A Bleepin' Warning from the Left Coast

Until that bill took effect, California's unemployment numbers tracked very closely with the national unemployment rate. But then, in January of 2007, California's unemployment rate began a steady upward divergence from the national jobless figures. Today, California's unemployment rate is more than two points above the national rate, and at its highest point since 1941.

What is it that happened in January 2007? AB 32 took effect and began shutting down entire segments of California's economy. Let me give you one example from my district.

The city of Truckee, Calif., was about to sign a long-term power contract to get its electricity from a new, EPA-approved coal-fired electricity plant in Utah. AB 32 and companion legislation caused them to abandon that contract. The replacement power they acquired literally doubled their electricity costs.

So when economists warn that we can expect electricity prices to double under the cap and trade bill, I can tell you from bitter experience that in my district, that's not a future prediction, that is a historical fact.