Zeroing In On The Greenhouse Gas Plan
August 25th, 2006
With major agreements reached this week on raising the minimum wage and cutting prescription drug costs, Governor Arnold Schwarzenegger and Democratic legislative leaders are beginning to close in on a landmark measure to rollback greenhouse gas emissions. With Schwarzenegger committed to a firm emissions cap, there are three major issues: The approach by which reductions are achieved, how the program is governed, and what sort of “safety valve” exists to delay the program in the event of an emergency. Here’s video of Schwarzenegger on the issue last week.

Debate is raging, with conventional elements of the business community, represented by Schwarzenegger’s ally, the California Chamber of Commerce, opposed, and other elements of the business community, representing the “green tech” movement, in favor.

Among anti-global warming advocates, there is a split between those favoring a “cap-and-trade” market approach, which allows for flexibility with businesses less able to curtail greenhouse gas emissions via the trading of emissions credits, and a conventional command-and-control approach. Complicating matters late is the intervention of the environmental justice community, advocates for a strictly regulatory regime for low-income and ethnic communities in which polluting industries are frequently located. In an AP story, one advocate noted that the market approach, used widely in Europe, “leaves our communities still having high emissions, when on a global level one may be able to see a global reduction.” That reflects a different agenda being melded with the fight against global warming. Carbon dioxide emissions don’t cause cancer, but other emissions from those industries may.

Schwarzenegger likes the cap-and-trade system. It’s used extensively in Europe. He wants to begin trading with Britain, to follow through on his global warming accord with Prime Minister Tony Blair announced with such fanfare.

Last April, Schwarzenegger’s drive to define himself as a different kind of Republican tripped itself up a bit over cap-and-trade. Then, at his Climate Action Summit in San Francisco City Hall, the former action superstar slid back from his plan to cut greenhouse gas emissions in California, which would have made it much harder for him to show his environmental bona fides.

Contrary to reports here, the assurances of his advisors, and a reading of his just delivered speech, Schwarzenegger in the give-and-take portion of the program backed off of his Climate Action Team’s call for the establishment of overall caps on greenhouse gas emissions, saying that he didn’t want “to scare business.”

In an executive order last year, the governor established the climate action report and set ambitious targets: Reductions in greenhouse gas emissions to year 2000 levels by 2010. Reductions to year 1990 levels by 2020. The latter goal amounts to about a 20 to 25 percent reduction below forecast levels of greenhouse gas emissions. Greenhouse gas emissions, principally carbon dioxide, are seen by most scientists as the principal contributor to climate change. In his speech, Schwarzenegger, embracing regulation, spoke of what is called a cap-and-trade system.

Cap-and-trade, the approach called for in his report, is used by 25 countries to carry out their obligations under the Kyoto Protocol on climate change, which the U.S., in a lonely role among advanced industrial nations, has refused to sign. In cap and trade, a government sets an overall cap on greenhouse gas emissions which is then met through a market-based system. Companies coming in under their limits on greenhouse gas emissions can market credits to companies that are less successful in limiting emissions. It’s a system that builds in more flexibility than the hard-and-fast regulatory regime then implied in the bill sponsored by Assembly Speaker Fabian Nunez and Assemblywoman Fran Pavley.

Reacting to the criticism that he had backslid, Schwarzenegger announced the next day at an energy conservation event at UC Davis that he was indeed for a cap on emissions. Now the question is which approach to take.

The legislation as recently amended sets up a hybrid governance structure. The Air Resources Board would set the emission limits. It would be authorized, but not required to go with the cap-and-trade approach. Schwarzenegger seems to want it required. The Air Resources Board, which is appointed by the governor but is frequently quite independent due to its makeup with various scientific and public-oriented figures involved, would devise an emissions reduction scheme.

A new Greenhouse Gas Reduction Council would then coordinate the development and implementation of the state plan. It would also have the power, upon the recommendation of the governor, to delay the greenhouse gas plan in the event of a catastrophe or extreme economic dislocation. That would take a two-thirds vote of the nine-member body. As currently written, five of the nine would be appointed by the governor, the other four by the Legislature. The governor’s five appointees would be the Secretary for Environmental Protection who would serve as the chair, the Air Resources Board chair, the Public Utilities Commission president, the Energy Commission chair, and a public member.

This somewhat complex governance scheme is a compromise from earlier when Nunez and Pavley wanted the Air Resources Board in charge of it all and Schwarzenegger wanted a board consisting largely of his Cabinet members in charge, with the governor having the appointments.

