SB 418: California Prison Redevelopment Commission.
- Session Year: 2023-2024
- House: Senate
- Latest Version Date: 2023-07-12
Current Status:
Failed
(2023-09-01: September 1 hearing: Held in committee and under submission.)
Introduced
In Committee
First Chamber
In Committee
Second Chamber
Enacted
What does this bill do?
The bill creates the California Prison Redevelopment Commission to study and recommend ways to turn closed state prison sites into community assets, affecting communities near those prisons, state agencies, labor groups, and local leaders. The 15-member commission, run by the Governor’s Office of Business and Economic Development, must consult local stakeholders and experts and produce a report with timelines, key partners, and tailored economic and redevelopment proposals.
The summary is provided by generative AI which can make mistakes. For original language, please view the details in the table below.
Existing law establishes the state prisons under the jurisdiction of the Department of Corrections and Rehabilitation. Existing law requires the Department of Corrections and Rehabilitation to begin reducing private in-state male contract correctional facilities and reducing the capacity of state-owned and operated prisons or in-state leased or contract correctional facilities, as specified.
Existing law establishes the Governors Office of Business and Economic Development (GO-Biz), which serves the Governor as the lead entity for economic strategy and the marketing of California on issues relating to business development, private sector investment, and economic growth.
This bill would establish the California Prison Redevelopment Commission, under the direction of the Director of GO-Biz and consisting of 15 members, including, among others, representatives from the Department of Corrections and Rehabilitation, the Department of Finance, and the Department of General Services, and members appointed by the Governor, the Speaker of the Assembly, and the Senate Rules Committee, as specified.
This bill would specify that the task of the commission is to prepare a report with the commissions findings and recommendations that deliver a set of clear and credible recommendations for creative uses of closed prison facilities that will turn those sites into community assets, as specified.
This bill would require the commission to submit a report to the Legislature by August 1, 2024, detailing the commissions findings and recommendations. The bill would repeal these provisions as of January 1, 2026, and would make related findings and declarations. The bill would provide that its requirements are operative only upon an appropriation by the Legislature for the bills purposes.
Existing law establishes the state prisons under the jurisdiction of the Department of Corrections and Rehabilitation. Existing law requires the Department of Corrections and Rehabilitation to begin reducing private in-state male contract correctional facilities and reducing the capacity of state-owned and operated prisons or in-state leased or contract correctional facilities, as specified.
Existing law establishes the Governors Office of Business and Economic Development (GO-Biz), which serves the Governor as the lead entity for economic strategy and the marketing of California on issues relating to business development, private sector investment, and economic growth.
This bill would establish the California Prison Redevelopment Commission, under the direction of the Director of GO-Biz and consisting of 15 members, including, among others, representatives from the Department of Corrections and Rehabilitation, the Department of Finance, and the Department of General Services, and members appointed by the Governor, the Speaker of the Assembly, and the Senate Rules Committee, as specified.
This bill would specify that the task of the commission is to prepare a report with the commissions findings and recommendations that deliver a set of clear and credible recommendations for creative uses of closed prison facilities that will turn those sites into community assets, as specified.
This bill would require the commission to submit a report to the Legislature by August 1, 2024, detailing the commissions findings and recommendations. The bill would repeal these provisions as of January 1, 2026, and would make related findings and declarations. The bill would provide that its requirements are operative only upon an appropriation by the Legislature for the bills purposes.
Existing law establishes the state prisons under the jurisdiction of the Department of Corrections and Rehabilitation. Existing law requires the Department of Corrections and Rehabilitation to begin reducing private in-state male contract correctional facilities and reducing the capacity of state-owned and operated prisons or in-state leased or contract correctional facilities, as specified.
Existing law establishes the Governors Office of Business and Economic Development (GO-Biz), which serves the Governor as the lead entity for economic strategy and the marketing of California on issues relating to business development, private sector investment, and economic growth.
This bill would establish the California Prison Redevelopment Commission, under the direction of the Director of GO-Biz and consisting of 15 members, including, among others, representatives from the Department of Corrections and Rehabilitation, the Department of Finance, and the Department of General Services, and members appointed by the Governor, the Speaker of the Assembly, and the Senate Rules Committee, as specified.
This bill would specify that the task of the commission is to prepare a report with the commissions findings and recommendations that deliver a set of clear and credible recommendations for creative uses of closed prison facilities that will turn those sites into community assets, as specified.
This bill would require the commission to submit a report to the Legislature by August 1, 2024, detailing the commissions findings and recommendations. The bill would repeal these provisions as of January 1, 2026, and would make related findings and declarations. The bill would provide that its requirements are operative only upon an appropriation by the Legislature for the bills purposes.
Existing law establishes the state prisons under the jurisdiction of the Department of Corrections and Rehabilitation. Existing law requires the Department of Corrections and Rehabilitation to begin reducing private in-state male contract correctional facilities and reducing the capacity of state-owned and operated prisons or in-state leased or contract correctional facilities, as specified.
Existing law establishes the Governors Office of Business and Economic Development (GO-Biz), which serves the Governor as the lead entity for economic strategy and the marketing of California on issues relating to business development, private sector investment, and economic growth.
This bill would establish the California Prison Redevelopment Commission, under the direction of the Director of GO-Biz and consisting of 15 members, including, among others, representatives from the Department of Corrections and Rehabilitation, the Department of Finance, and the Department of General Services, and members appointed by the Governor, the Speaker of the Assembly, and the Senate Rules Committee, as specified.
This bill would specify that the task of the commission is to prepare a report with the commissions findings and recommendations that deliver a set of clear and credible recommendations for creative uses of closed prison facilities that will turn those sites into community assets, as specified.
This bill would require the commission to submit a report to the Legislature by August 1, 2024, detailing the commissions findings and recommendations. The bill would repeal these provisions as of January 1, 2026, and would make related findings and declarations.
The Legislature finds and declares all of the following:
(a)Pursuant to the 202223 Budget Act and Section 2067 of the Penal Code, in December of 2022, Governor Newsom directed the Department of Corrections and Rehabilitation to close Chuckawalla Valley State Prison in the City of Blythe in March of 2025. In that order, the Governor directed that a resiliency plan be developed that engages impacted employees, provides them with state hiring preferences for all state agencies, and provides them with other forms of employment and economic assistance. In the order, the Governor also announced the planned deactivation of portions of six other prisons across the state.
(b)Chuckawalla Valley State Prison is located in a rural area of the state and represents a central economic driver in an otherwise economically disadvantaged community. The closure of the local prison will have a significant economic impact on the local community that welcomed a prison facility other communities shunned. While fiscal responsibility is driving the decision to close this facility, it is incumbent upon the State of California to develop and implement a community-based plan to redevelop that facility in a way that turns the site into a community asset. That locally driven redevelopment plan must also be coupled with economic incentives to grow investment and job creation in impacted communities. This plan can also serve as a blueprint if other facilities are required to close as a result of declining prison populations. That blueprint must be based on a community engagement process that solicits input from economic development experts, local leaders, local leaders, economic development experts, and stakeholders.
SEC. 2.Chapter 1.3 (commencing with Section 8030) is added to Division 1 of Title 2 of the Government Code, to read:1.3.California Prison Redevelopment Commission8030.(a)There is hereby established in state government the California Prison Redevelopment Commission.
(b)For purposes of this chapter, commission means the California Prison Redevelopment Commission.
8031.(a)The commission shall be under the direction of the Director of the Governors Office of Business and Economic Development.
(b)The commission shall be composed of 15 members, as follows:
(1)One representative from the Department of Corrections and Rehabilitation, appointed by the secretary of that department.
(2)One representative from the Department of Finance, appointed by the director of that department.
(3)One representative from the Department of General Services, appointed by the director of that department.
(4)One representative from the Department of Parks and Recreation, appointed by the director of that department.
(5)One representative from the Employment Development Department, appointed by the director of that department.
(6)One representative from the State Energy Resources Conservation and Development Commission, appointed by the State Energy Resources Conservation and Development Commission.
(7)A representative from a county impacted by the prison closure, appointed by the Governor.
(8)A representative from a city impacted by the prison closure, appointed by the Governor.
(9)A member of the public with expertise in domestic economic development, appointed by the Governor.
(10)A member of the public with expertise in real estate, appointed by the Governor.
(11)A member of the public representing labor organizations, appointed by the Governor.
(12)A member of the public representing labor organizations, appointed by the Senate Rules Committee.
(13)A member of the public representing community-based organizations, appointed by the Senate Rules Committee.
(14)A member of the public representing local business, appointed by the Speaker of the Assembly.
(15)A member of the public with expertise in criminal justice reform, appointed by the Speaker of the Assembly.
(c)The members appointed pursuant to this section shall receive reimbursement for per diem and expenses while engaged in commission activities.
8032.(a)(1)The commissions task shall be to prepare a report with the commissions findings and recommendations that deliver a set of clear and credible recommendations for creative uses of closed prison facilities that will turn those sites into community assets.
(2)The report shall include, but shall not be limited to, all of the following:
(A)Timeframes for each proposal.
(B)Key departments and partners and implementation guidance to better ensure the success of the redevelopment of these sites and economic revitalization of impacted communities.
(C)Recommendations that are tailored to the needs of the impacted local communities and that serve the larger economic interests of the state.
(b)In preparing the report, the commission shall do, at a minimum, all of the following:
(1)Engage regional leaders, stakeholders, and economic development, labor, health care, and business experts.
(2)Consider and investigate clean energy opportunities and partnerships.
(3)Identify economic development tools to attract investment and job creation.
(4)Identify economic opportunities for the local region built on community consensus.
8033.(a)The commission shall submit its report to the Legislature detailing the commissions findings and recommendations by August 1, 2024.
(b)The report submitted pursuant to this section shall be submitted in compliance with Section 9795.
8034.This chapter shall remain in effect only until January 1, 2026, and as of that date is repealed.
8035.The requirements of this chapter shall become operative only upon an appropriation by the Legislature for the purposes of this chapter.
The Legislature finds and declares all of the following:
(a)Pursuant to the 202223 Budget Act and Section 2067 of the Penal Code, in December of 2022, Governor Newsom directed the Department of Corrections and Rehabilitation to close Chuckawalla Valley State Prison in the City of Blythe in March of 2025. In that order, the Governor directed that a resiliency plan be developed that engages impacted employees, provides them with state hiring preferences for all state agencies, and provides them with other forms of employment and economic assistance. In the order, the Governor also announced the planned deactivation of portions of six other prisons across the state.
(b)Chuckawalla Valley State Prison is located in a rural area of the state and represents a central economic driver in an otherwise economically disadvantaged community. The closure of the local prison will have a significant economic impact on the local community that welcomed a prison facility other communities shunned. While fiscal responsibility is driving the decision to close this facility, it is incumbent upon the State of California to develop and implement a community-based plan to redevelop that facility in a way that turns the site into a community asset. That locally driven redevelopment plan must also be coupled with economic incentives to grow investment and job creation in impacted communities. This plan can also serve as a blueprint if other facilities are required to close as a result of declining prison populations. That blueprint must be based on a community engagement process that solicits input from economic development experts, local leaders, and stakeholders.
