Relative to infrastructure.
If implemented, AR110 could catalyze large-scale infrastructure projects across California. By capitalizing on existing government funds, the proposed National Infrastructure Bank would not depend on new federal spending or new taxes. The resolution states that such infrastructure initiatives may lead to an estimated creation of 25 million jobs, fostering economic growth estimated at 5% annually. Additionally, prioritizing investments in disadvantaged communities is designed to ensure more equitable economic development.
AR110, introduced by Assembly Member Arambula on June 20, 2024, addresses the urgent need for infrastructure investment in California. Recognizing the American Society of Civil Engineers' assessment that the state's infrastructure scores poorly in several areas—including roads, bridges, and stormwater management—this resolution advocates for the establishment of a National Infrastructure Bank. This bank aims to facilitate financing for critical infrastructure projects, addressing a significant investment gap expected to exceed $5 trillion by 2039 across the nation.
The resolution highlights a consensus among various state legislatures and local governments supporting the National Infrastructure Bank concept but may face opposition due to concerns over the management and distribution of funds. There are apprehensions regarding the potential for federal oversight of local projects and the implications for private-sector involvement. Moreover, discussions may arise about the specifics of job creation mandates and minority hiring provisions, reflecting the need for inclusive economic strategies while addressing the broader infrastructure challenges in California.