BILL ANALYSIS                                                                                                                                                                                                    Ó




                   Senate Appropriations Committee Fiscal Summary
                            Senator Kevin de León, Chair


          SB 567 (Jackson) - Firearms: shotguns.

          Amended: May 1, 2013            Policy Vote: Public Safety 5-2
          Urgency: No                     Mandate: Yes
          Hearing Date: May 6, 2013       Consultant: Jolie Onodera
          
          This bill meets the criteria for referral to the Suspense File.
          
          
          Bill Summary: SB 567 would:
               Amend the definition of "shotgun" to delete language  
              stating that to be considered a shotgun, the weapon must be  
              "intended to be fired from the shoulder," and add language  
              to state that a shotgun may include a weapon with a rifled  
              bore as well as a smooth bore.
               Require that any person who from January 1, 2001, to  
              December 31, 2013, lawfully possessed a shotgun with a  
              revolving cylinder, as defined, register the firearm via  
              online submission before July 1, 2014, with the Department  
              of Justice (DOJ), as specified.
               Authorize the DOJ to charge a fee of up to $20 per person  
              but not to exceed the reasonable processing costs for this  
              registration.

          Fiscal Impact: 
               As currently drafted, costs to the DOJ are indeterminable,  
              as the required system changes could not be completed until  
              January 1, 2015, six months after the registration deadline.  

               Assuming the registration date is extended one year,  
              one-time costs of about $1 million (Special Fund*) to the  
              DOJ to redesign the existing Assault Weapon Registration  
              (AWR) system with a new web user interface to enable online  
              registration of the specified firearms.**
               Online registration processing costs of $0.5 million  
              (Special Fund*) over six months to be fully offset by fees  
              collected from registrants. Any additional workload to  
              process registrations after the initial batch is completed  
              is estimated to be minor. 
               Unknown, potential increase in annual state incarceration  
              costs (General Fund). For every 25 new felony convictions,  
              costs in the range of $0.7 million to $1.5 million,  








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              compounding to $2.8 million to $6 million for overlapping  
              sentences assuming the middle term of the triads for  
              violations of both manufacturing and possession.
               Increased annual local incarceration costs (Local) for  
              possession of assault weapons without proper registration.
               Potential near-term loss of sales tax revenue (General  
              Fund) to the extent shotgun sales in California are impacted  
              by the provisions of this measure. Future year impact would  
              be somewhat mitigated to the extent consumers shift to  
              purchases of alternative firearms.

          *Dealer Record of Sale (DROS) Special Account
          **AWR redesign costs are also included in SB 47 (Yee). In the  
          event both SB 47 and this measure are enacted, the DOJ would  
          only incur this cost once. 

          Background: The enactment of the assault weapons ban in  
          California is described by the federal Court of Appeal from  
          Silveira v. Lockyer, 312 F.3d 1052 (9th Cir. 2002), in part, as  
          follows: In response to a proliferation of shootings involving  
          semi-automatic weapons, the California Legislature passed the  
          Roberti-Roos Assault Weapons Control Act ("the AWCA") in 1989.  
          The immediate cause of the AWCA's enactment was a random  
          shooting earlier that year at the Cleveland Elementary School in  
          Stockton, California. An individual armed with an AK-47  
          semi-automatic weapon opened fire on the schoolyard, where three  
          hundred pupils were enjoying their morning recess. Five children  
          aged 6 to 9 were killed, and one teacher and 29 children were  
          wounded.
          
          The codified legislative findings and declarations of the AWCA  
          state, in part, "that the proliferation and use of assault  
          weapons poses a threat to the health, safety, and security of  
          all citizens of this state. The Legislature has restricted the  
          assault weapons specified in Section 30510 based upon finding  
          that each firearm has such a high rate of fire and capacity for  
          firepower that its function as a legitimate sports or  
          recreational firearm is substantially outweighed by the danger  
          that it can be used to kill and injure human beings. It is the  
          intent of the Legislature in enacting this chapter to place  
          restrictions on the use of assault weapons and to establish a  
          registration and permit procedure for their lawful sale and  
          possession."









