BILL ANALYSIS Ó
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|SENATE RULES COMMITTEE | AB 247|
|Office of Senate Floor Analyses | |
|1020 N Street, Suite 524 | |
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|327-4478 | |
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THIRD READING
Bill No: AB 247
Author: Wagner (R)
Amended: 4/17/13 in Assembly
Vote: 21
SENATE GOVERNANCE & FINANCE COMMITTEE : 7-0, 6/26/13
AYES: Wolk, Knight, Beall, DeSaulnier, Emmerson, Hernandez, Liu
SENATE APPROPRIATIONS COMMITTEE : 5-0, 8/12/13
AYES: De León, Gaines, Hill, Lara, Steinberg
NO VOTE RECORDED: Walters, Padilla
ASSEMBLY FLOOR : 75-0, 5/13/13 - See last page for vote
SUBJECT : Personal income taxes: voluntary contribution:
California Fund for
Senior Citizens
SOURCE : Author
DIGEST : This bill extends from 2015 to 2020 the California
Fund for Senior Citizens check-off on the personal state income
tax form.
ANALYSIS : Existing law allows taxpayers to contribute to one
or more of 18 voluntary contribution funds, VCFs or check-offs,
by checking a box on their state income tax return. California
law requires contributions to be made from taxpayers' own
resources and not from their tax liability, as is possible on
federal tax returns. Check-off amounts may be claimed as
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charitable contributions on taxpayers' tax returns in the
subsequent year.
This bill extends the California Fund for Senior Citizens check
off on the tax form from January 1, 2015 until January 1, 2020.
The bill maintains all the existing requirements for the program
including the annual reporting by September 1 of each year and
the minimum contribution requirements adjusted for inflation.
Background
The Franchise Tax Board (FTB) designs tax returns to provide for
the designation of contributions to specified funds either on
the return itself or on a separate schedule that must be
attached to the return. With a few exceptions, VCFs remain on
the return until they are either repealed by a sunset date, or
if they fail to meet a minimum contribution amount. Minimum
contribution amounts are adjusted annually for inflation, with
specific exceptions. For most VCFs, the minimum contribution
amount is $250,000, beginning in the fund's second year.
By September 1st of each year, the FTB must determine the
minimum contribution amount required for each fund to remain on
the form for the following calendar year and estimate whether
contributions to each fund meet that amount. If the FTB
estimates that a fund will fail to meet its minimum contribution
amount, that fund is repealed for the following calendar year.
The following check-offs do not have a minimum contribution
requirement:
California Firefighters' Memorial Foundation Fund,
California Peace Officer Memorial Foundation Fund, and
California Seniors Special Fund.
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|Voluntary Contribution | 2012 | Contribution Allotment |
| Fund |Contributi| |
| |on Totals | |
| | | |
|-----------------------+----------+------------------------------|
|ALS/Lou Gehrig's | $137,290 |As many as apply and receive |
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|Disease Research Fund | |grants provided for by the |
| | |monies contributed. |
| | | |
|-----------------------+----------+------------------------------|
|Alzheimer's | $466,485 |As many as contract or |
|Disease/Related | |receive grants provided by |
|Disorders Fund | |the monies contributed. |
| | | |
|-----------------------+----------+------------------------------|
|Arts Council Fund | $165,647 |As many as apply and receive |
| | |grants provided by the monies |
| | |contributed. |
| | | |
|-----------------------+----------+------------------------------|
|CA Breast Cancer | $440,771 |As many as apply and receive |
|Research Fund | |grants provided from the |
| | |monies contributed. |
| | | |
|-----------------------+----------+------------------------------|
|CA Cancer Research | $432,355 |As many as apply and receive |
|Fund | |grants provided from the |
| | |monies contributed. |
| | | |
|-----------------------+----------+------------------------------|
|CA Firefighters' | $152,004 |1 Group: California Fire |
|Memorial Fund | |Foundation. |
| | | |
|-----------------------+----------+------------------------------|
|CA Fund for Senior | $272,742 |1 Group: California Senior |
|Citizens | |Legislature. |
| | | |
|-----------------------+----------+------------------------------|
|CA Peace Officer | $136,172 |1 Group: California Peace |
|Memorial Foundation | |Officer Memorial Commission. |
|Fund | | |
| | | |
