California Democrats Sideline Gavin Newsom’s Plan to Build Big Things Faster

Dealing a blow to Gov. Gavin Newsom, Democratic legislators today shot down his ambitious attempt to reform state environmental law and make it easier to build big infrastructure projects in California. 

In a 3-0 vote, a Senate budget committee found Newsom’s package was too complex for last-minute consideration under legislative deadlines. The cutoff for bills to pass out of their house of origin is June 2, just two weeks after the governor rolled out his proposal to adjust the landmark California Environmental Quality Act.

The 10 bills include measures to streamline water, transportation and clean energy projects with an eye toward helping the state meet its climate goals. The proposals also took aim at an environmental law commonly referred to by the acronym CEQA that critics have long decried as a tool to bog down housing and other projects. 

The committee members – two Democrats and one Republican – said no, for now, even as they expressed support for Newsom’s overarching goal.

“The overwhelming agreement is that we need to build clean faster and cut green tape,” said Committee Chair Sen. Josh Becker, a Democrat from San Mateo. “That’s been a legislative priority for me and will continue to be a legislative priority. Although today we are rejecting the governor’s trailer bill proposals based on process, as seven days is insufficient to vet the hundreds of pages of policy nuance in these proposals, we look forward to working with the administration on all of these critical issues.”

Sen. Mike McGuire, a Democrat from Santa Rosa, and Sen. Brian Dahle, a Republican from Redding, also voted no.

That setback, served to Newsom by two Democratic allies, came just hours after the governor expressed confidence his package would prevail.

“I am proud of the Legislature on what we have achieved. I am confident that they will deliver on this,” he said, speaking during an event in Richmond today intended to highlight the state’s renewable energy achievements. 

That vote doesn’t mean Newsom’s infrastructure proposal is dead. His bills could return to Senate or Assembly committees in budget negotiations over the next few weeks. Or Newsom could instead re-introduce them through the Legislature’s policy committees, where they would go through a lengthier process of public comments, discussion and votes.

“The governor is committed to getting this proposal passed so California can maximize its share of federal infrastructure dollars and fast-track clean energy, transportation and water projects that deliver results for all Californians,” Daniel Villaseñor, deputy press secretary for the governor’s office, said in an emailed statement.

Gavin Newsom’s pitch for building big things

Newsom spoke plenty about his infrastructure legislation earlier in the day in Richmond, during an event that quickly morphed into an exhortation about the urgency of passing his proposal. 

“Enough. We need to build, we need to get things done,” Newsom said. “This is not an ideological exercise. We don’t have time. We gotta go.” 

Newsom said that streamlining legal review of clean energy projects is imperative if the state expects to reach its ambitious climate goals. Newsom cited a solar project that has taken 13 years to work its way through agency bureaucracy, a timeframe he called “absurd.”

His legislation proposed a fixed 270-day permitting process for some projects and 270 days for judicial reviews.

“If we don’t build, democracy is crushed,” Newsom said. “They say we can’t get things done anymore. We need to get moving and get ourselves out of the way.”

His package of bills would shorten the amount of time certain projects – namely water, transportation, clean energy and semiconductor or microelectronic projects – could spend in court. It also would have limited the amount of records parties involved in CEQA litigation would have to produce. Typically, preparing the required records for such lawsuits takes between four and 17 months, according to a document published with the bill.

Environmental groups against fast CEQA changes

But Newsom’s ideas to water down the state’s landmark environmental law immediately drew criticism from some environmental groups, including Sierra Club California and Restore the Delta.

Several groups also called into today’s hearing to express their concerns.

“This is moving in the wrong direction for protections for the environment,” said Deirdre Des Jardins, director of California Water Research. “We urge the Senate to completely reject the governor’s proposed trailer bill language. Frankly, there was no reason to spring it on the legislature or the public so suddenly and at the end of the legislative session.”

In voting down Newsom’s infrastructure package, Becker made it clear that he was not against the governor’s goals. But he and the other committee members determined the bills should face additional review instead of speeding through the budget committee. 

Click here to read the full article in CalMatters

California Should Build Infrastructure, Not Shame Water Users

 After returning from a recent trip to the rainy Pacific Northwest, I opened the faucet and instead of hearing rushing water I heard only the dreadful coughing sound one gets from empty pipes. Fortunately, my well hadn’t gone dry, but some mechanical part in the pump had given out.

