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California’s massive budget deficit is the direct result of the steepest economic downturn since the Great Depression. So as lawmakers make painful but necessary cuts to deal with the $24 billion deficit, they should also look for ways to revitalize the economy in order to generate additional tax revenues. There are few things that government can do to stimulate an economy, but investing in infrastructure is an economic stimulus that’s proven to work. Consider:

• Every $1 billion invested in infrastructure generates 18,000 jobs.
  
• For every $1 spent on construction, $6 gets circulated back into the economy.
  
• Much of this economic activity is put immediately to work -- as contracts are awarded, contractors begin purchasing equipment and materials, hiring workers, paying payroll, and generating sales and income taxes to state and local governments.
  
• Landmark California infrastructure projects – like the Golden Gate Bridge and Shasta Dam – were built during the Great Depression. These projects created jobs and economic activity when they were sorely needed, and they’ve benefited our state for generations.

As lawmakers finalize a state budget, they should protect funding for infrastructure to protect economic growth. For instance, the voters have twice voted to ensure that our gas tax dollars go to fund road improvements. Any final budget must protect these gas tax funds for state and local roads, freeways and bridges – projects that motorists and our economy desperately need. By listening to the voters, legislators can help stimulate our economy, generate jobs, and make the budget better in the future.

More Information
Listen to the "Stimulate" Radio Spot
Listen to the "Dig2" Radio Spot
Read the Coalition Letter to Legislators
Read how infrastructure investments benefit our economy

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