Amended in Assembly July 2, 2013

Amended in Senate May 6, 2013

Amended in Senate April 9, 2013

Senate Bill No. 27

Introduced by Senator Correa

December 3, 2012

An act to amend Section 9084 of the Elections Code, and to amend Sections 82015 and 88001 of, and to add Sections 84222 and 84223 to, the Government Code, relating to the Political Reform Act of 1974.

LEGISLATIVE COUNSEL’S DIGEST

SB 27, as amended, Correa. Political Reform Act of 1974.

Existing law, the Political Reform Act of 1974, provides for the comprehensive regulation of campaign financing, including requiring the reporting of campaign contributions and expenditures, as defined, and imposing other reporting and recordkeeping requirements on campaign committees, as defined. The Fair Political Practices Commission administers and enforces the act. A violation of the act’s provisions is punishable as a misdemeanor.

This bill would revise the definition of a “contribution” to include payments made by a donor who, at the time of making the payment, knows or has reason to know that the payment, or funds with which the payment will be commingled, may be used to make contributions or expenditures. The bill would establish a presumption that a donor to a nonprofit or other multipurpose organization, as defined, has reason to know that a payment may be used to make contributions or expenditures begin insert , and that the payment would be reported by the organization, end insert if specified criteria are satisfied, including, among other things, that the organization has made contributions or expenditures begin delete of $1,000 or more in the aggregate end delete begin insert in specified amounts end insert during the calendar year in which the payment occurs or during any of the immediately preceding 4 calendar years.

This bill would impose reporting requirements on specified nonprofit or other multipurpose organizations, including the requirement that the organizations disclose the portion of their activities devoted to California elections and specified information regarding the sources of an organization’s funds used to make those contributions and expenditures, such as donors and dues-paying members.

This bill would require begin insert state end insert ballot measure committees and begin insert state end insert candidate committees that raise $1,000,000 or more for an election to maintain an accurate list of the committee’s top 10 contributors. This bill would require a committee to provide accurate lists of these contributors to the Commission, and would require the Commission to post the top 10 contributor lists on its Internet Web site begin insert , as specified, end insert and to post updates to those lists when prescribed events occur. The bill would require the Commission to provide copies of the top 10 contributor lists to the Secretary of State, at the Secretary of State’s request, for purposes of posting those lists on the Secretary of State’s Internet Web site.

Existing law requires the Secretary of State to prepare a ballot pamphlet that includes specified information with respect to an election.

This bill would require the Secretary of State to include in the ballot pamphlet a written explanation of the top 10 contributor lists required by the bill, including a description of the Internet Web sites where those lists would be available to the public.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

The Political Reform Act of 1974, an initiative measure, provides that the Legislature may amend the act to further the act’s purposes upon a 2⁄3 vote of each house and compliance with specified procedural requirements.

This bill would declare that it furthers the purposes of the act.

Vote: ²⁄₃. Appropriation: no. Fiscal committee: yes. State-mandated local program: yes.

The people of the State of California do enact as follows:

SECTION 1.  

The Legislature finds and declares all of the
following:

(a) Nonprofit and other multipurpose organizations begin delete within and
outside the state end delete begin insert , including out of state organizations, end insert are increasing
their political activities begin delete and some are seeking to make contributions
and expenditures in California elections without revealing their
financial backers. Wealthy individuals and other deep-pocketed
interests should not be able to spend anonymously in California
elections by contributing to these groups. Nonprofit organizations
and other advocacy groups should not be used as intermediaries
to conceal the identities of donors who are required to be disclosed
to the public pursuant to the Political Reform Act of 1974. end delete begin insert in
California, and it is important to clarify how disclosure
requirements apply to these organizations to ensure that the public
receives the required information in an accurate, timely, and
transparent manner. end insert

(b)  begin delete The Political Reform Act of 1974 should be strengthened
to require nonprofit and other multipurpose organizations that
make contributions or expenditures to support or oppose California
candidates or ballot measures to disclose the sources of funds used
for their political contributions and expenditures, just as committees
that raise funds specifically for California elections must. This
disclosure should be limited to the extent of the group’s political
activity in California. end delete The Ninth Circuit Court of Appeals, in
California Pro-Life Council, Inc. v. Randolph (9th Cir. 2007) 507
F.3d 1172, upheld the disclosure of a nonprofit or other
multipurpose organization’s political activities, as required by
regulations of the Fair Political Practices Commission.

