brain-drain/comment-page-2/#comment-2008731

Joel Kotkin of the SF Chronicle wrote this piece in 2007.

California has been losing ground in the new millennium. In 2004-05, it fell to 17th, behind not only fast-growing Arizona and Nevada but also Oregon, Washington and rival “nation-state” Texas.

Job creation has been even less impressive. In the Bay Area and Los Angeles, it can only be considered mediocre or worse. If not for the strong performance of the interior counties of the state — what Bill Frey and I call the “Third California” — the state already would be rightly considered a laggard when it comes to creating employment.

More disturbing, as California’s population has grown — largely from immigration — per-capita income growth has weakened. From the 1930s to as late as the 1980s, Californians generally got richer faster than other Americans. In 1946, Gunther reported, Californians enjoyed the highest living standards and the third-highest per-capita income in the country.

Today, California ranks 12th in per-capita income. And it’s losing ground: Between 1999 and 2004, California’s per-capita income growth ranked a miserable 40th among the states.

This slow growth reflects a gradually widening chasm between social classes. Although the rest of the country has also experienced this trend, the gap between rich and poor has expanded more rapidly in California than in the rest of the country.

Today, notes a recent study by the Public Policy Institute of California, California has the 15th-highest rate of poverty of all American states. When cost of living adjustments are made, only New York and the District of Columbia fare worse. Tragically, many of California’s poor are working. Somehow, this does not seem the best road to the governor’s dream of a “harmonious” society.

How did this happen to our golden state? There are many causes.

Certainly poverty has been greatly exacerbated by huge waves of immigration, particularly from Mexico and other developing countries. But other states — including Texas and Arizona — have also absorbed many immigrants, as well as people from the rest of this country, and have not experienced similarly strong jumps in their poverty rates.

Changes in the economy are clearly suspect. From the 1930s to the 1980s, California created a broad spectrum of opportunities for white- and blue-collar workers alike. Even the 1990s expansion, suggests Debbie Reed of the policy institute, helped reduce poverty by expanding a wide range of employment opportunities.

Today, economic growth in California — like that in much of the Northeast — seems tilted largely toward elites. Once a state known for its relative social democracy, the Golden State is becoming what Citigroup strategist Ajay Kapur has dubbed a plutonomy, dominated largely by a small wealthy class and their spending.

For example, despite all the hype about the renewed Internet boom in Silicon Valley, there has been only modest expansion of employment, even in the past year. Undoubtedly lavish takings by a relative handful of engineers, managers and investors are boosting high-end restaurateurs in San Francisco and revving up BMW sales, but benefits don’t seem to accrue as much to assemblers, midlevel managers and other high-tech workers.

Similarly, the governor’s entertainment industry friends, as well as art and developer elites close to Mayors Antonio Villaraigosa and Gavin Newsom, may feel these are the best of times. But Los Angeles and San Francisco, along with Monterey, now suffer a poverty rate of more than 20 percent, among the highest level in the country.

Parallel to these developments, California is losing its once broad middle class, the traditional source of its political balance and much of its entrepreneurial genius. Outmigration from the state is growing and, contrary to the notions of some sophisticates, it’s not just the rubes and roughhouses who are leaving.

Indeed, an analysis of the most recent migration numbers shows a disturbing trend: an increasing out-migration of educated people from California’s largest metropolitan areas. Back in the 1990s, this was mostly a Los Angeles phenomena, but since 2000, the Bay Area appears to be suffering a high per-capita outflow of educated people.

This middle class flight is likely driven by two things: greater opportunities outside the state and the cost of housing in-state. Over the past 50 years, housing prices in coastal California in particular have grown much faster than elsewhere; the Bay Area’s rate of housing inflation over the past 50 years has been twice the national average.

Given the shrinking per-capita income advantage for being in California, moving elsewhere increasingly makes sense, particularly for those who do not already own homes and don’t have wealthy parents. In some parts of the state, barely 10 percent of households can now afford a median-price home; in the rest of the country that number is roughly 50 percent.

These trends suggest that California could be devolving toward an unappealing model of class stratification. As educated white-collar and skilled blue-collar workers leave, businesses in the state will be forced to truncate their operations — perhaps having an elite research lab, design office or marketing arm in California but shunting most midlevel jobs elsewhere.