Still, few things are as frightening as running out of water. Our well was running in 24 hours, but that was a long day of using bottled water and rationing the use of toilets. It reminded me of the disaster that awaits if California can’t fix its shortages before it rains again. By the way, it was creepy driving past Mt. Shasta and noticing its non-existent snowpack.

The state always has been plagued by alternating droughts and floods. “California summers were characterized by the coughing in the pipes that meant the well was dry, and California winters by all-night watches on rivers about to crest,” wrote Joan Didion in her 1977 essay, “Holy Water.” Living near California’s last undammed river, I’ve spent long nights watching the Cosumnes overcome the aging levees.

Counterintuitive as it sounds, policy makers spend too much time worrying about how much water Californians use to run their households – and too little time figuring out how to bring more water into our system. The state hasn’t built significant water infrastructure since Didion penned that essay – when the state had 17.6-million fewer residents.

Five years ago, Jerry Brown announced the official end of a grueling six-year drought. Other than passing resolutions to “make conservation a way of life,” the former governor didn’t do much to improve the situation. After rains resumed, interest waned in fixing our water supply issues.

These days, the Newsom administration and Legislature have done little more than engage in water shaming. They want to badger us into using less water, as the state imposes tougher water-use standards on water districts and some districts (especially in the Bay Area) embrace water rationing.

Conservation is, of course, a good idea – and local districts that manage depleted reservoirs perhaps have no choice but to issue water-use edicts. But there’s a better way forward than encouraging people to report their water-wasting neighbors to the authorities.

“Since the drought emergency was declared in July 2021, Californians have reduced water usage by 2 percent, far below (Newsom’s) goal of 15 percent,” the Los Angeles Times reported this month. “You’re not saving enough water, Southern California,” blared a July Orange County Register article noting that, “draconian measures may be coming to stop folks from watering all those begonias.”

Begonias aren’t the problem. Californians and other residents of the parched Western states have indeed been conserving water. It is a way of life and has been for years. In the 1990s, Californians used around 200 gallons per capita per day (down from 220 in the 1980s), but now use around 48 gallons per capita per day – below the statewide standard of 55.

My favorite statistic comes from far drier Arizona, where Arizonans use less total water than they did in 1957 – when that state had one-seventh its current population. There’s no need to shame Westerners for their water usage, but there is reason to shame our officials for not doing their part to upgrade and build new water infrastructure.

Newsom was elected in 2018, and only this week did he reveal his plan for the Delta tunnel. “After three years with little to no public activity, the state released an environmental blueprint for … a 45-mile tunnel that would divert water from the Sacramento River and route it under the Sacramento-San Joaquin Delta so that it can be shipped to farms and cities,” the Sacramento Bee reported.

The now-single tunnel proposal will not provide more water, but will assure more reliable deliveries. The Sacramento River flows into the Delta, where it gets mired in hundreds of miles of waterways before the water is pumped southward. Administrators frequently shutter the pumps when a Delta smelt is found in the fish screens.

Environmentalists are aghast at the plan. They predict an environmental catastrophe, yet currently – thanks to saltwater intrusion from the Pacific Ocean and subsidence (sinking land) – that beautiful region is suffering from a slow-motion environmental mess. The plan will also fund habitat restoration.

Where are the plans to bolster our water-storage capacities? Why can’t California prepare for the future? Recently, the California Coastal Commission rejected a desalination plant that would have met 12 percent of Orange County’s water needs. Newsom supported it, but didn’t expend much political capital to assure its approval.

Click here to read the full article in the OC Register

California Receives Initial $58 Million from DOT for High Speed Rail Transit, Cycling ‘Infrastructure’ Projects

Funding ‘was really supposed to repair and maintain current infrastructure’

Senators Dianne Feinstein (D-CA) and Alex Padilla (D-CA) announced on Friday that the Department of Transportation (DOT) has given its first grants from the recently passed $1 Trillion infrastructure bill to California, with $58 million going to transportation projects in Northern California and to the California High-Speed Rail Authority.

The California High-Speed Rail Authority was the biggest recipient of the Rebuilding American Infrastructure with Sustainability and Equity Grant Program, receiving $24 million to expand state route 46 in the Kern County city of Wasco to be a staging and storing area. Another $18 will go to the San Francisco County Transportation Authority (SFCTA) for an earthquake retrofit of the Yerba Buena Island west side bridge, as well as greater access to the bridge for cyclists.

