Curbed – “Bay-area tech types have been getting a lot of flak lately for the totally out-of-touch, isolationist ideas espoused by a few very vocal members of their ilk, like the plan proposed by prominent, hubristic venture capitalist Tim Draper to split California along arbitrary lines to form six new states (LA, along with Long Beach and Santa Barbara, would be in West California). Hellbent on ruining us all, Draper commissioned an analysis of the plan and the resulting report, via Valleywag, reads like the backstory to the damn Hunger Games. Turns out that Silicon Valley is so wealthy, if it splintered off on its own, it would become the richest state in the country, with a per capita personal income of $63,288. Meanwhile, Central California, where all the food comes from, would be the new poorest state, with $33,510 per capita personal income (perspective: less than the PCPI of poor Misssissippi). West California’s PCPI would be $44,900—close to current California’s figure.
Creating Six Californias would also seriously mess with the water infrastructure—Silicon Valley and West California are currently the largest importers of water, but the three poorest states in the deal (Central California, Jefferson,and South California) would have most of the supply. Another thing Central California will have? Most of the prisons: the three poorest states currently house 60 percent of the prisoners in the whole state. LA and its West California cities create 37 percent of the prisoners (good job!) but house only 7 percent of them, so if we thought our prisons were overcrowded, wait until our resources are one-sixth of what they are now. So, food shortages, water shortages, wealth inequality, prisoners either roaming the streets or rioting in overcrowded jails: seriously, is this plan guerrilla marketing for Mockingjay Part 1?” Full Story On Curbed
Excerpts, BizJournal – “A plan floated by third-generation venture capitalist Tim Draper to split California into six parts would make the new state of Silicon Valley No. 1 in the U.S. in terms of per-capita income, legislative analysts said.
It would also create the nation’s poorest state measured by per-capita income, Central California, which would rank below Mississippi.
Draper, who wants to push his plan in a ballot initiative, submitted the proposal to the Legislative Analyst’s Office in California for a required review. For a $200 fee, Draper got a 16-page analysis that outlines the tax, education, political, correctional and natural-resources issues that would arise from splitting the state into six pieces…
…The analysts came up with some conclusions that will likely stoke the conflict between people who decry wealth disparity and those who defend the status quo.
Draper in a conference call in December said his idea was motivated by frustration with a bloated, ungovernable state government. The legislative analysis found that Six Californias would also work out quite nicely for his home region from a fiscal perspective…
…They also found the proposal would end up shifting the burden of funding health and social services programs to the federal government.
Other factors, like water distribution and reorganization of the penal system would have to be worked out, the analysts said. Those and other decisions by the new states could result in changes to the states’ demographics and economies, according to the report.
Draper has said he’ll leave it to others to navigate those sorts of issues. In a December press conference, he also said he plans to spend “as little as possible” of his own money to advance the idea.” Continue reading