Environmental Protection Secretary Linda Adams, in line to be the first chair of the new board, talked about the “safety valve” question last week: “Writing a safety valve is very critical. It has to be very tight so this is not about an excuse from one industry. If we have some catastrophe we need the flexibility. The target is still there, it’s just the ability to move it a year or two.”

The Bush wars are joined in California. With trailing Democratic challenger Phil Angelides running an ad linking Governor Arnold Schwarzenegger to unpopular President George W. Bush, the Schwarzenegger crew has put out an ad asking what planet Angelides lives on. The Angelides ad, seen here, seeks to lay blame for the Iraq policy, the national debt, and higher gasoline prices at Schwarzenegger’s doorstep because he appeared in Columbus, Ohio with Bush during the 2004 election.

While they may not have needed to respond to the Angelides TV spot linking Schwarzenegger to Bush, it is clear that the new Team Arnold likes to show how fast they are. Here is the rapid response ad ripping Angelides for his new spot linking Schwarzenegger to those various ills, which again makes the case that post-recall California is in much better shape under Schwarzenegger and that Angelides is a big tax hike man.

Note that this ad is paid for by the Schwarzenegger campaign, not the Republican Party, while the Angelides ad is paid for by the Democratic Party and not his own campaign. As you could tell from my video interview with advisor Bill Carrick, it’s not entirely clear how much money was raised by Angelides’ big fundraiser a few weeks ago at the Beverly Hilton Hotel with former President Bill Clinton.

Today he has a new TV ad he produced running around California ripping Governor Arnold Schwarzenegger for campaigning in Ohio during the 2004 race with President George W. Bush. But I recalled something different being said at the time. Sure enough, Angelides for Governor media consultant Bill Carrick had a very different tune back then. He told the San Jose Mercury News: “An Ohio visit would help shore up Republican support, without offending Democrats in his home state.”

Important Democratic politicians and consultants were skeptical of the Angelides effort to make Schwarzenegger appear a Bush clone Tuesday night at the crowded launch party for the new California Majority Report web site, which is run by three former high-ranking aides to recalled Governor Gray Davis. Davis and Assembly Speaker Fabian Nunez gave well-received speeches there (with Nunez declaring that the most interesting political writing now appears on the blogs), which are captured in this NWN video of the party, from the tony Mason’s at The Park. (The park being Sacramento’s picturesque Capitol Park, which has an amazing array of trees, plants, and flowers from all over the Golden State.)

The skepticism continued yesterday when many people had finally had the chance to see the much anticipated new Angelides ad. Said one consultant who has battled the Schwarzenegger crowd: “That’s it? I don’t see it.”

Although the California Democratic Party is spending $2 million to air the spot, a bigger problem for Schwarzenegger may be a late-breaking stumbling block around anti-global warming legislation.

Schwarzenegger, who has settled on firm caps on greenhouse gas emissions after being criticized here, and elsewhere, for backsliding at his climate change summit in San Francisco a few months ago, wants a market-based cap-and-trade regime similar to that used by Europeans. While leaving the door open to that, Nunez and other Democrats seem really to be for a standard command-and-control approach, which would lack flexibility that may be needed for some businesses.

But both sides need a win on this, and talks continue.

Meanwhile, check this video in which 2005 National Campaign Manager of the Year Gale Kaufman and former California First Lady Sharon Davis discuss politics, life, and Arnold Schwarzenegger. After Kaufman has a close encounter with the new child of veteran radio correspondent Don Andrews and San Francisco Chronicle reporter Lynda Gledhill. It’s an interesting slice of opinion, and life.

11 AM UPDATE: 2005 National Campaign Manager of the Year Gale Kaufman and former California First Lady Sharon Davis discuss politics, life, and Arnold Schwarzenegger in this video. After Kaufman has a close encounter with the new child of veteran radio correspondent Don Andrews and San Francisco Chronicle reporter Lynda Gledhill.

8 AM UPDATE: Here is Team Angelides’ Schwarzenegger/Bush TV ad.

UPDATE: Video of California Majority Report launch press conference is here. Videos coming of the party featuring former Governor Gray Davis, Assembly Speaker Fabian Nunez, Senate President Pro Tem Don Perata, and Insurance Commissioner John Garamendi, and interviews with political consultant Gale Kaufman and former First Lady Sharon Davis.

