BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                  SB 475
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          Date of Hearing:   June 25, 2013
          Counsel:        Gabriel Caswell


                         ASSEMBLY COMMITTEE ON PUBLIC SAFETY
                                 Tom Ammiano, Chair

                  SB 475 (Leno) - As Introduced:  February 21, 2013

           
          SUMMARY  :  Provides that gun shows at the Cow Palace can occur  
          only upon prior approval of both the Board of Supervisors of the  
          County of San Mateo and the City and County of San Francisco, as  
          specified.  Specifically,  this bill  :  

          1)Provides that an officer, employee, operator, or lessee of  
            Agricultural District 1-A, as defined, may contract for,  
            authorize, or allow an event at which a firearm or ammunition  
            is sold on the property or in the buildings that comprise the  
            Cow Palace property in San Mateo County and the City and  
            County of San Francisco or any successor or additional  
            property owned, leased, or otherwise occupied, or operated by  
            the district, only upon prior approval, by resolution, adopted  
            by both the Board of Supervisors of the County of San Mateo  
            and the Board of Supervisors of the City and County of San  
            Francisco.  

          2)A violation of these provisions would be a misdemeanor  
            punishable by imprisonment in a county jail not to exceed six  
            months, by a fine not to exceed $1,000, or by both a fine and  
            imprisonment.
           
          EXISTING LAW  :  
           
           1)Provides the following pertaining to the Cow Palace, a  
            state-owned facility managed by Agricultural District 1-A:   
            (California Food and Agricultural Code Sections 3851 and  
            3853.)  

              a)   Defines "state designated fairs" as fairs, as specified,  
               that may receive financial support or are otherwise  
               governed pursuant to specified sections of law.  The  
               district agricultural associations and their locations are  
               as follows:  ? (2) District 1-A, held in the City of San  
               Francisco.  








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              b)   Provides that the state is divided into agricultural  
               districts, including "District 1-A is the County of San  
               Mateo and the City and County of San Francisco."   

              c)   Provides that an association, with the approval of both  
               the Department of Food and Agriculture and the Department  
               of General Services, may do any of the following:  

                i)     Contract.  

                ii)    Purchase, acquire, hold, sell, exchange, or convey  
                 any interest in real or personal property and beautify or  
                 improve that property, as specified.  

                iii)   Lease, let, or grant licenses for the use of its  
                 real estate or personal property, or any portion of that  
                 property, to any person or public body for whatever  
                 purpose may be approved by the board.  

                iv)    Use or manage its real estate or personal property,  
                 or any portion of that property, for any or all of the  
                 purposes of this section jointly with any lessee,  
                 sublessee, or licensee, or otherwise use or manage the  
                 property in connection with the lease, sublease, or  
                 license which is made or granted.  

                v)     Lease or let its real property for public park,  
                 recreational, or playground purposes.  

                vi)    Rent or permit the use of its premises for any  
                 purpose which is beneficial to the agricultural industry,  
                 including, but not limited to, the holding of sales or  
                 auctions of cattle or other livestock.  

                vii)   Contract with any county or county fair association  
                 for holding a fair jointly with the county or county fair  
                 association.  The joint fair is a district fair of the  
                 association.  

                viii)  Make permanent improvements upon publicly owned real  
                 property adjacent to real property of the district when  
                 the improvements materially benefit the property of the  
                 district.  









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                ix)    Pledge any and all revenues, moneys, accounts,  
                 accounts receivable, contract rights, and other rights to  
                 payment of whatever kind, pursuant to such terms and  
                 conditions as are approved by the board, as specified.  

           2)Requires generally that the sale, loan or transfer of a  
            firearm (handguns, rifles and shotguns) in California -  
            including private party transactions and including  
            transactions at gun shows - must be conducted through a state  
            licensed firearms dealer or through a local sheriff's  
            department in counties of less than 200,000 population.  A  
            10-day waiting period, background check, and Handgun Safety  
            Certificate for handgun transfers are required prior to  
            delivery of the firearm.  Firearms dealers are allowed to  
            conduct business only in their licensed premises, sell their  
            gun inventory at gun shows or events, or process private sales  
            or transfers of any firearms at gun shows or events.  Handgun  
            purchases are limited to no more than one per 30-day period.   
            Transferees must be California residents and no person under  
            age 21 may buy a handgun and no person under 18 years of age  
            may buy a rifle or shotgun.  (Penal Code Sections 12071,  
            12072, 12082, and 12084.)  Numerous other requirements in law  
            pertain to the transfer of firearms, including prohibited  
            categories of persons who may not possess firearms.  There are  
            a number of criminal penalties applicable to those firearm  
            provisions.  (Penal Code Sections 12021 and 12021.1.)  

