BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  SB 124
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          SENATE THIRD READING
          SB 124 (Kehoe)
          As Amended  August 16, 2012
          2/3 vote. Urgency 

           SENATE VOTE  :22-16  
           
           PUBLIC SAFETY                   APPROPRIATIONS      12-0        
                    (vote not relevant)
           ----------------------------------------------------------------- 
          |     |                          |Ayes:|Gatto, Blumenfield,       |
          |     |                          |     |Bradford,                 |
          |     |                          |     |Charles Calderon, Campos, |
          |     |                          |     |Davis, Fuentes, Hall,     |
          |     |                          |     |Hill, Cedillo, Mitchell,  |
          |     |                          |     |Solorio                   |
           ----------------------------------------------------------------- 
           
          SUMMARY  :  As amended (to add an urgency clause), this bill 
          appropriates $1,422,000 from the General Fund (GF) to pay for 
          two legal settlements, Harris v. California National Guard 
          ($990,000) and Parent Voices et al. v. Jack O'Connell 
          ($432,000). 

           FISCAL EFFECT  :  Appropriates $1,422,000 from the GF - $990,000 
          to the Department of Justice (DOJ) and $432,000 to the 
          Department of Education - to pay for two legal settlements. 

           COMMENTS  :  Rationale.  This bill is one of two or three annual 
          bills carried by the Appropriations chairs to provide 
          appropriation authority for legal settlements approved by DOJ 
          and the Department of Finance (DOF).  These settlements were 
          entered into lawfully by the state upon advice of counsel (DOJ). 
           They are binding state obligations. 
             
          Harris v. California National Guard  .  This $990,000 settlement 
          concludes the wrongful death case of Harris v. California 
          National Guard.  On August 24, 2007, a Staff Sergeant murdered 
          an employee of the California National Guard at the Culver City 
          Armory and was convicted of murder.  The victim was pregnant 
          with the married offender's child and had engaged in a series of 
          discussions with the offender to encourage abortion, including 
          alleged promises of a car in exchange for the abortion.  
          Concurrently, the killer, now serving 








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          life-without-possibility-of-parole, engaged in conversations 
          with others regarding harming the fetus.  These conversations 
          were passed on to National Guard authorities, who in turn, 
          involved civilian authorities.  

          On October 1, 2008, the victim's mother filed a wrongful death 
          suit in state court as an individual and successor-in-interest 
          to the victim.  During the trial the Judge urged that, based on 
          evidence produced, it was in the best interest of the state to 
          settle the case.  
                 
            Parent Voices et al. v. Jack O'Connell  .  The 2010 Budget Act 
          terminated California Work Opportunity and Responsibility to 
          Kids (CalWORKs) Stage 3 Child Care services, effective November 
          1, 2010.  Child care advocates and several affected parents sued 
          the State Department of Education in Alameda County to halt 
          termination of services for Stage 3 families.  The petitioners 
          claimed proper notice and due process were not provided, and 
          that the state had a duty to attempt to transfer affected 
          families to child care slots in other programs for which they 
          were eligible.  

          Pursuant to court order, the termination of Stage 3 services was 
          delayed until December 31, 2010, to allow for eligibility 
          screening and possible placement of Stage 3 families in other 
          programs.  As a result, approximately 4,500 children were placed 
          in other programs.  Funding for Stage 3 was restored in 2010-11, 
          and the parties agreed in June 2011 to allow the children who 
          had been placed in other programs to return to Stage 3.  The 
          suit has since been concluded, with the exception of the 
          plaintiff's outstanding demand for attorneys' fees.

          While the plaintiffs assert the actual hours spent on the case 
          amounts to more than $800,000, they have agreed to settle for 
          $432,000 to cover the attorney's fees. 

          The settlement stipulates that if payment of the fees is not 
          made within 60 days of enactment of the settlements bill, 
          interest will begin to accrue at an annual rate of 7%.

           Proposed amendments add an urgency clause  .  
                 
           1)Related legislation  . 









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             a)   SB 1558 (Kehoe), chaptered in June 2012, appropriated 
               $2.6 million ($1.3 GF; $1.3 Federal Trust Fund) to the 
               Department of Justice (DOJ) to pay the settlement in 
               Darling v. Douglas, U.S. District Court, Northern District.

             b)   SB 730 (Kehoe), chaptered in February 2012, appropriated 
               $13 million to DOJ to pay for six settlements, with 
               interest in two cases. 

             c)   AB 140 (Fuentes) and SB 206 (Kehoe), both chaptered in 
               2011, appropriated funds for state settlements last year. 


           Analysis Prepared by  :    Geoff Long / APPR. / (916) 319-2081 


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