The institute was founded late last year by Michael and Linda Keston with a $4-million lead gift. Its mission is to address issues such as transportation, open space, water, power and other utility systems. Keston is the chairman and CEO of the Encino-based Larwin Co., a homebuilder and real estate investment firm, and an adjunct professor in the USC School of Policy, Planning and Development.

One of the Keston Institute's concerns is that California spends only 2% of its general fund revenues on infrastructure, compared to 20% in the 1960s and 1970s. The institute estimates the state will have to spend an estimated $200 billion over the next two decades to support a population increase of nearly 10 million.

Bornstein, a real estate attorney and a past member of the California Assembly, will assume her new post May 1. She says she will begin assembling an advisory board to provide practical options for policymakers.

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