BILL ANALYSIS Ó
AB 168
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Date of Hearing: May 3, 2011
Counsel: Milena Nelson
ASSEMBLY COMMITTEE ON PUBLIC SAFETY
Tom Ammiano, Chair
AB 168 (Gorell) - As Introduced: January 20, 2011
SUMMARY : Appropriates $506.4 million from the General Fund to
be deposited in the Local Safety and Protection Account. The
amount is to be appropriated for the 2011-12 fiscal year, and
each subsequent fiscal year.
EXISTING LAW :
1)Established the Local Safety and Protection account, to be
funded by an increase in the vehicle license fee. (Revenue
and Tax Code Section 10752.2.)
2)States that 6.26 % of funds from the Local Safety and
Protection account shall be used to provide funding for local
detention facilities. (Government Code Section 29553.)
FISCAL EFFECT : Unknown
COMMENTS :
1)Author's Statement : According to the author, "In February
2009, the Legislature and Governor temporarily increased the
Vehicle License Fee by 0.65 percent and directed 0.15 percent
of the increase to the Local Safety and Protection Account.
This account provides funding for many different aspects of
local law enforcement, including juvenile justice and
probation activities, juvenile camps and ranches, and programs
that combat drug use, sexual assaults, gang activity, and
technology theft.
"Due to the current budget impasse, we will not be able to get
the tax extensions on the ballot before the vehicle license
fee increase expires this July. Recognizing the importance of
funding local law enforcement services that keep Californians
safe, AB 168 will continue funding the Local Safety and
Protection Account after the additional vehicle license fee
AB 168
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expires. AB 168 creates a one-time appropriation of just over
$500 million from the state's general fund to support the
current local law enforcement activities that would otherwise
be interrupted with the scheduled sunset of the state vehicle
license fee.
"Many entities across California, such as the Farm Bureau
Federation, local law enforcement, and local community groups
have put their support behind AB 168, recognizing that
critical services will be jeopardized when there is no funding
available in July. For example, the Farm Bureau explains that
the Local Safety and Protection Account provides funding for
necessary crime prevention programs. California farmers and
ranchers are dealing with an increasing rate of theft and
illegal dumping. In 2010, rural crimes cost farmers and
ranchers $20 million in just the areas included in the rural
crime prevention programs.
"Although this bill is just a temporary solution, AB 168 is
needed for the ongoing functionality of core services and
responsibilities of law enforcement. Moving forward with
budget discussions and potential realignment of state services
to counties, we need to find a stable funding source for these
important public safety programs. Fully funding the Local
Safety and Protection Account ensures that our communities are
protected and safe, even during tough economic times."
2)California's $25 Billion Budget Deficit: According to the
Legislative Analyst's Office, "Our forecast of California's
General Fund revenues and expenditures shows that the state
must address a budget problem of $25.4 billion between now and
the time the Legislature enacts a 2011-12 state budget plan.
The budget problem consists of a $6 billion projected deficit
for 2010-11 and a $19 billion gap between projected revenues
and spending in 2011-12.
"2010-11 Deficit. We assume that the state will be unable to
secure around $3.5 billion of budgeted federal funding in
2010-11. This assumption is a major contributor to the $6
billion year-end deficit we project for 2010-11. We also
project higher-than-budgeted costs in prisons and several
other programs. In addition, our forecast assumes that
passage of Proposition 22 will prevent the state from
achieving about $800 million of budgeted solutions in 2010-11.
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"2011-12 Deficit. The temporary nature of most of the
Legislature's 2010 budget-balancing actions and the painfully
slow economic recovery contribute to the $19 billion projected
operating deficit in 2011-12. This gap is $2 billion less
than we projected one year ago. Actions taken during the
2010-11 budget process to reduce Proposition 98 education
spending are a major contributor to the decline.
"Ongoing Annual Budget Problems of $20 Billion Persist. Similar
to our forecast of one year ago, we project annual budget
problems of about $20 billion each year through 2015-16. In
2012-13, when the state must repay its 2010 borrowing of local
property tax revenues and the full effect of Propositions 22
and 26 hit the state's bottom line, our forecast shows the
operating deficit growing to $22.4 billion. Because our
methodology generally assumes no cost-of-living adjustments,
our projections probably understate the magnitude of the
state's fiscal problems during the forecast period.
"Key Choice: Painful Decisions Now . . . or Pass Problems to
Future Californians. Too often, discussions of California's
budget situation are framed in extreme terms: the state about
to go 'bankrupt,' debt-service payments hypothetically poised
to default, the state government on the verge of collapse.
None of these scenarios is remotely likely to occur. History
tells us that the state can find ways to temporarily 'patch
over' its annual budget problems in ways that prove
sufficiently palatable to policy makers of both major parties.
Periodically, large influxes of capital gains allow for
temporary relief, and this too aids in patching over the
state's now-recurrent budget challenges. The Legislature and
the new Governor will be tempted in the next few years to
continue patching over the budget problems with temporary
fixes. Unless plans are put in place to begin tackling the
ongoing budget problem, it will continue to be difficult for
the state to address fundamental public sector goals-such as
rebuilding aging infrastructure, addressing massive retirement
liabilities, maintaining service levels of high-priority
government programs, and improving the state's tax system.
Accordingly, the state faces a basic choice: begin to address
today's huge, frustrating budget problems now . . . or defer
the state's budgetary and policy problems to future
Californians."
REGISTERED SUPPORT / OPPOSITION :
AB 168
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Support
Association for Los Angeles Deputy Sheriffs
California District Attorneys Association
California Farm Bureau Federation
California Peace Officers Association
California Police Chiefs Association
California State Sheriffs' Association
County of Los Angeles
Riverside Sheriffs' Association
State Coalition of Probation Organizations
Opposition
None
Analysis Prepared by : Milena Nelson / PUB. S. / (916)
319-3957