BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  AB 2691
                                                                  Page  1

          Date of Hearing:   May 1, 2012

                  ASSEMBLY COMMITTEE ON ELECTIONS AND REDISTRICTING
                                  Paul Fong, Chair
           AB 2691 (Elections & Redistricting Committee) - As Introduced:  
                                   March 14, 2012
           
          SUBJECT  :   Political Reform Act of 1974: online and electronic 
          filing.

           SUMMARY  :   Repeals obsolete provisions of the Political Reform 
          Act of 1974 (PRA) related to the online or electronic disclosure 
          of campaign and lobbying information.  Specifically,  this bill  :  


          1)Repeals an obsolete provision of the PRA that requires the 
            Secretary of State (SOS) to implement an online or electronic 
            disclosure program in connection with the 2000 state primary 
            election and specified lobbying activities.

          2)Repeals an obsolete provision of the PRA that required all 
            candidates and ballot measure committees that were required to 
            file campaign disclosure reports in connection with a 
            statewide elective office or a state measure appearing on the 
            November 1998 ballot to provide a copy of any required report 
            on a computer disk in either an ASCII or PDF format.

          3)Repeals an obsolete provision of the PRA that appropriated 
            $1.1 million in 1997 from the General Fund to the SOS for the 
            purposes of developing an online and electronic disclosure 
            system.

          4)Makes corresponding changes.

           EXISTING LAW  :

          1)Creates the Fair Political Practices Commission (FPPC), and 
            makes it responsible for the impartial, effective 
            administration and implementation of the PRA.

          2)Requires all candidates and committees that are required to 
            file campaign reports in connection with a state elective 
            office or state measure to file those reports online or 
            electronically if the cumulative amount of contributions 
            received, expenditures made, loans made, or loans received is 







                                                                  AB 2691
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            $25,000 or more.

          3)Requires general purpose committees, including political party 
            committees and small contributor committees, that cumulatively 
            receive contributions or make expenditures of $25,000 or more 
            to support or oppose candidates for any elective state office 
            or state measure, to file campaign reports online or 
            electronically.

          4)Requires slate mailer organizations to file campaign reports 
            online or electronically if the cumulative reportable payments 
            received or made for the purposes of producing slate mailers 
            is $25,000 or more.

          5)Requires lobbyists, lobbying firms, lobbyist employers, and 
            other persons required to file periodic lobbying disclosure 
            reports to file such reports online or electronically if the 
            total amount of any category of reportable payments, expenses, 
            contributions, gifts, or other items is $2,500 or more in a 
            calendar quarter.

           FISCAL EFFECT  :   Keyed non-fiscal by the Legislative Counsel.

           COMMENTS  :   

           1)Purpose of the Bill  :  This is one of the Assembly Elections & 
            Redistricting Committee's annual omnibus bills, containing 
            various minor and technical changes to the PRA.

           2)Electronic Campaign Disclosure  :  SB 49 (Karnette), Chapter 
            866, Statutes of 1997, enacted the Online Disclosure Act, 
            requiring the SOS to develop a process whereby campaign and 
            lobbying reports and statements required to be filed pursuant 
            to the PRA could be filed online or electronically and viewed 
            by the public online.  Among other provisions, SB 49 
            established specific electronic reporting requirements for the 
            November 1998 and March 2000 statewide elections, and 
            established specific electronic reporting requirements for 
            lobbyists, lobbying firms, and lobbyist employers for part of 
            the 2000 calendar year.  Because those provisions were 
            effective only for specific time periods, those provisions of 
            the PRA are now obsolete; the ongoing requirements for 
            campaign and lobbying reports to be filed electronically are 
            located elsewhere in the PRA.








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          Additionally, SB 49 added a provision to the PRA that 
            appropriated $1.1 million for the development of the online 
            and electronic disclosure system.  Because the online and 
            electronic disclosure system has already been built and this 
            money has been spent, this provision of law is also obsolete.

          This bill repeals these obsolete provisions of the PRA.  
            Additionally, this bill makes corresponding changes by 
            deleting cross references to one of those obsolete sections in 
            another section of the PRA.  
           
           3)Political Reform Act of 1974  :  California voters passed an 
            initiative, Proposition 9, in 1974 that created the FPPC and 
            codified significant restrictions and prohibitions on 
            candidates, officeholders and lobbyists. That initiative is 
            commonly known as the PRA.  Amendments to the PRA that are not 
            submitted to the voters, such as those contained in this bill, 
            must further the purposes of the initiative and require a 
            two-thirds vote of both houses of the Legislature.

           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          Fair Political Practices Commission

           Opposition 
           
          None on file.
           
          Analysis Prepared by  :    Ethan Jones / E. & R. / (916) 319-2094