Oakland will receive $14.5 million to enhance their civic hub by improving walking, cycling, and public transportation projects, with a special focus on connecting Oakland with San Francisco via rail lines such as BART and Amtrak. Finally, the Yolo County Transportation District (YCTD) will get $1.2 million to fill in gaps of their current transportation system, as well as to improve bike and walking networks.

Both Senators noted on Friday the importance of these early infrastructure funding blocks.

“My thanks to Secretary [Pete] Buttigieg and the Transportation Department for these grants that will help California continue to modernize our transportation infrastructure,” said Senator Feinstein. “These projects include providing safer, more connected bikeways and walkways in San Francisco; assisting the City of Wasco with creating safer railway infrastructure; and connecting biking and walking paths in Oakland and Yolo County. Promoting cleaner, safer modes of transportation is a key part of improving California’s infrastructure.”

An initial $58 million in infrastructure funds

Senator Alex Padilla (Photo: Gage Skidmore)

Senator Padilla, who has served less than a year as Senator, also noted that “From day one, I have worked to ensure that we use our infrastructure investments to help reconnect our communities, and I am proud to see federal efforts to do just that. From San Francisco to Wasco, this critical funding will help make our roads and bridges safer, help decongest our highways, and allow for more Californians to access our outdoor trails. As we continue to make significant investments in our state and nation’s aging infrastructure, I will continue to advocate for funding that serves our most in-need communities.”

However, many critics and experts criticized the funding on Friday for favoring bike projects over safety and repair projects.

“Whether you wanted the bill to pass or not, the point is we have it now,” San Diego-based urban planner and transportation planner Michael McGuiness Jr. told the Globe Friday. “But that was really supposed to repair and maintain current infrastructure, or build new pieces as needed. Instead, California gave a hint at where its money would be going today by putting most of it into mass transit and cycling. There was a needed bridge project in San Francisco, but that’s really about it. The largest chunk even went into the high-speed rail project, which is billions over budget and years behind schedule. So a lot is going into a future white elephant.”

“Plus, they largely ignored huge swats of the state, including all of California south of Bakersfield and north of the Bay. At first glance, these grants don’t look like they’re fairly going out.”

More grants and funding coming into California for infrastructure projects are expected to be announced soon.

This article originally published in the California Globe

California Drought: Proposed Ballot Measure Would Fast-Track Construction of Dams, Desalination Plants and Other Water Projects

California has not built enough new reservoirs, desalination plants and other water projects because there are too many delays, too many lawsuits and too much red tape.

That’s the message from a growing coalition of Central Valley farmers and Southern California desalination supporters who have begun collecting signatures for a statewide ballot measure that would fast-track big water projects and provide billions of dollars to fund them — potentially setting up a major political showdown with environmentalists next year shaped by the state’s ongoing drought.

The measure, known as the “Water Infrastructure Funding Act of 2022,” needs 997,132 signatures of registered voters by April 29 to qualify for the November 2022 statewide ballot.

If approved by a majority of voters, it would require that 2% of California’s general fund — about $4 billion a year — be set aside for projects to expand water supplies. Those could include new dams and reservoirs, desalination plants, recycled water plants, and other projects like upgrading canals and pipes.

The money would continue flowing each year until 5 million acre-feet of new water supply was created, an increase of about 13% in the roughly 39 million acre-feet used in an average year by all the state’s residents, farmers and businesses. That could take several decades and cost $100 billion, according to an analysis by the non-partisan State Legislative Analyst’s Office.

“We think conservation has an important role to play,” said Edward Ring, a spokesman for the campaign, known as More Water Now. “But you can’t get there any more just with conservation. If you want to be resilient against a prolonged drought, you have to have new supplies.”

Click here to read the full article at Mercury News

Finding Common Ground in California

In California, environmental regulations have brought infrastructure investment to a standstill. Without expanding energy, water, and transportation infrastructure, it is nearly impossible to build housing, the cost-of-living is punitive, water is rationed and food is overpriced, the overall quality of life is reduced, and money that ought to be paying skilled workers to operate heavy construction equipment instead goes into the pockets of environmentalist lobbyists, bureaucrats, litigators, and activist nonprofits.

Californians nonetheless agree that infrastructure, as it is traditionally defined, needs new investment. Freeways, bridges, railroads, dams, aqueducts, seaports, airports, transmission lines, pipelines; all of this needs to be maintained and upgraded.

