Brown’s Economic Summit Results in 8 Bills

In the first response to Speaker Willie Brown’s economic summit, Assembly Democrats proposed eight bills Wednesday to revitalize California’s economy.

Assemblyman Steve Peace (D-Chula Vista) said the most important proposal would create an economic development bank to fund major public works projects. The bank would spend public money from the sale of bonds and attempt to encourage pension fund managers to invest more heavily in projects ranging from new roads and sewers to improved ports.

By spending money on new railroad lines and roads, the state “will make money for business” by making California a more efficient place to operate, Peace said.

The bills come a week after the close of Brown’s economic summit in Los Angeles. The Democratic Speaker convened the highly publicized summit pledging to come up with bipartisan proposals to kick-start the economy. Republican lawmakers, however, were conspicuous by their absence Wednesday at Peace’s news conference.

“Our Republican colleagues, representatives of the governor and others are welcome to add and subtract from them (the bills) as they may see fit,” Peace said. “We certainly welcome their participation.”

One bill proposed by Jack O’Connell (D-Carpinteria) would set up a “space port office” in state government. The new office would seek to obtain federal money to turn Vandenburg Air Force Base into the main launching site for private satellites and other commercial uses for space.

Another bill would provide state loans to small businesses, and another calls for lending state money to auto manufacturers to locate electric car factories in California. Yet another bill would give California contractors that are underbid on state projects by out-of-state companies an opportunity to match the lower bids.

Democratic proposals involving such topics as education are also in the works. As part of the effort to help the economy, Peace is trying to fashion a bill to overhaul the $11-billion workers’ compensation system.