SEC. 2.Chapter 1.3 (commencing with Section 8030) is added to Division 1 of Title 2 of the Government Code, to read:1.3.California Prison Redevelopment Commission8030.(a)There is hereby established in state government the California Prison Redevelopment Commission.
(b)For purposes of this chapter, commission means the California Prison Redevelopment Commission.
8031.(a)The commission shall be under the direction of the Director of the Governors Office of Business and Economic Development.
(b)The commission shall be composed of 15 members, as follows:
(1)One representative from the Department of Corrections and Rehabilitation, appointed by the secretary of that department.
(2)One representative from the Department of Finance, appointed by the director of that department.
(3)One representative from the Department of General Services, appointed by the director of that department.
(4)One representative from the Department of Parks and Recreation, appointed by the director of that department.
(5)One representative from the Employment Development Department, appointed by the director of that department.
(6)One representative from the State Energy Resources Conservation and Development Commission, appointed by the State Energy Resources Conservation and Development Commission.
(7)A representative from a county impacted by the prison closure, appointed by the Governor.
(8)A representative from a city impacted by the prison closure, appointed by the Governor.
(9)A member of the public from a foundation whose focus is on with expertise in domestic economic development, appointed by the Governor.
(10)A member of the public with expertise in real estate, appointed by the Governor.
(11)A member of the public with expertise in economic development, representing labor organizations, appointed by the Governor.
(12)A member of the public representing labor organizations, appointed by the Senate Rules Committee.
(13)A member of the public representing community-based organizations, appointed by the Senate Rules Committee.
(14)A member of the public representing local business, appointed by the Speaker of the Assembly.
(15)A member of the public with expertise in criminal justice reform, appointed by the Speaker of the Assembly.
(c)The members appointed pursuant to this section shall receive reimbursement for per diem and expenses while engaged in commission activities.
8032.(a)(1)The commissions task shall be to prepare a report with the commissions findings and recommendations that deliver a set of clear and credible recommendations for creative uses of closed prison facilities that will turn those sites into community assets.
(2)The report shall include, but shall not be limited to, all of the following:
(A)Timeframes for each proposal.
(B)Key departments and partners and implementation guidance to better ensure the success of the redevelopment of these sites and economic revitalization of impacted communities.
(C)Recommendations that are tailored to the needs of the impacted local communities and that serve the larger economic interests of the state.
(b)In preparing the report, the commission shall do, at a minimum, all of the following:
(1)Engage regional leaders, stakeholders, and economic development, labor, health care, and business experts.
(2)Consider and investigate clean energy opportunities and partnerships.
(3)Identify economic development tools to attract investment and job creation.
(4)Identify economic opportunities for the local region built on community consensus.
8033.(a)The commission shall submit its report to the Legislature detailing the commissions findings and recommendations by August 1, 2024.
(b)The report submitted pursuant to this section shall be submitted in compliance with Section 9795.
8034.This chapter shall remain in effect only until January 1, 2026, and as of that date is repealed.
8035.The requirements of this chapter shall become operative only upon an appropriation by the Legislature for the purposes of this chapter.
The Legislature finds and declares all of the following:
(a)Pursuant to the 202223 Budget Act and Section 2067 of the Penal Code, in December of 2022, Governor Newsom directed the Department of Corrections and Rehabilitation to close Chuckawalla Valley State Prison in the City of Blythe in March of 2025. In that order, the Governor directed that a resiliency plan be developed that engages impacted employees, provides them with state hiring preferences for all state agencies, and provides them with other forms of employment and economic assistance. In the order, the Governor also announced the planned deactivation of portions of six other prisons across the state.
(b)Chuckawalla Valley State Prison is located in a rural area of the state and represents a central economic driver in an otherwise economically disadvantaged community. The closure of the local prison will have a significant economic impact on the local community that welcomed a prison facility other communities shunned. While fiscal responsibility is driving the decision to close this facility, it is incumbent upon the State of California to develop and implement a community-based plan to redevelop that facility in a way that turns the site into a community asset. That locally driven redevelopment plan must also be coupled with economic incentives to grow investment and job creation in impacted communities. This plan can also serve as a blueprint if other facilities are required to close as a result of declining prison populations. That blueprint must be based on a community engagement process that solicits input from economic development experts, local leaders, and stakeholders.
SEC. 2.Chapter 1.3 (commencing with Section 8030) is added to Division 1 of Title 2 of the Government Code, to read:1.3.California Prison Redevelopment Commission8030.(a)There is hereby established in state government the California Prison Redevelopment Commission.
(b)For purposes of this chapter, commission means the California Prison Redevelopment Commission.
8031.(a)The commission shall be under the direction of the Director of the Governors Office of Business and Economic Development.
(b)The commission shall be composed of 15 members, as follows:
(1)One representative from the Department of Corrections and Rehabilitation, appointed by the secretary of that department.
(2)One representative from the Department of Finance, appointed by the director of that department.
(3)One representative from the Department of General Services, appointed by the director of that department.
(4)One representative from the Department of Parks and Recreation, appointed by the director of that department.
(5)One representative from the Employment Development Department, appointed by the director of that department.
(6)One representative from the State Energy Resources Conservation and Development Commission, appointed by the State Energy Resources Conservation and Development Commission.
(7)A representative from a county impacted by the prison closure, appointed by the Governor.
(8)A representative from a city impacted by the prison closure, appointed by the Governor.
(9)A member of the public from a foundation whose focus is on domestic economic development, appointed by the Governor.
(10)A member of the public with expertise in real estate, appointed by the Governor.
(11)A member of the public with expertise in economic development, appointed by the Governor.
(12)A member of the public representing labor organizations, appointed by the Senate Rules Committee.
(13)A member of the public representing community-based organizations, appointed by the Senate Rules Committee.
(14)A member of the public representing local business, appointed by the Speaker of the Assembly.
(15)A member of the public with expertise in criminal justice reform, appointed by the Speaker of the Assembly.
(c)The members appointed pursuant to this section shall receive reimbursement for per diem and expenses while engaged in commission activities.
8032.(a)(1)The commissions task shall be to prepare a report with the commissions findings and recommendations that deliver a set of clear and credible recommendations for creative uses of closed prison facilities that will turn those sites into community assets.
(2)The report shall include, but shall not be limited to, all of the following:
(A)Timeframes for each proposal.
(B)Key departments and partners and implementation guidance to better ensure the success of the redevelopment of these sites and economic revitalization of impacted communities.
(C)Recommendations that are tailored to the needs of the impacted local communities and that serve the larger economic interests of the state.
(b)In preparing the report, the commission shall do, at a minimum, all of the following:
(1)Engage regional leaders, stakeholders, and economic development, labor, health care, and business experts.
(2)Consider and investigate clean energy opportunities and partnerships.
(3)Identify economic development tools to attract investment and job creation.
(4)Identify economic opportunities for the local region built on community consensus.
8033.(a)The commission shall submit its report to the Legislature detailing the commissions findings and recommendations by August 1, 2024.
(b)The report submitted pursuant to this section shall be submitted in compliance with Section 9795.
8034.This chapter shall remain in effect only until January 1, 2026, and as of that date is repealed.
8035.The requirements of this chapter shall become operative only upon an appropriation by the Legislature for the purposes of this chapter.
The Legislature finds and declares all of the following:
(a)Pursuant to the 202223 Budget Act and Section 2067 of the Penal Code, in December of 2022, Governor Newsom directed the Department of Corrections and Rehabilitation to close Chuckawalla Valley State Prison in the City of Blythe in March of 2025. In that order, the Governor directed that a resiliency plan be developed that engages impacted employees, provides them with state hiring preferences for all state agencies, and provides them with other forms of employment and economic assistance. In the order, the Governor also announced the planned deactivation of portions of six other prisons across the state.
(b)Chuckawalla Valley State Prison is located in a rural area of the state and represents a central economic driver in an otherwise economically disadvantaged community. The closure of the local prison will have a significant economic impact on the local community that welcomed a prison facility other communities shunned. While fiscal responsibility is driving the decision to close this facility, it is incumbent upon the State of California to develop and implement a community-based plan to redevelop that facility in a way that turns the site into a community asset. That locally driven redevelopment plan must also be coupled with economic incentives to grow investment and job creation in impacted communities. This plan can also serve as a blueprint if other facilities are required to close as a result of declining prison populations. That blueprint must be based on a community engagement process that solicits input from economic development experts, local leaders, and stakeholders.
SEC. 2.Chapter 1.3 (commencing with Section 8030) is added to Division 1 of Title 2 of the Government Code, to read:1.3.California Prison Redevelopment Commission8030.(a)There is hereby established in state government the California Prison Redevelopment Commission.
(b)For purposes of this chapter, commission means the California Prison Redevelopment Commission.
8031.(a)The commission shall be under the direction of the Director of the Governors Office of Business and Economic Development.
(b)The commission shall be composed of 15 members, as follows:
(1)One representative from the Department of Corrections and Rehabilitation, appointed by the secretary of that department.
(2)One representative from the Department of Finance, appointed by the director of that department.
(3)One representative from the Department of General Services, appointed by the director of that department.
(4)One representative from the Department of Parks and Recreation, appointed by the director of that department.
(5)One representative from the Employment Development Department, appointed by the director of that department.
(6)One representative from the State Energy Resources Conservation and Development Commission, appointed by the State Energy Resources Conservation and Development Commission.
(7)A representative from a county impacted by the prison closure, appointed by the Governor.
(8)A representative from a city impacted by the prison closure, appointed by the Governor.
(9)A member of the public from a foundation whose focus is on domestic economic development, appointed by the Governor.
(10)A member of the public with expertise in real estate, appointed by the Governor.
(11)A member of the public with expertise in economic development, appointed by the Governor.
(12)A member of the public representing labor organizations, appointed by the Senate Rules Committee.
(13)A member of the public representing community-based organizations, appointed by the Senate Rules Committee.
(14)A member of the public representing local business, appointed by the Speaker of the Assembly.
(15)A member of the public with expertise in criminal justice reform, appointed by the Speaker of the Assembly.
(c)The members appointed pursuant to this section shall receive reimbursement for per diem and expenses while engaged in commission activities.
8032.(a)(1)The commissions task shall be to prepare a report with the commissions findings and recommendations that deliver a set of clear and credible recommendations for creative uses of closed prison facilities that will turn those sites into community assets.
(2)The report shall include, but shall not be limited to, all of the following:
(A)Timeframes for each proposal.
(B)Key departments and partners and implementation guidance to better ensure the success of the redevelopment of these sites and economic revitalization of impacted communities.
(C)Recommendations that are tailored to the needs of the impacted local communities and that serve the larger economic interests of the state.
(b)In preparing the report, the commission shall do, at a minimum, all of the following:
(1)Engage regional leaders, stakeholders, and economic development, labor, health care, and business experts.
