The board of directors of the California Association for Local Economic Development (CALED) met with the Honorable Mayor Antonio Villaraigosa last week to discuss his positions and proposals on a range of economic issues facing the state. Villaraigosa, who has held several elected positions, including former Speaker of the California State Assembly (1998-2000) and Mayor of Los Angeles (2005-2013), is running as a Democrat to become California’s next governor.

The meeting resulted from CALED’s bipartisan outreach to all major party candidates to provide an opportunity to meet with CALED’s leadership to share their perspectives on economic development issues important to local communities. For the convenience of candidates and local officials, these meetings are held over Zoom. Previously, CALED’s leadership met with former State Controller, the Honorable Betty Yee.

Villaraigosa’s discussion covered California’s business climate, housing, redevelopment tools, and local-state collaboration. He expressed support for a thoughtful approach to housing and economic development, reducing red tape for businesses, and enhancing current economic development tools — like creating a form of redevelopment 2.0.

“The next governor is going to have to trim programs and make a lot of tough choices,” Villaraigosa said. “There’s balance in that we need to grow the economy.” Villaraigosa recognized that local government is where ”the rubber meets the road” on economic development, and requires better collaboration from the state. He pointed out the window behind him at the Los Angeles skyline and exclaimed, “There are no cranes out there!”

Villaraigosa described himself as a problem solver with experience at every level of government. He shared that when he became mayor, he learned that it took two years, and permitting approvals from 12 different departments, to open a restaurant in Los Angeles. In response, he got everyone in a room and helped reduce the process to six months.

Still, he acknowledged that there is always more to learn, and was interested in the variety of local economic strategies and approaches. As governor, he said he would establish a local economic development council in collaboration with CALED and other organizations to streamline processes and prioritize problem-solving over bureaucracy.

CALED members briefed Villaraigosa on some of the state regulatory hurdles with the Surplus Land Act they were facing when disposing of land for economic opportunity. While reiterating the importance of housing, Villaraigosa expressed a willingness to explore how to better reconcile state laws and policy objectives on local economic development and housing.

Villaraigosa praised local government innovation in using post-RDA financing tools, like Enhanced Infrastructure Financing Districts (EIFDs), and said the state must do more to support those efforts. “The next governor has got to focus on economic development and give the cities and counties the tools they need to succeed.”

Villaraigosa also emphasized the need to support rural and urban areas alike. He noted that while his local experience was as mayor of Los Angeles, he recognized that the leaders of small cities and rural counties face similar challenges. “The only difference between me and you,” he stated, “is the size of the stage.”

Discussing statewide issues, Villaraigosa said he would support a range of housing options — from homeless and affordable to workforce and market-rate options — to set up communities for sustainable growth. He also shared that it was critical that communities feel safe. Ensuring public safety is a top priority for him.

In closing, Villaraigosa stressed the importance of expanding economic opportunities. “I know what a good job can do to change a man or a woman’s life. We can’t remain the world’s fourth-largest economy with the highest poverty rate,” he said. “Economic development is the key to getting people out of homelessness and poverty; we must make investments to grow our economy and create good jobs. I am not afraid to advocate for that, and I’m not standing down. The best way for us to grow is to grow together.”