Daily Archives: August 22, 2009

Letter from California State Assemblyman Joel Anderson

This is an e-letter from California State Assemblyman Joel Anderson. He and a majority of the members of the Assembly Appropriations Committee co-authored a bill that would require California to accept its own IOUs as payment for any obligations owed to the state by individuals or businesses. In other words, if it’s good enough for the state to hand out, it’s good enough for the state to accept.

However, in spite of strong support, the Committee Chairman decided to send the bill to the “Suspense” file where “good bills go to die.” Anderson has asked for support from the public to help get this bill to a vote. Here is a copy of his letter:


Important AB 1506 IOU Update: Action Required Now

Dear Friends,

We need your help today.

Here is an important update on Assembly Bill 1506, which is critical legislation that I co-authored with my colleagues that would save the state money and provide financial relief for thousands of Californians who have received IOUs.

 Many of you saw what happened at the Appropriations Committee Hearing this past Wednesday, when AB 1506 was not allowed to come up for a vote, despite the fact that a majority of the committee members were co-authors and the bill saves the state over $18 million.

Over the objection of the Vice-Chair’s motion to bring AB 1506 to a vote, the Committee Chairman sent the bill to the ”suspense file” – a place where good bills go to die without a vote.

I wanted to let you know that since Wednesday’s Committee Hearing, I had a very thoughtful conversation on the Assembly floor with the Chairman of the Committee. 

After our conversation, the Chairman pledged to me that he would to take another look at the bill because critical information had been left out of his analysis regarding the major cost savings AB 1506 would provide to the state.

Since July 2, the State has issued over 327,000 IOUs totaling almost $2 billion. Each IOU adds to the state’s debt with interest.

If AB 1506 was law, the state would save a hefty $18,281,250.  

The Employment Development Department told the Committee Chair that this bill would cost $1.2 million in computer upgrades. Those computer upgrades are overdue and routine. AB 1506 would provide a net-savings of over $17 million and cover the costs of the necessary upgrades to the state’s infrastructure.

Now, my colleagues and I need your help to encourage the Committee Chairman to do what is right by Californians. AB 1506 saves the state millions, protects taxpayers and deserves a vote.

Please send your letter of support today for AB 1506 to my office so that I may hand-deliver your letters to the Committee Chairman personally.

California State Controller John Chiang’s main responsibility is to manage the state’s cash flow. He understands the importance of this bill. I want to personally thank him for his important letter of support and the majority of Appropriations Committee members that are co-authors of AB 1506.

Please email your letters to mailto:Assemblymember.anderson@assembly.ca.gov or fax them to (916) 319-2177, and include your name, title (if applicable) & phone number so that the Chairman knows you’re a real person who demands to be counted. If you have already sent a letter, please forward this message to your friends and family and ask them to join you in helping to bring this critical legislation to a vote.

We can bring common sense to this committee, but I need your letter by 8:30 on Wednesday morning. Californians up and down the state are counting on us to make a difference.


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