BILL ANALYSIS Ó
AB 117
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(Without Reference to File)
CONCURRENCE IN SENATE AMENDMENTS
AB
117 (Committee on Budget)
As Amended June 16, 2015
Majority vote. Budget Bill Appropriation Takes Effect
Immediately
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|ASSEMBLY: |51-27 |(March 23, |SENATE: | |(June 19, 2015) |
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(vote not relevant) (vote not available)
Original Committee Reference: BUDGET
SUMMARY: Includes a statutory provision related to general
government necessary to enact the 2015 Budget Act.
Specifically, this bill:
1)Aligns appropriation language contained in the Insurance Law
related to debentures with language in the General Obligation
(GO) bonds. This amendment would conform the Insurance Law
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with GO Bond acts to ensure that debentures are paid on a
payable schedule identical to GO bonds.
2)Requires the State Treasurer to take appropriate steps to
provide that interest on the debentures is exempt from the
federal taxation.
3)Amends existing law that provides that in the event that the
fund fails to pay the principal or interest on debentures
issued, then the State Treasurer is required to pay out of
money in the State Treasury to instead require the General
Fund to pay the funds.
4)Provides a one-year extension for the Jobs and Economic
Improvement Through Environmental Leadership Act of 2011
(Act). Under current law, the Act created an expedited
judicial review procedures under the California Environmental
Quality Act (CEQA) for various types of infill site projects,
clean renewable energy projects, and clean energy
manufacturing projects.
FISCAL EFFECT: Statutory changes contained in this bill related
to state costs are consistent with the 2015-16 budget package.
COMMENTS: The trailer bill language is technical and ensures
that debentures be paid on par with the State's General
Obligation bonds. The proposed change was brought about when
the Treasurer's Office was reviewing where the state could be
vulnerable. The impact of the proposed amendment is limited to
the California Health Facility Construction Loan Insurance Law
contained in Health and Safety Code Sections 129000 through
129355. Additionally, the trailer bill language would provide a
one year extension for the Act.
Analysis Prepared by:
Genevieve Morelos / BUDGET / (916) 319-2099 FN:
AB 117
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