CHAPTER
2.6. Trade Promotion of California Ports
13996.85.
The Legislature finds and declares as follows:(a) International trade, which accounts for nearly 25 percent of the state’s economy, relies on land ports of entry and the largest seaport facilities in the United States to maintain California’s status as a major gateway for products entering and leaving the United States. This includes many goods moving through California ports, such as industrial, technology, and postconsumer secondary material originating in, or destined for other states.
(b) According to the California Marine and Intermodal Transportation System Advisory Council, more than 40 percent of the total
containerized cargo entering the United States arrived at California ports, and almost 30 percent of the nation’s exports flowed through ports in the Golden State. Port activities employ more than 500,000 people in California and generate an estimated seven billion dollars ($7,000,000,000) in state and local taxes annually. Nationwide, more than 2,000,000 jobs are linked to California’s public ports.
(c) The state has a compelling interest in the success of its ports because of the significant economic benefit to the state in terms of jobs, personal income, business revenue, and taxes. Ports are the vital interface between water and land transportation for trade with the Pacific Rim countries and other trade.
(d) It is expected that, by 2014, Panama will have completed the
expansion of the Panama Canal, which may have a significant impact on the flow of goods into the ports of California in coming years.
(e) There is the potential for California ports to lose as much as 25 percent of their cargo business, by some estimates, after the Panama Canal expansion is completed in 2014, siphoning off millions of dollars from local economies and over 100,000 jobs.
(f) Due to the impending Panama Canal expansion and its potential impact on local economies and jobs, it is clear that the risk of crisis for our ports should be given high priority in developing a strategy for international trade and investment.
13996.86.
(a) The Director of the Governor’s Office of Business and Economic Development shall provide to the Legislature, not later than April December 1, 2014, a strategy for promoting trade for California ports airports, land ports, and seaports that, at a minimum, includes all of the following:(1) Policy goals, objectives, and recommendations necessary to implement a comprehensive plan for promoting greater use of California ports. This information shall be provided in a fashion that clearly indicates priorities within the overall strategy.
(2) Measurable outcomes anticipated and timelines for the goals, objectives, and actions to be taken for promoting greater use of California ports.
(3) Identification of impediments to achieving goals and objectives.
(4) Identification of key stakeholder partnerships that will be used in implementing the strategy.
(5) Identification of funding options
for implementing recommended actions.
(b) The strategy shall be submitted to the Chief Clerk of the Assembly and the Secretary of the Senate. A copy of the strategy shall be provided to the Speaker of the Assembly, the President pro Tempore of the Senate, and the chairs of the Assembly Committee on Jobs, Economic Development, and the Economy and the Senate Committee on Business, Professions and Economic Development, or the successor committees with jurisdiction over international trade and economic development programs.
13996.87.
The Director of the Governor’s Office of Business and Economic Development shall convene, no later than February 1, 2014, a statewide business partnership for promotion of trade for California ports and to explore greater utilization of California ports, no later than February 1, 2014, as follows:(a) The business partnership shall include, but is not limited to, representatives from ports of entry, ocean carriers, marine terminal operators, warehouse operators, railroads, trucking companies, labor representatives,
and foreign trade zones, representatives of environmental groups, and shippers, specifically including agricultural exporters, manufacturers, postconsumer secondary material handlers, and retailers.
(b) The business partnership shall advise the Director of the Governor’s Office of Business and Economic Development on establishing the strategy for promoting trade for California ports while increasing the use of California ports of entry, and ways to increase the opportunity for growth and trade activity.