California Assembly Bill AB865 Amended / Bill

 BILL NUMBER: AB 865AMENDED BILL TEXT AMENDED IN ASSEMBLY APRIL 16, 2015 INTRODUCED BY Assembly Member Alejo FEBRUARY 26, 2015 An act to add Section 25230 to the Public Resources Code, relating to the State Energy Resources Conservation and Development Commission. LEGISLATIVE COUNSEL'S DIGEST AB 865, as amended, Alejo. State Energy Resources Conservation and Development Commission: grants and loans: diversity. The Warren-Alquist State Energy Resources Conservation and Development Act establishes the State Energy Resources Conservation and Development Commission. Existing law requires the State Energy Resources Conservation and Development Commission to administer various grant and loan programs. This bill would require the State Energy Resources Conservation and Development Commission to require that each recipient of a grant or loan,  where the recipient has gross annual revenues exceeding $25,000,000, or a different threshold determined by the commission,  as a condition for the receipt of that grant or loan, annually submit a detailed and verifiable plan for increasing procurement from women, minority, disabled veteran, and LGBT business enterprises, as defined, in all categories, including, but not limited to, renewable energy, advanced technologies, and demonstration projects, and furnish an annual report regarding the implementation of programs established pursuant to this requirement. The bill would require the State Energy Resources Conservation and Development Commission to establish guidelines for  all   those  grant or loan recipients to utilize in establishing programs pursuant to these requirements. The bill would require the State Energy Resources Conservation and Development Commission to develop, and would require  every   those  grant or loan  recipient   recipients  to implement, an outreach program to inform and recruit women, minority, disabled veteran, and LGBT business enterprises to apply for procurement contracts. The bill would require the State Energy Resources Conservation and Development Commission to  establish   consider establishing  a Diversity Task Force to consider and make recommendations about diversity in the energy industry, including diversity of corporate governing boards and procurement from diverse businesses. 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 25230 is added to the Public Resources Code, to read: 25230. (a) For purposes of this section, the following terms have the following meanings: (1) "Control" means exercising the power to make policy decisions. (2) "Disabled veteran business enterprise" has the same meaning as defined in Section 999 of the Military and Veterans Code. (3) "LGBT business enterprise" means a business enterprise that is at least 51 percent owned by a lesbian, gay, bisexual, or transgender person or persons, or, in the case of any publicly owned business, at least 51 percent of the stock of which is owned by one or more lesbian, gay, bisexual, or transgender persons, and whose management and daily business operations are controlled by one or more of those individuals. (4) "Minority business enterprise" means a business enterprise that is at least 51 percent owned by a minority group or groups, or, in the case of any publicly owned business, at least 51 percent of the stock of which is owned by one or more minority groups, and whose management and daily business operations are controlled by one or more of those individuals. The contracting utility shall presume that minority includes African Americans, Hispanic Americans, Native Americans, and Asian Pacific Americans. (5) To "operate" means to be actively involved in the day-to-day management. It is not enough to merely be an officer or director. (6) "Renewable energy project" means a project for the development and operation of an eligible renewable energy resource meeting the requirements of the California Renewables Portfolio Standard Program (Article 16 (commencing with Section 399.11) of Chapter 2.3 of Part 1 of Division 1). (7) "Women business enterprise" means a business enterprise that is at least 51 percent owned by a woman or women, or, in the case of any publicly owned business, at least 51 percent of the stock of which is owned by one or more women, and whose management and daily business operations are controlled by one or more of those individuals. (b) The commission shall require that each recipient of a grant or loan administered by the  commission   commission,   where the recipient has annual revenues exceeding twenty-five million dollars ($25,000,000), or a different threshold determined to be appropriate by the commission,  do both of the following as a condition for the receipt of that grant or loan: (1) Annually submit a detailed and verifiable plan for increasing procurement from women, minority, disabled veteran, and LGBT business enterprises in all categories, including, but not limited to, renewable energy, advanced technologies, and demonstration projects. These annual plans shall include short- and long-term goals and timetables, but not quotas, and shall include methods for encouraging both prime contractors and grantees to engage women, minority, disabled veteran, and LGBT business enterprises in subcontracts in all categories that provide subcontracting opportunities, including, but not limited to, renewable energy, advanced technologies, and demonstration projects. (2) Furnish an annual report to the commission regarding the implementation of programs established pursuant to this section in a form that the commission shall require, and at the time that the commission shall annually designate. Each report shall be a public document and shall be made readily available on an Internet Web site either maintained by the grant or loan recipient or by the commission. (c) The commission shall establish guidelines for all grant or loan  recipients   recipients, subject to subdivision (b),  to utilize in establishing programs pursuant to this section. (d) The commission shall develop, and require every grant or loan  recipient   recipient, subject to subdivision (b),  to implement, an outreach program to inform and recruit women, minority, disabled veteran, and LGBT business enterprises to apply for procurement contracts under this section. (e)  The   After receipt of the detailed plans and annual reports, the  commission shall  establish   consider establishing  a Diversity Task Force to consider and make recommendations about diversity in the energy industry, including diversity of corporate governing boards and procurement from diverse businesses.  The Diversity Task Force shall do all the following:   If the commission establishes a Diversity Task Force, the commission shall consider how it can address and promote local and targeted hiring.   (1) Identify and promote energy companies that are actively engaged in diversity issues.   (2) Explore the status of diverse representation on energy company governing boards.   (3) Identify actions that the commission can take to encourage insurance companies to increase procurement with diverse suppliers.   (4) Provide recommendations regarding current legislation and suggest changes to existing law.