BILL NUMBER:  AB 653
  VETOED	DATE: 09/29/2004




To the Members of the California State Assembly:

I am returning Assembly Bill 653 without my signature.

This bill repeals the January 1, 2005 sunset date of the Energy
Efficiency Revenue Bond Program, making the authority to issue
revenue bonds permanent.  Although I strongly support energy
efficiency, I am concerned that this program has not been working
effectively over the last few years.  I have been recently informed
that bond sales from this program have been suspended due to
technical flaws with the authorizing statute.   Therefore, we should
allow this program to sunset and craft another program that addresses
these structural challenges.

For these reasons I cannot support this measure.

Sincerely,



Arnold Schwarzenegger