by DeEtte L. Loeffler, J.D., LL.M., Taxation
California’s last ditch effort to adopt legislation to pay for critical infrastructure repairs failed in late November. California needs to spend about $140 billion on road and other repairs. Democrats, who will have a supermajority in 2017, expect to be able to adopt this critical legislation. However, Governor Jerry Brown and moderate Democrats have consistently resisted tax hikes. Californians already pay the highest tax rates in the nation, and additional taxes are unlikely to be popular, even if the funds are used for essential infrastructure repairs.