BILL NUMBER: AB 1632	CHAPTERED
	BILL TEXT

	CHAPTER  731
	FILED WITH SECRETARY OF STATE  OCTOBER 19, 2010
	APPROVED BY GOVERNOR  OCTOBER 19, 2010
	PASSED THE SENATE  OCTOBER 7, 2010
	PASSED THE ASSEMBLY  OCTOBER 7, 2010
	AMENDED IN SENATE  OCTOBER 6, 2010
	AMENDED IN ASSEMBLY  APRIL 19, 2010

INTRODUCED BY   Committee on Budget (Blumenfield (Chair))

                        JANUARY 11, 2010

   An act to add Section 44559.11 to the Health and Safety Code,
relating to economic development, making an appropriation therefor,
and declaring the urgency thereof, to take effect immediately.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1632, Committee on Budget. Economic development.
   (1) Existing law establishes various programs, including, but not
limited to, the Capital Access Loan Program, to promote economic
development throughout the state. Existing law also establishes the
California Small Business Expansion Fund, the California Capital
Access Fund, and the California Economic Development Fund.
   This bill would authorize the California Pollution Control
Financing Authority to enact regulations for the distribution of
specified funds paid to the authority. This bill would also transfer
and allocate $32,350,000 from the General Fund to the 3 funds listed
above for the 2010-11 fiscal year, and appropriate the sums allocated
to each of these funds for specified economic development purposes.
   (2) This bill would declare that it is to take effect immediately
as an urgency statute.
   Appropriation: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 44559.11 is added to the Health and Safety
Code, to read:
   44559.11.  It is the intent of the Legislature to ensure that the
state, through the authority, may make maximum, efficient use of
capital access programs enacted by all federal and state agencies, as
well as funding available from any governmental program whose goals
may be advanced by providing funding to the Capital Access Loan
Program. In furtherance of this intent, and not withstanding any
other provision of this article, when the contributions required
pursuant to subdivision (c) of Section 44559.4 are entirely funded by
a source other than the authority, the authority may, by regulation
adopted pursuant to subdivision (b) of Section 44520, establish
alternate provisions as necessary to enable the authority to
participate in the alternative funding source program.
  SEC. 2.  A total of thirty-two million three hundred fifty thousand
dollars ($32,350,000) is hereby transferred from the General Fund to
the following funds for purposes of promoting economic development
throughout the state, as follows:
   (a) Twenty million dollars ($20,000,000) to the California Small
Business Expansion Fund, established pursuant to Section 14030 of the
Corporations Code. Notwithstanding Section 14032 of the Corporations
Code, that amount is hereby appropriated from that fund for the
2010-11 fiscal year, to be used to expand existing programs for loan
guarantees and letters of credit authorized by the California Small
Business Financial Development Corporation Law (Article 1 (commencing
with Section 14000) of Chapter 1 of Part 5 of Division 3 of Title 1
of the Corporations Code), and shall be allocated by the director, as
defined in subdivision (k) of Section 14010 of the Corporations
Code, pursuant to existing authority, policies, and funding formulas.
Appropriated funds shall be expended to support one-half of a
limited term position to ensure that funds expended under this
subdivision are properly allocated, overseen, and any reporting
requirements are fulfilled.
   (b) Six million dollars ($6,000,000) to the California Capital
Access Fund, as defined in subdivision (b) of Section 44559.1 of the
Health and Safety Code. That amount is hereby appropriated from that
fund for the 2010-11 fiscal year, to be expended for purposes of the
existing California Capital Access Program. For the purposes of
expending these funds, "severely affected community," as defined
pursuant to subdivision (k) of Section 44559.1 of the Health and
Safety Code, includes any city or county with an unemployment rate
above 110 percent of the statewide average, based on the most current
unemployment rates published by the Employment Development
Department in its monthly release of labor market statistics.
   (c) Six million dollars ($6,000,000) to the California Economic
Development Fund, established pursuant to subdivision (a) of Section
13997.6 of the Government Code. That amount is hereby appropriated
from that fund for the 2010-11 fiscal year, to provide the cash match
for the six regional lead centers that have contracts with the
United States Small Business Administration to administer the federal
Small Business Development Center Program in California. Funds shall
be awarded to lead centers that submit written confirmation from the
regional administrator of the United States Small Business
Administration documenting that the state funds will be matched by
federal funds on a one-for-one basis.
   (d) Three hundred fifty thousand dollars ($350,000) to the
California Economic Development Fund, established pursuant to
subdivision (a) of Section 13997.6 of the Government Code. That
amount is hereby appropriated from that fund for the 2010-11 fiscal
year, to provide a cash match for the Federal Technology Center
program, administered by the United States Department of Defense.
Funds shall be awarded to the California-based Federal Technology
Center upon receipt of a letter from the United States Department of
Defense confirming that state funds will be matched by federal funds
on a one-for-one basis.
  SEC. 3.  This act is an urgency statute necessary for the immediate
preservation of the public peace, health, or safety within the
meaning of Article IV of the Constitution and shall go into immediate
effect. The facts constituting the necessity are:
   In order to implement the Budget Act of 2010 as soon as possible,
it is necessary for this act to take immediate effect.