SACRAMENTO, CA – Yesterday, Dan Walters, columnist for the Sacramento Bee, wrote about California’s growing bond debt and Proposition 53. Walters stated that “requiring bond promoters to justify their big plans to voters…isn’t such a bad idea.” Walters also called the measure a “wake-up call” for voters. Historically, California’s multi-billion dollar megaprojects have run billions over budget and take years longer to complete than the initial project timeline.
Proposition 53 would simply require a public vote for state megaprojects that use more than $2 billion in state revenue bonds and also ensure the disclosure of the total cost of a project before the vote. The measure would increase transparency for California’s megaprojects and stop politicians from writing blank checks.
Read excerpts from Dan Walters’ column, “Election will test California voters’ attitude on new bonded debt,” below:
“And there is another measure, Proposition 53, that would subject state revenue bond issues of $2 billion or more to voter approval, curbing the power of officials to incur certain kinds of huge bond debts on their own…
In brief, we Californians have placed ourselves on the hook for hundreds of billions of dollars in debt without really understanding how the money is being spent or what its ultimate cost will be.
Given that, Proposition 53, while widely opposed by the political establishment, might be a wake-up call. Requiring bond promoters to justify their big plans to voters – Brown’s twin water tunnel and bullet train projects, for example – isn’t such a bad idea.”
Read the column in its entirety on the Sacramento Bee’s website here:http://www.sacbee.com/news/
Proposition 53 would require statewide voter approval for state revenue bond projects costing more than $2 billion, closing a loophole that allows politicians to issue massive new debt for multi-billion dollar projects without voter approval. For more information, visit: www.YESon53.com.