(2)Consider and investigate clean energy opportunities and partnerships.
(3)Identify economic development tools to attract investment and job creation.
(4)Identify economic opportunities for the local region built on community consensus.
8033.(a)The commission shall submit its report to the Legislature detailing the commissions findings and recommendations by August 1, 2024.
(b)The report submitted pursuant to this section shall be submitted in compliance with Section 9795.
8034.This chapter shall remain in effect only until January 1, 2026, and as of that date is repealed.
|
Date
|
Status
|
|---|---|
| Sep 1, 2023 | September 1 hearing: Held in committee and under submission. |
| Aug 16, 2023 | August 16 set for first hearing. Placed on suspense file. |
| Jul 12, 2023 | Read second time and amended. Re-referred to Com. on APPR. |
| Jul 11, 2023 | From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 7. Noes 0.) (July 11). |
| Jul 10, 2023 | From committee with author's amendments. Read second time and amended. Re-referred to Com. on J., E.D., & E. |
| Jun 15, 2023 | Referred to Com. on J., E.D., & E. |
| Jun 1, 2023 | In Assembly. Read first time. Held at Desk. |
| May 31, 2023 | Read third time. Passed. (Ayes 38. Noes 0. Page 1390.) Ordered to the Assembly. |
| May 22, 2023 | Read second time. Ordered to third reading. |
| May 18, 2023 | Read second time and amended. Ordered to second reading. |
| May 18, 2023 | From committee: Do pass as amended. (Ayes 6. Noes 0. Page 1169.) (May 18). |
| May 12, 2023 | Set for hearing May 18. |
| May 8, 2023 | May 8 hearing: Placed on APPR suspense file. |
| May 1, 2023 | Set for hearing May 8. |
| Apr 26, 2023 | From committee: Do pass and re-refer to Com. on APPR with recommendation: To consent calendar. (Ayes 5. Noes 0. Page 901.) (April 25). Re-referred to Com. on APPR. |
| Apr 13, 2023 | Set for hearing April 25. |
| Apr 11, 2023 | From committee: Do pass and re-refer to Com. on PUB S. (Ayes 12. Noes 0. Page 636.) (April 10). Re-referred to Com. on PUB S. |
| Mar 30, 2023 | Set for hearing April 10. |
| Mar 27, 2023 | March 27 set for first hearing canceled at the request of author. |
| Mar 6, 2023 | Set for hearing March 27. |
| Feb 22, 2023 | Referred to Coms. on B., P. & E. D. and PUB S. |
| Feb 10, 2023 | From printer. May be acted upon on or after March 12. |
| Feb 9, 2023 | Introduced. Read first time. To Com. on RLS. for assignment. To print. |
|
Date
|
Description
|
Location
|
Votes
|
|
|---|---|---|---|---|
| Jul 11, 2023 | Amendments (Committee's) | Assembly Standing Committee on Jobs, Economic Development, and the Economy |
Passed |
|
| Jul 11, 2023 | Do pass as amended and be re-referred to the Committee on [Appropriations] | Assembly Standing Committee on Jobs, Economic Development, and the Economy |
Passed |
|
| May 31, 2023 | Senate 3rd Reading SB418 Padilla | Senate Floor |
Passed |
|
| May 18, 2023 | Do pass as amended | Senate Standing Committee on Appropriations |
Passed |
|
| May 8, 2023 | Placed on suspense file | Senate Standing Committee on Appropriations |
Passed |
|
| Apr 25, 2023 | Do pass, but first be re-referred to the Committee on [Appropriations] with the recommendation: To Consent Calendar | Senate Standing Committee on Public Safety |
Passed |
|
| Apr 10, 2023 | Do pass, but first be re-referred to the Committee on [Public Safety] | Senate Standing Committee on Business, Professions and Economic Development |
Passed |
This list shows positions taken on this bill by organizations on the date displayed, which is linked to the original source.
Positions by individuals are not included.
|
Organization
|
Position
|
Date
|
|---|---|---|
| California Community Economic Development Association | ** Support | |
| County of Riverside | ** Support | |
| County Of Riverside Supervisor V. Manuel Perez | ** Support | |
| County of Riverside, Supervisor | ** Support | |
| Imperial Community College District | ** Support | |
| Inland Economic Growth & Opportunity | ** Support | |
| Inland Empire Community Foundation | * Support | Apr 10, 2023 |
| Palo Verde Community College District | ** Support | |
| Palo Verde Valley Transit Agency | ** Support | |
| Rural County Represenatatives of California | * Support | Jul 11, 2023 |
| Smart Justice California | ** Support |
Date of Hearing: August 16, 2023
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Chris Holden, Chair
SBPCA Bill Id:SB 418
Author:(Padilla) – As Amended Ver:July 12, 2023
Policy Committee: | Jobs, Economic Development, and the Economy | Vote: | 7 - 0 |
| |||
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Urgency: No State Mandated Local Program: No Reimbursable: No
SUMMARY:
This bill creates, subject to appropriation, the California Prison Redevelopment Commission at the Governor’s Office of Business and Economic Development (GO-Biz) and tasks the commission with preparing a report with recommendations for the redevelopment of former state prison sites and economic revitalization of impacted communities.
Specifically, the commission is to prepare its report by August 1, 2024, and tailor its recommendations to each community impacted by prison closures. The commission is to consist of 15 members from various backgrounds, including state agencies and local representatives, who are to receive reimbursement for per diem and expenses while engaged in commission activities. The bill repeals its provisions on January 1, 2026.
FISCAL EFFECT:
- One-time General Fund costs of between $1 million and $1.5 million to GO-Biz per prison report. According to GO-Biz, this funding would be used for staff to oversee the commission and write the reports.
GO-Biz views the bill as requiring multiple reports as the bill specifies the commission is to tailor its recommendations to each community impacted by a prison closure. It is unclear whether August 1, 2024, is a realistic deadline for GO-Biz to produce reports with specific recommendations for at least seven communities with recently closed or soon to be closed prisons. The bill does not specify which communities the commission is to prioritize.
- Potential future General Fund costs, likely in the millions of dollars per site, to redevelop closed prison sites, depending on the recommendations of the commission’s reports.
COMMENTS:
1) Purpose. According to the findings and declaration of this bill:
California’s rural communities suffer from chronic underinvestment and we need to think carefully on how to convert former prisons in those communities into economic assets. The state made an executive decision to open prisons in communities, which lacked other forms of significant state investment making their local economies dependent on the prisons. Having economic development experts alongside community and state leaders carefully analyze redevelopment options will provide an important road map for replacing prisons with economic opportunity and investment in rural communities that welcomed state prisons and are now being left to fend for themselves.
- Background.
GO-Biz. GO-Biz is the state’s lead agency for economic strategy and job creation efforts. The office provides recommendations to the state on economic policy and programming. It provides services to businesses, administers tax credits, and offers regulatory guidance.
State Prison Closures. In recent years, the Governor and Legislature have taken steps to close several state prisons, including the deactivation of certain facilities within six state-owned prisons by the end of 2023 and the closure of Chuckawalla Valley State Prison in the City of Blythe by March 2025. Incarcerated people at these locations will be rehoused into other prisons.
According to this bill’s findings and declarations, Chuckawalla Valley State Prison “represents a central economic driver in an otherwise economically disadvantaged community.” As part of the Chuckawalla Valley State Prison closure, the Governor stated the California Department of Corrections and Rehabilitation is to develop a resiliency plan for the local community to provide employees impacted by the closure with state hiring preferences and other assistance. This bill’s author indicates that while the resiliency plan takes steps to address prison employees, it does not address the larger economic impact of the prison closure on the local community.
This bill would task GO-Biz with overseeing work to make recommendations related to the redevelopment of former prison sites, including Chuckawalla Valley State Prison.
Analysis Prepared by: Natasha Collins / APPR. / (916) 319-2081
Date of Hearing: Tuesday, July 11, 2023
ASSEMBLY COMMITTEE ON JOBS, ECONOMIC DEVELOPMENT, AND THE ECONOMY
Carlos Villapudua, Chair
SBPCA Bill Id:SB 418
Author:(Padilla) – As Amended Ver:May 18, 2023
SENATE VOTE: 38-0
SUBJECT: California Prison Redevelopment Commission
SUMMARY: Specifically, this bill: establishes the California Prison Redevelopment 15 member Commission (Commission), under the direction of the Director of the Governor’s Office of Business and Economic Development (GO-Biz), tasked with developing findings and recommendations for creative uses of closed prison facilities that will turn those sites into community assets. This bill states all requirements will only become operative upon appropriation by the Legislature and repeals the provisions as of January 1, 2026.
EXISTING LAW:
Establishes GO-Biz for the purpose of serving as the lead state entity for economic strategy and marketing of California on issues relating to business development, private sector investment, and economic growth. (Government Code (GC) §§ 12096 – 12098.5)
Establishes the state prisons under the jurisdiction of the California Department of Corrections and Rehabilitation (CDCR). Requires the CDCR to begin reducing private in-state male contract correctional facilities and reducing the capacity of state-owned and operated prisons or in-state leased or contract correctional facilities, as specified. (GC § 12838 et seq.; California Penal Code § 2067)
This bill:
Establishes a 15 member Commission comprised of representatives from CDCR, the Department of Finance, and the Department of General Services, and members appointed by the Governor, the Speaker of the Assembly, and the Senate Rules Committee, as specified. Requires the Commission to prepare a report, submitted to the Legislature by August 1, 2024, that delivers a set of clear and credible recommendations for creative uses of closed prison facilities that will turn those sites into community assets. Requires the report to include timeframes for each proposal; identification of key departments and partners and implementation guidance to better ensure the success of the redevelopment of these sites and economic revitalization of impacted communities. These recommendations are to be tailored to the needs of the impacted local communities and are to serve the larger economic interests of the state.
The commission shall be under the direction of the Director of the Governor’s Office of Business and Economic Development.
(b) The commission shall be composed of 15 members, as follows:
(1) One representative from the Department of Corrections and Rehabilitation, appointed by the secretary of that department.
(2) One representative from the Department of Finance, appointed by the director of that department.
(3) One representative from the Department of General Services, appointed by the director of that department.
(4) One representative from the Department of Parks and Recreation, appointed by the director of that department.
(5) One representative from the Employment Development Department, appointed by the director of that department.
(6) One representative from the State Energy Resources Conservation and Development Commission, appointed by the State Energy Resources Conservation and Development Commission.
(7) A representative from a county impacted by the prison closure, appointed by the Governor.
(8) A representative from a city impacted by the prison closure, appointed by the Governor.
(9) A member of the public from a foundation whose focus is on domestic economic development, appointed by the Governor.
(10) A member of the public with expertise in real estate, appointed by the Governor.
(11) A member of the public with expertise in economic development, appointed by the Governor.
(12) A member of the public representing labor organizations, appointed by the Senate Rules Committee.
(13) A member of the public representing community-based organizations, appointed by the Senate Rules Committee.
