California Assembly Bill AB2012 Introduced / Bill

 BILL NUMBER: AB 2012INTRODUCED BILL TEXT INTRODUCED BY Assembly Member John A. Prez FEBRUARY 23, 2012 An act to amend Sections 13996.45, 13996.55, 13996.6, 13996.65, 13996.7, and 13996.75 of the Government Code, and to amend Section 71040 of the Public Resources Code, relating to economic development. LEGISLATIVE COUNSEL'S DIGEST AB 2012, as introduced, John A. Prez. Economic development. (1) Existing law, the California Trade and Investment Act, designates the Business, Transportation and Housing Agency as the state agency primarily responsible for international trade and investment activities in the state, subject to specified conditions. The act authorizes the Secretary of Business, Transportation and Housing to, in that capacity, carry out various powers and duties related to encouraging international trade and investment in the state, including, among others, developing an international trade and investment policy and strategy for the state, and convening or joining a statewide business partnership for international trade and investment. The act also imposes various related restrictions on the secretary's authority. This bill would instead require that the Governor's Office of Business and Economic Development serve as the state agency primarily responsible for international trade and investment activities in the state, and, in that capacity, authorize that agency to carry out the powers and duties described above. (2) Existing law requires a business or entity to obtain various environmental permits prior to undertaking any project that may have an impact on the environment. Existing law also requires the Secretary for Environmental Protection to establish an electronic online permit assistance center for the purpose of assisting a business or other entity with complying with certain laws and regulations. This bill would instead require the Governor's Office of Business and Economic Development to establish and maintain the electronic online permit assistance center described above. 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 13996.45 of the Government Code is amended to read: 13996.45. (a) (1) Subject to paragraph (2), and subject to Section 13996.75, the  Business, Transportation and Housing Agency   Governor's Office of Business and Economic Development  shall be the primary state agency authorized to do all of the following: (A) Attract employment-producing foreign investment to the state. (B) Cooperate in international public infrastructure projects. (C) Provide support for California business in accessing international markets, including, but not limited to, export assistance. (D) Engage in other trade or foreign investment related activities specifically assigned by the Governor. (2) Nothing in this chapter shall be construed to confer powers or impose duties upon the agency in conflict with any powers conferred or duties imposed upon the Department of Food and Agriculture with respect to the promotion of California agriculture, fish, and forest exports. (b) The international trade and investment activities of the agency shall be monitored by the Legislature, and all public moneys in its budget expended for those purposes, shall be subject to approval by the Legislature. (c) The  Secretary of Business, Transportation and Housing   Director of the   Governor's Office of Business and Economic Development  shall develop an international trade and investment policy and shall provide guidance to strategies and plans from other agencies and departments related to workforce and infrastructure development. (d) California's international trade and investment policy shall be directed through its state strategy, which shall be based on current and emerging market conditions and the needs of investors, businesses, and workers to be competitive in global markets. SEC. 2. Section 13996.55 of the Government Code is amended to read: 13996.55. (a) The  Secretary of Business, Transportation and Housing   Director of the Governor's Office of Business and Economic Development  shall provide to the Legislature, not later than February 1, 2008, a strategy for international trade and investment that, at a minimum, includes all of the following: (1) Policy goals, objectives, and recommendations necessary to implement a comprehensive international trade and investment program for the State of California. This information shall be provided in a fashion that clearly indicates priority within the overall strategy. (2) Measurable outcomes and timelines for the goals, objectives, and actions for the international trade and investment program. (3) Identification of impediments for achieving goals and objectives. (4) Identification of key stakeholder partnerships that will be used in implementing the strategy. (5) Identification of options for funding recommended actions. (6) Identification of an international trade and investment organizational structure for the state administration of international trade and investment policies, programs, and services. (b) In the course of developing the strategy, the  secretary   director  shall also consult with other agencies, boards, and commissions that have statutory responsibilities related to workforce development, infrastructure, business, and international trade and investment including, but not limited to, the California Commission on Industrial Innovation, the Office of the Small Business Advocate, the California Transportation Commission, the California Community Colleges, the University of California, the California State University, the Workforce Investment Board, the Employment Training Panel, and the California Energy Commission. (c) The strategy shall be submitted to the Chief Clerk of the Assembly and the Secretary of the Senate. A copy of the strategy shall be provided to the Speaker of the Assembly, the President pro Tempore of the Senate, and the chairs of the Assembly Committee on Jobs, Economic Development, and the Economy and the Senate Committee on Business, Professions and Economic Development, or the successor committees with jurisdiction over international trade and economic development programs. (d) (1) The strategy shall be reviewed in at least one public hearing by the relevant policy and fiscal committees of each house of the Legislature. The hearings shall be held within 60 days of the strategy being submitted to the Legislature. If the strategy is submitted when the Legislature is in recess, the hearings shall occur within 60 days of the members convening. (2) The legislative committees may make recommendations to the  secretary   director  on the strategy, and the  secretary   director  may modify the strategy accordingly. (e) The  secretary   