WELL-INFORMED SOURCES SAY THE NEW TV AD LINKING GOVERNOR ARNOLD SCHWARZENEGGER to unpopular President George W. Bush will begin today. The ad on behalf of trailing Democratic challenger Phil Angelides, paid for by the California Democratic Party, is said to use footage of Schwarzenegger’s 2004 campaign appearance with Bush in Ohio on behalf of the president’s re-election.

It contrasts, sources say, Schwarzenegger’s seeming enthusiasm for Bush with the president’s record on the Iraq War, the national debt, and gasoline prices. And it notes that Schwarzenegger is for Bush, then closes by asking if he is for you.

The success of this approach, long rumored and favored by many in very partisan activist ranks, is rather questionable. Guilt-by-association advertising works best with candidates who are not well known. Schwarzenegger is one of the best known figures in the world, with widely known and readily cited differences of opinion with the Republican president.

Indeed, a number of the guests at last night’s launch party for a new Democratic web site, California Majority Report, without knowing the particulars of the ad, questioned the new advertising approach for Angelides, which was revealed here yesterday. There was not an air of optimism about Angelides’ prospects at the web site party, which was attended by many notable Democrats, including former Governor Gray Davis (who said he hopes the site is the best since the Flash Report), Insurance Commissioner John Garamendi, Lieutenant Governor Cruz Bustamante, Senate President Pro Tem Don Perata, and Assembly Speaker Fabian Nunez.

But this is an approach long favored inside the Angelides campaign. Just as the decision in the Democratic primary to run an ad declaring Democratic rival Steve Westly a “Twin” of Schwarzenegger was long favored.

Angelides and his longtime senior strategist, Bob Mulholland, are known to believe that voters are more partisan now than ever before. As Mulholland told me at the beginning of the year, “Voters are fired up here in California about Iraq and Bush. Schwarzenegger showed he is a big part of that team with the special election.”

Of course, Schwarzenegger had pursued a more centrist, bipartisan path prior to his disastrous “Year of Reform” special election last year. He has certainly done so since.

His disagreements with Bush are many and well-reported, ranging from abortion and stem cell research to renewable energy and global warming.

The California Majority Report launch party, held at a tony Capitol restaurant, was quite interesting. I’ll update this report later today with details on the party and videos of the launch press conference, the party itself, and interviews with former First Lady Sharon Davis and political consultant Gale Kaufman.

**  Formula One racing returns after a three-week hiatus following the Hungarian Grand Prix. Sunday, live from Istanbul, it’s the F1 Turkish Grand Prix. Briton Jensen Button won his first ever F1 grand prix in Budapest. But in Istanbul the duel for the world championship will continue between last year’s champion, 25-year old Spaniard Fernando Alonso, and the seven-time world champion from Germany, Michael Schumacher, now an elderly 37. Alonso, racing for Renault, has a slim lead over the red-liveried Schumacher from Ferrari.

** Still working to invigorate the liberal Democratic base, Governor Arnold Schwarzenegger’s Democratic opponent, Treasurer Phil Angelides, will appear at an anti-Walmart rally Monday in the San Francisco Bay Area. Rally organizers seek to galvanize Americans against the corporations taking over American life, as they put it, and Walmart epitomizes this for them.

** As Friday begins to wind down, we could look at the prospects for redistricting reform, personnel change in the Angelides campaign or the gubernatorial candidates’ whereabouts — en route from Texas and to San Diego, respectively — but mention of the great classic The Sixth Day reminds of something a little bit different. Here, courtesy of YouTube, where quite a few people have placed it, is Mad TV’s “Arnold Clone Movie.” In which the future governor discusses his upcoming film, Stolen Identity III.

** Here’s something interesting. According to the Sacramento Bee, Senate President Pro Tem Don Perata got $500,000 from the California Building Industry Association for the infrastructure bonds campaign two days after sidelining several flood control bills the lobby doesn’t like.

** A joint statement from their solicitors in London on behalf of former TV hostess Anna Richardson and Governor Arnold Schwarzenegger announced that they have settled her libel suit against the former action superstar and aides Sheryl Main, Schwarzenegger’s longtime movie publicist, and Sean Walsh, co-communications director of his 2003 campaign and now head of the Governor’s Office of Planning & Research. Richardson had stated in a 2001 Premiere magazine story that Schwarzenegger cupped her breast with his hand when he appeared on her London TV show to promote his clone action movie, The Sixth Day.

