Amended in Assembly April 16, 2013

California Legislature—2013–14 Regular Session

Assembly BillNo. 1067


Introduced by Assembly Member Medina

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(Coauthors: Assembly Members Brown, Fox, and V. Manual Pérez)

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February 22, 2013


An act to add Chapter 4.2 (commencing with Section 6315) to Division 7 of Title 1 of the Government Code, relating to economic development.

LEGISLATIVE COUNSEL’S DIGEST

AB 1067, as amended, Medina. Economic development: foreign trade.

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 establish the California Foreign Investment Program. The bill would require the Governor’s Office of Business and Economic Development to serve as the lead state entitybegin delete under specified provisions of the federal Immigration and Nationality Actend deletebegin insert for overseeing the state’s participation with the U.S. Citizenship and Immigration Servicesend insertbegin insert’ EB-5 Investment Programend insert.begin delete The bill would authorize the office take all necessary action to assist individuals seeking to invest in this state through the EB-5 Program including, but not limited to, providing a support letter for regional center applications to the United States Citizenship and Immigration Service.end delete The bill would require thebegin delete Directorend deletebegin insert directorend insert of the office tobegin delete, among other things, establish reporting and monitoring requirements, as specifiedend deletebegin insert set the terms and conditions for issuing a state designation letter for target employment areas within the structure and scope of the EB-5 Investment Program and to post on the office’s Internet Web site a list with the contact information for each regional center, as specifiedend insert.begin delete The bill would authorize specified public or private corporation to establish, operate, and maintain a regional center, as specified.end deletebegin insert The bill would require a regional center operating in the state to provide the office with, among other things, information on the number of clients served, the location of investments, and the number of direct and indirect jobs created. The bill would authorize the office to provide a support letter for regional center applications to the U.S. Citizenship and Immigration Service. The bill would authorize a public corporation, as defined, that is authorized to establish, operate, and maintain a regional center to provide for indemnity or assurance to the federal government, as specified, and to deposit moneys with the federal government, as specified. The bill would apply only to EB-5 activities of the state relating to the EB-5 Investment Program occurring on or after January 1, 2014.end insert

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

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

P2    1

SECTION 1.  

Chapter 4.2 (commencing with Section 6315) is
2added to Division 7 of Title 1 of the Government Code, to read:

3 

4Chapter  4.2. California Foreign Investment Program
5

 

6

6315.  

(a) This chapter shall be known and may be cited as the
7California Foreign Investment Program.

8(b) For purposes of this chapter:

9(1) “Director” means the Director of the Governor’s Office of
10Business and Economic Development.

11(2) “Office” means the Governor’s Office of Business and
12Economic Development.

13(3) “Public corporation” means the state, any political
14subdivision thereof, any incorporated municipality therein, any
15public agency of the state, of any political subdivision thereof, or
P3    1of any municipality therein, or any corporate municipal
2instrumentality of this state or of this state and one or more other
3states.

4(4) “EB-5begin insert Investmentend insert Program” and the “Foreign Investment
5Program” means Section 203(b)(5) of the Immigration and
6Nationality Act (8 U.S.C. Sec. 1153(b)(5)).

7

6315.1.  

(a) The office shall serve as the lead state entity for
8overseeing the state’s participation with the United States
9Citizenship and Immigration Service’s EB-5begin insert Investmentend insert Program.
10begin deleteTheend delete

11begin insert(b)end insertbegin insertend insertbegin insertTheend insert director shall set the terms and conditions for issuing a
12state designation letterbegin insert for target employment areasend insert within the
13structure and scope of the EB-5begin insert Investmentend insert Program.

begin delete

14(b)

end delete

15begin insert(c)end insert (1) begin deleteAn applicant for federal designation as a end deletebegin insertA end insertregional
16centerbegin insert operating in the state end insert shallbegin delete register with the office andend delete
17 provide the office with begin deleteappropriateend delete contact informationbegin delete and other
18information determined by the office as relevant to the operation
19of the EB-5 Program in this stateend delete
begin insert for the center and the geographic
20region and industry sector or subsectors recognized by the United
21States Citizenship and Immigration Services (USCIS) for that
22centerend insert
.

23(2) A regional center operating within this state shall annually
24provide information to the office on the number of clients served,
25location of investments, and number of direct and indirect jobs
26created.begin insert The regional center may satisfy this requirement by
27submitting a copy of Form I-9224A of the (USCIS) to the office.end insert

28(c) (1) An applicant for a visa from the United States
29Citizenship and Immigration Service under the EB-5 Program may
30register with the office.

31(2) The office may provide assistance to an applicant, registered
32with the office pursuant to this subdivision, with the applicant’s
33EB-5 visa application.

34(3) The office may charge a fee for these services.

35(d) begin delete(1)end deletebegin deleteend deleteThe office may provide a support letter for regional
36center applications to thebegin delete United States Citizenship and
37Immigration Serviceend delete
begin insert (USCIS)end insert.

begin delete

38(2) The director shall, consistent with federal and state
39requirements, at a minimum establish reporting and monitoring
40requirements that identify the number of businesses assisted, the
P4    1size of those businesses by number of employees and gross
2revenues, and the number of jobs created and retained.

end delete
begin delete

3(3)

end delete

4begin insert(e)end insert The director shall post on the office’s Internet Web site a
5list with contact information for each regional centerbegin delete applicant that
6receives a designation letter from the directorend delete
begin insert where information
7is readily available to the office. The list shall be updated when
8new information is made available on at least an annual basisend insert
.

9

6315.2.  

(a) Any public or private corporation authorizedbegin delete by
10this chapter to applyend delete
to establish, operate, and maintain a regional
11center whose application is granted pursuant to the terms of the
12Immigration and Nationality Act may establish, operate, and
13maintain the regional center subject to the conditions and
14restrictions of the EB-5begin insert Investmentend insert Program, and any amendments
15thereto, and any conditions and restrictions established by the
16director pursuant to this chapter.

17(b) If authorized to establish, operate, and maintain a regional
18center, a public corporation may, in addition to its other powers,
19do either of the following:

20(1) Provide for indemnity or assurance to the federal government
21or its agencies as they may request.

22(2) Deposit moneys with the federal government, as the federal
23government or its agencies may request, provided those moneys
24are available by direct appropriation or otherwise.

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25

6315.3.  

The office may take all necessary action to assist
26individuals seeking to invest in this state through the EB-5
27Program, including, but not limited to, collaborating with the
28United States Department of Justice in assisting applicants in
29obtaining the necessary security background checks for the
30program.

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31

begin delete6315.4.end delete
32begin insert6315.3.end insert  

This chapter shall apply only to EB-5 activities of the
33state relating to the EB-5begin insert Investmentend insert Program occurring on or after
34January 1, 2014.



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