SUBCOMMITTEE FOR WILL COME TO
ORDER. GOOD MORNING OR GOOD
AFTERNOON EVERYONE IN RESPONSE
TO THE COVERED NINETEEN
EMERGENCY AND TO PROTECT THE
PUBLIC LEGISLATORS AND
EMPLOYEES WE MUST LIMIT
NONESSENTIAL GATHERINGS AND IT
HERE TO SOCIAL DISTANCING AND
BASS COVERING GUIDELINES. IN
COMPLIANCE WITH THOSE ORDERS
THE SENATE HAS MADE NECESSARY
ADJUSTMENTS TO NORMAL PRACTICES
IN ORDER TO ENSURE THAT THE
PUBLIC CONTINUES TO HAVE ACCESS
TO THE LEGISLATIVE PROCESS. WE
ARE HOLDING OUR COMMITTEE
HEARINGS HERE IN THE CAPITAL
WITH SOME MEMBERS ABLE TO
PARTICIPATE REMOTELY. TODAY THE
MEMBERS OF THE SUBCOMMITTEE ARE
HERE IN THE HEARING ROOM. AND I
WANT TO- WELCOME SENATOR ROTH.
WHO IS HERE WITH US TODAY THOSE
PROVIDING TESTIMONY BEFORE THE
COMMITTEE TODAY ARE
PARTICIPATING REMOTELY FOR OUR
REMOTE PARTICIPANTS PLEASE MUTE
YOUR PHONES OR COMPUTERS THIS
WILL GREATLY AID IN ELIMINATING
ANY ACOUSTIC FEEDBACK. I ASKED
THAT EVERY TIME YOU WISH TO BE
RECOGNIZED THAT YOU USE THE
RAISE YOUR HAND FEATURE IN THE
PROGRAM EACH TIME YOU ARE
RECOGNIZED TO SPEAK A POP UP
WINDOW WILL APPEAR ASKING IF
YOU WOULD LIKE TO AND YOU.
PLEASE SELECT A MUTE BEFORE YOU
BEGIN SPEAKING. R. I. T.
PERSONNEL WILL PUT YOU BACK ON
MUTE WHEN YOU ARE DONE. ONCE
RECOGNIZED TO SPEAK PLEASE MAKE
SURE THAT YOU CAN BE SEEN ON
THE SCREEN STATE YOUR NAME AND
THEN YOU ARE READY TO ADDRESS
THE COMMITTEE. TO ALLOW THE
PUBLIC ACCESS WE HAVE ADMITTED
MEMBERS OF THE PUBLIC TO TWO
HEARING ROOMS TO THE EXTENT
THAT SOCIAL DISTANCING
REQUIREMENTS ALLOW. AND WE WILL
BE USING A TELECONFERENCE OR
RISK FOR THOSE INDIVIDUALS WHO
WISH TO TESTIFY TODAY. FOR ALL
INDIVIDUALS INDIVIDUALS.
WISHING TO PROVIDE PUBLIC
COMMENT. THE PARTICIPANT TOLL
FREE NUMBER AND ACCESS CODE IS
POSTED ON OUR COMMITTEE
WEBSITE. AND IT WILL BE
DISPLAYED ON THE SCREEN AND I
WILL ANNOUNCE IT NOW. TODAY'S
PARTICIPANT NUMBER IS.
844-291-6364 AND THE ACCESS
CODE IS SIX FIVE FOUR. TWO
EIGHT NINE SEVEN. FOR DETAILED
INSTRUCTIONS ON HOW THE
TELECONFERENCES DIM WORKS
PLEASE REFER TO THE SENATE. AND
OR THE COMMITTEE WEBSITE.
PLEASE NOTE THAT IN ORDER FOR
US TO HEAR YOU CLEARLY AND TO
AVOID ACOUSTIC FEEDBACK YOU
MUST MEET THE DEVICE YOU ARE
WATCHING THE HEARING ON PRIOR
TO GIVING TESTIMONY OVER THE
PHONE. IT IS IMPORTANT THAT WE
HEAR FROM YOU AND WE THANK YOU
FOR YOUR PATIENCE. I WILL
MAINTAIN DECORUM DURING THE
HEARING AS IS CUSTOMARY AN
INDIE ANY INDIVIDUAL WHO IS
THIS WHO IS DESTRUCTIVE. MAY BE
REMOVED FROM THE REMOTE MEETING
SERVICE OR HAVE THEIR
CONNECTIONS MUTED. WHILE EVERY
EFFORT HAS BEEN MADE TO
STREAMLINE THE HEARING PROCESS
AND CONDUCTOR HEARINGS IN AS
CLOSE TO THE SAME MANNER AS IS
CUSTOMARY. THERE MAY BE SOME
LAG TIMES FOR PARTICIPANTS WHO
ARE ADJUSTING TO THE NEW USE
ONLINE TOOLS OR TECHNOLOGIES.
PLEASE BE RESPECTFUL AND
PATIENT SO ALL INTERESTED
PARTIES CAN BE HEARD. B. HELP
BEFORE WE BEGIN. LET'S
ESTABLISH A QUORUM. MISTER
SEPARATE SHOP PLEASE CALL THE
ROLL. SENATOR THEIR THEIR
CAREER HERE JOURNALISTEN SENATE
ROTH SENATE ROTH HERE. THE
CONSULTANT NOTES A QUORUM HAS
BEEN ESTABLISHED. IN TODAY'S
HEARING WE WILL REVIEW
PROPOSALS FROM THE GOVERNOR
RELATED TO REVENUE AND TAX
DEPARTMENTS AND ECONOMIC
DEVELOPMENT THESE INCLUDE
PROPOSALS NECESSARY FOR THE
ADMINISTRATION OF PROGRAMS AND
SERVICES BUT ALSO PROPOSALS
INTENDED TO ASSIST BUSINESSES
AND TAXPAYERS MANY OF WHOM
CONTINUE TO GRAPPLE WITH THE
IMPACT OF THIS PANDEMIC. WE
HAVE A BOAT ONLY CALENDAR AND
THE NUMBER OF DISCUSSION ITEMS
ON TODAY'S AGENDA. WE WILL TAKE
ACTION ON THE BOAT ONLY
CALENDAR AFTER THE PUBLIC
COMMENT PERIOD. THIRTY
BEGINNING WITH THE DISCUSSION
ITEMS- WELL WIT FOR WELL I
WILL MOVE ON SINCE I SENATOR
NELSON IS NOT HERE MONEY TO
GIVE THEM AN OPPORTUNITY TO SAY
A FEW WORDS SO NOW LET'S BEGIN
WITH OUR FIRST DISCUSSION ITEMS
WHICH IS AGENDA ITEM NUMBER TEN
THE GOVERNOR'S OFFICE OF
BUSINESS AND ECONOMIC
DEVELOPMENTS PROPOSAL TO EXPAND
THE CALIFORNIA COMPETES TAX
CREDIT AND CREATE A GRANT
PROGRAM. LIKE TO INVITE THE
DEPARTMENT TO PRESENT THE
PROPOSAL.
TATIAN OF CREDIT
ALLOCATIONS FOR THE CURRENT
YEAR FOR WHICH THE
ADMINSTRATION'S REQUESTING A
LEGISLATURE TAKE EARLY ACTION
SECOND A NINETY MILLION DOLLAR
AUGMENTATION OF CREDIT
ALLOCATIONS FOR THE BUDGET YEAR
AND THEN THE THIRD COMPONENT IS
A ONE TIME TWO HUNDRED FIFTY
MILLION DOLLAR CAL COMPETES
GRANT PROGRAMS. THESE
AUGMENTATIONS ARE VERY MUCH
INTENDED TO HELP BUSINESSES AND
WORKERS IN CALIFORNIA BY
PROVIDING BUSINESSES THAT WOULD
OTHERWISE CREATE JOBS AND OTHER
STATES WITH INCENTIVES TO
CREATE. JOBS IN CALIFORNIA- THE
GRANT PROGRAM FUNDING WELL
ESTABLISHED GRANT COMPONENT. IN
THE PROGRAM AND IT WILL HAVE A
SIMPLER SELECTION PROCESS TO
THE EXISTING KALKA PEACE
PROGRAM BUT WITH A MORE
TARGETED FOCUS TO BE ELIGIBLE
FOR GRANT BUSINESSES WILL NEED
TO MEET ONE OR MORE OF THE
FOLLOWING CRITERIA ESTABLISHED
AT LEAST FIVE HUNDRED NEW NET
JOBS MAKE A SIGNIFICANT
INFRASTRUCTURE INVESTMENT.
COMMITTED TO HIGH NEED HIGH
OPPORTUNITY AREA OF THE STATE
OR RECEIVE THE DESIGNATION FROM
THE DIRECTOR OF KOBE IS THAT
THE APPLICATION IS A STRATEGIC
PRIORITIES FOR THE STATE-
ESTABLISHING GRANT PROCUMBENT
HOW CAN PEACEFUL EXPAND THE
POOL BUSINESSES THAT CAN
BENEFIT FROM THE PROGRAM- THERE
ARE THREE TYPES OF BUSINESSES
THAT WOULD BENEFIT FROM THE
GRANTS. ONE COMPANIES TO
CONTINUOUSLY REINVEST THEIR
PROFITS INTO THE BUSINESS. AND
GENERATE LITTLE PRINT LITTLE
PROFITS SMALLER BUSINESSES WITH
WITH RELATIVELY LOW INCOME TAX
LIABILITY AND THREE START UPS
WITH LITTLE TO NO TAX
LIABILITY. CAL COMPETES GRANT
PROGRAM IS AN ADDITIONAL SENATE
FOR BUSINESSES CONDUCTING MULTI
STATE SITE SELECTION ANALYSES
FOR FUTURE GROWTH. AND IS
INTENDED TO IMPROVE THE QUALITY
OF THE APPLICANT POOL IN TERMS
OF JOB CREATION. THE NEW
PROGRAM WILL DEDICATE AT LEAST
FIFTY MILLION OF THE TWO
HUNDRED FIFTY MILLION DOLLAR
ONE TIME GENERAL FUND. TO HIGH
NEED HIGH OPPORTUNITY AREAS IN
THE STATE. THAT CONCLUDES MY
PREPARED REMARKS SOME HAPPY TO
TAKE ANY QUESTIONS I ALSO HAVE
MY COLLEAGUE- MISTER SCOTT
DISICK ON THE LINE FROM. GOBIZ
I'M CALLING ON THE LEGISLATIVE
ANALYST'S OFFICE. HELLO THIS IS
BRIAN WEATHERFORD LEGISLATIVE
ANALYST'S OFFICE WE HAVE
PREPARED A WRITTEN ANALYSIS OF
THE CALIFORNIA COMPETES
PROPOSAL SO TODAY I'M ONLY
GOING TO- HIT OR MAIN POINTS IN
MY INITIAL REMARKS BUT I'D BE
HAPPY TO TAKE IN A BIT MORE IF
YOU HAVE ANY QUESTIONS WE
RECOMMEND NOT MAKING ANY
CHANGES TO THE EXISTING
CALIFORNIA COMPETES PROGRAM AT
THIS TIME. AND THAT MEANS ARE
NOT APPROVING THE GOVERNOR'S
PROPOSALS TO INCREASE THE
AMOUNT OF CREDITS THE PROGRAM
CAN WORD AND NOT APPROVING THE
PROPOSAL TO ALLOW GO BIZ TO
AWARD GRANTS OF UP TO FIFTY
MILLION DOLLARS TO APPLICANTS
THE PROGRAMS THAT DO NOT PAY
TAXES THE BUSINESS ENTITY LEVEL.
WE STRONGLY URGE YOU TO BE
DELIVERED OF AND NOT TO RUSH
INTO PROVIDING LARGE GRANTS TO
BUSINESSES AS PART OF.
RELOCATION INCENTIVE DEALS UP
UNTIL NOW THE ADMINISTRATION IS
STATED IT'S CALIFORNIA COMPETES
PROGRAM WAS EFFECTIVE. AND
GRANTS REPRESENT A SIGNIFICANT
SHIFT IN THE STATE'S ECONOMIC
DEVELOPMENT APPROACH. AND
MOREOVER WOULD EXPOSE THE STATE
TO LOSSES OF THESE COMPANIES GO
OUT OF BUSINESS. AND THAT'S NOT
IDLE SPECULATION PROGRAM DATA
FROM GO BEEN SHOWS THAT ONE
THIRD OF THE CREDITS AWARDED
DURING THE FIRST YEARS OF THE
PROGRAM AND- CAPTURED. BECAUSE
THOSE COMPANIES DID NOT ACHIEVE
THE HIRING INVESTMENT TARGETS
THAT THEY COMMITTED TO. IT
WOULD BE WORTHWHILE TO BETTER
UNDERSTAND WHY THOSE AGREEMENTS
DIDN'T WORK OUT. AND WHETHER
CHANGES THE CHANGES MADE TO THE
PROGRAM IN TWENTY EIGHTEEN TO
DRESS THIS ISSUES BEFORE
EXPANDING CALIFORNIA COMPETES.
THE INTENT OF THIS PROGRAM AS A
MISTER WHITE MENTIONED. IS TO
RETAIN OR ATTRACT BUSINESSES IN
CALIFORNIA THAT MIGHT NOT
OTHERWISE LOCATE HERE. WITHOUT
A FINANCIAL INCENTIVE. AND WE
UNDERSTAND THAT THE LEGISLATURE
HAS AN INTEREST IN HELPING
BUSINESSES THAT HAVE BEEN
AFFECTED BY THE PANDEMIC THIS
YEAR. SO TO THAT END YOU COULD
CONSIDER REDIRECTING THE FUNDS
THAT WOULD HAVE BEEN USED TO
EXPAND THIS PROGRAM. TO ANOTHER
PROGRAM THAT MIGHT BETTER ALIGN
WITH YOUR PRIORITIES SUCH AS
THE SMALL BUSINESS GRANT
PROGRAM. WHICH IS NOT ON THE
AGENDA FOR THIS HEARING WHERE
THE MAIN STREET SMALL BUSINESS
TAX CREDIT. WHICH WILL BE HEARD
LATER THIS AFTERNOON. THANK YOU
VERY MUCH WILL NOW MOVE ON TO
QUESTIONS FROM THE COMMITTEE.
SENATE ROTH. THANK YOU MADAM
CHAIR YOU KNOW- I REPRESENT THE
AREA IN INLAND SOUTHERN
CALIFORNIA. AND WE TEND TO BE
THE- HOUSING DEVELOPMENT-
HOUSING AREA FOR THE JOBS THAT
ARE LOCATED IN OTHER AREAS OF
THE STATE THAT WHERE I COME
FROM MOSTLY THE URBAN COASTAL
AREAS. SO I GUESS WHAT I'M
ASKING THE ADMINISTRATION AND
THE OTHERS TO AT LEAST CONSIDER
AT SOME POINT PROBABLY NOT THIS
YEAR DUE TO TIMING BUT AT SOME
POINT IS THE DISCONNECT BETWEEN
OUR JOB INCENTIVE PROGRAMS AND
OUR HOUSING DEVELOPMENT. RULES
REGULATIONS. INCENTIVES AND
ASPIRATIONS HERE WE TEND TO
INCENTIVIZE JOB CREATION AND
EXPANSION IN AREAS OF THE STATE
INCLUDING AS I SAID THE COASTAL
URBAN AREAS. IS THAT ARE OFTEN
SHORT OF HOUSING. AND I THINK
WHAT WE NEED TO DO IS DEVELOP A
CLOSER LINK OR CORRELATION
BETWEEN JOB INCENTIVES AND
GUARANTEES THAT SUFFICIENT
HOUSING TO HOUSE THE NEW
EMPLOYEES THAT WE'RE
INCENTIVIZING. IN THOSE AREAS
EXIST IN THOSE AREAS OR AT
LEAST A GUARANTEE THAT
SUFFICIENT HOUSING WILL BE
CONSTRUCTED- TIED TO THE
ECONOMIC INCENTIVES THAT WE'RE
PROVIDING TO EITHER EXPAND JOBS
OR RECRUIT JOBS FROM ONE AREA
THE STATE TO THE OTHER. NOT A
QUESTION BUT A COMMENT IN A
REQUEST THANK YOU MANAGER.
THANK YOU VERY MUCH SENATOR I.
CENTER NIELSEN. WELL WE
MEDICARE TO. ALLOW YOUR ECHO
THE SENTIMENTS AND OBSERVATIONS
OF MY COLLEAGUE FROM RIVERSIDE.
BUT IT'S VERY IMPORTANT IN ON
DIRECTING THIS TO THE
ADMINISTRATION. TO MAKE THE
CONNECTION. BETWEEN JOBS AND
THE ABILITY TO THOSE ARE AN
APPEAL AND FLOYD TO LIVE. THIS
IS NOT A NEW PHENOMENA IT'S
HISTORIC AND ENDEMIC AND IT'S
AFFECTED A LOT OF US. THE AREAS
THAT I'VE REPRESENTED THE
NINETEEN COUNTIES OVER THE
YEARS MOST OF THEM ARE MORE
RURAL. BUT THEY ARE SO IMPACTED
AND PROTECT THE AREA FARM
WORKER HOUSING IS PROBLEMATIC
IN CALIFORNIA SO I'M LIKE A
DEVISING THE ADMINISTRATION TO
ELECT LOOK AT THE CONNECTIVE
ITTY BETWEEN JOBS AND LIVING
CIRCUMSTANCES FOR THOSE PEOPLE.
I'M THE QUESTIONS I HAVE BOMB
ARE RELATED- I'M GONNA JUST SAY
THAT I AGREE WITH BOTH OF MY
COLLEAGUES AND- I GUESS THAT
THE QUESTION I HAD IS WHETHER
WE HAVE AN INDICATION BY
GEOGRAPHIC. DISTRIBUTION WHERE
A MAJORITY OF THESE GRANT
PROGRAMS- HERE TO FOUR HAVE
BEEN GRANTED AND I'M SENSITIVE
TO THE ISSUES THAT THE L. A. O.
