BILL NUMBER: AB 865	INTRODUCED
	BILL TEXT


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 introduced, 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, 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 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 grant or loan recipient 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 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 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 to utilize in establishing programs pursuant to this
section.
   (d) The commission shall develop, and require every grant or loan
recipient 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 commission shall establish 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:
   (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.