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Governor Swarzenegger Visits Chamber Updated by sfchamber on April 17, 2009
 Governor Schwarzenegger speaks on budget reforms at the SF Chamber of Commerce Click here to view images from the Governors visit to the chamber. Governor Arnold Schwarzenegger met with a group of Northern California Chamber executives and local businesses leaders at the Chamber on Tuesday to make the case for the package of budget-reform measures that are the subject of a special May 19 election in California. Acknowledging that critics have described the shortcomings of 1A, 1B, 1C, 1D, 1E and 1F, Schwarzenegger good-naturedly pointed out that “perfection never materializes” and called the propositions good, pragmatic, “middle-of-the-road” measures that are essential to stabilizing state spending in the future and getting the state through “these unprecedented times.” Passage of the full set of measures will go a long way to restoring the confidence of the financial markets in California, said Schwarzenegger. If the measures fail to pass as a package, California stands to lose more than $20 billion in funding beginning immediately and over the next four years, which will lead to more drastic cuts to schools, infrastructure, public safety and health care – and/or for more tax increases. “California has a great economy,” said Schwarzenegger. “We have great companies, great workers, but we are operating with a broken budget system.” It’s a system, the governor explained, that is badly flawed and in urgent need of reform. Saying that he was elected to reform government but stymied by special interests and legislators on both sides of the aisle with agendas to fund, Schwarzenegger acknowledged that the current economic crisis created the opportunity to affect reforms that are long overdue. “California has not had a ‘rainy day’ fund since the days of Governor Earl Warren,” Schwarzenegger said. (Warren was governor from 1943-1953.) Prop 1A: Rainy Day Budget Stabilization & Accountability Act. Prop 1A forces the legislature to put money away in good years so it is available in bad years. The state would be required to direct 3 percent of General Fund revenues into a “rainy day” budget stabilization fund each year (increasing the rainy day fund to 12.5 percent of General Fund revenues) and preventing unsustainable funding spending of one-time spikes in revenue. Money can only be taken out of the fund when there is a budget deficit or an emergency. 1A ensures that, each year, the state budget is consistent with state revenue trends over the past 10 years, which will prevent unsustainable spending of one-time spikes in revenue, which can lead to big deficits when revenues drop. “If Prop 1A had been in place 10 years ago, the rainy day reserve would have allowed us to avoid $9 billion in tax increases and deep cuts that were passed as part of this year’s budget,” said Schwarzenegger, adding, “If these measures are not passed – all of them – it will be disastrous.” Prop 1B: Protect Education Funding. The measure lays out a responsible timeline for paying back the schools more than $9 billion in cuts that were required to get the state through these unprecedented economic times. Prop 1C: Lottery Modernization Act. The state lottery has not been changed since it was first put into place by voters in 1984. Prop 1C will modernize the lottery structure by upgrading games and operations to reflect the best practices of other state lotteries – and is expected to bring in an additional $5 billion in revenues without raising taxes. Schwarzenegger acknowledged that the lottery is controversial, but added, “I would rather go for lottery money than penalize people who are in need of services.” Prop 1D: Children’s Services Funding. The measure temporarily redirects a portion of excess funds from a voter-approved tobacco tax – some $2.5 billion – to pay for child health and social services. Prop 1D protects dollars for existing programs funded through the tobacco tax and will allow the state to avoid deeper cuts to children’s health and social services. Prop 1E: Mental Health Funding. Prop 1E temporarily redirects a portion of surplus, unused funds from the Mental Health Services Act to fund children’s health programs that are at risk of elimination due to the budget crisis. Prop 1F: Salary Freeze for Legislators during Budget Deficits. The measure prohibits legislators, the governor and other state politicians from getting pay raises whenever California is running a budget deficit. Economic Stimulus. The governor also talked about the efficiencies his administration has put into place to deal with the current crisis, including work furloughs and consolidation of services such as the state’s information technology functions and energy departments. In addition, he briefly described ways the state is benefitting from economic stimulus dollars. Because of pre-planning, the state has a number of infrastructure projects that are “ready to go” – including high-speed rail and water projects – that are expected to receive some $42 billion in federal funding to rebuild California. Schwarzenegger concluded his remarks on a high note, saying, “California will be back. America will be back. We are seeing signs that the economy is beginning to turn…We need to get people to believe again.” Steve Falk Named to Head SF Chamber of Commerce Updated by Admin on October 31, 2008Steve FalkSan Francisco, Nov. 10, 2005 – Steven B. Falk, former publisher & president of the San Francisco Chronicle, has been selected as the new president & CEO of the San Francisco Chamber of Commerce effective December 1. Falk held top leadership positions at the Chronicle for four years and at the San Francisco Newspaper Agency for 16 years, including serving as president & CEO from 1996-2000. “I’m delighted to join the Chamber at this important juncture for the organization and our city,” Falk says. “The Chamber has a pivotal role to play in reshaping our urban environment, advocating for sound public policy, and assisting businesses large and small to achieve success.” Falk previously served on the board of the Chamber, and is familiar with its mission and myriad programs and services. As a strong advocate and booster of San Francisco and the Bay Area, Falk says he is “delighted to have this opportunity to make a great city and region even greater. The Chamber’s role is critical in creating a healthy business climate, which means more tax revenue to pay for services that serve our residents.” The search committee and Chamber board of directors cited Falk’s leadership skills, management experience and commitment to the city and the Bay Area as reasons for his selection to lead the Chamber. He replaces former President & CEO Lee Blitch, who resigned to take a position as vice president/university advancement at San Francisco State University. “Our challenge is to grow our resources as a membership organization so we can continue to represent the San Francisco business community as a strong advocate for a vital, sustainable local economy, and to strive to improve the quality of life for everyone who lives and works in the city,” says Bill Wilkinson, 2005 chair of the Chamber’s board of directors and president of GreenLeaf. “We are thrilled to have someone with Steve’s energy, experience and business acumen to strengthen the Chamber’s policy initiatives and continue our collaboration with business, city and community leaders in creating tangible benefits for Chamber members and city residents,” says Wilkinson. “His long tenure in San Francisco positions him well for working with the many and diverse constituencies that make up the San Francisco business community and the broader community of San Francisco and the greater Bay Area.” Falk serves on the boards of several local organizations including the Commonwealth Club of California and is a trustee of Elizabethtown (PA) College. 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