Capitol Enquiry, Inc. is pleased to announce its new partnership with RAND California, a subscription-based service on California economic and public policy issues. A discounted subscription rate is available for Capitol Enquiry customers. More information on RAND is available here: http://ca.rand.org/about.html. To subscribe to RAND, visit this page: http://ca.rand.org/subscribe.capenq.html.

As always, we encourage feedback on our newsletter and letters to the editor. Send feedback to webmaster@capenq.com and letters to letters@capenq.com.

Have a great week!

-Gabe

*************************** ADVERTISEMENT *************************** YOUR AD HERE! Want to send a message to hundreds of individuals each week? Place your ad here! This newsletter is not spam, so everyone who receives it has asked for it. For rates and other information on advertising, drop a message to ads@capenq.com. *********************************************************************

From the environmentalists' perspective, the first ominous signal occurred even before Davis took office: He appointed a 33-member advisory panel to offer guidance to his new administration on water and agriculture issues. But the group was dominated dramatically by growers, water contractors and water district executives; the lone environmentalist was dramtically outgunned.

Then came the decision by Davis' new Resources Secretary Mary Nichols, the governor's top environmental adviser, to unilaterally withdraw a court filing submitted by former Gov. Pete Wilson's administration on behalf of growers in a dispute involving some 800,000 acre feet of Central Valley Project water.

Nichols, who has strong environmental credentials as a founder of the Environmental Defense Fund, former head of the Air Resources Board and a top federal regulator in the Clinton administration, wanted to review the issue before committing the new administration to a position. But the growers complained and Davis, according to published accounts, dressed Nichols down and ordered a similar filing resubmitted. Aside from humiliating Nichols, Davis' action outraged environmentalists, who began to harbor deep suspicions about the new governor.

And now comes the end-game maneuvering over the state-federal Headwaters Forest purchase, a $480 million deal aimed at protecting thousands of acres of old-growth redwoods by turning a piece of the forest into a public preserve. The deadline for the deal is March 1.

Environmentalists familiar with the negotiations believe the deal does not provide adequate protection to the other 200,000 acre-plus lands owned by Pacific Lumber Co., which owns the Headwaters property. They have opposed the proposal on the grounds that the protection doesn't go far enough: It should encompass the entire 66,000-acre Headwaters Forest Complex, they say, not just the 10,000 acres covered in the proposal.

But Capitol and environmental sources say there has been heavy pressure on Davis from U.S. Sen. Dianne Feinstein -- the conservative Democrat who brokered the tentative accord -- to get the deal consummated in terms that are favorable to Pacific Lumber. And they believe Davis is bending to that pressure. If that proves to be true, it could mark a major break between Davis and the environmentalists who once, however cautiously, supported him.

That, in turn, could result in significant political damage to the new governor: The normally fractious environmentalists, when they focus on a single issue, wield considerable public clout in California, particularly in the north state. The last thing Davis needs is a prolonged dispute with the highly vocal environmentalists.

Finally, Davis faces a major decision on the future of a fuel compound called MTBE, which is put in gasoline to make it burn cleaner to protect air quality. A pair of hearings is scheduled later this month -- the first is this week in Diamond Bar, the second is next week in Sacramento -- to consider scientific evidence on whether the controversial compound should be banned. By law, Davis is required to issue a decision on the issue by early next month. His decision, whatever it may be, is all but certain to spark new controversy.

No one ever said being governor was going to be easy. In the environmental arena, at least, Davis is finding that out.

RAND California, a subscription-based service on California economic and public policy issues, has parterned with Capitol Enquiry to bring you a discounted subscription rate. More information on RAND is available here: http://ca.rand.org/about.html. To subscribe to RAND, visit this page: http://ca.rand.org/subscribe.capenq.html.

*** Committee Rosters Now Online ***

You asked for it, you got it! The current listings for both Assembly and Senate committees are now available through our Web site. Point your browser to http://www.capenq.com/gov/info.html for links to the rosters.

*** Current Legislative Roster Available on Web Site ***

Looking for the current roster of the Assembly or Senate? Head on over to http://www.capenq.com/gov/info.html for links to the current lists -- complete with district, member name, party, room and phone number.

*** 1999 Pocket Directory Available For Order ***

Stay up-to-date on Legislative contact information. Order the newest edition of "the little red book" today! Place your secure online order through our Web site: http://www.capenq.com/order. Ships March 1999.

*** Wall Map Options ***

Looking for a poster-size map of California Legislative districts? We currently offer two types of maps. The first style is a full-color map with photos around the edge ($16.95). The other option is a blue and white line map of either the Senate, Assembly or Congress ($35 each or $50 each for laminated). Contact mailto:info@capenq.com for more information, or mailto:orders@capenq.com to place your order.

*** Secure Ordering ***

All '99 publications are available for order online. Place your SECURE online order today! Surf on over to http://www.capenq.com/order.