This measure would recognize the role of the Export-Import Bank of the United States in aiding the export of American goods and services and would urge the Congress of the United States to support legislation reauthorizing the Export-Import Bank of the United States.

This measure would recognize the role of the Export-Import Bank of the United States in aiding the export of American goods and services and would urge the Congress of the United States to support legislation reauthorizing the Export-Import Bank of the United States.

This measure would recognize the role of the Export-Import Bank of the United States in aiding the export of American goods and services and would urge the Congress of the United States to support legislation reauthorizing the Export-Import Bank of the United States.

This measure would recognize the role of the Export-Import Bank of the United States in aiding the export of American goods and services and would urge the Congress of the United States to support legislation reauthorizing the Export-Import Bank of the United States.

WHEREAS, The Export-Import Bank of the United States (Ex-Im Bank) is the official export credit agency of the United States and exists for the purposes of financing and insuring foreign purchases of United States goods; and

WHEREAS, The mission of the Ex-Im Bank is to create and sustain United States jobs by financing sales of United States exports to international buyers; and

WHEREAS, The Ex-Im Bank is the principal government agency responsible for aiding the export of American goods and services, and thereby creating and sustaining United States jobs, through a variety of loan, guarantee, and insurance programs for small and large businesses; and

WHEREAS, The Ex-Im Bank has supported more than $400 billion in United States exports in the past 70 years and helps to cover critical trade finance gaps by providing loan guarantees, export credit insurance, and direct loans for United States exports in developing markets where commercial bank financing is unavailable or insufficient. For fiscal year 2014, the Ex-Im Bank provided $20.5 billion in loan guarantees which leveraged $27.5 billion in exports while supporting 164,000 United States jobs. Since fiscal year 2009, the bank has supported more than 1.3 million American jobs in all 50 states; and

WHEREAS, The Ex-Im Bank is a self-sustaining agency, which operates at no cost to the taxpayer and over the last three fiscal years has generated more than $3 billion in fees from its foreign customers which were deposited in the United States Treasury to reduce the United States deficit and indebtedness; and

WHEREAS, The Ex-Im Bank enables United States companies large and small to turn export opportunities into sales that help to create and maintain jobs in the United States that contribute to a stronger national economy. On average nearly 90 percent of the Ex-Im Banks transactions support United States small businesses; and

WHEREAS, Exports are particularly important to the California economy as California is currently ranked second in exports among all states. If Californias manufacturing base is to grow, we must continue to expand our ability to export goods from California facilities. Given the key role the Ex-Im Bank plays in facilitating export sales, failure to reauthorize it would be devastating to existing industry and to those that we hope to create in the future; and

WHEREAS, Over the past five years, the Ex-Im Bank has assisted more than 967 California companies to export their products. Nearly 200 of those companies are owned by women or minorities and over 700 are small businesses. These companies export their products and services around the globe totaling more than $21 billion in sales. Fifty-two of the 53 congressional districts in California had companies benefit from the Ex-Im Bank loans; and

WHEREAS, A reauthorization of the Ex-Im Bank is critical to the ability of many United States exporters to compete on a level playing field in a commercial market where current and future competitors continue to enjoy aggressive support from their countries export credit agencies; and

WHEREAS, A failure to reauthorize the Ex-Im Bank would amount to unilateral disarmament in the face of other nations aggressive trade finance programs that favor their domestic companies over American companies; and

WHEREAS, Economic growth depends on increasing exports from both small and large manufacturers and service providers in California and reauthorization means support for California exports and California jobs; and

WHEREAS, in the 114th United States Congress, 1st Session, legislation is pending that would continue the Ex-Im Banks capacity for creating jobs while also making its practices more accountable and transparent, as well as making the bank more solvent and self-sufficient; now, therefore, be it

Resolved by the Assembly and the Senate of the State of California, jointly, That the Legislature urges Congress to support legislation reauthorizing the Export-Import Bank of the United States; and be it further

Resolved, That the Chief Clerk of the Assembly transmit copies of this resolution to the President and Vice President of the United States, to the Speaker of the House of Representatives, to the Majority Leader of the Senate, and to each Senator and Representative from California in the Congress of the United States.

