Support for Perata Bill

By Michael Lawson

Infrastructure is a hot topic in Sacramento, offering hope that California's long-neglected public facilities could be in for a serious fix.

This summer, the governor and legislative leaders agreed that fixing the state's infrastructure is a top priority. Now that the special election is behind us, the drive to deal with infrastructure is gearing up.

Senate President Pro-tem Don Perata's bond proposal - developed originally as a way to finance the completion of the Bay Bridge - is back in play, and has been increased to $11.3 billion. The governor is discussing a larger bond proposal to fix freeways, ports, levees, schools, and hospitals.

The Los Angeles Times says this proposed statewide public works program may be financed by a bond sale so large it would dwarf previous state borrowing. This could be the biggest public works expansion in California since the 1960s. Details, and even the size of the bonding proposal, have not been worked out.

We believe this is exactly the kind of undertaking California needs to preserve our past investment and deal with the state's relentless population growth.

The governor is expected to unveil his proposal during the State of the State address in January, and he also is expected to propose a variety of funding approaches, including public-private partnerships. Assembly Speaker Fabian Núñez also has indicated that infrastructure is a priority for the next session.

The Perata bill, which is the only fleshed-out proposal at this point, includes:

• $2.5 billion to improve the state's ports and trade corridors,
• $1.2 billion for flood protection and levee work
• $2.3 billion for transportation projects delayed by Prop. 42 suspensions, and
• $1 billion for high-speed rail.

An infrastructure bond could appear on the ballot in June or November. Concern has been expressed about a large measure appearing alongside numerous local-option sales tax measures that will be on '06 ballots.

Regardless of the infrastructure bond proposals, we need to support local sales tax measures and be sure that Proposition 42 funds are not shunted to other programs. It remains critical that there be full funding for Proposition 42 in the 2006-07 budget. There should be no question about it now that the legislative analyst has reported a much brighter fiscal situation in California this year, and projects that trend continuing in the coming fiscal year.

The Legislative Analyst reported that the state's improved revenue projections, coupled with savings in the 05-06 spending plan, will leave the state with a reserve at the end of this year of about $5.2 billion, up by nearly $4 billion from the earlier estimate.

Lawson is executive director of Transportation California.