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Gov. Brown Not Interested In Prop. 13 Reform

FRESNO, Calif. (AP) -- Gov. Jerry Brown on Wednesday turned down a challenge from the mayor of Los Angeles to reform Proposition 13, saying he would prefer to focus his attention on bringing financial stability to California.

Brown was responding to comments by Mayor Antonio Villaraigosa, who called on the governor and state lawmakers to think big in solving California's ongoing fiscal problems. The mayor suggested the Prop 13 property tax cap be lifted for businesses and left in place for homeowners.

Prop 13, however, is seen as untouchable by many politicians in the state because it is so popular with the electorate.

Villaraigosa urged the governor to convene a commission on tax reform and estimated that gradually lifting the Prop. 13 cap for businesses could raise between $2.1 billion and $8 billion a year -- money the state could invest in education and lower property taxes for homeowners.

Brown rejected the idea after making a luncheon address at Maddy Institute in Fresno.

"I'm not planning to join (Villaraigosa), but I certainly welcome the debate," Brown said. "I will focus my attention on ensuring financial stability and making the state more efficient."

Brown did not offer specifics beyond saying he plans to support a ballot initiative next year for new revenue. He also said jobs would come by generating confidence that California is on stable footing.

On Wednesday, the governor named retired Bank of America executive Michael E. Rossi as his adviser on creating jobs.

In his Fresno address, the governor defended the austere budget plan he signed in June, decried partisan politics and said Standard & Poor's revised outlook for California was a good sign the state is going in the right direction.

The Wall Street credit rating agency revised the state's long-term ratings outlook from negative to stable after the governor signed the budget.

Anti-tax advocates and business groups have criticized Villaraigosa's Prop 13 reform idea as an attack on small businesses.

The measure can only be changed by a two-thirds vote of the Legislature or through a ballot initiative.

(Copyright 2011 by The Associated Press. All Rights Reserved.)

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