NU Online News Service, May 9, 3:40 p.m.EDT--California Assemblyman Mark Ridley-Thomas, D-LosAngeles, has withdrawn his bill mandating insurance industrycommunity redevelopment investments from consideration thisyear.

Vincent Harris, chief of staff to Mr. Ridley-Thomas, said thebill was withdrawn to allow the California Department of Insuranceto conduct a data call of state licensed insurers regarding theirinvestment practices.

"Many of the insurers claim they already invest in the state andthat the one percent would be a burden," Mr. Harris said. "And theadvocates claim the figure is way too low."

Mr. Harris said the results of the data call should be availablewithin the next few weeks and based on that information a decisionwill be made whether or not to revise the bill, or drop italtogether next year.

Meanwhile, the life and property-casualty insurance sector areproviding stiff opposition to the bill.

Christian John Rataj, state affairs manager for the NationalAssociation of Mutual Insurance Companies, said AB 925 is "flawed"from a public policy standpoint.

"The bill is unnecessary since the insurance industry alreadyinvests a significant amount of money toward urban development andother areas of the state throughout California," he said.