BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  SB 643
                                                                  Page  1

          Date of Hearing:   July 6, 2011

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Felipe Fuentes, Chair

                     SB 643 (Correa) - As Amended:  May 10, 2011 

          Policy Committee:                              Business and 
          Professions  Vote:                            9 - 0 

          Urgency:     No                   State Mandated Local Program: 
          No     Reimbursable:              

           SUMMARY  

          This bill requires state agencies, when adopting building 
          standard regulations that impact housing, to disclose 
          information on costs and benefits of the regulation used by the 
          state agency to perform the required economic analysis. 

           FISCAL EFFECT  

          The Department of Housing and Community Development (HCD) 
          estimates the costs to complete and include the additional 
          analysis could exceed $200,000 per year. 

           COMMENTS  

           Rationale  . The author argues that under current law state 
          agencies include "boiler plate" language in their economic 
          impact statement that declare the agency has determined that 
          there will be no significant impacts on businesses due to the 
          proposed legislation. The author believes that more detail 
          should be required so that businesses and individuals affected 
          will know what it will actually cost to comply with a proposed 
          regulation.

          SB 643 would require a state agency that develops a regulation 
          that impacts housing to include in their initial statement of 
          reasons the estimated cost of compliance and the related 
          assumptions used in determining that estimate.


           Analysis Prepared by  :    Julie Salley-Gray / APPR. / (916) 
          319-2081 








                                                                  SB 643
                                                                  Page  2