BILL NUMBER: AB 2348	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 28, 2016

INTRODUCED BY   Assembly Member Levine
   (Coauthors: Assembly Members Bonta, Dahle, Eggman, Gomez, and
Nazarian)

                        FEBRUARY 18, 2016

   An act to add Section 13314 to the Government Code, relating to
state government, and making an appropriation therefor.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2348, as amended, Levine. Department of Finance: infrastructure
investment.
   Existing law creates the Department of Finance and provides that
the department has general powers of supervision over all matters
concerning the financial and business policies of the state.
   The Public Employees' Retirement Law (PERL) creates the Public
Employees' Retirement System  (PERS)and   (PERS)
and  provides a defined benefit to its members based on age at
retirement, service credit, and final compensation. PERL vests
management and control of PERS in the Board of Administration of the
Public Employees' Retirement System, including the exclusive control
of the investment of the retirement fund, and requires the board and
its officers and employees to discharge their duties with respect to
this system solely in the interest of the participants and
beneficiaries. 
   The Teachers' Retirement Law creates the State Teachers'
Retirement System and State Teachers' Retirement Plan for the purpose
of providing teachers and other specified employees with financially
sound retirement plans. The law provides for the administration of
the system and the plan by the Teachers' Retirement Board and
requires the board and its officers to discharge their duties with
respect to the system and the plan solely in the interest of the
members and beneficiaries.  
   The County Employees Retirement Law of 1937 authorizes counties
and districts to establish retirement systems for their employees and
vests management of the retirement system in the board of
retirement. 
   This bill would authorize the Department of Finance to identify
infrastructure projects in the state for which the department will
guarantee a rate of return on investment for an investment made in
that infrastructure project by the Public  Employment
  Employees   '  Retirement 
System, the State Teachers' Retirement Plan, or the retirement system
created pursuant to the County Employees Retirement Law of 1937.
  System.  The bill would create the Reinvesting in
California Special Fund as a continuously appropriated fund and
would require the moneys in the fund to be used to pay the rate of
return on investment. The bill would require the rate of return on
investment to be subject to the availability of moneys in the fund.
The bill would also state the intent of the Legislature to identify
special funds to be transferred into the fund for the purposes of
these provisions. By creating a new continuously appropriated fund,
this bill would make an appropriation.
   Vote: majority. Appropriation: yes. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 13314 is added to the Government Code, to read:

   13314.  (a) The Department of Finance may, subject to subdivision
(c), evaluate and identify infrastructure projects in the state for
which the department shall guarantee a rate of return on investment
for an investment made in that infrastructure project by the Public
 Employment   Employees   ' 
Retirement  System, the State Teachers' Retirement Plan, or
the retirement system created pursuant to the County Employees
Retirement Law of 1937 (Chapter 3 (commencing with Section 31450) of
Part 3 of Division 4 of Title 3).  System. 
   (b) There is hereby established in the State Treasury the
Reinvesting in California Special Fund. Notwithstanding Section
 13340   13340,  all moneys in the fund
shall be continuously appropriated without regard to fiscal years.
The moneys in the fund shall be used to pay the rate of return on
investment provided for in subdivision (a).
   (c) The rate of return on investment in subdivision (a) shall be
subject to the availability of moneys in the Reinvesting in
California Special Fund.
   (d) No General Fund moneys shall be deposited into the fund. It is
the intent of the Legislature to, through the Budget Act or other
measure, identify and deposit into the  fund,  
fund  special fund  moneys   moneys, 
including trust fund moneys that are otherwise legally available for
these purposes.