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AB-2853 Local government: economic development subsidies.(2017-2018)

Bill Status
Medina (A)
Local government: economic development subsidies.
An act to add Section 53083.1 to the Government Code, relating to local government.
Sen Govt Modernization, Efficiency, and Accountability
Do pass as amended
(PASS) »» Ayes: 6; Noes: 1; Abstain: 0;

Type of Measure
Inactive Bill - Vetoed
Majority Vote Required
Non-Fiscal Committee
Non-State-Mandated Local Program
Non-Tax levy
Last 5 History Actions
Date Action
09/10/18 Vetoed by Governor.
08/29/18 Enrolled and presented to the Governor at 4 p.m.
08/28/18 Ordered to Engrossing and Enrolling.
08/16/18 In Assembly. Held at Desk.
08/16/18 Action rescinded whereby bill was ordered to enrollment and whereby the bill was enrolled and presented to the Governor.
Governor's Veto Message
To the Members of the California State Assembly:

I am returning Assembly Bill 2853 without my signature.

This bill requires local governments that provide economic subsidies of $100,000 or more for warehouse distribution centers to publically report on information such as employee wage rates, independent contractor rates, and the value of employee benefit packages for each job classification created by the subsidy.

There is value in taxpayers knowing whether economic development incentives ultimately benefit their community. That is why I signed legislation in 2013 that required local agencies to provide information about the expected and actual impacts of approved economic development subsidies.

This bill, however, significantly expands current law and goes too far by adding reporting rules that will be overly burdensome to a single industry. It may actually hinder efforts to improve business opportunities in local communities, which is an outcome no one desires.


Edmund G. Brown Jr.