director  shall report to the fiscal committees of the Legislature on or before February 1, 2009, and by that date each year thereafter, on how the Governor's proposed budget relates to the strategy. (f) The strategy shall be updated pursuant to the procedures of this section at least once every five years. SEC. 3. Section 13996.6 of the Government Code is amended to read: 13996.6. (a) The  Secretary of Business, Transportation and Housing   Director of the Governor's Office of Business and Economic Development  shall convene a statewide business partnership for international trade and investment no later than March 1, 2007. (b) The business partnership shall include representatives from small, medium, and large businesses and industries, as well as nongovernmental organizations and government representatives. (c) The business partnership shall advise the  secretary   director  on business needs and strategy priorities as they relate to international trade and investment. SEC. 4. Section 13996.65 of the Government Code is amended to read: 13996.65. (a) (1) The  Secretary of Business, Transportation and Housing   Director of the Governor's Office of Business and Economic Development  is prohibited from establishing any international trade and investment office unless the following conditions are met: (A) The  secretary   director  determines that, based on a review of the international trade and investment policies and the recommendations and priorities established in the international trade and investment strategy developed pursuant to Section 13996.55, it is appropriate to consider establishing international trade and investment offices. (B) The  secretary   director  prepares a separate international trade and investment office strategy, that meets the requirements and conditions of this section. (C) The international trade and investment office strategy receives statutory authorization pursuant to the requirements and conditions of this section. (D) The  secretary   director  submits a business plan to the Legislature, that meets the requirements of Section 13996.7. (2) This chapter does not apply to any international trade and investment office established pursuant to Section 13997.1. (b) If the  secretary   director  determines that opening international trade and investment offices is in the best interest of the state, the  secretary   director  shall develop a strategy for selecting, opening, and managing international trade and investment offices. (c) The international trade and investment office strategy shall conform to at least all of the following requirements: (1) It shall be based on the needs and priorities of California's businesses. (2) It shall be consistent with the resources and priorities of the overall trade and investment strategy submitted to the Legislature pursuant to Section 13996.55. (3) It shall define the program's goals, objectives, and timelines for achieving quantifiable targets. Individual offices may have separate missions or play different roles within the overall international trade and investment office strategy. To the extent that the proposed offices are expected to assist businesses in opening new markets, these activities shall be targeted primarily to small- and medium-sized businesses. (4) It shall outline the  Business, Transportation and Housing Agency's   Governor's Office of Business and Economic Development's  management and oversight responsibilities, funding levels, and activities. (5) It shall outline how international trade and investment office locations will be selected by the  secretary   director  and approved by the Governor, including the general geographic locations, number of offices, a process for determining how long an office should remain operational, and duties undertaken by the offices. (6) It shall define how the offices will be funded, including funding for oversight and monitoring. (7) It shall consider how offices will be staffed, including staffing levels and types of positions needed to operate the offices proposed in the international trade and investment office strategy. (8) It shall provide a conflict-of-interest policy and gift policy. (9) It shall provide for the appointment of a senior level international trade and investment office manager as described in subdivision (c) of Section 99106. (d) The international trade and investment office strategy shall be submitted to the Chief Clerk of the Assembly and the Secretary of the Senate. A copy of the strategy shall be provided to the Speaker of the Assembly, the President pro Tempore of the Senate, and the chairs of the Assembly Committee on Jobs, Economic Development, and the Economy and the Senate Committee on Business, Professions and Economic Development, or the successor committees with jurisdiction over international trade and economic development programs. (e) (1) The international trade and investment office strategy shall be reviewed in at least one public hearing by the relevant policy and fiscal committees of each house of the Legislature. The hearings shall be held within 60 days of the strategy being submitted to the Legislature. If the strategy is submitted when the Legislature is in recess, the hearings shall occur within 60 days of the members convening. (2) The legislative committees may make recommendations to the  secretary   director  on the strategy, and the  secretary   director  may modify the strategy accordingly. (f) The international trade and investment office strategy shall be updated no less than every five years from the date that the first strategy is submitted to the Chief Clerk of the Assembly and the Secretary of the Senate. (g) The international trade and investment office strategy shall be implemented only upon statutory authorization by the Legislature. SEC. 5. Section 13996.7 of the Government Code is amended to read: 13996.7. (a) Except as specified in Section 13997.1, international trade and investment offices are prohibited from being established except under the conditions specified in the international trade and investment office strategy described in Section 13996.65. Except as specified in Section 13997.1, no office may be established except as provided in this chapter. (b) In establishing offices pursuant to this section, the  secretary   Director of the Governor's Office of Business and Economic Development  shall submit to the Legislature a business plan for each proposed office, which shall include, but not be limited to, all of the following: (1) The mission of the office, goals, objectives, and timelines for achieving quantifiable targets. (2) The level of staffing and staff expertise requirements needed to successfully operate the office. (3) The proposed terms for the operation of the