BILL ANALYSIS
AB 2443
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CONCURRENCE IN SENATE AMENDMENTS
AB 2443 (V. Manuel Perez)
As Amended June 21, 2010
Majority vote
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|ASSEMBLY: |47-25|(May 17, 2010) |SENATE: |22-13|(August 12, |
| | | | | |2010) |
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Original Committee Reference: J., E.D. & E.
SUMMARY : Makes a number of changes to the state's international
and foreign relations activities including:
1)Requiring the state point of contact (SPOC) to provide the
Legislature with copies of any official position taken or
comments made to the United States Trade Representative (USTR)
relating to a pending trade agreement.
2)Codifying the process whereby Sister State relationships are
entered into by the Legislature and the Administration.
The Senate amendments add the framework and timeline for the
adoption and implementation of a Sister State relationship.
Among other requirements, the measure:
1)Authorizes the establishment of Sister State relationships for
the purpose of promoting the economic growth and well-being of
small, medium, and large companies by increasing their
potential for trade and investment; providing a forum for
sustained goodwill and cooperation between the elected leaders
of the State of California and the Sister State; and promoting
bilateral ties that lead to a more indelible and lasting
relationship between the citizens of California and the
citizens of Sister State.
2)Provides that a Sister State relationship shall be established
by either a resolution approved by both houses of the
Legislature, or by Executive Order of the Governor. The
resolution of EO is required to clearly define the terms,
conditions, and objectives of the Sister State Relationship.
3)Requires that each Sister State relationship be logged with
the Governor's Office of Planning and Research.
AB 2443
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EXISTING LAW :
1)Specifies that the SPOC acts, in compliance with federal
practice, as the liaison between the state and the Office of
the USTR on trade-related matters. State law recognizes that
the SPOC receives updates from the federal government on trade
policies and is often provided the opportunity to review and
comment on ongoing trade negotiations.
2)Requires the SPOC, in addition to any other duties assigned by
the Governor, to do both of the following:
a) Promptly disseminate information from the USTR to the
appropriate state agencies, departments, and legislative
committees; and,
b) Work with the Legislature and appropriate state agencies
to review the effects of any proposed or enacted trade
agreement provisions on California environment, businesses,
workers, and general lawmaking authority and to communicate
those findings to the USTR.
AS PASSED BY THE ASSEMBLY, the bill required the SPOC to provide
the Legislature with copies of any official position taken or
comments made to the USTR relating to a pending trade agreement.
FISCAL EFFECT : The bill was released by the Senate
Appropriations Committee pursuant to Senate Rule 28.8.
COMMENTS :
1)International trade is a very important component of
California's $1.8 trillion economy. In 2009, $120 billion in
goods were exported from California to over 200 countries.
Computers and electronic products were California's top
exports, accounting for 29.3% of all state exports, or $35
billion. If California were a country, it would be the 11th
largest exporter in the world.
2)With its global economy, Sister State relationships benefit
California businesses through expanded marketing and promotion
of California investment opportunities and strengthening the
California brand. This can be especially important to the
economic growth and well-being of small and medium-size
AB 2443
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companies, as well as rural and small communities who often
lack the capital and other resources to outreach to foreign
markets.
Although Sister State relationships have been entered into by
the state for decades, there has never been a specific
standard for review or even a single location where the public
could learn what relationships are currently active.
Establishing a process for the creation of Sister State
relationships promotes accountability and transparency in the
state's international relations, while additionally supporting
broad based promotion and marketing of California businesses.
3)The policy committee analysis includes an expended discussion
on the bill including additional information on California's
trade position within the global economy.
Analysis Prepared by : Toni Symonds / J., E.D. & E. / (916)
319-2090
FN: 0005370