BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                   SB 898|
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          |1020 N Street, Suite 524          |                         |
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                              UNFINISHED BUSINESS


          Bill No:  SB 898
          Author:   Simitian (D)
          Amended:  9/6/07
          Vote:     21

           
           PRIOR VOTES NOT RELEVANT
           
           ASSEMBLY FLOOR  :  60-8, 9/11/07 - See last page for vote


           SUBJECT :    Income tax checkoffs

           SOURCE  :     Author


           DIGEST  :     Assembly Amendments  delete the Senate version of  
          the bill relating to solid waste.  This bill now extends  
          the sunset dates for two voluntary contribution funds  
          contained on the personal income tax return.  Specifically,  
          this bill extends the sunset date for (1) the State  
          Children's Trust Fund for the Prevention of Child Abuse  
          from January 1, 2008, to January 1, 2013, and (2) the Rare  
          and Endangered Species Preservation Program from January 1,  
          2008, to January 1, 2013. 

           ANALYSIS  :    

          Existing law: 

          1. Allows taxpayers to designate on their personal income  
             tax (PIT) returns a contribution to any of 14 voluntary  
             contribution funds (VCFs). 
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                                                                SB 898
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          2. Provides for the automatic repeal, on January 1, 2008,  
             of the statutes authorizing the Children's Trust Fund  
             and the Preservation Program. 

          3. Provides that moneys transferred to the Children's Trust  
             Fund shall be allocated to the Department of Social  
             Services for innovative child abuse and neglect  
             prevention and intervention programs. 

          4. Provides that moneys transferred to the Preservation  
             Program shall be allocated to the Department of Fish and  
             Game for various programs for endangered and rare  
             animals and plant species. 

           Comments

           Both the Children's Trust Fund and the Preservation Program  
          have enjoyed significant success as VCFs.  Each of these  
          funds first appeared on the PIT return in 1983.  The  
          Franchise Tax Board reports that in 2006, the Children's  
          Trust Fund received $562,286 in contributions, while the  
          Preservation Program received $555,062.  Assembly  
          Appropriations Committee staff note that, without this  
          bill, the statutes authorizing these funds will both sunset  
          on January 1, 2008. 

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  No

          Assembly Appropriations Committee staff estimate that the  
          itemized deductions permitted under these two VCFs could  
          lead to annual revenue losses of $60,000. 

           ASSEMBLY FLOOR  : 
          AYES:  Adams, Aghazarian, Arambula, Bass, Beall, Benoit,  
            Berg, Blakeslee, Brownley, Caballero, Charles Calderon,  
            Carter, Coto, Davis, De La Torre, De Leon, DeSaulnier,  
            DeVore, Dymally, Eng, Evans, Feuer, Fuentes, Gaines,  
            Galgiani, Garcia, Hancock, Hayashi, Hernandez, Horton,  
            Houston, Huffman, Jones, Keene, Krekorian, Laird, Leno,  
            Levine, Lieber, Lieu, Ma, Mendoza, Mullin, Nava, Parra,  
            Plescia, Portantino, Price, Ruskin, Salas, Saldana,  
            Smyth, Solorio, Soto, Spitzer, Swanson, Torrico, Tran,  







                                                                SB 898
                                                                Page  
          3

            Wolk, Nunez
          NOES:  Anderson, Duvall, Emmerson, Fuller, La Malfa,  
            Niello, Silva, Villines
          NO VOTE RECORDED:  Berryhill, Cook, Garrick, Huff,  
            Jeffries, Karnette, Maze, Nakanishi, Sharon Runner,  
            Strickland, Walters, Vacancy

          DLW:mw  9/18/07   Senate Floor Analyses 

                       SUPPORT/OPPOSITION:  NONE RECEIVED

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