WHEREAS, The Export-Import Bank of the United States (Ex-Im Bank) is the official export credit agency of the United States and exists for the purposes of financing and insuring foreign purchases of United States goods; and

WHEREAS, The mission of the Ex-Im Bank is to create and sustain United States jobs by financing sales of United States exports to international buyers; and

WHEREAS, The Ex-Im Bank is the principal government agency responsible for aiding the export of American goods and services, and thereby creating and sustaining United States jobs, through a variety of loan, guarantee, and insurance programs for small and large businesses; and

WHEREAS, The Ex-Im Bank has supported more than $400 billion in United States exports in the past 70 years and helps to cover critical trade finance gaps by providing loan guarantees, export credit insurance, and direct loans for United States exports in developing markets where commercial bank financing is unavailable or insufficient. For fiscal year 2014, the Ex-Im Bank provided $20.5 billion in loan guarantees which leveraged $27.5 billion in exports while supporting 164,000 United States jobs. Since fiscal year 2009, the bank has supported more than 1.3 million American jobs in all 50 states; and

WHEREAS, The Ex-Im Bank is a self-sustaining agency, which operates at no cost to the taxpayer and over the last three fiscal years has generated more than $3 billion in fees from its foreign customers which were deposited in the United States Treasury to reduce the United States deficit and indebtedness; and

WHEREAS, The Ex-Im Bank enables United States companies large and small to turn export opportunities into sales that help to create and maintain jobs in the United States that contribute to a stronger national economy. On average nearly 90 percent of the Ex-Im Banks transactions support United States small businesses; and

WHEREAS, Exports are particularly important to the California economy as California is currently ranked second in exports among all states. If Californias manufacturing base is to grow, we must continue to expand our ability to export goods from California facilities. Given the key role the Ex-Im Bank plays in facilitating export sales, failure to reauthorize it would be devastating to existing industry and to those that we hope to create in the future; and

WHEREAS, Over the past five years, the Ex-Im Bank has assisted more than 967 California companies to export their products. Nearly 200 of those companies are owned by women or minorities and over 700 are small businesses. These companies export their products and services around the globe totaling more than $21 billion in sales. Fifty-two of the 53 congressional districts in California had companies benefit from the Ex-Im Bank loans; and

WHEREAS, A reauthorization of the Ex-Im Bank is critical to the ability of many United States exporters to compete on a level playing field in a commercial market where current and future competitors continue to enjoy aggressive support from their countries export credit agencies; and

WHEREAS, A failure to reauthorize the Ex-Im Bank would amount to unilateral disarmament in the face of other nations aggressive trade finance programs that favor their domestic companies over American companies; and

WHEREAS, Economic growth depends on increasing exports from both small and large manufacturers and service providers in California and reauthorization means support for California exports and California jobs; and

WHEREAS, in the 114th United States Congress, 1st Session, legislation is pending that would continue the Ex-Im Banks capacity for creating jobs while also making its practices more accountable and transparent, as well as making the bank more solvent and self-sufficient; now, therefore, be it

Resolved by the Assembly and the Senate of the State of California, jointly, That the Legislature urges Congress to support legislation reauthorizing the Export-Import Bank of the United States; and be it further

Resolved, That the Chief Clerk of the Assembly transmit copies of this resolution to the President and Vice President of the United States, to the Speaker of the House of Representatives, to the Majority Leader of the Senate, and to each Senator and Representative from California in the Congress of the United States.

