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. The Legislature finds and declares the following:
(a) The United States and Mexican economies have become
increasingly integrated, particularly since the 1994 adoption of the
North American Free Trade Agreement, or NAFTA.
(b) As the second largest United States exporter to Mexico,
California has the potential to increase its exports at a faster pace
and capitalize on Mexico's growing economy.
(c) In 2012, the value of California's exports to Mexico totaled
$26.3 billion, equivalent to more than one and one-half times
California's trade with its closest trade partner Canada, at $17.2
billion, and almost twice its second closest trade partner, China, at
$13.9 billion.
(d) The relationship between Mexico and California generates over
$20.9 billion per year for California.
(e) According to the United States Chamber of Commerce, trade with
Mexico in 2010 represented 692,240 California jobs, making
California the state with the most trade-related jobs with Mexico in
the United States. California is the second largest exporter to
Mexico among the 50 states, ranking behind Texas.
(f) Among California's international trading partners, only Mexico
shares a border with California. In fact, California has four major
international border crossings supporting the movement of both
persons and goods: San Ysidro, Otay Mesa, Tecate, and Calexico. Of
these, Otay Mesa and Calexico accommodate the largest volume of
trade. Otay Mesa is the largest California crossing, ranking sixth in
the nation. In 2010, these California gateways with Mexico moved
$46.9 billion in merchandise.
(g) At issue is border crossing delays between Mexico and the
United States along the Imperial County-Baja California border.
(h) In California, losses due to border crossing delays accounted
for an estimated revenue loss of $1.16 billion and 25,000 jobs in
2008.
(i) While California remains the largest recipient of foreign
domestic investment (FDI) in the United States, faster FDI is
occurring elsewhere.
(j) Despite this critical economic relationship, California has
not had a formal mechanism for the past decade devoted to maximizing
trade, addressing challenges, and coordinating cross-border programs
for trade development between the two countries. This has left
California employers and businesses without formal access to Mexican
government officials, a major disadvantage to California's trade
industries.
(k) In 2006, the Office of California-Mexico Affairs was
established to further and develop favorable relations with Mexican
states by cooperating with similar organizations and agencies
situated within California, the United States, or Mexico. Important
areas of activity include, but are not limited to, enhancing economic
development opportunities among the participating states, improving
working conditions and living standards, and fostering the protection
and improvement of the environment in Mexico and California.
(l) To help carry out these duties the California-Mexico Border
Relations Council was also established to identify new border
priorities and fundable projects in the areas of infrastructure,
trade, environment, health, and security while supporting current and
ongoing activities such as the Border Governors Conference, trade
missions, and border workgroups, and coordinating specific future
projects with Mexico. Priorities and projects identified by the
California-Mexico Border Relations Council shall be funded pursuant
to Section 71101 of the Public Resources Code, establishing the
California Border Environmental and Public Health Protection Fund.
(m) It is critical for California that state agencies continue to
address important United States-Mexico issues.
(n) Furthermore, California should maximize its economic
relationship with Mexico to improve the state's economy, to maximize
the amount of exports, and create more California jobs.
(o) Therefore, the Legislature finds that California needs a
formalized trade relationship with Mexico. Establishing an official
trade relationship with Mexico will help ensure that the state can
improve its global competitiveness and protect California industry,
proactively support the expansion and location of businesses in
California, provide international business assistance to California
businesses, and support their entry and successful participation in
the growing Mexican marketplace.
(p) The California-Mexico Border Relations Council provides a
focal point in state government to serve as a clearinghouse for
information and assistance to other state agencies that are involved
with Mexico.