But despite agreement on the goal, more than ever, solutions are filtered through the lens of polarizing ideologies. What is today’s definition of infrastructure? Is it physical assets, or something more ephemeral? Do infrastructure priorities have to be established based on restoring race and gender equity, or by concerns about climate change? Should some infrastructure be deliberately allowed to deteriorate, to avoid “induced demand” and the unsustainable consumption that would result?

Debate over these questions has paralyzed California’s politicians. Navigating a pathway out of this paralyzing morass takes more than just compromise, it takes the courage to adhere to controversial premises. Chief among these is to reject the idea that legislated scarcity is the only option to combat climate change. In every critical area of infrastructure there are solutions that can enable a future of sustainable abundance.

For example, Californians can rebuild their energy infrastructure in a manner that doesn’t violate environmentalist principles, but instead balances environmentalist concerns with the interests of its residents. Why aren’t Californians, who in so many ways are the most innovative people in the world, approving and building safe, state-of-the-art nuclear power plants? Why aren’t they developing geothermal power, since California has vast untapped potential in geothermal energy? Why haven’t California’s legislators revived the logging industry they have all but destroyed, and brought back clean power plants fueled by the biomass of commercial forest trimmings?

Californians can also rebuild their water infrastructure by adopting an all-of-the-above approach. They can build massive new off-stream reservoirs to capture storm runoff. Even in dry winters the few storms that do hit California yield surplus water that can be captured instead of allowed to runoff into the Pacific. These off-stream reservoirs could also feature forebays from which, using surplus solar electricity, water could be pumped up into the main reservoir, to then be released back down into the forebay through hydroelectric turbines to generate electricity when solar electric output falters. Why aren’t Californians recycling 100 percent of their urban wastewater? Why aren’t they building desalination plants?

These are solutions that may not be perfectly acceptable to environmentalists, but they’re also not hideous violations of environmentalist values. They should be defended by their proponents without reservations, but also with a willingness to spend extra to mitigate what can be mitigated. Civilization has a footprint, and we can only pick our poison. The solutions favored by environmentalists, such as wind turbines, battery farms, EVs, biofuel plantations, and solar farms, have environmental impacts that are arguably even worse than conventional solutions.

Another potentially polarizing issue – achieving “equity” with infrastructure – doesn’t have to be dismissed by proponents of practical infrastructure investment. If the pipes in Los Angeles public schools are still leaching toxins into the water students would otherwise be drinking, then invest the money and fix the pipes. If inadequate funding for water treatment plants in low income communities in California’s Central Valley mean they are not operating, or cannot expand their operations, then increase the funding. But at the same time don’t lose sight of the fact that if there is more energy, and more water, that will benefit everyone, especially low income households, no matter where they are and no matter what other challenges they may confront.

Finally, it shouldn’t be controversial to restrict discussions of infrastructure to infrastructure, but it is. Here is an area where, once again, establishing the terms of the discussion require adhering to a controversial premise, which is that discussions of “infrastructure” need to be restricted to the traditional definition. Basic infrastructure, offering surplus capacity instead of scarcity in the critical areas of energy, water and transportation, creates the solid foundation upon which all the other amenities of a prosperous and equitable society may flourish.

This article was originally published in the California Policy Center

Why California’s Dams are Breaking

Oroville Dam 2Here’s a study you may find interesting:

Among all states, California spends the lowest percent of its budget on infrastructure, according to a report last year from the Center for Budget and Policy Priorities.

The Golden State invested only 3.3 percent of its budget in 2013 on infrastructure, one of only three states that spent less than 4 percent. Texas, the most comparable state in size and population, spent almost twice as much at 6.4 percent.

We can easily see the result of this neglect. California’s roads and bridges are among the worst in the country, and the Oroville dam’s two spillways, when finally called upon to work in February, were quickly rendered useless, creating the potential for a devastating flood.

Incredibly, the state was warned in 2005 that the emergency spillway at Oroville was totally inadequate. Three environmental groups pointed out that because the spillway is a hill of bare dirt and not covered in concrete, that dirt would quickly erode as soon as water hit it, creating a potential lake-draining catastrophe. And that is exactly what happened, forcing officials to evacuate nearly 200,000 people downstream.