WHEREAS, The Export-Import Bank of the United States (Ex-Im Bank) is the official export credit agency of the United States and exists for the purposes of financing and insuring foreign purchases of United States goods; and

WHEREAS, The mission of the Ex-Im Bank is to create and sustain United States jobs by financing sales of United States exports to international buyers; and

WHEREAS, The Ex-Im Bank is the principal government agency responsible for aiding the export of American goods and services, and thereby creating and sustaining United States jobs, through a variety of loan, guarantee, and insurance programs for small and large businesses; and

WHEREAS, The Ex-Im Bank has supported more than $400 billion in United States exports in the past 70 years and helps to cover critical trade finance gaps by providing loan guarantees, export credit insurance, and direct loans for United States exports in developing markets where commercial bank financing is unavailable or insufficient. For fiscal year 2014, the Ex-Im Bank provided $20.5 billion in loan guarantees which leveraged $27.5 billion in exports while supporting 164,000 United States jobs. Since fiscal year 2009, the bank has supported more than 1.3 million American jobs in all 50 states; and

WHEREAS, The Ex-Im Bank is a self-sustaining agency, which operates at no cost to the taxpayer and over the last three fiscal years has generated more than $3 billion in fees from its foreign customers which were deposited in the United States Treasury to reduce the United States deficit and indebtedness; and

WHEREAS, The Ex-Im Bank enables United States companies large and small to turn export opportunities into sales that help to create and maintain jobs in the United States that contribute to a stronger national economy. On average nearly 90 percent of the Ex-Im Banks transactions support United States small businesses; and

WHEREAS, Exports are particularly important to the California economy as California is currently ranked second in exports among all states. If Californias manufacturing base is to grow, we must continue to expand our ability to export goods from California facilities. Given the key role the Ex-Im Bank plays in facilitating export sales, failure to reauthorize it would be devastating to existing industry and to those that we hope to create in the future; and

WHEREAS, Over the past five years, the Ex-Im Bank has assisted more than 967 California companies to export their products. Nearly 200 of those companies are owned by women or minorities and over 700 are small businesses. These companies export their products and services around the globe totaling more than $21 billion in sales. Fifty-two of the 53 congressional districts in California had companies benefit from the Ex-Im Bank loans; and

WHEREAS, A reauthorization of the Ex-Im Bank is critical to the ability of many United States exporters to compete on a level playing field in a commercial market where current and future competitors continue to enjoy aggressive support from their countries export credit agencies; and

WHEREAS, A failure to reauthorize the Ex-Im Bank would amount to unilateral disarmament in the face of other nations aggressive trade finance programs that favor their domestic companies over American companies; and

WHEREAS, Economic growth depends on increasing exports from both small and large manufacturers and service providers in California and reauthorization means support for California exports and California jobs; and

WHEREAS, in the 114th United States Congress, 1st Session, legislation is pending that would continue the Ex-Im Banks capacity for creating jobs while also making its practices more accountable and transparent, as well as making the bank more solvent and self-sufficient; now, therefore, be it

Resolved by the Assembly and the Senate of the State of California, jointly, That the Legislature urges Congress to support legislation reauthorizing the Export-Import Bank of the United States; and be it further

Resolved, That the Chief Clerk of the Assembly transmit copies of this resolution to the President and Vice President of the United States, to the Speaker of the House of Representatives, to the Majority Leader of the Senate, and to each Senator and Representative from California in the Congress of the United States.

WHEREAS, The Export-Import Bank of the United States (Ex-Im Bank) is the official export credit agency of the United States and exists for the purposes of financing and insuring foreign purchases of United States goods; and

WHEREAS, The mission of the Ex-Im Bank is to create and sustain United States jobs by financing sales of United States exports to international buyers; and

WHEREAS, The Ex-Im Bank is the principal government agency responsible for aiding the export of American goods and services, and thereby creating and sustaining United States jobs, through a variety of loan, guarantee, and insurance programs for small and large businesses; and