(c) The disclosure of donors to nonprofit or other multipurpose
organizations that make contributions or expenditures to support
or oppose California candidates and ballot measures serves the
following important purposes:

(1) It provides the electorate with information as to where
campaign money comes from, increasing its ability to identify the
supporters of a candidate or ballot measure.

(2) It deters actual corruption and avoids the appearance of
corruption by begin delete exposing large end delete begin insert providing increased transparency of end insert
contributions and begin delete expenditures to the light of publicity. end delete
begin insert expenditures. end insert

(3) It is an important means of gathering the information
necessary to detect violations of the Political Reform Act of 1974.

begin delete

(4) It prevents people and organizations from being able to mask
their identities by pretending to make contributions for, or to be
formed for, a nonpolitical purpose.

end delete

(d) The people of California have a compelling interest in
receiving clear and easy to use information about who is financing
begin insert state end insert ballot measures and candidate independent expenditure
committees. begin delete Committees themselves are in the best position to
provide the public with information about their top 10 financial
backers in an accurate, timely, and transparent manner. end delete

(e) It is therefore the intent of the Legislature to strengthen the
laws requiring the disclosure of contributions and expenditures in
California elections by nonprofit and other multipurpose
organizations and to require committees that raise or spend one
million dollars ($1,000,000) or more to support or oppose begin insert state end insert
ballot measures or make independent expenditures on behalf of a
begin insert state end insert candidate to disclose a list of their top 10 contributors on
the Internet Web site of the Fair Political Practices Commission.

SEC. 2.  

Section 9084 of the Elections Code is amended to read:

9084.  

The ballot pamphlet shall contain all of the following:

(a) A complete copy of each state measure.

(b) A copy of the specific constitutional or statutory provision,
if any, that each state measure would repeal or revise.

(c) A copy of the arguments and rebuttals for and against each
state measure.

(d) A copy of the analysis of each state measure.

(e) Tables of contents, indexes, art work, graphics, and other
materials that the Secretary of State determines will make the ballot
pamphlet easier to understand or more useful for the average voter.

(f) A notice, conspicuously printed on the cover of the ballot
pamphlet, indicating that additional copies of the ballot pamphlet
will be mailed by the county elections official upon request.

(g) A written explanation of the judicial retention procedure as
required by Section 9083.

(h) The Voter Bill of Rights pursuant to Section 2300.

(i) If the ballot contains an election for the office of United
States Senator, information on candidates for United States Senator.
A candidate for United States Senator may purchase the space to
place a statement in the state ballot pamphlet that does not exceed
250 words. The statement may not make any reference to any
opponent of the candidate. The statement shall be submitted in
accordance with timeframes and procedures set forth by the
Secretary of State for the preparation of the state ballot pamphlet.

(j) If the ballot contains a question on the confirmation or
retention of a justice of the Supreme Court, information on justices
of the Supreme Court who are subject to confirmation or retention.

(k) If the ballot contains an election for the offices of President
and Vice President of the United States, a notice that refers voters
to the Secretary of State’s Internet Web site for information about
candidates for the offices of President and Vice President of the
United States.

(l) A written explanation of the appropriate election procedures
for party-nominated, voter-nominated, and nonpartisan offices as
required by Section 9083.5.

(m) A written explanation of the top 10 contributor lists required
by Section 84223 of the Government Code, including a description
of the Internet Web sites where those lists are available to the
public.

SEC. 3.  

Section 82015 of the Government Code is amended
to read:

82015.  

(a) “Contribution” means a payment, a forgiveness of
a loan, a payment of a loan by a third party, or an enforceable
promise to make a payment except to the extent that full and
adequate consideration is received, unless it is clear from the
surrounding circumstances that it is not made for political purposes.

(b) (1) A payment made at the behest of a committee as defined
in subdivision (a) of Section 82013 is a contribution to the
committee unless full and adequate consideration is received from
the committee for making the payment.

(2) A payment made at the behest of a candidate is a contribution
to the candidate unless the criteria in either subparagraph (A) or
(B) are satisfied:

(A) Full and adequate consideration is received from the
candidate.