Despite the warning, the state chose to do nothing for 12 years. For that matter, the state has done little over the years to capture more water to supply the increasing population. That means a good deal of the heavy rainfall from this winter is draining into the ocean.

To his credit, Gov. Jerry Brown did admit recently that the state has not spent what it should on infrastructure and there is now $187 billion worth of unmet needs. Continued failure to invest, he said, could lead to an “apocalypse and absolute disaster.”

And to their credit, the state’s business community has long pushed for more infrastructure investment, seeing it as the foundation for a sound economy.

So now everyone agrees that something needs to be done. The only real question is how it will all be paid for. You can almost predict where this is headed: The legislature will push for some kind of tax increase. Even though the state has a record general fund budget and even though legislators have diverted money from infrastructure for years, the statehouse gang will cry that they just don’t have the money to pay for it all. Lack of money. That’s the problem, they’ll say.

Well, here’s another study you may find interesting:

Among all states, California collects the sixth-highest amount of tax money on a per capita basis, according to the Tax Policy Center, a left-leaning think tank.

In other words, the state already taxes its people and businesses heavily. Money is not the problem. Spending is the problem.

ditor and publisher of the San Fernando Valley Business Journal.

This piece was originally published by Fox and Hounds Daily

To Prioritize Infrastructure, Consider All State Spending

Infrastructure constructionNotable in the reaction to Governor Jerry Brown’s Friday press conference outlining money for dam and water infrastructure, while declaring the need for California to tackle all its infrastructure backlog, was the response from one of the leaders of the fight for improved infrastructure. California Business Roundtable president Rob Lapsley issued a release echoing the governor’s call on structural improvements and cost, but focused on “the real issue at hand” — state spending.

Everyone agrees that California infrastructure needs repair and the money to make those repairs happen. The debate is over how to fund repairs and build projects.

Negotiations on reaching a deal on funding infrastructure improvements have been going on for some time and business community leaders have been deeply involved. Meanwhile, the more open debate on infrastructure funding continues with the capitol generally separated into two camps, one headed by Democrats who want tax increases and the other by Republicans who want to redirect current funding for infrastructure purposes.

However, Lapsley broadened the debate by discussing overall state spending as part of a larger fix for funding the state’s priorities.

Laplsey wrote, “California is one of the highest taxed states in the nation and, even after passing even more taxes through Prop 55 last November, the state is effectively out of money. We have record general fund and special fund revenues, but it has been decades since infrastructure investment was a priority in our state budget.”

While pledging to support the Brown Administration’s efforts to secure infrastructure dollars from Washington, Lapsley wrote, “we need an honest rational discussion in the Legislature on how to pay for state salaries, pensions and pension debt, health care, dams, flood control, roads, transit, schools and other infrastructure needs while expediting solutions through real regulatory reform that apply to all economically important projects, and not just the politically favored few.”

California’s infrastructure, as California Chamber of Commerce president Allan Zaremberg noted in a release tied to the governor’s press conference, “is a key component of maintaining and improving California’s economy for everyone’s benefit.”

Simply put, infrastructure improvements must be a priority of state spending because the improvements benefit all Californians economically and on safety issues.

Lapsley rightly points out infrastructure has been a low priority for California lawmakers for some time. That has to change.

The change will have to include discussing spending on all other programs in this high tax state. We must consider the spending on pensions and salaries and debt and all the issues Lapsley raised if we are to focus attention on the paramount needs of infrastructure. In the end, improving infrastructure would advance the economy, which in turn would benefit all the other areas funded by the state budget.

Editor of Fox & Hounds and President of the Small Business Action Committee.

This piece was originally published by Fox and Hounds Daily

California Needs Infrastructure, and Unions Should be Helping

Road work“Infrastructure” is a perennial topic that enters and leaves California’s public consciousness in the following manner: A politician says “we must rebuild our crumbling infrastructure,” journalists report it, almost nothing is done, and the infrastructure continues to crumble. The talking point is made. Check the box. Repeat. Decades pass.

If you’ve driven west on Interstate 580 from California’s central valley into the San Francisco Bay Area, “infrastructure” becomes more than a hard-to-pronounce, sort of awkward sounding four syllable word that emanates from the mouths of politicians every election cycle. Because the divots, pot-holes, fissures and bumps on Interstate 580 west are impossible to ignore. The road is literally falling apart.

