BILL NUMBER: ACA 6	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  JULY 11, 2011
	AMENDED IN ASSEMBLY  JULY 1, 2011
	AMENDED IN ASSEMBLY  MAY 19, 2011
	AMENDED IN ASSEMBLY  MAY 10, 2011
	AMENDED IN ASSEMBLY  APRIL 14, 2011

INTRODUCED BY   Assembly Members Gatto and Feuer
   (Principal coauthor: Senator Pavley)
   (Coauthors: Assembly Members Blumenfield, Gordon, Gorell, Hayashi,
Huffman, Bonnie Lowenthal, Mendoza, Olsen, Portantino, Smyth, and
Solorio)
   (Coauthors: Senators De León and DeSaulnier)

                        DECEMBER 6, 2010

   A resolution to propose to the people of the State of California
an amendment to the Constitution of the State, by amending Section 8
of Article II thereof, relating to initiatives.


	LEGISLATIVE COUNSEL'S DIGEST


   ACA 6, as amended, Gatto. Initiative measures: funding source.
   The California Constitution provides that the electors may propose
statutes or amendments to the state constitution through the
initiative process by presenting to the Secretary of State a petition
that sets forth the text of the proposed statute or amendment to the
Constitution and is certified to have been signed by a certain
number of electors.
   This measure would require the Legislative Analyst  and
the Director of Finance  to review an initiative measure not
later than 15 days after its qualification for the ballot, and
report the results of the review to the Secretary of State. This
measure would prohibit an initiative measure that the Legislative
Analyst  or the Director of Finance  determines
would result in a net increase in state or local government costs
exceeding $5,000,000, other than costs attributable to the issuance,
sale, or repayment of bonds, from being submitted to the electors or
having any effect unless the Legislative Analyst  , the
Director of Finance, or both, as applicable, determine  
determines  that the initiative measure provides for additional
revenues in an amount that meets or exceeds the net increase in
costs. This requirement would provide for an annual adjustment to the
amount of that cost threshold, and would not apply to  costs
incurred due to a provision of an initiative measure that reduces
tax revenues, or due to the administration of such a provision
  , or have any effect on, an initiative measure that
reduces tax revenues or fees  .
   Vote: 2/3. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.



   Resolved by the Assembly, the Senate concurring, That the
Legislature of the State of California at its 2011-12 Regular Session
commencing on the sixth day of December 2010, two-thirds of the
membership of each house concurring, hereby proposes to the people of
the State of California that the Constitution of the State be
amended as follows:
    That Section 8 of Article II thereof is amended to read:
      SEC. 8.  (a) The initiative is the power of the electors to
propose statutes and amendments to the Constitution and to adopt or
reject them.
   (b) An initiative measure may be proposed by presenting to the
Secretary of State a petition that sets forth the text of the
proposed statute or amendment to the Constitution and that is
certified to have been signed by electors equal in number to 5
percent in the case of a statute, and 8 percent in the case of an
amendment to the Constitution, of the votes for all candidates for
Governor at the last gubernatorial election.
   (c) The Secretary of State shall then submit the measure at the
next general election held at least 131 days after it qualifies or at
any special statewide election held prior to that general election.
The Governor may call a special statewide election for the measure.
   (d) An initiative measure embracing more than one subject may not
be submitted to the electors or have any effect.
   (e) An initiative measure may not include or exclude any political
subdivision of the State from the application or effect of its
provisions based upon approval or disapproval of the initiative
measure, or based upon the casting of a specified percentage of votes
in favor of the measure, by the electors of that political
subdivision.
   (f) An initiative measure may not contain alternative or
cumulative provisions wherein one or more of those provisions would
become law depending upon the casting of a specified percentage of
votes for or against the measure.
   (g) (1) Not later than 15 days after the qualification of an
initiative measure for the ballot, the Legislative Analyst 
and the Director of Finance  shall review the measure
pursuant to this subdivision, and report the results of that review
to the Secretary of State. If  either the Legislative Analyst
or the Director of Finance   the Legislative Analyst
 determines that the initiative measure would result in a net
increase in state or local government costs exceeding five million
dollars ($5,000,000), subject to paragraph (2), excluding costs
attributable to the issuance, sale, or repayment of bonds authorized
by the measure, the measure shall not be submitted to the electors or
have any effect unless the Legislative Analyst  or the
Director of Finance, or both, as applicable,  further
determines that the initiative measure provides for additional
revenues in an amount that meets or exceeds the net increase in
costs.
   (2) On January 1, 2012, and annually thereafter, the cost
threshold set forth in paragraph (1) shall be adjusted by the
percentage increase of the California Consumer Price Index for the
immediately preceding calendar year, as reported by the Department of
Finance. 
   (3) This subdivision shall not apply to any increased costs to
state or local government that are incurred pursuant to a provision
of an initiative measure that reduces tax revenues, or pursuant to
the administration of any such provision.  
   (3) This subdivision shall not apply to, or have any effect
whatsoever on, an initiative measure that reduces tax revenues or
fees.