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          This bill seeks to address the definition of an assault weapon  
          as it pertains to the current definition of a "shotgun".  
          Existing law defines a "shotgun" as a weapon designed or  
          redesigned, made or remade, and intended to be fired from the  
          shoulder and designed or redesigned and made or remade to use  
          the energy of the explosive in a fixed shotgun shell to fire  
          through a smooth bore either a number of projectiles (ball shot)  
          or a single projectile for each pull of the trigger. 

          Under existing law, the following shotguns are defined as  
          assault weapons:
                 A semiautomatic shotgun that has both of the following,  
               1) a folding or telescoping stock, and, 2) a pistol grip  
               that protrudes conspicuously beneath the action of the  
               weapon, thumbhole stock, or vertical handgrip. 
                 A semiautomatic shotgun that has the ability to accept a  
               detachable magazine. 
                 Any shotgun with a revolving cylinder.

          Smooth bored shotguns with revolving cylinders are classified as  
          assault weapons under current law. More recently designed  
          shotguns are being sold with rifled bores. To the extent these  
          firearms with rifled bores come equipped with a revolving  
          cylinder, these firearms would not be classified as assault  
          weapons under current law. Because the current definition of a  
          shotgun is integrated into the definition of an assault weapon,  
          these rifled bore shotguns are not technically defined as  
          shotguns, and therefore, do not fall under the current  
          definition of an assault weapon. This bill seeks to update the  
          definition of a shotgun to address this issue.

          Proposed Law: See Bill Summary.

          Related Legislation: This measure is part of the following  
          legislative package deemed the Lifesaving Intelligent Firearms  
          Enforcement (LIFE) Act: 

          SB 47 (Yee) 2013 would revise the definition of assault weapon  
          to include a firearm that has one of several specified features  
          and does not have a "fixed magazine" as defined. This bill would  
          require the registration of specified lawfully possessed assault  
          weapons that do not have a fixed magazine, as defined, with the  
          DOJ. This bill is scheduled to be heard today by this committee.
          








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          SB 53 (DeLeon) 2013 would require the sale, purchase, and  
          transfer of ammunition to be subject to additional regulations,  
          as specified. This bill would 1) require ammunition purchasers  
          to obtain an ammunition purchase permit and complete a  
          background check prior to any transaction, and, 2) require DOJ  
          to maintain records of all ammunition vendor licenses and  
          purchase permits issued, as well as all ammunition sales. This  
          bill is scheduled to be heard today by this committee.

          SB 140 (Leno) 2013 Chapter 2/2013, an urgency measure,  
          appropriates $24 million from the DROS Special Account to the  
          DOJ to address the backlog of unlawfully held firearms in the  
          Armed Prohibited Persons System (APPS). This bill was signed by  
          the Governor on May 1, 2013.

          SB 374 (Steinberg) 2013 would 1) redefine the definition of what  
          rifles would be considered assault weapons, 2) provide a  
          definition for both "fixed magazine" and "detachable magazine,"  
          3) require the registration of specified lawfully possessed  
          assault weapons with the DOJ, and, 4) enact provisions  
          establishing a Firearm Ownership Record, as specified. This bill  
          is scheduled to be heard today by this committee.

          SB 396 (Hancock) 2013 would ban the possession of large-capacity  
          ammunition magazines capable of holding more than 10 rounds, and  
          would require the disposal of any large-capacity magazine, as  
          defined, in specified ways. This bill is scheduled to be heard  
          today by this committee.

          SB 683 (Block) 2013 would expand the current safety certificate  
          requirement on handguns to all firearms. This bill is scheduled  
          to be heard today by this committee.

          SB 755 (Wolk) 2013 expands the list of misdemeanors that result  
          in a 10-year prohibition from firearms possession to include  
          drug and alcohol-related offenses. This bill is scheduled to be  
          heard today by this committee.

          Staff Comments: The DOJ has indicated one-time costs of about $1  
          million (Special Fund*) for the DOJ to redesign the existing  
          Assault Weapon Registration (AWR) system with a new web user  
          interface to enable online registration of the specified  
          firearms, to be fully offset by fees. The existing AWR  
          application is over 13 years old, and due to its inflexibility  








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          and lack of technical support, the DOJ has indicated it cannot  
          be modified for the new business requirements. The new  
          application would be public facing for applicants to complete  
          the personal and firearm information along with the required fee  
          payable upon registration. Online registration processing costs  
          are projected at $0.5 million (Special Fund*) over six months to  
          be fully offset by fees collected from registrants. Any  
          additional workload to process registrations after the initial  
          group of registrants is completed is estimated to be absorbable.