WHEREAS, The Ex-Im Bank has supported more than $400 billion in United States exports in the past 70 years and helps to cover critical trade finance gaps by providing loan guarantees, export credit insurance, and direct loans for United States exports in developing markets where commercial bank financing is unavailable or insufficient. For fiscal year 2014, the Ex-Im Bank provided $20.5 billion in loan guarantees which leveraged $27.5 billion in exports while supporting 164,000 United States jobs. Since fiscal year 2009, the bank has supported more than 1.3 million American jobs in all 50 states; and

WHEREAS, The Ex-Im Bank is a self-sustaining agency, which operates at no cost to the taxpayer and over the last three fiscal years has generated more than $3 billion in fees from its foreign customers which were deposited in the United States Treasury to reduce the United States deficit and indebtedness; and

WHEREAS, The Ex-Im Bank enables United States companies large and small to turn export opportunities into sales that help to create and maintain jobs in the United States that contribute to a stronger national economy. On average nearly 90 percent of the Ex-Im Banks transactions support United States small businesses; and

WHEREAS, Exports are particularly important to the California economy as California is currently ranked second in exports among all states. If Californias manufacturing base is to grow, we must continue to expand our ability to export goods from California facilities. Given the key role the Ex-Im Bank plays in facilitating export sales, failure to reauthorize it would be devastating to existing industry and to those that we hope to create in the future; and

WHEREAS, Over the past five years, the Ex-Im Bank has assisted more than 967 California companies to export their products. Nearly 200 of those companies are owned by women or minorities and over 700 are small businesses. These companies export their products and services around the globe totaling more than $21 billion in sales. Fifty-two of the 53 congressional districts in California had companies benefit from the Ex-Im Bank loans; and

WHEREAS, A reauthorization of the Ex-Im Bank is critical to the ability of many United States exporters to compete on a level playing field in a commercial market where current and future competitors continue to enjoy aggressive support from their countries export credit agencies; and

WHEREAS, A failure to reauthorize the Ex-Im Bank would amount to unilateral disarmament in the face of other nations aggressive trade finance programs that favor their domestic companies over American companies; and

WHEREAS, Economic growth depends on increasing exports from both small and large manufacturers and service providers in California and reauthorization means support for California exports and California jobs; and

WHEREAS, in the 114th United States Congress, 1st Session, legislation is pending that would continue the Ex-Im Banks capacity for creating jobs while also making its practices more accountable and transparent, as well as making the bank more solvent and self-sufficient; now, therefore, be it

Resolved by the Assembly and the Senate of the State of California, jointly, That the Legislature urges Congress to support legislation reauthorizing the Export-Import Bank of the United States; and be it further

Resolved, That the Chief Clerk of the Assembly transmit copies of this resolution to the President and Vice President of the United States, to the Speaker of the House of Representatives, to the Majority Leader of the Senate, and to each Senator and Representative from California in the Congress of the United States.

 THIRD READING 

Bill No: AJR 14

Author: Chu (D), et al.

Amended: 5/28/15 in Assembly

Vote: 21

ASSEMBLY FLOOR: 63-1, 5/28/15 - See last page for vote

SUBJECT: Export-Import Bank of the United States: reauthorization

SOURCE: California Chamber of Commerce

DIGEST: This resolution memorializes the Legislature's desire for the United States (U.S.) Congress to support legislation reauthorizing the Export-Import Bank of the United States (Ex-Im Bank).

ANALYSIS: This resolution makes the following legislative findings:

1. The Ex-Im Bank is the official export credit agency of the U.S. and exists for the purposes of financing and insuring foreign purchases of U.S. goods for customers unable or unwilling to accept the credit risk;

2. The Ex-Im Bank has supported more than $400 billion in U.S. exports in the past 70 years and helps to cover critical trade finance gaps by providing loan guarantees, export credit insurance, and direct loans for U.S. exports in developing markets where commercial bank financing is unavailable or insufficient. For federal fiscal year (FFY) 2014, the Ex-Im Bank provided $20.5 billion in loan guarantees which leveraged $27.5 billion in exports while supporting 164,000 U.S. jobs;