It isn’t enough to marvel at how Californians tolerate this negligence. Because it harms our quality of life. Today the failure is measured in terms of how many cars and trucks require far more frequent maintenance to repair their battered suspensions because we can’t fix our roads. Today it’s short showers and annoying light switches that turn off automatically because we won’t build new water and power infrastructure. But tomorrow it could be a catastrophe, as entire regions are potentially denied water, power or transportation, because over time, less and less viable infrastructure became critical to supporting more and more people.

Why? Why have California’s policymakers paid lip service to infrastructure for the last 20-30 years, all the while watching it crumble? Here are three reasons:

(1) Environmentalists provide the moral cover for neglect. There isn’t a road, a bridge, a power plant, a port upgrade, new housing, a water treatment plant – not one scratch in the ground that isn’t bitterly contested by the environmentalist lobby. Powerful environmentalist organizations, often receiving government funds, with opportunistic trial lawyers populating their boards of directors, have an incentive to tie every possible infrastructure investment up in knots. While some environmental oversight is necessary, the challenge of complying with every environmentalist objection deters all but the wealthiest corporations, and creates costly delays that last for decades.

(2) Many corporate special interests benefit from neglect. Corporations who own existing sources of supply can charge higher prices and generate higher profits. Utilities are the obvious examples of this – ever since “decoupling” legislation was passed in California, the only way utilities can generate higher profits is to raise unit costs, since unit output and profit percentages are fixed by law. So if water costs $2.00 per CCU instead of $0.25, or if electricity costs $0.50 per KWH instead of $0.05, utility companies make a killing for their shareholders. Similarly, owners of land that has finally been approved for development, or quarries that got operating permits before the regulations made them prohibitive, are able to sell their inventory at fantastic markups.

(3) Public sector unions also benefit from infrastructure neglect. Taxpayer funds that ought to be paying to construct and upgrade roads and bridges end up being allocated instead to pay government workers higher salaries and fund generous pensions. These unions also benefit from the legislated and entirely artificial scarcity that drives up prices for land and homes, because it increases property tax revenue. And of course, every additional environmentalist inspired regulation and code means more unionized government inspectors and enforcement officers can be hired. Government over-management and mismanagement always benefits public sector unions.

So where is California’s private sector labor movement when it comes to infrastructure? Here is a quote from the California Labor Federation’s website, under “Advocacy / Key Issues.” Revealingly, this is number ten of ten on their “issues” page:

“Invest in California’s Infrastructure: We must have a comprehensive strategy for making investments in infrastructure and a sustainable, equitable way to finance them. We need to restore our public transportation systems, modernize our rail system and rebuild our roads and waterways. We must double our efforts to build high speed rail in California.”

Apart from “high speed rail,” a project that fails to justify itself under any rational cost/benefit analysis, this all sounds good. But where’s the follow up?

When scoping meetings are held to approve infrastructure projects, whether it is widening a highway, approving a new subdivision, repairing a bridge, or building the Temperance Flat or Sites reservoirs, where are the unions? Why aren’t hundreds of them showing up two hours early to these meetings, elbowing the environmentalist trial lawyers and their zealous puppets out of the room? Why aren’t they packing the out-of-control California Air Resources Board meetings to show solidarity with the workers in dairies, agriculture, manufacturing, mining and timber, trucking, and countless other industries who employ hundreds of thousands of Californians?

Instead California’s labor unions typically resort to “greenmail,” a tactic that goes as follows: Pick a project that the environmentalist lobby doesn’t actually object to, then sue the developer on environmentalist grounds until they concede to enact a project labor agreement, than drop the lawsuit.

Is this the best they can do?

California’s private sector labor movement should consider how environmentalism, married with the special interests of monopolistic corporations, allied with government labor whose agenda is utterly different than their own, have destroyed literally millions of good jobs in this state. They should consider how close California is to becoming an authoritarian wasteland, where land, water, energy, housing and transportation are cynically rationed by this alliance of oligarchs and elitists. They need to wake up and fight for their core principles – the welfare of workers and their families.

An essential point that union leaders and their members ought to understand is the cost of building infrastructure in California is prohibitive for reasons that go far beyond paying a prevailing wage, or even the cost of hiring a few extra employees on a project to comply with union work rules. The costs are prohibitive because oligarchs and elitists have colluded to make every element of a project more expensive – the land, power, materials, transportation, staging, permits, and time-delays. The compounding effect of these pernicious barriers have enriched oligarchs, government workers, and the trial lawyers representing the environmentalists. They’ve made the rest of us poorer, and they’re the real reason we don’t have more good jobs.

