12/23/2008 GAAS:845:08 FOR IMMEDIATE RELEASE Print Version |
Gov. Schwarzenegger Highlights Job, Economic and Public Safety Ramifications of Legislature’s Failure to Pass a Comprehensive Budget Solution
|
|
At a Natomas levee project site in Sacramento, Governor
Arnold Schwarzenegger today highlighted the job, economic and public safety
ramifications of the legislature’s failure to pass a comprehensive budget
solution. The legislature’s inaction caused the state Pooled Money Investment
Board (PMIB) to vote last week to stop $3.8 billion in state infrastructure
financing over the next six months - including the halting of $234 million in
financing for the Natomas Levee Improvement Program, which includes some of the
most vulnerable portions of the Natomas levee system. Due to the legislature’s
continued failure to provide a comprehensive budget solution, 2,000
infrastructure projects in California valued at more than $16 billion are in
jeopardy, and tens of thousands of California jobs are immediately at
risk.
“Last week the legislature asked Californians to pay
higher taxes and fees without making a real attempt to put Californians back to
work and help them keep their homes. Because of the legislature’s continued
failure to pass a comprehensive budget solution, state funding for
infrastructure projects like the Natomas levee has been stopped - leaving the
community in harm’s way and halting much needed job creation and economic
stimulus across California,” said Governor Schwarzenegger. “The time for
political posturing is over - it’s time the state legislature starts solving
problems instead of creating even bigger ones.”
The
Natomas levee system shields 80,000 people from the Sacramento River and is so
vulnerable that area building permits are not being issued until it is fixed.
This levee project is part of the Natomas Levee Improvement Program spearheaded
by the Sacramento Area Flood Control Authority. Due to the legislature’s
inability to resolve California’s budget shortfall, $190 million Proposition 1E
and $44 million Proposition 84 funding for this project has been halted. The
ramifications of this halt include but are not limited to leaving the Natomas
community in harm’s way for an increased period of time, the potential loss of
federal matching funds for levee improvement and the loss of much needed
regional job and economic stimulus brought by infrastructure investment. Due to
the legislature’s inability to resolve our budget shortfall, funding for 2,000
other projects across California is in jeopardy. (For a list of all
infrastructure projects that could potentially be affected, please see the
attached list).
Last
week Governor Schwarzenegger declared he would veto the budget bills passed by
the legislature because they fail to provide real solutions for California’s
budget crisis and also fail to provide economic stimulus and mortgage relief
for California. On November 6, 2008, the Governor presented a budget
proposal to the legislature that would address all such issues.
