BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 1411
                                                                  Page  1

          Date of Hearing:   May 18, 2011

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Felipe Fuentes, Chair

            AB 1411 (Committee on Jobs) - As Introduced:  March 10, 2011 

          Policy Committee:                              Jobs Vote:6-0

          Urgency:     No                   State Mandated Local Program: 
          No     Reimbursable:              

           SUMMARY  

          This bill makes technical changes to the statutes related to the 
          Geographically Targeted Economic Development Areas (G-TEDAs).   
          Specifically, the bill:

          1)Changes the date the California Department of Housing and 
            Community Development (HCD) must submit the required six-year 
            report, to reflect only those years HCD administered the 
            programs and excludes the years when the now defunct 
            Technology, Trade and Commerce Agency administered the G-TEDA 
            programs.
             
          2)Eliminates the requirement that local governments comprising a 
            G-TEDA review the progress every two years.  However, the 
            governing board of the G-TEDA must still review and adopt the 
            biennial report submitted to HCD.

          3)Requires the six-year HCD report differentiate between the 
            progress of G-TEDAs designated before January 1, 2007 and 
            those designated after. 

          4)Eliminates the obsolete references and makes other technical 
            code changes.

           FISCAL EFFECT  

          Negligible.

           COMMENTS  

           1)Purpose.   According to the author, "AB 1411 is a 
            reintroduction of AB 1554 (JEDE) from 2009. Legislative 








                                                                  AB 1411
                                                                  Page  2

            Standing committees typically carry measures to update and 
            clean up the codes.  This bill makes non-substantive 
            technical, changes to the Government Code pertaining to 
            G-TEAs."  

           2)Geographically Targeted Economic Development Areas (G-TEDAs).   
            The G-TEDAs are among the largest state economic development 
            programs in California.  HCD administers four G-TEDA programs 
            including programs for enterprise zones, manufacturing 
            enhancement area, local area military base realignment areas 
            and targeted tax area.  The G-TEDA programs are based on the 
            principle that targeting significant economic incentives to 
            low-income communities allows these communities to more 
            effectively compete for new businesses and retain existing 
            businesses, resulting in increased tax revenues, less reliance 
            on social services, and lower public safety costs.  

           3)There is no registered opposition to this bill.  
           
           

           Analysis Prepared by  :    Roger Dunstan / APPR. / (916) 319-2081