D Walnut Grove

Legislation boosting the renters' tax credit for low-income elderly people while stripping it from couples earning more than $50,000 a year and singles making at least $40,000 stalled Wednesday in a Senate committee. The bill, by Assemblyman Mike Roos (D-Los Angeles), fell two votes short of the five needed for passage in the Senate Revenue and Taxation Committee. But Roos was immediately granted permission to have the measure reconsidered at the committee's meeting this week.

With market forces producing cheap oil in recent years, alternative energy tax credits have gone out of vogue. But the respite in escalating petroleum costs is not expected to last long. Domestic reserves are declining. California and the nation cannot afford to let the pursuit of practical alternative energy supplies languish.

Consumer advocate Ralph Nader sent out more than 70 detailed questions to all 12 Democratic and Republican candidates in the race for insurance commissioner Friday, setting a May 26 deadline for their answers. Three of the candidates quickly responded, however, with charges that Nader's questions were biased. Nader said he would score the candidates and make their answers, and his comparative ratings of them, public on May 29, a week before the primary election.

Just two weeks after announcing his likely candidacy, state Sen. John Garamendi (D-Walnut Grove) was reported Wednesday to have broken out in front of the field in the crowded race for the Democratic nomination for state insurance commissioner, according to a poll to be released today. The independent California Poll shows Garamendi leading with support from 24% of those Democrats surveyed, according to those who have seen the poll results.

Official Sacramento's reaction to news of a possible $1-billion income-tax shortfall has been typical: shock, surprise and panic followed by recrimination and attempts to fix political blame. But if the Legislature and Gov. George Deukmejian--particularly the governor--had played the tax game a bit more prudently, there would be no need for any of the above. Still, there is no call for panic, particularly if that leads to crash cuts in a budget that already is penny-wise and pound-foolish.

California needs new highways and repair work on existing roads. It does not need Gov. George Deukmejian's $1-billion transportation bond issue. Modest increases in the state gas tax and truck fees would buy the same highway construction and repair. Instead of charging all taxpayers to pay off the bonds, people who use the highways would pay for them. California should stick to its historic pay-as-you-go highway financing policy.