           3)Specifies a number of specified requirements on gun show  
            operators, attendees at gun shows, and the Department of  
            Justice.  (Penal Code Sections 12071.1 and 12071.4.)  

          FISCAL EFFECT  :   Unknown

           COMMENTS :   

           1)Author's Statement  :  "SB 475 will help bring local input into  
            the decision to host one of the largest gun shows in one of  
            the communities hardest hit by violent crime in the Bay Area.

            "Every year at least five gun shows are held at the Cow  
            Palace, which straddles the counties of San Francisco and San  
            Mateo. The facility is located directly across from the  
            Sunnydale public housing project and near the communities of  
            Visitacion Valley, Bayview-Hunters Point and the Mission  
            District. These communities have been plagued by gun violence  








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            for years. Between 2005 and 2009, these communities have  
            accounted for 44% of the homicides and more than 30% of the  
            guns seized in the City and County of San Francisco.

            "In the last 6 months alone there have been 75 homicides and  
            gun-related crimes in a two-mile radius of the Cow Palace, in  
            the City and County of San Francisco.

            "These statistics speak to the difficultly that these  
            communities have faced in controlling the impact of guns and  
            related violence in the areas near the Cow Palace. The efforts  
            by schools, law enforcement, and residents are made more  
            difficult when gun show comes to town every other month.  The  
            images and messages associated with these shows often  
            undermine the hard work of these communities to reduce  
            gun-related crimes and to create a safer environment for  
            children and their families.  

            "Because the Cow Palace is a state facility, which is owned  
            and managed by the California Department of Agriculture's  
            Division of Fairs and Expositions, state legislation is  
            necessary to allow the counties of San Mateo and San Francisco  
            to have a voice in the decision to host these shows at the  
            facility."

           2)Current Cow Palace Usage  :  According to a San Francisco  
            Chronicle article, "The Cow Palace was opened in 1941 and is  
            an agency of the California Food and Agricultural Department's  
            Division of Fairs and Expositions.  Originally built to serve  
            as a livestock pavilion, it now holds 100 events annually,  
            including four to six gun shows as well as more innocuous  
            activities including rodeos, dog shows, circuses and Disney on  
            Ice.

          "San Francisco . . . adopted legislation banning gun shows on  
            city and county property.  Other counties, including Alameda,  
            Marin and Los Angeles, have passed similar bans.  But because  
            the Cow Palace sits on state-owned land between San Francisco  
            and San Mateo County, local governing bodies don't have  
            authority over its gun shows."  [Knight, SF Mayor, Police  
            Chief Call for Gun-Show Ban at Cow Palace, San Francisco  
            Chronicle (Aug. 10, 2007) p. B-1.]

           3)Existing Regulations of Gun Shows  :  Existing law requires that  
            firearms transactions must take place through a licensed  








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            firearms dealer and involves a background check, a 10-day  
            waiting period before delivery of the firearm to the  
            transferee, and a Handgun Safety Certificate possessed by the  
            transferee if the firearm is a handgun.  

          In addition, AB 295 (Corbett) Chapter 247, Statutes of 1999,  
            amended the law pertaining to gun shows and added the Gun Show  
            Enforcement and Security Act of 2000 which includes a number  
            of requirements for producers that promote gun shows.  To  
            obtain a certificate of eligibility from the DOJ, a promoter  
            must certify that he or she is familiar with existing law  
            regarding gun shows; obtain at least $1 million of liability  
            insurance; provide an annual list of gun shows the applicant  
            plans to promote; pay an annual fee of $85; make available to  
            local law enforcement a complete list of all entities that  
            have rented any space at the show; submit not later than 15  
            days before the start of the show an event and security plan;  
            submit a list to DOJ of prospective vendors and designated  
            firearms transfer agents who are licensed dealers; provide  
            photo identification of each vendor and vendor's employee;  
            prepare an annual event and security plan; and require all  
            firearms carried onto the premises of a show to be checked,  
            cleared of ammunition, secured in a way that they cannot be  
            operated, and have an identification tag or sticker attached. 

          AB 295 also provided for a number of penalties for a gun show  
            producer's willful failure to comply with the specified  
            requirements.

           4)The Sale of Guns is Commercial Speech  :  The Supreme Court has  
            defined commercial speech as speech that "does no more than  
            propose a commercial transaction."  [Virginia State Bd. of  
            Pharmacy v. Virginia Citizens Consumer Council (1976) 425 U.S.  
            748, 762; Board of Trustees of the State Univ. of N.Y. v. Fox  
            (1989) 492 U.S. 469, 482.]  An offer to sell firearms or  
            ammunition is speech that "does no more than propose a  
            commercial transaction.  Such an offer is, therefore,  
            commercial speech within the meaning of the First Amendment."   
            [Nordic v. Santa Clara County (9th Cir. Cal. 1997) 110 F.3d  
            707, 710.]

