BILL ANALYSIS Senate Appropriations Committee Fiscal Summary Senator Christine Kehoe, Chair 1829 (Cook) Hearing Date: 08/02/2010 Amended: 07/15/2010 Consultant: Maureen Ortiz Policy Vote: VA: 4-0 Pub Saf: 7-0 _________________________________________________________________ ____ BILL SUMMARY: AB 1829 increases the penalty from an infraction to a misdemeanor, and moves it from the Military and Veterans Code to the Penal Code, for representing oneself as a recipient of any military decoration with the intent to defraud. _________________________________________________________________ ____ Fiscal Impact (in thousands) Major Provisions 2010-11 2011-12 2012-13 Fund Enforcement ----------unknown, potentially offset by fines-------- Local _________________________________________________________________ ____ STAFF COMMENTS: Under current law, a person who falsely represents himself or herself as having been awarded any military decoration is guilty of an infraction. This bill increases the penalty to a misdemeanor unless the person is a veteran of the armed forces, in which case the penalty could be an infraction or a misdemeanor. Also under current law, a person who falsely represents himself or herself as a veteran with the intent to defraud is guilty of a misdemeanor. Violations include false wearing decorations, medals, badges, ribbons, and insignia not authorized by the state militia. The federal Stolen Valor Act which was enacted in 2006 was recently ruled unconstitutional on the basis that it infringed on personal freedoms. On July 16, 2010, a federal judge in Denver ruled the Stolen Valor Act is "facially unconstitutional" because it violates free speech and dismissed the criminal case against an individual who lied about being an Iraq war veteran. The individual was charged with five misdemeanors related to violating the Act - specifically, making false claims about receiving military decorations. Staff notes that a person who commits fraud under the provisions of this bill would likely be subject to existing fraud laws that purport "to deceive another person so as to either to cause a loss of money, goods, or services, or something else of value, or to cause damage to, a legal, financial, or property right" is a crime.