Small businesses wanting to get in on all the infrastructure work being doled out by state agencies got a boost on Friday from an executive order issued by Gov. Arnold Schwarzenegger.

The executive order calls for the creation of a small enterprise officer, increasing outreach and assistance by state agencies to small and disadvantaged firms and the creation of a $40 million bond guarantee fund to help small businesses obtain insurance protection for project work.

“California needs a massive infrastructure upgrade with more roads, more bridges, on-ramps, off-ramps, interchanges and HOV lanes everything to help our economy grow and improve our quality of life,” Schwarzenegger said. “We will need all hands on deck to get the job done. That includes big business, small business, women-owned businesses and minority-owned businesses.”

In making the announcement of his executive order, Schwarzenegger also announced that Samuel Wallace, a Sacramento management consultant, would be the first Small Enterprise Officer and would report to Business, Transportation and Housing Agency Secretary Sunne Wright McPeak.

He also announced the state would provide $4 million to guarantee $17 million in loans to small and disadvantaged businesses participating in state and federal transportation projects.