3. The Ex-Im Bank is a self-sustaining agency, which operates at no cost to the taxpayer and over the last three fiscal years has generated more than $3 billion in fees from its foreign customers which were deposited in the U.S. Treasury to reduce the U.S. deficit and indebtedness;

4. Over the past five years, the Ex-Im Bank has assisted more than 967 California companies to export their products. Nearly 200 of those companies are owned by women or minorities and over 700 are small businesses. These companies export their products and services around the globe totaling more than $21 billion in sales. Fifty-two of the 53 congressional districts in California had companies benefit from the Ex-Im Bank loans; and

5. Legislation is pending before the 114th U.S. Congress that would continue the Ex-Im Bank's capacity for creating jobs while also making its practices more accountable and transparent, as well as making the bank more solvent and self-sufficient.

This resolution memorializes the Legislature's desire for the U.S. Congress to support legislation reauthorizing the Ex-Im Bank.

Background

The Ex-Im Bank is a wholly owned U.S. government corporation, which was established by the U.S. Congress to provide market-oriented public services and to produce revenues to meet its expenditures. The Ex-Im Bank provides a variety of financial and insurance products that are designed to fill gaps in private export financing. Its charter was last extended through a FFY 2015 continuing resolution which expires June 30, 2015. The Ex-Im Bank operates at no cost to American taxpayers and over the past two decades the Bank has generated nearly $7 billion more than the cost of its operations.

In the FFY 2014, the Ex-Im Bank approved $20.5 billion in financial authorizations, which supported an estimated $27.5 billion in export sales and approximately 164,000 U.S. jobs. Of the total transactions in 2014, approximately 89% (3,347) were with small business for a total of $5.9 billion.

Between 2012 and 2015, $7 billion in financial authorizations went to 704 California exporters, which supported $14 billion in exports. Of those exporters, 533 were small businesses, 90 were minority-owned businesses, 63 were women-owned businesses, 10 were businesses in renewable energy, and 34 were environmentally beneficial.

FISCAL EFFECT: Appropriation: No Fiscal Com.: No Local: No

SUPPORT: (Verified 6/10/15)

California Chamber of Commerce (source)

Auto Care Association

Boeing

Brea Chamber of Commerce

Caterpillar

Desert Hot Springs Chamber of Commerce and Visitors Center

El Centro Chamber of Commerce and Visitors Bureau

Ex-Im Coalition

Fullerton Chamber of Commerce

Greater Riverside Chamber of Commerce

Indio Chamber of Commerce

Irvine Chamber of Commerce

Lodi Chamber of Commerce

Long Beach Area Chamber of Commerce

Oxnard Chamber of Commerce

Palm Desert Area Chamber of Commerce

Redondo Beach Chamber of Commerce

San Diego Regional Chamber of Commerce

San Jose Silicon Valley Chamber of Commerce

Santa Clara Chamber of Commerce and Visitors Bureau

Simi Valley Chamber of Commerce

South Bay Association of Chamber of Commerce

Southwest California Legislative Council

Torrance Chamber of Commerce

OPPOSITION: (Verified 6/10/15)

None received

ARGUMENTS IN SUPPORT: Boeing states in support:

Over the past 80 years, the Export-Import (Ex-Im) Bank of the United States has been providing an essential service to companies that operate in the U.S. and export their products. AJR 14 recognizes the vital role the Ex-Im Bank plays in job creation and economic growth, both for large and small businesses alike. Accordingly, we support AJR 14 and recommend passage by the California State Legislature.