RAISES WHICH IS- I BELIEVE WE
NEED TO BE CAREFUL THAT WE'RE
NOT JUST MAKING BIGGER GRANTS
TO ORGANIZATIONS THAT- THAT-
OUR- HE THEY'RE NOT GOING TO BE
ABLE TO USE THE RESOURCES ARE
ARE NOT- GOING TO BE IT GONNA
GIVE A SUBSTANTIAL BENEFIT IN
THE STATE IN TERMS OF
EMPLOYMENT OPPORTUNITIES AND
I'M- I'M CONCERNED WITH WHERE
WE MAKE OUR INVESTMENTS OKAY DO
YOU M. I. DEPARTMENT OF FINANCE
YOU HAVE ANY INFORMATION ON THE
GEOGRAPHIC. DISTRIBUTION OF THE
GRANTS THAT HAVE BEEN GIVEN IN
THE PAST AND IF YOU COULD ALSO
GIVE ME A DEFINITION OF HIGH
NEED HIGH OPPORTUNITY SO I CAN
UNDERSTAND A LITTLE BIT BETTER
HOW WE'RE IDENTIFYING
IDENTIFYING THAT I'M WONDERING
IF FOR USING HIGH UNEMPLOYMENT
OR UNDER EMPLOYMENT OR WAGES OR
IF THEY'RE GONNA HAVE A
DEFINITION ABOUT THAT THAT CAN
HELP US GUIDE US IN THIS. AB
SEVENTY SEVEN CLARIFIED THAT
COULD THE GRANT PROGRAM WITHIN
THE- KHALKHIN PIECE IS ISRAEL
THERE HAS NOT BEEN A- GRANT
PROGRAM PREVIOUSLY SO. AS FAR
AS THE HIGH NEED HIGH
OPPORTUNITY AREAS THAT WILL-
LEADER. GRANT GUIDELINES THAT
WILL GIVE MORE DETAILS ON THAT.
OVERALL I WILL DEFER TO MY-
COLLEAGUE GOT MISTER SCOTT DOES
BECAUSE FAR AS THEY- DID
GEOGRAPHICAL DISTRIBUTION OF-
OF. TAX CREDITS PERHAPS IS.
THAT THAT DIDN'T. HAPPEN SO
FAR. AND AND AS FAR AS- THE
DEFINITION. OF THE HIGH NEED
HIGH OPPORTUNITY AREAS. THE
MANAGER THIS IS VADA SICK WITH
THE DEPUTY DIRECTOR OF THE CAL
COMPETES TAX CREDIT PROGRAM
WITH GO BIZ IF I MAY. YES
PLEASE THANK. THANK YOU- SO AS-
AS ONE WOULD EXPECT I MEAN
THERE HAS BEEN A WIDE
GEOGRAPHIC DISTRIBUTION OF THE
OVER THOUSAND CAL COMPETES TAX
CREDIT AGREEMENTS OVER THE
SEVEN YEARS OF THIS PROGRAM HAS
EXISTED- THAT- I WELL I DON'T
HAVE THE- THAT PARTICULAR
STATISTICS IN FRONT OF ME RIGHT
NOW. I'M CERTAINLY YES OF THE
URBAN AREAS OF THE COASTAL
URBAN AREAS HAVE BEEN ONE OF
THE AREAS THAT HAVE SEEN- MORE
OF THE CREDIT AGREEMENTS
BECAUSE THAT'S WHERE THE LARGER
EMPLOYERS TEND TO BE- BUT AGAIN
THAT IS ALSO ONE OF THE REASONS
FOR. THE REQUEST FOR THIS GRANT
PROGRAM AND WITH THAT FOCUS ON
THE- THE HIGH NEED HIGH
OPPORTUNITY AREAS. THERE IS A
RECOGNITION EVEN BEFORE THE
PANDEMIC INDUCED RECESSION THAT
THE INLAND PARTS OF THE STATE.
CONTINUE TO STRUGGLE FROM THE-
FOR THE GREAT RECESSION AND
IT'S NOT RECOVERY THE SAME WAY
THAT OUR COASTAL AREAS WERE.
AND SAID WELL CAL COMPUTER
ALREADY HAS AN EXISTING
PRIORITY FOR AREAS OF HIGH
UNEMPLOYMENT AND HIGH POVERTY.
WE WANTED TO ALSO MAKE SURE
THAT THIS GRANT PROGRAM REALLY
DID FOCUS ESPECIALLY ON INLAND
PARTS OF THE STATE. THAT HAVE
CONTINUED TO STRUGGLE EVEN
BEFORE THE PANDEMIC CAN JUST
RECESSION- YEAH WITH HIGHER
THAN AVERAGE UNEMPLOYMENT
POVERTY RATES. AND LOOKING AT
THOSE OPPORTUNITIES- THAT IT
ALSO SHOULD BE NOTED THAT WE
HAVE HAD- A NUMBER OF LARGE
EMPLOYERS COMING TO IN THE
PARTS OF THE STATE THAT
INCLUDING THE LAST ROUND THAT
WE HAD A COMPANY IN LODI. FEED
THAT'S CREATING OVER TWO
THOUSAND JOBS. IN MANUFACTURING
OF MOLECULAR DIAGNOSTIC
EQUIPMENT THAT'S USED TO TEST
FOR COBIT AMONG OTHER THINGS.
AND ONE THINGS WERE REALLY
EXCITED ABOUT WHAT THAT
PROPOSALS NOT ONLY WAS IT BLUE
COLLAR JOBS ENTRY LEVEL BLUE
COLOR TOPPED WITH UPWARD
MOBILITY. BUT IT WAS COMING TO
LODI- WHICH IS IT EIGHT EIGHT
TYPICAL GEOGRAPHIC AREA FOR
INVESTMENT OF THIS KIND. VERY
GOOD. ANY OTHER QUESTIONS FROM
THE COMMITTEE. YES CENTER OCT
THANK YOU MANAGER I WANNA MAKE
IT CLEAR I'M I'M NOT
COMPLAINING IN FACT I JUST WANT
TO STATE FOR THE RECORD THAT-
CALIFORNIA COMPETES THE GO BIZ
OUR TEAM HAS DONE AN
EXTRAORDINARY JOB IN INLAND
SOUTHERN CALIFORNIA IN TERMS OF
MEETING WITH THE CONSTITUENTS
THAT I REPRESENT AND THE LOCAL
GOVERNMENT OFFICIALS. AND
ACTUALLY SPENDING MORE TIME
FRANKLY AND THE THIRTY FIRST
SENATE DISTRICT I THINK THAT I
SPEND IN THE THIRTY FIRST ST
SENATE DISTRICT AND I THINK
THAT SHOULD BE NOTED AND THAT
ACTIVITY AND THAT ACTION SHOULD
BE COMMENDED. I JUST WANTED TO
TRY TO POINT OUT WHAT I
PERCEIVE TO BE THE DISCONNECT
WE AND I'M NOT COMPLAINING THAT
THE JOBS ARE INCENTIVIZED IN
THE URBAN COASTAL AREAS BUT
THINK ABOUT THE CONCEPT WE'RE
SHOVING STATE MONEY DOWN TO
INCENTIVIZE OTHER JOB EXPANSION
IN EXISTING PLANTS OR
RECRUITING. NEW BUSINESSES TO
BRING NEW PLANTS TO THOSE AREAS
BUT WE DON'T REQUIRE ANY OF THE
LOCAL JURISDICTIONS TO CERTIFY
THAT THEY HAVE THE HOUSING TO
HOUSE THOSE WORKERS. AND WE SO
THEY EXPAND AND THEN THERE'S
ARENA A HOUSING ALLOWANCE. THE
HOUSING IS AN ALLOCATED THEY
DON'T HAVE A HOUSING OR THEY
DON'T PAY ATTENTION TO IT AND
THEN ANOTHER ARM OF THE STATE
SINCE THE THREATENING LETTER.
AND TRIES TO SUE TO ENFORCE
HOUSING IT SEEMS TO ME THAT IF
WE PUT THE TWO TOGETHER. WE
COULD PROBABLY HAVE A
COORDINATED POLICY APPROACH TO
BOTH JOB EXPANSION. JOB
RECRUITMENT. AND HOUSING
DEVELOPMENT. IN ONE AREA SO WE
HOUSE OF WORKERS CLOSE TO WHERE
THEY LIVE WHICH IMPACTS THE
MONEY WE HAVE TO PUT INTO
PROJECTS AND THE LIKE SO. I'M
JUST SUGGESTING A MORE
COORDINATED APPROACH TO THIS
BUT- THANK YOU KHALKHIN
PETERSON THANK YOU GO BILLS FOR
WHAT YOU'VE DONE FOR US IN IN
SOUTHERN CALIFORNIA. THANK YOU
VENTURE. THANK YOU SENATOR ROTH
AND APPRECIATE PRESHEAF THOSE
COMMENTS AND I THINK THAT'S-
THE KIND OF PARTNERSHIP WE NEED
WITH OUR LOCAL GOVERNMENTS. SO
THAT WE'RE ALL ON THE SAME PAGE
AND WE'RE WORKING TOWARDS THE
SAME GOALS WHICH IS CREATING
GOOD JOBS BUT ALSO HAVING
HOUSING AVAILABLE FOR THE WORK
FORCE. I APPRECIATE THAT. AND
ON ON THIS MIGHT MY WHOLE ISSUE
IS- IS MAKING SURE THAT THERE'S
AN OPPORTUNITY FOR US TO MAKE
MAJOR INVESTMENTS AND IN THE
AREA THAT HAVE HIGH
UNEMPLOYMENT. WHERE WE STRUGGLE
TO- TO CREATE THE OPPORTUNITIES
FOR THE WORK FORCE TO BE ABLE
TO MOVE UP THE ECONOMIC LADDER
SOME REALLY GLAD TO HEAR ABOUT
THE- LOAD I PROPOSAL THAT'S-
EXACTLY THE KIND OF INVESTMENT
THAT I THINK. IS IS WORTH OUR
OUR ENERGY AND- VALUABLE TAX
RESOURCES AND SO THANK YOU FOR
SHARING THAT. WITH US. I THINK
WE WANT TO MAKE SURE THAT WE'RE
GETTING. AN OPPORTUNITY FOR
GROWTH ALL OVER THE STATE
INCLUDING AND IN RURAL AREAS AS
WELL. SO ON THIS IS A HOLD OPEN
ITEM SO WE WILL HOLD IT OPEN
AND WE'LL MOVE ON TO ISSUE
NUMBER ELEVEN. WHICH IS THE
INFRASTRUCTURE AND ECONOMIC
DEVELOPMENT BANK SMALL BUSINESS
FINANCE PROGRAMS. TWENTY BY THE
DEPARTMENT CORRECT THIS IS THAT
THE DEPARTMENT THEY WILL MAKE
THE PRESENTATION. I CAME IN I'M
SURE THIS IS SCOTT WITH THE
EXECUTIVE DIRECTOR OF AYE BANK
AND- I'M HAPPY TO. MAKE THE
OPENING COMMENTS. REGARDING IT
SO I WILL COVER BOTH THE FIFTY
MILLION DOLLAR BUDGET REQUESTS
FOR THE SMALL BUSINESS LOAN
GUARANTEE PROGRAM. AS WELL AS A
FIFTY MILLION REQUEST FOR THE
SMALL BUSINESS FINANCE CENTERS
CALIFORNIA REBUILDING FOLLOWING
TEN OTHER INITIATIVES FOR
UNDERSERVED SMALL BUSINESSES.
SO FIRST ON THE SMALL BUSINESS
LOAN GUARANTEE PROGRAM. THE
BUDGET INCLUDES FIFTY MILLION
DOLLARS ONE TIME GENERAL FUND
FOR I BIG SMALL BUSINESS LOAN
GUARANTEE PROGRAM THE PRINCIPAL
pBUSINESS FINANCE CENTER BUT
IT'S BEEN IN EXISTENCE SINCE
NINETEEN SIXTY EIGHT- TO THE
FIFTY MILLION DOLLARS FROM THE
TWENTY TWENTY. FISCAL YEAR
BUDGET. FROM THE STATE THE
PROGRAM LAST RECEIVED FUNDING.
FROM THE FEDERAL GOVERNMENT IN
TWENTY ELEVEN. OH EIGHTY FOUR
MILLION DOLLARS THIS PROGRAM
CONTINUES TO REVOLVE CONSERVE
OUR SINS OF SMALL BUSINESSES
HAVING SUPPORTED OVER ONE POINT
SIX BILLION DOLLARS OF LOANS.
THE PROGRAM IS UTILIZED BY
DIVERSE SPACE A SMALL
BUSINESSES UP TO SEVEN HUNDRED
FIFTY EMPLOYEES WITH LARGER
LOAN SIZES AVERAGING AROUND
FIVE HUNDRED THOUSAND DOLLARS.
HOWEVER THE PROGRAM IS
APPROACHING FULL CAPACITY AND
REQUIRES ADDITIONAL FUNDING.
THE CURRENT FUNDS AVAILABLE FOR
SMALL BUSINESS GUARANTEES WILL
LIKELY BE FULLY LEVERAGED LATER
THIS YEAR. ADDITIONAL FUNDING
IN THE BUDGET WILL ALLOW FOR
CONTINUED LOAN ACCESS FOR
CALIFORNIA SMALL BUSINESSES AS
THEY RECOVER FROM THE ECONOMIC
FALLOUT AND WILL BE LEVERAGED
TO PROVIDE UP TO TWO HUNDRED
FIFTY MILLION DOLLARS IN LOANS.
WELL THE BILL HAS BEEN
REINTRODUCED TO RECAPITALIZE.
THE FEDERAL STATE SMALL
BUSINESS CREDIT IS TO SERVE THE
S. B. C. I. WITH TEN BILLION
DOLLARS. SETTLED SEVERAL BILLS
WERE INTRODUCED DURING THE
COURSE OF LAST YEAR FOR BETWEEN
THREE AND TEN BILLION DOLLARS
THAT WE'RE NOT PASSED. WE'RE
VERY HOPEFUL THAT THE PASSAGE
OF THE BILL IS MORE LIKELY THIS
TIME AROUND WE HAVE NO
INSURANCE. ALSO EVEN OF SUCH
FUNDING MATERIALIZES. IT IS
IMPORTANT FOR THE STATE TO
PROVIDE CAPITAL FOR SMALL
BUSINESSES AND SMALL BUSINESS
GUARANTEES THAT ARE NOT
ELIGIBLE FOR SS DCI GUARANTEES.
FROM. TWENTY FOURTEEN TO TWENTY
EIGHTEEN A FULL 32% OF OUR LOAN
GUARANTEES FROM THE SMALL
BUSINESS LOAN GUARANTEE
PROGRAM. WERE DONE BY STATE
FUNDS VERSUS FEDERAL FUNDS. THE
SECOND ITEM IS THE SMALL
BUSINESS FINANCE CENTER
CALIFORNIA REBUILDING FUNDING
AND INITIATIVES FOR UNDERSERVED
SMALL BUSINESSES. THE BUDGET
PROVIDES FIFTY MILLION DOLLARS
ONE TIME GENERAL FUND FOR AYE
BANKS SMALL BUSINESSMAN CENTER.
THE SMALL BUSINESS FINANCE
CENTER MANAGES SMALL BUSINESS
LOAN DISASTER LOAN GUARANTEES
PRIMATECH GUARANTEES DIRECTLY
IMPLEMENTING PROGRAMS SUCH AS
JUMPSTART A STARTUP LOANS IN
ADDITION IT CAN QUICKLY ADD NEW
PROGRAMS TO JUST TO IMMEDIATE
MARKET NEEDS AS IT DID LAST
APRIL WITH THE LAUNCH WITHIN
DAYS OF THE COVER NINETEEN MARK
LOAN GUARANTEES. THOSE LOANS.
FORTY THOUSAND DOLLARS AND
WE'RE FOR BUSINESSES THAT ARE
ON AVERAGE FIVE EMPLOYEES.
THESE PROGRAMS PROVIDE
FINANCIAL ASSISTANCE NEEDED BY
THE MOST UNDERSERVED AND THE
SMALLEST A SMALL BUSINESSES IT
WILL CONTRIBUTE TO THE LONG
TERM RECOVERY A CALIFORNIA'S
ECONOMY. THE TWENTY TWENTY
BUDGET ACT PROVIDED TWENTY FIVE
MILLION DOLLARS ONE TIME
GENERAL FUND AS THE ANCHOR
INVESTMENT TO HELP CREATE THE
CALIFORNIA REBUILDING FUNDS.
INTENDED TO AGGREGATE FUNDING
FROM PUBLIC PRIVATE AND
PHILANTHROPIC SOURCES TO
ADDRESS THE COUPLE NEEDS A
SMALL BUSINESSES AS THEY REOPEN
AND RECOVER FROM THE IMPACTS OF
COVER NINETEEN. THE CALIFORNIA
REBUILDING FONG IS INTENDED TO
SERVE. LIKEWISE TO OUR CURRENT
PROGRAM THE SMALLEST AND MOST
UNDERSERVED A SMALL BUSINESSES
THAT MAKE UP AN ESSENTIAL PART
OF CALIFORNIA'S ECONOMY. RECENT
STATE COMMITMENTS TOTALING
THIRTY SEVEN AND A HALF MILLION
DOLLARS. WHICH INCLUDES THE
ADDITIONAL TWELVE AND A HALF
MILLION ONE TIME GENERAL FUND
ANNOUNCED BY THE ADMINISTRATION
ON NOVEMBER THIRTIETH. THE FUND
IS UNABLE TO PROVIDE OVER A
HUNDRED TWENTY FIVE MILLION
DOLLARS OF LENDING CAPITAL AS
IT PURSUES ITS GOAL OF SEVERAL
HUNDRED MILLION DOLLARS. AN
ADDITIONAL FIFTY MILLION
OLLARS INCLUDED IN THIS BUDGET
IS INTENDED FOR. THE CALIFORNIA
REVEALING FUND IN ACROSS I
THINK SMALL BUSINESS
INITIATIVES THAT ALSO TARGET
UNDERSERVED BUSINESSES. SINCE
MARKET CONDITIONS ARE RAPIDLY
EVOLVING AND NEW SOLUTIONS ARE
BEING TREATED TO DRESS THIS
MASSIVE FUNDING GAP IT IS
IMPORTANT THAT WE RETAIN THE
FLEXIBILITY TO SHIFT SUCH FUNDS
AND JUST TO FINANCIAL OUR
FINANCIAL INSTRUMENTS. OR TOOLS
AND PROGRAMS THAT MAY BETTER
ASSIST UNDERSERVED SMALL
BUSINESSES AS CONDITIONS EVOLVE
AND YOU FUNDING GAPS ARISE.
