Thursday, June 07, 2012

FINDING REFUGE IN TEXAS

Chuck DeVore was elected three times to the California Assembly, serving the 70th District that includes Irvine and coastal constituents stretching southward from Newport Beach. In 2010 he sought, unsuccessfully, the GOP’s U.S. Senate nomination.

Nowadays DeVore makes his home in Dripping Springs, Texas—a growing recreational area 25 miles west of Austin. He’s also become a Senior Fellow at the Texas Public Policy Foundation.

The exodus of a former legislator, aerospace executive, and army intelligence officer wouldn’t be newsworthy if the move weren’t repeated many times over by businesses throughout the state.

Recently DeVore explained his “Divorce from the Golden State” in an article for Fox News. The piece noted that while Texas and California both have an abundance of natural resources, long coastlines, diverse populations, and borders with Mexico, the states differ dramatically when it comes to their philosophies of government.

For example, while California subsidizes expensive solar projects and obstructs traditional energy production, Texas welcomes oil and gas exploration. As a consequence, that state added over 36,000 jobs in those industries last year—more than all the jobs in California’s solar sector.

The negative comparisons go on from there and include tax rates, government spending, pension obligations, business climate, teachers per-capita (Texas, DeVore says, has 17% more than California), and educational outcomes (Texas fares better on national rankings).

A couple of months earlier Professor Victor Davis Hanson observed that one percent of California’s taxpayers provide 45 percent of the state’s income tax revenue--and that income taxes fund half of the state’s budget.

He also noted that the number of upper-income earners in California decreased by a third between 2007 and 2009—either because they are fleeing the state or because they’ve become much less wealthy. I’m confident that “both” represents the correct answer to this statistical query.

On the other side of the ledger, California, with 12% of the country’s population, is home to almost a third of the nation’s welfare recipients (Temporary Assistance to Needy Families, formerly AFDC). Furthermore, during the last two decades the state’s Medicaid population grew at 70 percent of its overall increase in population.

In the face of these daunting statistics, California’s political class has doubled down on spending (the high-speed rail system), cap-and-trade environmentalism (AB 1532), and higher taxes (Governor Brown’s November sales tax proposal).

Rather than junking disastrous government-centered, union-approved policies, left coasters focus public attention on second-hand smoke and plastic bag bans—just as their kindred mayoral spirit in New York City has taken aim at large soda drinks.

No wonder Mr. DeVore has taken refuge in the Lone Star State.

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