BILL ANALYSIS SB 830 Page 1 SENATE THIRD READING SB 830 (Wright) As Amended August 2, 2010 Majority vote SENATE VOTE :36-0 PUBLIC SAFETY 7-0 APPROPRIATIONS 17-0 ----------------------------------------------------------------- |Ayes:|Ammiano, Hagman, Beall, |Ayes:|Fuentes, Conway, | | |Gilmore, Hill, | |Bradford, | | |Portantino, Skinner | |Huffman, Coto, Davis, De | | | | |Leon, Gatto, Hall, | | | | |Harkey, Miller, Nielsen, | | | | |Norby, Skinner, Solorio, | | | | |Torlakson, Torrico | |-----+--------------------------+-----+--------------------------| | | | | | ----------------------------------------------------------------- SUMMARY : Expands the definition of a "recording" for the purposes of prosecution for failing to disclose the origin of a recording when utilizing the recording for financial gain, as specified. Specifies that "recordings" shall include memory cards, flash drives, hard-drives, or data storage devices. EXISTING LAW : 1)States that a person is guilty of failure to disclose the origin of a recording or audiovisual work if, for commercial advantage or private financial gain, he or she knowingly advertises or offers for sale or resale, or sells or resells, or causes the rental, sale or resale, or rents, or manufactures, or possesses for these purposes, any recording or audiovisual work, the cover, box, jacket, or label of which does not clearly and conspicuously disclose the actual true name and address of the manufacturer thereof and the name of the actual author, artist, performer, producer, programmer, or group thereon. This section does not require the original manufacturer or authorized licensees of software producers to disclose the contributing authors or programmers. 2)Defines "recording" as any tangible medium upon which information or sounds are recorded or otherwise stored, SB 830 Page 2 including any phonograph record, disc, tape, audio cassette, wire, film, or other medium on which information or sounds are recorded or otherwise stored, but does not include sounds accompanying a motion picture or other audiovisual work. 3)Defines "audiovisual works" as the physical embodiment of works that consist of related images that are intrinsically intended to be shown using machines or devices such as projectors, viewers, or electronic equipment, together with accompanying sounds, if any, regardless of the nature of the material objects such as films or tapes on which the works are embodied. Specifies disks, memory cards, flash drives, hard drives, data storage devices, or other devices as examples of material objects on which works may be stored. 4)States that any person who has been convicted piracy as specified shall be punished as follows: a) If the offense involves the advertisement, offer for sale or resale, sale, rental, manufacture, or possession for these purposes, of at least 100 articles of audio recordings or 100 articles of audiovisual works, as specified, the person shall be punished by imprisonment in a county jail not to exceed one year, or by imprisonment in the state prison for two, three, or five years, or by a fine not to exceed $250,000, or by both; and, b) Any other violation not described immediately above, shall, upon a first offense, be punished by imprisonment in a county jail not to exceed one year, or by a fine not to exceed $25,000, or by both. A second or subsequent conviction shall be punished by imprisonment in a county jail not to exceed one year or in the state prison, or by a fine not to exceed $100,000, or by both. FISCAL EFFECT : According to the Assembly Appropriations Committee: 1)Unknown General Fund costs, potentially in excess of $150,000, for additional state prison commitments. In 2009, 33 persons were committed to state prison under the section this bill would expand. If the proposed expansion or clarification in this bill results in three additional three-year, mid-term commitments at current per capita costs, the annual cost would SB 830 Page 3 be about $175,000. 2)Unknown, non-reimbursable local incarceration costs, offset to a degree by increased fine revenue. COMMENTS : According to the author, "SB 830 will clarify existing piracy laws by expanding the term 'recording' to include all newer forms of storage media. California has a serious problem with intellectual property piracy. Nearly one-half billion dollars in revenue were lost by the state and local governments due to counterfeited goods, including music and movies. The state's existing statute to protect against music piracy has not kept pace with latest downloading technologies such as memory cards, flash drives, and data storage devices. SB 830 is intended to plug this loophole in the law. SB 830 is supported by the Recording Industry Association of America. The bill has no opposition." Please see the policy committee for a full discussion of this bill. Analysis Prepared by : Gabriel Caswell / PUB. S. / (916) 319-3744 FN: 0005960