EAST LOS ANGELES - Gov. Arnold Schwarenegger recently signed a bill that will loan the East Los Angeles Residents Association $45,000 in its quest to become the city of East Los Angeles, the association announced.

Dan Ortiz, a member of the association, said the bill to loan the money was originally proposed as the association was trying to raise enough money to meet a deadline set up by the state's Local Area Formation Committee - or LAFCO - to pay for what is known as a "comprehensive fiscal analysis," which basically would determine if the area to become incorporated East Los Angeles generates enough tax revenue to be self sustaining and become a city.

While the bill was signed well after the late April deadline, the funds will still come in handy, Ortiz said.

"We raised the money on our own," he said. "The bill was a last ditch effort that helped. We weren't sure if we were going to raise the money."

He added it's a good thing the group was able to do it on its own as the deadline has come and passed.

"If we would have relied on this legislative bill, we would have passed our deadline of April 29," Ortiz said. "We raised the money on our own through various fundraisers and donations."

However, the $45,000 can still be put to good use, Ortiz said.

"This additional $45,000 from the state will go to further costs associated with the incorporation process," he said. "We're ecstatic to have it. This really helps out with additional costs we're anticipating."

And what are those costs going to be?

"There are additional costs beyond the $134,000 for the comprehensive fiscal analysis, like environmental studies and any legal costs that are incurred," he said.

Ortiz thanked two members of the state Legislature - Democrats Assembly Majority Leader Charles Calderon and Assemblyperson Gloria Romero - for getting the bill through Sacramento.

Ortiz added he did not think the bill would come to fruition.

"Not so much as it was an election year, but the way economics have been," he said. "We thought it would be tough and it was tough."

In addition, Ortiz said the future city of East Los Angeles will pay back the loan to the state.

(Shel Segal can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it .)