Wed. Apr 24th, 2024

By Samuel Strait, Reporter at Large – June 22, 2021

It is not often that our State’s Governor, Gavin Newsom, nor the State’s
Legislators can come together and draft legislation that is so clearly
counter to what it is meant to achieve that which even the most
intellectually challenged  person will find it somewhat mystifying. 
Recently our slick back haired empty suit announced a “new ” $100
billion extravaganza the “California Comeback Plan” which will expend
tax payer dollars in the most lavish sense possible to pay all back rent
owed and utilities for the millions of renters who fell behind due to
the pandemic.  In addition, the Sacramento government is considering
extending the moratorium on evictions set to end on June 30th, the total
cost to the taxpayers, $5.2 billion.

Now while this may seem as a win for certain segments of California’s
struggling population, it most certainly does not extend much beyond
that and merely delays the inevitable, there’s no such thing as a free
lunch.  It is being reported that over three quarters of a million
renters are behind on their rent in California, most averaging nearly
$5,000 in arrears.  Newsom and the State’s legislators appear to want
renters owing back rent to remain in their rentals while using taxpayer
money to keep them there. 
The target being to continue with this tactic
until the State’s unemployment rate falls to pre-pandemic levels.  Of
course no one has bothered to explain how this will happen when current
unemployment pay exceeds what low income employees earned fully employed
and now are having rent and utilities paid for by the government.  Not a
particularly attractive path towards increased employment when you add a
rent and utility free pay out to an already lucrative existence.

Irregardless of this completely preposterous path that the State and its
Governor has taken, it begs the question of what is to be done for the
thousands of small landlords that could ill afford to take a pass on
what was already owed to them and were forced to sell their formerly
income producing rentals long before the government’s lavish “rescue
package”.  Many such unfortunates that could not tap into any such
“rescue plans” now find themselves struggling to stay afloat after
wealthy investors swooped in to purchase said properties at bargain
basement prices only to re-rent them at far higher rents, further
acerbating the already tight rental market for low income families.

The bottom line is, that government tinkering with rentals,
unemployment, and now utilities, is having a cascading effect on lives
in California.  Coupled with recent Federal policies, the fruits of that
meddling are yet to be realized.  Not only will most things that people
purchase be increasing in cost, but rent and utilities will suffer a
combination of inflationary increases which will most assuredly fall on
those least likely to be able to afford those increases.  California
already suffers from an unemployment rate at over eight percent while
the rest of the nation’s states are faring nearly two points better. 
Rentals units are soaring in cost where a single one bedroom rental in
Los Angeles averages over $2400 per month.  Most likely your utility
bills will soon be following.  Thank you very much Governor Newsom
and the California State legislators.  Where California is already
experiencing a population drain, is that soon to follow with a torrent
of people escaping to other more thoughtful states where their pockets
are not being continually fleeced by ever greater political stupidity.

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