(B) It is clear from the surrounding circumstances that the
payment was made for purposes unrelated to his or her candidacy
for elective office. The following types of payments are presumed
to be for purposes unrelated to a candidate’s candidacy for elective
office:

(i) A payment made principally for personal purposes, in which
case it may be considered a gift under the provisions of Section
82028. Payments that are otherwise subject to the limits of Section
86203 are presumed to be principally for personal purposes.

(ii) A payment made by a state, local, or federal governmental
agency or by a nonprofit organization that is exempt from taxation
under Section 501(c)(3) of the Internal Revenue Code.

(iii) A payment not covered by clause (i), made principally for
legislative, governmental, or charitable purposes, in which case it
is neither a gift nor a contribution. However, payments of this type
that are made at the behest of a candidate who is an elected officer
shall be reported within 30 days following the date on which the
payment or payments equal or exceed five thousand dollars
($5,000) in the aggregate from the same source in the same
calendar year in which they are made. The report shall be filed by
the elected officer with the elected officer’s agency and shall be
a public record subject to inspection and copying pursuant to
subdivision (a) of Section 81008. The report shall contain the
following information: name of payor, address of payor, amount
of the payment, date or dates the payment or payments were made,
the name and address of the payee, a brief description of the goods
or services provided or purchased, if any, and a description of the
specific purpose or event for which the payment or payments were
made. Once the five-thousand-dollar ($5,000) aggregate threshold
from a single source has been reached for a calendar year, all
payments for the calendar year made by that source must be
disclosed within 30 days after the date the threshold was reached
or the payment was made, whichever occurs later. Within 30 days
after receipt of the report, state agencies shall forward a copy of
these reports to the Fair Political Practices Commission, and local
agencies shall forward a copy of these reports to the officer with
whom elected officers of that agency file their campaign
statements.

(C) For purposes of subparagraph (B), a payment is made for
purposes related to a candidate’s candidacy for elective office if
all or a portion of the payment is used for election-related activities.
For purposes of this subparagraph, “election-related activities”
shall include, but are not limited to, the following:

(i) Communications that contain express advocacy of the
nomination or election of the candidate or the defeat of his or her
opponent.

(ii) Communications that contain reference to the candidate’s
candidacy for elective office, the candidate’s election campaign,
or the candidate’s or his or her opponent’s qualifications for
elective office.

(iii) Solicitation of contributions to the candidate or to third
persons for use in support of the candidate or in opposition to his
or her opponent.

(iv) Arranging, coordinating, developing, writing, distributing,
preparing, or planning of any communication or activity described
in clause (i), (ii), or (iii).

(v) Recruiting or coordinating campaign activities of campaign
volunteers on behalf of the candidate.

(vi) Preparing campaign budgets.

(vii) Preparing campaign finance disclosure statements.

(viii) Communications directed to voters or potential voters as
part of activities encouraging or assisting persons to vote if the
communication contains express advocacy of the nomination or
election of the candidate or the defeat of his or her opponent.

(D) A contribution made at the behest of a candidate for a
different candidate or to a committee not controlled by the
behesting candidate is not a contribution to the behesting candidate.

(3) A payment made at the behest of a member of the Public
Utilities Commission, made principally for legislative,
governmental, or charitable purposes, is not a contribution.
However, payments of this type shall be reported within 30 days
following the date on which the payment or payments equal or
exceed five thousand dollars ($5,000) in the aggregate from the
same source in the same calendar year in which they are made.
The report shall be filed by the member with the Public Utilities
Commission and shall be a public record subject to inspection and
copying pursuant to subdivision (a) of Section 81008. The report
shall contain the following information: name of payor, address
of payor, amount of the payment, date or dates the payment or
payments were made, the name and address of the payee, a brief
description of the goods or services provided or purchased, if any,
and a description of the specific purpose or event for which the
payment or payments were made. Once the five-thousand-dollar
($5,000) aggregate threshold from a single source has been reached
for a calendar year, all payments for the calendar year made by
that source must be disclosed within 30 days after the date the
threshold was reached or the payment was made, whichever occurs
later. Within 30 days after receipt of the report, the Public Utilities
Commission shall forward a copy of these reports to the Fair
Political Practices Commission.

