A California bill sponsored by Assemblywoman Laura Friedman could accelerate funding for transportation projects like the Metro K Line Extension, which would service West Hollywood. (photo courtesy of Laura Friedman)

California Assembly Bill 761 is just awaiting Gov. Gavin Newsom’s signature. The bill will help deliver critical money to communities to help fund infrastructure and reach environmental goals.

“In a nutshell, it allows municipalities to take advantage of new federal transportation funding and loans,” said Assemblywoman Laura Friedman (D-Glendale), who sponsored the bill. “It aligns some of our existing programs with the timetables in President Biden’s federal Transportation Infrastructure Finance Innovation Loans. That program was bipartisanly supported to help states and cities fund large transportation projects. The way that it does that is by using what’s called tax increment financing, which is where you are able to use federal taxes that you would have gotten in the future to pay back loans that you get today from the federal government.”

Essentially, Friedman explained, it is a way to unlock federal loans without burdening taxpayers by using future increases in the tax rates obtained by economic advantages from developing projects.

“AB 761 extends the period of Enhanced Infrastructure Financing Districts from 45 to 75 years for passenger rail projects, leading to lower annual payments and increased financing capacity, making EIFDs more viable tools for jurisdictions pursuing critical transit investments,” Los Angeles County Board of Supervisors Chair Lindsey Horvath, 3rd District, said. “Assemblymember Friedman’s bill unlocks the potential of EIFDs to meaningfully invest in community-building and place-making throughout Los Angeles County. As the K Line Northern Extension moves through the public process and we work to expedite project completion, having extended terms for EIFDs and federal support made possible by the Biden-Harris administration will be invaluable to realizing this transformational line.”

“For the city of West Hollywood, it could mean more than $22 billion in funding over the next few decades, and would assist with the developing K Line Metro Extension,” Freidman said.

In her letter to Newsom supporting the bill, Friedman noted that the funding could allow for a major economic hub to develop, creating a “backbone” of the Metro system and serving nearly 250,000 workers, 325,000 residents, 770 regional destinations and 80,000 zero-to-one car households. Her statistic projections are based on the San Vicente/Fairfax alternative option of the K Line extension, one of three proposed configurations that would connect the Crenshaw area to Hollywood. The alignment is also the preference of the city of West Hollywood, as it would have Metro rail pass through the city’s Rainbow District, among other economic and residential centers.

“This bill allows us to access federal monies to not only be able to secure loan financing to further invest in the expansion of the K Line to West Hollywood, but this bill is essential to Metro coming to West Hollywood in a future fastened timeline for us to make sure that we’re making due on the promise to invest in our cities,” West Hollywood Mayor John Erickson said.

Friedman also pointed out how the funding could accelerate Los Angeles County’s transportation future.

“We have a terrible problem in Los Angeles with traffic congestion, that impacts the parking, and of course, we don’t have enough housing. People are are very leery of adding more housing when they feel that it’s going to add to that traffic congestion problem. I get it. If every resident that comes is bringing a car with them, that’s a tremendous impact on land, on our environment and on our ability to get around the city. And the solution to that is really good, high quality, meaningful and safe public transportation. That is how grown-up cities all around the world have made their cities more livable,” she said.

She went on to explain that the “freedom” that comes with robust transportation would revolutionize L.A.

“For people who aren’t used to being in a city like that, the amount of freedom it gives you … you really can’t understand it until you’re in a city where you can literally hop on a bus, get off where you want – or hop on the train, get off where you want – do what you need to do, move around and not have to worry about where you parked or parking or if a meter is running out. Where did I leave the car? Oh, what’s the congestion going to be like going home? You just literally hop back onto the train or the bus to get back home again,” Friedman added. “It’s a wonderful way to get around a city.”

Newsom has until Sept. 30 to sign the bill into law.