INCLUDING ENSURE COMING
NINETEEN GUARANTEES OR ANY NEW
VEHICLE WITHIN THE CALIFORNIA
WE DON'T IN FACT. WE INTEND TO
FOLLOW LL'S RECOMMENDATION TO
NOTIFY THE JAIL BC IF FUNDS ARE
DIRECTED TO COUPLE SYSTEMS
PROGRAMS TO UNDERSERVED SMALL
BUSINESSES OTHER THAN BY THE
CALIFORNIA REBUILDING FONG.
WITHOUT I CONCLUDE MY REMARKS
THANK YOU. APARTMENT OF FINANCE
ANY COMMENTS. NO WE HAVE NO
ADDITIONAL COMMENTS THANK YOU
THANK YOU VERY MUCH- THE
LEGISLATIVE ANALYST'S OFFICE.
YES BRIAN WEATHERFORD AT THE
LEGISLATIVE ANALYST'S OFFICE-
WE AGREE WITH THE
ADMINISTRATION THAT THE LOAN
GUARANTEE PROGRAM HAS MERIT.
AND IMPROVING BUSINESS ACCESS
TO CAPITAL- THROUGH THE SMALL
AT THE S. S. B. C. I. PROGRAM
WHICH IS INTENDED TO COMPLEMENT
FEDERAL STATE LOAN PROGRAMS-
THIS IS SOMETHING TO CONSIDER
OR WHILE MANY BUSINESSES.
ESPECIALLY SMALL AND
UNDERSERVED BUSINESSES ARE
HAVING DIFFICULTY ACCESSING
CAPITAL DURING THIS TIME I'M IS
MISTER WOULD MENTIONED THERE
MAY BE ON THE POSSIBILITY OF
FEDERAL FUNDS AND WELL THAT
WOULD BE IDEAL- IT MAY ALSO BE
APPROPRIATE FOR THE STATE TO
STEP IN IF THE FEDERAL
GOVERNMENT DOESN'T- AS- TO ALSO
MENTION WE DO HAVE SOME
CONCERNS WITH THE- LEVEL OF
FLEXIBILITY THAT- I THINK IT'S
REQUESTED REGARDING THE- SECOND
FIFTY MILLION DOLLARS- HOWEVER
WE UNDERSTAND THAT THE-
ADMINISTRATION IS OPEN TO SOME-
REPORTING LANGUAGE THAT MIGHT
HELP YOU. BE MORE COMFORTABLE
WITH- PROVIDING THAT
DELEGATION- BUT WE DO ENCOURAGE
YOU TO- TO ASK QUESTIONS TO
MAKE SURE THAT YOU'RE
COMFORTABLE AND UNDERSTANDING
HOW THESE FUNDS WOULD BE SPENT.
AND AND THAT YOU'RE CONFIDENT
THE ANSWERS THAT YOU'RE GETTING
FROM THE MINISTRATION. THANK
YOU. THANK YOU VERY MUCH ANY.
QUESTIONS FROM THE COMMITTEE.
THIRTY NIELSEN. THANK YOU MADAM
CHAIR. THE FLEXIBILITY
REQUESTED BY FINANCE IS OF SOME
CONCERN TO ME. THE REASON IS.
IN THE MACRO SENSE THE
LEGISLATURE HAS CEDED TOO MUCH
OF ITS AUTHORITY. TO THE
ADMINISTRATION. IN THIS
PARTICULAR CASE THE FLEXIBILITY
THAT FINANCE INDICATES THAT
THEY EMBRACE WOULD LIKE TO HAVE
AVAILABLE TO THEM. THAT COULD
BE COUNTER TO WHAT THE
LEGISLATORS FEEL IS MORE
IMPORTANT IS THEIR PRIORITY. SO
MYSUGGESTION IN A SINGLE AREA
IS THAT WOULD YOU BE A LITTLE
PRO SCRIPTED. OF WHAT THE
LEGISLATURE. WOULD LIKE TO SEE
THE I BACK FUNDING GO TO. AND
NOT BE AS GENEROUS TO FINANCE
WITH THE FLEXIBILITY.
OBSERVATION MANAGER. THANK YOU
VERY MUCH SENATOR NIELSEN MY
ONLY COMMENT IN REGARDS TO THE
MICRO BROWN SAYS THERE'S
ABSOLUTELY NO QUESTION THAT-
THE MICRO BUSINESS COMMUNITY
HAS BEEN DEVASTATED AS MUCH AS
THE SMALL BUSINESS COMMUNITY
MANY OF THESE ARE- SELF
EMPLOYED SINGLE UNDER
ENTREPRENEURS THAT. HAVE LOST
ALL THEIR CAPITAL IN THE
DOWNTURN IN THE ECONOMY AND
THERE'S GOING TO BE A REAL NEED
TO CREATE CREATE FOR A FUND SO
THAT THEY CAN START BACK UP
AND- REALLY TO CAPITALIZE WHAT
WHAT THEY'RE DOING AND- I'M NOT
SURE THAT THERE'S A REAL NEED
FOR TECHNICAL TRAINING AS MUCH
AS A NEED FOR ACCESS TO CAPITAL
SO. HAVING SAID THAT I AGREE
WITH SENATOR NIELSEN IN REGARDS
TO THE- THE OPPORTUNITY TO GET
TO REINVEST DOLLARS THAT THAT
MAY NOT NEED TO BE SPENT BUT I
THINK THERE NEEDS TO BE SOME
ACCOUNTABILITY THE LEAD TO THE
LEGISLATURE AND- AND I LOOK
FORWARD TO HAVING A DISCUSSION
ON ON HOW WE CAN CREATE THE
LANGUAGE SO THAT- THE RESOURCES
CAN BE USED IN A WAY THAT IS-
BENEFICIAL AND I. THAT THE MORE
THAT WE CAN PUSH MONEY TO THE
LOCAL CD ADVISE I THINK THE
BETTER OFF WE'RE GOING TO BE
BECAUSE THEY'RE THE PEOPLE ON
THE BOOTS ON THE GROUND THAT
UNDERSTAND WITH THE NEEDS OF
THE MICRO BUSINESS COMMUNITY IS
AND FOR MANY OF OUR COMMUNITY
CAESAR. BUSINESSES THAT ARE
STARTED BY BY IMMIGRANTS WHO
COME OVER AND WANT TO BE THEIR
OWN BUSINESS PEOPLE BUT OUR
RULES AND REGULATIONS ABOUT
STARTING A BUSINESS ARE ARE
PRETTY COMPLICATED SO THEY
START SMALL AND THEY AND THEY
BUILD FROM THAT AND I WANT TO
MAKE SURE WE HAVE RESOURCES FOR
THEM SO- THIS IS A HOLDOVER
ITEMS SO. THAT EXPECTANCY IT
BACK FOR A VOTED AT A LATER
DATE SO- THANK YOU VERY MUCH
FOR YOUR PRESENTATION WE'RE
GOING TO MOVE ON TO ISSUE
NUMBER TWELVE WHICH IS THE
CALIFORNIA DREAM FUND AND I
WANT TO INVITE INVITE EITHER
THE DEPARTMENT. OR THE
DEPARTMENT. OF FINANCE TO
PRESENT THIS. HELLO SURE
CABALLERO AND SENATOR ROB
CENTER NIELSEN MY NAME IS MORAL
FARSI I AM THE LEGISLATIVE
DEPUTY AT THE GOVERNOR'S OFFICE
FOR BUSINESS AND ECONOMIC
DEVELOPMENT- GOBIZ IS
REQUESTING A THIRTY FIVE
MILLION DOLLAR ONE TIME GENERAL
FUND ALLOCATION TO SUPPORT THE
CALIFORNIA DREAM FUND. WHICH
WILL PROVIDE MICROGRAMS OF UP
TO TEN THOUSAND DOLLARS YOU SEE
ENTREPRENEURSHIP AND SMALL
BUSINESS CREATION. IN
UNDERSERVED SMALL BUSINESS
GROUPS THAT ARE FACING
OPPORTUNITY GAPS. THAT
CALIFORNIA DREAM START AGAIN
GRANTS WILL BE ADMINISTERED BY
THE CALIFORNIA OFFICE OF SMALL
BUSINESS ADVOCATE. OR THE EGG
HELLO SB A WHICH I KNOW YOU'RE
ALL FAMILIAR WITH. AND MADE
AVAILABLE THROUGH THE SMALL
BUSINESS TECHNICAL ASSISTANCE
CENTER NETWORK THAT IS UNDER
THE CALLAWAY BA- THE FUNDS WILL
BE PROVIDED TO ELIGIBLE START
UPS THAT ARE ACTIVELY
PARTICIPATING IN TRAININGS AND
ADVISORY SERVICES TO PROVIDE
GREATER ACCELERATION. RATES AND
SUCCESSFUL OUTCOMES. AT START
OF GRANDSON. AGAIN ARE GONNA BE
AVAILABLE THROUGH OUR TECHNICAL
ASSISTANCE NETWORK AT THIS IS
THE SMALL BUSINESS TECHNICAL
ASSISTANCE EXPANSION PROGRAM
WAS ESTABLISHED A FEW YEARS AGO
THANKS TO THE SUPPORT OF THE
LEGISLATURE- AND FUNDING. A
NETWORK OF A SMALL BUSINESS
DEVELOPMENT CENTERS WOMEN'S
BUSINESS CENTERS MINORITY
DEVELOPMENT BUSINESS CENTERS
ACROSS THE STATE TO. PROVIDE
FREE OR LOW COST TRAINING AND-
AND SERVICES TO SMALL
BUSINESSES. THIS IN PARTICULAR
IS GOING TO FOCUS ON BUSINESS
READING US- TO SUPPORT
BUSINESSES THAT ARE- MOST AT
RISK IN IN THE IN THE MARKET
PLACE. UP FOR THEIR BUSINESSES
INCLUDING AND PROGRAMS BOTH THE
TAPE PROGRAM AS WELL AS THIS
PROGRAM WOULD HAVE A FOCUS ON
UNDERSERVED BUSINESS GROUPS
WHICH INCLUDE WOMEN AND
MINORITIES. VETERANS AND
COMMUNITIES THAT ARE LOW WEALTH
RURAL AND DISASTER AND- SO THAT
THE START UPS WOULD HAVE TO
DEMONSTRATE BASIC CAPACITY TO
SUCCESSFULLY MANAGE THEIR
FINANCES OPERATIONS AND
STRATEGIC SALES AND MARKETING
STRATEGIES. AND THE CENTERS
WOULD PROVIDE ON GOING SUPPORT
TO ENSURE THEIR SUCCESS AND-
AND CONTINUE THEIR ENGAGEMENT-
TO PROVIDE RESOURCES FOR MARKET
ACCESS CAPITAL ACCESS GROWTH
AND RESILIENCE. AND I WOULD BE
HAPPY TO TAKE QUESTIONS
WHENEVER YOU'RE READY THANK
YOU. THANK YOU VERY MUCH
DEPARTMENT OF FINANCE. THANK
YOU SENATOR CAMARO THIS IS
CINDY EVAN OF THE PROMINENT
FINANCE AND JUST TO. ALL UP ONE
OF MY COLLEAGUE MORRELL SAID-
FOR ILLUSTRATIVE PURPOSES WE
KNOW THAT YEAH PEOPLE OF COLOR
WOMEN IMMIGRANTS- THEY MAKE UP
THE BACKBONE OF OUR STATE'S
ECONOMY AND 63% OF OUR STATE'S
POPULATION ARE PEOPLE OF COLOR.
BUT THEY GENERALLY HAD
HISTORICALLY HAD HEART TROUBLE
I'M TROUBLE ACCESSING CAPITAL-
FOR EXAMPLE BASED ON A TWENTY
TWENTY AT TWENTY TWELVE CENSUS.
DATA REPORT. IF THE NUMBER OF
PEOPLE OF COLOR AND WOMEN OWNED
BUSINESSES MATCH THEIR
PERCENTAGES LABOR FORCE AND IF
THEIR BUSINESS REVENUES EQUALED
A TRADITIONAL MORE TRADITIONAL
FIRMS AND THEY WOULD HAVE BEEN
ABLE TO PRETTY. BLURS IN GROSS.
NATIONWIDE THREE TIMES OUR
ACTUAL OUTPUT ABOUT TWO POINT
FOUR TRILLION. AND ADDRESSING
THE SYSTEM AT A SYSTEMATIC
INEQUITY IS CRITICAL AS
CALIFORNIA IS ONE OF THE MOST
DIVERSE FLEET IN THE NATION.
AND WITH PEOPLE OF COLOR MAKING
UP THE MAJORITY OF OUR STATE'S
POPULATION AND SMALL
BUSINESSES. I'M MAKING UP THE
BULK OF OUR- NEED A NEW JOB
GENERATION WILL STATE MEDIA.
THANK YOU VERY MUCH LEGISLATIVE
ANALYSTS OFFICE. YES BRING
WHETHER FORD WITH THE
LEGISLATIVE ANALYST'S OFFICE-
THE STATED OBJECTIVE OF THIS
PROGRAM IS INTERESTING BUT ON
THE ADMINISTRATION HASN'T
PROVIDED A LOT OF DETAILS ABOUT
THE OUTCOMES THAT IT'S- SEEKING
TO ACHIEVE LIKE THE NUMBER OF
GRANTS AND HOW THESE WOULD-
WOULD- INITIALLY WHAT
SPECIFICALLY THE OUTCOMES ARE
AND A DETAILED SENSE IN A
MINUTE ISSUE THE PROPOSED
TRAILER BILL LANGUAGE- DOESN'T
DEFINE SOME KEY TERMS AND SO IS
THERE SOME. SOME OPPORTUNITIES
ARE THERE FOR THE LEGISLATURE
TO WEIGH IN ON THE ON THE
BUDGET TRAILER BILL LANGUAGE
TO- TO WRITE SPECIFICITY AND-
PERHAPS REQUIRE SOME REPORTING
OR OTHER OVERSIGHT MEASURES.
THANK YOU VERY MUCH ACTUALLY AS
A FOOTNOTE WHAT I SAID THE LAST
TIME ON THE LAST ITEM REALLY
RELATES TO THIS ONE. I TURN THE
PAGE TOO SOON SO- BUT JUST A
CUT AND PASTE- COMMENTS BY THE
COMMITTEE COMMITTEE MEMBERS.
SENATOR NIELSEN CAN YOU
ENLIGHTEN ME AS TO WHAT WHAT
WHAT ARE THE METRICS THAT YOUR
FLIGHT HERE- IF IT'S OKAY TO
SAY. WHAT DO SAID ABOUT THE
MINORITY BUSINESS AND COLOR AND
ALL THAT GOOD. WHAT OTHER
PERFORMANCE METRICS DO YOU
ACCOUNT FOR THE FACT THAT ARE
IMPORTANT TO YOU TO ENSURE THE
EFFICACY AND SUCCESS. OF THIS
KIND OF INVESTMENT. THIS WOULD
BE PROBABLY TO- TO FINANCE.
WHAT WHAT METRICS WITH THIRTY
YEARS TO PRACTICE TO THE POINT
IF YOU WILL I'M SORRY SENATE
ATTRACTED THIRTY FIVE MILLION
DOLLARS- OKAY AS SO I BELIEVE
MORRELL MIGHT BE ABLE TO ANSWER
THAT QUESTION SO I DEFER TO MY
COLLEAGUE WHILE. OKAY MADAM
CHAIR SENATOR NIELSEN SO- D. D.
GRANTS COULD BE AS LOW AS
TWENTY FIVE HUNDRED AND- UP TO
TEN THOUSAND DOLLARS THE ANSWER
YOUR FIRST QUESTION AND THEN
YOU KNOW IN ORDER TO TRACK OUR
OUTCOMES WE WOULD BE LOOKING AT
THE NUMBER OF SUCCESSFUL START
UPS AND THE NUMBER OF JOBS
CREATED REVENUE CREATION- THE
OFFICE OF THE SMALL BUSINESS
ADVOCATE HAS AN ANNUAL REPORT
THAT IT IS REQUIRED TO SUBMIT
TO THE LEGISLATURE AND THESE
THIS DATA AS A PART OF THE- THE
SMALL BUSINESS TECHNICAL
ASSISTANCE EXPANSION PROGRAM
WOULD BE REQUIRED TO BE
DELIVERED TO GOLD IS AS A PART
OF THEIR AGREEMENT SO WE WOULD
BE TRACKING ALL OF THIS
INFORMATION. AND AND THAT WOULD
BE AGAIN PUBLICLY DISCLOSED TO
OUR ANNUAL REPORT. LASTLY THE
SHE PROGRAM RECEIVED FUNDING
AND LAST YEAR'S BUDGET. AND NOW
THIS APPEARS THAT WE'RE GOING
TO REPLACE THAT SHE PROGRAM.
THAT'S ONLY ONE YEAR LATER.
FAIL AND THAT'S WHY IT'S BEING
REPLACED OR WHAT WOULD BE THE
REASON TO NOT CONTINUE WITH A
STATE PROGRAM THAT WAS
IMPLEMENTED LAST YEAR. AGAIN I
THINK THAT'S THE FINANCE. THE
STATE PROGRAM FROM LAST YEAR. I
WILL HAVE TO DOUBLE CHECK THAT
AND GET BACK TO SENATOR I
BELIEVE THAT PROGRAM LAST YEAR
WAS ONLY FOR A YEAR- BUT I WILL
DOUBLE CHECK THAT. THANK YOU.
THAT'S THAT'S THAT'S IT. OKAY
THANK YOU VERY MUCH THIS IS A
HOLLOW OVER OPEN ITEM TO WILL
MOVE ON TO ITEM ISSUE NUMBER
THIRTEEN WHICH IS INCLUSIVE
INNOVATION. HUB GRANTS AND ON
THAT LAST ITEM IF YOU COULD GET
THIS ALL OF THE PAPERWORK
THROUGH THE BUDGET THAT WOULD
BE TERRIFIC. I BELIEVE GO BASE
IS GOING TO BE A PRESENTATION.
