Existing law, until January 1, 2024, authorizes the governing body of a county, city and county, or city to establish a capital investment incentive program, pursuant to which the county, city and county, or city is authorized to pay, upon request, a capital investment incentive amount that is an amount up to or equal to the amount of ad valorem property tax revenues allocated to that entity, as specified, derived from that portion of the assessed value of a qualified manufacturing facility, as defined, that exceeds $150,000,000 to a proponent of a qualified manufacturing facility for up to 15 years.
This bill would, commencing with the 2020–21 fiscal year, until January 1, 2024, additionally authorize the governing body of a county, city and county, or city to pay a proponent of a qualified targeted manufacturing facility, as defined, a capital investment incentive amount, for up to 10 consecutive years, that does not exceed the amount of ad valorem property tax revenues allocated to that entity, as specified, derived from that portion of the assessed value that exceeds $5,000,000 of a qualified targeted manufacturing facility located within the jurisdiction of that county, city and county, or city commencing with the first fiscal year after the date upon which the qualified targeted manufacturing facility is certified for occupancy or commences operation, as specified. The bill would require that annual payment of the capital investment incentive amount to be contingent on the proponent's compliance with a community services agreement, which this bill would require the county, city and county, or city to enter into with the proponent, and the payment of a specified community services fee required to be paid by the proponent to the county, city and county, or city. The bill would prohibit ad valorem property tax revenue amounts with respect to a facility from being taken into account in calculating more than one capital investment incentive.
The bill would require a county, city and county, and city that has approved the payment of a capital investment incentive amount for either a qualified manufacturing facility or qualified targeted manufacturing facility to provide the Governor's Office of Business and Economic Development with specified information. The bill would require the Governor's Office of Business and Economic Development to compile the information submitted by each county, city and county, and city and submit a report to the Legislature containing this information, as specified.

Statutes affected:
AB 1248: 51298 GOV
02/21/19 - Introduced: 51298 GOV
03/28/19 - Amended Assembly: 51298 GOV
04/29/19 - Amended Assembly: 51298 GOV
06/24/19 - Amended Senate: 51298 GOV
08/30/19 - Amended Senate: 51298 GOV
AB1248: 51298 GOV