(14) A member of the public representing local business, appointed by the Speaker of the Assembly.
(15) A member of the public with expertise in criminal justice reform, appointed by the Speaker of the Assembly.
(c) The members appointed pursuant to this section shall receive reimbursement for per diem and expenses while engaged in commission activities.
Requires, in preparing the report, the Commission to engage regional leaders, stakeholders, and economic development, labor, health care, and business experts; consider and investigate clean energy opportunities and partnerships; identify economic development tools to attract investment and job creation and; identify economic opportunities for the local region built on community consensus. Repeals these provisions as of January 1, 2026, and makes various findings and declarations about recent prison closures and impacts to communities.
This bill states that all requirements will only become operative upon appropriation by the Legislature.
Amendments to be adopted on July 10, 2023 are as follows:
(9) A member of the public from a foundation whose focus is on with expertise in domestic economic development, appointed by the Governor.
(11) A member of the public with expertise in economic development, representing labor organizations, appointed by the Governor.
FISCAL EFFECT: According to the Senate Appropriations Committee, GO-Biz has yet to determine its costs to administer the bill. Additionally, using its experience with former development centers that have closed recently, the Department of General Services (DGS) estimates that, if the Commission were to request that it undertake comprehensive site studies, such as analysis of existing infrastructure and buildings, hazardous materials, and environmental issues, costs would total $1 million to $2 million per site. DGS estimates that it could cost another $1 million per site, depending upon the scope of the review, to conduct studies to support an analysis of potential, prospective uses.
COMMENTS:
Background
Prison Closures: According to CDCR, Deuel Vocational Institution in Tracy was deactivated on September 30, 2021 and California Correctional Center in Susanville, will close later this year. On December 6, 2022, CDCR announced plans to deactivate California City Correctional Facility in California City, which the state leases from a private entity, by March 2024, and Chuckawalla Valley State Prison in Blythe by March 2025. CDCR is also in the process of deactivating certain facilities in six prisons: Folsom Women’s Facility (expected deactivation January 2023); West Facility in California Men’s Colony (expected deactivation winter 2023); Facility C in Pelican Bay State Prison (expected deactivation winter 2023); Facility A in California Rehabilitation Center (expected deactivation spring 2023); Facility D in California Institution for Men (expected deactivation spring 2023) and; Facility D in California Correctional Institution (expected deactivation summer 2023).
Community Economic Resilience Fund and Employment Development Department Rapid Response. Existing efforts to collaborate on next steps following prison deactivations and closures to ensure workers and their families have access to income streams and support include, but are not limited to, the following: the Community Economic Resilience Fund (CERF) and the Employment Development Department Rapid Response.
In 2021, CERF was signed into law in AB 162 (Committee on Budget and Fiscal Review, Chapter 259, Statutes of 2021) and $600 million was allocated to CERF. According to the Governor’s Office of Planning and Research (OPR), “The CERF was created to promote a sustainable and equitable recovery from the economic distress of COVID-19 by supporting new plans and strategies to diversify local economies and develop sustainable industries that create high-quality, broadly accessible jobs for all Californians. Specifically, [CERF] would support communities and regional groups in producing regional roadmaps for economic recovery and transition that prioritize the creation of accessible, high-quality jobs in sustainable industries….” CERF has been developed by OPR in partnership with GO-Biz and the Labor & Workforce Development Agency.
Additionally, the Employment Development Department (EDD) rapid response is a way to protect employees and their families by providing notice prior to a mass layoff or a plant or large institution closing. For example, its Worker Adjustment and Retraining Notification (WARN) Act requires employers to give a 60-day notice to those affected employees and both state and local representatives before a plant closing or mass layoff. Advance notice permits employees and their families time to transition and adjust to the potential loss of employment, time to seek other jobs and, if necessary, time to obtain skills training to compete in the job market.
Author’s Statement: “California’s rural communities suffer from chronic underinvestment and we need to think carefully on how to convert former prisons in those communities into economic assets. The state made an executive decision to open prisons in communities, which lacked other forms of significant state investment making their local economies dependent on the prisons. Having economic development experts alongside community and state leaders carefully analyze redevelopment options will provide an important road map for replacing prisons with economic opportunity and investment in rural communities that welcomed state prisons and are now being left to fend for themselves.”
REGISTERED SUPPORT / OPPOSITION:
Support (Verified 6/30/23)
California Community Economic Development Association (CCEDA)
County of Riverside
County of Riverside Supervisor V. Manuel Perez
Imperial Community College District
Inland Economic Growth & Opportunity (IEGO)
Palo Verde Community College District
Palo Verde Valley Transit Agency
Rural County Representatives of California (RCRC)
Smart Justice California
Opposition (Verified 6/15/23)
No opposition on file
Analysis Prepared by: Carla Castilla / J., E.D., & E. / (916) 319-2090
SENATE RULES COMMITTEE Office of Senate Floor Analyses (916) 651-1520 Fax: (916) 327-4478 | SB 418 |
THIRD READING
Bill No: SB 418
Author: Padilla (D)
Amended: 5/18/23
Vote: 21
SENATE BUS., PROF. & ECON. DEV. COMMITTEE: 12-0, 4/10/23
AYES: Roth, Alvarado-Gil, Archuleta, Ashby, Becker, Dodd, Eggman, Glazer, Niello, Smallwood-Cuevas, Wahab, Wilk
NO VOTE RECORDED: Nguyen
SENATE PUBLIC SAFETY COMMITTEE: 5-0, 4/25/23
AYES: Wahab, Ochoa Bogh, Bradford, Skinner, Wiener
SENATE APPROPRIATIONS COMMITTEE: 6-0, 5/18/23
AYES: Portantino, Jones, Ashby, Bradford, Wahab, Wiener
NO VOTE RECORDED: Seyarto
SUBJECT: California Prison Redevelopment Commission
SOURCE: Author
DIGEST:
This bill establishes the California Prison Redevelopment Commission (Commission), under the direction of the Director of the Governor’s Office of Business and Economic Development (GO-Biz), tasked with developing findings and recommendations for creative uses of closed prison facilities that will turn those sites into community assets, and states all requirements will only become operative upon appropriation by the Legislature.
ANALYSIS:
Existing law:
- Establishes GO-Biz for the purpose of serving as the lead state entity for economic strategy and marketing of California on issues relating to business development, private sector investment, and economic growth. (Government Code (GC) §§ 12096 – 12098.5)
- Establishes the state prisons under the jurisdiction of the California Department of Corrections and Rehabilitation (CDCR). Requires the CDCR to begin reducing private in-state male contract correctional facilities and reducing the capacity of state-owned and operated prisons or in-state leased or contract correctional facilities, as specified. (GC § 12838 et seq.; California Penal Code § 2067)
This bill:
- Establishes the Commission comprised of representatives from CDCR, the Department of Finance, and the Department of General Services, and members appointed by the Governor, the Speaker of the Assembly, and the Senate Rules Committee, as specified. Requires the Commission to prepare a report, submitted to the Legislature by August 1, 2024, that delivers a set of clear and credible recommendations for creative uses of closed prison facilities that will turn those sites into community assets. Requires the report to include timeframes for each proposal; identification of key departments and partners and implementation guidance to better ensure the success of the redevelopment of these sites and economic revitalization of impacted communities and; recommendations that are tailored to the needs of the impacted local communities and that serve the larger economic interests of the state.
- Requires, in preparing the report, the Commission to engage regional leaders, stakeholders, and economic development, labor, health care, and business experts; consider and investigate clean energy opportunities and partnerships; identify economic development tools to attract investment and job creation and; identify economic opportunities for the local region built on community consensus. Repeals these provisions as of January 1, 2026, and makes various findings and declarations about recent prison closures and impacts to communities.
- States all requirements will only become operative upon appropriation by the Legislature.
Background
Prison Closures. According to CDCR, Deuel Vocational Institution in Tracy was deactivated on September 30, 2021 and California Correctional Center in Susanville, will close later this year. On December 6, 2022, CDCR announced plans to deactivate California City Correctional Facility in California City, which the state leases from a private entity, by March 2024, and Chuckawalla Valley State Prison in Blythe by March 2025. CDCR is also in the process of deactivating certain facilities in six prisons: Folsom Women’s Facility (expected deactivation January 2023); West Facility in California Men’s Colony (expected deactivation winter 2023); Facility C in Pelican Bay State Prison (expected deactivation winter 2023); Facility A in California Rehabilitation Center (expected deactivation spring 2023); Facility D in California Institution for Men (expected deactivation spring 2023) and; Facility D in California Correctional Institution (expected deactivation summer 2023).
Community Economic Resilience Fund and Employment Development Department Rapid Response. Existing efforts to collaborate on next steps following prison deactivations and closures to ensure workers and their families have access to income streams and support include, but are not limited to, the following: the Community Economic Resilience Fund (CERF) and the Employment Development Department Rapid Response.
In 2021, CERF was signed into law in AB 162 (Committee on Budget and Fiscal Review, Chapter 259, Statutes of 2021) and $600 million was allocated to CERF. According to the Governor’s Office of Planning and Research (OPR), “The CERF was created to promote a sustainable and equitable recovery from the economic distress of COVID-19 by supporting new plans and strategies to diversify local economies and develop sustainable industries that create high-quality, broadly accessible jobs for all Californians. Specifically, [CERF] would support communities and regional groups in producing regional roadmaps for economic recovery and transition that prioritize the creation of accessible, high-quality jobs in sustainable industries….” CERF has been developed by OPR in partnership with GO-Biz and the Labor & Workforce Development Agency.
Additionally, the Employment Development Department (EDD) rapid response is a way to protect employees and their families by providing notice prior to a mass layoff or a plant or large institution closing. For example, its Worker Adjustment and Retraining Notification (WARN) Act requires employers to give a 60-day notice to those affected employees and both state and local representatives before a plant closing or mass layoff. Advance notice permits employees and their families time to transition and adjust to the potential loss of employment, time to seek other jobs and, if necessary, time to obtain skills training to compete in the job market.
FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: No
According to the Senate Appropriations Committee, GO-Biz has yet to determine its costs to administer the bill. Additionally, using its experience with former development centers that have been closed recently, the Department of General Services (DGS) estimates that, if the Commission were to request that it undertake comprehensive site studies, such as analysis of existing infrastructure and buildings, hazardous materials, and environmental issues, costs would total $1 million to $2 million per site. DGS estimates that it could cost another $1 million per site, depending upon the scope of the review, to conduct studies to support an analysis of potential, prospective uses.
SUPPORT: (Verified 5/19/23)
California Community Economic Development Association
County of Riverside
County of Riverside Supervisor V. Manuel Perez
Imperial Community College District
Inland Economic Growth & Opportunity
Palo Verde Community College District
Palo Verde Valley Transit Agency
Smart Justice California
OPPOSITION: (Verified 5/19/23)
None received
ARGUMENTS IN SUPPORT: Generally speaking, support argues that this bill would further address the economic impact of closing certain communities where prisons are closed beyond Governor Newsom’s recent efforts in the space.
