Los Angeles and Ventura Wildfire Small Business Recovery Act.
In addition to creating the Los Angeles and Ventura Wildfire Small Business Recovery Fund, AB 685 also mandates the Office of Small Business Advocate (OSBA) to manage this fund. OSBA will allocate resources to existing programs such as the Capital Infusion Program (CIP) and the Small Business Technical Assistance Program (SB-TAP), which are designed to support small businesses by providing necessary technical assistance and access to financial resources. This bill aims to enhance the operational capacities of these programs to better cater to the needs of affected businesses, supporting both immediate recovery and long-term resilience.
Assembly Bill 685, introduced by Assembly Member Solache, is dedicated to assisting small businesses in the Counties of Los Angeles and Ventura that have been adversely affected by the wildfires occurring in January 2025. The bill calls this initiative the Los Angeles and Ventura Wildfire Small Business Recovery Act, which aims to provide direct financial support and resources for recovery, acknowledging the significant economic harm caused by the wildfires. The proposed financial assistance includes an appropriation of $50 million from the General Fund which will create a specific recovery fund for these counties to alleviate some of the financial strains caused by the disasters.
One notable aspect of AB 685 is its establishment as an urgency statute, meaning it is intended to take effect immediately upon passage in order to swiftly address the dire economic conditions resulting from the wildfires. This provision underscores the urgency conveyed by the Legislature in the wake of such a crisis. Additionally, the bill highlights the specific circumstances faced by these counties, ultimately declaring the need for a special statute that addresses the unique needs of local economies affected by such unprecedented natural disasters. The act is set to remain effective until January 1, 2031, after which it will be repealed, marking a temporary but critical support measure for the businesses affected.