UNTHAWING THE SHOVELS: UPDATE ON EFFORTS TO END FREEZE OF BOND-FUNDED CONSERVATION PROJECTS
Back in December, California's Pooled Money Investment Board (PMIB) voted to freeze $3.8 billion in payments to projects receiving state bond funds, bringing hundreds of environmental projects across the state to a grinding halt. The move was prompted by the state budget stalemate and the global credit crunch, which conspired to lock California out of the bond market.
This week the bond freeze saga took a slightly positive turn with a string of public announcements and hearings on efforts to get funds flowing again andget people back to work.
On Monday, State Treasurer Bill Lockyer announced that he would be going to the marketwith the first bond offering since last June. That's great news. Since the bond freeze is a result of the state's decision to stop selling state general obligation bonds, the new plan, if successful, could signal the start of a turn around.
On Wednesday, the Assembly Budget Subcommittee on Natural Resources held its first hearing focused on the bond freeze and its effects. Subcommittee Chair Ira Ruskin and other members of subcommittee heard testimony from the Legislative Analyst's Office (LAO), the Department of Finance, and several state agencies responsible for administering bond-funded grants. The news from the LAO and other agencies was grim at best. With predicted deficits expected when the Governor issues his May budget revision to account for actual tax revenues received by the state, the subcommittee was advised that tougher budget choices lay ahead. The Department of Finance and the LAO were also quick to clarify that next week's offering could not un-freeze all of the frozen projects. In fact, given the state's obligations and debt, hardly any of the bond proceeds will be directed toward natural resources-related grants. The agency representatives were followed by a stream of witnesses describing how the bond freeze has devastated their projects, their organizations, and their communities.
Later that afternoon, the PMIB met to learn about the Treasurer's bond offering and hear public testimony relating to the bond freeze.
Finally, on Tuesday, the State Water Resources Control Board committed to use more than $70 million of federal economic stimulus funds to support currently frozen projects. While that's a small portion of the total frozen projects, every bit helps!
We're holding out hope that Treasurer Lockyer will have a good week in the market and that this will mark the beginning of the road - albeit a long one - back to work for many in the conservation community who have dedicated themselves to protecting our state's critical habitat, cleaning up contaminated groundwater supplies, and restoring watersheds which bring drinking water to millions of Californians.
However, since we know that despite what happens next week, the freeze on conservation projects will last for many more months, PCL will continue working with local affected organizations to find alternative funding sources. To learn more about this effort visit the ReSeed California website athttp://stopworkimpact.ning.com/.
MARCH IN MARCH: L.A. MOBILIZES TO SUPPORT INTERNATIONAL MOVEMENT FOR WATER JUSTICE
On Sunday March 22nd, thousands of people will march in the streets of Los Angeles to draw attention to the current crisis stemming from mismanagement of the state's public water resources and the one billion people across the world without access to safe drinking water.
The march is just one of hundreds planned around the globe as part of World Water Day. This year, the international community is calling upon the United Nations to add a 31st Article to the Universal Declaration of Human Rights, establishing access to clean and potable water as a fundamental human right.
The L.A. March for Waterwill leave Los Angeles State Historic Park at 10am and cover a three mile route to the Water Celebration and Fair.
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