|-----------------------+----------+------------------------------|
|CA Police Activities | $67,202 |The state CALPAL and county |
|League (CALPAL) Fund | |CALPAL chapters. |
| | | |
|-----------------------+----------+------------------------------|
|CA Sea Otter Fund | $351,037 |Department of Fish and |
| | |Wildlife, and as many as |
| | |apply for grants and |
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| | |contracts provided for by 50% |
| | |of contributions. |
| | | |
|-----------------------+----------+------------------------------|
|CA Seniors Special | $61,315 |The first $80K to the Area |
|Fund | |Agency on Aging Advisory |
| | |Council of California and the |
| | |rest to area agencies as |
| | |allocated by the California |
| | |Department of Aging. |
| | | |
|-----------------------+----------+------------------------------|
|CA YMCA Youth and | Initial |The first $300K to the CA |
|Government Fund | Tax |YMCA Youth and Government |
| | Return |Program. The rest is |
| | 2012 |allocated in $10K annual |
| | |grants to the: African |
| | |American Leaders for Tomorrow |
| | |Program, Asian Pacific Youth |
| | |Leadership Project, Chicano |
| | |Latino Youth Leadership |
| | |Project. The money is to be |
| | |used to support program |
| | |participation. Remaining |
| | |funds allocated to the CA |
| | |YMCA Youth and Government |
| | |Program, whose board may |
| | |award additional $10K annual |
| | |grants to additional |
| | |nonprofit civic youth |
| | |organizations. The funds |
| | |distributed to the CA YMCA |
| | |Youth and Government Program |
| | |are to be used for |
| | |program-related expenses. |
| | | |
|-----------------------+----------+------------------------------|
|CA Youth Leadership | Initial |1 group: Department of |
|Fund | Tax |Education to provide for the |
| | Return |CA Youth Leadership Project. |
| | 2012 | |
| | | |
|-----------------------+----------+------------------------------|
|CA Veterans Homes Fund | $210,078 |The number of established |
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| | |veteran's homes (7). |
| | | |
|-----------------------+----------+------------------------------|
|Child Victims of Human | $35,317 |As many counseling and |
|Trafficking Fund | |prevention centers that apply |
| | |and receive grants provided |
| | |from monies contributed. |
| | | |
|-----------------------+----------+------------------------------|
|Emergency Food for | $551,515 |1 group: Department of Social |
|Families Fund | |Services for the Emergency |
| | |Food Assistance Program. |
| | | |
|-----------------------+----------+------------------------------|
|Municipal Shelter | $244,701 |As many as apply and receive |
|Spay-Neuter Fund | |grants provided from the |
| | |monies contributed. |
| | | |
|-----------------------+----------+------------------------------|
|Rare & Endangered | $558,681 |1 group: Department of Fish |
|Species Preservation | |and Wildlife endangered |
|Program | |conservation programs. |
| | | |
|-----------------------+----------+------------------------------|
|Safely Surrendered | $158,645 |1 group: Department of Social |
|Baby Fund | |Services for Safely Surrender |
| | |Baby Law awareness programs. |
| | | |
|-----------------------+----------+------------------------------|
|School Supplies for | Initial |As many as apply and receive |
|Homeless Children Fund | Tax |grants provided for by the |
| | Return |monies contributed. |
| | 2012 | |
| | | |
|-----------------------+----------+------------------------------|
|State Children's Trust | $376,243 |1 group: Department of Social |
|for the Prevention of | |Services for prevention and |
|Child Abuse | |intervention programs. |
| | | |
|-----------------------+----------+------------------------------|
|State Parks Protection | Initial |As many as purchase a parks |
|Fund/Parks Pass | Tax |pass that can be provided |
|Purchase | Return |from the monies contributed. |
| | 2012 | |
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Comments
This bill extends, for five years, the sunset deadline for the
tax check off in support of the California Fund for Senior
Citizens. Established in 1983, this tax check-off serves as the
primary source of funds for the California Senior Legislature,
which develops legislative proposals addressing access to
affordable health care, elder abuse prevention, insurance
consumer protection, community-based long-term care services and
support. Over the past five years, the fund has collected over
$1.46 million in donations. This bill temporarily extends the
fund's lifespan on the tax check off form.