To take one dramatic example, consider the Carlsbad desalination plant, which – not even including distribution pipes to move the water into the municipal supply – was built at at a capital cost of $12,733 per acre foot of annual capacity. Compare that to the Sorek desalination plant, completed in Israel in 2013 at a capital cost of $4,111 per acre foot of annual capacity, less than one-third as much! This was accomplished in a nation where labor is not cheap, nor is the government a paragon of free market deregulation. This is not an isolated case.

It is a crime against all Californians that other developed nations can build infrastructure for less than one-third what it costs here, and that other states in the U.S. can build infrastructure for less than half what it costs in California. Labor costs occupy a dwindling percentage of what infrastructure projects cost, which means that unions should start lobbying aggressively for infrastructure investment, instead of playing petty greenmail games. They may not win every project labor agreement battle. But they will win the war to create millions of good new jobs, and change California from a land of authoritarian scarcity back into a land of opportunity and abundance.

Ed Ring is the president of the California Policy Center.

Conventional Fuels Still of Vital Importance to California

Gas-Pump-blue-generic+flippedThe American Society of Civil Engineers recognized oil as an element of “infrastructure” in California in its 2016 Infrastructure Report Card. That report card clearly documents the fact that there are no easy answers to our complex energy and transportation challenges for the future.

Fossil fuel permeates every aspect of our daily lives. It has driven an exponential increase in human numbers and civilizations from the horse-and-buggy days. It enables us to easily get to work, school and medical facilities as well as the freedom to travel for family and recreational purposes. It supports the quality of life Californians take for granted. We need more – not less – fossil fuels to develop economies and basic infrastructures for the people of developing and third world countries.

This has been lost on the part of many lawmakers and regulators who have come under intense pressure from the powerful anti-oil lobby to eliminate fossil fuel production and use at the local and state level in California, primarily to reduce greenhouse gas emissions associated with climate change. Wind and solar are only able to provide intermittent electricity to the grid, but cannot provide the oil or the oil by-products that are the basis of every component of modern civilizations’ industries and infrastructures. This is an overly simplistic approach to addressing the complex international challenge of forestalling global warming.

The fact is, oil is the only energy source that is technically able to power about 95 percent of our state’s 32 million vehicles with transportation fuel demands of 40 million gallons per day. It’s just common sense to produce as much of that crude oil and manufacture the transportation fuels as much as possible in California for its 38 million citizens who live on an “energy island” for several reasons: First, our state has the nation’s strictest environmental laws, generating far lower greenhouse gas emissions than those associated with producing and transporting oil from countries with weaker rules. Second, it would provide California consumers with the energy security necessary to protect us from disruptive and costly supply interruptions. Third, it would be good for our economy, providing jobs and revenues right here in California instead of in other states and countries.

Despite this reality, regulators continue to recklessly forge ahead with schemes to force an immediate move away from reliable fossil fuels in favor of alternatives and renewables. With both in-state crude oil production and shipments from Alaska on the decline, shipments from foreign countries, already at 52 percent of California’s needs, will be increasing. An alternative to reduce dependency on foreign crude is approval of crude transport by rail from the Midwest or Canada to meet the demands on the California energy island.

One scenario under consideration by the Air Resources Board would mandate that the number of electric, plug-in hybrid and fuel-cell vehicles increase from the current 300,000 to 5 million and 40 percent of new car sales by 2030, regardless of cost or feasibility.

There are local efforts underway as well. For example, here in the Valley area, two of three planned phases to expand access to the San Fernando Road bike path have been completed, and the third is underway. But is it intellectually honest to think that Valley commuters will be able to use a roughly three-mile bike path to get to jobs throughout the more than 4,000 square miles of Los Angeles County alone?

A recent traffic study concluded that six of the most congested stretches of highway in the United States are in the Los Angeles area. The101 Freeway in the Valley earned the dubious distinction as the worst highway in the country, where during rush hour it can take 91 minutes to travel 26 miles at an average speed of 17 miles an hour.

