Two California Chamber of Commerce-supported job creator bills are on their way to Governor Edmund G. Brown Jr.’s desk.
- AB 2664 (Irwin; D-Thousand Oaks) provides resources for Californians who are establishing a new business by providing the University of California (UC) with funds to expand its capacity and increase access to its innovation and entrepreneurship centers, which provide incubator space, legal services, entrepreneur training and more for researchers and other individuals looking to develop innovative solutions.
- SB 936 (Hertzberg; D-Van Nuys) encourages creation of small business by expanding their access to loans, which helps them grow.
Both bills have received unanimous support throughout the legislative process.
AB 2664, Increased Innovation and Entrepreneurship
The bill will direct funding for the University of California (UC) system to support activities to expand or accelerate economic development that benefits entrepreneurs.
The UC’s innovation and entrepreneurship centers provide incubator space, legal services, entrepreneurial training and more for researchers and other individuals looking to establish new businesses and develop innovative products and solutions that benefit Californians.
These centers have a proven track record for helping to turn ideas into companies that provide jobs for Californians and help drive the state’s economy. AB 2664 would help the centers expand to keep up with the growing need for workspace and training for start-ups, and help attract private sector investors.
In exchange, the state will benefit from increased economic activity and job growth, as well as from the innovative solutions new companies are able to bring to market due to the help they receive from the UC system.
SB 936, Loan Access
SB 936 (Hertzberg; D-Van Nuys) encourages small business growth through the expanded availability of loans through the Infrastructure and Economic Development Bank’s (IBank) California Small Business Loan Guarantee Program (SBLGP).
The SBLGP helps businesses create and retain jobs. It promotes statewide economic development by supporting loans issued to small businesses that otherwise would not qualify. Small businesses establish a favorable credit history with a lender under this program and then are able to obtain future loans on their own. The program has been in place since 1968 with almost no defaults.
SB 936 increases the IBank’s ability to leverage state and federal funding, thus incentivizing private lending and economic investments. The SBLGP uses state and federal funding to create a loan loss reserve, which reduces the risk of lending to small businesses.