Amended in Senate September 3, 2013

Amended in Senate July 3, 2013

Amended in Senate June 25, 2013

Amended in Assembly May 24, 2013

Amended in Assembly May 1, 2013

Amended in Assembly February 20, 2013

California Legislature—2013–14 Regular Session

Assembly Bill No. 53

Introduced by Assembly Member John A. Pérez

(Coauthors: Assembly Members Fong, Fox, Medina, and Weber)

January 7, 2013

An act to begin insert amend Section 13997.6 of, and to end insert add Section 12096.35 begin delete to end delete begin insert to, end insert the Government Code, and to amend Section 1401 of the Labor Code, relating to economic development begin insert , and making an appropriation therefor end insert .

LEGISLATIVE COUNSEL’S DIGEST

AB 53, as amended, John A. Pérez. Governor’s Office of Business and Economic Development: biennial California Economic Development Strategic Plan.

The Governor’s Office of Business and Economic Development serves as the Governor’s lead entity for economic strategy and the marketing of California on issues relating to business development, private sector investment, and economic growth. The office, among others, makes recommendations to the Governor and the Legislature regarding policies, programs, and actions to advance statewide economic goals.

This bill would require the office to lead the preparation of a California Economic Development Strategic Plan, as specified.

begin insert

Existing law establishes the California Economic Development Fund in the State Treasury for the purpose of receiving federal, state, local, and private economic development funds, and receiving repayment of loans or grant proceeds and interest on those loans or grants.

end insert begin insert

This bill would provide that moneys in the fund may be expended by the Governor’s Office of Business and Economic Development to provide matching funds for loans or grants to public agencies, nonprofit organizations, and private entities, and for other economic development purposes, consistent with the purposes for which the moneys were received, thereby making an appropriation.

end insert

Existing law provides that an employer, with certain exceptions, may not order a mass layoff, relocation, or termination, as defined, at a covered establishment without giving 60 days’ prior written notice to employees and the Employment Development Department and other local agencies, as well as complying with specified federal guidelines.

This bill would require the employer to also provide written notice to the Governor’s Office of Business and Economic Development and require the Employment Development Department to post the notice on its Internet Web site.

Vote: majority. Appropriation:  begin delete no end delete begin insert yes end insert . Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

SECTION 1.  

Section 12096.35 is added to the Government
Code, to read:

12096.35.  

(a) The office shall lead the preparation of a
California Economic Development Strategic Plan. In fulfilling this
duty, the office shall commission a study that includes, but is not
limited to, all of the following:

(1) Recommendations regarding an economic development
strategic plan for the state, covering a two-year period for the first
report and a three-year time period for subsequent reports and
containing a statement of economic goals for the state.

(2) Governmental and nongovernmental impediments to
economic development and a list of legislative, regulatory, and
administrative reforms necessary to ease those impediments and
improvements to the business climate and economy of the state.

(3) An evaluation of the effectiveness of the state’s economic
development programs.

(4) A list of key industries in which the state shall focus its
economic development efforts, and strategies to foster job growth
and economic development covering all state agencies, offices,
boards, and commissions that have economic development
responsibilities.

(5) An evaluation of begin insert proposals, end insert policies begin insert , end insert and goals developed
at the regional level.

(6) Strengths and weaknesses of the California economy and
the state’s prospects for future economic prosperity.

(7) Existing, emerging, and declining industries in California
and elsewhere.

(8) Effectiveness of California’s economic development
programs in creating and retaining jobs and attracting industries.

(9) Adequacy of state and local physical and economic
infrastructure.

(10) Opportunities to leverage federal resources for state
priorities.

(11) Tactics for attracting private capital to the state and
investment in state priority areas.

(b) Upon completion of the study, the office shall convene a
stakeholder advisory group consisting of representatives from
businesses, labor unions, organizations representing the interests
of diverse ethnic and gender groups, local government leaders,
academic economists and business professors, chambers of
commerce and other business organizations, economic development
organizations, begin insert economic development groups focusing on regional
economies, end insert government agencies, and key industries to assist with
evaluating and preparing the California Economic Development
Strategic Plan.

(c) The office shall submit a report of its findings and
recommendations regarding subdivision (a) to the Governor and
the Legislature no later than October 1, 2014, with the next report
due October 1, 2016, and every three years following that date.
The report shall be submitted to the Legislature in the manner
required pursuant to Section 9795.

(d) The office shall electronically deliver copies of the
recommended California Economic Development Strategic Plan
to every constitutional officer, legislator, member of the Governor’s
cabinet, and every state agency, office, board, and commission
having economic development responsibilities.

begin insert

(e) In fulfilling the requirements of this section, the office may
utilize portions of previous studies that satisfy the requirements
of subdivision (a) to the extent feasible and relevant.

end insert begin insert

(f) The California Economic Development Strategic Plan may
be funded in whole or in part by nonstate funds.

end insert begin insert

(1) The Governor’s Office of Business and Economic
Development may accept nonstate moneys, including, but not
limited to, federal and private sector funds, for the purposes of
developing the California Economic Development Strategic Plan.
A donor shall not donate more than 25 percent of funding for the
California Economic Development Strategic Plan. The private
sector moneys shall be deposited in the California Economic
Development Fund.

end insert begin insert

(2) For each donation that it receives to fund the California
Economic Development Strategic Plan for this purpose, the
Governor’s Office of Business and Economic Development shall
post a report on its Internet Web site within 30 days of receiving
that donation. The report shall contain all of the following
information: name and address of the donor, amount of the
donation, and the date the donation was made.

end insert

begin insert

begin insert SEC. 2. end insert   

end insert

begin insert Section 13997.6 of the end insert begin insert Government Code end insert begin insert is amended
to read: end insert

13997.6.  

(a) The California Economic Development Fund is
hereby created in the State Treasury for the purpose of receiving
federal, state, local, and private economic development funds, and
receiving repayment of loans or grant proceeds and interest on
those loans or grants.

(b)  begin delete Upon appropriation by the Legislature, end delete begin insert Notwithstanding
Section 13340, end insert moneys in the fund may be expended by the
Governor’s Office of Business and Economic Development begin insert ,
without regard to fiscal year, end insert to provide matching funds for loans
or grants to public agencies, nonprofit organizations, and private
entities, and for other economic development purposes, consistent
with the purposes for which the moneys were received.

begin delete SEC. 2. end delete
begin insert SEC. 3. end insert   

Section 1401 of the Labor Code is amended to read:

1401.  

(a) An employer may not order a mass layoff, relocation,
or termination at a covered establishment unless, 60 days before
the order takes effect, the employer gives written notice of the
order to the following:

(1) The employees of the covered establishment affected by the
order.

(2) (A) The Employment Development Department, the
Governor’s Office of Business and Economic Development, the
local workforce investment board, and the chief elected official
of each city and county government within which the termination,
relocation, or mass layoff occurs.

(B) The Employment Development Department shall, upon
receipt of the notice, post the notice on its Internet Web site.

(b) An employer required to give notice of any mass layoff,
relocation, or termination under this chapter shall include in its
notice the elements required by the federal Worker Adjustment
and Retraining Notification Act (29 U.S.C. Sec. 2101 et seq.).

(c) Notwithstanding the requirements of subdivision (a), an
employer is not required to provide notice if a mass layoff,
relocation, or termination is necessitated by a physical calamity
or act of war.