When the Los Angeles Times recycled the Premiere story for its 11th hour Schwarzenegger “Gropergate” expose in the 2003 recall campaign, Main and Walsh said that she had actually provoked Schwarzenegger. Richardson sued Schwarzenegger and his two aides in London, where the standard of evidence in a libel proceeding is rather different than in the U.S. Here, the burden of proof is on the plaintiff. There, the burden of proof is on the accused. The records of the settlement are sealed.

** Half the UN peacekeeping force in Lebanon will come from Europe. Deployment will take up to three months. The French foreign minister, whose troops will lead the contingent, says the goal is clear, to disarm Hezbollah. But not by force.

** Track global and national energy prices in near real time via Bloomberg. Crude oil prices are hovering a few dollars over $70 a barrel.

** Continuous coverage of the new global insecurity at Pajamas Media (PJM).

With major agreements reached this week on raising the minimum wage and cutting prescription drug costs, Governor Arnold Schwarzenegger and Democratic legislative leaders are beginning to close in on a landmark measure to rollback greenhouse gas emissions. With Schwarzenegger committed to a firm emissions cap, there are three major issues: The approach by which reductions are achieved, how the program is governed, and what sort of “safety valve” exists to delay the program in the event of an emergency. Here’s video of Schwarzenegger on the issue last week.

Debate is raging, with conventional elements of the business community, represented by Schwarzenegger’s ally, the California Chamber of Commerce, opposed, and other elements of the business community, representing the “green tech” movement, in favor.

Among anti-global warming advocates, there is a split between those favoring a “cap-and-trade” market approach, which allows for flexibility with businesses less able to curtail greenhouse gas emissions via the trading of emissions credits, and a conventional command-and-control approach. Complicating matters late is the intervention of the environmental justice community, advocates for a strictly regulatory regime for low-income and ethnic communities in which polluting industries are frequently located. In an AP story, one advocate noted that the market approach, used widely in Europe, “leaves our communities still having high emissions, when on a global level one may be able to see a global reduction.” That reflects a different agenda being melded with the fight against global warming. Carbon dioxide emissions don’t cause cancer, but other emissions from those industries may.

Schwarzenegger likes the cap-and-trade system. It’s used extensively in Europe. He wants to begin trading with Britain, to follow through on his global warming accord with Prime Minister Tony Blair announced with such fanfare.

Last April, Schwarzenegger’s drive to define himself as a different kind of Republican tripped itself up a bit over cap-and-trade. Then, at his Climate Action Summit in San Francisco City Hall, the former action superstar slid back from his plan to cut greenhouse gas emissions in California, which would have made it much harder for him to show his environmental bona fides.

Contrary to reports here, the assurances of his advisors, and a reading of his just delivered speech, Schwarzenegger in the give-and-take portion of the program backed off of his Climate Action Team’s call for the establishment of overall caps on greenhouse gas emissions, saying that he didn’t want “to scare business.”

In an executive order last year, the governor established the climate action report and set ambitious targets: Reductions in greenhouse gas emissions to year 2000 levels by 2010. Reductions to year 1990 levels by 2020. The latter goal amounts to about a 20 to 25 percent reduction below forecast levels of greenhouse gas emissions. Greenhouse gas emissions, principally carbon dioxide, are seen by most scientists as the principal contributor to climate change. In his speech, Schwarzenegger, embracing regulation, spoke of what is called a cap-and-trade system.

Cap-and-trade, the approach called for in his report, is used by 25 countries to carry out their obligations under the Kyoto Protocol on climate change, which the U.S., in a lonely role among advanced industrial nations, has refused to sign. In cap and trade, a government sets an overall cap on greenhouse gas emissions which is then met through a market-based system. Companies coming in under their limits on greenhouse gas emissions can market credits to companies that are less successful in limiting emissions. It’s a system that builds in more flexibility than the hard-and-fast regulatory regime then implied in the bill sponsored by Assembly Speaker Fabian Nunez and Assemblywoman Fran Pavley.

Reacting to the criticism that he had backslid, Schwarzenegger announced the next day at an energy conservation event at UC Davis that he was indeed for a cap on emissions. Now the question is which approach to take.

