Bill Text: CA AB1777 | 2009-2010 | Regular Session | Amended
Bill Title: Creative Industries and Community Economic
Spectrum: Partisan Bill (Democrat 5-0)
Status: (Introduced - Dead) 2010-05-28 - In committee: Set, second hearing. Held under submission. [AB1777 Detail]
Download: California-2009-AB1777-Amended.html
BILL NUMBER: AB 1777 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY APRIL 5, 2010
INTRODUCED BY Assembly Member Portantino
( Coauthors: Assembly Members
Blumenfield and Salas )
(Coauthors: Senators DeSaulnier and Liu)
FEBRUARY 9, 2010
An act to add Chapter 9.1 (commencing with Section 8758) to
Division 1 of Title 2 of the Government Code, and to add Section
7101.2 to the Revenue and Taxation Code, relating to the arts.
LEGISLATIVE COUNSEL'S DIGEST
AB 1777, as amended, Portantino. Creative Industries and Community
Economic Revitalization Act of 2010.
The Sales and Use Tax Law imposes a tax on the gross receipts from
the sale in this state of, or the storage, use, or other consumption
in this state of, tangible personal property, and requires that all
revenues derived from that tax, except as provided, be deposited in
the State Treasury to the credit of the Retail Sales Tax Fund.
Existing
Existing law establishes in state government the
California Arts Council and imposes various duties on the council to
foster arts development and to award grants and prizes to individuals
and organizations in the arts, as provided.
This bill would establish the Creative Industries and Community
Economic Revitalization Act of 2010, which would create, in the State
Treasury, the Creative Industries and Community Economic
Revitalization Fund.
The bill would require that 20% of all revenues derived from the
payment of sales and use taxes that are remitted to the State Board
of Equalization by the taxpayers engaged in specified lines of
business, as provided, be deposited in the fund. The council would be
authorized to expend the moneys in the fund, upon appropriation by
the Legislature, to issue grants pursuant to the act.
The bill would authorize a city, county, district, including, but
not limited to, a regional park district, a joint powers authority,
or a nonprofit arts organization deemed eligible by the council, to
apply to the council for a local assistance program grant for
organizational support. The council would be required, when issuing a
grant, to encourage joint partnerships between applicants, and to
submit an annual report to the Legislature that includes the status
of each grant made pursuant to the act.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. The Legislature finds and declares all of the
following:
(a) Life in this state is enriched by art, innovation, and
creativity.
(b) The source of art is in the natural flow of the human mind,
but realizing craft and beauty is demanding, and the people of the
state desire to encourage and nourish these skills wherever they
occur, to the intrinsic and extrinsic benefit of all.
(c) Every dollar in state support for the arts leverages seven
dollars ($7) in earned and contributed revenue.
(d) This state's cultural enterprises provide approximately
500,891 jobs for its residents, accounting for 7.6 percent of total
employment.
(e) Nonprofit arts organizations contribute five billion four
hundred thousand dollars ($5,000,400,000) to this state's economy
and generate three hundred million dollars ($300,000,000) in
state and local taxes.
(f) Nonprofit arts organizations help
the state meet its obligations in the field of education by serving
schoolchildren, college and university students, teachers, and adults
through fieldtrips, assemblies, training, and outreach programs that
enhance and strengthen instruction provided by the public sector
.
(f)
(g) Nonprofit arts organizations are a partner to the
creative industries, and play a key role in the 21st century
workforce and the global economy, including in the fields of
architecture, advertising, consulting, education, performing arts,
museums, and other cultural industries, design, including electronic
design, software development, film, games, including computer games,
historic preservation, music, new media, publishing, radio and
television, and tourism.
(g)
(h) An investment in the arts and the creative economy
industries can revitalize a neighborhood or area by accomplishing all
of the following:
(1) Stimulating the economy.
(2) Engaging residents.
(3) Drawing tourists.
(4) Providing a sense of community.
(5) Serving as a gathering place.
(6) Encouraging creativity.
(7) Strengthening community partnerships.
(8) Promoting the arts and supporting artists.
(9) Developing a positive image for the area.
(10) Enhancing property values.
(11) Capitalizing on local cultural, economic, and social assets.
(12) Creating jobs.
SEC. 2. Chapter 9.1 (commencing with Section 8758) is added to
Division 1 of Title 2 of the Government Code, to read:
CHAPTER 9.1. CREATIVE INDUSTRIES AND COMMUNITY ECONOMIC
REVITALIZATION ACT OF 2010
8758 . (a) For purposes of this chapter, the following
definitions shall apply:
(1) "Council" means the California Arts Council established
pursuant to Section 8751.
(2) "Fund" means the Creative Industries and Community Economic
Revitalization Fund established pursuant to Section 8758.1.
(b) This chapter shall be known, and may be cited, as the
Creative Industries and Community Economic Revitalization Act of
2010.
8758.1. (a) All revenues collected pursuant to Section 7101.2 of
the Revenue and Taxation Code shall be deposited in the Creative
Industries and Community Economic Revitalization Fund, which is
hereby established in the State Treasury.
(b) Notwithstanding Section 8753.5, the money in the fund may be
expended by the council, upon appropriation by the Legislature, to
issue grants pursuant to this chapter.
8758.2. (a) A city, county, district, including, but not limited
to, a regional park district, a joint powers authority, or a
nonprofit arts organization deemed eligible by the council, may apply
to the council for a local assistance program grant for
organizational support.
(b) The council, when issuing a grant pursuant to this chapter,
shall encourage joint partnerships between applicants to enhance
investment of public resources to enable the growth of the creative
economy in communities throughout the state.
(c) The council shall submit an annual report to the Legislature
that includes the status of each grant made pursuant to this chapter.
SEC. 3. Section 7101.2 is added to the Revenue and Taxation Code,
to read:
7101.2. Notwithstanding Section 7101, 20 percent of all revenues,
less refunds, derived from the taxes imposed pursuant to Sections
6051 and 6201 and remitted to the board by the taxpayers identified
in the board's records as engaged in those lines of business
described in Codes 11 and 15 of the board's business classification
coding system or Codes 451100, 453920, and 453998 of the North
American Industry Classification System, provided that the board has
fully implemented use of the North American Industry Classification
System, which would otherwise be deposited in the General Fund, shall
be deposited in the Creative Industries and Community Economic
Revitalization Fund for purposes of implementing Chapter 9.1
(commencing with Section 8758) of Division 1 of Title 2 of the
Government Code.
