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Group to Aid Gov.'s Push for Reforms

New coalition plans to raise millions that Schwarzenegger could tap for initiative drives.

January 12, 2005|Peter Nicholas, Times Staff Writer

SACRAMENTO — A coalition of business and taxpayer groups friendly to Gov. Arnold Schwarzenegger is preparing to raise tens of millions of dollars that can be used to push for initiatives the governor appears set to champion in a special election campaign.

Citizens to Save California could emerge as a crucial source of funding for the governor's agenda because politicians are no longer allowed to raise unlimited sums for initiative campaigns.


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The newly formed coalition, a private nonprofit group, is under no such restriction and could ensure that Schwarzenegger has the money to mount a full-scale campaign for passage of his reforms.

Liberal groups and Democratic lawmakers with resources of their own are expected to take various labor and consumer causes to the ballot. Bolstered by the new committee of well-funded associates, Schwarzenegger would be well positioned to wage a fight.

"It is my guess that they will be a very important ally," said Marty Wilson, a Schwarzenegger fundraising aide.

Schwarzenegger is calling for tough spending controls, legislative and congressional redistricting and pension reform. Various proponents have filed initiatives supporting each of those goals, promising a crowded ballot and costly campaigns if a special election is called.

The five board members of Citizens to Save California include people with close ties to the Schwarzenegger camp. In some cases, they represent business interests that welcomed the governor's vetoes last year of a minimum-wage increase and bills that would have cut prescription drug costs and made it tougher for companies to move jobs overseas.

Joel Fox worked for Schwarzenegger in the recall campaign and sponsored a workers' compensation reform initiative that the governor endorsed last year. Allan Zaremberg is president of the California Chamber of Commerce, whose pro-business agenda comports with that of the governor.

William Houck, president of the California Business Roundtable, was named by the governor last year to co-chair a panel that reviewed the massive proposal for overhauling state government, the "California Performance Review."

The political consultant that the coalition has hired, Rick Claussen, helped manage campaigns for two of the governor's initiatives last year: Propositions 57 and 58, a $15-billion bond issue and a balanced budget measure. Voters passed both last March.

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