RIGHT AT MADAME SHERRI AGAIN
THIS IS MORRELL FARSI FROM GO
BIZ- AND I CAN ALSO CIRCLE BACK
ON THE SEAT PROGRAM IF THAT'S
HELPFUL LATER BUT I'M OUR
SECOND REQUEST IS FOR TWO POINT
FIVE MILLION DOLLARS IN ONE
TIME GENERAL FUND ALLOCATION TO
RE LAUNCH THE CALIFORNIA
INNOVATION HUB PROGRAM. AGAIN
THROUGH THE OFFICE OF THE SMALL
BUSINESS ADVOCATE WE WANT TO
RELAUNCH IT AS THE INNOVATION
INCLUSIVE INNOVATION HUB
PROGRAMMER I HOPE SQUARE TO
INCENTIVIZE THE FOCUS ON
DIVERSITY EQUITY AND INCLUSION
IN THE STATE'S TECH AND SCIENCE
BASED START UP ECOSYSTEM. AS WE
KNOW CALIFORNIA IS THE FIFTH
LARGEST ECONOMY IN THE WORLD
AND WE LEAD IN BUSINESS STARTS
ARE STRONG INNOVATION AND START
UP CULTURE IS IT IS A PART OF
OUR- OF OUR FABRIC IN THE
STATE. WHAT WHAT WE'RE LOOKING
FOR IN THIS PROGRAM IS TO- TO
LAUNCH A PROGRAM TO FOCUS ON
REVERSING THE INEQUITIES AND
BARRIERS THAT EXIST AND
STRENGTHENING THE INNOVATION
ECOSYSTEMS BY MAKING THEM MORE
X. INCLUSIVE SORRY NOT
EXCLUSIVE INCLUSIVE. BY HELPING
TO ENSURE THAT ALL
ENTREPRENEURS CAN ACCESS
OPPORTUNITY FOR RESEARCH
DEVELOPMENT TECHNOLOGY TRANSFER
COMMERCIALIZATION ACCELERATION
AN INVESTMENT CALIFORNIA WILL
STRENGTHEN STRENGTHEN ITS
ECONOMIC AND INNOVATION
LEADERSHIP SO THE I HAVE SQUARE
PROGRAM WILL BE FORMALLY
ESTABLISH PARTNERSHIPS BETWEEN
INDUSTRY TECHNICAL ASSISTANCE
PROVIDERS STARTUPS AND
ENTREPRENEURS UNIVERSITIES AND
RESEARCH INSTITUTIONS AND
GOVERNMENTS IN SPECIFIC
GEOGRAPHIC AREAS AND FOCUSED ON
SPECIFIC SECTORS. HE I HAVE
SQUARED PROGRAM WILL SUPPORT
REGIONAL INCLUSIVE ECOSYSTEMS
AND DRIVE INVESTMENT TOWARDS
REGIONAL ASSETS TO ACCELERATE
TECHNOLOGY COMMERCIALIZATION SO
WHAT WE'RE LOOKING TO DO IS
DESIGNATE TEN I HAVE SQUARED
PROGRAMS FOR THREE YEAR FOR A
THREE YEAR PERIOD AWARDING THEM
A HUNDRED FIFTY THOUSAND
DOLLARS. PER YEAR ONCE
INCENTIVIZE AND LUNCH.
INCLUSIVE PROGRAMMING AND FIFTY
THOUSAND AND STEPS TO YEARS.
THESE INITIAL GREAT WILL BE TO
LAY ON A TRACK FURTHER IN AND
SUPPORT SUSTAINABILITY AT LEAST
I HAVE SQUARED WILL BE
DESIGNATED TO SERVICE VEHICLES
FOR HIRE- JOBS AND WEALTH
CREATION THAT STRENGTHENED THE
DEVELOPMENT OF UNDERSERVED
REGIONS AND EMERGING DIVERSE
ENTREPRENEURS TO HELP BUILD AN
ECONOMY FOR ALL I WILL STOP
THERE AND ANSWER ANY QUESTIONS
IF YOU HAVE THEM. THANK YOU
VERY MUCH THE DEPARTMENT OF
FINANCE ANY COMMENTS. WE HAVE
NO COMMENT THANK YOU. THANK YOU
VERY MUCH OF LEGISLATIVE
ANALYST'S OFFICE. THIS IS BRIAN
WHETHER FORD AGAIN- TO OUR
KNOWLEDGE THERE WAS NEVER A
REVIEW OF THE PRIOR INNOVATION
HUBS PROGRAM ANDWE THINK THAT
IT COULD BE HELPFUL TO
UNDERSTAND YOU KNOW WHAT WORKED
WELL AND WHAT DIDN'T WORK SO
WELL WITH THAT PROGRAM PRIOR TO
RELAUNCHING IT. IN COMMENTS TO
OUR OFFICE THE- THE GO BIZ
NOTED THAT THE INNOVATION HUB
PROGRAM WASN'T NECESSARILY
CONSIDERED TO BE SUCCESSFUL AND
YET WE OBSERVE THERE WEREN'T
MAJOR CHANGES IN THE STATUTORY
LANGUAGE OTHER THAN ADDING
LANGUAGE- YOU KNOW ENCOURAGING
THAT FOR HIM TO FOCUS ON
INCLUSIVITY AND EQUITY ISSUES.
AND SO THE LEGISLATURE MAY WANT
TO CONSIDER ADDING SOMETHING
WHICH PROVIDE ADDITIONAL
OVERSIGHT OF THE PROGRAM- FOR
EXAMPLE TRAILER BILL LANGUAGE
COULD BE ADDED TO REQUIRE-
REPORTING TO ENSURE THE PROGRAM
IS EFFECTIVE IN DRIVING
INNOVATION INCREASING OUTCOMES
FOR UNDERSERVED BUSINESS
GROUPS. SO AND THIS WAS RELATED
I THINK TO THE DREAM GRANTS
DISCUSSED IN THE LAST ITEM
THERE ARE THE REPORTING BY
THESE ORGANIZATIONS BUT THEY
OFTEN FOCUS ON. THE NUMBER OF
TRAININGS PROVIDED AND THE
DEMOGRAPHICS OF THE PEOPLE
RECEIVING THAT TRAINING BUT NOT
NECESSARILY- OUTCOMES IT'S MORE
DIFFICULT TO TRACKING YET IT'S
AROUND WHAT SEEMS TO BE ON THE
IMPORTANT OUTCOME IN THIS CASE.
THANK YOU VERY MUCH. COMMENTS
THE QUESTIONS FROM THE
COMMITTEE SENATOR NIELSEN. THE
BOSTON GLOBE HAS OF. DO YOU
HAVE A QUANTIFICATION OF HOW
MUCH. I THAT FUNDING HAS BEEN
LEVERAGED BY THE SAYING WE ALL
TALK ABOUT THE LEVERAGING- CAN
YOU A CERTAIN HOW MUCH WE HAVE
BEEN ABLE TO LEVERAGE. ANY
DOLLAR AMOUNT SIR. AT MARCH
NINTH NOT MANAGED CARE AND
SENATOR NIELSEN I DON'T HAVE
SPECIFIC NUMBERS ON THAT AND
TYPICALLY THESE TYPES OF
INCUBATORS- RELY ON
PARTNERSHIPS WITH LOCAL
GOVERNMENTS AGAIN THERE IT REAP
REGIONALLY BASED IT RELY
PARTNERSHIPS WITH REGIONAL
GOVERNMENTS- EDUCATIONAL
INSTITUTIONS THAT ARE DOING
RESEARCH- THERE THEY RELY ON
PHILANTHROPY TO SOME EXTENT AND
YOU KNOW THIS SORT OF TIES
INTO. MISTER WEATHERFORD'S
COMMENTS IN THAT YOU KNOW THAT
THE STATE HAS NOT IS IN IN THE
ITS INITIAL ITERATION OF THE I
HAVE PROGRAM THERE WAS NO
FINANCIAL COMPONENT THERE WAS
NO GRANT COMPONENT WHATSOEVER
AND SO- SO THIS IS A UNIQUE
ASPECT TO HELP THE NEEDY
ENTITIES HAVE SOME ADDITIONAL
FUNDING PARTICULARLY IN A TIME
POST COLD ED WHERE- YOU KNOW IT
DOES TIONAL REVENUES ARE SCARCE
TO CONTINUE FOCUSING ON THAT
EACH INCLUSIVE ENVIRONMENT FOR
INNOVATION AND- AND START UPS.
HERE ARE I PER THE AD AND I
COMMEND YOUR- IF I LIKE YOUR
CHOICE OF BIRCH. BUT IT DOESN'T
QUITE ANSWER THE
QUANTIFICATION. ANSWER THAT'S
IT'S A GENERALIZATION AND IT'S
A SORT OF DIRECTORY. BUT WE
NEED TO KNOW HOW MANY JOBS ARE
CREATED FOR EXAMPLE DO WE HAVE
ANY HARD FACTS AND DATA ON THE
NUMBER OF JOBS CREATED BY THIS
INVESTMENT. SENATE AT MADAM
CHAIR CENTER NIELSEN I BELIEVE
THAT IS SOMETHING THAT WE DO
WANT TO TRACK OUT OF THIS
PROGRAM IN STATUTE FOR THE
EXISTING I HOPE PROGRAM WE DID
IT WE DO HAVE A MANDATORY
REPORTING REQUIREMENTS- AND
AGAIN THERE IS JUST. NOT A LOT
TO REPORT OTHER THAN IT WAS A
PROGRAM THAT WAS ESTABLISHED ON
PARTNERSHIPS AND HELPING.
HELPING THESE LOCAL I. HOBBS-
YOU KNOW IN ACCESS TO VARIOUS
STATE AGENCIES OR WORKING WITH
THEM ON THE BENCH IT WAS IT WAS
MERELY A PARTNERSHIP. THIS
WOULD ACTUALLY ALLOW US TO TAKE
THE PROGRAM AND TO FIND OUT
QUANTITATIVELY WHITE WILL BE.
WHAT THE PRODUCT OF THESE
INVESTMENTS WILL BE SO THAT IS.
CERTAINLY IN OUR PLANS TO
EXAMINE- BUT I DON'T HAVE ANY
CASE STUDIES BECAUSE WE HAVEN'T
DONE IT BEFORE. WELL I'M GONNA.
THAT YOU DO GET ABOUT THAT THE
GENERAL ALLERGIES AND THE HOPES
ARE CERTAINLY APPLICABLE. BUT
THE HARD DATA IS ALSO REQUIRED
AND WE WOULD REQUEST THAT THAT-
B. DEVELOP ANOTHER EXAMPLE
WOULD BE WHAT AREAS ARE WE
SERVING. WITH THESE FUNDS. DO
WE HAVE ANY IDEAS WHAT AREAS
SERVED AND OR WHAT INDUSTRIES
PARTICULARLY ARE RECEIVING THE
FUNDING COULD YOU ELABORATE ON
THAT OR IS THAT AN ERROR YEAR
YET EXPLORING. BUT THANK YOU
MADAM CHAIR SENATOR NIELSEN-
YES SO TYPICALLY THE HUBS THAT
WE HAD IN OUR FIRST I HAVE
PROGRAM AT THE ART
GEOGRAPHICALLY FOCUSED ALL OVER
THE STATE- AND THEY AGAIN HAVE
PARTNERSHIPS WITH VARIOUS STATE
AND- START WITH VARIOUS LOCAL
GOVERNMENT ENTITIES WHETHER ITS
CITY HALL THEIR LOCAL CHAMBERS-
OR RATHER THEIR ECONOMIC
DEVELOPMENT ORGANIZATIONS. AND
TYPICALLY THEY DO HAVE AN
INDUSTRY FOCUS SO- THAT'S KIND
OF THE NEAT THING ABOUT IT
THERE MAYBE ONE- HI IN
INCUBATOR THAT'S LET'S SAY-
LET'S SAY IN I DON'T KNOW
NORTHERN CALIFORNIA SUMMER BAY
AREA THEY MAY HAVE A FOCUS ON
BIOTECHNOLOGY THERE MAY BE
ANOTHER ONE THAT HAS A FOCUS
ON. ON CLIMATE RESIIENCE OR-
YOU KNOW BIOMASS SO A LOT OF
THEM DO HAVE THIS INDUSTRY
FOCUSED SOME OF THEM ARE A MIX
BUT TYPICALLY IT'S A MIX OF THE
GEOGRAPHY AND INDUSTRY HOW WE
HAVE WORKED. TOGETHER WITH THEM
BUT YOU KNOW OUR FOCUS FOR ITEM
SQUARED IS GOING TO BE TO LOOK
AT UNDERSERVED COMMUNITIES
PARTICULARLY IN THE INLAND PART
OF THE STATE AGAIN THOSE
COMMUNITIES THAT ARE
UNDERSERVED THROUGH THE
RESOURCES THAT ARE. MORE
AVAILABLE BUDGET OTHER INNOVATE
IN INCUBATOR IN IN THE
INNOVATION ECOSYSTEMS. I HOPE
THAT ANSWERS YOUR QUESTION YES
IT DOES LET ME JUST ELABORATE A
BIT AND BY THE WAY IN LANDED.
CALIFORNIA TO MEET EXTENDS. OF
THE TACHE APPEASE ALL UP TO
SISKIYOU IN DEL MAR WILL NOT
DON'T DE MAY BUT JUST. COUNTY
AND- A IN THE NEW. PART OF THE
STATE- THE DIE CALL THAT IN
LAND AND IT SHOWED DO NOT
NEGLECT THOSE AREAS AND I DID
APPRECIATE YOUR REFERENCE TO
BIO MASS THAT'S AN AREA THAT WE
HAVE SEVERELY NEGLECTED. FOR
DECADES AND THAT HAS
CONTRIBUTED. IN NO SMALL
MEASURE TO THE CATACLYSMIC
FIRES. SO YOU'RE ADDRESSING
THOSE ISSUES IT WOULD BE MAY BE
HELPFUL TO US AND CLEANING UP
THE FOREST IN THE WILDLANDS AND
PROTECTING. FOR THE FUTURE. OUR
FIFTY THAT DOES MY LIFE
MAINTAIN ON THIS IS MUCH. TRY
TO DO FOR. MORE NUMBERS
CRUNCHING AS SO WE CAN ASSESS
WITH WORKING IS A THREE HELPING
EVENT MUST ADMIT- I SIT HERE IN
THE LONG HOURS AND COMMITTEE
AND WE AND ENTERTAIN IDEAS. BUT
SELDOM BOOKS DO OUR OFFICES
EVER GET CALLS FROM THOSE WHO
ARE SUPPOSED TO BE THE
BENEFICIARY SINGLE THIS IS THE
GREATEST THING EVER OR FROM
LOCAL GOVERNMENT OFFICIALS
THANKING US THAT THIS IS REALLY
WORKING- AS YOUR. DOUBLING UP
THE MONEY IT MIGHT BE WELL TO
ENCOURAGE THEM NAY THAT LOCAL
RECIPIENT INDUSTRY INDIVIDUAL
OR GOVERNMENT ENTITY. THE
CONTACT THEIR LEGISLATORS AND
LET HIM KNOW HOW THIS IS
WORKING. INFORMATION IN THE
VOID FOR US IS. NOT BENEFICIAL-
THAT'S JUST AN ENCOURAGEMENT
THANK YOU. THANK YOU SENATOR
NELSON- THE I GUESS THE TICKET
TO FOLLOW UP ON A COUPLE OF
QUESTIONS AT THE CENTER NIELSEN
ASKED IS. DO DO MY
UNDERSTANDING IS THAT WE'VE
BEEN DOING THIS THESE
INNOVATION HUBS BUT WITH NO
CURRENT NUMBER ONE AND THEN
NUMBER TWO IN I GUESS I JUST
NEED TO KNOW IF THAT'S WHAT I
UNDERSTOOD NUMBER TWO IS. THIS
ADDS THE GRANT PORTION TO IT
AND- IS IT ANTICIPATED THAT IT
WILL BE. EIGHT COMPETITIVE
GRANT PROGRAM. AND TEN GRANTS
WILL BE AWARDED OR ARE THERE
TEN HAVE SET UP IN YOU KNOW-WHERE THEY ARE AND THESE TEN
HUBS WOULD WOULD BE THE
RECIPIENTS OF THE OF THE GRANT.
MADAM CHAIR ASSUMING THAT
QUESTION IS FOR ME. YES OKAY
THANK YOU YES SO THE INITIAL I
HAVE PROGRAM WHAT IS IT INDEED
THERE IS NO FUNDING ASSOCIATED
WITH THE IT WAS MERELY A
PARTNERSHIP WE HAD ESTABLISHED
AND- USE THAT HAVE SINCE
EXPIRED- AND WE CERTAINLY
ESTABLISH RELATIONSHIPS WITH
MANY AYE HOMES ARE AROUND THE
STATE OF MORE THAN TEN I
BELIEVE LESS THAN TWENTY WAS
WHAT WE HAD TO FORMULATE A
FORMER. FORMALLY ESTABLISH
ANIMAL USE WET- BUT THIS WOULD
BE AT A COMPETITIVE GRANT
PROCESS THE ON THE I HAVE THE
INCUBATORS THAT ARE OUT THERE
WOULD. PROVIDE A RESPONSE TO AN
RFP AND- AND THROUGH THAT
PROCESS THE THEY WOULD DESCRIBE
HOW THEY WOULD BE LEVERAGING
THE GRANT FUNDING AND FOR WHAT
PURPOSE AND HOW THEY WOULD
SERVE. THAT NEED UNDERSERVED ME
THE TARGET COMMUNITIES THAT
WE'RE TRYING TO WORK WITH HERE.
PLEASE LET ME KNOW IF I DIDN'T
ANSWER YOUR QUESTION- THAT WAS
EXCELLENT THAT THAT SOLVES I
THINK SOME OF THE ISSUES THAT.
AS WE READ THIS ISSUE-
QUESTIONS ABOUT HOW SUCCESSFUL
WAS THE REGIONAL PROGRAM AND-
HOW IS THIS GOING TO. MAKE THE
PROGRAM MORE EFFECTIVE FOR A
AND HOW DO WE EVALUATE WHETHER
IT'S MORE MORE EFFECTIVE AND-
YOUR ANSWER EXPLAINS THAT I
APPRECIATED VERY MUCH. THIS IS
A- HOLD OPEN ITEM SO WE WILL DO
THAT AND LOOK FORWARD TO SEEING
IT AGAIN WILL MOVE ON TO ISSUE
NUMBER FOURTEEN. WHICH IS THE
CAL OS BA OUT REACH AND
ENGAGEMENT. AND I BELIEVE- ON.
