The bill was introduced earlier in the year and all thought it was dead for this year, a surprise vote swiftly breathed life back into it and now it just needs to be signed by the Governor. Very exciting and good for California. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. The Legislature finds and declares all of the following: (a) California communities have suffered greatly since the financial crisis of 2007. During the last several years, monthly unemployment levels have remained above 10 percent leaving millions of Californians out of work. Bankruptcies among small businesses and individuals are up, capital markets are tight, and local communities have limited resources to address their economic and community development challenges. (b) While Californians have been especially hard hit in this recession, residents of other states have also suffered. In responding to the sluggish capital markets, several states, including Maine, Oregon, Rhode Island, and Washington, are examining the appropriateness of creating a state bank. (c) The creation of the California Investment Trust could serve to more effectively meet the financial needs of the state, including, but not limited to, the following: (1) Supporting the economic development of California by increasing access to capital for businesses in the state. (2) Providing financing for housing development, public works infrastructure, educational infrastructure, student loans, and community quality of life projects. (3) Providing stability to the local financial sector. (4) Reducing the cost paid by state government for banking services. (5) Lending capital to banks, credit unions, and nonprofit community development financial institutions to assist in meeting their goals of increasing access to capital and providing banking services. SEC. 2. Division 5 (commencing with Section 64160) is added to Title 6.7 of the Government Code, to read: http://www.aroundthecapitol.com/billtrack/text.html?bvid=20110AB75095AMD California is the eighth largest economy in the world, and it has a debt burden to match. It has outstanding general obligation bonds and revenue bonds of $158 billion, largely incurred for infrastructure. Of this tab, $70 billion is just for interest. Over $7 billion of California's annual budget goes to pay interest on the state's debt. As large as California's liabilities are, they are exceeded by its assets, which are sufficient to capitalize a bank rivaling any in the world. That's the idea behind Assembly Bill 750, introduced by Assemblyman Ben Hueso of San Diego, which would establish a blue ribbon task force to consider the viability of creating the California Investment Trust, a state bank receiving deposits of state funds. Instead of relying on Wall Street banks for credit -- or allowing Wall Street banks to enjoy the benefits of lending its capital -- California may decide to create its own, publicly-owned bank. http://www.huffingtonpost.com/ellen-brown/california-joins-state-ba_b_862730.html
What's so special about North Dakota, a state with a surplus and the only state adding jobs? It's the only state that owns its own bank.
LMAO The Californians will have this bank destroyed in less than 5 years. Good luck with your "Californian Central Bank".. it'll be going to the IMF before long, because the rest of American isn't bailing those leftwing loonies out! LMAO
