BILL NUMBER: AB 865	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 16, 2015

INTRODUCED BY   Assembly Member Alejo

                        FEBRUARY 26, 2015

   An act to add Section 25230 to the Public Resources Code, relating
to the State Energy Resources Conservation and Development
Commission.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 865, as amended, Alejo. State Energy Resources Conservation and
Development Commission: grants and loans: diversity.
   The Warren-Alquist State Energy Resources Conservation and
Development Act establishes the State Energy Resources Conservation
and Development Commission. Existing law requires the State Energy
Resources Conservation and Development Commission to administer
various grant and loan programs.
   This bill would require the State Energy Resources Conservation
and Development Commission to require that each recipient of a grant
or loan,  where the recipient has gross annual revenues exceeding
$25,000,000, or a different threshold determined by the commission,
 as a condition for the receipt of that grant or loan, annually
submit a detailed and verifiable plan for increasing procurement from
women, minority, disabled veteran, and LGBT business enterprises, as
defined, in all categories, including, but not limited to, renewable
energy, advanced technologies, and demonstration projects, and
furnish an annual report regarding the implementation of programs
established pursuant to this requirement. The bill would require the
State Energy Resources Conservation and Development Commission to
establish guidelines for  all   those 
grant or loan recipients to utilize in establishing programs pursuant
to these requirements. The bill would require the State Energy
Resources Conservation and Development Commission to develop, and
would require  every   those  grant or loan
 recipient   recipients  to implement, an
outreach program to inform and recruit women, minority, disabled
veteran, and LGBT business enterprises to apply for procurement
contracts. The bill would require the State Energy Resources
Conservation and Development Commission to  establish
  consider establishing  a Diversity Task Force to
consider and make recommendations about diversity in the energy
industry, including diversity of corporate governing boards and
procurement from diverse businesses.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 25230 is added to the Public Resources Code, to
read:
   25230.  (a) For purposes of this section, the following terms have
the following meanings:
   (1) "Control" means exercising the power to make policy decisions.

   (2) "Disabled veteran business enterprise" has the same meaning as
defined in Section 999 of the Military and Veterans Code.
   (3) "LGBT business enterprise" means a business enterprise that is
at least 51 percent owned by a lesbian, gay, bisexual, or
transgender person or persons, or, in the case of any publicly owned
business, at least 51 percent of the stock of which is owned by one
or more lesbian, gay, bisexual, or transgender persons, and whose
management and daily business operations are controlled by one or
more of those individuals.
   (4) "Minority business enterprise" means a business enterprise
that is at least 51 percent owned by a minority group or groups, or,
in the case of any publicly owned business, at least 51 percent of
the stock of which is owned by one or more minority groups, and whose
management and daily business operations are controlled by one or
more of those individuals. The contracting utility shall presume that
minority includes African Americans, Hispanic Americans, Native
Americans, and Asian Pacific Americans.
   (5) To "operate" means to be actively involved in the day-to-day
management. It is not enough to merely be an officer or director.
   (6) "Renewable energy project" means a project for the development
and operation of an eligible renewable energy resource meeting the
requirements of the California Renewables Portfolio Standard Program
(Article 16 (commencing with Section 399.11) of Chapter 2.3 of Part 1
of Division 1).
   (7) "Women business enterprise" means a business enterprise that
is at least 51 percent owned by a woman or women, or, in the case of
any publicly owned business, at least 51 percent of the stock of
which is owned by one or more women, and whose management and daily
business operations are controlled by one or more of those
individuals.
   (b) The commission shall require that each recipient of a grant or
loan administered by the  commission  
commission,   where the recipient has annual revenues
exceeding twenty-five million dollars ($25,000,000), or a different
threshold determined to be appropriate by the commission,  do
both of the following as a condition for the receipt of that grant or
loan:
   (1) Annually submit a detailed and verifiable plan for increasing
procurement from women, minority, disabled veteran, and LGBT business
enterprises in all categories, including, but not limited to,
renewable energy, advanced technologies, and demonstration projects.
These annual plans shall include short- and long-term goals and
timetables, but not quotas, and shall include methods for encouraging
both prime contractors and grantees to engage women, minority,
disabled veteran, and LGBT business enterprises in subcontracts in
all categories that provide subcontracting opportunities, including,
but not limited to, renewable energy, advanced technologies, and
demonstration projects.
   (2) Furnish an annual report to the commission regarding the
implementation of programs established pursuant to this section in a
form that the commission shall require, and at the time that the
commission shall annually designate. Each report shall be a public
document and shall be made readily available on an Internet Web site
either maintained by the grant or loan recipient or by the
commission.
   (c) The commission shall establish guidelines for all grant or
loan  recipients   recipients, subject to
subdivision (b),  to utilize in establishing programs pursuant
to this section.
   (d) The commission shall develop, and require every grant or loan
 recipient   recipient, subject to subdivision
(b),  to implement, an outreach program to inform and recruit
women, minority, disabled veteran, and LGBT business enterprises to
apply for procurement contracts under this section.
   (e)  The   After receipt of the detailed
plans and annual reports, the  commission shall 
establish   consider establishing  a Diversity Task
Force to consider and make recommendations about diversity in the
energy industry, including diversity of corporate governing boards
and procurement from diverse businesses.  The Diversity Task
Force shall do all the following:   If the commission
establishes a Diversity Task Force, the commission shall consider how
it can address and promote local and targeted hiring.  

   (1) Identify and promote energy companies that are actively
engaged in diversity issues.  
   (2) Explore the status of diverse representation on energy company
governing boards.  
   (3) Identify actions that the commission can take to encourage
insurance companies to increase procurement with diverse suppliers.
 
   (4) Provide recommendations regarding current legislation and
suggest changes to existing law.