THE BASIS GOING TO PRESENT THAT
AS WELL. YES THANK YOU MADAM
CHAIR. AGAIN THIS IS A REQUEST
FOR- THE AUTHORITY OVER NINE
HUNDRED ONE THOUSAND DOLLARS
GENERAL FUND TO PERMANENTLY
ESTABLISH AUTHORITY OF SIX
POSITIONS AS PART OF THE
CALIFORNIA OFFICE OF SMALL
BUSINESS ADVOCATE TO PROVIDE
THE EXTENSIVE AND SCALABLE
DIRECT SUPPORT TO SMALL
BUSINESSES NEEDED IN THIS NEW
MULTI DISASTER ENVIRONMENT- I
KNOW THAT I HAVE WORKED WITH
ALL OF YOU IN YOUR OFFICE IS
SIGNIFICANTLY- AND MORE SO
PROBABLY EXPONENTIALLY IN THE
LAST SEVERAL YEARS ON THAT YOU
KNOW AS- THIS IS. A FOCUS ON
THE BACKBONE OF OUR ECONOMY
INCREASES AND THIS IS EXACTLY
WHAT WE ARE TRYING TO ADDRESS
THROUGH THIS EXPANSION OF AN
AND MOREOVER I THINK COVE IT
HAS HIGHLIGHTED THE IMPORTANCE
OF DIGITAL CAPACITY IN THE
DIGITAL DIVIDE THAT EXISTS FOR
SMALL BUSINESSES IN THE STATE
AND WE WANT TO MAKE SURE THAT
WE HAVE THE RESOURCES AVAILABLE
TO GET SMALL BUSINESSES- YOU
KNOW ADEQUATELY SUPPORTED TO
BE. COMPETITIVE IN THIS
ENVIRONMENT SO THIS TEAM WOULD
FOCUS ON CONDUCTING THE
REQUIRED DIRECT SUPPORT OUT
REACHING GAUGE RENDON MARKETING
CONTENT NECESSARY NECESSARY
INCREASINGLY ONLINE TO CONNECT
WITH SMALL BUSINESSES AND HELP
THEM BE PREPARING BE MORE
RESILIENT PARTICULARLY AS A
RESULT IN. DISASTER IMPACTS
ACROSS THE STATE. THE TEAM
STRATEGIES WOULD BE DR BY
EQUITY MEASURE AND WILL PRIOR
PRIORITY UNDERS THE BUSINESS
GROUPS INCLUDING WOMEN
MINORITIES VETERAN OWNED
BUSINESSES AND BUSINESSES IN
LOW WEALTH ROLE IN DISASTER
IMPACTED COMMUNITIES. OF THE
DIRECT BUSINESS SUPPORT AND AN
INCLUSIVE OUR REGION GAGE
NINETEEN WOULD FOCUS ON
INCREASING CONNECTION IN
SUPPORT OF SMALL BUSINESSES FOR
GREATER EQUITY RESILIENCE AND
SUCCESSFUL OUTCOMES. BY IT WITH
A PRIORITY ON REACHING THOSE
UNDERSERVED COMMUNITIES AND- I
THINK THERE IS ANOTHER REALLY
INTERESTING DATA POINT I WANTED
TO SHARE WITH YOU I YES JUST
FOR CONTEXT SO. IN TWENTY
NINETEEN THAT CALLAWAY C. A.
OFFICE RECEIVED LESS THAN A
HUNDRED REQUEST FOR JURY
GENERAL DIRECT SUPPORT- END IN
DISASTER AREAS WHETHER IT'S
FIRES OR SOMETHING ELSE. THAT
NUMBER INCREASES EXPONENTIALLY
AND CALLOW S. B. A. WORKS WITH-
HELLO YES TO PROVIDE THE
ECONOMIC RECOVERY SUPPORT
FUNCTION FOR THE STATE WHICH
FOCUSES ALMOST ENTIRELY ON
SMALL BUSINESSES- AGAIN FOR
CONTEXT SINCE MARCH FIRST OF
TWENTY TWENTY. HELLO SB
RECEIVED ALMOST FOUR THOUSAND
REQUESTS FOR DIRECT SUPPORT AND
RESPONSE I KNOW THAT MANY
ELECTED OFFICIALS OFFICES- CALL
US AND EMAIL ME AND SAY- HEY
MARIO CAN WE GET A SPEAKER FROM
YOUR OFFICE TO COME AND TALK TO
OUR ROUND TABLES. AND WE JUST
DON'T HAVE THE CAPACITY IN THIS
THIS IS THE EXACT TYPE OF THING
THAT WE'RE TRYING TO ADDRESS
WE'RE TRYING TO BE MORE
AVAILABLE HERE CONSTITUENTS
ACROSS THE STATE. WE'RE TRYING
TO MAKE SURE THAT WE'RE BEING
STRATEGIC ABOUT THE SUPPORT
THAT THEY RECEIVE AND- WE HOPE
THAT YOU WOULD APPROVE THIS
BUDGET ITEM THANK YOU. THANK
YOU VERY MUCH AND WE ALWAYS
APPRECIATE HAVING THE
OPPORTUNITY TO INVOLVE YOU WITH
OUR LOCAL RESIDENTS THANK YOU
FOR THAT- DEPARTMENT OF FINANCE
ANY COMMENTS. JERVIS NOTHING
ADD THANK YOU MORAL THANK YOU
MUCH LET'S ANALYSTS ON. WELL WE
HAVE NO CONCERNS WITH THIS
ITEM. THANK YOU VERY MUCH
QUESTIONS FROM THE COMMITTEE.
TURN THE OVEN. HOW CAN WE BE
ASSURED THAT THE SIX NEW
POSITIONS WILL IN FACT BE DOING
WHAT YOU SUGGEST THAT'S GOING
OUT IN THE HINTERLANDS AND
BEING IN TOUCH. ARE THEY GOING
OVER THERE THE JOB
CLASSIFICATION WOULD REQUIRE
THAT OR HOW DO WE BE SURE THAT
THIS JUST ISN'T A P. Y. BUILDER
FOR AN AGENCY. THANK YOU MADAM
CHAIR AND SENATOR NIELSEN FOR
THAT QUESTION- YOU ARE ALL VERY
FAMILIAR WITH GO BIZ WE'RE
HISTORICALLY BEEN AT A VERY
SMALL- YET NIMBLE AND-
HOPEFULLY PRODUCTIVE AGENCY FOR
THE STATE AND- WE DO HAVE AS I
MENTIONED EARLIER IN ANNUAL
REPORT WHERE WE'RE CONSTANTLY
TRACKING THE NUMBER OF REQUESTS
ENGAGEMENTS. THE OUTGOING-
EVENTS THAT WERE PARTICIPATING
IN ALL OF THIS IS REPORTED TO
THE LEGISLATURE ANNUALLY IS A
STATUTORY REQUIREMENT BUT
MOREOVER WE DO THINK IT'S A
PART OF OUR RESPONSIBILITY AND
IN SHARING OF WHAT THE DEMAND
IS ON OUR OFFICE AND HOW WE'RE
SERVING THE PUBLIC. WELL THIS
IS KIND OF A MINUSCULE AREA.
BUT I MUST CONFESS IT'S AN AREA
I'M PAYING A LOT OF ATTENTION
TO IN THE BUDGET. HERE AND
THERE AND HERE AND THERE. THESE
ARE SMALL AMOUNTS MAYBE BUT
THEY ARE ALSO. BUDGET BUSTERS
THEY INFLATE THE BASE BUDGET
AND AS I'M LOOKING AT
EXPENDITURES THEN I'M ALWAYS
WORK MINDFUL OF WHAT'S THE
CUMULATIVE EFFECT OF ALL THIS
JUST A LITTLE BIT MORE HERE A
LITTLE BIT MORE HEIR IT TURNS
OUT BEING A LOT MORE OVER MANY
MANY YEARS SO WE DO HAVE TO BE
IMPORTANT AND THAT'S WHY I'M
KIND OF- BASKING A LOT OF
QUESTIONS. THANK YOU FOR THE
ANSWER. THANK YOU VERY MUCH SO
THIS IS A HOLD OPEN ITEM SO
WHAT WE WILL DO THAT AND THANK
YOU VERY MUCH FOR YOUR
TESTIMONY WILL MOVE ON TO THE
CALIFORNIA ALTERNATIVE ENERGY
AND ADVANCED TRANSPORTATION
FINANCING AUTHORITY. AND IT'S
ISSUE NUMBER FIFTEEN THE SALES
TAX EXCLUSION. IF WE COULD HEAR
FROM THE- DEPARTMENT. HELLO
THIS IS J. COMPARTMENT
APARTMENT IN FINANCE- SO THE
CALIFORNIA ALTERNATIVE ENERGY
AND ADVANCED TRANSPORTATION
FINANCING AUTHORITY WAS HOUSED
IN THE STATE COMPTROLLER'S
OFFICE AND OPERATES A NUMBER OF
PROGRAMS THAT PROVIDE FINANCIAL
ASSISTANCE TO FIRMS DEVELOPING
TECHNOLOGIES INTENDED TO REDUCE
AIR POLLUTION AND CONSERVE
ENERGY ARE ONE OF THESE
PROGRAMS IS A SALES TAX
EXEMPTION WHICH IS AWARDED
THROUGH AN APPLICATION PROCESS
I'M INCIDENT INTENDED TO SPSS
MANUFACTURERS IN PURCHASING
CERTAIN EQUIPMENT FOR HOUSTON
ALTERNATIVES ALTERNATIVE SOURCE
ENERGY PRODUCTION. IN FRANCE
MANUFACTURING ELECTRICAL
VEHICLE MANUFACTURING THE
PURPOSE OF THE PROGRAM IS TO
ENCOURAGE STREET REEN
TECHNOLOGY INVESTMENT TO TAKE
PLACE IN CALIFORNIA BRINGING
WITH IT BENEFITS SUCH AS JOB
CREATION POLLUTION REDUCTION-
THE SALES TAX EXEMPTIONS ARE
WARDED TO APPLICANTS BASED ON A
NET BENEFIT TEST OUTLINED IN
THE PROGRAM'S REGULATIONS WHICH
SCORES PROSPECTIVE PROJECTS
BASED ON A VARIETY OF FACTORS
INCLUDING AN ESTIMATED STATE
AND LOCAL FISCAL IMPACT.
ENVIRONMENTAL BENEFIT. LOCAL
UNEMPLOYED AND PLACE FOR THE
PRIME WILL BE LOW. AND ARE ALSO
OUR LOCAL ECONOMIC BENEFIT- SO
THAT'S NUMBER OF JOBS SCRIPTED
AMONGST OUR ALONG WITH SOME
OTHER THINGS- THE PROGRAM IS
CURRENTLY CAPPED AT A HUNDRED
MILLION TOTAL EXEMPTIONS
AVAILABLE TO BE AWARDED PER
YEAR AND THIS CAP HAS BEEN
REACHED EVERY YEAR SINCE TWO
THOUSAND FIFTEEN. THE PROGRAM
IS ALREADY OVERSUBSCRIBED FOR
THE TWENTY TWENTY ONE CALENDAR
YEAR SO I IN THE GOVERNOR'S
BUDGET THE ADMINISTRATION
PROPOSES A ONE HUNDRED MILLION
ONE TIME. DOUBLING THE AMOUNT
AVAILABLE IN THIS YEAR TWENTY
TWENTY ONE TO TWO HUNDRED
MILLION. I FURTHERMORE IF ANY
AMOUNT OF THAT EXTRA HUNDRED
MILLION IS LEFT I THINK
ALLOCATED. IN THIS YEAR TWENTY
TWENTY ONE IT WOULD BE ROLLED
OVER AND AVAILABLE FOR
ALLOCATION IN TWENTY TWENTY
TWO. AND THE EXTENSION PROPOSAL
IS A RECOGNITION AND
RECOGNITION OF THE NEED FOR
FURTHER TAX RELIEF FOR
BUSINESSES TO COVER NINETEEN
DEMING- AND THE POTENTIAL
MAGNIFICATION EFFECT ADDITIONAL-AID FOR THESE IMPORTANT
INDUSTRIES COULD HAPPEN THIS
CURRENT MOMENT. WHEN BUSINESSES
MAY BE RECALIBRATING AND MAKING
NEW LONG TERM INVESTMENT PLANS.
THAT CONCLUDES MY COMMENTS- I'D
BE HAPPY TO TAKE ANY QUESTIONS
I ALSO SOME COLLEAGUES. I'M ON
THE CALL FROM THE AUTHORITY WHO
MIGHT BE BETTER FOR ANSWERING
QUESTIONS THAT ARE AIMED AT
THOSE SPECIFIC ADMINISTRATION
OF THE PROGRAM. I THANK YOU
THANK YOU VERY MUCH-
LEGISLATIVE ANALYSTS OFFICE.
THANK YOU. SAID CHRISTINE WITH
THE LEGISLATIVE ANALYST'S
OFFICE- IN GENERAL WE WOULD
DISCOURAGE THE LEGISLATURE FROM
USING LOCAL REVENUES TO FIND
STATE PROGRAMS WE ESTIMATE
THAT. ABOUT TWO THIRDS OF THE
COST OF THIS PROPOSAL WOULD IN
FACT BE BORNE BY LOCAL
GOVERNMENTS. ADDITIONALLY THE
PROPOSAL'S BENEFITS WOULD BE
NEITHER TIMELY NOR DIRECTED
TOWARDS THE- BUSINESSES HIT
HARDEST BY THE PANDEMIC. AND SO
WE RECOMMEND THAT THE
LEGISLATURE REJECTS THE
PROPOSAL AND INSTEAD ALLOW
LOCAL GOVERNMENTS TO EXERCISE.
THEIR OWN JUDGMENT REGARDING
THE BEST USE OF THESE REVENUES.
THANK YOU VERY MUCH COMMENTS OR
QUESTIONS FROM THE COMMITTEE.
SATURDAY IS. THIS NOT THEN.
SEPARATE CHARACTERIZES AN
UNFUNDED MANDATE ON LOCAL
GOVERNMENTS. SENATOR NIELSEN
THANK YOU FOR THE QUESTION I AM
NOT OUR OFFICES- EXPERT ON
MANDATES- SO I WOULD NEED TO-
TO GET BACK TO YOU ON THAT I
DON'T SEE I THINK THE ANSWER IS
PROBABLY NO BUT- WE CAN GET
BACK TO YOU ON THAT PLEASE DO
I'M SENSITIVE TO THOSE UNFUNDED
MANDATES- THEY THEY HAVE A LONG
HISTORY AROUND HERE. WELL I'M
I'M GONNA JUMP ON THIS
BANDWAGON MY CONCERN IS THAT.
THE STATE'S IN A VERY UNIQUE
AND UNUSUAL POSITION THAT.
WHILE WE'RE IN THE MIDST OF.
ONE OF THE BIGGEST DOWNTURN IN
THE STATE'S ECONOMY. DOT COM
BETTER REVENUES UP. AND THAT'S
NOT THE CASE IN IN LOCAL
GOVERNMENT AS I UNDERSTAND IT-
LOCAL GOVERNMENT IS GOING TO
HAVE TO MAKE SOME REALLY TOUGH
DECISIONS. ABOUT WHAT SERVICES
THEY WILL KEEP AND WHAT
SERVICES THEY WILL CUT AND FOR
US TO ADD TO THAT. GRIEF AS A-
ME JUST SAY THAT THIS IS A
HOLLOW OPEN ITEM I DON'T HAVE
ANY QUESTIONS. I UNDERSTAND-
HOW THIS WILL WORK AND I
APPRECIATE. THE INFORMATION
THAT IS GIVEN I HAD QUESTIONS
ABOUT. WHERE THIS TAX CREDIT
HAS BENEFITED OR WHAT
COMMUNITIES IT'S BENEFITTED THE
MOST AND WHAT KIND OF
INDUSTRIES IT'S BENEFITTED. THE
MOST AND IT LOOKS LIKE IT'S-
IT'S ALL OVER THE BOARD IN
TERMS OF THE KINDS OF
INDUSTRIES THAT COULD BENEFIT
FROM THIS THIS KIND OF TAX
CREDIT. BUT TO THE EXTENT THAT
THAT- WE ARE ASKING LOCAL
GOVERNMENT TO TAKE THE BIGGEST
HAIR CUT AND I AM I'M A LITTLE
BIT UNCOMFORTABLE WITH IT I
MIGHT NOT WANT TO HEAR FROM MY
CONSTITUENTS. TO GET A BETTER
SENSE OF WHAT THEY- WHAT THEY
THINK ABOUT I THINK I KNOW. BUT
I APPRECIATE IT THIS COMING
FORWARD- I. IF I WAS GOING TO
CONSIDER IT- I THINK THE
PROPOSAL WOULD NEED TO TARGET
TARGET THE HARDEST HIT
BUSINESSES IN ORDER FOR ME TO
FEEL LIKE THERE'S A REAL. A
REAL REASON TO- TO MAKE. LOCAL
GOVERNMENT. BEAR THE BRUNT OF
THE- AT THE TAX CREDIT SO I
THANK YOU FOR BRINGING THIS
FORWARD THIS IS A HOLD OPEN
ITEM SO WE'LL MOVE ON TO THE
NEXT. ISSUE WHICH IS ISSUE
NUMBER SIXTEEN. WHICH IS THE
CENTRALIZED REVENUE OPPORTUNITY
SYSTEM. PROJECT IMPLEMENTATION
PHASE. THANK YOU CHAIR
CABALLERO AND THE STEAM
COMMITTEE MEMBERS- I'M JASON
MALOTT THE CFO OF THE
DEPARTMENT TAX AND FEE
ADMINISTRATION AND I'M JOINED
BY VALERIE WILLIAMS WHO IS OUR
DIRECTOR OF CROSS- THIS ALLIES
REVENUE OPPORTUNITY SYSTEM OR
CROSS IS THE DEPARTMENT'S TAX
COLLECTION AND DISBURSEMENT IT
SYSTEM WHICH WE WHICH WAS
APPROVED IN TWO THOUSAND
ELEVEN. LAST YEAR IN NOVEMBER
AT THE FOURTH AND LAST
IMPLEMENTATION- FACE OCCURRED
WHICH ADDED APPROXIMATELY TEN
SPECIAL TAX PROGRAMS INCLUDING
CANNABIS LEAD ACID BATTERY AND
HAZARDOUS SUBSTANCE TAX. THE
CITY TFA REQUESTS TWENTY THREE
POINT NINE MILLION TO SUPPORT
THE FINAL PHASES OF
IMPLEMENTATION AND TRANSITION.
