BILL ANALYSIS Ó
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|SENATE RULES COMMITTEE | AB 1533|
|Office of Senate Floor Analyses | |
|(916) 651-1520 Fax: (916) | |
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THIRD READING
Bill No: AB 1533
Author: Committee on Jobs, Economic Development, and the
Economy
Amended: 8/31/15 in Senate
Vote: 21
SENATE BUS, PROF. & ECON. DEV. COMMITTEE: 9-0, 7/6/15
AYES: Hill, Bates, Berryhill, Block, Galgiani, Hernandez,
Jackson, Mendoza, Wieckowski
SENATE APPROPRIATIONS COMMITTEE: 7-0, 8/27/15
AYES: Lara, Bates, Beall, Hill, Leyva, Mendoza, Nielsen
ASSEMBLY FLOOR: 80-0, 6/1/15 - See last page for vote
SUBJECT: Infrastructure financing
SOURCE: Author
DIGEST: This bill transfers fiscal responsibility for federal
funds from the Governors Office of Business and Economic
Development to the Valley Economic Development Corporation.
ANALYSIS:
Existing law requires the Director of the Governor's Office of
Business and Economic Development (GO-Biz) to administer the
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Economic Adjustment Assistance Grant (Assistance Grant) funded
through the United States Economic Development Administration
under Title IX of the Public Works and Economic Development Act
of 1965 (Grant No. 07-19-02709 and 07-19-2709.1).
(GC § 12098.7)
This bill codifies the transfer of Assistance Grant monies to
the Valley Economic Development Center, Inc., dismisses the
State of California as the grantee and names the Valley Economic
Development Center, Inc. as the successor grantee and assigns
responsibilities and authorities associated with the Assistant
Grant funds from GO-Biz to the Valley Economic Development
Center, Inc.
Background
Over a decade ago, California received $2 million from the
federal Economic Development Agency (EDA) through an Economic
Adjustment Assistance Grant, which provides funding to serve
economically-distressed communities, and the Sudden and Severe
Economic Dislocation Grant Program, which provides capital to
businesses in economically-distressed areas. This bill stems
from concerns that the Assistance grant funds were not tracked
for a period of years following the elimination of the state
Technology, Trade and Commerce Agency during which time, EDA
sought reimbursement for the outstanding amount of the
Assistance Grants. While the state has permanently transferred
the responsibility for the federal grant funds, the author wants
to provide a clear statutory record in order to ensure local
economic development organizations are not negatively impacted
in their future attempts to receive federal economic development
monies based on the incorrect perception that the state did not
responsibly oversee these funds.
FISCAL EFFECT: Appropriation: No Fiscal
Com.:YesLocal: No
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According to the Senate Committee on Appropriations, this bill
will not result in cost to the state.
SUPPORT: (Verified8/31/15)
None received
OPPOSITION: (Verified8/31/15)
None received
ASSEMBLY FLOOR: 80-0, 6/1/15
AYES: Achadjian, Alejo, Travis Allen, Baker, Bigelow, Bloom,
Bonilla, Bonta, Brough, Brown, Burke, Calderon, Campos, Chang,
Chau, Chávez, Chiu, Chu, Cooley, Cooper, Dababneh, Dahle,
Daly, Dodd, Eggman, Frazier, Beth Gaines, Gallagher, Cristina
Garcia, Eduardo Garcia, Gatto, Gipson, Gomez, Gonzalez,
Gordon, Gray, Grove, Hadley, Harper, Roger Hernández, Holden,
Irwin, Jones, Jones-Sawyer, Kim, Lackey, Levine, Linder,
Lopez, Low, Maienschein, Mathis, Mayes, McCarty, Medina,
Melendez, Mullin, Nazarian, Obernolte, O'Donnell, Olsen,
Patterson, Perea, Quirk, Rendon, Ridley-Thomas, Rodriguez,
Salas, Santiago, Steinorth, Mark Stone, Thurmond, Ting,
Wagner, Waldron, Weber, Wilk, Williams, Wood, Atkins
Prepared by:Sarah Mason / B., P. & E.D. / (916) 651-4104
8/31/15 14:34:21
**** END ****
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