Glenn Beck: California gives IOU's to taxpayers instead of refunds


Tad DeHaven

GLENN: So how do you solve this? What is it that we are supposed to be doing? Tad DeHaven, he is a state government fiscal expert. Until recently he was a right-hand budget man in Indiana. He's now with the Cato Institute and he's with us now. Tad, how are you, sir?

DeHAVEN: I'm doing good, Glenn, how about you?

GLENN: Can you answer that question for me? How am I supposed to feel about sending my money now to California because they can't do it? How is this right for the rest of the country to bail these states out?

DeHAVEN: It's not right. And to quote a California taxpayer, she said I feel like I've been robbed, I feel like I've been robbed, and that's exactly what's going on. When the economy is good and revenues are flush, state governments always spend out programs, add programs, add more state employees and then when inevitably the government hits a downturn, then they look to the congress to bail them out.

GLENN: So what should California -- well, first of all, Tad, can you give me any idea? I talked to Meg Whitman the other day and she said to me, as California goes, so goes the nation. And I think there's two sides to that, two stories on that. One, we're following now the California budget path. What we're doing now California has already done, and you see where that leads. Now we're doing it as a nation, except we're not going -- we don't have a budget stop. We just keep printing money. So we just devalue our money until we can't -- until it's worthless.

But the other side of that is if California, being the eighth largest economy in the country, fails, what does that mean to the rest of the country?

DeHAVEN: Well, I think what it means is that we have too much dependency at the state level upon Washington. I mean, the 50 states are separate for a reason, and our Constitution established the separation between the powers the federal government has and the state government has. And over the last, you know, 40, 50 years, it's become this tangled mess where the states don't have responsibility, they look to the federal politicians who are irresponsible with the money to begin with and so there's no accountability. And quite frankly, Glenn, there's a lack of incentive on the part of state taxpayers to actually pay attention to what's going on in their capitals.

GLENN: So should the average person be calling? Like I saw Bobby Jindal. I'm trying to get a hold of him. Dan, have you gotten ahold of Bobby Jindal yet? Can you see if you can get a hold of him? He's the governor of New Orleans -- I mean of Louisiana, which I'm sure you know, but he came out today and he said he's not sure Louisiana's going to take any of this state money. Now, he'll -- or this government money. He'll, of course, be called a horrible individual and he just hates black people, I guess, because of New Orleans and that was one of the things that Barack Obama said that, you know, they wanted to make sure that New Orleans was taken care of. But shouldn't states now, shouldn't we be calling our state governors and say, "Don't you dare take a time of this bailout money?"

DeHAVEN: Absolutely. And actually Governor Mark Sanford of South Carolina's really been out in front of this issue and actually do you know that congress went in and put a provision into that so-called stimulus debt bond that said if the governor doesn't spend this money, basically the legislature can go in and spend it how they see fit instead. So not only do you have to call your governor but you'll have to call your state congress as well.

GLENN: Hold it just a second. The federal government wrote in that they can bypass the governor?

DeHAVEN: Yes.

GLENN: How the hell do they get away with that?

DeHAVEN: Well, they get away with everything else, Glenn.

GLENN: I mean, I can't believe it. Everything that we're doing, they are just peeing all over our Constitution. How is that even legal?

DeHAVEN: Well, Glenn, it gets worse. I've talked to some folks back in the state. I work in the budget office and they were looking for some, you know, taxpayer-friendly ideas that if we get this money and we have to spend it, let's do it in a taxpayer-friendly way. But congress wrote in so many restrictions on how the states get this money and use it that they are basically forced to spend it on -- they actually put a provision in that you can't cut back on Medicaid services because some states, including Minnesota, were looking to cut back on Medicaid. But they wrote it into the bill that you get this money, you can't do that.

GLENN: They also wrote in that you can reject anyone that's nonunion to be involved in any of these programs. So you have to have -- you know, the bids go out, but the state can say, "No, if you're not union, you can't bid."

DeHAVEN: Sure. And all that's going to do is make this more costly and a greater cost burden on our taxpayers. And let's get into the union thing. I got a good kick out of your joke, but they are talking in California about 20,000 workers about to be laid off. 20,000 workers; oh, this is horrible. California state government has 2.5 million employees. 20,000 isn't even a rounding error at that figure.

