Pre-recess flurry: legislators face number of issues before Sept. 9 break.

• Author: Allen, Bruce C.
• Position: Government relations

California's legislators returned to work Aug. 15 for a final flurry of activity before they recess for the year on Sept. 9. The contentious issues they are grappling with include driver's licenses for undocumented immigrants and same-sex marriage, among others.

Additionally, many substantive issues have been placed on the November special election ballot in the form of propositions to be decided by voters. The November special election is becoming a watershed event for Gov. Schwarzenegger, who is pitted against organized labor in a battle that neither side wants to lose.

Labor views the election as a measurement of the governor's declining popularity. If he loses the initiative battle, they will see him as a beatable governor going into next year's reelection campaign.

On the ballot are other subjects and initiatives that would, among other things, change the way legislative districts are determined, limit the ability of public employee unions to use member dues for political campaigns, change school funding, extend the period of time for teachers to gain tenure and regulate energy sales in California.

CalCPA Member John Campbell Runs for Congress

Gov. Schwarzenegger has set Oct. 4 as the date for a special election for voters to select the replacement for former Congressman Chris Cox, who President Bush appointed SEC Commissioner.

A second special election is set for Dec. 6 but will only be held if no candidate is able to win more than 50 percent of the vote in the Oct. 4 primary.

Former legislator Marilyn Brewer and current state senator and CalCPA member John Campbell, CPA, are considered to be the front-runners in what may be a very crowded field.

If Sen. Campbell is elected, he would be the second California CPA sitting in Congress. Brad Sherman, an attorney CPA and a former member of the Board of Equalization, has been representing the 27th Congressional District in Congress since 1996.

The 48th Congressional District, which Campbell is running for, is considered a safe Republican seat.

Pre-dispute Jury Waivers

On Aug. 4, the California Supreme Court ruled in the long-awaited Grafton Partners v. Superior Court case that Grafton's dispute with Pricewaterhouse Coopers over audit work could go to a jury trial despite Grafton having signed a pre-dispute contract that would have allowed a trial in front of a judge in lieu of a jury.

The court made it clear that the decision does not affect arbitration agreements and that the jury waiver...