Subject: California Voters Take Law Into Own Hands With Ballot Initiatives Date: Published: 11/8/88 265 lines Source: Wall Street Journal. Copyright Dow Jones & Co. Inc. Vox Populi: California Voters Take Law Into Own Hands With Ballot Initiatives --- Populism Is Running Amok, Critics Say, With 29 Issues At Stake in Today's Vote --- 'Those With the Gold, Rule' ---- By Richard B. Schmitt Staff Reporter of The Wall Street Journal California's voters have more on their minds than a choice between George Bush and Michael Dukakis in today's elections. Will a vote in favor of a 25-cent-a-pack increase in the state cigarette tax lead to smuggling, gang warfare, wild shootouts and the murder of innocent children? Will a limit on legal fees in damage cases put some lawyers out of business? Will requiring doctors to report to authorities the names of patients who are even suspected of having AIDS violate their civil rights? Those are but a few of the concerns raised by the presence on the California ballot of 29 initiative and referendum proposals, taking up 150 pages of fine print in the official state voter's manual. Four competing propositions deal with rising auto insurance rates. One, to require a 20% cutback, is sponsored by a Ralph Nader-backed group. Another, to create no-fault insurance, is sponsored by the insurance industry. Legislatures normally decide such questions after research and analysis, public hearings, lobbying pro and con, and often lengthy debate. California has a legislature that works that way, too. But here, as probably nowhere else since ancient Athens, every voter can become his own legislator. Forget research, analysis, hearings, lobbying and debate. Television commercials, financed by interest groups on one side or the other of a proposition, are far less time-consuming and much more interesting. For 75 years, Californians have been taking the law into their own hands through popular initiative. Inspired by a progressive revolt against a legislature dominated by railroads, the process has evolved into something of a hallowed tradition. The state's supreme court has called it "a battering ram to tear through the exasperating tangle of the legislative process." But lately the initiative process itself has become an exasperating tangle, an exercise gone awry in a populism "run totally amok," in the words of Willie Brown, speaker of the California Assembly. To counter the tendency of voters to approve anything that sounds good and reject anything that sounds bad, lobbies spend heavily on slick marketing, electronic demagogy and legal vote-buying to defend their interests. Minority groups of less-than-overwhelming popularity -- gays, people with AIDS, lawyers and insurers -- especially risk being put upon, in the absence of intervention by the courts. If pre-election polls are correct, the lawyers and insurers could have their pocketbooks gored today, some say ruinously. Doctors are almost unanimous in condemning an AIDS reporting measure as homophobic and counterproductive, but for better or worse it is winning. "When issues of civil rights are involved, it is very easy to end up with tyranny of the majority. That is something that the legislative process is in theory designed to prevent," says Benjamin Schatz, an attorney for National Gay Rights Advocates, a San Francisco public-interest law firm. "I have been sorely tempted to propose an initiative to ban initiatives." The process is bogging down in sheer complexity. Several propositions contradict one another, yet all may win or lose. Initiatives in the past have given birth to a steady stream of new initiatives designed to emasculate or expand the older measures. Some of the laws have produced unintended results or have been so badly crafted that it has taken years of litigation to mend them. Some believe that the profusion of initiatives has become too much for ordinary people to handle. For a state whose economy ranks among the world's 10 biggest, and which is often a bellwether for legal developments nationally, they say the process is inappropriate. "There is no way that a majority of voters is going to be able to sort through all the propaganda and make an informed choice," says Carol Federighi, president of the California League of Women Voters. They won't have much time, either: Over the weekend, a federal appeals court rejected a challenge to a state law that limits voters to 10 minutes in voting booths. In simpler times, Californians used the initiative process to put a floor under wages and a ceiling on interest rates, as well as to outlaw prize-fighting, bookmaking and liquor. The state's population explosion after World War II dealt the process a blow because reformers had trouble gathering enough signatures to qualify proposals for the ballot -- 5% of the voters in the most recent gubernatorial campaign. Sophisticated direct-mail solicitation in the 1970s made it easier. Professional consultants now guarantee any idea a place on the ballot for a fixed fee that ranges from $400,000 to $1 million. Twenty-two other states permit referendums, but in none of those states have the measures become so commonplace -- or so nationally significant -- as in California. The national property-tax revolt began with the passage of Proposition 13 in 1978. A strong new labeling law, voted two years ago, is forcing national distributors to put clearer health warnings on dangerous products. "The rest of the country barely notices if an initiative passes in Colorado or Arizona," says David Schmidt, who edits "Initiative & Referendum: The Power of the People," a newsletter published in San Francisco. "What succeeds in California inspires imitators in other states." Interest groups are spending $130 million this year to support or defeat California initiatives. That is more than the spending in any other election campaign except for the presidential race. The big spending often succeeds, eroding support for proposals that initially seemed likely to win. A survey by UCLA law professor Daniel Lowenstein showed that big spending to defeat initiatives succeeds nine out of 10 times. "It is an eminently pervertible part of the process," says David Roe, an attorney for the Environmental Defense Fund in Oakland. A 1982 initiative to require a five-cent deposit on beer and soda containers was favored by 80% of voters in early polls. But opposition by the beverage industry, which, among other things, advertised the negative effect of a deposit law on Boy Scout recycling centers, defeated the measure. The new tobacco-tax initiative was supported by 75% of the voters in early polls; now about 50% support it. A tobacco-industry commercial warning of increased gang violence from cigarette smuggling -- a concern that state law-enforcement officials have disavowed -- was produced by the same man who made Mr. Dukakis look dopey riding a tank in a commercial for Mr. Bush. In