BILL NUMBER: AB 439	CHAPTERED  08/01/08

	CHAPTER  210
	FILED WITH SECRETARY OF STATE  AUGUST 1, 2008
	APPROVED BY GOVERNOR  AUGUST 1, 2008
	PASSED THE SENATE  JULY 2, 2008
	PASSED THE ASSEMBLY  JULY 14, 2008
	AMENDED IN SENATE  MAY 6, 2008
	AMENDED IN ASSEMBLY  JANUARY 24, 2008

INTRODUCED BY   Assembly Member Ma

                        FEBRUARY 16, 2007

   An act to amend Section 5008 of the Penal Code, relating to
prisoners.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 439, Ma. Inmates: funds.
   Existing law requires the Secretary of the Department of
Corrections and Rehabilitation to deposit any inmate funds in his or
her possession in trust with the Treasurer. However, upon written
authorization by an inmate, and subject to the approval of the
Department of Finance, the secretary may deposit those funds in
interest-bearing accounts or invest or reinvest the funds in any of
specified securities and for the purposes of deposit or investment
may only mingle the funds of any inmate with the funds of other
inmates.
   This bill would delete the above requirement that an inmate give
specific authorization for, and that the Department of Finance give
approval for, any deposit, investment, or reinvestment of those
funds. The bill would also require the secretary to deposit those
funds in interest-bearing accounts or invest or reinvest the funds in
any of specified securities.
   Existing law also requires the Secretary of the Department of
Corrections and Rehabilitation to deposit the interest or increment
accruing on those funds in the Inmate Welfare Fund and to deposit the
interest or increment accruing on the funds of a parolee in his or
her account.
   This bill would delete the above provisions. The bill would
instead specify that any interest or increment accruing on those
funds, less expenses incurred in the investment, would be deposited
in individual inmate or parolee trust accounts on a proportional
basis depending on the amount of funds each individual inmate or
parolee account has on deposit. The bill would also make technical,
nonsubstantive changes to those provisions.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 5008 of the Penal Code is amended to read:
   5008.  The Secretary of the Department of Corrections and
Rehabilitation shall deposit any funds of inmates in his or her
possession in trust with the Treasurer pursuant to Section 16305.3 of
the Government Code. However, the Secretary of the Department of
Corrections and Rehabilitation, shall deposit those funds of inmates
in interest-bearing bank accounts or invest or reinvest the funds in
any of the securities that are described in Article 1 (commencing
with Section 16430) of Chapter 3 of Part 2 of Division 4 of Title 2
of the Government Code and for the purposes of deposit or investment
only may mingle the funds of any inmate with the funds of other
inmates. Any interest or increment accruing on those funds, less
expenses incurred in the investment, shall be deposited in individual
inmate or parolee trust accounts on a proportional basis depending
upon the amount of funds each individual inmate or parolee account
has on deposit.