(c) “Contribution” includes the purchase of tickets for events
such as dinners, luncheons, rallies, and similar fundraising events;
the candidate’s own money or property used on behalf of his or
her candidacy other than personal funds of the candidate used to
pay either a filing fee for a declaration of candidacy or a candidate
statement prepared pursuant to Section 13307 of the Elections
Code; the granting of discounts or rebates not extended to the
public generally or the granting of discounts or rebates by television
and radio stations and newspapers not extended on an equal basis
to all candidates for the same office; the payment of compensation
by any person for the personal services or expenses of any other
person if the services are rendered or expenses incurred on behalf
of a candidate or committee without payment of full and adequate
consideration.

(d) “Contribution” further includes any transfer of anything of
value received by a committee from another committee, unless
full and adequate consideration is received.

(e) “Contribution” does not include amounts received pursuant
to an enforceable promise to the extent those amounts have been
previously reported as a contribution. However, the fact that those
amounts have been received shall be indicated in the appropriate
campaign statement.

(f) “Contribution” does not include a payment made by an
occupant of a home or office for costs related to any meeting or
fundraising event held in the occupant’s home or office if the costs
for the meeting or fundraising event are five hundred dollars ($500)
or less.

(g) Notwithstanding the foregoing definition of “contribution,”
the term does not include volunteer personal services or payments
made by any individual for his or her own travel expenses if the
payments are made voluntarily without any understanding or
agreement that they shall be, directly or indirectly, repaid to him
or her.

(h) “Contribution” further includes the payment of public
moneys by a state or local governmental agency for a
communication to the public that satisfies both of the following:

(1) The communication expressly advocates the election or
defeat of a clearly identified candidate or the qualification, passage,
or defeat of a clearly identified measure, or, taken as a whole and
in context, unambiguously urges a particular result in an election.

(2) The communication is made at the behest of the affected
candidate or committee.

(i) (1) “Contribution” further includes a payment made to a
person, including, but not limited to, a nonprofit or other
multipurpose organization as defined in Section 84222, if, at the
time of making the payment, the donor knows or has reason to
know that the payment, or funds with which the payment will be
commingled, may be used to make a contribution or expenditure
to support or oppose a California state or local candidate or ballot
measure. Contributions that satisfy the criteria of this subdivision
shall be reported in the manner prescribed by Section 84222.

(2) For purposes of paragraph (1), there shall be a presumption
that a donor to a nonprofit or other multipurpose organization has
reason to know that all or part of the payment may be used to make
a contribution or expenditure begin insert and that disclosure of that payment
by the nonprofit or other multipurpose organization is required
pursuant to this title end insert if any of the following criteria are satisfied:

(A) The nonprofit or other multipurpose organization has begin delete madecontributions end delete begin insert made contributions end insert or expenditures begin delete of one
thousand dollars ($1,000) or more end delete begin insert in an amount, end insert in the aggregate begin insert ,
equal to or greater than the amount specified in subdivision (a)
of Section 82013 end insert during the calendar year in which the payment
occurs or during any of the immediately preceding four calendar
years.

(B) The nonprofit or other multipurpose organization makes
begin delete payments end delete begin insert an initial payment or payments end insert totaling five hundred
thousand dollars ($500,000) or more for contributions or
expenditures in this state during the current calendar year.

(C) The nonprofit or other multipurpose organization has
disclosed contributions or expenditures to support or oppose
candidates or ballot measures, or for issue advocacy activities, in
this state on any publicly available annual or periodic report of its
activities, including Internal Revenue Service Form 990, filed with
a federal, state, or local government agency during the calendar
year in which the payment occurs or during any of the immediately
preceding four calendar years.

(D) The nonprofit or other multipurpose organization has a
sponsored committee registered with the Secretary of State.

SEC. 4.  

Section 84222 is added to the Government Code, to
read:

84222.  

(a) For purposes of this section and Section 82015,
“nonprofit or other multipurpose organization” means a nonprofit
organization formed and operated under Section 501(c)(3),
501(c)(4), 501(c)(5), or 501(c)(6) of the Internal Revenue Code,
a federal or out-of-state political organization, or an unincorporated
association.

(b) A nonprofit or other multipurpose organization that qualifies
as a committee under Section 82013 shall file the campaign
statements required by this title and shall disclose the portion of
its activities devoted to California state and local elections. The
organization’s campaign statements shall report its contributions
and expenditures to support or oppose state and local candidates
and ballot measures in California and shall itemize the sources of
funds used to make those contributions and expenditures, including,
but not limited to, donors and dues-paying members.