GLENN: Okay, listen. Tad, how can California and Kansas look their people in the eye and say, "Hey, I know you overpaid on your income tax and, you know, you trusted us to be able to give that back to you, and we will, but here's an IOU." Are they getting penalized for that, or can we go and put liens on the state capitol?

DeHAVEN: You actually raise a great question, and the situation is appalling. But I was wondering myself, what would happen if California businesses and taxpayers, they up their taxes for the year and they owe California. What would happen to all these folks if they sent in to Sacramento a little note saying, "You know what, I need money for other things right now, times are tough; so I'll get the money to you later." They would be fined, they would be put in jail and possibly even worse.

GLENN: You know what? I would like to see somebody start that experiment. I would really like to see somebody that says, "You know what? I and my neighbors are going to say, because we've lost our job, we can't afford the house we're living in, we can't afford this and that, we have overspent even." Yes, civil disobedience. Why not? If they can do it, what part of America am I missing now that they can live under different rules? What do you think, is the state, does the state have to pay interest or any kind of fine if they are sending you an IOU? Do you know that at all, tad?

DeHAVEN: No, I do not because this is kind of a rather unprecedented move, or it hasn't happened in many, many years. So I would like to think there's interest but who knows. I doubt it given they are willing to go this far.

GLENN: Okay. So the Republicans in California are getting the hammer laid down on them because they won't pass this budget even though there's another $11 billion in borrowing, et cetera, et cetera. I guess if I were a member of the assembly, I would say, "Okay, I'll only vote for this if you put in strict spending limits that we are reversing this." But then I find out that they've already had this. What was it, the Gann amendment or something? They've already had really Draconian rules in there that said there are strict limits, and they never paid attention to them. Is that right?

DeHAVEN: Well, the Gann limit was instituted in 1979 back at the time we had Prop 13 and the property tax revolt, and it did. It capped, it put a limit on Sacramento ability to spend money and actually as a result if you look from 1980 to 1991, California's rank in per capita state expenditures fell from 7 to 16, but the government education complex didn't appreciate that, the transportation folks didn't appreciate that and so eventually the Gann limit's been watered down to the point where it, obviously it's virtually meaningless.

GLENN: So what -- how are you going to solve this problem when one of your biggest problems is education and healthcare and unions? How can you possibly solve your problem here?

DeHAVEN: Well, it's going to be very difficult, but I agree with what you said. I think if you're a Republican holdout, there's got to be a tremendous amount of pressure, then I think you're in a position now to demand something. And Sacramento's proved itself incapable of managing its budget. It's a poster child for the rest of the states on how not to do things, whether it's debt or taxes or spending. And so there must be strict, strict, strict statutory input into the California constitution limiting their ability to either take in revenues or spend money or both.

GLENN: You know what, I think they would be able to sell their bonds if people did that. If people saw that they were getting serious about it, you'd probably be able to sell California bonds at that point. Tad, thank you very much. I appreciate it. We'll talk again.

DeHAVEN: Thank you.

GLENN: You bet.

Acclaimed environmentalist and author of "Apocalypse Never" Michael Shellenberger joined Glenn Beck on the radio program Wednesday to warn us about the true goals and effects of climate alarmism: It's become a "secular religion" that lowers standards of living in developed countries, holds developing countries back, and has environmental progress "exactly wrong."

Michael is a Time "Hero of the Environment," Green Book Award winner, and the founder and president of Environmental Progress. He has been called a "environmental guru," "climate guru," "North America's leading public intellectual on clean energy," and "high priest" of the environmental humanist movement for his writings and TED talks, which have been viewed more than 5 million times. But when Michael penned a stunning article in Forbes saying, "On Behalf of Environmentalists, I Apologize for the Climate Scare", the article was pulled just a few hours later. (Read more here.)

On the show, Micheal talked about how environmental alarmism has overtaken scientific fact, leading to a number of unfortunate consequences. He said one of the problems is that rich nations are blocking poor nations from being able to industrialize. Instead, they are seeking to make poverty sustainable, rather than to make poverty history.

