BILL ANALYSIS                                                                                                                                                                                                    






                           SENATE JUDICIARY COMMITTEE
                        Senator Ellen M. Corbett, Chair
                           2007-2008 Regular Session


          SB 1696                                                S
          Senator Yee                                            B
          As Introduced
          Hearing Date: March 25, 2008                           1
          Government Code                                        6
          JR/GMO:rm                                              9
                                                                 6

                                     SUBJECT
                                         
                   California Public Records Act:  Disclosure

                                   DESCRIPTION  

          The bill would prohibit a state or local agency from  
          allowing another party to control the disclosure of  
          information that is otherwise subject to disclosure under  
          the California Public Records Act (CPRA).  In addition, the  
          bill would specify that regardless of any contract term to  
          the contrary, a contract for the purpose of conducting a  
          review, audit, or report between a private entity and a  
          state or local agency, including the University of  
          California (UC), is subject to the same disclosure  
          requirements and exceptions as other public records under  
          the CPRA.

          (This analysis reflects author's amendments to be offered  
          in committee.)

                                    BACKGROUND  

          The CPRA states that "access to information concerning the  
          conduct of the people's business is a fundamental and  
          necessary right of every person in this state." (Government  
          Code Section 6250. All references are to this code unless  
          otherwise indicated.)  The CPRA provides that public  
          records are subject to disclosure and must be made  
          available to the public unless that type of record is  
          exempt from disclosure. (Sec. 6254.)  The policy of the act  
          strongly favors disclosure of public records.  (  San Lorenzo  
                                                                 
          (more)



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          Valley Community Advocates for Responsible Education v. San  
          Lorenzo Valley Unified School District  (2006), 139  
          Cal.App.4th 1356.)   

          The CPRA defines a "public record" as a "writing containing  
          information relating to the conduct of the public's  
          business prepared, owned, used, or retained by any state or  
          local agency regardless of physical form or  
          characteristics."  (Sec. 6252.)  The CPRA allows 10 days  
          for an agency to respond to a request to inspect. (Sec.  
          6253.)  Public records are open to inspection at all times  
          during the office hours of the state or local agency.  

          In 2004, Proposition 59 created the constitutional right to  
          access public records with the presumption favoring  
          disclosure and that statutory exemptions allowing for  
          non-disclosure must be narrowly read. (California  
          Constitution, Article 1, Section 3.)  The CPRA includes 29  
          general categories of records that are expressly exempt  
          from public disclosure.  These categories are based on the  
          character of the information in the records.  In addition,  
          the CPRA has a catch-all exemption which provides that  
          records are not subject to disclosure when the public's  
          interest in non-disclosure clearly outweighs the public's  
          interest in disclosure.  (Sec. 6255.)  This public interest  
          exemption is based on the facts of the particular case.    
          The court conducts a balancing test to determine when a  
          record must be disclosed.

                             CHANGES TO EXISTING LAW
           
           Existing law  , the CPRA, requires that a state or local  
          agency make all public records available for inspection  
          upon request by a person, subject to specified exemptions.   
          (Secs. 6253 and 6254.)

           This bill  would provide that a state or local agency may  
          not allow another party to control the disclosure of  
          information that is otherwise subject to disclosure under  
          the CPRA.

           This bill  would declare this to be existing law.

           Existing law  , provides exemptions for public records from  
          disclosure under the CPRA.  Some exemptions include:   
                                                                       




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          personnel, medical, or similar files, the disclosure of  
          which would constitute an unwarranted invasion of personal  
          privacy; records pertaining to pending litigation; employee  
          relations records; and major risk medical insurance program  
          records.  (Sec. 6254.)

           This bill  would provide that a contract, regardless of any  
          contract term to the contrary, for the purpose of  
          conducting a review, audit, or report, between a private  
          entity and a state or local agency, including the  
          University of California, is subject to the same disclosure  
          requirements and exemptions as other public records under  
          the CPRA.
                                         







                                    COMMENT
           
           1.Author's Amendments

           The author has offered the following amendments to Sections  
            1 and 2 of the bill:

               SEC.1. Section 6253.3 is added to the Government Code,  
               to read:
                  6253.3.  A state or local agency may not  , by  
               confidentiality agreement or other contract, make  
               information confidential or disclosable only with   
               permission of the other party to the contract if that   
               allow another party to control the disclosure of  
               information that is otherwise subject to disclosure  
               pursuant to this chapter.

               SEC. 2.  Section 6253.31 is added to the Government  
               Code, to read: 
                   6253.31.  Notwithstanding any contract term to the  
               contrary, any  Any   contract entered into by a state or  
               local agency subject to this chapter, including the  
               University of California, that requires a private  
               entity to review, audit, or report on any aspect of  
                                                                       




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               that agency shall be public to the extent the contract  
               is otherwise  and  subject to disclosure under this  
               chapter.  
           
