BILL ANALYSIS Ó AB 1533 Page 1 Date of Hearing: May 27, 2015 ASSEMBLY COMMITTEE ON APPROPRIATIONS Jimmy Gomez, Chair AB 1533 (Committee on Jobs, Economic Development, and the Economy) - As Amended May 15, 2015 ----------------------------------------------------------------- |Policy |Jobs, Economic Development, |Vote:|8 - 0 | |Committee: |and the Economy | | | | | | | | | | | | | |-------------+-------------------------------+-----+-------------| | | | | | | | | | | | | | | | |-------------+-------------------------------+-----+-------------| | | | | | | | | | | | | | | | ----------------------------------------------------------------- Urgency: No State Mandated Local Program: NoReimbursable: No SUMMARY: This bill revises the definition of "economic development facilities" to include facilities that are used to provide goods movement and "port facilities" to specifically reference AB 1533 Page 2 airports, landports, waterports, and railports, for purposes of the California Infrastructure and Economic Development Bank (I-Bank) Act. This bill also transfers authority over the federal Economic Development Adjustment Assistance (EDAA) Grant and the Sudden and Severe Economic Dislocation Grant from the Governor's Office of Business and Economic Development (GO-Biz) to the I-Bank. FISCAL EFFECT: Administrative costs to the I-Bank, not likely to exceed $150,000, to administer grant funds as specified. COMMENTS: Purpose. Over a decade ago, California received $2 million from the federal Economic Development Agency through the EDAA Grant, which funds economically-distressed communities, and the Sudden and Severe Economic Dislocation Grant Program, which provides capital to businesses in economically-distressed areas. The EDAA was administered by the Business, Transportation and Housing (BTH) agency through 2013. When the BTH was eliminated in 2013, pursuant to the Governor's reorganization plan, the California Small Business Expansion Fund (including the EDAA grant) and the program authority to oversee the EDAA grant, were transferred to GO-Biz. Other 2013 legislation, chaptered after the reorganization bill, transferred the California Small Business Expansion Fund to the I-Bank. According to the author, this bill proposes a more streamlined organization structure for the federal funds by authorizing the I-Bank to oversee both the money and program implementation responsibility. AB 1533 Page 3 This bill also reorganizes the placement of certain definitions, clarifies some definitions, and updates cross references within the I-Bank's definition code sections. Analysis Prepared by:Misty Feusahrens / APPR. / (916) 319-2081