Holden’s local-state investment partnership program approved by assembly committee
Assemblymember Chris Holden’s bill to promote economic development and revitalize communities has been approved in the Assembly Local Government Committee.
AB 294 creates a Joint Investment Partnership Program whereby the state can partner with local governments to invest in up to 25 critical infrastructure projects that an economic analysis determines will result in a net gain of general fund revenues over the life of the investment.
“California lacks an economic development plan and strategy to revitalize communities,” Mr. Holden explained. “This bill creates a pilot program to reform the way public works projects are financed. It’s part of the discussion on how best to revitalize California’s communities.”
All financing for public works projects would have to be approved by the Infrastructure and Economic Development Bank (I-Bank). Among the public works projects that could be considered are city streets and county highways, sewage collection and treatment, water treatment, water supply and flood control, educational facilities, parks and recreation facilities and solid waste collection and disposal.