AB 250, as introduced, Holden. California Innovation Hub Program.
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 create the California Innovation Hub Program within the Governor’s Office of Business and Economic Development. The bill would require the office to designate Innovation Hubs, as specified. The bill would authorize the office, with the consent of the Director of the Department of General Services, to use vacant or underused state-owned or leased property, or both, that is controlled by the Department of General Services, as specified. The bill would authorize specified state property, when authorized by law, to be used as matching funds to meet federal funding requirements.
Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.
The people of the State of California do enact as follows:
Article 6 (commencing with Section 12099) is
2added to Chapter 1.6 of Part 2 of Division 3 of Title 2 of the 3Government Code, to read:
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(a) The California Innovation Hub Program is hereby
8created within the office.
9(b) The office shall designate Innovation Hubs within the state
10to stimulate partnerships, economic development, and job creation
11by leveraging assets to provide an innovation platform for startup
12businesses, economic development organizations, business groups,
13and venture capitalists. The assets may include, but are not limited
14to, research parks, technology incubators, universities, and federal
15laboratories.
16(c) The office shall oversee, coordinate, and provide assistance
17to each iHub.
For purposes of this article, the following terms shall
19be defined as follows:
20(a) “Demonstration site” means state owned or leased property
21that can be used by an innovative business or nonprofit organization
22to demonstrate its technologies pursuant to a demonstration
23agreement.
24(b) “Innovation Hub” (iHub) means a network of interrelated
25firms and industries that collectively drive economic growth within
26a defined geographic area.
(a) An iHub may do all of, but shall not be limited
28to, the following:
29(1) Provide counseling and technical assistance, either by direct
30or indirect services, in the areas of entrepreneurial business
31planning and management, financing, and marketing for small
32businesses.
33(2) Provide expert advice to entrepreneurs on starting a business,
34including legal requirements for starting a business and access to
35financing opportunities.
36(3) Conduct business workshops, seminars, and conferences
37with local partners including, but not limited to, state universities,
38state community colleges, local governments, state and federal
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service providers, private industry, workforce investment boards
2and agencies, small business service agencies, economic
3development organizations, and chambers of commerce.
4(4) Facilitate partnerships between innovative startup businesses,
5research institutions, and venture capitalists or financial institutions.
6(b) The iHubs shall, to the extent feasible, do all of the
7following:
8(1) Work in close collaboration with the activities of the office
9as its primary statewide partner.
10(2) Coordinate activities with the Employment Training Panel,
11the California Workforce Investment Board, the Office of the
12Chancellor of the California Community Colleges, the University
13of California, the California State University, and other state
14economic and workforce
development programs.
(a) Notwithstanding any other law, the office may,
16with the consent of the Director of the Department of General
17Services, use vacant or underused state owned or leased property,
18or both, that is controlled by the Department of General Services
19for purposes including, but not limited to, assisting iHubs establish
20proof of concept centers, incubators, and demonstration sites.
21(b) State property under this section, when authorized by law,
22may be used as matching funds to meet federal funding
23requirements.
(a) The office may authorize a business or nonprofit
25organization to use a state-owned or leased property, or both,
26pursuant to Section 12099.3.
27(b) The office shall enter into a demonstration agreement with
28the business or nonprofit organization before a demonstration of
29an emerging technology may occur on state-owned or leased
30property.
31(c) A demonstration agreement shall include all of the following:
32(1) A provision that the business or nonprofit organization agrees
33to indemnify the state against any liability or damages that may
34result from the demonstration.
35(2) A provision that authorizes the Department of General
36Services and the office to stop the demonstration if the innovative
37business has falsified or withheld information that should have
38been disclosed about the demonstration.
P4 1(3) A provision that the business agrees to purchase insurance
2coverage necessary, as determined by the state, to cover the costs
3to the state for any risks.
4(4) A certification by the innovative business that the
5demonstration project meets all current applicable industry
6standards, laws, and applicable regulations and can safely be
7demonstrated. The office may require proof of such.
8(5) Other provisions determined by the office to be relevant for
9the successful and safe undertaking of the demonstration.
10(b) State-owned or leased property under this
section shall be
11used only in furtherance of this chapter.
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