BILL ANALYSIS Ó Senate Appropriations Committee Fiscal Summary Senator Kevin de León, Chair AB 857 (Fong) - Initiatives: Petition Circulators Amended: August 12, 2013 Policy Vote: E&CA 4-1 Urgency: No Mandate: Yes Hearing Date: August 19, 2013 Consultant: Maureen Ortiz This bill meets the criteria for referral to the Suspense File. Bill Summary: AB 857 makes several changes to initiative signature gathering procedures relating to qualification requirements for the state ballot. Fiscal Impact: Approximately $50,000 to Secretary of State for revising regulations (General Fund) Unknown, probably not substantial, costs to local county election officials (General Fund) Background: The initiative process is used by the voters to propose new statutes, changes to existing law, and to propose amendments to the California Constitution. Generally, any matter that is a proper subject of legislation can become an initiative measure; however, no initiative measure addressing more than one subject area may be submitted to the voters or have any effect. An initiative measure is placed on the ballot after its proponents successfully satisfy the requirements prescribed by law. Existing law requires that a state or local initiative petition contain a notice alerting voters that the petition may be circulated by a paid signature gatherer or by a volunteer, and that voters have the right to ask if a petition circulator is a paid gatherer or volunteer. Proposed Law: AB 857 contains the following provisions: a) Requires at least 20% of the signatures that are required to qualify an initiative measure to be solicited by a person who does not receive money for signature gathering; and requires the AB 857 (Fong) Page 1 county elections official to determine the number of signatures that were submitted by unpaid circulators. b) Requires initiatives circulated by volunteers to be printed on white paper with a contrasting ink color, and requires those circulated by paid individuals to be printed on paper that is a color other than white with a contrasting ink color. c) Provides local election officials with two additional days (10 up from the current 8 day requirement) to determine the total number of signatures affixed to a petition; and an additional 5 days (35 days up from the current 30 day requirement) to determine that a petition has received a sufficient number of signatures. d) Contains Legislative Intent to do the following: 1) preserve and protect the integrity of California's initiative process, 2) ensure that initiative petitions have sufficient public support from informed voters, and 3) protect access to the initiative process and preserve the constitutional right of voters to engage in direct democracy. e) Requires initiatives circulated by paid signature gatherers to include the following statement in 18-point boldface type: "NOTICE TO THE PUBLIC: THIS PETITION IS BEING CIRCULATED BY A PERSON PAID TO OBTAIN YOUR SIGNATURE. YOU ARE ENCOURAGED TO READ THE CONTENTS OF THIS PETITION BEFORE SIGNING." f) Requires initiatives to contain an additional disclosure in 14-point boldface type informing voters of the name of the political committee that has paid for the circulation, and the names of donors who had contributed $50,000 or more during the preceding six months. g) Revises the existing declaration of the person soliciting signatures that is attached to the initiative or referendum to state that the initiative is being circulated by a volunteer (if that is the case) and that the signatures attached should be counted toward the 20 percent minimum requirement. h) Requires the Secretary of State to enact regulations pursuant to the provisions in this measure. AB 857 (Fong) Page 2 i) Excludes individuals who are an employee or a member of a nonprofit organization and who are paid by the nonprofit organization as part of their employment from the "paid signature gatherer" provisions - unless the primary purpose of that employment is to gather signatures on an initiative petition. j) Provides that signatures solicited by registered voters or employees of a political party who receive money or other valuable consideration from the political party for soliciting signatures on an initiative petition do not qualify toward meeting the 20 percent requirement. k) Provides that signatures solicited through direct mail do not count toward the 20 percent requirement, unless as specified. l) Provides that nominal benefits other than money, such as food, transportation or lodging, do not preclude that individual from soliciting signatures as a volunteer. m) Provides that a state initiative or referendum petition section is invalid if the signatures are solicited and submitted by a person who engages in fraud, misrepresentation, or other illegal conduct concerning the circulation of the petition. Staff Comments: Existing law requires that in order for a measure to qualify to be placed before the voters in California on a statewide ballot, there must be sufficient signatures as follows: a) an initiative measure must have at least 5% of the total votes cast for the office of Governor during the preceding gubernatorial election, and b) a proposed constitutional amendment must have at least 8% of the total votes cast for the last election for Governor. AB 857 will prohibit an initiative from qualifying for the statewide ballot based solely on signatures collected by individuals paid to circulate that petition. AB 857 (Fong) Page 3