          2.    Need for the bill

             The author seeks to clarify existing law in order to  
            prevent recurrence of a CPRA-related incident involving  
            the University of California at San Francisco (UCSF) in  
            January 2008.  The San Francisco Chronicle submitted a  
            CPRA request to UCSF for a copy of an independent audit  
            of the school's finances.  UCSF denied the request and  
            did not release the report or the name of the firm it had  
            hired to conduct the financial review, claiming that the  
            contract between UCSF and the private auditing firm  
            required the latter's consent before the report could be  
            shared.  In February 2008, UCSF released both the name of  
            the firm and the report.

          3.    State agency may not make information confidential by  
            agreeing not to disclose without prior consent of another  
            party

             The CPRA is very clear in its language: all records of  
            state and local agencies are open and may be accessed by  
            the public unless the record or information contained in  
            the record is exempt.  Thus, any attempt to circumvent  
            the open records requirement of CPRA (and Article 1,  
            Section 3 of the California Constitution) by an agreement  
            or a provision in an agreement that the information could  
            not be disclosed without the consent of the other party  
            or parties is a violation of the CPRA, if the record or  
            information is not exempt from disclosure.  The test of  
            whether a record or information is subject to disclosure  
            is contained in the CPRA itself:  there are some 29  
            exemptions, and each exemption characterizes the  
            information or record that is being protected from  
            disclosure.

            SB 1696 would prohibit a state or local agency from  
            allowing another party to control the disclosure of  
            information, since that would involve the other party  
            making the determination of whether or not the  
            information is exempt from or subject to disclosure.

                                                                       




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            Given that a state or local agency is in fact the party  
            responsible for disclosing information or denying a  
            request for access based on an exemption under the CPRA,  
            the language contained in Section 1 of the bill (as  
            amended by author's amendments in Comment 1) would be  
            consistent with existing law.

          4.    Contract with private entity for audit, review, or  
            report on state agency, including UC, is subject to  
            disclosure  

            Section 2 of the bill would specify that regardless of  
            any contract term to the contrary, a contract for the  
            purpose of conducting a review, audit, or report between  
            a private entity and a state or local agency, including  
            the UC, is subject to the same disclosure requirements  
            and exceptions as all other public records under the  
            CPRA.  

            Under the CPRA, a "public record" is defined as a  
            "writing containing information relating to the conduct  
            of the public's business prepared, owned, used, or  
            retained by any state or local agency regardless of  
            physical form or characteristics."  (Sec. 6252.)  The  
            definition of "public record" is broad and is meant to  
            cover every conceivable kind of record that is involved  
            in the governmental process.  (  Versaci v. Superior Court   
            (2005), 127 Cal.App.4th  805.)  Clearly, a contract to  
            audit, review, or report on any aspect of a state or  
            local agency would fit within the definition of a "public  
            record."  However, to avoid the re-occurrence of the  
            incident with UCSF, SB 1696 makes it clear that this type  
            of contract is subject to disclosure under the CPRA.

            The language of Section 2 specifically refers to the  
            University of California, to ensure that the university  
            is subject to its provisions.  Because the UC is a  
            creature of the constitution, it is exempt from a variety  
            of laws, rules, and regulations that affect state and  
            local agencies.  Therefore, the UC must be specifically  
            included in the language of a statute, if it is expected  
            to apply to the university.

           5.Arguments in Support

                                                                       




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           Supporters of SB 1696 contend that this bill helps provide  
            disclosure under the CPRA.  Referring to the UCSF  
            incident, the California Newspaper Publishers Association  
            states, "[t]he denial of a request by a government agency  
            claiming that a provision in an agreement prevents it  
            from executing its duties under the law stands this  
            central tenet of the CPRA on its head? SB 1696 would  
            block this ? strategy while safeguarding the essential  
            principles of public accessibility and accountability in  
            the CPRA that have been established for 40 years."

          The Foundation for Taxpayer and Consumer Rights contend  
            that this bill "would remove any possible doubt about the  
            administrators' responsibilities to the public.  It is  
            unfortunate that the UC officials must be reminded of  
            their obligations as public servants, but clearly this is  
            the case."
           
           The American Federation of State, County and Municipal  
            Employees (AFSCME) Local 3299 believe that "it is crucial  
            that the public have the right to obtain information on  
            government agencies if there is to be true oversight of  
            public agencies.  [This] legislation is crucial to  
            ensuring that state and local agencies, including the  
            University of California, are not able to shield  
            information from the public by simply entering into  
            confidentiality agreements [that allow the other party to  
            control disclosure of information]."
            
           Support:      American Federation of State, County and  
                   Municipal Employees (AFSCME) Local 3299;  
                   California Newspaper Publishers Association;
                   California Nurses Association; The Foundation for  
                   Taxpayer and Consumer Rights; 1 individual

          Opposition:  None Known
                                         
                                    HISTORY
           
          Source:  Author (Co-Sponsor); American Federation of State,  
                County and Municipal Employees (AFSCME) (Co-Sponsor)

          Related Pending Legislation:   AB 1978 (Solorio) would  
                                exempt computer mapping data and  
                                tools from the CPRA.  This bill has  
                                                                       




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                                been referred to the Assembly  
                                Committees on Governmental  
                                Organizations and Local Government.

          Prior Legislation:  None Known


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