"As a cultural anthropologist, I've been traveling to poorer countries and interviewing small farmers for over 30 years. And, obviously there are a lot of causes why countries are poor, but there's no reason we should be helping them to stay poor," Michael said. "A few years ago, there was a movement to make poverty history ... [but] it got taken over by the climate alarmist movement, which has been focused on depriving poor countries, not just of fossil fuels they need to develop, but also the large hydroelectric dams."

He offered the example of the Congo, one of the poorest countries in the world. The Congo has been denied the resources needed to build large hydroelectric dams, which are absolutely essential to pull people out of poverty. And one of the main groups preventing poor countries from the gaining financing they need to to build dams is based in Berkeley, California — a city that gets its electricity from hydroelectric dams.

"It's just unconscionable ... there are major groups, including the Sierra Club, that support efforts to deprive poor countries of energy. And, honestly, they've taken over the World Bank [which] used to fund the basics of development: roads, electricity, sewage systems, flood control, dams," Micheal said.

"Environmentalism, apocalyptic environmentalism in particular, has become the dominant religion of supposedly secular people in the West. So, you know, it's people at the United Nations. It's people that are in very powerful positions who are trying to impose 'nature's order' on societies," he continued. "And, of course, the problem is that nobody can figure out what nature is, and what it's not. That's not a particular good basis for organizing your economy."

Watch the video below to catch more of the conversation:

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Dr. Voddie Baucham, Dean of Theology at African Christian University in Lusaka, Zambia, joined Glenn Beck on the radio program to explain why he agrees with Vice President Mike Pence's refusal to say the phrase "Black Lives Matter."

Baucham, who recently drew national attention when his sermon titled "Ethnic Gnosticism" resurfaced online, said the phrase has been trademarked by a dangerous, violent, Marxist movement that doesn't care about black lives except to use them as political pawns.

"We have to separate this movement from the issues," Baucham warned. "I know that [Black Lives Matter] is a phrase that is part of an organization. It is a trademark phrase. And it's a phrase designed to use black people.

"That phrase dehumanizes black people, because it makes them pawns in a game that has nothing whatsoever to do with black people and their dignity. And has everything to do with a divisive agenda that is bigger than black people. That's why I'm not going to use that phrase, because I love black people. I love being black."

Baucham warned that Black Lives Matter -- a radical Marxist movement -- is using black people and communities to push a dangerous and divisive narrative. He encouraged Americans to educate themselves on the organization's agenda and belief statement.

"This movement is dangerous. This movement is vicious. And this movement uses black people," he emphasized. "And so if I'm really concerned about issues in the black community -- and I am -- then I have to refuse, and I have to repudiate that organization. Because they stand against that for which I am advocating."

Watch the video below to catch more of the conversation:

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We're going to be doing an amazing broadcast on Thursday, July 2nd, and we will be broadcasting a really important moment. It is restoring truth. It is restoring our history. It is asking to you make a covenant with God. The covenant that was made by the Pilgrims. And it's giving you a road map of things that we can do, to be able to come back home, together.

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On last week's Wednesday night special, Glenn Beck revealed where the Black Lives Matter organization really gets its funding, and the dark money trail leading to a cast of familiar characters. Shortly after the program aired, one of BLM's fiscal sponsors, Thousand Currents, took down its board of directors page, which featured one of these shady characters:

Ex-Marxist professor and author of "Beyond Woke," Michael Rectenwald, joined Glenn Beck on the TV show to fill us in on the suspicious change he discovered on the Thousand Currents webpage and the Communist terrorists who is now helping run the organization. (Fortunately, the internet is forever, so it is still possible to view the board of directors page by looking at a web archive from the WayBack Machine.)

Rectenwald revealed the shocking life history of Thousand Currents' vice chair of the board, Susan Rosenberg, who spent 16 years in federal prison for her part in a series of increasingly violent acts of terrorism, including bombing the U.S. Capitol building, bombing an FBI building, and targeting police for assassination.

"Their whole campaign was one of unbelievably vicious, murderous cop killings, assassinations, and bombings," explained Rectenwald of Rosenberg's terror group known as the May 19th Communist Organization or M19.

Watch the video below to catch more of the conversation:


Glenn's full investigation into the dark origins of the funding behind Black Lives Matter is available for BlazeTV subscribers. Not a subscriber? Use promo code GLENN to get $10 off your BlazeTV subscription or start your 30-day free trial today.

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