So how do we reconcile the desire to fight global warming with the real-life transportation needs of Valley motorists and our counterparts throughout the state? First, some perspective may be helpful: according to the California Energy Commission, our state contributes a miniscule 1 percent of total worldwide greenhouse gas emissions. It’s been a decade since the passage of the flagship climate change policy AB 32, yet, the state has not been transparent with the results of its emission crusade, and remains on a go-it-alone path to micromanage the California emissions that generates billions of dollars for the government at the expense of businesses and the financially challenged. So no matter how much inconvenience and cost we impose on drivers, we are likely to see a return that is purely symbolic, not substantive.

And no matter how many electric cars we put on the road, they will still be stuck in the same maddening traffic jams that increasingly enrage users of more conventional vehicles.

Let’s hope that future generations will be up to the challenge facing humanity to mitigate climate change responsibly and cost-effectively. Meanwhile, as the society of civil engineers report card suggests, California might do well to focus more attention and resources on improving transportation infrastructure to make commuting easier and cleaner for the folks in the Valley and elsewhere.

ounder of PTS Staffing Solutions, a technical staffing agency headquartered in Irvine

Brown and Legislature Hit Infrastructure Funding Gridlock

Infrastructure constructionWith big infrastructure questions still unanswered, Gov. Jerry Brown has found himself at loggerheads with lawmakers in Sacramento.

From water storage to road repair and beyond, legislators have not met Brown eye to eye, raising the prospect of a protracted conflict that continues well into next year, with elections looming next November.

Diminishing returns

Brown had prided himself on a relatively hands-off approach to Sacramento’s fractured political configuration, which has seen moderate Democrats sink strict environmental regulations and Republicans adopt an on-again, off-again approach to negotiations with the governor’s office. “This particular approach of mine has worked in the past,” Brown said, according to the Los Angeles Times. But between California’s drought and its challenges in shifting away from the gas tax to maintain public roads, that comfortable attitude has begun to show diminishing returns.

“Administration officials estimate that $59 billion is needed for state roads, and local officials say an additional $78 billion is required for cities and counties. The longer it takes to reach a deal, the bigger the price tag will be,” the Times reported.

Analysts and opinion writers, long frustrated with the low quality of California’s roads, have homed in on the latest round of infrastructure troubles. “Traffic accidents in California increased by 13 percent over a three-year period — the result of terrible roads and worse drivers,” as Victor Davis Hanson wrote in the San Jose Mercury News. Hanson and others have held up roads as a barometer of the state’s broader political and economic health. “Why is California choosing the path of Detroit,” he asked, “growing government that it cannot pay for, shorting the middle classes, hiking taxes but providing shoddy services and infrastructure in return, and obsessing over minor bumper-sticker issues while ignoring existential crises?”

Looking for leadership

Brown has even taken some implicit heat on infrastructure from within his own administration. The state’s treasury secretary John Chiang recently revealed his belief that the governor needs to launch a new, transparent and top-to-bottom review of California’s infrastructure needs.

“Chiang wants to use the treasurer’s office to foster long-term thinking that California is sorely lacking and arguably has lacked since Pat Brown was governor in the 1960s, Chiang said at his keynote address to the California Debt and Investment Advisory Commission’s event before the Bond Buyer’s California Public Finance Conference,” according to Bond Buyer.

“One of the challenges the state faces is to persuade people of the importance of long-term investment in an environment where many of them distrust the financial markets, Chiang said. That’s where transparency comes in. The state has made progress in governance and management evidenced by its boosted bond ratings, but people still ask what the long-range plan is, Chiang said. […] Such a study would need to come from the governor and the state Legislature, however, not the treasurer’s office, Chiang said. His office’s role would be to provide education.”

Winter worries

Clouding the picture further, Congressional Republicans in Washington have taken Brown to task on plans for shoring up the state’s water infrastructure. “The Republican members of California’s delegation are demanding a government plan to store the deluge of water that could come with El Nino this winter,” the Sacramento Bee reported. “Fourteen GOP lawmakers will send a letter to President Barack Obama and Gov. Jerry Brown on Thursday asking for specifics about how federal and state agencies expect to capture, save and transport water. […] Rep. Devin Nunes, R-Calif., said the governor has opposed a plan approved by the House, and the Senate hasn’t proposed one of its own.”

Meanwhile, the public utilities have joined in the chorus. In an op-ed at the Los Angeles Daily News, California Water Association executive director Jack Hawks warned that “we cannot build a reliable water supply on conservation alone. Customers have been doing an outstanding job during the current drought emergency, but this level of conservation is not sustainable over the long term.”

Originally published by CalWatchdog.com