BILL ANALYSIS Ó AB 482 Page 1 ASSEMBLY THIRD READING AB 482 (Atkins) As Amended April 10, 2013 2/3 vote. Urgency ARTS, ENTERTAINMENT, SPORTS 4-2 APPROPRIATIONS 12-5 ----------------------------------------------------------------- |Ayes:|Ian Calderon, Bloom, |Ayes:|Gatto, Bocanegra, | | |Gomez, Levine | |Bradford, | | | | |Ian Calderon, Campos, | | | | |Eggman, Gomez, Hall, | | | | |Ammiano, Pan, Quirk, | | | | |Weber | | | | | | |-----+--------------------------+-----+--------------------------| |Nays:|Waldron, Wilk |Nays:|Harkey, Bigelow, | | | | |Donnelly, Linder, Wagner | | | | | | ----------------------------------------------------------------- SUMMARY : Transfers the California Cultural and Historical Endowment (CCHE) from the California State Library to the Natural Resources Agency. Also authorizes the CCHE to create a small museum competitive grant program as specified, and require the CCHE to apply to the California Department of Motor Vehicles (DMV) for a specialized license plate using the cartoon character Snoopy, as specified, to fund the grant program. Specifically, this bill : 1)Establishes in the Natural Resources Agency, the CCHE, consisting of 10 members, as specified. 2)Provides that the Secretary of the Natural Resources Agency shall serve as chair of the endowment, or his or her designee. 3)Continues the requirements in current law that the endowment must undertake a comprehensive survey of the state of cultural and historical preservation, accessibility, and interpretation in California, as specified, and; that in conducting the survey, the endowment shall coordinate with existing state agencies, including the California Arts Council and the Secretary of State. AB 482 Page 2 4)Authorizes the endowment to create a competitive grant program to support small capital projects in museums and establishes priorities for grantee objectives. 5)Requires that the grants be funded initially from any moneys deposited in the California Cultural and Historical Endowment Fund from the California Clean Water, Clean Air, Safe Neighborhood Parks, and Coastal Protection Fund (Fund) for the administration of the endowment. 6)Declares that once funding becomes available from the sale of Snoopy specialized license plates (which this bill would authorize) funding for the grant program shall only be made from the funds collected from the specialized license plate program. 7)Requires that if the endowment creates the museum grant program described above, the endowment shall apply, on or before October 1, 2013, to the DMV for the purpose of creating a specialized license plate program using the cartoon character Snoopy. 8)Requires that the additional fees collected from the sale of the Snoopy specialized license plates shall be deposited in the Fund. 9)Limits the expenditures of the proceeds from the Snoopy special license funding the competitive small museum grant program created under the bill. 10)Requires that in seeking authorization from DMV for the special Snoopy license plate, the endowment shall comply with all of the requirements that apply to a state agency that sponsors a specialized license plate program. 11)Provides that this is an urgency measure. FISCAL EFFECT : According to the Assembly Appropriations Committee: 1)Potential one-time special fund costs of approximately $400,000 to DMV to establish the Snoopy license plate program, including computer programming changes and updating of forms. Pursuant to current law, DMV will make computer programming AB 482 Page 3 and form changes only after program applications meet a 7,500-application threshold. Therefore, the DMV will incur these costs only if it receives enough applications to require the department to implement the program. The DMV will incur minor ongoing costs to continue issuing specialty license plates and renewals under the program. All of the DMV's initial and ongoing costs will be covered by a portion of the additional $50 fee paid for specialized license plates. 2)Minor costs to CCHE to submit the program application and license prototype to DMV, design and print the license plate application, and collect and hold applications and fees until 7,500 applications are received. It is expected the endowment will receive assistance with these activities from nonprofit organizations interested in this program. The endowment's costs will eventually be recovered assuming sufficient participation in the program. 3)Potential ongoing revenue to the endowment for museum grant projects and program administration, depending on the number of participants in the license plate program. It is unclear what level of Proposition 40 bond funding will be available for the new grant program. The Governor's 2013-14 includes $1.4 million to the CCHE from Prop. 40 funds for additional projects under the bond program (see below). The CCHE indicates, however, that allocating a small amount of funds on a competitive basis will entail a time-consuming and administratively costly process, at a time when the endowment staff is significantly diminished. Since this funding level was proposed for the budget, about $70,000 in additional bond funds has been identified as available to the endowment. COMMENTS : According to the author's office, "The California Cultural and Historical Endowment (CCHE) is winding down its grant program that has funded 180 capital projects and planning grants with approximately $122 million in Proposition 40 bond funds. AB 482 would shift the agency's location from the State Library to the Resources Agency, with a reduction in administrative and facility costs. The bill has urgency because of the potential savings. "In May 2012 the CCHE Board voted to accept an offer by the California Association of Museums to sponsor a "Snoopy" AB 482 Page 4 specialty license plate, which would provide an ongoing new funding source that could allow the agency to develop a competitive grant program to support small capital projects in museums, consistent with the original legislation that created the CCHE." This bill would implement that program. Please see the policy committee analysis for full discussion of this bill. Analysis Prepared by : Dana Mitchell / A.,E.,S.,T. & I.M. / (916) 319-3450 FN: 0000834