California voters today rejected a measure to cut state income taxes in half and defeated two other ballot propositions that had dominated the California campaign.
The defeat of the Howard Jarvis-sponsored Proposition 9, the income tax cut, may have signaled the end to the taxpayer revolt that began here two years ago with passage of Jarvis' Proposition 13, which substantially reduced property taxes.
With 20 percent of the state's precincts reporting, the tally was 459,247 or 37 percent in favor, and 786,411, or 63 percent opposing Proposition 9.
The other initiative that were apparently defeated were a landlord-sponsored measure designed to curb local moves toward rent control and a measure that would have imposed a 10 percent tax on major oil company earnings in the state. More than $6.2 million was spent in support of the rent control measure, while more than $5.6 million was spent to defeat the oil tax measure.
Jarvis, the architect of Proposition 9, refused to concede defeat shortly after the polls closed in California. But his campaign manager, Harvey Englander, conceded that the measure appeared to have lost.
Jarvis, however, did say that if his proposition was beaten, it was due to the efforts of the public employe unions that played a key role in financing the $1.5 million campaign against his initiative.
Jarvis announced that work would begin Wednesday on another initiative, which he said would be designed to cut down the size of the public employe work force in California. Jarvis hinted that his new initiative may be a public employe pension. Jarvis claimed that the loss of Proposition 9 did not mean the end of the tax revolt here.
"We lost the battle of Pearl Harbor and came back to win it," Jarvis said. "We lost 13 three times and we eventually won it. We'll win this one, too."
Jarvis' opponents, including top aides of Gov. Edmund G. (Jerry) Brown Jr. and leading public employe union spokesmen, were openly saying that the Proposition 9 defeat marks a major watershed -- defeat of the tax revolt and the demise of Jarvis as a force.