ReportWire

Tag: kiley

  • GOP lawmaker proposes measure to block key element of proposed California wealth tax

    [ad_1]

    As progressives seek to place a new tax on billionaires on California’s November ballot, a Republican congressman is moving in the opposite direction: proposing federal legislation that would block states from taxing the assets of former residents.

    Rep. Kevin Kiley (R-Rocklin), who faces a tough reelection challenge under California’s redrawn congressional maps, says he will introduce the “Keep Jobs in California Act of 2026” on Friday. The measure would prohibit any state from levying taxes retroactively on individuals who no longer live there.

    The proposed legislation adds another layer to what has already been a fiery debate over California’s approach to taxing the ultrawealthy. It has created divisions among Democrats and has placed Los Angeles at the center of a broader political fight, with Sen. Bernie Sanders (I-Vt.) set to hold a rally on Wednesday night in support of the wealth tax.

    Kiley said he drafted the bill in reaction to reports that several of California’s most prominent billionaires — including Meta Chief Executive Mark Zuckerberg and Google co-founders Larry Page and Sergey Brin — are planning to leave the state in anticipation of the wealth tax being enacted.

    “California’s proposed wealth tax is an unprecedented attempt to chase down people who have already left as a result of the state’s poor policies,” Kiley said in a statement Wednesday. “Many of our state’s leading job creators are leaving preemptively.”

    Kiley said it would be “fundamentally unfair” to retroactively impose taxes on former residents.

    “California already has the highest income tax of any state in the country, the highest gas tax, the highest overall tax burden,” Kiley said in a House floor speech this month. “But a wealth tax is something unique because a wealth tax is not merely the taxation of earned income, it is the confiscation of assets.”

    The fate of Kiley’s proposal is just as uncertain as his future in Congress. His 5th Congressional District, which hugs the Nevada border, has been sliced up into six districts under California’s voter-approved Proposition 50, and he has not yet picked one to run in for reelection.

    The Billionaire Tax Act, which backers are pushing to get on the November ballot, would charge California’s 200-plus billionaires a one-time 5% tax on their net worth to backfill billions of dollars in Republican-led cuts to federal healthcare funding for middle-class and low-income residents. It is being proposed by the Service Employees International Union-United Healthcare Workers West.

    In his floor speech, Kiley worried that the tax, if approved, could cause the state’s economy to collapse.

    “What’s especially threatening about this is that our state’s tax structure is essentially a house of cards,” Kiley said. “You have a system that is incredibly volatile, where top 1% of earners account for 50% of the tax revenue.”

    But supporters of the wealth tax argue the measure is one of the few ways that can help the state seek new revenue as it faces economic uncertainty.

    Sanders, an independent who caucuses with the Democrats, is urging Californians to back the measure, which he says would “provide the necessary funding to prevent more than 3 million working-class Californians from losing the healthcare they currently have — and would help prevent the closures of California hospitals and emergency rooms.”

    “It should be common sense that the billionaires pay just slightly more so that entire communities can preserve access to life-saving medical care,” Sanders said in a statement this month. “Our country needs access to hospitals and emergency rooms, not more tax breaks for billionaires.”

    Other Democrats are not so sure.

    Gov. Gavin Newsom, who is eyeing a presidential bid in 2028, has opposed the measure. He has warned a state-by-state approach to taxing the wealthy could stifle innovation and entrepreneurship.

    Some of the wealthiest people in the world are also taking steps to defeat the measure.

    Brin is donating $20 million to a California political drive to prevent the wealth tax from becoming law, according to a disclosure reviewed by the New York Times. Peter Thiel, the co-founder of PayPal and the chairman of Palantir, has also donated millions to a committee working to defeat the proposed measure, the New York Times reported.

    [ad_2]

    Ana Ceballos

    Source link

  • For California delegation and its staffers, here’s what shutdown life looks like

    [ad_1]

    Twenty-two days into the government shutdown, California Rep. Kevin Kiley spent an hour of his morning in Washington guiding a group of middle school students from Grass Valley through the empty corridors of the U.S. Capitol.

    Normally, one of his staff members would have led the tour. But the Capitol is closed to all tours during the shutdown, unless the elected member is present. So the schoolchildren from Lyman Gilmore Middle School ended up with Kiley, a Republican from Rocklin, as their personal tour guide.

    “I would have visited with these kids anyway,” Kiley said in his office after the event. “But I actually got to go on the whole tour of the Capitol with them as well.”

    Kiley’s impromptu tour is an example of how members of California’s congressional delegation are improvising their routines as the shutdown drags on and most of Washington remains at a standstill.

    Some are in Washington in case negotiations resume, others are back at home in their districts meeting with federal workers who are furloughed or working without pay, giving interviews or visiting community health centers that rely on tax credits central to the budget negotiations. One member attended the groundbreaking of a flood control project in their district. Others are traveling back and forth.

    “I’ve had to fly back to Washington for caucus meetings, while the opposition, the Republicans, don’t even convene and meet,” Rep. Maxine Waters, a longtime Los Angeles Democrat, said in an interview. “We will meet anytime, anyplace, anywhere, with [House Speaker Mike] Johnson, with the president, with the Senate, to do everything that we can to open up the government. We are absolutely unified on that.”

    The shutdown is being felt across California, which has the most federal workers outside the District of Columbia. Food assistance benefits for millions of low-income Californians could soon be delayed. And millions of Californians could see their healthcare premiums rise sharply if Affordable Care Act subsidies are allowed to expire.

