BILL NUMBER: SB 103	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Cedillo

                        JANUARY 17, 2007

   An act to add Section 53083 to the Government Code, relating to
economic development.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 103, as introduced, Cedillo. Economic development subsidies:
review by local agencies.
   (1) Existing law provides for various programs for economic
development activities by state and local agencies.
   This bill would, beginning January 1, 2008, require each local
agency to provide specified information to the public before
approving any economic development subsidy, as defined, within its
jurisdiction, and to review, hold hearings, and report on those
subsidies at specified intervals. By requiring a higher level of
service of local agencies, this bill would impose a state-mandated
local program.
   (2) The California Constitution requires the state to reimburse
local agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
   This bill would provide that, if the Commission on State Mandates
determines that the bill contains costs mandated by the state,
reimbursement for those costs shall be made pursuant to these
statutory provisions.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 53083 is added to the Government Code, to read:

   53083.  (a) On and after January 1, 2008, each local agency shall,
prior to approving any economic development subsidy within its
jurisdiction, provide all of the following information in written
form available to the public, and through its Web site, if
applicable:
   (1) The name and address of the entity or individual that is the
beneficiary of the economic development subsidy, if applicable.
   (2) The start and end dates and schedule, if applicable, for the
economic development subsidy.
   (3) The total amount of the expenditure of public funds by, or of
revenue lost to the jurisdiction, as a result of the economic
development subsidy.
   (b) On or before October 1, 2009, and on or before October 1 in
each odd-numbered year thereafter, the local agency shall prepare a
report for each economic development subsidy approved after January
1, 2008. For an economic development subsidy that will exist for 40
years or more, the report shall be prepared only once every six
years. The report shall contain the information described in
subdivision (a). The local agency shall make the report available to
the public and through its Web site, if applicable.
   (c) On or before November 1, 2009, and on or before November 1 in
each odd-numbered year thereafter, the local agency shall hold a
public hearing to consider any written or oral comments on the
information contained in the report prepared pursuant to subdivision
(b).
   (d) The local agency shall provide a final report at the
conclusion of each economic development subsidy that would include,
but not be limited to, the information described in subdivision (a),
in written form available to the public, and through its Web site, if
applicable.
   (e) As used in this section, the following terms have the
following meanings:
   (1) "Economic development subsidy" means any expenditure of public
funds or loss of revenue to a local agency in the amount of
twenty-five thousand dollars ($25,000) or more, for the purpose of
stimulating economic development within a local agency, including,
but not limited to, bonds, grants, loans, loan guarantees, enterprise
zone or empowerment zone incentives, tax-increment financing, fee
waivers, land price subsidies, matching funds, tax abatements, tax
exemptions, and tax credits.
   (2) "Local agency" means a city, including a charter city, county,
city and county, and community redevelopment agency.
  SEC. 2.  The Legislature finds and declares that the right of the
public to be informed of economic development subsidies approved by
their local agencies, as described in Section 53083 of the Government
Code, as added by Section 1 of this act, is a matter of statewide
concern, and not a municipal affair, as that term is used in Section
5 of Article XI of the California Constitution.
  SEC. 3.  If the Commission on State Mandates determines that this
act contains costs mandated by the state, reimbursement to local
agencies and school districts for those costs shall be made pursuant
to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of
the Government Code.