offices, including the duration and oversight needed for office operations. (4) How the opening of the office relates to the international trade and investment office strategy and the overall international trade and investment strategy. (c) (1) The international trade and investment offices shall be under the direction of a manager of international trade and investment offices within the  agency   Governor' s Office of Business and Economic Development  , to be designated by the  secretary   director  . The manager shall be an individual with experience in management and oversight of public agencies or experience in international trade, investments, or global business. (2) No international trade and investment office shall be opened until the position of the manager of international trade and investment offices is filled within the  agency   Governor's Office of Business and Economic Development  . (3) The position of the manager of the international trade and investment offices shall be a state employee position funded and staffed in a manner consistent with the international trade and investment office strategy. (d) (1) Each office established pursuant to this chapter shall submit a report to the  agency   Governor's Office of Business and Economic Development  by December 1 of each year on meeting its goals, objectives, and timelines as outlined in its business plan. (2) The  secretary   director  shall provide a summary of the reports to the relevant policy committees of each house of the Legislature, as set forth in paragraph (2) of subdivision (f), by the following February 1 of each year. (e) The  agency   Governor's Office of Business and Economic Development  shall conduct an annual performance review of each office for the first three years of the office's operation. After this term, upon the determination of the  secretary   director  , the performance reviews may be undertaken at a longer interval, but not to exceed five years. If the  secretary   director  determines that an extended interval is appropriate for a particular office, this shall be clearly indicated in the  secretary's annual   director's  report to the Legislature on the activities of the offices. (f) (1) The  secretary   director  shall contract for an independent study of the operations and effectiveness of the international trade and investment offices established pursuant to this section at the conclusion of the first two years of operation and at four year intervals after the initial study. (2) The report on the results of the study shall be submitted to the Chief Clerk of the Assembly and the Secretary of the Senate no later than two years after the opening of the first office pursuant to this chapter. A copy of the report shall be provided to the Speaker of the Assembly, the President pro Tempore of the Senate, and the chairs of the Assembly Committee on Jobs, Economic Development, and the Economy and the Senate Committee on Business, Professions and Economic Development, or the successor committees with jurisdiction over international trade and economic development programs. (g) International trade and investment offices shall be funded only according to the international trade and investment office strategy authorized pursuant to subdivision (g) of Section 13996.65, except as provided for in Section 13997.1. All nonstate sources of funding shall be identified on the  agency   Governor's Office of Business and Economic Development's Internet  Web site by name and the amount contributed. The  agency     Governor's Office of Business and Economic Development  shall be responsible for all state administrative and oversight costs. The  agency   Governor's Office of Business and Economic Development  shall also be responsible for some portion of the costs of each office, not to exceed one hundred thousand dollars ($100,000) per office. (h) Consistent with the international trade and investment office strategy, the  secretary   director  shall make a determination by September 1 of each year that sufficient funds have been appropriated in the annual Budget Act to meet its oversight and management responsibilities related to the proper operation of the offices. If, in the opinion of the  secretary   director  , insufficient funding has been provided, the  secretary   director  shall notify the Joint Legislative Budget Committee and submit a budget change proposal to request sufficient funding. SEC. 6. Section 13996.75 of the Government Code is amended to read: 13996.75. The Controller shall not allocate any state funds to the  Business, Transportation and Housing Agency     Governor's Office of Business and Economic Development  for international trade and investment activities if any of the following conditions occur: (a) The strategy for international trade and investment has not been submitted to the Legislature pursuant to subdivision (a) of Section 13996.55 by May 1, 2008, or the strategy update required by subdivision (f) of that section has not been completed within six years of the completion of the original strategy or the most recent update, as applicable. (b) The report to the fiscal committees of the Legislature required by subdivision (e) of Section 13996.55 has not been submitted by May 1 of the year in which it is due. (c) The summary required by paragraph (2) of subdivision (d) of Section 13996.7 has not been submitted to the Legislature by May 1 of the year in which it is due. (d) The determination required by subdivision (h) of Section 13996.7 has not been made by December 1 of the year in which it is due. SEC. 7. Section 71040 of the Public Resources Code is amended to read: 71040. The  Secretary for Environmental Protection     Governor's Office of Business and Economic Development  shall establish an electronic online permit assistance center through the Internet. The electronic online permit assistance center shall be available for use by any business or other entity subject to a law or regulation implemented by a board, department, or office within the California Environmental Protection Agency, and shall provide a business or other entity with assistance in complying with those laws and regulations. The center, which shall be called the "California Government-On Line to Desktops" or "CALGOLD" program, shall provide special software, "hotlinks" and other online resources and tools that may be used by a business or other entity to streamline and expedite compliance with laws and regulations implemented by a board, department, or office within the California Environmental Protection Agency. The CALGOLD program shall, to the extent feasible, incorporate permit assistance activities of local and federal entities and of other entities of the state into its operations.