BILL NUMBER:  AB 1129
  VETOED	DATE: 09/28/2008




To the Members of the California State Assembly:

I am returning Assembly Bill 1129 without my signature.

I am supportive of providing additional flexibility for small rural
jurisdictions to participate in the Local Housing Trust Fund program
by reducing the minimum participation level and allowing flexibility
for local governments to provide dedicated fee revenue in lieu of a
one-time match.  However, the bill is silent on when local
governments may expend state funds that are on deposit awaiting local
matching funds.  Allowing local governments to expend state funds
without the accompanying local matching funds undermines the purpose
of a matching grant program.

For these reason, I am returning this bill without my signature.

Sincerely,



Arnold Schwarzenegger