The legislation as recently amended sets up a hybrid governance structure. The Air Resources Board would set the emission limits. It would be authorized, but not required to go with the cap-and-trade approach. Schwarzenegger seems to want it required. The Air Resources Board, which is appointed by the governor but is frequently quite independent due to its makeup with various scientific and public-oriented figures involved, would devise an emissions reduction scheme.

A new Greenhouse Gas Reduction Council would then coordinate the development and implementation of the state plan. It would also have the power, upon the recommendation of the governor, to delay the greenhouse gas plan in the event of a catastrophe or extreme economic dislocation. That would take a two-thirds vote of the nine-member body. As currently written, five of the nine would be appointed by the governor, the other four by the Legislature. The governor’s five appointees would be the Secretary for Environmental Protection who would serve as the chair, the Air Resources Board chair, the Public Utilities Commission president, the Energy Commission chair, and a public member.

This somewhat complex governance scheme is a compromise from earlier when Nunez and Pavley wanted the Air Resources Board in charge of it all and Schwarzenegger wanted a board consisting largely of his Cabinet members in charge, with the governor having the appointments.

Environmental Protection Secretary Linda Adams, in line to be the first chair of the new board, talked about the “safety valve” question last week: “Writing a safety valve is very critical. It has to be very tight so this is not about an excuse from one industry. If we have some catastrophe we need the flexibility. The target is still there, it’s just the ability to move it a year or two.”

August 24th, 2006

Admin Note

Looks like more chronic problems with the LA Weekly server. Quite a few comments have disappeared this morning.

** … at the brand new California Majority Report:

NOTE FROM THE PUBLISHERS:

“This is the sort of atrocity when California’s Democratic consultant insiders decide they want to ‘blog.’”- Daily Kos

Welcome to the California Majority Report.

We’ve now been “launched” for 48 hours. The good news: world-class commentary, an unexpectedly-high level of traffic to the site and reams of constructive feedback (one favorite: that we are the “Vanilla Ices of the California blog community”). The bad: our site has already crashed, our layout is confusing and many of the features we wanted simply aren’t working.

When Kos is right (which is often), he’s right. On the modern blog evolutionary chart, we’re still dragging our knuckles.

So, over the next few days, we’re switching server and software and building a better mousetrap. New features will include: a revamped layout, an easier-to-access archive, up-to-the-minute blogging and, of course, a blogroll to others in the California Democratic/progressive netroots community – all ready by September 1st.

In the meantime, we will continue to elicit lessons learned from our friends in the blogosphere and hope to hear from you about where we can improve. Feel free to email us directly at: kinney@calstrat.com. Peace.

** California Correctional Peace Officers Association (CCPOA) president Mike Jimenez made an intriguing appearance yesterday before assembled members of the state political press corps at the Sacramento Press Club. He had a tough tone much of the time, made a number of acerbic comments about Schwarzenegger, and denied all responsibility on the part of his union for the state’s prison crisis (even though federal reports identify CCPOA as a prime cause). But I didn’t get the sense any decision had been made on political next steps. I shot about 25 minutes of video footage of him.

** The super slow-mo UN peacekeeping force for Lebanon may be kicking into gear as the French reverse themselves and make ready to send 2000 troops in a bid to retain leadership of the force. France had been embarrassed by Italy offering to send up to 3000 troops as its own commitment diminished. Perhaps we can feel good again about champagne and Chanel. Though maybe not Louis Vuitton.

** Governor Arnold Schwarzenegger has announced a deal with Democratic legislative leaders to increase access to and decrease costs for prescription drugs. Another plus for his re-election campaign.

** Finally heeding widespread political advice, California Secretary of State Bruce McPherson, the state’s chief elections officer, has injected himself into the debate on redistricting reform, urging Democratic legislative leaders to deliver on their promise of redistricting reform this year.

** There are some hard feelings over the hiring and subsequent firing of a controversial religious fundamentalist outreach coordinator for the California Republican Party.

** LA Times columnist and old friend George Skelton misremembers what happened in the gubernatorial primary just past with regard to where the $10 billion Angelides tax hike figure came from. “Controller Steve Westly, Angelides’ failed opponent in the Democratic primary, totaled up all the possible tax increases the treasurer ever had mentioned over the years and accused him of proposing $10 billion in hikes. Never mind that Angelides no longer was suggesting most of those increases.”

What really happened is that the cost of the new spending Angelides was proposing without any cuts or efficiencies involved was added up. By, among others, Sacramento Bee columnists Dan Weintraub and Dan Walters, and by me. See “Democrats: Do The Numbers Add Up?,” from last April.

