BILL ANALYSIS �
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THIRD READING
Bill No: AB 235
Author: Gatto (D)
Amended: 4/29/13 in Assembly
Vote: 27 - Urgency
SENATE APPROPRIATIONS COMMITTEE : 7-0, 6/24/13
AYES: De Le�n, Walters, Gaines, Hill, Lara, Padilla, Steinberg
ASSEMBLY FLOOR : 71-1, 5/9/13 - See last page for vote
SUBJECT : State claims
SOURCE : Author
DIGEST : This bill appropriates $1,080,580.70 from specified
funds to the California Victim Compensation and Government
Claims Board (Board) for the payment of 343 state claims.
ANALYSIS : The State Board of Control was established in 1945.
It was revised and renamed the Victim Compensation and
Government Claims Board by
AB 2491 (Jackson, Chapter 1016, Statutes of 2000). Government
Code Section 13928 requires the Board to ensure that all claims
that have been approved by the Board, and for which no legally
available appropriation exists, are submitted for legislative
approval at least twice during each calendar year. In general,
the Board will approve claims in November and February. Those
claims are reported to the Chairs of the Appropriations
Committees who introduce bills appropriating General Funds and
special funds to pay the claims. These bills may appropriate
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funds in amounts to the penny for tens to hundreds of claims.
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.
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
are payroll or tax refund checks.
This bill appropriates approximately $1.1 million from the
General Fund and various other funds to pay 343 claims approved
by the Board, 338 of which are for reissuing stale-dated
warrants. These expired checks range in payment amount from $2
to $86,607; the average payment amount is $2,541.79.
In addition to the stale-dated warrants, the bill includes
payment for the following five claims:
1.$95,056.49 for a contract claim to pay State Controller legal
services in excess of the original contracted amount. The
legal services were conducted at the direction of the State
Controller under an amended contract. The Department of
General Services did not approve the contract changes, but the
legal services had already been performed and were deemed
critical.
2.$122,833.00 for a contract claim related to the California
Emergency Management Agency for grant funding awarded for gang
intervention work. The grant appropriation liquidation period
expired due to procedural problems that were eventually
resolved.
3.$1,297.36 to reimburse a Department of Social Services
employee for travel expenses. The original forms to process
the reimbursement were not considered to be filed on time
because they were lost in an office move.
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4.$1,567.00 to reissue an unclaimed property payment that was
mistakenly paid by the State Controller to an individual with
the same name as the eligible claimant. The funds were
uncollectable from the original payee, who is now indigent.
5.$700.80 for a tort claim to reimburse a Board of Equalization
employee's travel expenses, which were approved but filed late
by the employee.
FISCAL EFFECT : Appropriation: Yes Fiscal Com.: Yes
Local: No
According to the Senate Appropriations Committee: General Fund
appropriation of $914,057.76 to pay 317 claims, and
appropriations totaling $166,522.94 from various funds to pay 26
claims as follows:
$4,038.64 from the Estate Tax Fund (0085) to pay one
claim.
$1,297.36 from the Continuing Care Provider Fund (0163)
to pay one claim.
$122,833.00 from the Restitution Fund (0214) to pay one
claim.
$201.48 from the California Water Resources Development
Bond Fund (0502) to pay one claim.
$1,622.23 from the Unclaimed Property Fund (0970) to pay
two claims.
$1,610.08 from the Motor Vehicle Account (0044) to pay
nine claims.
$637.33 from the CSU Trust Fund (0948) to pay one claim.
$34,945.04 from the Employment Development Contingent
Fund (0185) to pay eight claims.
$268.78 from the Service Revolving Fund (0666) to pay
one claim.
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$69.00 from the Public Employees' Healthcare Fund (0822)
to pay one claim.
ASSEMBLY FLOOR : 71-1, 5/9/13
AYES: Achadjian, Alejo, Allen, Ammiano, Atkins, Bigelow, Bloom,
Blumenfield, Bocanegra, Bonilla, Bonta, Bradford, Brown,
Buchanan, Ian Calderon, Campos, Chau, Chesbro, Cooley, Dahle,
Daly, Dickinson, Donnelly, Eggman, Fong, Fox, Frazier, Beth
Gaines, Garcia, Gatto, Gomez, Gordon, Gray, Grove, Hagman,
Hall, Harkey, Roger Hern�ndez, Jones, Jones-Sawyer, Levine,
Linder, Lowenthal, Maienschein, Medina, Melendez, Mitchell,
Morrell, Mullin, Muratsuchi, Nazarian, Nestande, Olsen, Pan,
Patterson, Perea, V. Manuel P�rez, Quirk, Quirk-Silva, Rendon,
Salas, Skinner, Stone, Ting, Torres, Wagner, Weber,
Wieckowski, Williams, Yamada, John A. P�rez
NOES: Ch�vez
NO VOTE RECORDED: Conway, Gorell, Holden, Logue, Mansoor,
Waldron, Wilk, Vacancy
JA:ej 6/26/13 Senate Floor Analyses
SUPPORT/OPPOSITION: NONE RECEIVED
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