by Robert in Monterey [courtesy of Calitics - Front Page]

In the long history of a California high speed rail plan there have been few more consistent and more effective supporters of the project than the BayRail Alliance. Their executive director, Margaret Okuzumi, has been active in the current fight to save high speed rail, and today offers a very insightful piece at the California Progress Report suggesting that underlying Arnold's lack of support is a flawed perspective on the project - that he, influenced by his HSR advisor David Crane, is fundamentally misunderstanding the project. Instead of seeing it as a development, he's seeing it as an investment banker would. Okuzumi explains:

The investment banker's approach to making money is to first assemble the money, then figure out what investments to make.

The developer's approach to making money is to design a building and determine if it will make a good return on the investment, then go out and assemble the financing to pull it off.

More on the other side...

[courtesy of California Progress Report]

By Margaret Okuzumi
Executive Director
BayRail Alliance

Governor Schwarzenegger is on the verge of destroying the most important transportation project for the state of California, and it may be because of a misunderstanding.

Almost no one I knew could understand why the Governor has taken the approach to building high-speed rail (HSR) that he has. No one, that is, until a friend of mine had an "aha" moment while listening to David Crane in the High Speed Rail Authority meeting last month. Mr. Crane is Schwarzenegger's chief advisor on HSR.

This friend of mine has a friend who is an investment banker, and another friend who is a developer. He explained the difference to me roughly as follows:

The investment banker's approach to making money is to first assemble the money, then figure out what investments to make.

The developer's approach to making money is to design a building and determine if it will make a good return on the investment, then go out and assemble the financing to pull it off.

by atdleft [courtesy of Calitics - Front Page]

Last week, we got some good news regarding the pension fund for our state's teachers. In 2004, the long-term deficit was projected to be $24.2 billion. Today, the long-term deficit is projected to be $19.6 billion. It's not quite as good as we want it, but it's getting better.

So how did our favorite right-wing commentator who always misses the point respond? Oh, Chris Reed just looks for a way to tie this to "the public employee unions' master-puppet relationship with Democratic lawmakers". Huh?

Follow me after the flip for more...