** Track global and national energy prices in near real time via Bloomberg. Crude oil prices have crept higher today.

** Continuous coverage of the new global insecurity on Pajamas Media (PJM).

The Bush wars are joined in California. With trailing Democratic challenger Phil Angelides running an ad linking Governor Arnold Schwarzenegger to unpopular President George W. Bush, the Schwarzenegger crew has put out an ad asking what planet Angelides lives on. The Angelides ad, seen here, seeks to lay blame for the Iraq policy, the national debt, and higher gasoline prices at Schwarzenegger’s doorstep because he appeared in Columbus, Ohio with Bush during the 2004 election.

While they may not have needed to respond to the Angelides TV spot linking Schwarzenegger to Bush, it is clear that the new Team Arnold likes to show how fast they are. Here is the rapid response ad ripping Angelides for his new spot linking Schwarzenegger to those various ills, which again makes the case that post-recall California is in much better shape under Schwarzenegger and that Angelides is a big tax hike man.

Note that this ad is paid for by the Schwarzenegger campaign, not the Republican Party, while the Angelides ad is paid for by the Democratic Party and not his own campaign. As you could tell from my video interview with advisor Bill Carrick, it’s not entirely clear how much money was raised by Angelides’ big fundraiser a few weeks ago at the Beverly Hilton Hotel with former President Bill Clinton.

Today he has a new TV ad he produced running around California ripping Governor Arnold Schwarzenegger for campaigning in Ohio during the 2004 race with President George W. Bush. But I recalled something different being said at the time. Sure enough, Angelides for Governor media consultant Bill Carrick had a very different tune back then. He told the San Jose Mercury News: “An Ohio visit would help shore up Republican support, without offending Democrats in his home state.”

Important Democratic politicians and consultants were skeptical of the Angelides effort to make Schwarzenegger appear a Bush clone Tuesday night at the crowded launch party for the new California Majority Report web site, which is run by three former high-ranking aides to recalled Governor Gray Davis. Davis and Assembly Speaker Fabian Nunez gave well-received speeches there (with Nunez declaring that the most interesting political writing now appears on the blogs), which are captured in this NWN video of the party, from the tony Mason’s at The Park. (The park being Sacramento’s picturesque Capitol Park, which has an amazing array of trees, plants, and flowers from all over the Golden State.)

The skepticism continued yesterday when many people had finally had the chance to see the much anticipated new Angelides ad. Said one consultant who has battled the Schwarzenegger crowd: “That’s it? I don’t see it.”

Although the California Democratic Party is spending $2 million to air the spot, a bigger problem for Schwarzenegger may be a late-breaking stumbling block around anti-global warming legislation.

Schwarzenegger, who has settled on firm caps on greenhouse gas emissions after being criticized here, and elsewhere, for backsliding at his climate change summit in San Francisco a few months ago, wants a market-based cap-and-trade regime similar to that used by Europeans. While leaving the door open to that, Nunez and other Democrats seem really to be for a standard command-and-control approach, which would lack flexibility that may be needed for some businesses.

But both sides need a win on this, and talks continue.

Meanwhile, check this video in which 2005 National Campaign Manager of the Year Gale Kaufman and former California First Lady Sharon Davis discuss politics, life, and Arnold Schwarzenegger. After Kaufman has a close encounter with the new child of veteran radio correspondent Don Andrews and San Francisco Chronicle reporter Lynda Gledhill. It’s an interesting slice of opinion, and life.

** Slate picks up my thing on the East Coasties preference for Iowa rather than Nevada. It’s because they are used to the Savery Hotel in downtown Des Moines. Get over it, I say! The place is a dive. Fly a couple more hours to Las Vegas. You work for big corporations. Still. They will pay for it. They will pay your expenses in Nevada. You will have a better time in Nevada. Believe it. In a region where things are actually in play in the general election. So what if you need to learn new things? All you have to do is read NWN. Paraphrase. It’s done all the time.

** Some of the East Coast political media, dinosaurs in waiting, say it is still just Iowa and New Hampshire in the presidential nomination sweepstakes. That’s because they don’t want to fly West — where the presidency is merely waiting to be won in a number of states in addition to Nevada — and learn something new. These are the same folks who regularly get it wrong. Watch it happen again. Not that we don’t know Iowa at NWN, after the most consequential distant second-place in the history of presidential politics.

