Bill Text: CA AB2673 | 2011-2012 | Regular Session | Introduced
Bill Title: Economic development: enterprise zones.
Spectrum: Partisan Bill (Democrat 4-0)
Status: (Introduced - Dead) 2012-03-19 - Referred to Com. on J., E.D. & E. [AB2673 Detail]
Download: California-2011-AB2673-Introduced.html
BILL NUMBER: AB 2673 INTRODUCED
BILL TEXT
INTRODUCED BY Committee on Jobs, Economic Development, and the
Economy (Assembly Members V. Manuel Pérez (Chair), Beall, Block, and
Hueso)
MARCH 5, 2012
An act to amend Section 7085.1 of, and to add Section 7072.3 to,
the Government Code, relating to economic development.
LEGISLATIVE COUNSEL'S DIGEST
AB 2673, as introduced, Committee on Jobs, Economic Development,
and the Economy. Economic development: enterprise zones.
The Enterprise Zone Act provides for the designation and oversight
by the Department of Housing and Community Development of various
types of economic development areas throughout the state, including
enterprise zones, targeted tax areas, local agency military base
recovery areas (LAMBRAs), and manufacturing enhancement areas,
collectively known as geographically targeted economic development
areas, or G-TEDAs. Pursuant to these provisions, qualifying entities
in those areas may receive certain tax and regulatory incentives.
This bill would define, for purposes of the act, the term "census
tract" to include the term "census block group," and modify specified
reporting requirements to the Department of Housing and Community
Development.
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. Section 7072.3 is added to the Government Code, to
read:
7072.3. For purposes of this chapter, "census tract" shall also
mean "census block group."
SEC. 2. Section 7085.1 of the Government Code is amended to read:
7085.1. (a) The governing board of the G-TEDA shall report to the
department by October 1, 2008, and by that date every other year
thereafter, on the activities of the G-TEDA in the previous two
fiscal years and its plans for the current and following fiscal year.
The biennial report shall include at least both
all of the following:
(1) The progress the G-TEDA has made during the period covered by
the report relative to its goals, objectives, and commitments set
forth in its original application and the department's memorandum of
understanding with the G-TEDA.
(2) Identification of the previous two years' funding, including
in-kind funding. The previous two years' funding levels shall be
compared to the funding levels identified in its original application
and the department's memorandum of understanding with the G-TEDA,
and the amount identified in the previous year's
biennial report. An explanation of any meaningful discrepancies in
these amounts shall be provided.
(3) Identification of the financial value of local incentives
provided during the report period, and of federal and other state
resources accessed to serve the residents, workers, and businesses in
the G-TEDA.
(4) The following information based on the certification
applications approved in the zones relating to the hiring credit:
(A) The number of jobs for which certifications have been issued.
(B) The number of new employees for whom certifications have been
issued.
(C) The number of employees replacing previous employees for whom
certifications were issued.
(D) The number of employees by qualified employee category
pursuant to Sections 17053.74 and 23622.7 of the Revenue and Taxation
Code.
(E) The total range of, and the average, median, and mean,
employee wage rates that were certified.
(F) The number of businesses obtaining certification for qualified
employees.
(G) The industry classification, based on the North American
Industry Classification System, of businesses obtaining certification
of qualified employees.
(H) The distribution of employee certifications among industry
sectors based on the North American Industry Classification System.
(I) The distribution of employee certifications by the annual
receipts and asset value of the business obtaining qualified employee
certifications.
(J) The number of state-certified small businesses that submitted
qualified employee certification applications.
(K) The number of state-certified, disabled veteran-owned business
enterprises that submitted applications.
(b) A copy of the biennial report developed pursuant to
subdivision (a) shall also be submitted to the legislative bodies of
the local jurisdictions comprising the G-TEDA. The progress of the
G-TEDA in meeting the goals, objectives, and commitments set forth in
the original application and the memorandum of understanding with
the department shall be reviewed at least biennially by these
legislative bodies, either as part of the approval of the G-TEDA's
annual work plan or separately, at the discretion of the legislative
body.
(c) (1) G-TEDAs designated prior to January 1, 2007, shall have
until April 15, 2008, to update their benchmarks, goals, objectives,
and funding levels for administering the G-TEDA program, in order to
make them measurable and conducive to the successful completion of
the economic development strategy. The local legislative body and the
department shall approve the updated goals and objectives. The
updated goals and objectives shall be included as an update to the
existing memorandum of understanding between the G-TEDA and the
department.
(2) G-TEDAs that fail to obtain approved updated goals and
objectives by April 15, 2008, shall be dedesignated effective July 1,
2008. The Director of Housing and Community Development shall
provide notice of prospective dedesignation to the local government
no later than May 1, 2008. The director may authorize up to two
60-calendar-day extensions, if the local government and G-TEDA are
acting in good faith and the additional time would allow them to meet
the requirements of this subdivision. Businesses located within a
G-TEDA that have been dedesignated shall continue to have access to
tax incentives previously authorized within the G-TEDA pursuant to
Section 7082.2.
(3) G-TEDAs designated prior to January 1, 2007, are not required
to implement the biennial reporting requirements of subdivisions (a)
and (b) until October 1, 2009.
(4) G-TEDAs that expire prior to January 1, 2010, are not required
to meet the conditions of this subdivision.
(d) The department shall biennially make available to the
Legislature information related to the progress that each G-TEDA is
making toward implementing its goals, objectives, and commitments set
forth in the original application, the department's memorandum of
understanding with the G-TEDA, and the biennial report.