ASSEMBLY FLOOR: 63-1, 5/28/15

AYES: Alejo, Travis Allen, Baker, Bonilla, Bonta, Brown, Burke, Calderon, Campos, Chang, Chau, Chávez, Chiu, Chu, Cooley, Cooper, Dababneh, Daly, Dodd, Eggman, Frazier, Cristina Garcia, Eduardo Garcia, Gipson, Gonzalez, Gordon, Gray, Hadley, Roger Hernández, Holden, Irwin, Jones, Jones-Sawyer, Kim, Lackey, Levine, Linder, Lopez, Low, Maienschein, Mathis, McCarty, Medina, Mullin, Nazarian, O'Donnell, Olsen, Patterson, Perea, Quirk, Ridley-Thomas, Salas, Santiago, Steinorth, Mark Stone, Thurmond, Ting, Wagner, Weber, Wilk, Williams, Wood, Atkins

NOES: Gatto

NO VOTE RECORDED: Achadjian, Bigelow, Bloom, Brough, Dahle, Beth Gaines, Gallagher, Gomez, Grove, Harper, Mayes, Melendez, Obernolte, Rendon, Rodriguez, Waldron

Prepared by: Jonas Austin / SFA / (916) 651-1520

6/10/15 14:25:57

**** END ****

 THIRD READING 

Bill No: AJR 14

Author: Chu (D), et al.

Amended: 5/28/15 in Assembly

Vote: 21

ASSEMBLY FLOOR: 63-1, 5/28/15 - See last page for vote

SUBJECT: Export-Import Bank of the United States: reauthorization

SOURCE: California Chamber of Commerce

DIGEST: This resolution memorializes the Legislature's desire for the United States (U.S.) Congress to support legislation reauthorizing the Export-Import Bank of the United States (Ex-Im Bank).

ANALYSIS: This resolution makes the following legislative findings:

1. The Ex-Im Bank is the official export credit agency of the U.S. and exists for the purposes of financing and insuring foreign purchases of U.S. goods for customers unable or unwilling to accept the credit risk;

2. The Ex-Im Bank has supported more than $400 billion in U.S. exports in the past 70 years and helps to cover critical trade finance gaps by providing loan guarantees, export credit insurance, and direct loans for U.S. exports in developing markets where commercial bank financing is unavailable or insufficient. For federal fiscal year (FFY) 2014, the Ex-Im Bank provided $20.5 billion in loan guarantees which leveraged $27.5 billion in exports while supporting 164,000 U.S. jobs;

3. The Ex-Im Bank is a self-sustaining agency, which operates at no cost to the taxpayer and over the last three fiscal years has generated more than $3 billion in fees from its foreign customers which were deposited in the U.S. Treasury to reduce the U.S. deficit and indebtedness;

4. Over the past five years, the Ex-Im Bank has assisted more than 967 California companies to export their products. Nearly 200 of those companies are owned by women or minorities and over 700 are small businesses. These companies export their products and services around the globe totaling more than $21 billion in sales. Fifty-two of the 53 congressional districts in California had companies benefit from the Ex-Im Bank loans; and

5. Legislation is pending before the 114th U.S. Congress that would continue the Ex-Im Bank's capacity for creating jobs while also making its practices more accountable and transparent, as well as making the bank more solvent and self-sufficient.

This resolution memorializes the Legislature's desire for the U.S. Congress to support legislation reauthorizing the Ex-Im Bank.

Background

The Ex-Im Bank is a wholly owned U.S. government corporation, which was established by the U.S. Congress to provide market-oriented public services and to produce revenues to meet its expenditures. The Ex-Im Bank provides a variety of financial and insurance products that are designed to fill gaps in private export financing. Its charter was last extended through a FFY 2015 continuing resolution which expires June 30, 2015. The Ex-Im Bank operates at no cost to American taxpayers and over the past two decades the Bank has generated nearly $7 billion more than the cost of its operations.

In the FFY 2014, the Ex-Im Bank approved $20.5 billion in financial authorizations, which supported an estimated $27.5 billion in export sales and approximately 164,000 U.S. jobs. Of the total transactions in 2014, approximately 89% (3,347) were with small business for a total of $5.9 billion.

