A new report finds that the frustrating California economy is forcing Californians to radically change how their cities and counties are governed from now on. A political and economic earthquake is shocking the Golden State into a very different kind of future. Golden Governance The new “Golden Governance” report highlights seven California communities that are not just sitting on their hands complaining about the state economy, they are completely restructuring governance and their approach to citizen engagement. The report finds that the state’s current economic situation is actually driving innovation, with local leaders fundamentally changing their approach to governance to meet the demands of America’s most-informed citizens. Many Californians say it’s about time. The state of California is now leading the nation with innovative approaches that have government and citizens co-creating workable solutions for the the financial and service needs of communities. A couple of the seven communities showcased in the “Golden Governance” report include: Salinas, CA , where a participatory budgeting process had taxpayers directly prioritizing public services to meet city budget limitations. Redwood City, CA , where an unpopular $72 million waste water recycling plan caused taxpayers to propose alternatives that respected the city’s budget. The “Golden Governance” report is something by which every Californian can become inspired toward active engagement and participation. The extensively researched report was sponsored by some outstanding nonprofit, nonpartisan and multipartisan organizations that care about the economic future of California: California Forward (Sacramento, San Francisco, Los Angeles) Center for Individual and Institutional Renewal (San Francisco) Davenport Institute for Public Engagement at Pepperdine University (Malibu) National Conference on Citizenship (Washington) The “Golden Governance” report was released from Stanford University’s Bill Lane Center for the American West , which studies how technology and hands-on engagement can work together to improve how California communities are governed. Leaders representing the report’s sponsoring organizations are excited about where the California economy is headed in 2012 and beyond, as citizens become aggressively involved in community issues. Pete Peterson , Executive Director of the Davenport Institute for Public Engagement, praised the progress enjoyed by some California communities, which he hopes to see happen statewide. “Redwood City is just one example of how citizens and government officials can come together to identify innovate policy solutions.