TO PRODUCTION- SUPPORT
MAINTENANCE AND OPERATIONS THE
RATIONALE FOR OUR REQUEST IS
THAT CROSS NOW INCLUDES ALL
THIRTY SEVEN OF THE DEPARTMENTS
TAX AND FEE PROGRAMS FUNDING
OVER SEVENTY BILLION DOLLARS
PER YEAR OF THE SITE AND
ESSENTIAL SERVICES FOR THE
STATE. AND THE SOFTWARE IS ALSO
ENABLED THE DEPARTMENT TO
MODERNIZE- THROUGH GREATER
EFFICIENCY VISIBILITY AND
CUSTOMER SERVICE- THE FUNDING
OF THE TWENTY THREE POINT NINE
MILLION- WOULD BE THIRTEEN
MILLION FROM THE GENERAL FUND
AND TEN POINT NINE FROM SPECIAL
TAX AND REIMBURSEMENTS- BUT-
JUST TO GIVE YOU ONE MORE
GRANULARITY ON THE TWENTY THREE
POINT NINE MILLION- THERE ARE
pRELEASE UP THE CONTRACT WITH
HOLDING WHICH- WHICH IS SIX
POINT SIX MILLION. THE SECOND
BUCKET IS MAINTENANCE
OPERATIONS CONTRACT FOR NINE
POINT NINE MILLION OF WHICH TWO
POINT EIGHT IS A SOFTWARE
LICENSING FEE AND THE REMAINING
SEVEN POINT ONE. IS FOR VENDOR
SUPPORT AND THE LAST BUCKET IS
FOR DATA CENTER SERVERS ANOTHER
I. T. FOR SEVEN AND A HALF
MILLION. THAT CONCLUDES- THE
OPENING. REMARKS HAVE HAPPY TO
ANSWER ANY QUESTIONS. THANK YOU
VERY MUCH DEPARTMENT OF FINANCE.
BRAZIL FOR THE DEPARTMENT OF
FINANCE WE HAVE NOTHING YEAH.
IS THERE ANY COMMENT BY THE
DEPARTMENT OF FINANCE I'M SORRY
I DIDN'T HEAR THAT LAST COMMENT
MAN. VERY GOOD FOR STOP TO
CRISFIELD APARTMENT OF FINANCE
WE HAVE NOTHING TO ADD GOT IT
GOT IT THANK YOU- IT DOESN'T
COME THROUGH REAL CLEAR
SOMETIMES SO IT JUST NEEDS.
ANNUNCIATION IF YOU COULD
PLEASE- THE LEGISLATIVE
ANALYST'S OFFICE. SETH KIRSTINE
WITH THE LEGISLATIVE ANALYST'S
OFFICE WE HAVE NO CONCERNS WITH
THE PROPOSAL VERY GOOD. COMMENT
TO QUESTIONS FROM THE COMMITTEE.
SENATOR NELSON JUST A COMMENT I
LOOK AT FINANCES NOT BEING VERY
HELPFUL HERE AND BRINGING FORTH
INFORMATION TO US THE. BRIGADE
SAYING NO FURTHER QUESTIONS
THIS IS A HOLD OPEN ITEM SO
ROOM WILL MOVE ON TO ISSUE
NUMBER SEVENTEEN WHICH IS THE
DEBT COLLECTOR LICENSING AND
REGULATION. THIS IS IN THE
DEPARTMENT OF FINANCIAL
PROTECTION AND INNOVATION IS
THAT A PRESENTATION FOR THEIR
PART IN A FINANCE OR THE
DEPARTMENT EITHER ONE. EGGMAN.
WE'RE LOOKING FOR THE
DEPARTMENT OF FINANCIAL
PROTECTION AND INNOVATION-
EITHER THEY THEY OR THE. HI
THIS IS KIMBERLY HARBISON FROM
THE DEPARTMENT OF FINANCE I
BELIEVE APRIL ELEVENTH FROM
DINNER YEAH IT IS READY TO BE A.
GOOD AFTERNOON MADAM CHAIRMAN I
WAS WAITING TO BE SHARED ON
VIDEO I'M SORRY. HEREON YOU
CHAIRWOMAN AND MEMBERS OF THE
COMMITTEE MY NAME IS APRIL
ELEVENTH I NEED CHIEF OF THE
FISCAL MANAGEMENT OFFICE AT THE
DEPARTMENT OF FINANCIAL
PROTECTION AND INNOVATION. WE
ARE REQUESTING AN INCREASE IN
EXPENDITURE AUTHORITY OF TEN
POINT SEVEN MILLION DOLLARS
FROM THE FINANCIAL PROTECTION
FUND AND FORTY FOUR POSITIONS
IN FISCAL YEAR TWENTY TWENTY
ONE TWENTY TWO. TEN POINT THREE
MILLION AND FIFTY ONE POSITIONS
IN TWENTY TWENTY TO TWENTY
THREE. AND TEN POINT NINE
MILLION FIFTY FIVE POSITIONS IN
TWENTY TWENTY TO TWENTY FIVE
I'M SORRY TWENTY TWENTY THREE
TWENTY FOUR. TO IMPLEMENT SB
NINE AWAIT CHAPTER ONE SIXTY
THREE STATUES OF TWENTY TWENTY
THE DEBT COLLECTION LICENSING
ACT. AND WITH THESE RESOURCES
THE DEPARTMENT WILL PROTECT
CONSUMERS CREATE TRANSPARENCY
IN THE DEBT COLLECTOR INDUSTRY.
BY LICENSING EXAMINING AND
REGULATING DEBT COLLECTORS AND
BY ENFORCING THE PROVISIONS OF
THE SB NINE AWAIT. WITH ME
TODAY IS BADLY BARNHART THE
DEPUTY COMMISSIONER OF
ADMINISTRATIVE SERVICES
JENNIFER RHEINBERGER DEPUTY
COMMISSIONER OF LEGAL DIVISION.
AND A NICKEL HE SAID TELL ME
DEPUTY COMMISSIONER OF
LEGISLATION. AND WE'RE HAPPY TO
ANSWER ANY QUESTIONS YOU MAY
HAVE OF THIS REQUEST. THANK YOU
VERY MUCH APPRECIATE THE MALL
BEING HERE TODAY- WANT TO SEE
IF THERE'S ANY COMMENTS FROM
THE DEPARTMENT OF FINANCE. I
CAN REALLY HARVESTING FOR THE
DEPARTMENT OF FINANCE FOR
SUPPORT OF THIS REQUEST AND
ADDITIONAL COMMENTS AT THIS
TIME. THANK YOU VERY MUCH HOW
ABOUT THE LEGISLATIVE ANALYST'S
OFFICE. THROUGH SORT OF WORK
LEGISLATIVE ANALYST'S OFFICE
OUR OFFICE IS CONTINUING TO
REVIEW THE PROPOSAL WILL BE
ENSURE- WILL BE SURE TO INFORM%
THE COMMITTEE IF WE- FIND ANY
CONCERNS THAT WE WANT TO RAISE
YOUR ATTENTION. VERY GOOD A
QUESTIONS OR COMMENTS FROM THE
COMMITTEE. SO I DO HAVE ONE ONE
CONCERN AND- AND- IT'S MORE OF
A COMMENT TO BE NOTED FOR THE
FUTURE THIS IS A HOLD OPEN I
ITEM SO WHAT WE WILL BE HOLDING
IT OPEN BUT- THE ESTIMATE OUR
DAD WAS PREPARED IN REGARDS TO-
THAT DEBT COLLECTOR COLLECTOR
LICENSING AND REGULATION- I HAD
A RANGE AND IT APPEARS THAT
THIS PARTICULAR ROPOSAL IS AT
THE HIGHEST THAT THE HIGHER END
OF THE- OF THE OF THE RANGE.
AND WANNA MAKE SURE WE'RE NOT
SETTING UP AN INFRASTRUCTURE
AND HAT THERE AREN'T THE
LICENSEES TO SUPPORT IT SO JUST
WANT TO NOTE THAT- THAT I DO
HAVE CONCERNS ABOUT HOW MANY
LICENSES LICENSEES WE ARE
PROJECTING AND THAT THAT WORK
WORK PLAN AND PRODUCT. OF MEAT
THAT LICENSING SO I DON'T HAVE
ANY QUESTIONS AT THIS
PARTICULAR TIME BUT I DO WANT
TO BE CAREFUL ABOUT MAYBE THE
L. A. O. CAN LOOK AT THAT A
LITTLE BIT MORE CAREFUL
CAREFULLY AND GIVE US SOME
DIRECTION IN THE FUTURE. SO-
SIGNAL QUESTIONSTHIS IS A
HOLLOW OPEN ITEM SO WE'LL MOVE
ON. TO THE NEXT ITEM WHICH IS
DIFFERENT IT'S AN ITEM OF THE
FRANCHISE. TAX BOARD. THE MAIN
STREET BUSINESS TAX CREDIT. HI
THIS IS A COPY WHITE AGAIN FROM
THE DEPARTMENT OF FINANCE AND
STUFF I'LL BE PRESENTING THIS
ISSUE. SO LAST YEAR THE
LEGISLATURE ADOPTED SB FOURTEEN
FORTY SEVEN WHICH CREATED THE
MAIN STREET SMALL BUSINESS
HIRING CREDIT. THIS CREDIT WAS
AIMED AT HELPING SMALL
BUSINESSES WHO HAVE BEEN HURT
BY THE PANDEMIC AND TO
ENCOURAGE SUCH BUSINESSES TO
HIRE EMPLOYEES IN THE SECOND
HALF OF TWENTY TWENTY. THE
CREDIT WAS MODELED AFTER THE
FEDERAL EMPLOYEE RETENTION
CREDIT WHICH WAS ENACTED AS
PART OF THE CABINET CARE ACT-CARES ACT. THE CREDIT WAS EQUAL
TO ONE THOUSAND DOLLARS FOR
EVERY FULL TIME EQUIVALENT
EMPLOYEES HIRED BETWEEN JULY
ONE TWENTY TWENTY AND DECEMBER
ONE TWENTY TWENTY FOR QUALIFIED
EMPLOYERS. A QUALIFIED EMPLOYER
ANY EMPLOYER WHO HAD FEWER THAN
ONE HUNDRED EMPLOYEES AT THE
END OF TWENTY NINETEEN ANYWAY
GROSS RECEIPTS IN THE SECOND
QUARTER TWENTY TWENTY. OR 50%
OR LESS THAN THEIR GROSS
RECEIPTS IN THE SECOND QUARTER
OF TWENTY NINETEEN. SO THEY HAD
TO BE RELATIVELY SMALL AND
SIGNIFICANTLY NEGATIVELY
IMPACTED BY THE PANDEMIC THE
CREDIT WAS ALLOCATED A CAPTAIN
ONE HUNDRED MILLION. THE
RESERVATION PUREED ENDED ON
JANUARY FIFTEENTH AND ONLY
ABOUT FIFTY FIVE MILLION OF THE
ONE HUNDRED MILLION CREDITS
WERE RESERVED. THE
ADMINISTRATION PROPOSES TO
EXPAND THIS CREDIT SIMILAR TO
WHAT THE FEDERAL GOVERNMENT DID
INTO THE U. S. FEDERAL EMPLOYEE
RETENTION CREDIT AS PART OF THE
CONSOLIDATED APPROPRIATIONS ACT
TWENTY TWENTY ONE. WHICH WAS
ENACTED IN DECEMBER BUT WE DO
NOT HAVE A DETAILED PROPOSAL
THIS TIME BUT THE OUTLINE OF A
PROPOSAL IS SIMILAR TO THE
FEDERAL PROPOSAL TO EXTEND THE
TIME PERIOD FOR THE CREDIT. AND
LOOSEN THE QUALIFICATION
CRITERIA AS NEEDED TO MAKE
CHANGES TO IMPROVE THE ABILITY
FOR TAXPAYERS TO RECEIVE THE
CREDIT. YEAH KIDDING CREDIT
AMOUNT IS ONE HUNDRED MILLION
PLUS WHATEVER MONSTER LEFT OVER
FROM THE FIRST ROUND OF CREDITS
IT IS ANTICIPATED THAT THE
RESERVATION CARRY FOR THE
THAT'S WHAT THE EARLY IN THE
NEXT FISCAL YEAR. EXTENSION IS
INTENDED TO PROVIDE ASSISTANCE
TO FOR ARMS HURT BY THE
PANDEMIC. AND ENCOURAGE THOSE
FIRMS TO HIRE WORKERS. WORKERS
CONCLUDES MY REMARKS. THANK YOU
VERY MUCH THE LEGISLATIVE
ANALYST. JUSTIN GROSSI FROM THE
OHIO. WE THINK THAT THIS
PROPOSAL- HAS A LOT OF MERIT-
AMONG THE PROPOSALS THE
ADMINISTRATION HAS MADE IT IS
PART OF THE PACKAGE WE THINK
THIS ONE IS THE MOST TARGETED
TO THE HARDEST HIT FIRMS THE
FIRM. HARDEST BY THE PANDEMIC
WE ALSO LIKE THE COMPLIMENTS
WITH THE FEDERAL GOVERNMENT
DOES INSTEAD OF DUPLICATING IT
IN FACT WE WOULD RECOMMEND
EXPANDING THIS PROPOSAL
POSSIBLY BY INCREASING THE
CREDIT AMOUNT- SO YOU FROM ONE
THOUSAND DOLLARS FOR EVERY NET
NEW EMPLOYEE THEY CREATED
SOMETHING ABOVE THAT AMOUNT.
ANOTHER THING THAT NAY- YOU
MIGHT WANT TO CONSIDER IS
MAKING SOME NEW FIRMS IN THE
HARDEST. HIT SECTORS ELIGIBLE
BECAUSE- UNDER THE- THE NEW
FEDERAL- UGH RULE IT IS- OKAY
RIGHT THEIR OWN THE WE HAVE A
PROGRAM IN TWENTY TWENTY ONE.
FIRMS THAT- WERE CREATED IN TWO
THOUSAND TWENTY OR ELIGIBLE BUT
THERE'S NOTHING YET IN THEIR
FOR FIRMS THAT WERE JUST
CREATED IN TWENTY TWENTY ONE WE
THINK THAT. LEGISLATURE MIGHT
WANT TO EXPLORE MAYBE PROVIDING
SOME SORT OF CREDITS FOR NEW
FIRMS IN THE HARDEST HIT
SECTORS WHICH CAN BE DETERMINED
BY THEIR SELF REPORTED A-
CLASSIFICATION UNDER THE NORTH
AMERICAN INDUSTRIAL
CLASSIFICATION SYSTEM NOT WHILE
THERE WILL BE SOME.
IMPLEMENTATION ISSUES WITH THIS
THAT WE NEED TO BE WORKED OUT
WE THINK THAT IT WOULD BE WORTH
SORT OF LOOKING INTO THAT. VERY
GOOD THANK YOU FOR THOSE
COMMENTS ARE THERE ANY
QUESTIONS OR COMMENTS FROM THE
COMMITTEE. SINGMAN I LIKE THOSE
A THE PARTICULAR ISSUES THAT
WERE RAISED BY THE L. A. O.
WHAT WE REALLY WANT TO DO IS TO
ENCOURAGE US. TO EXPAND AND TO-
YEAH TO EXPAND THOSE PROGRAMS
THAT HAVE BEEN SUCCESSFUL THE
COME UP IN AND OUT- I WORK WELL
WITH OUR FEDERAL PARTNERS SO
I'M WONDERING COURAGE THAT IN.
TWENTY I'M GLAD TO HEAR THAT
THIS IS BEEN A PROGRAM THAT'S
BEEN SUCCESSFUL THIS IS A COLD
OPEN ITEMS SO EXPECT TO SEE
THIS BACK AGAIN AND SO WE'RE
GOING TO MOVE ON TO ISSUE
NUMBER NINETEEN. WHICH IS THE
LAST ISSUE THAT WE HAVE TO HEAR
TODAY WHICH IS THE ELECTIVE S.
CORPORATION TAX. AND AFTER THIS
ONE WILL MOVE ON TO PUBLIC
COMMENTS AT THIS AT THIS. SINCE
GO AHEAD I CALLED THE WHITE
AGAIN WITH THE FINANCE DO YOU
LIKE THE BEST COURT ISSUE- THIS
IS THAT THE TAX CUTS AND JOBS
ACT ENACTED IN DECEMBER TWENTY
SEVENTEEN. CAPTAIN MATT
DEDUCTIBLES STATE AND LOCAL
TAXES FOR INDIVIDUAL TAXPAYERS.
BEGINNING IN TWENTY TWO
THOUSAND EIGHTEEN ITEMIZED
DEDUCTION FOR STATE AND LOCAL
TAXES OR REFER TO ASSAULT. PAID
IS GENERALLY LIMITED TO TEN
THOUSAND DOLLARS PER RETURN AS
A RESULT TAXPAYERS THE STATE
AND LOCAL TAXES THAT EXCEED THE
CAP. AMOUNT LOSE A DEDUCTION OF
THE EXCESS AMOUNT HOWEVER THE
SALT CAP DOES NOT APPLY TO
BUSINESS ENTITIES- FOR TAX
YEARS TWO THOUSAND TWENTY ONE
THROUGH TWO THOUSAND TWENTY
FIVE MINISTRATION PROPOES. TO
ALLOW S. CORPORATIONS TO ELECT
TO PAY A TAX AT A RATE OF
THIRTEEN POINT 3% ON ITS NET
INCOME FOR THE TAXABLE YEAR.
THIS PROPOSAL WOULD ALLOW A
CREDIT AGAINST THE TAX FOR
INDIVIDUAL SHAREHOLDER IN THE
S. CORPORATION IN AN AMOUNT
EQUAL TO THIRTEEN POINT 3% OF
THE QUALIFIED DISTRIBUTION.
THIS EFFECTIVELY SHIFT STATE
TAXES ON S. CORPORATION INCOME
FROM THE INDIVIDUAL OWNER BACK
TO THE ESCORT BACK TO THE S.
CORPORATION. I WAS ALWAYS A TO
HELP CALIFORNIA TAXPAYERS THEIR
SHAREHOLDERS AND S.
CORPORATIONS MITIGATE THE
NEGATIVE IMPACT OF THE SALT
DEDUCTION AND INCREASE THEIR
FEDERAL AFTER TAX INCOME AT NO
TAX TO THE STATE. AS THE
PROPOSAL IS EXPECTED TO BE
ROUGHLY REVENUE NEUTRAL THAT
CONCLUDES MY PREPARED REMARKS
AND HAPPY TO TAKE ANY
QUESTIONS. ALONG WITH MY OTHER
COLLEAGUE SAID THE FRANCHISE
TAX BOARD. THANK YOU VERY MUCH.
FOR LEGISLATIVE ANALYST'S
OFFICE. JUSTIN ROSE SEE AGAIN
OKAY WE OKAY OUR OFFICE FOR A
pSUPPORTIVE OF ATTEMPTS TO-
LEVERAGES FEDERAL FUNDING THIS
PROPOSAL REALLY FALLS INTO THAT
CATEGORY WE DO HAVE- IF YOU
CONCERNS MOSTLY WITH THE- SOME.