another ad, the industry featured an "undercover cop" who is really a desk-bound sergeant and sideline actor who had a bit part in the movie "To Live and Die in L. A. " The producers of commercials on the other side of the tobacco tax are no slouches, either. One of their ads shows an emphysema victim breathing through a pair of oxygen tubes. "There's nothing you can do for me," he says, "but we can teach kids not to smoke." The ad notes that the man died after the commercial was filmed. A pizza-parlor commercial on San Francisco radio parodies the pitch against the tobacco tax. In the commercial, the issue is mandating "real cheese" in pizza, encouraging "thugs and punks" to take over dairy farms to profit from rising mozzarella prices. Initiatives are sometimes more, or less, than they are made out to be. Of the $600 million that the new tobacco tax would raise in its first year, only 20% goes to education programs of the kind that the health professionals are touting in some advertising urging approval of the tax. The tax money would also benefit public recreation areas -- and medical care for indigents, which would also benefit doctors. Legal experts say the proposal to limit attorneys' fees in personal-injury cases could be unconstitutional. The plan to require reporting of AIDS patients could drive the stricken underground and frustrate research. And several insurers have said that the proposal to slash auto insurance rates, endorsed by Mr. Nader, would drive them out of the state and perhaps even into insolvency. One proposition would provide millions of dollars for state public schools and community colleges. But because of limits on state spending required by a previous initiative, the money could come at the expense of the strapped state-university system. "It appears to be solving an important issue, but it has a definite impact on those of us in education who are left behind," University of California vice president William Baker says of the initiative. Other initiatives have produced bad law or unintended consequences. The U. S. Supreme Court found a 1964 attempt to give homeowners expanded freedoms in selling their houses to be an unconstitutional attempt at private discrimination. Californians thought they had toughened up their death penalty law through a 1978 initiative, but the state supreme court, headed by Rose Bird, found enough flaws in the law to invalidate dozens of death sentences. In 1986, the voters ousted Ms. Bird. In 1979, Proposition 4 authorized a cap on state spending. But the cap was tied to the inflation rate, and lower inflation has squeezed state spending more than even the proposition's proponents had in mind. They lost an attempt to ease the law with two initiatives last June. Competing propositions on the same ballot create legal problems. Those propositions with the most votes take precedence in cases of conflict, but all propositions that win a majority vote become law. Court battles are still deciding the effect of a pair of campaign finance reform measures approved last June. Proponents of one of the winning propositions complain that the result will be worse than no reform at all. Legal experts shudder at the thought of four insurance proposals being enacted in today's election. Some see the rights of minorities endangered. In recent years there have been propositions to allow school districts to ban employment of homosexual teachers and to quarantine AIDS patients, and the 1964 proposition would have legitimized private discrimination in housing. But all were rejected, either by voters or the courts. But the latest AIDS reporting initiative is winning. While the earlier movements were often associated with right-wing extremists, the latest proposal is endorsed by Gov. George Deukmejian. Besides requiring doctors to report known or suspected AIDS patients, the measure would force people with the AIDS virus to reveal intimate partners to the state and would permit employers to give AIDS tests as part of making hiring decisions. Even the system's harshest critics contend that the initiative process is still capable of good. Some studies have suggested that special-interest money is more effective at defeating proposals than passing them, indicating that the process hasn't become entirely the servant of those interests. But there is concern that the process has become an alternative to reasoned legislative law-making rather than a last resort. "There has been a major retreat from representational government," says Harry Snyder, West Coast Regional Director for Consumers Union. "Our legislature basically does not work anymore." Many are suspicious of the influence that lobbies exert on the state legislature. Most of the major initiative proposals of recent years, among them those dealing with auto insurance and campaign finance, have followed fights in which lobbies blocked legislative action. In 1986, the banking industry delivered written promises of $200,000 in campaign contributions to 75 legislators on the eve of a crucial vote over opening the state to interstate banking. The Sacramento County district attorney declined to prosecute, saying that there was no hard proof that the banks were buying votes. "We're all on the borderline of being felons {because} there are votes being switched for money," state senator Joseph Montoya said last April, according to the Los Angeles Times. Five months later, Mr. Montoya and three other legislators were identified as having accepted money from a federal sting operation aimed at exposing extortion in the state government. The four legislators deny any wrongdoing, but indictments are considered possible. Major reforms in the initiative process, such as limiting payments for gathering qualifying signatures, appear to be doomed under a U. S. Supreme Court decision in June that endorsed an unfettered initiative process in Colorado. Other proposals, such as requiring public, legislative-like hearings to debate the issues, or restoring indirect initiatives in which the public can in effect force a legislative floor vote on an issue, are typical of the marginal reforms that people here believe are the best that can be hoped for. Today's ballot includes an initiative that would for the first time require the disclosure in campaign advertising of major contributions to an initiative drive. Its proponents hope to open the process to greater public scrutiny, but they expect no radical reform. The initiative process has become a little like the golden rule, says James Rogers, an Oakland lawyer who is floating a $300,000 personal loan to the Truth-in-Initiative campaign. "Those with the gold," he says, "rule." [This article is made available here by Dow Jones Co. for the personal and non-commercial use of callers to this bbs, in the hope that it will be of some help to those who are suffering from the disease and others who are seeking to help them.]