Between 2012 and 2015, $7 billion in financial authorizations went to 704 California exporters, which supported $14 billion in exports. Of those exporters, 533 were small businesses, 90 were minority-owned businesses, 63 were women-owned businesses, 10 were businesses in renewable energy, and 34 were environmentally beneficial.

FISCAL EFFECT: Appropriation: No Fiscal Com.: No Local: No

SUPPORT: (Verified 6/3/15)

California Chamber of Commerce (source)

Auto Care Association

Boeing

Brea Chamber of Commerce

Caterpillar

El Centro Chamber of Commerce and Visitors Bureau

Ex-Im Coalition

Fullerton Chamber of Commerce

Greater Riverside Chamber of Commerce

Indio Chamber of Commerce

Irvine Chamber of Commerce

Lodi Chamber of Commerce

Long Beach Area Chamber of Commerce

Oxnard Chamber of Commerce

Palm Desert Area Chamber of Commerce

Redondo Beach Chamber of Commerce

San Diego Regional Chamber of Commerce

San Jose Silicon Valley Chamber of Commerce

Santa Clara Chamber of Commerce and Visitors Bureau

South Bay Association Chamber of Commerce

Southwest California Legislative Council

Torrance Chamber of Commerce

OPPOSITION: (Verified 6/3/15)

None received

ARGUMENTS IN SUPPORT: Boeing states in support:

Over the past 80 years, the Export-Import (Ex-Im) Bank of the United States has been providing an essential service to companies that operate in the U.S. and export their products. AJR 14 recognizes the vital role the Ex-Im Bank plays in job creation and economic growth, both for large and small businesses alike. Accordingly, we support AJR 14 and recommend passage by the California State Legislature.

ASSEMBLY FLOOR: 63-1, 5/28/15

AYES: Alejo, Travis Allen, Baker, Bonilla, Bonta, Brown, Burke, Calderon, Campos, Chang, Chau, Chávez, Chiu, Chu, Cooley, Cooper, Dababneh, Daly, Dodd, Eggman, Frazier, Cristina Garcia, Eduardo Garcia, Gipson, Gonzalez, Gordon, Gray, Hadley, Roger Hernández, Holden, Irwin, Jones, Jones-Sawyer, Kim, Lackey, Levine, Linder, Lopez, Low, Maienschein, Mathis, McCarty, Medina, Mullin, Nazarian, O'Donnell, Olsen, Patterson, Perea, Quirk, Ridley-Thomas, Salas, Santiago, Steinorth, Mark Stone, Thurmond, Ting, Wagner, Weber, Wilk, Williams, Wood, Atkins

NOES: Gatto

NO VOTE RECORDED: Achadjian, Bigelow, Bloom, Brough, Dahle, Beth Gaines, Gallagher, Gomez, Grove, Harper, Mayes, Melendez, Obernolte, Rendon, Rodriguez, Waldron

Prepared by: Jonas Austin / SFA / (916) 651-1520

6/5/15 9:45:20

**** END ****

ASSEMBLY THIRD READING

ATR Bill Id:AJR 14

Author:(Chu)

As Introduced Ver:May 7, 2015

Majority vote

SUMMARY: Memorializes the Legislature's desire for the United States (U.S.) Congress to support legislation reauthorizing the Export-Import Bank of the United States (Ex-Im Bank). Specifically, this resolution:

1. Makes findings and declarations that, among other things, state:

   1. The Ex-Im Bank is the official export credit agency of the U.S. and exists for the purposes of financing and insuring foreign purchases of U.S. goods for customers unable or unwilling to accept the credit risk;

   2. The Ex-Im Bank has supported more than $400 billion in U.S. exports in the past 70 years and helps to cover critical trade finance gaps by providing loan guarantees, export credit insurance, and direct loans for U.S. exports in developing markets where commercial bank financing is unavailable or insufficient. For federal fiscal year (FFY) 2014, the Ex-Im Bank provided $20.5 billion in loan guarantees which leveraged $27.5 billion in exports while supporting 164,000 U.S. jobs;

