Prop 13 part 2

http://news.yahoo.com/s/time/20090703/us_time/08599190750400

The article above says that Proposition 13 in California is the root of California's problems. No. I completely disagree. Proposition 13 reduced property taxes from almost 3% of the value of a house per year and limited it to 1% of the value of a house per year. The higher tax rate caused many many suicides of people who were native Californians who were retired and couldn't keep their houses because of the insanely high property taxes.

The real culprit of our present situation was never prop 13 which was a great solution to our previous problems. The real culprit was Enron and several other companies that criminally stole utility money from California for Billions and Billions of dollars. The financing of those billions and billions of dollars that the state took on so homeowners would owe 40,000 dollars a year or something else ridiculous is what put us in our present fix. The FERC did nothing to help California or the other western states who had utility money embezzled by out of state energy companies. The end result is the state could find no way to pay back the Billions stolen by out of state energy companies through an awful loophole that the FEDS would not help close.

The state did the right thing and helped poor folks pay their crazy electrical utility bills and now not only Californians but the whole country and the world will pay the price now for that. I hope a way forward is found because the way California goes, up or down could signal what happens to all of America eventually within 10 to 25 years.