An Effort That Is Temporary Will Leave a Bitter Legacy : Recovery: The long-term needs of business and of residents in riot-torn neighborhoods must be addressed.

The business community is indispensable to the recovery of Los Angeles, and it also has a responsibility to the city. The board of directors of the Los Angeles Area Chamber of Commerce has taken part in discussions on these issues with White House and congressional representatives as well as with business leaders. Following are our suggestions for steps to help heal and rebuild our communities:

Re-establish order everywhere in the community. Much of this has already been done by the police, the National Guard and federal troops. But there has to be continuing strong law-enforcement presence throughout the county. A rekindling of violence during the summer months would undermine the momentum under way in Rebuild L.A.

The arrival of Chief-designate Willie L. Williams and the passage of Proposition F would help in establishing a sense of security in the community.

Establish information centers. There is a clear need for information from federal, state and local governments in each of the communities that suffered looting and damage. Federal disaster information centers are a start, but that flow of information and communication must be available for the long term.

Provide adequate shelter. There are steps being taken to provide housing for people whose apartments or homes were burned. But beyond emergency relief, major overcrowding and housing shortages in the affected neighborhoods must be addressed. This can have a direct relationship to the ability to maintain order.

Establish food distribution and other retail services. Various grocery stores have worked together and feel that they can now maintain enough food outlets to meet basic daily needs in the areas that were burned and looted. But these stores must have a continuing presence, or the community will feel that there is a gradual abandonment of its needs.

Provide free or subsidized transportation services. The private sector has provided free or low-cost transportation to food outlets and medical appointments. The RTD also established a temporary 25-cent shuttle service in the violence-affected area and has approved a new 50-cent discount bus fare. Again, these services should be continued for some specified period of time.

Assemble technical assistance. It will be important to provide help for residents as well as building owners and shopkeepers with both insurance and government-aid application processing. A number of firms have volunteered to provide seminars and other types of help. Rebuild Los Angeles must have its own strong technical assistance component, working with public and private agencies.

Encourage reinvestment. The question of whether insurers will return to the affected areas is vital to both residential and commercial rebuilding. There must be some guarantees that will make insurance companies willing to do business in higher-risk communities. A related issue is the need for flexibility on the part of bank examiners. Federal examiners cannot hold institutions willing to lend in impacted communities to the same standards of reserve requirements as a bank in untouched areas.

Pass enterprise-zone legislation. At both the state and federal level, these legislative proposals should be tailored to meet the special needs of the Los Angeles area.

Expedite permit processing. The city of Los Angeles is already seeking ways to speed up permits for rebuilding. Under current standards, it can take two years to receive the necessary permits to rebuild structures--a discouraging prospect for both investors and residents. Perhaps replacement projects could be given waivers by state and federal environmental agencies, as long as no major change in land use is planned.

Waive fees and charges. Requirements dealing with handicapped access and safety obviously would have to be maintained, but investors who are repairing or replacing burned buildings ought to be relieved of transportation-impact fees, the 1%-for-art requirement, day-care provisions and other such permits and fees that inhibit building replacement.

Centralize and enhance federal grant programs. There should be a single point of federal contact for Los Angeles rebuilding programs, a role that may be filled by Deputy Education Secretary David Kearns, who was appointed liaison by President Bush. Without coordination, potential investors will be frustrated by a multiplicity of forms, applications and program interpretations. Additional funds for urban initiatives, Commerce Department tourism support, and housing and shelter support from HUD should be sought at the federal level and supplemented by state initiatives.

Supply job training. It is important that there be thorough identification of the jobs that might be available so that we don’t just train for training’s sake. Ties with the community college system and private-industry councils will be important in making this part of a longer-term strategy through Rebuild L.A.

Repair the image of Los Angeles. It will be difficult to retain business, let alone attract new investment, if we we project the image of a community that is unsafe and out of control. The Visitors and Convention Bureau should work with the travel industry to define the hardest-hit sectors and seek remedies. Print and electronic media must be part of the image-rebuilding effort.

Much of what is suggested here is already being undertaken, and there has been a tremendous outpouring of volunteer support. But only if the effort is sustained over the long haul will we avoid a new round of bitterness and frustration down the road.