Prepared by: Dana Shaker / B., P. & E.D. /
5/23/23 13:10:16
**** END ****
SENATE COMMITTEE ON APPROPRIATIONS
Senator Anthony Portantino, Chair
2023 - 2024 Regular Session
SB 418 (Padilla) - California Prison Redevelopment Commission
Version: February 9, 2023 | Policy Vote: B., P. & E.D. 12 - 0, PUB. S. 5 - 0 |
Urgency: No | Mandate: No |
Hearing Date: May 18, 2023 | Consultant: Robert Ingenito |
Bill Summary:
SB 418 would establish the California Prison Redevelopment Commission, as specified.
*********** ANALYSIS ADDENDUM – SUSPENSE FILE ***********
The following information is revised to reflect amendments
adopted by the committee on May 18, 2023
Fiscal Impact:
The Governor’s Office of Business and Economic Development (GO-Biz) has yet to determine its costs to administer the bill.
Additionally, using its experience with former development centers that have been closed recently, the Department of General Services (DGS) estimates that, if the Commission were to request that it undertake comprehensive site studies, such as analysis of existing infrastructure and buildings, hazardous materials, and environmental issues, costs would total $1 million to $2 million per site. The Department estimates that it could cost another $1 million per site, depending upon the scope of the review, to conduct studies to support an analysis of potential, prospective uses.
Committee Amendments:
Make the bill contingent upon an appropriation.
-- END --
SENATE COMMITTEE ON APPROPRIATIONS
Senator Anthony Portantino, Chair
2023 - 2024 Regular Session
SB 418 (Padilla) - California Prison Redevelopment Commission
Version: February 9, 2023 | Policy Vote: B., P. & E.D. 12 - 0, PUB. S. 5 - 0 |
Urgency: No | Mandate: No |
Hearing Date: May 8, 2023 | Consultant: Robert Ingenito |
Bill Summary:
SB 418 would establish the California Prison Redevelopment Commission (Commission), as specified.
Fiscal Impact:
The Governor’s Office of Business and Economic Development (GO-Biz) has yet to determine its costs to administer the bill. The bill does not give guidance on how the Committee would be staffed. Using the Milton Marks "Little Hoover" Commission on California State Organization and Economy (Little Hoover Commission) as a proxy, annual costs to operate and staff the Committee could total in the low millions of dollars annually (General Fund, see Staff Comments).
Additionally, using its experience with former development centers that have been closed recently, the Department of General Services (DGS) estimates that, if the Commission were to request that it undertake comprehensive site studies, such as analysis of existing infrastructure and buildings, hazardous materials, and environmental issues, costs would total $1 million to $2 million per site. The Department estimates that it could cost another $1 million per site, depending upon the scope of the review, to conduct studies to support an analysis of potential, prospective uses.
Background:
The State has had various economic development departments through the decades. Prior to 2003, the majority of the State’s economic development programs were housed within the Technology, Trade, and Commerce Agency. The 2003 04 Budget Act abolished both the Agency and state funding for many of its programs designed to encourage economic development.
GO Biz was established statutorily in 2011 to be the lead entity for economic strategy and the marketing of California on issues relating to business development, private sector investment, and economic growth. GO-Biz staff provide a wide range of advisory and coordinating roles across the administration related to economic development. Several units of GO Biz serve as points of contact for businesses considering relocating to or expanding in California. For example, the California Office of the Small Business Advocate (CalOSBA) provides resources for small businesses and financial assistance for small business advisory centers. Other units assist international investors, help businesses obtain information about business permits, administer the California Competes Tax Credit Program, and administer the Cannabis Local Equity Grant Program. Additionally, the California Film Commission, Travel and Tourism Commission, and the Infrastructure and Economic Development Bank have been assigned for oversight purposes to GO Biz.
According to the California Department of Corrections and Rehabilitation (CDCR), Deuel Vocational Institution in Tracy was deactivated on September 30, 2021 and California Correctional Center in Susanville, will close later this year. On December 6, 2022, CDCR announced plans to deactivate California City Correctional Facility in California City, which the state leases from a private entity, by March 2024, and Chuckawalla Valley State Prison in Blythe by March 2025. CDCR is also in the process of deactivating certain facilities in six prisons: Folsom Women’s Facility (expected deactivation January 2023); West Facility in California Men’s Colony (expected deactivation winter 2023); Facility C in Pelican Bay State Prison (expected deactivation winter 2023); Facility A in California Rehabilitation Center (expected deactivation spring 2023); Facility D in California Institution for Men (expected deactivation spring 2023) and; Facility D in California Correctional Institution (expected deactivation summer 2023).
Proposed Law:
This bill, until January 1, 2026, would among other things, do the following:
- Establish the Commission, under the direction of GO-Biz and consisting of fifteen specified members.
- Require the Commission to prepare a report, submitted to the Legislature by August 1, 2024, that delivers a set of clear and credible recommendations for creative uses of closed prison facilities that will turn those sites into community assets. Require the report to include timeframes for each proposal; identification of key departments and partners and implementation guidance to better ensure the success of the redevelopment of these sites and economic revitalization of impacted communities and; recommendations that are tailored to the needs of the impacted local communities and that serve the larger economic interests of the state.
- In preparing the report, require the Commission to engage regional leaders, stakeholders, and economic development, labor, health care, and business experts; consider and investigate clean energy opportunities and partnerships; identify economic development tools to attract investment and job creation and; identify economic opportunities for the local region built on community consensus.
Staff Comments:
The bill in its current form does not give guidance concerning how the Committee would be staffed. As noted earlier, the Little Hoover Commission could serve as a proxy; it has a $1.3 million annual budget and is comprised of seven staff: an executive director, three managers, and three analysts. The Little Hoover Commission’s personnel costs (salaries and benefits) total about $1.1 million annually, while operating expenses and equipment comprise the other $262,000 per year. The bill does not specify a funding source, and presumably would be the General Fund.
Existing efforts to collaborate on next steps following prison deactivations and closures to ensure workers and their families have access to income streams and support include, but are not limited to, the following: the Community Economic Resilience Fund (CERF) and the Employment Development Department (EDD) Rapid Response.
In 2021, $600 million was allocated to CERF. According to the Governor’s Office of Planning and Research (OPR), “The CERF was created to promote a sustainable and equitable recovery from the economic distress of COVID-19 by supporting new plans and strategies to diversify local economies and develop sustainable industries that create high-quality, broadly accessible jobs for all Californians. Specifically, [CERF] would support communities and regional groups in producing regional roadmaps for economic recovery and transition that prioritize the creation of accessible, high-quality jobs in sustainable industries….” CERF has been developed by OPR in partnership with GO-Biz and the Labor & Workforce Development Agency.
Additionally, EDD Rapid Response is a way to protect employees and their families by providing notice prior to a mass layoff or a plant or large institution closing. For example, its Worker Adjustment and Retraining Notification (WARN) Act requires employers to give a 60-day notice to those affected employees and both state and local representatives before a plant closing or mass layoff. Advance notice permits employees and their families time to transition and adjust to the potential loss of employment, time to seek other jobs and, if necessary, time to obtain skills training to compete in the job market.
Thus, the work undertaken by the newly created Commission in this bill could potentially be duplicative of existing efforts underway to engage communities impacted by CDCR facility deactivations and prison closures.
-- END --
SENATE COMMITTEE ON PUBLIC SAFETY
Senator Aisha Wahab, Chair
2023 - 2024 Regular
Bill No: SB 418 Hearing Date: April 25, 2023
Author: | Padilla | ||
Version: | February 9, 2023 | ||
Urgency: | No | Fiscal: | Yes |
Consultant: | HM | ||
Subject: California Prison Redevelopment Commission
HISTORY
Source: Author
Prior Legislation: AB 32 (Bonta), Ch. 739, Stat. 2019
AB 200 (Committee on Budget), Ch. 58, Stat. 2022
Support: California Community Economic Development Association (CCEDA); County of Riverside Supervisor v. Manuel Perez; Imperial Community College District; Palo Verde Community College District; Palo Verde Transit Agency; Smart Justice California
Opposition: None known
PURPOSE
The purpose of this bill is to establish the California Prison Redevelopment Commission under the direction of the Director of the Governor’s Office of Business. This bill requires the Commission to develop recommendations for creative uses of closed prison facilities and submit a report to the Legislature by August 1, 2024.
Existing law requires the Department of Corrections and Rehabilitation to begin reducing private in-state male contract correctional facilities in a manner that maintains sufficient flexibility to comply with the federal court order to maintain the prison population at or below 137.5 percent of design capacity. (Pen. Code, § 2067 (a).)
Existing law prohibits the Department of Corrections and Rehabilitations on or after January 1, 2020 from entering into a contract with a private, for-profit prison facility located in or outside of the state to provide housing for state prison inmates. (Pen. Code, § 5003.1 (a).)
Existing law prohibits the Department of Corrections and Rehabilitation on or after January 1, 2020 from renewing contracts with a private, for-profit prisons located in or outside of the state to incarcerate state prison inmates. (Pen. Code, § 5003.1 (b).)
Existing law states that after January 1, 2028, a state prison inmate or other person under the jurisdiction of the Department of Corrections and Rehabilitation shall not be incarcerated in a private, for-profit prison facility. (Pen. Code, § 5003.1 (c).)
Existing law establishes the Governor’s Office of Business and Economic Development (GO-Biz) that shall serve the Governor as the lead entity for economic strategy and the marketing of California on issues relating to business development, private sector investment, and economic growth. (Gov. Code, § 12096.3)
Existing law states the Governor’s Office of Business and Economic Development shall recommend to the Governor and the Legislature new state policies, programs, and actions, or amendments to existing programs, advance statewide economic goals and respond to emerging economic problems and opportunities, and ensure that all state policies and programs conform to the adopted state economic and business development goals. (Gov. Code, § 12096.3 (a).)
This bill would establish the California Prison Redevelopment Commission, under the direction of the Director of GO-Biz that consists of 15 members including:
- One representative from the Department of Corrections and Rehabilitation, appointed by the secretary of that department.
- One representative from the Department of Finance, appointed by the director of that department.
- One representative from the Department of General Services, appointed by the director of that department.
- One representative from the Department of Parks and Recreation, appointed by the director of that department.
- One representative from the Employment Development Department, appointed by the director of that department.
- One representative from the State Energy Resources Conservation and Development Commission, appointed by the State Energy Resources Conservation and Development Commission.
- A representative from a county impacted by the prison closure, appointed by the Governor.
- A representative from a city impacted by the prison closure, appointed by the Governor.
- A member of the public from a foundation whose focus is on domestic economic development, appointed by the Governor.
- A member of the public with expertise in real estate, appointed by the Governor.
- A member of the public with expertise in economic development, appointed by the Governor.
- A member of the public representing labor organizations, appointed by the Senate Rules Committee.
- A member of the public representing community-based organizations, appointed by the Senate Rules Committee.
- A member of the public representing local business, appointed by the Speaker of the Assembly.
