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Overseeing a $53 Billion Purse, What Next?

By: AsianWeek Staff Report, Feb 23, 2007
Tags: Bay Area, Commerce |

SAN FRANCISCO — To many, the California Board of Equalization (BOE) is somewhat of a mystery. Most are unsure of what the board does, how many members it has or whether it is a local, state or federal agency.

Constitutionally established in 1879, the BOE is one of the most pivotal regulatory and administrative agencies in California, overseeing the collection of an astounding $53 billion in property, sales, insurance, cigarette, alcohol and fuel taxes.

Originally founded to ensure that county property tax assessments were uniform throughout the state, the board’s duties and responsibilities have expanded to include regulatory power over income, franchise, sales and use tax appeals issues, as well as the ability to provide interpretations of how various state laws are applied.

Tax dollars from board-administered programs support hundreds of state and local government programs and services, including schools and colleges, hospitals and health care services, and criminal justice, correctional and social welfare programs.

But perhaps even more importantly, particularly for the Asian American community, is that four of its five members are Asian American: Betty Yee, Judy Chu, Michelle Park Steel and Controller John Chiang. The majority — three out of five — are in fact APA women — a first for any statewide body in the nation. Each board member is elected from districts throughout the state, while the ex-officio member, the controller, is elected by the state at large.

This Asian American team will guide 35 percent of the resources of California. Their presence clearly carries paramount political implications — the Asian American members affectionately and jokingly call board member Bill Leonard “our token white male.”

“The election of three Asian American women to the California Board is a phenomenal giant leap forward for APAs in politics. It is evidence of the political maturation of the APA community, as well as recognition by the general electorate that Asian Americans are no longer a marginalized minority,” noted professor Tim Fong, director of the Asian American studies, at the California State University, Sacramento. ‘It seems like the beginning of a major shift in California politics. The projections by academics and political pundits that APAs as “the sleeping giant” in politics is starting to show some validity.”

Some also feel that these impressive victories highlight the strengths of the Asian American community. Community members characterize the newly elected BOE members as patient, and seeking to rule by consensus, driven by a common desire to improve society.

“I think the recent BOE election victories reflect our ‘Asian heritage and work ethic,’” commented Matt Fong, the first Asian American male to be elected to statewide California office [treasurer] and a former BOE member. “We are now assaulting the upper echelons of partisan politics in both parties as well as other APA communities.” Fong cites Park Steel, a Korean American republican, as a prime example of someone who pushed out more well-known republicans to win the seat. “It is testimony to the raw political skills she brings to [the] office, similar to her new colleagues. APAs will be the guiding fiscal force of the sixth-largest economy in the world. They will have an impact that will be felt globally.”

Fong also thinks there is a heavy generational influence among Asian Americans, in which one generation inspires and mentors future generations. He fondly recalled how his grandfather, Man Q. Fong, was the first Asian American asked to serve as an auditor for the BOE to explain the new sales tax when it was established back in the 1950s to the Chinese community. Fong’s own mother, March Fong Eu, was the first Asian American to hold statewide elected office as Secretary of State.

Fong noted that when he left the Board of Equalization to run for statewide office an opportunity was given to John Chiang to seek and ultimately win that seat. As Chiang was elected controller last November, Judy Chu, in turn, won Chiang’s vacated seat on the BOE. Meanwhile, Chu’s vacant California Assembly seat was won by her husband Mike Eng.

Henry Der, former executive director of Chinese For Affirmative Action, observed: “[The board members] have in common, even though they may be from different political parties, an unshakeable commitment to make government accessible and responsive to everyday Californians, including those who are immigrants and may not speak English well. [Being Asian American], their propensity to achieve consensus on difficult decisions … will impress Californians that consensus decision-making is doable and highly desirable.”

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