          To survive First Amendment scrutiny, a restriction on commercial  
            speech must:  (a) concern lawful activity; (b) be truthful;  
            (c) directly advance a substantial governmental interest; and  
            (d) be no more extensive than necessary to serve that  








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            interest.  [See Central Hudson Gas & Elec. Corp. v. Public  
            Serv. Comm'n of New York (1980) 447 U.S. 557; see also Greater  
            New Orleans Broadcasting Ass'n. Inc. v. United States (1999)  
            527 U.S. 173 (applying the Central Hudson test to a commercial  
            speech case); Pearson v. Edgar (7th Cir. 1998) 153 F.3d 397  
            (same).]

              a)   Firearm Ban on County Property Through Contract  :  The  
               Ninth Circuit of the United States Court of Appeals,  
               Nordyke v. Santa Clara County (9th Cir. Cal. 1997) 110 F.3d  
               707, held that Santa Clara County violated the First  
               Amendment to the United States Constitution by preventing  
               the operation of gun shows in Santa Clara County.  The  
               County, which owned the Santa Clara Fairgrounds, had  
               inserted a clause in a lease contract to attempt to prevent  
               the lessee from subleasing the fairgrounds to gun shows.   
               Thus, gun shows were not illegal.  The County had attempted  
               to prevent them by a contract clause.  The Court explained  
               that since guns were legal to sell, an offer to sell a gun  
               at a gun show is a constitutionally protected exercise of  
               free expression under the First Amendment.  

             However, the Court explained, if the County had made the sale  
               of guns illegal (and assuming the County had the authority  
               to do so), it would not violate the First Amendment to  
               prohibit gun shows.  A total ban on gun shows on county  
               property is within the scope of a county's authority.   
               "Under California Government Code section 23004(d), a  
               county is given substantial authority to manage its  
               property, including the most fundamental decision as to how  
               the property will be used and that nothing in the gun show  
               statutes evince intent to override that authority.  The gun  
               show statutes do not mandate that counties use their  
               property for such shows.  If the county does allow such  
               shows, it may impose more stringent restrictions on the  
               sale of firearms than state law prescribes."  (Id. at 766.)  
                At the time of the Ninth Circuit decision, there was no  
               local ordinance prohibiting gun shows.

              b)   County Ordinances May Ban the Sale of Firearms on County  
               Property  :  In a companion case, Great W.  Shows, Inc. v.  
               County of L.A. (2002) 27 Cal.4th 853, an operator of gun  
               shows brought an action in federal district court against  
               Los Angeles County seeking an injunction against  
               enforcement of a county ordinance prohibiting the sale of  








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               firearms and ammunition on county property.  The California  
               Supreme Court held that state law neither preempted the  
               county ordinance, nor did it compel counties to allow their  
               property to be used for gun shows where guns and ammunition  
               were sold.  (Id. at 861.)  The Legislature has preempted  
               discrete areas of gun regulation rather than the entire  
               field of gun control.  (Id. at 861.)  " . . . [S]tate law  
               tends to concentrate on specific areas, leaving unregulated  
               other substantial areas relating to the control of  
               firearms, indicates an intent to permit local governments  
               to tailor firearms legislation to the particular needs of  
               their communities."  (Suter v. City of Lafayette (1997) 57  
               Cal.App.4th 1109, 1119.)  Government Code Section 23004(d)  
               authorizes counties to manage their own property, and that  
               includes deciding how the property may be used, whether  
               that decision is embodied in a contract with a private  
               party, in an ordinance, or in some combination of the two.   
               (Great W.  Shows, Inc., supra, 27 Cal.4th at 871.) 

              c)   Cow Palace is Situated on State-Owned Land  : Both Great  
               Western and Nordyke stand for a narrow proposition that  
               state gun show regulations - which expressly contemplate  
               additional local regulation - do not preclude local  
               governments from banning the sale or possession of firearms  
               and ammunition at gun shows on county-owned public  
               property. The Cow Palace is not county-owned public  
               property, thus the Legislature must enact a law to  
               specifically ban gun shows.  County and or city bans of gun  
               shows on the aforementioned property are unenforceable. 

           5)Argument in Support  :  According to the  California Chapters of  
            the Brady Campaign to Prevent Gun Violence  , "The Cow Palace is  
            a State owned property located in both San Francisco and San  
            Mateo counties.  State owned fairgrounds are generally  
            operated by the State Department of Food and Agriculture and  
            are exempt from local ordinances.  Senate Bill 475 requires  
            that before events in which firearms or ammunition are sold at  
            the Cow Palace, prior approval must be obtained from the San  
            Mateo and San Francisco county boards of supervisors.

