Asm. Al Muratsuchi

The California Constitution authorizes a city or county to make and enforce within its limits all local, police, sanitary, and other ordinances and regulations not in conflict with general laws, which is also known as the police power. Existing law also authorizes a county or city to adopt a charter, as provided. The California Constitution authorizes a city governed under a charter make and enforce all ordinances and regulations in respect to municipal affairs and provides that, with respect to municipal affairs, a city charter supersedes all inconsistent laws. Under the California Constitution, the power to regulate land use is within the scope of the police power, and is also generally considered to be a municipal affair, for purposes of these provisions. This measure would provide that a county or city ordinance or regulation enacted under the police power that regulates the zoning or use of land within the boundaries of the county or city would prevail over conflicting general laws, with specified exceptions. The measure, in the event of the conflict with a state statute, would also specify that a city charter provision, or an ordinance or regulation adopted pursuant to a city charter, that regulates the zoning or use of land within the boundaries of the city is deemed to address a municipal affair and prevails over a conflicting state statute, except that the measure would provide that a court may determine that a city charter provision, ordinance, or regulation addresses either a matter of statewide concern or a municipal affair if it conflicts with specified state statutes. The measure would make findings in this regard and provide that its provisions are severable.

(1) Existing law establishes the Office of Small Business Advocate (CalOSBA) within the Governor's Office of Business and Economic Development, also known as GO-Biz, to advocate for causes of small business and to provide small businesses with the information they need to survive in the marketplace. Existing law prescribes the duties and functions of the Small Business Advocate, who is also the Director of the Office of Small Business Advocate. This bill would establish the California Small Business COVID-19 Relief Grant Program within CalOSBA to assist qualified small businesses affected by COVID-19 through administration of grants. The bill would require CalOSBA to provide grants to qualified small businesses, as defined, in accordance with specified criteria, including geographic distribution based on COVID-19 restrictions, industry sectors most impacted by the pandemic, and underserved small businesses. The bill would repeal these provisions on January 1, 2024. This bill would appropriate $2,075,000,000 from the General Fund to the Golden State Stimulus Emergency Fund to be transferred to the Office of Small Business Advocate for purposes of the program, and would allocate $50,000,000 of those funds for eligible nonprofit cultural institutions, as defined. (2) The Personal Income Tax Law and the Corporation Tax Law, in conformity with federal income tax law, generally define "gross income" as income from whatever source derived, except as specifically excluded, and provide various exclusions from gross income. This bill would exclude, for taxable years beginning on or after January 1, 2020, and before January 1, 2030, from gross income specified grant allocations, including grant allocations received by a taxpayer pursuant to a grant program funded by Executive Order No. 20/21-182 and pursuant to the California Small Business COVID-19 Relief Grant Program. The bill would authorize the Franchise Tax Board to adopt regulations that are necessary and appropriate to implement the exclusions, and would provide the Administrative Procedure Act does not apply to any regulation, standard, criterion, procedure, determination, rule, notice, guideline, or any other guidance established or issued by the board pursuant to the exclusions. The bill would also authorize the board to include in audits the grants that are excluded from gross income by the bill's provisions. The bill would set forth procedures for recapturing grant amounts if CalOSBA determines that the grantee has failed to meet the criteria for a qualified small business. (3) This bill would also make findings and declarations related to a gift of public funds. (4) This bill would declare that it is to take effect immediately as a bill providing for appropriations related to the Budget Bill.