BILL NUMBER: SB 225	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  AUGUST 22, 2011
	AMENDED IN ASSEMBLY  JULY 13, 2011
	AMENDED IN ASSEMBLY  JUNE 29, 2011

INTRODUCED BY   Senator Simitian
   (Principal coauthor: Assembly Member Achadjian)

                        FEBRUARY 9, 2011

   An act to amend Section 44559.11 of, and to add Section 44559.12
to, the Health and Safety Code, relating to the California Pollution
Control Financing Authority  , and declaring the urgency thereof,
to take effect immediately .


	LEGISLATIVE COUNSEL'S DIGEST


   SB 225, as amended, Simitian. California Pollution Control
Financing Authority: Capital Access Loan Program. 
   The 
    (1)     The  California Pollution
Control Financing Authority Act establishes the Capital Access Loan
Program for small businesses, administered by the California
Pollution Control Financing Authority, which provides loans through
participating financial institutions to qualifying small businesses.
The authority is required to create a loss reserve account for each
financial institution. The act authorizes the authority to enact
regulations for the distribution of specified funds paid to the
authority.
   This bill would authorize the authority to establish loss reserve
accounts for the purposes of financing terminal rental adjustment
clause leasing, if funds are available for contribution into the loss
reserve account from any source other than the authority. The bill
would prohibit, for purposes of the loss reserve accounts for
terminal rental adjustment clause leasing, the use of funds provided
by the federal government for the purposes of providing a loan loss
reserve program. 
   (2) This bill would declare that it is to take effect immediately
as an urgency statute. 
   Vote:  majority   2/3  . Appropriation:
no. Fiscal committee: yes. State-mandated local program: no.


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

  SECTION 1.  Section 44559.11 of the Health and Safety Code is
amended to read:
   44559.11.  (a) It is the intent of the Legislature to ensure that
the state, through the authority, may make maximum, efficient use of
capital access programs enacted by all federal and state agencies, as
well as funding available from any governmental program whose goals
may be advanced by providing funding to the Capital Access Loan
Program.
   (b) In furtherance of this intent, and notwithstanding any other
provision of this article, when the contributions required pursuant
to Section 44559.4 are entirely funded by a source other than the
authority, the authority may, by regulation adopted pursuant to
subdivision (b) of Section 44520, establish alternate provisions as
necessary to enable the authority to participate in the alternative
funding source program.
  SEC. 2.  Section 44559.12 is added to the Health and Safety Code,
to read:
   44559.12.  (a) Consistent with subdivision (b) of Section
44559.11, the authority may establish loss reserve accounts for the
purposes of financing terminal rental adjustment clause leasing, if
funds are available for contribution into the loss reserve account
from any source other than the authority. The authority shall not
contribute any funds into a loss reserve account created pursuant to
this section. Funds provided by the federal government for the
purposes of providing a loan loss reserve program shall not be
contributed to an account created pursuant to this section.
   (b) The executive director may establish conditions for terminal
rental adjustment clause leasing loss reserve accounts created
pursuant to this section.
   (c) As used in this section, "terminal rental adjustment clause"
means "terminal rental adjustment clause" as defined in Section 7701
(h)(3) of Title 26 of the United States Code.
   SEC. 3.    This act is an urgency statute necessary
for the immediate preservation of the public peace, health, or safety
within the meaning of Article IV of the Constitution and shall go
into immediate effect. The facts constituting the necessity are:
 
   In order to ensure that the Capital Access Loan Program may
finance new programs for the protection of the environment, at the
earliest possible time, it is necessary for this act to take effect
immediately.