BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 1733
                                                                  Page  1

          Date of Hearing:   April 21, 2010 

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Felipe Fuentes, Chair

                  AB 1733 (Hill) - As Introduced:  February 4, 2010

          Policy Committee:                              Health Vote:18-0
                        Business & Professions                11-0

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:              No

           SUMMARY  

          This bill requires the governor to establish the position of  
          Director of California Biotechnology Retention and Recruitment  
          (Director) within the Governor's Office. Requires the Director  
          to serve as a regulatory and informational resource to companies  
          within California and to provide support to companies outside  
          the state that are interested in relocating to California.  
          Requires the position to be funded within existing resources. 

           FISCAL EFFECT  

          1)Annual GF costs in the range of $300,000 to support a high  
            level staff member conversant in biotechnology generally and  
            life science regulatory affairs specifically, including  
            expertise in garnering support of companies from outside of  
            California. This cost estimate includes a half-time support  
            staff and a travel budget to support out-of-state travel. 

          2)This bill specifies that the Director will be hired from  
            within existing resources. The Governor's Office, like many  
            state agencies has been subject to a 15% reduction in wages  
            and time worked, per executive furlough orders. It is unclear  
            there are any existing resources to be dedicated to the  
            workload established in this bill. 

           COMMENTS  

           Rationale  . This bill establishes a high-level position within  
          the Governor's Office to foster the growth of California's  
          biotechnology industry through increased collaboration between  
          state government, universities, and private sector companies.  








                                                                  AB 1733
                                                                  Page  2

          California is home to over 2,000 biomedical companies. However,  
          according to the author, recent industry surveys show a  
          significant portion of companies are considering moving  
          manufacturing out-of-state. In addition to cost pressures for  
          companies operating in California, nations such as China and  
          Ireland are offering specific incentives for companies to  
          relocate overseas. The position established in this bill will  
          increase statewide focus on maintaining and increasing the  
          amount of biomedical business activity in California. 


          Analysis Prepared by  :    Mary Ader / APPR. / (916) 319-2081