** I don’t know that they needed to respond to the Angelides TV spot linking Schwarzenegger to Bush, but I do know that the new Team Arnold likes to show how fast they are. Here is an immediate response TV ad ripping Angelides for a lack of seriousness in his new spot linking Schwarzenegger to the Iraq policy and various other ills because he appeared in Columbus, Ohio with Bush in 2004.

Note that this ad is paid for by the Schwarzenegger campaign, not the Republican Party, while the Angelides ad is paid for by the Democratic Party and not his own campaign. As you could tell from my video interview with advisor Bill Carrick, it’s not entirely clear how much money was raised by Angelides’ big fundraiser a few weeks ago at the Beverly Hilton Hotel with former President Bill Clinton.

** Today he has a new TV ad he produced running around California ripping Governor Arnold Schwarzenegger for campaigning in Ohio during the 2004 race with President George W. Bush. But Phil Angelides for Governor media consultant Bill Carrick had a very different tune back then. He told the San Jose Mercury News: “An Ohio visit would help shore up Republican support, without offending Democrats in his home state.”

** Track global and national energy prices in near real time via Bloomberg. Crude oil prices are hovering a few dollars over $70 a barrel. Crude oil prices have dipped.

** Continuous coverage of the new global insecurity on Pajamas Media (PJM).

11 AM UPDATE: 2005 National Campaign Manager of the Year Gale Kaufman and former California First Lady Sharon Davis discuss politics, life, and Arnold Schwarzenegger in this video. After Kaufman has a close encounter with the new child of veteran radio correspondent Don Andrews and San Francisco Chronicle reporter Lynda Gledhill.

8 AM UPDATE: Here is Team Angelides’ Schwarzenegger/Bush TV ad.

UPDATE: Video of California Majority Report launch press conference is here. Videos coming of the party featuring former Governor Gray Davis, Assembly Speaker Fabian Nunez, Senate President Pro Tem Don Perata, and Insurance Commissioner John Garamendi, and interviews with political consultant Gale Kaufman and former First Lady Sharon Davis.

WELL-INFORMED SOURCES SAY THE NEW TV AD LINKING GOVERNOR ARNOLD SCHWARZENEGGER to unpopular President George W. Bush will begin today. The ad on behalf of trailing Democratic challenger Phil Angelides, paid for by the California Democratic Party, is said to use footage of Schwarzenegger’s 2004 campaign appearance with Bush in Ohio on behalf of the president’s re-election.

It contrasts, sources say, Schwarzenegger’s seeming enthusiasm for Bush with the president’s record on the Iraq War, the national debt, and gasoline prices. And it notes that Schwarzenegger is for Bush, then closes by asking if he is for you.

The success of this approach, long rumored and favored by many in very partisan activist ranks, is rather questionable. Guilt-by-association advertising works best with candidates who are not well known. Schwarzenegger is one of the best known figures in the world, with widely known and readily cited differences of opinion with the Republican president.

Indeed, a number of the guests at last night’s launch party for a new Democratic web site, California Majority Report, without knowing the particulars of the ad, questioned the new advertising approach for Angelides, which was revealed here yesterday. There was not an air of optimism about Angelides’ prospects at the web site party, which was attended by many notable Democrats, including former Governor Gray Davis (who said he hopes the site is the best since the Flash Report), Insurance Commissioner John Garamendi, Lieutenant Governor Cruz Bustamante, Senate President Pro Tem Don Perata, and Assembly Speaker Fabian Nunez.

But this is an approach long favored inside the Angelides campaign. Just as the decision in the Democratic primary to run an ad declaring Democratic rival Steve Westly a “Twin” of Schwarzenegger was long favored.

Angelides and his longtime senior strategist, Bob Mulholland, are known to believe that voters are more partisan now than ever before. As Mulholland told me at the beginning of the year, “Voters are fired up here in California about Iraq and Bush. Schwarzenegger showed he is a big part of that team with the special election.”

Of course, Schwarzenegger had pursued a more centrist, bipartisan path prior to his disastrous “Year of Reform” special election last year. He has certainly done so since.

His disagreements with Bush are many and well-reported, ranging from abortion and stem cell research to renewable energy and global warming.

The California Majority Report launch party, held at a tony Capitol restaurant, was quite interesting. I’ll update this report later today with details on the party and videos of the launch press conference, the party itself, and interviews with former First Lady Sharon Davis and political consultant Gale Kaufman.