BILL ANALYSIS Ó ------------------------------------------------------------ |SENATE RULES COMMITTEE | AB 1531| |Office of Senate Floor Analyses | | |1020 N Street, Suite 524 | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ------------------------------------------------------------ THIRD READING Bill No: AB 1531 Author: Fuentes (D) Amended: 4/19/12 in Assembly Vote: 27 - Urgency SENATE APPROPRIATIONS COMMITTEE : 6-0, 6/4/12 AYES: Kehoe, Walters, Alquist, Dutton, Lieu, Steinberg NO VOTE RECORDED: Price ASSEMBLY FLOOR : 73-0, 4/30/12 - See last page for vote SUBJECT : State claims SOURCE : California Victim Compensation and Government Claims Board DIGEST : This bill appropriates $859,738.51 from the General Fund and special funds to pay state claims. ANALYSIS : The State Board of Control was established in 1945. It was revised and renamed the Victim Compensation and Government Claims Board (Board) by AB 2491 (Jackson), Chapter 1016, Statutes of 2000. Government Code Section 13928 requires the board to ensure that all claims have been approved by the Board, and for which there exists no legally available appropriation, are submitted for legislative approval at least twice during each calendar year. In general, the Board will approve claims in November and in February. Those claims are reported to the chairs of the Appropriations Committees who introduce bills CONTINUED AB 1531 Page 2 appropriating General Funds and special funds to pay the claims. These bills may appropriate funds in amounts to the penny for tens to hundreds of claims, usually stale-dated warrants. Government Code Section 906 provides for the payment of interest on claims approved by the board for which an appropriation has been made beginning 30 days after the effective date of the law by which the appropriation is enacted. This bill appropriates funding for 273 stale-dated warrants. The re-issuance of stale-dated warrants is the most prevalent claim approved by the Board. For stale-dated warrants, the State Controller must confirm that (1) the check was not cashed and has not been issued and (2) more than three years have elapsed since the check was issued and the monies have reverted to the General Fund or to the relevant special fund. For these warrants, an appropriation is needed to reissue the payment. This category also may include state treasury bonds that have not been redeemed within ten years of their maturity date (there are no such claims in this bill), but the majority of warrants generally are for lost payroll or tax refund checks. Related Legislation SB 1065 (Kehoe) appropriates $167,329.15 from the General Fund for the payment of 93 claims approved by the Board (Franchise Tax Board stale-dated warrants). FISCAL EFFECT : Appropriation: Yes Fiscal Com.: Yes Local: No According to the Senate Appropriations Committee: $789,202.20 appropriation from the General Fund (236 claims). $2,610.33 appropriation from the Public Employees' Health Care Fund (1). $23,372.09 appropriation from the Health Care Deposit Fund (2). CONTINUED AB 1531 Page 3 $884.33 appropriation from the Unclaimed Property Fund (1). $246.00 appropriation from the State Highway Account, State Transportation Fund (state operations) (1). $34,928.75 appropriation from the State Highway Account, State Transportation Fund (capital outlay support) (2). $2,303.11 appropriation from the Motor Vehicle Account, State Transportation Fund (12). $3,459.38 appropriation from the Department of Social Services General Fund (7). $2,250.40 appropriation from the California Department of Correction and Rehabilitation General Fund (8). $481.92 appropriation from the Employment Development Department Contingent Fund (3). SUPPORT : (Verified 6/5/12) California Victim Compensation and Government Claims Board (source) Department of Finance ASSEMBLY FLOOR : 73-0, 4/30/12 AYES: Achadjian, Alejo, Allen, Ammiano, Atkins, Beall, Bill Berryhill, Block, Bonilla, Bradford, Buchanan, Butler, Charles Calderon, Campos, Carter, Chesbro, Conway, Cook, Dickinson, Donnelly, Eng, Feuer, Fletcher, Fong, Fuentes, Beth Gaines, Galgiani, Garrick, Gatto, Gordon, Gorell, Grove, Hagman, Halderman, Hall, Harkey, Hayashi, Roger Hernández, Hill, Huber, Hueso, Huffman, Jeffries, Jones, Knight, Lara, Bonnie Lowenthal, Ma, Mansoor, Mendoza, Miller, Mitchell, Monning, Morrell, Nestande, Nielsen, Norby, Olsen, Pan, Perea, V. Manuel Pérez, Portantino, Silva, Skinner, Solorio, Swanson, Torres, Valadao, Wagner, Wieckowski, Williams, Yamada, John A. Pérez NO VOTE RECORDED: Blumenfield, Brownley, Cedillo, Davis, Furutani, Logue, Smyth CONTINUED AB 1531 Page 4 DLW:d 6/6/12 Senate Floor Analyses SUPPORT/OPPOSITION: SEE ABOVE **** END **** CONTINUED