BILL ANALYSIS Ó AB 857 Page 1 GOVERNOR'S VETO AB 857 (Fong) As Amended September 6, 2013 2/3 vote ----------------------------------------------------------------- |ASSEMBLY: |53-24|(May 29, 2013) |SENATE: |23-11|(September 10, | | | | | | |2013) | ----------------------------------------------------------------- ----------------------------------------------------------------- |ASSEMBLY: |51-25|(September 11, | | | | | | |2013) | | | | ----------------------------------------------------------------- Original Committee Reference: E. & R. SUMMARY : Makes numerous significant changes to provisions of state law governing state initiatives. Specifically, this bill : 1)Requires at least 10% of the signatures collected to qualify a state initiative for the ballot to be collected by individuals who did not receive money or valuable consideration exclusively or primarily for the specific purpose of soliciting signatures of electors on the petition, as specified ("10% requirement"). a) Provides that signatures qualify toward the 10% requirement if they are collected by an employee or member of a non-profit organization (except a political party), as specified, who receives money or valuable consideration from the organization and as part of that employment or membership solicits signatures, as specified. b) Provides that signatures solicited through direct mail do not count towards the 10% requirement unless i) every person who organizes, pays, or arranges for the direct mail, is eligible to solicit signatures that qualify toward meeting the 10% requirement, or ii) an organization that has a primary purpose other than soliciting signatures on initiative petitions is soliciting signatures from its members through AB 857 Page 2 direct mail. 2)Requires a petition section that qualifies toward the 10% requirement to be printed on white paper. Requires a petition section that does not qualify toward the 10% requirement to be printed on paper of a color other than white, and to include the following notice printed in 12-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." 3)Requires a person who solicits signatures that qualify toward the 10% requirement to sign an affidavit declaring that to the best of his or her knowledge, the signatures on the sections that he or she circulated should count towards the requirement. 4)Makes corresponding changes to the process for elections officials to verify signatures submitted on a state initiative petition. 5)Provides that the signatures on a state initiative petition section are invalid if they are solicited and submitted by a person who engages in intentional fraud, misrepresentation, or other illegal conduct concerning the circulation of the petition, as specified. Provides that the Secretary of State (SOS), the Attorney General (AG), any district attorney, any city attorney of a city having a population in excess of 750,000, or any elector may enforce this provision by a civil action in which the plaintiff has the burden of showing a violation by clear and convincing evidence. Prohibits a petition section from being invalidated after the SOS has certified that the measure has qualified for the ballot. The Senate amendments : 1)Reduce the percentage of signatures on a state initiative petition that must be collected by individuals who did not receive money or valuable consideration exclusively or primarily for the specific purpose of soliciting signatures of electors on the petition, as specified, from 20% to 10%. AB 857 Page 3 2)Delete provisions of the bill that would have required state initiative petitions to include a listing of the three top donors of $50,000 or more to the committee paying for the petition to be circulated. 3)Delete provisions of the bill that would have required professional petition firms (PPFs) to register with the SOS, and that would have required PPFs to train the circulators that they employ and to provide specified information to the SOS about the paid circulators they employ. Delete related provisions that would have required PPFs to maintain records that would have been subject to inspection by the SOS, and that would have required county elections officials to verify that the individuals who circulated certain initiative petitions were on a list of trained circulators maintained by the SOS. 4)Specify that if a person signs a petition for an initiative both on a petition section that qualifies for meeting the 10% requirement and on a petition section that does not qualify for meeting the 10% requirement, the signature on the petition that meets the 10% requirement shall count, and the other signature shall not. 5)Exclude referendum measures from any of the provisions of the bill. 6)Provide that a person who is paid to collect signatures on an initiative petition is not eligible to collect signatures that qualify toward the 10% requirement for that same initiative. 7)Permit the SOS to adopt emergency regulations for the purposes of this bill. 8)Provide that the provisions of this bill do not apply to any initiative measure for which the AG issues a circulating title and summary before January 1, 2014. 9)Revise the findings and declarations. 10)Make other minor, corresponding, clarifying, and technical changes. AB 857 Page 4 FISCAL EFFECT : According to the Senate Appropriations Committee: 1)Approximately $50,000 to SOS for revising regulations (General Fund). 2)Unknown, probably not substantial, costs to local county election officials (General Fund). COMMENTS : According to the author, "AB 857 preserves the original intent of the initiative process by ensuring that initiative measures have broad-based community support in order to qualify to appear on the ballot. To achieve that goal, AB 857 requires at least 10% of the signatures gathered to qualify a state initiative for the ballot to be collected by grassroots signature gatherers. Additionally, AB 857 helps ensure that measures do not qualify for the ballot due to fraudulent activity by prohibiting fraudulently collected signatures from being used to qualify a measure for the ballot." Under the provisions of this bill, in order for a state initiative measure to qualify for the ballot, at least 10% of the signatures gathered on the petition for that measure would have to be collected on petition sections that were circulated by a person who does not receive money or other valuable consideration exclusively or primarily for the purpose of soliciting signatures of electors on the petition, as specified. This "10% requirement" does not apply to state referendum or recall petitions, nor does it apply to local initiatives, referenda, or recalls. In 1988, the United States Supreme Court ruled that a Colorado prohibition against the use of paid circulators for initiative petitions violated the First Amendment's guarantee of free speech. Writing for a unanimous court, Justice Stevens noted that "[t]he State's interest in protecting the integrity of the initiative process does not justify the prohibition because the State has failed to demonstrate that it is necessary to burden appellees' ability to communicate their message in order to meet its concerns." Meyer v. Grant (1988), 486 U.S. 414. It could be argued that the 10% requirement imposed by this bill could be susceptible to a court challenge in light of the United States Supreme Court's ruling in AB 857 Page 5 Meyer. However, the 10% requirement in this bill is distinguishable from the law struck down in Meyer in a number of different ways, and thus may be more likely to withstand constitutional scrutiny. GOVERNOR'S VETO MESSAGE : The initiative process is far from perfect and monied interests have historically manipulated it at will. Nevertheless, fixing the system is not easy. Requiring a specific threshold of signatures to be gathered by volunteers will not stop abuses by narrow special interests - particularly if "volunteer" is defined with the broad exemptions as in this bill. Efforts to make the system fairer and more reflective of sound government should be considered. But this measure falls short of returning to the citizen-driven system originally envisioned in 1911. Analysis Prepared by: Ethan Jones / E. & R. / (916) 319-2094 FN: 0002907