About 90 percent of California’s pop-
ulation lives in urbanized areas. Is
there a particular issue you see as
the biggest challenge facing our cities?
Over whelmingly, our cities are chal-
lenged by pension liability. [Additionally],
the affordability of housing — no matter
where I go in this state, I’m hearing about
the challenges our communities are fac-
ing with making sure there are good and
safe housing options across the spectrum
for their residents. Another issue that
continues to bubble to the top has to do
with the need for resources to invest in
our core transportation systems.
What happens if the courts contin-
ue to reject any efforts to modify or
overturn the so-called ‘California
Rule’ that prevents governments from
modifying pension systems for current
employees?
The League of California Cities fully sup-
ports defined benefit retirement plans. …
In terms of the health of cities overall, I
would give the situation a yellow caution
light. I don’t think there is a city finance
director, city manager, council member
or mayor who is not looking closely at the
status of their pension liability and fore-
casting their obligations in the near term
and prioritizing where those precious city
resources and revenues will go. One thing
about the local level of government is ev-
ery day they have to do it all — and that
means they’ve got to make tough choices.
We hear a lot about concerns that pension
costs will crowd out resources for invest-
ments for infrastructure and a whole host
of other things that cities are obligated to
be doing. Those concerns are real. Those
choices are real.
From your perspective, what can be
done to address the shortage of afford-
able housing in California?
I want to give credit to Gov. Brown and
the Legislature … who recognize that this
is approaching crisis level in our state.
This is not just a local governments’
challenge. It’s the state challenge, it is
the private-sector challenge. We’ve got
to identify sustainable funding streams
to help drive down the cost of housing in
the state. I think we also — this is maybe
the most important thing — need to stop
identifying who is to blame for the situ-
we certainly are going to be fighting to
make sure those funds are not eliminat-
ed. Those funds are going to pay for the
basics — safer roads, bridges that are
more structurally sound — as well as
improving and hopefully lessening traf-
“
I hope we can continue to
look at lack of uniformi-
ty as an asset in our state — the
482 different communities that we
have in California represent the
essence of a diverse state.
ation that we find ourselves in, because
there’s probably plenty to go around.
There are certainly things local govern-
ments can do better to make for a more
conducive development environment, but
there are also new approaches the pri-
vate sector could try, as well as the state
government. Over time, the federal gov-
ernment has had a role to play as well, in
incentivizing the affordability of housing.
We also need [the federal government] to
stay at the table.
Local governments are closely watch-
ing Proposition 6, which would over-
turn SB 1, the gas tax increase. What
happens if SB 1 is overturned and we
lose this infrastructure funding?
Over the last 10 years, [the League has]
focused intensely on documenting the
need for more investments in our trans-
portation infrastructure. We have been
successful as a state in creating and es-
tablishing those new funds to invest in
our local transportation systems, and
fic congestion that so many of us have to
experience each and every day.
President Trump has been promis-
ing to make huge investments in in-
frastructure since his inauguration,
but we haven’t yet seen an actual plan.
Aside from money, are there other
things the feds could do to help cities
get some of their infrastructure needs
addressed?
The money is a key part. There are po-
tentially innovative ways the federal gov-
ernment could leverage their resources.
What about an infrastructure bank? Are
there ways the federal government could
enhance or better leverage public-private
partnerships? There is a definite leader-
ship role for the federal government to
play, but it needs to be done in partner-
ship with the state level and local govern-
ments … If they’re all working together,
then I think we can have a kind of robust
national infrastructure system that all of
us envision.
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