BILL ANALYSIS                                                                                                                                                                                                    Ó



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          SENATE THIRD READING
          SB 1193 (Steinberg)
          As Amended August 13, 2012
          Majority vote 

           SENATE VOTE  :25-5  
           
           JUDICIARY           9-1         APPROPRIATIONS      15-0        
           
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          |Ayes:|Feuer, Wagner, Atkins,    |Ayes:|Fuentes, Harkey,          |
          |     |Dickinson, Gorell, Huber, |     |Blumenfield, Bradford,    |
          |     |Monning, Wieckowski,      |     |Charles Calderon, Campos, |
          |     |Bonnie Lowenthal          |     |Davis, Gatto, Hall, Hill, |
          |     |                          |     |Lara, Mitchell, Norby,    |
          |     |                          |     |Solorio, Wagner           |
          |     |                          |     |                          |
          |-----+--------------------------+-----+--------------------------|
          |Nays:|Jones                     |     |                          |
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY  :  Seeks to enhance public awareness of human 
          trafficking, publicize resources the public may use to report 
          suspected human trafficking, and publicize resources victims of 
          human trafficking may use to anonymously receive assistance and 
          services.  Specifically,  this bill  :

          1)Requires the operators of bars, adult or sexually oriented 
            businesses, massage businesses that are not licensed by a 
            central massage licensing authority, primary airports, rail 
            stations, bus stations, truck stops, emergency rooms, urgent 
            care centers, farm labor contractors, privately operated job 
            recruitment centers, and roadside rest stops to post a 
            conspicuous notice publicizing human trafficking resources. 

          2)Requires that notice use large 16-point font; be at least 
            eight and one-half inches by 11 inches in size; be written in 
            English, Spanish, and one other language that is the most 
            widely spoken language in the county where the establishment 
            is located; and be posted in a conspicuous place in clear view 
            of the public and employees.  This provision does not require 
            a business or other establishment in a county where a language 
            other than English or Spanish is the most widely spoken 
            language to print the notice in more than one language in 








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            addition to English and Spanish.

          3)Requires the notice to contain the following language:

               If you or someone you know is being forced to engage in 
               any activity and cannot leave-whether it is commercial 
               sex, housework, farm work, construction, factory, retail, 
               or restaurant work, or any other activity-call the 
               National Human Trafficking Resource Center at 
               1-888-373-7888 or the California Coalition to Abolish 
               Slavery and Trafficking (CAST) at 1-888-KEY-2-FRE(EDOM) 
               or 1-888-539-2373 to access help and services. Victims of 
               slavery and human trafficking are protected under United 
               States and California law.

               The hotlines are:
                     Available 24 hours a day, 7 days a week.
                     Toll-free.
                     Operated by nonprofit, nongovernmental 
                 organizations.
                     Anonymous and confidential.
                     Accessible in more than 160 languages.
                     Able to provide help, referral to services, 
                 training, and general information.

          4)Requires the Department of Justice (DOJ) to develop a model 
            notice that complies with this measure and to make this model 
            notice available on the DOJ's Web site.

          5)Provides that a business or establishment that fails to comply 
            with the requirements of this section is liable for a civil 
            penalty of $500 for a first offense and $1,000 for each 
            subsequent offense.  A government entity identified in 
            Business and Professions Code Section 17204 may bring an 
            action to impose a civil penalty against a business or 
            establishment if a local or state agency with authority to 
            regulate that business or establishment has satisfied both of 
            the following:

             a)   Provided the business or establishment with reasonable 
               notice of noncompliance, which informs the business or 
               establishment that it is subject to a civil penalty if it 
               does not correct the violation within 30 days from the date 
               the notice is sent to the business or establishment; and, 








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             b)   Verified that the violation was not corrected within the 
               30 day period as specified.

           FISCAL EFFECT  :  According to the Assembly Appropriations 
          Committee:

          1)The DOJ will incur General Fund costs of around $50,000 to 
            $100,000 annually for one to two years (minor costs 
            thereafter) for translation (via contract) and Web-posting of 
            the required notices and for fielding expected inquiries from 
            businesses and entities subject to the notice-posting 
            requirement and potential penalties for failure to comply.

          2)Costs for local government entities to download and post the 
            notices, including required translations, are 
            state-reimbursable but should be minor.