    For the California delegation, the fallout at home has become impossible to ignore. Yet the shutdown is in its fourth week with no end in sight.

    In the House, Johnson has refused to call members back into session and prevented them from doing legislative work. Many California lawmakers — including Kiley, one of the few GOP lawmakers to openly criticize him — have been dismayed by the deadlock.

    “I have certainly emphasized the point that the House needs to be in session, and that canceling a month’s worth of session is not a good thing for the House or the country,” Kiley said, noting that he had privately met with Johnson.

    Kiley, who represented parts of the Sacramento suburbs and Lake Tahoe, is facing political uncertainty as California voters weigh whether to approve Proposition 50 on Nov. 4. The measure would redraw the state’s congressional districts to better favor Democrats, leaving Kiley at risk, even though the Republican says he believes he could still win if his right-leaning district is redrawn.

    The Senate has been more active, holding a series of votes on the floor and congressional hearings with Atty. Gen. Pam Bondi and CIA Director John Ratcliffe. The chamber, however, has been unable to reach a deal to reopen the government. On Thursday, the 23rd day of the shutdown, the Senate failed to advance competing measures that would have paid federal employees who have been working without compensation.

    The Republicans’ plan would have paid active-duty members of the military and some federal workers during the shutdown. Democrats backed a bill that would have paid all federal workers and barred the Trump administration from laying off any more federal employees.

    “California has one of the largest federal workforces in the country, and no federal worker or service member should miss their paychecks because Donald Trump and Republicans refused to come to the table to protect Americans’ health care,” Sen. Alex Padilla said in a statement.

    Working conditions get harder

    The strain on federal employees — including those who work for California’s 54 delegation members — are starting to become more apparent.

    Dozens of them have been working full time without pay. Their jobs include answering phone calls and requests from constituents, setting the schedules for elected officials, writing policy memos and handling messaging for their offices.

    House Speaker Mike Johnson speaks about the shutdown at a news conference Thursday with other Republican House members.

    (Eric Lee / Getty Images)

    At the end of October, House staffers — who are paid on a monthly basis — are expected to miss their first paycheck.

    Some have been quietly told to consider borrowing money from the U.S. Senate Federal Credit Union, which is offering a “government shutdown relief loan program” that includes a no-interest loan of up to $5,000 to be repaid in full after 90 days.

    The mundane has also been disrupted. Some of the cafeterias and coffee carts that are usually open to staffers are closed. The lines to enter office buildings are long because fewer entrances are open.

    The hallways leading to the offices of California’s elected officials are quiet, except for the faint sound of occasional elevator dings. Many of their doors are adorned with signs that show who they blame for the government shutdown.

    “Trump and Republicans shut down the government,” reads a sign posted on the door that leads into Rep. Norma Torres’ (D-Pomona) office. “Our office is OPEN — WORKING for the American people.”

    Rep. Ted Lieu, a Democrat from Torrance, posted a similar sign outside his office.

    A sign is posted outside of the office of Rep. Ted Lieu, a California Democrat, in Washington.

    A sign is posted outside of the office of Rep. Ted Lieu, a California Democrat, in Washington on Wednesday.

    (Ana Ceballos / Los Angeles Times)

    Rep. Vince Fong, a Republican who represents the Central Valley, has been traveling between Washington and his district. Two weeks into the shutdown, he met with veterans from the Central Valley Honor Flight and Kern County Honor Flight to make sure that their planned tour of the Capitol was not disrupted by the shutdown. Like Kiley’s tour with the schoolchildren, an elected member needed to be present for the tour to go on.

    “His presence ensured the tour could continue as planned,” Fong’s office said.

    During the tour, veterans were able to see Johnson as well, his office said.

    Shutdown highlights deep divisions

    California’s congressional delegation mirrors the broader stalemate in Washington, where entrenched positions have kept both parties at a negotiation impasse.

    Democrats are steadfast in their position that they will not agree to a deal unless Republicans extend the Affordable Care Act tax credits expiring at the end of the year, while Republicans are accusing Democrats of failing to reopen the government for political gain.

    Kiley is one of the few Republicans who has called on Johnson to negotiate with Democrats on healthcare. Kiley said he thinks there is a “a lot of room to negotiate” because there is concern on both sides of the aisle if the tax credits expire.

    “If people see a massive increase in their premiums … that’s not a good thing,” he said. “Especially in California, where the cost of living is already so high, and you’re suddenly having to pay a lot more for healthcare.”

    Rep. Robert Garcia, the chair of the House Democratic Caucus, in a press event Wednesday with five other California Democrats talked about the need to fight for the healthcare credits.

    Garcia, of Long Beach, said he recently visited a healthcare center in San Bernardino County that serves seniors with disabilities. He said the cuts would be “devastating” and would prompt the center to close.

    “That’s why we are doing everything in our power to negotiate a deal that reopens the federal government and saves healthcare,” he said.

    As the shutdown continues, many Democrats are digging their heels on the issue.

    At an Oct. 3 event outside of Hollywood Presbyterian Medical Center, for instance, Rep. Laura Friedman held a news conference with nurses and hospital staff and said she would not vote for a bill to reopen the government unless there is a deal on healthcare.

    Last week, the Glendale Democrat said her position hasn’t changed.

    “I will not support a shutdown deal that strips healthcare from tens of thousands of my constituents,” she said.

    [ad_2]

    Ana Ceballos

    Source link