BILL ANALYSIS                                                                                                                                                                                                    Ó





                                                                AB 857

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        GOVERNOR'S VETO
        AB 857 (Fong)
        As Amended  September 6, 2013
        2/3 vote

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        |ASSEMBLY:  |53-24|(May 29, 2013)  |SENATE: |23-11|(September 10, |
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        |ASSEMBLY:  |51-25|(September 11,  |        |     |               |
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         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  










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             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%.











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        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

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        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  










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        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 


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