(c) A donor who makes a contribution described in subdivision
(i) of Section 82015 to a nonprofit or other multipurpose
organization that qualifies as a committee shall be identified and
reported by the organization that receives the contribution in
accordance with regulations adopted by the Commission. The
begin delete Commission’s regulations shall provide that the end delete nonprofit or other
multipurpose organization begin insert shall end insert identify each donor who requests
or knows that the donor’s payment will be used by the organization
to make a contribution or an expenditure to support or oppose a
candidate or ballot measure in begin delete California. end delete begin insert California and shall
disclose the information required by subdivision (f) of Section
84211 for each identified donor who donates one hundred dollars
($100) or more in a calendar year. end insert The begin delete Commission’s regulations
shall further provide that the end delete nonprofit or other multipurpose
organization begin insert shall end insert identify other donors to the organization based
on a “last in, first out” accounting method, and shall begin delete specify the
formula for that determination end delete begin insert disclose the information required
by subdivision (f) of Section 84211 for each donor identified
pursuant to that method who made a single donation payment of
one thousand dollars ($1,000) or more end insert . However, a donor need
not be reported as a contributor pursuant to this section if the
organization has evidence that clearly establishes specific
circumstances demonstrating that the donor did not know or have
reason to know that its payment would be used to fund a
contribution or expenditure.

(d) A nonprofit or other multipurpose organization that qualifies
as a committee and discloses its activities devoted to California
elections pursuant to this section shall, on the organization’s
statement of organization filed pursuant to Section 84102, indicate
that organization’s tax-exempt or other organizational status,
describe the organization’s mission or most significant activities,
and describe the organization’s political activities.

(e) A nonprofit or other multipurpose organization that qualifies
as a committee and files campaign statements required by this title
to disclose its activities devoted to California elections shall state
begin delete the total dollar amount of, and end delete the percentage of its total
expenditures devoted to begin delete , end delete contributions and expenditures supporting
or opposing California candidates or ballot measures begin insert during the
preceding calendar year end insert on its begin delete semi-annual end delete begin insert campaign end insert statement
due on January begin delete 31 for the period commencing July 1 and ending
December 31, and on its Internet Web site, if any. end delete begin insert 31. end insert

(f) A person shall not use a nonprofit or other multipurpose
organization as an intermediary or agent for the purpose of making
a contribution on behalf of that person without providing to the
organization all of the information required to be disclosed by
Section 84302. A nonprofit or other multipurpose organization
shall disclose the identity of a person for whom the organization
is acting as an intermediary or agent to the recipient of the
contribution, as well as all other information required by Section
84302. The nonprofit or other multipurpose organization shall not
knowingly conceal the name of a donor for whom the organization
makes a contribution as an intermediary or agent for the purpose
of withholding information required to be made public under this
title.

SEC. 5.  

Section 84223 is added to the Government Code, to
read:

84223.  

(a) A committee primarily formed to support or oppose
a begin insert state end insert ballot measure or begin insert state end insert candidate that raises one million
dollars ($1,000,000) or more for an election shall maintain an
accurate list of the committee’s top 10 contributors, as specified
by Commission regulations. A current list of the top 10 contributors
shall be provided to the Commission for disclosure on the
Commission’s Internet Web site, as provided in subdivision (c).

(b) (1) Except as provided in paragraph (4), the list of top 10
contributors shall identify the names of the 10 persons who have
made the largest cumulative contributions to the committee, the
total amount of each person’s contributions, the city and state of
the person, the person’s committee identification number, if any,
and any other information deemed necessary by the Commission.
begin insert If any of the top 10 contributors identified on the list are
committees pursuant to subdivision (a) of Section 82013, the
Commission may require, by regulation, that the list also identify
the top 10 contributors to those contributing committees. end insert

(2) (A) A committee primarily formed to support or oppose a
begin insert state end insert ballot measure shall count the cumulative amount of
contributions received by the committee from a person for the
period beginning 12 months prior to the date the committee made
its first expenditure to qualify, support, or oppose the measure and
ending with the current date.

(B) A committee primarily formed to support or oppose a begin insert state end insert
candidate shall count the cumulative amount of contributions
received by the committee from a person for the primary and
general elections combined.

