Bill Text: CA AB696 | 2011-2012 | Regular Session | Enrolled
Bill Title: Bergeson-Peace Infrastructure and Economic Development
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Vetoed) 2011-10-05 - Vetoed by Governor. [AB696 Detail]
Download: California-2011-AB696-Enrolled.html
BILL NUMBER: AB 696 ENROLLED
BILL TEXT
PASSED THE SENATE AUGUST 31, 2011
PASSED THE ASSEMBLY SEPTEMBER 7, 2011
AMENDED IN SENATE JUNE 28, 2011
AMENDED IN ASSEMBLY MAY 27, 2011
AMENDED IN ASSEMBLY MAY 10, 2011
INTRODUCED BY Assembly Member Hueso
FEBRUARY 17, 2011
An act to amend Section 63041 of, and to add Sections 63024.6 and
63034.7 to, and to repeal Section 63040 of, the Government Code,
relating to economic development.
LEGISLATIVE COUNSEL'S DIGEST
AB 696, Hueso. Bergeson-Peace Infrastructure and Economic
Development Bank Act.
(1) The Bergeson-Peace Infrastructure and Economic Development
Bank Act sets forth the duties of the California Infrastructure and
Economic Development Bank in financing economic development
facilities, and promoting infrastructure and economic development
opportunities in the state generally.
This bill would require the bank to consult, and authorize it to
coordinate implementation of its revolving loan program, with local
and regional revolving loan funds and networks of revolving loan
funds, for specified purposes.
(2) The act requires the bank to establish criteria, priorities,
and guidelines for the selection of public infrastructure projects to
receive assistance from the bank, to be based on a minimum of
specified factors.
This bill would repeal these provisions and instead apply these
requirements to public and private projects that receive conduit
financing through the bank. The bill, beginning January 1, 2013,
would require a project selected to receive this assistance from the
bank to additionally have economic development benefits and meet land
use criteria pursuant to these provisions.
This bill would also require the bank to develop a methodology
and process to allow the bank to measure the economic development
benefits of a project.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 63024.6 is added to the Government Code, to
read:
63024.6. The bank shall consult, and may coordinate
implementation of its revolving loan program, with local and regional
revolving loan funds and networks of revolving loan funds, for the
purpose of improving the infrastructure and small business credit
markets.
SEC. 2. Section 63034.7 is added to the Government Code, to read:
63034.7. (a) Following consultation with appropriate state and
local agencies, the bank shall establish criteria, priorities, and
guidelines for the selection of projects to receive assistance from
the bank. Projects shall comply with the criteria, priorities, and
guidelines adopted by the bank and comply with the requirements of
subdivision (c).
(b) The bank shall develop a methodology and process to allow the
bank to measure the anticipated economic development benefits of a
project.
(c) Beginning January 1, 2013, the bank shall only select a
project to receive assistance pursuant to this section if the project
meets both of the following criteria:
(1) (A) The project has economic development benefits.
(B) For purposes of this paragraph, a project has economic
development benefits if the project would provide for some
quantitative level of economic benefit, including, but not limited
to, the creation or retention of jobs, growth of the property tax
base, growth of sales tax revenues, or as otherwise determined by the
bank using the methodology developed pursuant to subdivision (b).
(2) The project meets land use criteria.
(d) The criteria, priorities, and guidelines shall, at a minimum,
be based upon the following:
(1) The State Environmental Goals and Policy Report, or its
successor, approved pursuant to Article 5 (commencing with Section
65041) of Chapter 1.5 of Division 1 of Title 7.
(2) If the sponsor is a state agency, board, commission, or
department, the Capital and Infrastructure Project Planning Report,
prepared by the Director of Finance pursuant to Article 2 (commencing
with Section 13100) of Chapter 2 of Part 3 of Division 3 of Title 2.
(e) When the bank establishes or makes changes to the criteria,
priorities, and guidelines, the bank shall notify the Governor, the
fiscal and policy committees of the Legislature that exercise
legislative oversight of the bank, and appropriate state and local
agencies.
(f) The resolution required in Section 63041 shall have been
adopted prior to the project's selection by the bank.
SEC. 3. Section 63040 of the Government Code is repealed.
SEC. 4. Section 63041 of the Government Code is amended to read:
63041. (a) Prior to submitting a project to the bank for
consideration, the legislative body or bodies of the sponsor or
sponsors of the project shall find, by resolution, each of the
following:
(1) The project is consistent with the general plan of both the
city and county, or city and county in the case of San Francisco, or
only the county for projects in unincorporated areas in which the
project is located.
(2) The proposed financing is appropriate for the specific
project.
(3) The project facilitates effective and efficient use of
existing and future public resources so as to promote both economic
development and conservation of natural resources. The project
develops and enhances public infrastructure in a manner that will
attract, create, and sustain long-term employment opportunities.
(4) The project is consistent with the criteria, priorities, and
guidelines for the selection of projects adopted pursuant to Section
63034.7.
(b) Upon the adoption of the resolution in subdivision (a) by the
legislative body, the legislative body shall transmit the resolution
to the executive director of the infrastructure bank.
