BILL NUMBER: AB 624 AMENDED
BILL TEXT
AMENDED IN SENATE MAY 7, 2008
AMENDED IN SENATE MARCH 3, 2008
AMENDED IN SENATE FEBRUARY 12, 2008
AMENDED IN ASSEMBLY JANUARY 23, 2008
INTRODUCED BY Assembly Member Coto
( Principal coauthor: Senator
Oropeza )
(Coauthors: Assembly Members Dymally and Lieu)
FEBRUARY 21, 2007
An act to add Section 5081 to the Corporations Code, and to add
Section 16065 to the Probate Code, relating to private foundations.
LEGISLATIVE COUNSEL'S DIGEST
AB 624, as amended, Coto. Foundations: diversity.
Existing law regulates the administration of nonprofit
corporations and trusts that are deemed to be private foundations, as
defined under federal tax law, and requires these private
foundations to distribute their income for each taxable year so as
not to subject the private foundation or its property to specified
federal tax requirements. Existing law requires these entities to
prepare specified annual reports.
This bill would require a private, corporate, or public operating
foundation that is incorporated in this state with assets
over $250,000,000 to collect specified data pertaining to its
governance and domestic grantmaking. The bill would require this
information to include the racial and gender composition of the board
of directors and staff of the foundation; if applicable, the number
of grants and grant dollars awarded to organizations specifically
serving specified ethnic minority
communities, lesbian, gay, bisexual, and transgender communities,
disabled communities, and other underrepresented
communities; the number of grants and grant dollars awarded to
organizations where 50% or more of the board members or staff are
ethnic minorities; and the number of grants and grant dollars awarded
to predominantly low-income communities. The bill would require a
foundation to disclose this information via its Internet Web site, if
available, and to include this information in its annual report, as
specified.
Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 5081 is added to the Corporations Code, to
read:
5081. (a) Notwithstanding any other provision of law, a
corporation, during any period or periods that it is deemed to be a
private, corporate, or public operating foundation incorporated
in the State of California , shall collect the following
information:
(1) The racial composition of its board of directors, including
the number and percentage of board members that are African-American,
Asian-American, Pacific Islander, Caucasian, Latino, Native
American, and Alaskan Native.
(2) The gender composition of its board of directors, including
the number and percentage of board members who are male and female.
(3) The racial composition of the foundation's staff, including
the number and percentage of full-time equivalent staff members that
are African-American, Asian-American, Pacific Islander, Caucasian,
Latino, Native American, and Alaskan Native.
(4) The gender composition of the foundation's staff, including
the number and percentage of staff who are male and female.
(5) The number and percentage of business contracts awarded to
businesses owned by African-Americans, Asian-Americans, Pacific
Islanders, Caucasians, Latinos, Native Americans, and Alaskan
Natives.
(6) If applicable, the number of grants and grant dollars awarded
to organizations specifically serving African-American,
Asian-American, Pacific Islander, Caucasian, Latino, Native American,
and Alaskan Native communities, lesbian, gay, bisexual, and
transgender communities , disabled communities, and other
underrepresented communities.
(7) The number of grants and grant dollars awarded to
organizations where 50 percent or more of the board members are
ethnic minorities.
(8) The number of grants and grant dollars awarded to
organizations where 50 percent or more of the full-time equivalent
staff are ethnic minorities.
(9) The number of grants and grant dollars awarded to
predominantly low-income communities.
(b) The information collected pursuant to subdivision (a) shall be
posted on the foundation's Internet Web site, if available, and
included in its annual report in a section labeled "DIVERSITY."
(c) This section shall only apply to foundations incorporated
in the State of California with assets over two hundred fifty
million dollars ($250,000,000) and shall apply only to a foundation's
domestic grants.
(d) For purposes of this section, "organization" means an
organization described in Section 501(c)(3) of the Internal Revenue
Code.
SEC. 2. Section 16065 is added to the Probate Code, to read:
16065. (a) Notwithstanding any other provision of law, a trust,
during any period or periods that it is deemed to be a private,
corporate, or public operating foundation incorporated in the
State of California , shall collect the following information:
(1) The racial composition of its board of trustees or directors,
including the number and percentage of board members that are
African-American, Asian-American, Pacific Islander, Caucasian,
Latino, Native American, and Alaskan Native.
(2) The gender composition of its board of trustees or directors,
including, the number and percentage who are male and female.
(3) The racial composition of the charitable trust or foundation's
staff, including the number and percentage of full-time equivalent
staff members that are African-American, Asian-American, Pacific
Islander, Caucasian, Latino, Native American, and Alaskan Native.
(4) The gender composition of the charitable trust or foundation's
staff, including the number and percentage who are male and female.
(5) The number and percentage of business contracts awarded to
businesses owned by African-Americans, Asian-Americans, Pacific
Islanders, Caucasians, Latinos, Native Americans, and Alaskan
Natives.
(6) If applicable, the number of grants and grant dollars awarded
to organizations specifically serving African-American,
Asian-American, Pacific Islander, Caucasian, Latino, Native American,
and Alaskan Native communities, lesbian, gay, bisexual, and
transgender communities , disabled communities, and other
underserved communities.
(7) The number of grants and grant dollars awarded to
organizations where 50 percent or more of the board members are
ethnic minorities.
(8) The number of grants and grant dollars awarded to
organizations where 50 percent or more of the full-time equivalent
staff are ethnic minorities.
(9) The number of grants and grant dollars awarded to
predominantly low-income communities.
(b) The information collected pursuant to subdivision (a) shall be
posted on the foundation's Internet Web site, if available, and
included in its annual report in a section labeled "DIVERSITY."
(c) This section shall only apply to foundations incorporated
in the State of California with assets over two hundred fifty
million dollars ($250,000,000) and shall apply only to a foundation's
domestic grants.
(d) For purposes of this section, "organization" means an
organization described in Section 501(c)(3) of the Internal Revenue
Code.