(3) The aggregation rules of Section 85311 and any
implementing regulations adopted by the Commission shall apply
in identifying the persons who have made the top 10 cumulative
contributions to a committee.

(4) A person who makes contributions to a committee in a
cumulative amount of less than ten thousand dollars ($10,000)
shall not be identified or disclosed as a top 10 contributor to a
committee pursuant to this section.

(c) (1) The Commission shall adopt regulations to govern the
manner in which the Commission shall display top 10 contributor
lists provided by a committee that is subject to this section, and
the Commission shall post the top 10 contributor lists on its Internet
Web site in the manner prescribed by those regulations. The
Commission shall provide the top 10 contributor lists to the
Secretary of State, upon the request of the Secretary of State, for
the purpose of additionally posting the contributor lists on the
Secretary of State’s Internet Web site.

(2) A committee shall provide an updated top 10 contributor
list to the Commission when any of the following occurs:

(A) A new person qualifies as a top 10 contributor to the
committee.

(B) A person who is an existing top 10 contributor makes
additional contributions to the committee.

(C) A change occurs that alters the relative ranking order of the
top 10 contributors.

(3) The 10 persons who have made the largest cumulative
contributions to a committee shall be listed in order from largest
contribution amount to smallest amount. If two or more
contributors of identical amounts meet the threshold for inclusion
in the list of top 10 contributors, the order of disclosure shall be
made beginning with the most recent contributor of that amount.

(4) The Commission shall post or update a top 10 contributor
list within five business days or, during the 16 days before the
election, within 48 hours of a contributor qualifying for the list or
of any change to the list.

(d) In listing the top 10 contributors, a committee shall use
reasonable efforts to identify and state the actual individuals or
corporations that are the true sources of the contributions made to
the committee from other persons or committees.

(e) In addition to any other lists that the Commission is required
to post on its Internet Web site, the Commission shall compile,
maintain, and display on its Internet Web site a current list of the
top 10 contributors supporting and opposing each state ballot
measure, as prescribed by Commission regulations.

SEC. 6.  

Section 88001 of the Government Code is amended
to read:

88001.  

The ballot pamphlet shall contain all of the following:

(a) A complete copy of each state measure.

(b) A copy of the specific constitutional or statutory provision,
if any, that would be repealed or revised by each state measure.

(c) A copy of the arguments and rebuttals for and against each
state measure.

(d) A copy of the analysis of each state measure.

(e) Tables of contents, indexes, art work, graphics, and other
materials that the Secretary of State determines will make the ballot
pamphlet easier to understand or more useful for the average voter.

(f) A notice, conspicuously printed on the cover of the ballot
pamphlet, indicating that additional copies of the ballot pamphlet
will be mailed by the county elections official upon request.

(g) A written explanation of the judicial retention procedure as
required by Section 9083 of the Elections Code.

(h) The Voter Bill of Rights pursuant to Section 2300 of the
Elections Code.

(i) If the ballot contains an election for the office of United
States Senator, information on candidates for United States Senator.
A candidate for United States Senator may purchase the space to
place a statement in the state ballot pamphlet that does not exceed
250 words. The statement may not make any reference to any
opponent of the candidate. The statement shall be submitted in
accordance with timeframes and procedures set forth by the
Secretary of State for the preparation of the state ballot pamphlet.

(j) If the ballot contains a question as to the confirmation or
retention of a justice of the Supreme Court, information on justices
of the Supreme Court who are subject to confirmation or retention.

(k) If the ballot contains an election for the offices of President
and Vice President of the United States, a notice that refers voters
to the Secretary of State’s Internet Web site for information about
candidates for the offices of President and Vice President of the
United States.

(l) A written explanation of the appropriate election procedures
for party-nominated, voter-nominated, and nonpartisan offices as
required by Section 9083.5 of the Elections Code.

(m) A written explanation of the top 10 contributor lists required
by Section 84223, including a description of the Internet Web sites
where those lists are available to the public.

SEC. 7.  

No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of
the Government Code, or changes the definition of a crime within
the meaning of Section 6 of Article XIII B of the California
Constitution.

SEC. 8.  

The Legislature finds and declares that this bill furthers
the purposes of the Political Reform Act of 1974 within the
meaning of subdivision (a) of Section 81012 of the Government
Code.