- A member of the public with expertise in criminal justice reform, appointed by the Speaker of the Assembly.
This bill specifies that the task of the Commission is to prepare a report with findings and recommendations that deliver a set of clear and credible recommendations for creative uses of closed prison facilities and turn them into community assets.
This bill states that when preparing the report, the Commission shall include, but shall not be limited to, all of the following:
- Timeframes for each proposal.
- Key departments and partners and implementation guidance to better ensure the success of the redevelopment of these sites and economic revitalization of impacted communities.
- Recommendations that are tailored to the needs of the impacted local communities and that serve the larger economic interests of the state.
This bill provides that when preparing the report, the Commission shall do, at a minimum, all of the following:
- Engage regional leaders, stakeholders, and economic development, labor, health care, and business experts.
- Consider and investigate clean energy opportunities and partnerships.
- Identify economic development tools to attract investment and job creation.
- Identify economic opportunities for the local region built on community consensus.
This bill requires that the Commission submit a report to the Legislature by August 1, 2024 detailing the findings and recommendations.
This bill shall remain in effect only until January 1, 2026, and as of that date is repealed.
COMMENTS
- Need for This Bill
According to the author:
California’s rural communities suffer from chronic underinvestment and we need to think carefully on how to convert former prisons in those communities into economic assets. The state made an executive decision to open prisons in communities which lacked other forms of significant state investment making their local economies dependent on the prisons. Having economic development experts alongside community and state leaders carefully analyze redevelopment options will provide an important road map for replacing prisons with economic opportunity and investment in rural communities that welcomed state prisons and are now being left to fend for themselves.
- Ending Private For-Profit Prisons
A 2016 report from the U.S. Department of Justice’s Office of the Inspector General investigated the conditions of private prisons nationwide. The report details how private prisons are more dangerous, with more safety and security-related incidents per capita, more incidents of contraband finds, use of force, lockdowns, and guilty findings on inmate discipline charges incidents per capital than federal prisons. While the report recommends the careful and routine examination of private prisons to ensure they’re meeting human rights standards[1], both the U.S. Department of Justice and 26 states, including California, have either ended contracts or have begun phasing out contracts with private prisons as of 2021[2].
The California Budget Act of 2018 required all out-of-state inmates to be returned to California and for the CDCR to begin reducing private prison contracts while also maintain the federal court order to maintain the state prison population at or below 137.5% of design capacity. As of March 8, 2023, the CRCR reports that the state is at 110.9% capacity, well below the federal order[3]. While this is in part due to California’s Public Safety Realignment of 2011, the phasing out of private prison contracts does not seem to impede the state’s effort to reduce the prison population.
As California primarily ends private prison contracts, effectively closing a facility, the adjacent communities face financial difficulties due to the lack of opportunities the private prisons once provided. Similar impacts are evident with the closure of state prisons.
- AB 32 (Bonta) Injunction
The passage of AB 32 (Bonta) in 2019 saw the CDCR be prohibited from entering or renewing contracts with private, for-profit prisons starting January 1, 2020. All inmates under the jurisdiction of the CDCR are not to be incarcerated in a private prison after January 1, 2028. All inmates in the state are to not be incarcerated in a private, for-profit prison facility after January 1, 2028. (Pen. Code §5003.1 & 9500-9505).
However, the Ninth Circuit U.S. Court of Appeals has issued an injunction blocking the enforcement of AB 32’s effort to end California’s private prison contracts. The Court ruled that AB 32 conflicts with federal authority, mainly with the Immigration and Customs Enforcement’s (ICE) detention of immigrants. The 11-member appellate panel stated that the federal government preempts AB 32 under the U.S. Constitution’s “Supremacy Clause.” As previously mentioned, only the U.S. Department of Justice has ended contracts with private prisons. This does not extend to operations under the U.S. Department of Homeland Security’s ICE authority and thereby conflicting with the federal agency.
Writing for an eight-member majority, Circuit Judge Jacqueline Nguyen wrote: “AB 32 would prevent ICE’s contractors from continuing to run detention facilities, requiring ICE to entirely transform its approach to detention in the state or else abandon its California facilities…”[4]
The case has been further remanded down to the District Court for further litigation. No subsequent developments as of March 9th, 2023 (See https://cpoa.org/bill-32/ and https://cdn.ca9.uscourts.gov/datastore/opinions/2022/09/26/20-56172.pdf).
The implications of the injunction seem to have little impact on this bill since there is only one prison leased by a private company in California that has the capacity to house federal inmates, the California City Correctional Facility. This bill may still provide redevelopment recommendations for currently closed state prisons. However, in terms of AB 32, the Commission’s recommendations will have issues concerning plans for the closure of the last private prison pending further litigation and federal policy.
The injunction has no conflict with the merits of this bill, just potential future plans concerning the end of private prison facilities and private prison contracts.
- Repurposing Closed Prison Facilities
The 2022-2023 California Budget Act states the further reduction in prison capacity by closing several prison facilities across the state including, the deactivation of certain facilities within six state-owned prisons by the end of 2023, the end of a private contract with California City Correctional Facility by March 2024 (pending litigation), and the closure of Chuckawalla Valley State Prison by March 2025[5]. The author notes that the location of the latter prison is in a rural area of the state and where the prison “represents a central economic driver in an otherwise economically disadvantaged community.”
According to the CDCR:
The California Department of Corrections and Rehabilitation (CDCR) will begin the process to close Chuckawalla Valley State Prison (CVSP) in Blythe, with an anticipated closure in March 2025. Similar to the recent announcement by the [Newsom] Administration for workers impacted by the pending closure of the California Correctional Center in Lassen County, the Administration plans to work directly with community stakeholders in Riverside County to help support workers and foster a bottom-up economic resilience plan for the community impacted by the closure of CVSP.
While the author recognizes the governor’s efforts to mitigate some financial hardship, they state that the resiliency plan does not address the economic impact on local communities but only the immediate needs of the prison’s workforce. The city of Blythe has a bachelor’s attainment rate of about 7.3% compared to the state average of 36.3% and the median income in Blythe is almost half of the state’s median. The lack of state investment in other aspects of the local economy makes the correctional facilities central to the wellbeing of the city’s infrastructure, schools and hospitals. Chuckawalla Valley State Prison illustrates the potential for the redevelopment of other facilities to lessen the economic burden on the communities that spur financial incentives in the region that benefit the state at large. Plans to redevelop the prison may act as a blueprint for other closed facilities and those to be closed in the future.
A report analyzing the 2022-2023 Budget Act estimates that the state’s prison population will drop to 20,000 individuals with the closure of five additional prisons by 2027. With currently some 15,000 empty beds, this number will exacerbate the need to repurpose the closed facilities to avoid costly maintenance costs and better serve the surrounding community[6].
The author also recognizes that New York is in the process of redeveloping closed prison facilities, which are also primarily in rural communities, to drive local economic development. The New York Prison Redevelopment Commission has issued a 140-page report[7] detailing short and long-term recommendations to the closed facilities and surrounding communities. The report includes recommendations such as, repurposing closed sites for public housing developments, renewable energy opportunities, and the emphasis of partnering with local organizations for recreational use.
Currently, closed prison facilities in the state are operating in a “warm shutdown” capacity where staff and funding are ensuring basic facility operation and maintenance. The CDCR allocates millions of dollars to ensure these operations. For example, the Deuel Vocational Institute, which closed in 2021, is costing taxpayers $2.2 million dollars per year. These numbers indicate that the state and surrounding communities will substantially benefit from prison redevelopment[8].
- Argument in Support
According to Smart Justice California:
SB 418 would create the Prison Redevelopment Commission to provide California with a detailed strategy to convert closed correctional facilities into local assets that are responsive to the needs and conditions of local communities.
As part of his 2022-2023 budget plan, Governor Newsom directed the Department of Corrections and Rehabilitation to close Chuckawalla Valley State Prison (CVSP) in the City of Blythe. The Governor directed that a “resiliency plan” be developed for impacted employees providing them with hiring preferences at state agencies and other forms of employment and economic assistance. However, the plan did not address how to repurpose the closed prisons so that they can continue to be economic assets for the local communities. The Governor also announced the planned deactivation of portions of six other prisons.
While the governor’s resiliency plan sought to address the immediate needs of the workforce affected by the prison closure, it did not address the economic impact on local economies. SB 418 seeks to address the repurposing of closed prison facilities so that they can continue to be assets and economic drivers for these rural, economically disadvantaged communities. Modeled after a successful effort in New York, SB 418 will provide a path forward for rural communities impacted by prison closures.
-- END –
“Review of Federal Bureau of Prisons’ Monitoring of Contract Prisons,” accessed March 8, 2023, https://oig.justice.gov/reports/2016/e1606.pdf ↑
“Private Prisons in the United States,” accessed March 8, 2023, https://www.sentencingproject.org/app/uploads/2022/10/Private-Prisons-in-the-United-States-2.pdf ↑
“Population Reports - Office of Research,” accessed March 8, 2023, https://www.cdcr.ca.gov/research/wp-content/uploads/sites/174/2023/03/Tpop1d230301.pdf ↑
“Appeals court blocks California ban on for-profit prisons,” accessed March 9, 2023, https://apnews.com/article/prisons-california-immigration-gavin-newsom-1de2378e8bfd5523cb8a6fe5f2c10684 ↑
“Prison closure, facility deactivations,” accessed March 9, 2023, https://www.cdcr.ca.gov/insidecdcr/2022/12/12/prison-closure-and-facility-deactivations/ ↑
“The 2023-24 Budget: The California Department of Corrections and Rehabilitation,” accessed March 13, 2023, https://lao.ca.gov/reports/2023/4686/CDCR-Budget-021623.pdf ↑
“Prison-Redevelopment-Commission-Report-2022,” accessed March 9, 2023, https://esd.ny.gov/sites/default/files/Prison-Redevelopment-Commission-Report-2022.pdf ↑
“Op-Ed: What to do with California's recently closed prisons,” accessed March 9, 2023, https://www.latimes.com/opinion/story/2022-12-22/california-repurpose-prisons ↑
SENATE COMMITTEE ON
BUSINESS, PROFESSIONS AND ECONOMIC DEVELOPMENT
Senator Richard Roth, Chair
2023 - 2024 Regular
Bill No: Hearing Date: April 10, 2023
Author: | |||
Version: | February 9, 2023 | ||
Urgency: | No | Fiscal: | Yes |
Consultant: | Dana Shaker | ||
Subject:
SUMMARY:
Establishes the California Prison Redevelopment Commission (the Commission), under the direction of the Director of the Governor’s Office of Business and Economic Development (GO-Biz), tasked with developing findings and recommendations for creative uses of closed prison facilities that will turn those sites into community assets.
NOTE:
Double-referral to the Senate Committee on Public Safety, second.