          3)Likely minor absorbable costs to applicable state regulatory 
            agencies and to local regulatory agencies and prosecutors for 
            enforcement, offset to some extent by penalty revenues. 
           
          COMMENTS  :  This bill represents another helpful step in the 
          Legislature's and this author's continuing efforts to battle the 
          tragedy of human trafficking.  In 2010 the author carried SB 657 
          (Steinberg), Chapter 556, Statutes of 2010, which mandated that 
          all retailers and manufacturers doing business in the state in 
          excess of one hundred million dollars publicly disclose their 
          efforts, if any, to eradicate human trafficking from their 
          supply chains.  It was signed by the Governor and has become a 
          national model for leveraging the power of business to fight 
          human trafficking.

          Over 12 million people are reportedly in some form of forced 
          labor worldwide.  Roughly 2.5 million of those, including 1.2 
          million children, are reported to have gotten there as a result 
          of human trafficking.  The trafficking of human beings is at 
          least a $9 billion industry, and the estimated global profits 
          from trafficked labor currently exceed $31 billion a year.  
          Despite human trafficking's shocking prevalence, under 3,200 
          people - much less than 1% - are currently convicted of human 
          trafficking every year.

          And the problem exists close to home.  Between 14,500 and 17,500 








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          victims are estimated to be trafficked into the U.S. every year, 
          with California a top destination.  According to the California 
          Alliance to Combat Trafficking and Slavery Task Force, 
          "ÝCalifornia's] extensive international border, its major 
          harbors and airports, its powerful economy and accelerating 
          population, its large immigrant population and its industries 
          make it a prime target for traffickers." 

          As noted, this measure requires only those types of 
          establishments most likely to use trafficked individuals to post 
          notices regarding human trafficking.  These establishments 
          include: businesses with a license to sell alcohol for on-site 
          consumption or beer/wine for off-site consumption; adult or 
          sexually oriented businesses; massage businesses not 
          credentialed by a central credentialing authority; 
          transportation hubs including airports, bus or light rail 
          stations, and truck and rest stops; emergency rooms and urgent 
          care centers; farm labor contractors; and privately operated job 
          recruitment centers.  Thus this list targets establishments 
          where signage is most likely, either directly or indirectly, to 
          aid victims.  

          First, many of these businesses are transportation centers where 
          victims may pass through.  Posting in these areas also has the 
          capacity to educate the public.  Public awareness of human 
          trafficking is low; it is widely regarded as a problem that is 
          "somewhere else."  Individuals must first have an understanding 
          of human trafficking before it can be identified. 

          Second, data collected from the National Human Trafficking 
          Resource Center (NHTRC) indicates that certain businesses are 
          more likely to be involved in human trafficking, including 
          sexually-oriented businesses, hotels, and massage parlors.  
          Signage in these types of businesses is important to inform 
          victims about their rights and available services.  Signage also 
          acts to put those who engage in trafficking others on notice 
          that they may be reported.   

          As to be expected many victims of human trafficking are 
          undocumented, and thus may be particularly fearful of 
          deportation if they contact authorities.  As a result, this bill 
          purposely understandably does not mention law enforcement or 
          governmental agencies in its required posting.  Instead it 
          connects victims with nonprofit resources they will inherently 








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          trust:  the National Human Trafficking Research Center, a 
          hotline operated by Polaris Project, and the Coalition Against 
          Slavery and Trafficking.  These organizations have strong 
          community presences.  They both run hotlines where operators are 
          available in multiple languages, and offer victim support 
          services.  Because neither is a government agency, victims 
          logically will feel most comfortable sharing sensitive 
          information with them, without any fear of arrest or 
          deportation.

          The National Human Trafficking Resource Center (NHTRC) is the 
          most widely used anti-trafficking hotline, identifying over 
          2,000 potential victims a year.  The state of Texas serves as an 
          example of the effectiveness of posting requirements.  In 2007, 
          Texas mandated posting of trafficking notices, mentioning NHTRC, 
          in all establishments that have a liquor license.  NHTRC 
          reported that in all calls from Texas between December 2007 and 
          December 2011 in which NHTRC knew how the caller learned of the 
          hotline, nearly one out of five did so through the mandated 
          posters.
           

          Analysis Prepared by  :  Drew Liebert / JUD. / (916) 319-2334 

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