WERE ALL AROUND UNCERTAINTY AT
THE FEDERAL AND- FOR ONE THIS
IS THE RULING THAT CLARIFY DID
THEY INTEND TO DO EXEMPTS FROM.
NET LEVEL TAXES FROM THE SOUL
WHEN IT WAS MADE BY THE
PREVIOUS ADMINISTRATION IN DC
WE IT ISN'T CLEAR YET WHETHER
THE NEW ADMINISTRATION WANTS TO
CONTINUE ALONG. YOU KNOW WITH
THAT INTERPRETATION WHETHER
THEY WANT TO DO SOMETHING
DIFFERENTLY SO. WE THINK IT'S
IT MAY BE WORTH HOLDING OFF
UNTIL YOU HAVE A BETTER IDEA OF
HOW THE NEW ADMINISTRATION
INTENDS TO PROCEED WITH THIS.
THE SECOND ONE IS THAT A-
CONTROL CONGRESS IS ALSO
CHANGED HANDS IS GONE FROM
SPLIT CONTROLS OF ONE PRTY
CONTROL AND SO WE DON'T YET
KNOW. WHETHER THE NEW CONGRESS
MIGHT WANT TO DECIDE THEY WANT
TO HANDLE THE SALT DEDUCTION
DIFFERENTLY FROM THE WAY IT'S
HANDLED UNDER THE TWO THOUSAND
SEVENTEEN LAW AND AGAIN I MEAN
THAT THAT'LL BE AN OPEN ISSUE
WAS IT COULDN'T REMAIN OPEN
ISSUE FOR A LONG LONG TIME ON
THE OTHER HAND WE MIX OF A
BETTER IDEA IN A FEW MONTHS OF
HOW. YOU KNOW HOW THEY SEEM TO
WANT TO PROCEED ON THAT OKAY SO
APART FROM THAT- WE THINK- IT.
THIS CREDIT BE CAN. SORT OF IN
ANY NUMBER OF WAYS TO PROVIDE
DIFFERENT BENEFITS TO FILERS AT
DIFFERENT INCOME LEVELS. AND TO
SAY- SORT OF SHARE THE BENEFIT
BETWEEN THE- THE STATE AND
BETWEEN- TAXPAYERS AND SO THE
LEGISLATURE MIGHT WANT TO. TAKE
SOME TIME TO DECIDE EXACTLY HOW
SORT OF HOW THEY WANT TO HANDLE
THIS ASSUMING THEY WANT TO GO
DOWN THIS ROAD. THANK YOU VERY
MUCH ANY COMMENTS OR QUESTIONS
FROM THE COMMITTEE. FEDERAL
BACKBENCHER WHAT AT SOME POINT
THERE HAS TO BE SOME FINALITY
TO THIS ISSUE RIGHT I MEAN I
REALIZE WE'VE CHANGED
ADMINISTRATIONS. SO AT WHAT
POINT WOULD THIS COMMITTEE OR
THE BUDGET COMMITTEE. FOR THE
ADMINISTRATION HAVE TO MAKE A
DECISION WITH RESPECT TO THE-
US OF CHAPTER OF MEANNESS S.
CORPORATION TAX ADJUSTMENT.
WE'VE GOT THIS TAX YEAR WE'VE
GOT NEXT TAX YEAR. WHO WANTS TO
TAKE THAT ONE. I'LL I'LL
RESPOND TO THAT THIS CALL THE
LIGHT DEPARTMENT OF FINANCE- IN
THIS THIS SAYS THIS TAX CHANGE
TO BE EFFECTIVE FOR THE TWENTY
TWENTY ONE TAX YEAR SO WELL-
WE- WILL BE- YOU KNOW COMPANIES
WOULD MAKE GOOD WOULD ELECTED.
TO ELECTED TO HAVE THIS TAX
APPLIED DURING THAT DURING THAT
YEAR. AND THEN THEY WOULD FILE
THEIR TAX RETURNS IN THAT IN
THE TWENTY TWENTY TWO YEAR FOR
THE TWENTY TWENTY ONE TAX YEAR.
SO THIS DECISION COULD BE MADE
IN. TWENTY TWENTY TO. I DON'T I
DON'T THINK DECISION CAN BE
MADE IN TWENTY TWENTY TWO
BECAUSE YOU WOULD HAVE TO LET
YOU HAVE TO LIKE TO HAVE THE
TAX APPLIED IN THE TWENTY
TWENTY ONE TAX YEAR AND RATHER
THAN- YOU WOULDN'T WANT TO
RETROACTIVELY. DO YOU APPLY TAX
IN TWENTY TWENTY TO TWENTY
TWENTY ONE TAX YEAR- SO YOU'RE
YOU'RE THIS PARTICULAR S.
CORPORATION ELECTION HAS TO BE
MADE IN CALENDAR YEAR TWENTY
ONE. YEAH I THINK I THINK THAT
WOULD BE THE APPROPRIATE THING
TO DO I DON'T WANT TO BELABOR
IT I'M JUST TRYING TO ADDRESS
THE ISSUE THAT THE- L. A.
RAISED AS TO THE TIMING OF THE
DECISION AND IT SEEMS TO ME
THAT. AT SOME POINT YOU HAVE TO
MAKE A DECISION AND I'M JUST
TRYING TO FIGURE OUT WHEN
EXACTLY THAT IS BUT- I WON'T
BELABOR IT SOMEBODY ELSE CAN
FIGURE THAT OUT THANK YOU
MANAGER. THANK YOU VERY MUCH.
ANY OTHER QUESTIONS THINGS NINE
AM THANK YOU VERY MUCH- YOUR
TESTIMONY HERE TODAY I WANT TO
THANK EVERYBODY THAT HAS
PARTICIPATED IN THIS HEARING
PRECIADO- THE INFORMATION WE
WILL NOW MOVE ON TO PUBLIC
COMMENT REGARDING THE
GOVERNOR'S BUDGET PROPOSAL AS A
REMINDER TODAY'S PARTICIPANT
NUMBER IS. EIGHT FOUR FOUR TWO
NINE ONE. SIXTY THREE SIXTY
FOUR AND THE ACCESS CODE IS SIX
FIVE FOUR. TWO EIGHT NINE
SEVEN. DUE TO CONSTRAINTS
REGARDING THE LENGTH OF HEARING
TECHNOLOGY CONSIDERATIONS AND
CLEANING PROTOCOL COMMITTEE
CHAIRS ME INSTITUTE TIME LIMITS
ON TESTIMONY TODAY I'M GOING TO
ASK THAT EACH MEMBER OF THE
PUBLIC PROVIDING COMMENT KEEP
THE REMARKS WITHIN ONE MINUTE.
NOW LET'S BEGIN WITH ANY
WITNESSES HERE IN THE HEARING
ROOM. SEEING THAT THERE ARE
NONE IN THE AUDIENCE. ARE THERE
ANY WITNESSES IN ROOM TWENTY
FORTY WHO WISH TO PROVIDE
PUBLIC COMMENTS ON ANY OF THE
BILLS AGAIN THERE ARE NO
WITNESSES THAT ARE HERE IN
PERSON. SO THANK YOU THANK YOU
AND WE WILL MOVE ON TO THE
WITNESSES WAITING TO PROVIDE
PUBLIC COMMENTS VIA THE
TELECONFERENCING THIS.
MODERATOR IF YOU WOULD BE GET
PLEASE PROMPT THE INDIVIDUALS
WAITING TO PROVIDE PUBLIC
COMMENT WHEN WE WILL BEGIN.
LADIES AND GENTLEMEN IF YOU
WISH TO PROVIDE PUBLIC COMMENT.
ONE ZERO ON YOUR TELEPHONE
KEYPAD. MAY WITHDRAW YOUR
QUESTION ANYTIME BY REPEATING
THE ONE IN ZERO COMMAND. IF YOU
ARE USING A SPEAKERPHONE WE ASK
THAT YOU PLEASE PICK UP THE
HANDSET BEFORE PRESSING THE
NUMBERS. ONCE AGAIN FOR PUBLIC
COMMENT YOU MAY PRESS ONE THEN
IF ZERO AT THIS TIME. WE WILL
BEGIN WITH LINE NUMBER FORTY
NINE NINE FOUR NINE YOUR LINE
IS OPEN. FORTY NINE. YES YOUR
MIND FORTY NINE YOUR LINE IS
OPEN PLEASE PROCEED. THIRTY
NINE. MY NAME IS. VICTORIA
MARKETS FROM. OLEM THANK- I
NOTICED THAT I HAD ANY OTHER
LEADING. A. M. NO ONE TO GET A
HANDLE BUT I WHEN I ANY SUCH
AND THE END GETTING A LINK OUT
OF. A LOT OF THEY THEY THEY
HAVE THEY IT BASABE GOT WHAT I
THOUGHT BUT IS SO NOW. YOU KNOW
WHAT THE ANIMAL IT DOES NOT
HAVE. AN BE ANY. I EMAIL ONLY
BE IT ONLY LET. YOU OPINION
THAT. OKAY IS AM NOT LOS THIS
IS NOT A LOT BE AT A SADDAM.
POR NOT BE IN A- BATTLE MAKE IT
UP THE AUDIO. INTERESTING- NOPE
OKAY AND BATTLE. AND IF THEY
DON'T GET OUT ON. DON'T KNOW
FIFTY MORNING ON. THE MEAL IT
SEEMS LEAD THEY GOT ME THOUGHT
IT IT CANNOT BE. IN THAT THOSE
I WOULD HAVE PUT IT ON THE- IT
YEAH I LEAVE YOU WITH BANG IT
BUT I'M- SO LET ME. TO MY
FRIEND SO. WHAT DOES IT. BY
LOCAL MEDIA. COMPANY THE HOST
BY THE DATE GET A MONOLITH
LATTER DAY. YEAH WILL NOT JUMP
IT DOES. ONE FIVE WATER. LIST
EITHER LITTLE PLEASE POINT THAT
CORNY THAT. CANNOT BE IN. LOS
WHAT IT. WHAT IT DOES BUT IF
WHAT IF THE DOWNEY GET BACK TO
YOU BET ON THE DAILY WE'LL GET
AT THE END WHICH IS IN MY
CLASSES. SONORA NEXT. NEXT WILL
COME FROM LINE FIFTY TWO LINE
FIVE TO YOUR LINE IS OPEN.
THANK YOU MADAM CHAIR MEMBERS
MY NAME IS EMILY OF THE MONEY
CALLING ON BEHALF OF THE
CALIFORNIANS TRAVEL ASSOCIATION
IN A BROAD COALITION OF
ADVOCATES SPENDING TRAVEL AND
TOURISM LIEBHARD MEDIA AND
LOCAL CHAMBERS. AND YOU KNOW.
THE LEISURE AND HOSPITALITY
SECTOR HAS LOST 50% OF OUR JOBS.
FOR THE MINISTRY RESPECTFULLY
ASK YOU TO CONSIDER A ONE TIME
FORTY FIVE MILLION DOLLAR
ALLOCATION FOR THE CALIFORNIA
EXPAND THEIR IN STATE FOR THE
MARKETING CAMPAIGN. WHEN LEADER
TRAVELS APPROVED BY THE
GOVERNOR AND DEPARTMENT OF
PUBLIC HEALTH. PUSHER
CALIFORNIANS IS TO TRAVEL AGAIN
AND TO ENCOURAGE THEM TO CHOOSE
CALIFORNIA WHEN THEY DO. THIS
INVESTMENT WILL HAVE A
MULTIPLIER EFFECT TO BRING BACK
JOBS. DELIVER AN ANTICIPATED
TEN POINT THREE BILLION DOLLARS
IN VISITOR SPENDING TO
CALIFORNIA BUSINESSES. AND
GENERATE EIGHT HUNDRED AND
SIXTY FIVE MILLION AND
ADDITIONAL STATE AND LOCAL TAX
REVENUE. I CAN FOLLOW UP WITH
WRITTEN PUBLIC COMMENTS YOU CAN
REALLY SEE THE EFFECTS OF THIS
WOULD HAVE BUT WE KNOW. BUT
THIS WORKS BECAUSE THE ONE TIME
BUDGET ALLOCATION TO THE
CALIFORNIA AFTER NINE ELEVEN
HELP THE INDUSTRY AND. THE
STATE'S ECONOMY RECOVER.
WITHOUT HELP CAR INDUSTRY WILL
NOW RECOVER AND PULLED TWENTY.
AND WE ARE AT A- DISADVANTAGE
OF OTHER STATES THAT ARE GIVING
THEIR TOURISM SECTOR. FUNDS
THANK YOU SO MUCH FOR YOUR
CONSIDERATION. THANK YOU FOR
YOUR TESTIMONY NEXT CALLER
PLEASE. NEXT UPCOMING COMES
FROM LINE NUMBER SIXTY ONE ONE
SIX ONE YOUR LINE IS OPEN. WHEN
I FOUND THIS NUMBER IS NOT
AVAILABLE GOT YOU YEAH BROWN
NUMBER THE DENTAL RECORDS OF
PILOTS KNOW HOW LOADED THE
LEVEL THEY- DOES ALONE
DEVELOPMENT BATTLE I'M PETER WE
LOVE THE LEADER THERE WILL BE A
LOT. ON IT BEYOND EXAMPLE
DOCUMENTS THAT PROBABILITY ONE
OTHER GOLDEN STATE AT A LOCAL
PEOPLE YESTERDAY EVENING I MEAN
WHAT THE PENTAGON ON IT. ON
THE- WAS WANTED IN THAT LA
LIGA'S BODY LIGHTS UP ONLY THAT.
HAVE BEEN IN ORDER TO COLLECT.
THAT LET'S NOT HAVE ORDERED THE
THIRTY GALLAGHER. I'M SORRY I'M
LOOKING VIDAK OUT OF THE BUT I
CAN BILL ONE OF THERE'S GONNA I
KEEP. TO GIVE THEM ENOUGH TO IT
SOME PEOPLE ARE MORE THAN ONE
NINETY MINUTES ON THE- LET'S
NOT. LOOK AT PANEL TRUMP OR
LITTLE ROCK LOOK LOOK THE
BALLOT IT'S THAT. MUCH OF A- I
WANTED SOMETHING BUT CONTINUE
TO PROVIDE COMBO TO GET. BE A
IS THERE ARE FAULT. GOES ON BUT
I MEAN THEN BUT- THANK YOU. BUT
NOT FOR BLANK ON THE UP FOR
YOUR MAKE FORM. MOMENT OF IT.
YEAH NOT WANTING OF AND IN FACT
TO KOBE I THINK YOU KNOW A LOT
BE GRANTED BY THE FORTY I DON'T.
YEAH I'M WATER GOING ON ABOUT
THAT IS THAT MY DELAY. OF
PEOPLE THAT ARE. SPINELLA FARM
IT'S BEEN WEIRD ADULT IN THE
UNDER THE COMMON TRAVEL. I'M
YOU DON'T BELIEVE FROM MEANING
OF NOT THE UP AND GOT. EIGHT
MOMENT. BECOME PARALYZED YEAH
EVEN IN THAT. WELL YOU'RE GOING
ON THE CALL I USED ONLY THAT.
YEAH YOU KNOW. THEY MIGHT. YEAH
YEAH. WITH THIS IN YOUR.
CALIFORNIA I OTHER MOST OF MY
LEARNING AGAIN ATTEMPTING TO.
ADDRESS EVEN. CALL. IT SOME OF
THE MOST. BUT AT. BUT OUR LAB.
AND MANY UNANSWERED LEGAL QUE
DONALD ALLEN. BUT THE ELEMENT
CAN LAW. VERY MUCH IN MY BALLOT.
ELECT. OKAY WE CAN TELL
CORNERSTONE I WENT. OKAY I'M
NOT. AND THEN AND WHEN I BACK
ON ON THE GROUND NO NOT THAT I
MUCH BUT IT'LL LOOK AT THEM
CENTER UNLESS AT BOTH THE
ANIMALS NOT DAMAGED WHEN I ABLE
I THINK FRANKLY RANDALL. WELL
AS FIFTY SEVEN GO AHEAD. I MEAN
I'M NOT IN A BALLOT BILL IF YOU
BUY THEM. BUT I'D SAY. DO NOT
THEN I AM GOING AND THAT EVEN
COULD NOT. YEAH RENDON ON
TIMING YOU AND. SO THAT IS AT
THE LAB. I DO THAT IF THEY LOOK
AT THE OVERALL AMOUNT JACKET
BUILDING BOOK. FOR NOTHING HE-
EVEN IF WITH I GOT ME A- NO NOT
A YOU DON'T KNOW THAT YOU I
THANK YOU BYE. PRESIDENT OBAMA
I GO BACK IN A COUPLE. YES. AND
SENATORS NIELSEN AND ROCK I'M
I'M LUCY SALCEDO CARTER THE
PUBLIC POLICY DIRECTOR AT THE
CALIFORNIA ASSOCIATION OF
NONPROFITS H. CAL NONPROFITS OF
A POLICY ALLIANCE OF MORE THAN
TEN THOUSAND ORGANIZATIONS AND
THE VOICE OF. CALIFORNIANS
NONPROFIT COMMUNITY. WE ARE A
CONTRACTED APPLICATION PARTNER
FOR THE SMALL BUSINESS RELIEF
GRANTS PROGRAM AND ARE GLAD TO
HAVE HAD THE OPPORTUNITY TO
SUPPORT NONPROFITS APPLYING FOR
THESE GRANTS. IN PREVIOUS
TESTIMONY WE DESCRIBE SOME OF
THE CHALLENGES THAT NONPROFIT
BASED IN APPLYING FOR THESE
GRANTS. WE'VE MADE
RECOMMENDATIONS FOR WAYS TO
HELP ENSURE THAT FUTURE RELIEF
PROGRAMS TAKE INTO ACCOUNT THE
IMPACT OF THE PANDEMIC ON THE
NONPROFIT SECTOR. IF CAL OSPCA
IT'S GOING TO CONTINUE TO
ADMINISTER RELIEF PROGRAMS THAT
INCLUDE NONPROFITS. THE AGENCY
MADE IN HOUSE NONPROFIT
EXPERTISE. WE COMPLETELY AGREE
WITH THE STAFF COMMENT THAT CAL
O. S. B. A. IS INCREASINGLY
EXPANDING ITS REACH TO THIRD
NONPROFITS AND OTHER TYPES OF
NONTRADITIONAL SMALL
BUSINESSES. YET THE AGENCY HAS
NO IN HOUSE NONPROFIT EXPERTISE
OR STAFF POSITION FOCUSED ON
ADDRESSING NONPROFIT NEEDS.
