Well, the Otay Mesa community made it through Summer and the lights were still on (at least in California) as of writing this article. With all of the talk of budget cuts and recalls, little notice was given to some pretty substantial changes in some of California's border programs, our commercial trucking fees, and in some legislation that may very well affect California's relationship with those that cross our borders legally.

First, the budget cuts: Given the $38 billion deficit, it's no surprise that many international programs were targeted for reductions. What came as a surprise (to those not familiar with the in-fighting between the legislature and Lon Hatamiya, Secretary of the California Technology Trade & Commerce Agency [TTCA]) was the nearly total elimination of the TTCA. These cuts eliminated the State's 12 foreign trade promotion offices (…except for one in Armenia [no, this is not a joke]). The cuts also targeted two less-known border programs favored by the Governor: the Office of California-Mexico Affairs and the Commission of the Californias.

Having perhaps a more direct effect on the Otay Mesa community, the State budget also includes a provision to increase commercial truck weight fees. Increased fee collections are projected to bring in another $160 million from California-registered trucks.

Notably, the budget did include $7 million in funding for the University of California to purchase and renovate a UC-Mexico research and academic center in Mexico City - to be called "Casa de California". This "California House" is being developed as a major center for the UC system's policy programs related to Mexico.

In the days following the Governor's approval of this budget, several other legislative efforts were in process that will have additional impacts on our border community (should they pass).

The first, A.B. 249 (Matthews/Firebaugh), is attempting to resolve the budgetary deletion of the foreign trade promotion office in Mexico City, by creating a privately-funded collaboration with the University of California. In conjunction with the previously mentioned establishment of the UC "Casa de California", A.B. 249 authorizes an effort to create the California-Mexico Office of Intergovernmental Affairs, to be based in the "California House", and to assist the State with trade promotion and Mexico-California policy research. It is unclear if this proposal will pass the legislature.

The second, Senate Bill 60 (Cedillo) was rocketing through the legislature at the time of writing this article, and will change the application requirements for obtaining a California Driver's License (DL). Previously, applicants for California DL needed to submit a U.S. Social Security number, as well as satisfactory proof that the applicant was a legal U.S. resident. S.B. 60 - widely supported by many immigration rights groups, elected officials, and cities in California - deleted both requirements. Although its impact on the border community remains to be seen, it is likely to dilute the value of a California DL as a means to distinguish U.S. citizens from non-U.S. citizens, complicating the inspection process for those using driver's licenses at our border to demonstrate citizenship. Such a situation will likely result in added burdens on our border inspection agencies, and possibly delays for those crossing our borders.

As this article goes to print, the biggest surprise left for our border is only beginning to develop: who will be California's Governor, and what vision will he or she bring to our border community in the years to come. Let's hope the next Governor - Davis, Schwarzenegger, Bustamante, Ueberroth, or even Coleman - isn't short sighted about our dynamic border opportunity.

Kenn Morris is the Director of Crossborder Business Associates, a US-Mexico and NAFTA market research and strategic consulting firm based in San Diego, California. He can be reached at 619-710-8120 or cba@crossborderbusiness.com.