BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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                                 THIRD READING


          Bill No:  SCR 53
          Author:   Corbett (D), et al
          Amended:  As introduced
          Vote:     21

           
          WITHOUT REFERENCE TO COMMITTEE OR FILE


           SUBJECT  :    New United Motor Manufacturing, Inc.

           SOURCE  :     Author


           DIGEST  :    This bill declares the Legislatures intent to do  
          everything in its power to keep the New United Motor  
          Manufacturing, Inc. in California.

           ANALYSIS  :    

          This resolution makes the following legislative findings:

          1. California once boasted eight automobile manufacturing  
             plants, however, today California has the only remaining  
             automobile manufacturing plant in the western United  
             States.

          2. The New United Motor Manufacturing, Inc. (NUMMI) located  
             in Fremont, represents a 50-50 joint venture formed in  
             1984 between General Motors Corporation and Toyota Motor  
             Corporation.

          3. NUMMI produces 250,000 cars and 170,000 trucks on an  
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             annual basis, and employees, 4,700 workers throughout  
             the San Francisco Bay Area and supports over 15,000 more  
             workers throughout the state.

          4. NUMMI supports local economies and major industries in  
             all areas of the state by purchasing products from over  
             1,000 suppliers, vendors and small-parts manufacturers.

          5. General Motors recently declared bankruptcy thereby  
             relinquishing its shares in NUMMI to Toyota or any other  
             entity willing to purchase those shares.

          6. The loss of NUMMI from California will have a  
             longstanding and devastating impact on the people and  
             economy of California.

          This resolution declares that is the Legislature's priority  
          to take swift and decisive action to protect its workers  
          and industries, and further declares its intent to do  
          everything in its power to keep NUMMI in California.

           FISCAL EFFECT  :    Fiscal Com.:  No

          JJA:do  7/22/09   Senate Floor Analyses 

                       SUPPORT/OPPOSITION:  NONE RECEIVED

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