            "Local jurisdictions have the primary responsibility for  
            providing for the public safety of their communities.  Local  
            entities are often able to adopt ordinances more stringent  
            than those that apply to the State as a whole in order to  
            protect their citizens.  Despite advances in gun show  








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            regulation, local communities plagued by gun violence may find  
            that gun shows still pose an unacceptable risk to public  
            safety.

            "We understand that both San Mateo County and San Francisco  
            County adopted resolutions in 2003 asking the California  
            Legislature to terminate gun shows at the Cow Palace.  Ten  
            years later, the Legislature has failed to act and the  
            resolutions are not binding on State property.

            "The Brady Campaign to Prevent Gun Violence, as a matter of  
            general principle, neither supports nor does it oppose firearm  
            bans.  The Brady Campaign, however, does strongly support the  
            right of local communities to adopt measures to enhance local  
            public safety.  Accordingly, the California Brady Campaign  
            Chapters support SB 475."

           6)Argument in Opposition:   According to  Crossroads of the West  :   
            "We have been the operator of the gun shows at the Cow Palace  
            for 25 years.  During that time, no gun sold at the show has  
            ever been reported by law enforcement as a crime gun.  All  
            laws pertaining to gun shows have always been strictly  
            followed.

            "We have also actively participated in the development of  
            state laws governing gun shows, including the enactment of AB  
            295 (Corbett, Chapter 247, Statutes of 1999).  As a result of  
            the passage of these laws, California gun shows are very  
            thoroughly regulated and enforced.  The same laws that apply  
            to sales at a firearms dealers store also apply to sales at  
            gun shows, including sales between private parties.

            "A study of gun shows conducted at the University of  
            California, Davis found that California's gun shows are well  
            run and lawfully conducted.  The study further indicated that  
            California's gun shows, and the state's laws governing them,  
            are the model for other states to emulate.

            "SB 475 would abandon to local governments the Legislature's  
            and the State of California's power and responsibility  
            relative to gun shows held at the Cow Palace, Agricultural  
            District 1-A.  It would do so by allowing the County of San  
            Mateo and the County and City of San Francisco to effectively  
            prohibit the state from contracting for gun shows or other  
            events at which firearms or ammunition are sold by simply not  








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            passing resolutions to approve it."

           7)Prior Legislation  :  

             a)   AB 2948 (Leno), of the 2007-08 Legislative Session,  
               would have prohibited the sale of firearms or ammunition on  
               state property known as the "Cow Palace." AB 2948 failed  
               passage on the Senate Floor. 

             b)   SB 1527 (Yee), of the 2007-08 Legislative Session, would  
               have sold the Cow Palace for fair market value to the Daly  
               City Redevelopment Agency or to the City of Daly City.  SB  
               1527 failed passage on the Assembly Floor. 

             c)   SB 1733 (Speier), of the 2003-04 Legislative Session, is  
               duplicative of this bill.  SB 1733 failed passage on the  
               floor of the State Assembly

             d)   HR 26 (Machado), of the 1999-00 Legislative Session,  
               requested that the Governor place a moratorium on all gun  
               shows that would take place on state-owned property until  
               the Attorney General and local law enforcement officials  
               are  satisfied that existing federal and state laws  
               relating to gun  shows are sufficiently enforced.  HR 26  
               was never heard by this Committee.

             e)   AB 1107 (Ortiz), of the 1997-98 Legislative Session,  
               would have authorized any city, county or agricultural  
               association to prohibit gun sales at gun shows or events.   
               AB 1107 failed in the Assembly Committee on Appropriations.

           
          REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          Bayshore Friendship Senior Citizens Club 
          Brothers Against Guns 
          California Chapters of the Brady Campaign to Prevent Gun  
          Violence
          City and County of San Francisco 
          City of Daly City
          Coalition Against Gun Violence 
          County of San Mateo
          Law Center to Prevent Gun Violence 








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          San Francisco District Attorney's Office
          San Francisco Supervisor Jon Avalos
          San Francisco Supervisor Malia Cohen    
          South County Citizens Against Gun Violence 
          Visitacion Valley Asian Alliance 
          Visitacion Valley Middle School

          1 private individual

           Opposition 
           
          1-A District Association, Department of the Division of Food and  
          Agriculture 
          California Association of Federal Firearms Licensees
          California Police Chiefs Association 
          California Rifle and Pistol Association
          California Sportsman's Lobby 
          Crossroads of the West
          Gun Owners of California  
          National Rifle Association 
          National Shooting Sports Foundation 
          Outdoor Sportsmen's Coalition of California 
          Safari Club International 
           

          Analysis Prepared by  :    Gabriel Caswell / PUB. S. / (916)  
          319-3744