BILL NUMBER: AB 696	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  MAY 10, 2011

INTRODUCED BY   Assembly Member Hueso

                        FEBRUARY 17, 2011

   An act to amend Section 63040 of  , and to add Section 63024.6
to,  the Government Code, relating to economic development.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 696, as amended, Hueso. Bergeson-Peace Infrastructure and
Economic Development Bank Act. 
   The 
    (1)     The  Bergeson-Peace
Infrastructure and Economic Development Bank Act  requires
  sets forth the duties of  the California
Infrastructure and Economic Development Bank  to 
 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. It would authorize the bank to
establish one or more advisory groups to evaluate and make
recommendations on modifications and improvements to the bank, and to
periodically host roundtables, conferences, and other professional
gatherings to support the development of innovative financing ideas.

    (2)     The act requires the bank to 
establish criteria, priorities, and guidelines for the selection of
projects to receive assistance from the bank, to be based on a
minimum of specified factors.
   This bill would require a project selected to receive assistance
from the bank to additionally have economic development benefits and
meet land use criteria.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


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

  SECTION 1.  Section 63040 of the Government Code is amended to
read:
   63040.  (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 (b).
   (b) 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.
   (2) The project meets land use criteria.
    (c) 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.

    (d) 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.
   (e) The resolution required in Section 63041 shall have been
adopted prior to the project's selection by the bank.
   SEC. 2.    Section 63024.6 is added to the  
Government Code   , to read:  
   63024.6.  (a) 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.
   (b) The bank may establish one or more advisory groups consisting
of economic development and finance professionals, and other
stakeholders, to evaluate and make recommendations on modifications
and improvements to the bank for the purpose of enhancing the state's
economic competitiveness and job creation activities.
   (c) The bank may periodically host, in partnership with other
public and private infrastructure and economic development financial
and investment entities, roundtables, conferences, and other
professional gatherings to support the development of innovative
financing ideas that can result in new and enhanced funding
opportunities for California communities and businesses.