SACRAMENTO – Assembly Labor and Employment Committee Chair Sandré R. Swanson's (D-Oakland) bill to grant incentives to businesses that locate on former military bases successfully passed the Assembly Committee on Jobs, Economic Development and the Economy.  Yesterday, on a unanimous bi-partisan vote, Mr. Swanson's AB 579 cleared its first major hurdle in 2008. 

"I am extremely pleased with the outcome of today's committee hearing," Mr. Swanson stated.  "AB 579 provides local agencies and communities an opportunity to take ownership over the planning process for these long-abandoned bases.  This bill eliminates restrictions on the job development process by rewarding new businesses in their efforts to revitalize the surrounding communities adversely impacted by base closures."

Assemblymember Swanson's bill will provide a much needed fix to existing law for local agency military base recovery areas (LAMBRAs).  Currently, seven LAMBRAs exist throughout California, including the former Naval Air Station (Alameda Point), in the City of Alameda, in addition to Norton Air Force Base in San Bernardino, Tustin Marine Corps Air Station, George Air Force Base in Victorville, Mather Field and McClellan Air Force Base in Sacramento, San Diego Naval Training Center, and Mare Island in Vallejo.  AB 579 will provide prospective businesses more certainty in the process of receiving tax credits for capital outlay purchases in an effort to increase jobs and help revitalize the regional economy.  Additionally, this bill will require that local jurisdictions update their military base economic development plans to include an assessment of community strengths, project goals, and strategies for the hiring and retention of employees in the surrounding communities.

"Over a decade ago, the California Legislature passed critical legislation to revitalize these abandoned bases.  But due to a number of factors, including the slow pace of coordination between local and federal agencies, site remediation, and multiple timeline requirements, the process of bringing housing and businesses to these sites has slowed significantly," Mr. Swanson said.

Libby Day, the LAMBRA Coordinator for the City of San Diego added, "This bill provides much-needed clarity for businesses and gives our local agencies another tool in developing communities that provide jobs, housing, and economic vitality.  We have seen that when local communities and businesses are engaged in a unified vision everybody wins."

Mr. Swanson concluded, "I am confident that this bill will provide the necessary momentum for positive economic growth during challenging economic times.  We are under utilizing the vast resources available by closed military bases in California.  We need to effectively partner with the federal government and the business community to ensure that we can create and sustain economic and employment opportunities for the surrounding communities.  In the long-run, this helps create viable jobs in communities that have experienced the economic drain created by military base closures.”