Related legislation
AB 394 (Yamada) extends the repeal date of the "California
Alzheimer's Disease and Related Disorders Research Fund" tax
check-off on the tax form from 2015 to 2020.
AB 511 (Pan) creates the "American Red Cross, California
Chapters Fund" check-off on the tax form.
AB 754 (Muratsuchi) creates the "Protect Our Coast and Oceans
Fund" check-off on the tax form.
AB 1286 (Skinner) temporarily suspends the annual inflation
adjustment for minimum contribution levels for the "California
Breast Cancer Research Fund" check-off on the tax form.
SB 116 (Liu) extends the repeal date for the "Emergency Food
Assistance Program" check off on the tax form from 2014 to 2019.
SB 571 (Price) creates the "Art for Kids Fund" check-off on the
tax form.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
According to the Senate Appropriations Committee, FTB estimates
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that this bill would result in an annual revenue loss of $10,000
(General Fund) beginning in 2016-17. Both FTB and the State
Controller's Office would be reimbursed for related
administrative costs.
SUPPORT : (Verified 8/14/13)
Alzheimer's Association
Area 4 Agency on Aging
California Assisted Living Association
California Association for Health Services at Home
California Association of Public Authorities
California Commission on Aging
California Long-Term Care Ombudsman Association
California Senior Leaders Alliance
California Senior Legislature
California State Retirees
Contra Costa County Advisory Council on Aging
County Welfare Directors Association of California
Older Women's League of California
OPPOSITION : (Verified 8/14/13)
Department of Finance
ARGUMENTS IN SUPPORT : Supporters argue that the California
Fund for Senior Citizens is the primary funding source for the
California Senior Legislature (CSL) and its extension will allow
them to continue to advocate on behalf of California's seniors
and assures that the important work of the CSL continues.
ARGUMENTS IN OPPOSITION : The Department of Finance opposes
this bill for the following reasons, "This bill is of limited
value as there is nothing currently preventing California
taxpayers from contributing directly to this cause if they so
choose. It is not clear that a special preference should be
given to the organizations receiving the grant supported by this
tax check-off, as compared to other organizations also dedicated
to advocating legislation which would affect California's senior
citizens. This bill could result in a $10,000 annual General
Fund revenue loss beginning in 2016-17."
ASSEMBLY FLOOR : 75-0, 5/13/13
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AYES: Achadjian, Alejo, Atkins, Bigelow, Bloom, Blumenfield,
Bocanegra, Bonilla, Bonta, Bradford, Brown, Buchanan, Ian
Calderon, Campos, Chau, Chávez, Chesbro, Conway, Cooley,
Dahle, Daly, Dickinson, Donnelly, Eggman, Fong, Fox, Frazier,
Beth Gaines, Garcia, Gatto, Gomez, Gordon, Gorell, Gray,
Grove, Hagman, Hall, Harkey, Roger Hernández, Jones,
Jones-Sawyer, Levine, Linder, Logue, Maienschein, Mansoor,
Medina, Melendez, Mitchell, Morrell, Mullin, Muratsuchi,
Nazarian, Nestande, Olsen, Pan, Patterson, Perea, V. Manuel
Pérez, Quirk, Quirk-Silva, Rendon, Salas, Skinner, Stone,
Ting, Torres, Wagner, Waldron, Weber, Wieckowski, Wilk,
Williams, Yamada, John A. Pérez
NO VOTE RECORDED: Allen, Ammiano, Holden, Lowenthal, Vacancy
AB:nl 8/14/13 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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