California Alliance for Jobs: Transportation, Local Government, Business, Labor and...

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Tue Jul 22, 2008 2:02pm EDT

California Alliance for Jobs: Transportation, Local Government, Business,
Labor and Transit Advocates Launch Radio Ads Opposing Plans to Raid
Transportation Funding to Balance State Budget
         Ad Campaign Will Educate Voters About Destructive Proposals

                   **Sacramento Press Conference Advisory**

SACRAMENTO -- California Alliance for Jobs and Transportation advocates,
local government leaders, labor, business and transit advocates will hold a
press conference Wednesday at the State Capitol to condemn a rumored proposal
to raid the state sales tax on gasoline (Prop. 42 funds) to balance this
year's state budget.  The group unveils new radio ads to begin airing heavily
statewide on Wednesday to educate the voters about this plan, explaining how
it is fiscally irresponsible and bad for transportation and transit projects
in their communities. The ads will air in LA, Bay Area, San Diego, Sacramento,
Fresno, Modesto, Bakersfield, and Merced.
    When:        Wednesday, July 23, 10:30 a.m.

    Where:       State Capitol, Fish Pond (East side of Capitol)

    Who:

    -- Jim Earp, Executive Director, California Alliance for Jobs
    -- Allan Zaremberg, President & CEO, California Chamber of Commerce
    -- Jim Madaffer, San Diego City Council Member and President, League of
       California Cities
    -- Mark Watts, Executive Director, Transportation California
    -- Josh Shaw, Executive Director, California Transit Association
    -- Additional local government, transportation and business
       representatives.


    Background:  Seventy-seven percent (77%) of California voters passed Prop.
                 1A in 2006 to ensure the state sales tax on gasoline is used
                 only for transportation projects and improvements, as
                 originally intended when Prop. 42 first passed in 2002. This
                 overwhelming vote should have sent an unequivocal mandate to
                 Sacramento policymakers. However, some members of the
                 legislature are talking about raiding these gas tax funds as
                 part of a borrowing scheme to address this year's budget
                 shortfall.

                 Democratic leaders and the Governor have indicated they
                 oppose borrowing Prop. 42 funds to balance this year's
                 budget. However, raiding Prop. 42 funds continues to be
                 discussed as part of a budget deal, groups participating in
                 Wednesday's news conference feel it's necessary to educate
                 the voters about this irresponsible plan.

                 Borrowing transportation dollars is bad fiscal policy. The
                 money must be repaid in three years with steep interest,
                 which will put the state further in the red. Additionally,
                 even a short term deferral of these funds will derail
                 critical transportation and transit projects in communities
                 throughout the state. And lastly, it's a direct assault on
                 the will of California voters, who have overwhelmingly passed
                 measures to protect these funds from such raids and
                 borrowing.

     CONTACT:    Kathy Fairbanks (916) 443-0872/(916) 813-1010 cell

SOURCE  California Alliance for Jobs
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