WITHOUT THAT EXPERTISE RELIEF
PROGRAMS THAT INCLUDE
NONPROFITS WILL INADVERTENTLY
EXCLUDE THEM WHEN APPLICATION
PROCEDURES AND SELECTION
CRITERIA DID NOT TAKE THEIR
EXPERIENCES AND NEEDS INTO
ACCOUNT. WITHOUT RELIEF FUNDING
MANY NONPROFITS WILL STRUGGLE
TO SERVE THEIR COMMUNITIES EVEN
AS DEMAND FOR THEIR SERVICES
INCREASE AND SOME NON PROFITS
INCLUDING ONES THAT PROVIDE
CRITICAL INFRASTRUCTURE LIKE
AFTER SCHOOL PROGRAMS MAY HAVE
TO CLOSE. WE URGE YOU TO
REQUIRE THAT AT LEAST ONE OF
THE SIX OUTREACH AND ENGAGEMENT
POSITIONS GOBIZ AND CALLOW STA
ARE ASKING FOR AND THEIR B. C.
P. B. N. NONPROFIT LIAISON.
SOMEONE WITH EXTENSIVE
KNOWLEDGE AND EXPERTISE ON THE
NONPROFIT SECTOR INCLUDING THE
UNIQUE STRUCTURES FINANCES THE
NEEDS OF THE FACT OF THE
SECTOR. SOMEONE WILL BE PART OF
THE TEAM SHAPING RELIEF
PROGRAMS THAT INCLUDE
NONPROFITS AND CAN MAKE SURE
THAT THESE PROGRAMS CREATE A
FAIR PROCESS FOR NON PROFITS.
SO THAT IF MANY NONPROFITS AS
POSSIBLE GET THE RELIEF THEY
NEED TO KEEP SERVING THEIR
COMMUNITIES. THANK YOU. THANK
YOU VERY MUCH. NEXT PLEASE.
NEXT PUBLIC COMMENT IS FROM
LINE SIXTY LINE SIX ZERO YOUR
LINE IS OPEN. GOOD AFTERNOON
MADAM CHAIR AND MEMBERS- NICOLE
RICE WHAT THE CALIFORNIA
MANUFACTURERS AND TECHNOLOGY
ASSOCIATION. AND WE'RE HERE
THIS AFTERNOON TO OFFER SUPPORT
FOR ISSUE NUMBER TEN. RELATED
TO THE CAL COMPETE BUDGET
PROPOSAL. BINARY OBJECTIVE OF
OUR ORGANIZATION S. UT EIGHT IS
TO ENSURE THE COMPETITIVENESS
OF THE STATE'S MANUFACTURING
INDUSTRY. HOW COMPETE IS THE
MOST EFFECTIVE TOOL TO
ACCOMPLISH THAT. SINCE THE
INCEPTION OF THE PROGRAM WE
HAVE HAD THREE HUNDRED AND
SEVENTY TWO MANUFACTURING
COMPANIES THAT HAVE BEEN
AWARDED CAL COMPETE TAX CREDITS
AND NO COMPANIES HAVE CREATED
OVER FORTY ARE HAVE COMMITTED
RATHER TO CREATE OVER FORTY
FOUR THOUSAND NEW JOBS. AND
MAKE OVER ELEVEN BILLION
DOLLARS INVESTMENT IN CAPITAL
HERE IN CALIFORNIA. OUR SUCCESS
EQUALS EIGHT SUCCESS AND
MANUFACTURING ONE OF THE
HIGHEST MULTIPLYING EFFECTS IN
THE ECONOMY CREATING TWO POINT
FIVE JOBS FOR EVERY
MANUFACTURING JOB CREATED. AND
CURRENTLY SUPPORTS ONE POINT
THREE MILLION CALIFORNIANS IN
CAREER WITH AN AVERAGE SALARY
OF EIGHTY SEVEN THOUSAND
DOLLARS A YEAR. MULTIPLIER
EFFECT ADDS TO THE SMALL
BUSINESSES THAT DEPEND ON OUR
INDUSTRIES AND SUPPORT YOUR
LOCAL COMMUNITIES AS WELL AS
HELP BUILD OUT IN SUPPORT OF
SUPPLY CHAIN IN OTHER
INDUSTRIES AND THE ECONOMY. AND
THE PANDEMIC HAS DEFINITELY
DEMONSTRATED THE NEED FOR A
STRONG DOMESTIC PRODUCTION BASE
IN CALIFORNIA SO THAT WE CAN
RETAIN GOOD PAYING JOBS AND
CONTINUE TO CREATE THE MIDDLE
CLASS JOB OPPORTUNITIES. SO FOR
THESE REASONS WE REQUEST THE
COMMITTEE SUPPORT FOR THIS
PROGRAM AND THE BUDGET.
PROPOSAL THANK YOU SO MUCH.
THANK YOU. NEXT PLEASE. PUBLIC
COMMENT COMES FROM LINE NUMBER
FIFTY FIVE FIFTY FIVE YOUR LINE
IS OPEN. GOOD AFTERNOON MY NAME
IS NOT ON IT AND WHAT THE WHITE
HOUSE WORKER RESTORED AND I'M
ALSO PART OF THE KICKING NET
FOR ALL CORNISH. THE FIRST
THING I'D LIKE TO SAY OF AT THE
AGE EIGHTEEN BUT THAT THE COURT
BUT THE VEHICLE LEGISLATOR NEED
TO WIN IN CORPORATE BUT OF OUR-
THAT IS ON THE LINE TO PROTECT.
IN THE HAS EXCLUDED ONTO MY
LIKE. THAT THE LEGISLATURE TO.
SIX HUNDRED. FOR EIGHTEEN
HUNDRED DOLLARS FOR ALL NUMBER
ON. FOLKS UP FOR OF THIS. NO
BECAUSE WHICH ARE KNOWN ABOUT
YOU KNOW YOU MENTIONED EARLIER
IMMIGRANTS COMING TO THE
COUNTRY STARTING A SMALL. ALL
WORK IN THE COUNTRY WHICH THEY
ALSO COME. IT'S NOT ABOUT A
MERIT BASED. THIS IS ABOUT S
INSURING THAT WE ARE. MORE
ANOTHER SO THAT WE CAN GET
THERE BY UNDER CONTROL. WORKERS
ARE. EXPLOITED WITH RETALIATION
BY PARENTS. WHEN THEY ARE OUT
OF ALSO UP. SO I. THE
LEGISLATOR TO MAKE SURE THAT
EVEN. ARE TO DOCUMENT COMMUNITY
WHILE BACK BUT OF THIS YEAR
BECAUSE- THANK YOU. THANK YOU
VERY MUCH. NEXT PLEASE. NEXT
PUBLIC COMMENTS FROM NUMBERS
ONE LINE ONE YOUR LINE IS OPEN.
SHE MINOR SERVICE FOR. T.
MOBILE NEAR. THANK NUMBER EIGHT
IN THE PART THAT IT TO YOUR
MOTHER LAST YEAR. ASSEMBLY
MEMBER BUT AT. L. BUT ON.
FIGURE YOU SEE OKAY IT ITALIAN
MY LOOK FRIENDLY THIS TEAM- BUT
I OKAY I WANTED LOOK AT MY THIS
ABOUT THE LETTER TIME YOU
LOOKED THE END OF. BUT I
GRAYSON IT A HOPEFULLY NUMBER
EVEN NINETEEN NUMBER. BUT CAN
IT UP AND THEN YOU ON. YOUR
OUTPUT IN. WHAT LED YOU TO THAT
THE VIETNAM. I HE NUMBER IMPACT
FELT CLIP AND LET ME. SOMEONE
WILL BE LEFT ON THE DEATH OF
THE- FACT THAT I DEAL IN- IF
THE- YES. NEXT PLEASE. WHICH
PUBLIC COMMENT IS FOR MY
NUMBERS THREE THREE LINE IS A-
HI MY NAME'S JANICE ANDERSON
I'M THINKING WE HAVE A
WAREHOUSE WORKERS TO JUST
UNDER. I STRONGLY URGE YOU TO
GET THE SAME AMOUNT OF RELIEF
TO UNDOCK WORKERS BEEN SHUT OUT
OF RELIEF. FROM THE FEDERAL
GOVERNMENT. ARE THEY GONNA HAVE
A SEAT THE CLOSER WE AYE URGENT
CAN CAN GO THE STATE STONE
PAYMENT SO I CAN BY OTHERS
ABOUT HON. IN ORDER TO BEGIN
THE PROCESS OF PROVIDING
NECESSARY RELIEF. TO UNDERSTAND
AND ARE RECOGNIZED COMMUNITY.
THANK YOU. THANK YOU VERY MUCH.
NEXT. ONE MOMENT PLEASE WE HAVE
ONE MORE THAT IS JUST GOING UP.
WHAT A LINE NUMBER SIXTY NINE
SIX NINE YOUR IS OPEN. ORELON
YOU KNOW MANY MEDIA YOUR
FAVORITE I I'M NOT PART A LOT
IT IS THAT WE BE THAT BAD AT
THE LOS. AND YOUR FOR YOUR MOM
ALL POLL. EIGHT BALAKRISHNA NOT
MADE IT. YOU DON'T. KNOW ME.
EDUCATED IN LAW BEEN. FORGOTTEN
YORKSHIRE END BECAUSE YOU CAN
IN ARE ALL. THANK YOU IN THE
BATTLE ANYTHING FOR GRANTED
KNOCKED. I'M NOT IN WHICH THANK
ANGRY UP BUT WHEN I IT DIDN'T.
IF YOU CAN GET NOW BE ANY. AND
IF THEY CHECK IT IN WILL. YEAH
YOUR MANTRA AND THAT LIKE THAT
BILL ENOUGH THE WOULD EVEN
AFTER THE ACT BY GRASS AND THE
MOMENT THAT HAPPENED THE ACT.
YEAH BUT THE LOOK YOU HAVE TO
EXAMPLE. IS THERE ANYONE IN THE
QUEUE MODERATOR. I DO SHOW ONE
MORE THAT IS JUST SHOWING UP
ONE MOMENT WHILE WE PROVIDE A
LINE NUMBER TWO LINE NUMBER
SEVENTY SEVEN ZERO YOUR LINE IS
OPEN. ONE SEVENTY YOUR LINE IS
OPEN YOU MAY PROCEED WITH YOUR
PUBLIC COMMENT. ALLEN IS THE
AREA THE CTS KICK IT IS. SAYING
NO COMMENT MISTER MODERATOR IS
THERE ANYONE ELSE. HERE IS NO
ONE ELSE THANK YOU AT THIS TIME
PLEASE CONTINUE. VERY GOOD.
THANK YOU VERY MUCH MR
MODERATOR FOR YOUR HEALTH HERE
TODAY. HAVING HEARD FROM ALL OF
THE PUBLIC CENTER IN NIELSEN OR
SENATOR ROTH YOU HAVE ANY
ADDITIONAL COMMENTS OR
QUESTIONS. SENATOR NIELSEN OF
AND MADAM CHAIR OF THE- I CAN'T
OF THE HEART PROGRAM A
CERTAINLY THE IS IN TERMS OF
NUMBER RISK. TODAY THEY REALLY
HAVE A BEEN SERVE SPECIFIC
ENOUGH FOR ME FROM FROM THE-
FOR EXAMPLE REGARDING THE LOANS
ARE THE KEY PLAN HOW. WILL THAT
BE TO AND CALCULATED IN THE
LANGUAGE. AND THE MAY I'M I'M
STILL VERY ON TOP WITH THE THAT
WE GET BACK FAR AS THE SIX OF
THESE SHOULD THE STATE MAKING
AN ORDER FOR FROM A TO BE A LOT
MORE SPACE AS THEIR DEATH AS TO
WHY WE ARE ACCOMPLISH OUT THE
GENERAL DO THE GIVE ME AN
COMFORT SENATOR COULD YOU WE
TELL US WHICH ITEM YOU'RE TO
THIS BE THE WHOLE WROTE.
PROGRAMS TO THE THAT. ELECTION
THE. NINETEEN NO THAT'S THEIR
SCORE. I REMEMBER THERE YOUR
TEAM IS IT. THE RIVER FLOW
THROUGH MARCH. IT LOOKS LIKE
IT'S I NUMBER AND THAT'S WHY OF
THE WHOLE OPEN I IT'S THAT BUT
KIND OF FOR WHAT IS. THE LOAN
PLANET WHAT IS THE PLAN WHAT
ARE THE OKAY REQUISITES IN THE
PLAN AND THEN WHAT DATA WILL BE
BASING THEIR DETERMINATIONS
ABOUT IT VERY GOOD WELL WE WILL
MAKE SURE THAT WE GET THAT KIND
OF INFORMATION BACK FROM THEM.
THANKS VERY GOOD ALL RIGHTY
ANYTHING ELSE SIR- MY SPANISH
IS NOT DALY PRACTICED. I DO
SPEAK I THANK. REASONABLY BUT
IT'S ALWAYS FOR ME MUST THE
SPECIAL BECAUSE THE WORDS ARE
HOW I HAVE TO THINK AND PUT
THEM TOGETHER IT WOULD BE
HELPFUL TO THOSE WHO TESTIFY IN
THE AND SPANISH IF THEY WOULD
SUBMIT. SOMETHING IN WRITING TO
THE COMMITTEE THAT WE MIGHT
THEN BETTER UNDERSTAND WE I
DON'T WANT TO JUST PASS OVER
THESE GOOD PEOPLE WHO'VE CALLED
IN AT THE END OF THE DECADE I
APPRECIATE THE TESTING OF MY-
LINGUISTIC CAPABILITY IN
SPANISH. BUT USUALLY IT'S-
DEFICIENT UNLESS I'M KIND OF
AMHERST AND I GO INTO MEXICO
AND AFTER THREE DAYS EVERYTHING
GOES BETTER BUT IT TAKES AWHILE
TO CATCH UP. I UNDERSTAND THAT-
IT'S A POINT WELL TAKEN AND I
APOLOGIZE BECAUSE I. UNDERSTAND
IT I KNOW WHAT PEOPLE ARE
SAYING BUT- THAT THAT THIS IS
THE WORK THAT I SPEAKERS TODAY
WERE TALKING ABOUT- A PROGRAM
THAT'S NOT NECESSARILY BEFORE
US BUT BUT WILL BE COULD BE AT
IT. AT A FUTURE DATE AND THAT'S
THE PROGRAM THAT PROVIDED.
RELIEF TO UNDOCUMENTED WORKERS
THAT- ONLY A SMALL PERCENTAGE
OF WHICH ACTUALLY GOT THAT THE-
FIVE HUNDRED DOLLAR GRANT WHAT
THEY'RE ASKING FOR IS EIGHTEEN
HUNDRED DOLLARS OUT OF PAIN IN
THIS BUDGET AND SO. THERE ARE A
NUMBER OF INDIVIDUALS THAT
WERE. CONCERNED AND IN
PARTICULAR- AND UNDOCUMENTED
WORKER WITH U. S. CHILDREN WHO
IS NOT ELIGIBLE FOR ANY OF THE
PROGRAMS BECAUSE OF THEIR MIX
STATUS SO. IMPORTANT ISSUES AND
BUT I'M EXPECT WE'LL SEE THAT
BUT BACK AGAIN SO. SO THANK YOU
FOR MENTIONING THAT BECAUSE
LIKE I CAN. I ABBAS IN THAT-
VERY GOOD AND I REALLY
APPRECIATE ALL THE PUBLIC
COMMENT ON ON THESE ITEMS
WHETHER THAT THERE CURRENTLY ON
THAT. IN FRONT OF US- NOT IT
THERE IT'S IMPORTANT WE HEAR
FROM THE PUBLIC SO THANK YOU
VERY MUCH TO ALL OF THOSE WHO.
WHO CALLED IN TODAY. SO I
UNDERSTAND IT CENTER NIELSEN
THAT WE'RE GOING TO DO IS A
SPLIT VOTE ON THE BOAT ONLY
CALENDAR. AND HERE ARE MY
NOTES- THEY'RE THE FIRST ITEMS
ARE GOING TO BE ISSUES NUMBER
ONE. TWO THREE SIX EIGHT. THOSE
ARE CONSISTENT WITH YOUR
UNDERSTANDING SIR- AGAIN THREE
SIX AND EIGHT CORRECT. SO DO WE
HAVE A MOTION ON THE VOTE ONLY
CALENDAR ON THOSE ITEMS. OKAY
THERE IS A MOTION. PLEASE CALL
THE ROLL. THE CENTER CARRILLO
HI NICK I RELY SOON NIELSEN TO
NELSON HI CENTER OFF TORONTO
HIGH. THE MOTION PASSES SO NOW
WE'LL MOVE ON TO THE REMAINING
ITEMS WHICH IS ITEM. FOUR FIVE
SEVEN AND NINE. I DO HAVE A
MOTION ON THOSE ITEMS. THERE IS
A MOTION. THE MOTION IS TO PASS
MISTER SEPARATES DIFFERENT CHAU
COULD YOU PLEASE CALL THE ROLL.
CENTER CABALLERO I THINK I WILL
HIGH CENTER NELSON. JENISON
NAKO CENTER ROTH GENEROSA HIGH.
GOOD THANK YOU TO ALL THE
INDIVIDUALS WHO PARTICIPATED IN
OUR PUBLIC HEARING TESTIMONY
TODAY. IF YOU WERE NOT ABLE TO
TESTIFY PLEASE SBMIT YOUR
COMMENTS OR SUGGESTIONS IN
WRITING TO THE BUDGET AND
FISCAL REVIEW COMMITTEE OR
VISIT OUR WEBSITE YOUR COMMENTS
AND SUGGESTIONS ARE IMPORTANT
TO US AND WE WANT TO INCLUDE
YOUR TESTIMONY AN OFFICIAL
HEARING RECORD. THANK YOU AND
WE APPRECIATE YOUR
PARTICIPATION THANK YOU
EVERYONE FOR YOUR PRESENCE YOUR
PATIENCE PRESENCE AND
COOPERATION WE HAVE CONCLUDED
THE AGENDA FOR TODAY'S HEARING
THE SENATE BUDGET IN FISCAL
REVIEW SUBCOMMITTEE FOR. IS
ADJOURNED THANK YOU VERY MUCH.