Wheel of Fortune Turns in Capitol
SACRAMENTO — By all conventional wisdom, the fortunes of organized labor and Indian tribes, the biggest spenders against the recall of Gray Davis, will take a turn for the worse under Gov.-elect Arnold Schwarzenegger's administration, and those of business groups will rise.
But there are sure to be surprises in a new administration run by a political novice.
Adding to the unpredictability, the actor-turned-politician will be able to use his celebrity to leap over the heads of old Capitol warriors and appeal directly to the electorate to generate support for his causes, possibly diminishing the power of lobbyists.
"He has the potential to be a transformative governor," said Steve Merksamer, who was chief of staff to Republican Gov. George Deukmejian and whose political law firm and lobby firm have a blue-chip clientele.
In the days since his election, Schwarzenegger has made several gestures to suggest he intends to be inclusive. He tapped former Assembly Speaker Willie Brown, a Democrat, and Brown's longtime rival, former Gov. Pete Wilson, a Republican, to serve on the transition team.
But Schwarzenegger won with heavy support from major Republican donors and businesses. Concepts dear to the GOP could be back in vogue.
Schwarzenegger's transition team also includes Pacific Research Institute director Sally Pipes, a free-market advocate who urges that private enterprise take over many government functions.
Still, there will be losers. Trial attorneys could be near the top of the list. They spent almost $2 million to fight the recall and help Lt. Gov. Cruz Bustamante, said attorney Bruce M. Brusavich, president of the Consumer Attorneys of California.
And Schwarzenegger singled out trial lawyers during the campaign, saying their litigious ways are a cause of the state's economic troubles. He called for limits on the right to sue over what are called unfair business practices, and restrictions on the ability of fired workers to sue their ex-employers.
To bring significant change in laws affecting litigation on other business issues, Schwarzenegger must win passage of legislation -- he can't go to the ballot for everything -- and Democrats remain firmly in control of the Legislature. Nearly all of them, and some Republicans, regularly side with trial attorneys on an array of issues.
"I'm hoping it was campaign rhetoric," Brusavich said.