   3. The Ex-Im Bank is a self-sustaining agency, which operates at no cost to the taxpayer and over the last three fiscal years has generated more than $3 billion in fees from its foreign customers which were deposited in the U.S. Treasury to reduce the U.S. deficit and indebtedness;

   4. Over the past five years, the Ex-Im Bank has assisted more than 967 California companies to export their products. Nearly 200 of those companies are owned by women or minorities and over 700 are small businesses. These companies export their products and services around the globe totaling more than $21 billion in sales. Fifty-two of the 53 congressional districts in California had companies benefit from the Ex-Im Bank loans; and

   5. Legislation is pending before the 114th U.S. Congress that would continue the Ex-Im Bank's capacity for creating jobs while also making its practices more accountable and transparent, as well as making the bank more solvent and self-sufficient.

2. Resolves that the California Legislature desires the U.S. Congress to support the reauthorizing of the Ex-Im Bank.

FISCAL EFFECT: None

COMMENTS: The Ex-Im Bank is operating on a short-term extension of its charter, which expires on June 30, 2015. The Ex-Im Bank's mission is to assist U.S. companies in exporting goods and services to international markets. California benefits through jobs, tax dollars, and related development associated with being a strategic business location within the global economy.

Ex-Im Bank has shown over its 80 years of operations to be an important tool for U.S. companies interested in doing business in other countries. The Ex-Im Bank does not compete with private sector lenders but provides export financing products that fill gaps in trade financing. It assumes credit and country risks that the private sector is unable or unwilling to accept. It also helps to level the playing field for U.S. exporters by matching the financing that other governments provide to their exporting businesses.

Although the Ex-Im Bank's charter has been extended numerous times, in the last several years its actions have come under criticism by conservative groups relative to the appropriateness of its role in aiding private businesses in their export activities. Supporters of the Ex-Im Bank, including the U.S. Chamber of Commerce, strongly advocate for its reauthorization because its ability to meet unmet business transaction needs, which serves to level the playing field for U.S. firms exporting into markets where their foreign competitors receive similar government supported assistance. This resolution seeks state legislative support for federal advocacy to support the reauthorization of the Ex-Im Bank. With California businesses being one of the largest users of Ex-Im Bank programs, California's opinion on reauthorization has particular merit in the national debate.

In deliberating the appropriateness of this resolution, Members may wish to consider the importance of trade within the California economy, the continuing need for programs to assist businesses in accessing capital and new markets, and the demonstrated ability of the federal government to operate the Ex-Im Bank without ongoing costs to the public.

Background on Ex-Im Bank: The Ex-Im Bank is a wholly owned U.S. government corporation, which was established by the U.S. Congress to provide market-oriented public services and to produce revenues to meet its expenditures. The Ex-Im Bank provides a variety of financial and insurance products that are designed to fill gaps in private export financing. Its charter was last extended through a FFY 2015 continuing resolution which expires June 30, 2015. The Ex-Im Bank operates at no cost to American taxpayers and over the past two decades the Bank has generated nearly $7 billion more than the cost of its operations.

In the FFY 2014, the Ex-Im Bank approved $20.5 billion in financial authorizations, which supported an estimated $27.5 billion in export sales and approximately 164,000 U.S. jobs. Of the total transactions in 2014, approximately 89% (3,347) were with small business for a total of $5.9 billion.

Between 2012 and 2015, $7 billion in financial authorizations went to 704 California exporters, which supported $14 billion in exports. Of those exporters, 533 were small businesses, 90 were minority-owned businesses, 63 were women-owned businesses, 10 were businesses in renewable energy, and 34 were environmentally beneficial.

Analysis Prepared by: Toni Symonds / J., E.D., & E. / (916) 319-2090 FN: 0000510