Existing law:
- Establishes GO-Biz for the purpose of serving as the lead state entity for economic strategy and marketing of California on issues relating to business development, private sector investment, and economic growth. (Government Code (GC) §§ 12096 – 12098.5)
- Authorizes GO-Biz as the lead entity for economic strategy and the marketing of California on issues relating to business development, private sector investment, and economic growth. Authorizes GO-Biz, in this capacity, to coordinate the development of policies and criteria to ensure that federal grants administered or directly expended by state government advance statewide economic goals and objectives. Authorizes GO-Biz to market the business and investment opportunities available in California by working in partnership with local, regional, federal, and other state public and private institutions to encourage business development and investment in the state. Authorizes GO-Biz to support small businesses by providing information about accessing capital, complying with regulations, and supporting state initiatives that support small business. (GC § 12096.3)
- Establishes the state prisons under the jurisdiction of the California Department of Corrections and Rehabilitation (CDCR). Requires the CDCR to begin reducing private in-state male contract correctional facilities and reducing the capacity of state-owned and operated prisons or in-state leased or contract correctional facilities, as specified. (GC § 12838 et seq.; California Penal Code § 2067)
This bill:
- Establishes the Commission, under the direction of the Director of GO-Biz and consisting of fifteen members, including, among others, representatives from the CDCR the Department of Finance, and the Department of General Services, and members appointed by the Governor, the Speaker of the Assembly, and the Senate Rules Committee, as specified.
- Requires the Commission to prepare a report, submitted to the Legislature by August 1, 2024, that delivers a set of clear and credible recommendations for creative uses of closed prison facilities that will turn those sites into community assets. Requires the report to include timeframes for each proposal; identification of key departments and partners and implementation guidance to better ensure the success of the redevelopment of these sites and economic revitalization of impacted communities and; recommendations that are tailored to the needs of the impacted local communities and that serve the larger economic interests of the state.
- In preparing the report, requires the Commission to engage regional leaders, stakeholders, and economic development, labor, health care, and business experts; consider and investigate clean energy opportunities and partnerships; identify economic development tools to attract investment and job creation and; identify economic opportunities for the local region built on community consensus.
- Repeals these provisions as of January 1, 2026, and makes related findings and the following declarations:
- Pursuant to the 2022–23 Budget Act and Section 2067 of the Penal Code, in December of 2022, Governor Newsom directed [CDCR] to close Chuckawalla Valley State Prison (CVSP) in the City of Blythe in March of 2025. In that order, the Governor directed that a “resiliency plan” be developed that engages impacted employees, provides them with state hiring preferences for all state agencies, and provides them with other forms of employment and economic assistance. In the order, the Governor also announced the planned deactivation of portions of six other prisons across the state.
- CVSP is located in a rural area of the state and represents a central economic driver in an otherwise economically disadvantaged community. The closure of the local prison will have a significant economic impact on the local community that welcomed a prison facility other communities shunned. While fiscal responsibility is driving the decision to close this facility, it is incumbent upon the State of California to develop and implement a community-based plan to redevelop that facility in a way that turns the site into a community asset. That locally driven redevelopment plan must also be coupled with economic incentives to grow investment and job creation in impacted communities. This plan can also serve as a blueprint if other facilities are required to close as a result of declining prison populations. That blueprint must be based on a community engagement process that solicits input from economic development experts, local leaders, and stakeholders.
FISCAL EFFECT:
Unknown. This bill is keyed fiscal by Legislative Counsel.
COMMENTS:
- Purpose. The Author is the Sponsor of this bill. According to the Author, “SB 418 would create the Prison Redevelopment Commission, to provide California with a detailed strategy to convert closed correctional facilities into local assets that are responsive to the needs and conditions of local communities. The bill would replicate steps already taken in New York, to address the negative economic impacts of closing prisons in rural underinvested communities by redeveloping the unprecedented number of closed and closing prisons in the state.”
- Prison Closures. According to CDCR, Deuel Vocational Institution in Tracy was deactivated on September 30, 2021 and California Correctional Center in Susanville, will close later this year. On December 6, 2022, CDCR announced plans to deactivate California City Correctional Facility in California City, which the state leases from a private entity, by March 2024, and Chuckawalla Valley State Prison in Blythe by March 2025. CDCR is also in the process of deactivating certain facilities in six prisons: Folsom Women’s Facility (expected deactivation January 2023); West Facility in California Men’s Colony (expected deactivation winter 2023); Facility C in Pelican Bay State Prison (expected deactivation winter 2023); Facility A in California Rehabilitation Center (expected deactivation spring 2023); Facility D in California Institution for Men (expected deactivation spring 2023) and; Facility D in California Correctional Institution (expected deactivation summer 2023).
- GO-Biz. In February 2010, the Little Hoover Commission undertook a review of the state's economic and workforce development programs. In its final report, Making up for Lost Ground: Creating a Governor's Office of Economic Development, it analyzed the status and effectiveness of current programs since the 2003 demise of the Technology, Trade and Commerce Agency and recommended the creation of a new governmental entity to fill the void left by the dismantled agency.
In April 2010, Governor Schwarzenegger issued Executive Order S-05-10 as a means to operationalize the report recommendations including the creation of the Governor's Office of Economic Development (GOED). In October 2011, the Governor signed AB 29 (John A. Pérez, Chapter 475, Statutes of 2011), which effectively codified GOED and changed its name to GO-Biz.
In March 2012, Governor Brown initiated a reorganization process to realign the state's administrative structure. Key changes include dismantling of the Business, Transportation and Housing Agency (BTH) and the shifting of a number of key programs to GO-Biz including the Small Business Loan Guarantee Program, the California Travel and Tourism Commission, the California Film Commission, the Film California First Program, and the Infrastructure and Economic Development Bank (IBank). Currently, GO-Biz administers the following programs and units:
- “Made In California” program for the purpose of encouraging consumer product awareness and to foster the purchases of products manufactured in California.
- The California Inclusive Innovation Hub Program (iHub2) to incubate and/or accelerate technology and science-based firms, with a focus on underserved regions and communities.
- The California Competes Tax Credit Program under which “businesses who want to come to California or stay and grow in California” can receive an income tax credit.
- The California Business Investment Services Unit, which provides no-fee, tailored site selection services to employers and others who may be considering California for relocation or expansion.
- The California Business Portal, which provides information to California businesses about common questions, permitting, financial options, and more.
- The California Community Reinvestment Grants Program, which was included in Proposition 64, authorized GO-Biz to award grants to local health departments and certain nonprofit organizations to support communities disproportionately affected by the War on Drugs.
- Office of the Small Business Advocate which provides information and assistance to small businesses.
- The Zero Emission Vehicles (ZEV) Infrastructure Unit which works to accelerate the deployment of ZEV infrastructure.
- The International Affairs and Business Development Unit, which serves as California’s primary point of contact for expanding international trade and investment relations. This unit focuses on foreign direct investment (services for foreign investors, foreign investment technical assistance, and the EB-5 Investor Visa Program), international trade promotion (STEP program, trade missions, export assistance, and the California-China Trade Office), and international agreements.
- Community Economic Resilience Fund and Employment Development Department Rapid Response. Existing efforts to collaborate on next steps following prison deactivations and closures to ensure workers and their families have access to income streams and support include, but are not limited to, the following: the Community Economic Resilience Fund (CERF) and the Employment Development Department Rapid Response.
In 2021, CERF was signed into law in AB 162 (Committee on Budget and Fiscal Review, Chapter 259, Statutes of 2021) and $600 million was allocated to CERF. According to the Governor’s Office of Planning and Research (OPR), “The CERF was created to promote a sustainable and equitable recovery from the economic distress of COVID-19 by supporting new plans and strategies to diversify local economies and develop sustainable industries that create high-quality, broadly accessible jobs for all Californians. Specifically, [CERF] would support communities and regional groups in producing regional roadmaps for economic recovery and transition that prioritize the creation of accessible, high-quality jobs in sustainable industries….” CERF has been developed by OPR in partnership with GO-Biz and the Labor & Workforce Development Agency.
Additionally, the Employment Development Department (EDD) rapid response is a way to protect employees and their families by providing notice prior to a mass layoff or a plant or large institution closing. For example, its Worker Adjustment and Retraining Notification (WARN) Act requires employers to give a 60-day notice to those affected employees and both state and local representatives before a plant closing or mass layoff. Advance notice permits employees and their families time to transition and adjust to the potential loss of employment, time to seek other jobs and, if necessary, time to obtain skills training to compete in the job market.
- Arguments in Support. Palo Verde College writes in support: “As part of his 2022-2023 budget plan, Governor Newsom directed the Department of Corrections and Rehabilitation to close Chuckawalla Valley State Prison (CVSP) in the City of Blythe. The Governor directed that a “resiliency plan” be developed for impacted employees providing them with hiring preferences at state agencies and other forms of employment and economic assistance. In the plan the Governor also announced the planned deactivation of portions of six other prisons.
New York, which has closed more than 20 prisons in the last 15 years, established the Prison Redevelopment Commission. The commission was tasked with finding new and creative ways to repurpose the vacant and often blighted correctional facilities it no longer used. By following in the footsteps of New York, California will ensure that communities affected by the closures can repurpose those sites to mitigate the negative impact on their local economies. While the Governor’s resiliency plan sought to address the immediate needs of the workforce affect by the prison closure, it did not address the economic impact on local economies. SB 418 seeks to address the repurposing of closed prison facilities so that they can continue to be assets and economic drivers for these rural, economically disadvantaged communities.”
- Policy Considerations.
Could The Efforts of This Bill Be Incorporated Into Existing Structures? The work undertaken by the newly created state body established in this bill could potentially be duplicative of existing efforts underway to engage communities impacted by CDCR facility deactivations and prison closures. According to CDCR, “Importantly, the Newsom Administration, through the Labor & Workforce Development Agency, [GO-Biz], and [OPR], expects to work directly with community stakeholders in Riverside County to help support workers and foster a bottom-up economic resilience plan for the community impacted by the closure of CVSP. This is similar to the announcement made on Dec. 1 on support services for the Susanville area—including a $1 million Rapid Response grant and other things—as a result of the upcoming closure of CCC.”
Is Funding a Barrier to Effective Implementation? Implementation of this measure and the creation of a stand-alone Commission could be jeopardized by a lack of dedicated funding. The Author should continue working to identify and secure proper funding to achieve the goals set out by this measure.
SUPPORT AND OPPOSITION:
Support:
California Community Economic Development Association
County of Riverside, Supervisor
Imperial Community College District
Palo Verde College
Palo Verde Community College District
Palo Verde Valley Transit Agency
Smart Justice California
Opposition:
None received
-- END --
SENATE COMMITTEE ON
BUSINESS, PROFESSIONS AND ECONOMIC DEVELOPMENT
Senator Richard Roth, Chair
2023 - 2024 Regular
Bill No: Hearing Date: March 27, 2023
Author: | |||
Version: | February 9, 2023 | ||
Urgency: | No | Fiscal: | Yes |
Consultant: | Dana Shaker | ||
Subject:
SUMMARY:
Establishes the California Prison Redevelopment Commission (the Commission), under the direction of the Director of the Governor’s Office of Business and Economic Development (GO-Biz), tasked with developing findings and recommendations for creative uses of closed prison facilities that will turn those sites into community assets.
