Today's Law As Amended

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AB-983 Public contracts: construction projects: community workforce agreements: battery manufacturing and lithium-based technology.(2021-2022)

As Amends the Law Today


 Chapter 2.6 (commencing with Section 2100) is added to Part 1 of Division 2 of the Public Contract Code, to read:

CHAPTER  2.6. Community Workforce Agreements
 The Legislature finds and declares all of the following:
(a) World demand for lithium is expected to grow as much as tenfold in the next decade, but virtually none is produced in the United States. Almost all of the global lithium supply is currently mined in Argentina, Australia, Chile, and China.
(b) The Salton Sea geothermal resource area, “Lithium Valley” is well-positioned to become a competitive source of lithium supply that could satisfy more than one-third of today’s worldwide lithium demand.
(c) Establishing a sustainable domestic battery manufacturing ecosystem, embedded in Lithium Valley, will not only support the transition to electrified transportation, but help California meet its climate goals, and serve as a vital source for critical minerals essential to economic and national security.
(d) Executive Order N-79-20 (2020) states that “a sustainable and inclusive economic future for California will require retaining and creating high-road, high-quality jobs through sustained engagement with communities, workers and industries in changing and growing industries.”
(e) Community Workforce Agreements (CWAs) have a proven track record of ensuring job quality and job access, and securing robust training pathways in the construction trades.
(f) CWAs are currently used in the construction of utility-scale renewable energy projects, public transit and high-speed rail infrastructure, and several large-scale construction projects funded by the Greenhouse Gas Reduction Fund.
(g) It is the intent of the Legislature to expand the use of CWAs on climate investments involving battery manufacturing and lithium-based technology in the Salton Sea geothermal resource area.
 (a) A public entity may use, enter into, or require contractors to enter into, a community workforce agreement for a construction project related to battery manufacturing and lithium-based technology in the Salton Sea geothermal resource area.
(b) For purposes of this chapter, “public entity” means a public entity as defined in Section 1100.
(c) For purposes of this chapter, “community workforce agreement” means an agreement that meets the requirements of Section 2500 and includes all of the following:
(1) A linguistically and technically accessible participatory process by which local area residents identify provisions to promote social investments, employment, and career opportunities for economically disadvantaged communities.
(2) Mechanisms to involve members of the impacted communities throughout the implementation and monitoring process of the agreement.
(3) Pathways for individuals of minority and low-income groups to access apprenticeships and employment opportunities.
(d) This chapter shall apply only to the extent permissible under state and federal law.