NOTE:
Double-referral to the Senate Committee on Public Safety, second.
Existing law:
- Establishes GO-Biz for the purpose of serving as the lead state entity for economic strategy and marketing of California on issues relating to business development, private sector investment, and economic growth. (Government Code (GC) §§ 12096 – 12098.5)
- Authorizes GO-Biz as the lead entity for economic strategy and the marketing of California on issues relating to business development, private sector investment, and economic growth. Authorizes GO-Biz, in this capacity, to coordinate the development of policies and criteria to ensure that federal grants administered or directly expended by state government advance statewide economic goals and objectives. Authorizes GO-Biz to market the business and investment opportunities available in California by working in partnership with local, regional, federal, and other state public and private institutions to encourage business development and investment in the state. Authorizes GO-Biz to support small businesses by providing information about accessing capital, complying with regulations, and supporting state initiatives that support small business. (GC § 12096.3)
- Establishes the state prisons under the jurisdiction of the California Department of Corrections and Rehabilitation (CDCR). Requires the CDCR to begin reducing private in-state male contract correctional facilities and reducing the capacity of state-owned and operated prisons or in-state leased or contract correctional facilities, as specified. (GC § 12838 et seq.; California Penal Code § 2067)
This bill:
- Establishes the Commission, under the direction of the Director of GO-Biz and consisting of fifteen members, including, among others, representatives from the CDCR the Department of Finance, and the Department of General Services, and members appointed by the Governor, the Speaker of the Assembly, and the Senate Rules Committee, as specified.
- Requires the Commission to prepare a report, submitted to the Legislature by August 1, 2024, that delivers a set of clear and credible recommendations for creative uses of closed prison facilities that will turn those sites into community assets. Requires the report to include timeframes for each proposal; identification of key departments and partners and implementation guidance to better ensure the success of the redevelopment of these sites and economic revitalization of impacted communities and; recommendations that are tailored to the needs of the impacted local communities and that serve the larger economic interests of the state.
- In preparing the report, requires the Commission to engage regional leaders, stakeholders, and economic development, labor, health care, and business experts; consider and investigate clean energy opportunities and partnerships; identify economic development tools to attract investment and job creation and; identify economic opportunities for the local region built on community consensus.
- Repeals these provisions as of January 1, 2026, and makes related findings and the following declarations:
- Pursuant to the 2022–23 Budget Act and Section 2067 of the Penal Code, in December of 2022, Governor Newsom directed [CDCR] to close Chuckawalla Valley State Prison (CVSP) in the City of Blythe in March of 2025. In that order, the Governor directed that a “resiliency plan” be developed that engages impacted employees, provides them with state hiring preferences for all state agencies, and provides them with other forms of employment and economic assistance. In the order, the Governor also announced the planned deactivation of portions of six other prisons across the state.
- CVSP is located in a rural area of the state and represents a central economic driver in an otherwise economically disadvantaged community. The closure of the local prison will have a significant economic impact on the local community that welcomed a prison facility other communities shunned. While fiscal responsibility is driving the decision to close this facility, it is incumbent upon the State of California to develop and implement a community-based plan to redevelop that facility in a way that turns the site into a community asset. That locally driven redevelopment plan must also be coupled with economic incentives to grow investment and job creation in impacted communities. This plan can also serve as a blueprint if other facilities are required to close as a result of declining prison populations. That blueprint must be based on a community engagement process that solicits input from economic development experts, local leaders, and stakeholders.
FISCAL EFFECT:
Unknown. This bill is keyed fiscal by Legislative Counsel.
COMMENTS:
- Purpose. The Author is the Sponsor of this bill. According to the Author, “SB 418 would create the Prison Redevelopment Commission, to provide California with a detailed strategy to convert closed correctional facilities into local assets that are responsive to the needs and conditions of local communities. The bill would replicate steps already taken in New York, to address the negative economic impacts of closing prisons in rural underinvested communities by redeveloping the unprecedented number of closed and closing prisons in the state.”
- Prison Closures. According to CDCR, Deuel Vocational Institution in Tracy was deactivated on September 30, 2021 and California Correctional Center in Susanville, will close later this year. On December 6, 2022, CDCR announced plans to deactivate California City Correctional Facility in California City, which the state leases from a private entity, by March 2024, and Chuckawalla Valley State Prison in Blythe by March 2025. CDCR is also in the process of deactivating certain facilities in six prisons: Folsom Women’s Facility (expected deactivation January 2023); West Facility in California Men’s Colony (expected deactivation winter 2023); Facility C in Pelican Bay State Prison (expected deactivation winter 2023); Facility A in California Rehabilitation Center (expected deactivation spring 2023); Facility D in California Institution for Men (expected deactivation spring 2023) and; Facility D in California Correctional Institution (expected deactivation summer 2023).
- GO-Biz. In February 2010, the Little Hoover Commission undertook a review of the state's economic and workforce development programs. In its final report, Making up for Lost Ground: Creating a Governor's Office of Economic Development, it analyzed the status and effectiveness of current programs since the 2003 demise of the Technology, Trade and Commerce Agency and recommended the creation of a new governmental entity to fill the void left by the dismantled agency.
In April 2010, Governor Schwarzenegger issued Executive Order S-05-10 as a means to operationalize the report recommendations including the creation of the Governor's Office of Economic Development (GOED). In October 2011, the Governor signed AB 29 (John A. Pérez, Chapter 475, Statutes of 2011), which effectively codified GOED and changed its name to GO-Biz.
In March 2012, Governor Brown initiated a reorganization process to realign the state's administrative structure. Key changes include dismantling of the Business, Transportation and Housing Agency (BTH) and the shifting of a number of key programs to GO-Biz including the Small Business Loan Guarantee Program, the California Travel and Tourism Commission, the California Film Commission, the Film California First Program, and the Infrastructure and Economic Development Bank (IBank). Currently, GO-Biz administers the following programs and units:
- “Made In California” program for the purpose of encouraging consumer product awareness and to foster the purchases of products manufactured in California.
- The California Inclusive Innovation Hub Program (iHub2) to incubate and/or accelerate technology and science-based firms, with a focus on underserved regions and communities.
- The California Competes Tax Credit Program under which “businesses who want to come to California or stay and grow in California” can receive an income tax credit.
- The California Business Investment Services Unit, which provides no-fee, tailored site selection services to employers and others who may be considering California for relocation or expansion.
- The California Business Portal, which provides information to California businesses about common questions, permitting, financial options, and more.
- The California Community Reinvestment Grants Program, which was included in Proposition 64, authorized GO-Biz to award grants to local health departments and certain nonprofit organizations to support communities disproportionately affected by the War on Drugs.
- Office of the Small Business Advocate which provides information and assistance to small businesses.
- The Zero Emission Vehicles (ZEV) Infrastructure Unit which works to accelerate the deployment of ZEV infrastructure.
- The International Affairs and Business Development Unit, which serves as California’s primary point of contact for expanding international trade and investment relations. This unit focuses on foreign direct investment (services for foreign investors, foreign investment technical assistance, and the EB-5 Investor Visa Program), international trade promotion (STEP program, trade missions, export assistance, and the California-China Trade Office), and international agreements.
- Community Economic Resilience Fund and Employment Development Department Rapid Response. Existing efforts to collaborate on next steps following prison deactivations and closures to ensure workers and their families have access to income streams and support include, but are not limited to, the following: the Community Economic Resilience Fund (CERF) and the Employment Development Department Rapid Response.
In 2021, CERF was signed into law in AB 162 (Committee on Budget and Fiscal Review, Chapter 259, Statutes of 2021) and $600 million was allocated to CERF. According to the Governor’s Office of Planning and Research (OPR), “The CERF was created to promote a sustainable and equitable recovery from the economic distress of COVID-19 by supporting new plans and strategies to diversify local economies and develop sustainable industries that create high-quality, broadly accessible jobs for all Californians. Specifically, [CERF] would support communities and regional groups in producing regional roadmaps for economic recovery and transition that prioritize the creation of accessible, high-quality jobs in sustainable industries….” CERF has been developed by OPR in partnership with GO-Biz and the Labor & Workforce Development Agency.
Additionally, the Employment Development Department (EDD) rapid response is a way to protect employees and their families by providing notice prior to a mass layoff or a plant or large institution closing. For example, its Worker Adjustment and Retraining Notification (WARN) Act requires employers to give a 60-day notice to those affected employees and both state and local representatives before a plant closing or mass layoff. Advance notice permits employees and their families time to transition and adjust to the potential loss of employment, time to seek other jobs and, if necessary, time to obtain skills training to compete in the job market.
- Arguments in Support. Palo Verde College writes in support: “As part of his 2022-2023 budget plan, Governor Newsom directed the Department of Corrections and Rehabilitation to close Chuckawalla Valley State Prison (CVSP) in the City of Blythe. The Governor directed that a “resiliency plan” be developed for impacted employees providing them with hiring preferences at state agencies and other forms of employment and economic assistance. In the plan the Governor also announced the planned deactivation of portions of six other prisons.
New York, which has closed more than 20 prisons in the last 15 years, established the Prison Redevelopment Commission. The commission was tasked with finding new and creative ways to repurpose the vacant and often blighted correctional facilities it no longer used. By following in the footsteps of New York, California will ensure that communities affected by the closures can repurpose those sites to mitigate the negative impact on their local economies. While the Governor’s resiliency plan sought to address the immediate needs of the workforce affect by the prison closure, it did not address the economic impact on local economies. SB 418 seeks to address the repurposing of closed prison facilities so that they can continue to be assets and economic drivers for these rural, economically disadvantaged communities.”
- Policy Considerations.
Could The Efforts of This Bill Be Incorporated Into Existing Structures? The work undertaken by the newly created state body established in this bill could potentially be duplicative of existing efforts underway to engage communities impacted by CDCR facility deactivations and prison closures. According to CDCR, “Importantly, the Newsom Administration, through the Labor & Workforce Development Agency, [GO-Biz], and [OPR], expects to work directly with community stakeholders in Riverside County to help support workers and foster a bottom-up economic resilience plan for the community impacted by the closure of CVSP. This is similar to the announcement made on Dec. 1 on support services for the Susanville area—including a $1 million Rapid Response grant and other things—as a result of the upcoming closure of CCC.”
Is Funding a Barrier to Effective Implementation? Implementation of this measure and the creation of a stand-alone Commission could be jeopardized by a lack of dedicated funding. The Author should continue working to identify and secure proper funding to achieve the goals set out by this measure.
SUPPORT AND OPPOSITION:
Support:
Palo Verde College
Opposition:
None received
-- END --
Discussed in Hearing
5MIN
Assembly Standing Committee on Jobs, Economic Development, and the Economy
3MIN
Senate Floor
9MIN
Senate Standing Committee on Business, Professions and Economic Development
Bill Author