          Under existing law, unlawful possession of an assault weapon is  
          an alternate felony-misdemeanor punishable as a felony by  
          imprisonment in a county jail for 16 months, two or three years  
          (or in state prison with a serious or violent prior felony), or  
          as a misdemeanor by imprisonment in a county jail for up to one  
          year. Current law also provides that any person who within the  
          state imports, manufactures, offers for sale, or who gives or  
          lends any assault weapon, is guilty of a felony punishable by  
          imprisonment in state prison for four, six, or eight years. By  
          narrowing the scope of firearms that are legal in the state,  
          this bill expands the scope of the aforementioned crimes.

          Arrest information from the DOJ indicates an increasing number  
          of violations of possession of an assault weapon since 2010,  
          with 825 arrests in 2012. Arrest data for felony violations for  
          the import, sale, manufacture, or loan of an assault weapon  
          reflect a decreasing trend, with 124 arrests in 2012. According  
          to the CDCR, 58 individuals in 2011 and 22 individuals in 2012  
          were committed to state prison specific to these crimes. 

          It is unknown how many persons will be convicted under the  
          expanded scope of these crimes, though it is assumed the  
          convictions will likely be highest in the near-term. For every  
          25 individuals (assuming convictions for both manufacturing/sale  
          and possession with a prior serious/violent felony), increased  
          state incarceration costs could range from $0.7 million to $1.5  
          million (General Fund) per year, compounding to $2.8 million to  
          $6 million due to overlapping sentences (assuming the middle  
          terms of the 4, 6, 8 year triad for manufacturing and 16 month,  
          2, 3 year triad for possession with a prior), based on the range  
          of potential costs to accommodate extended state prison  
          sentences. To the extent the number of individuals impacted is  
          greater/less or the average sentence imposed is longer/shorter  
          than estimated, annual costs would be impacted accordingly.








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          California's prison system continues to operate under federal  
          oversight as it addresses the issues of prison overcrowding and  
          constitutionally adequate health care in its 33 facilities. On  
          April 11, 2013, the three-judge panel denied the state's motion  
          to vacate/modify the inmate population cap and ordered the state  
          to provide a list of proposed population reduction measures  
          within 21 days of the order (May 2, 2013). To the extent this  
          measure exacerbates prison overcrowding due to lengthier prison  
          terms, this bill creates future cost pressure (General Fund) to  
          potentially utilize additional contract beds, out-of-state  
          facilities, or capital outlay in order to comply with the  
          court-ordered population limit.

          To the extent the provisions of this bill have the effect of  
          reducing the number of shotguns currently sold in the state,  
          there would be an impact to both local and state sales tax  
          revenues. For every $100 million in annual shotgun purchases, to  
          the extent the provisions of this bill result in a 10 percent  
          reduction in annual sales, state sales tax revenues are  
          estimated to drop by about $400,000 (General Fund). It is  
          estimated that the impact is likely in the near term, with the  
          impact in future years projected to be somewhat mitigated to the  
          extent consumers shift to purchases of alternative and/or newly  
          developed firearm models that become available.

          To the extent the provisions of this bill serve to reduce the  
          incidence of firearms-related injuries and death, potential  
          future cost savings could be substantial. A study by the  
          non-profit Pacific Institute for Research and Evaluation (PIRE)  
          reported over 105,000 incidences of firearm injury and death in  
          2010 nationally, with an estimated societal cost of over $174  
          billion in work lost, medical care, insurance, criminal justice  
          expenses, and pain and suffering.  At a unit level, the study  
          reported a governmental cost of $187,000 to $582,000 per firearm  
          fatality in medical and mental health care, emergency services,  
          and administrative and criminal justice costs. The estimated  
          societal cost per firearm injury or fatality, including lost  
          work productivity and quality of life was reported at nearly  
          $430,000 to $5 million, respectively. 

          Recommended Amendments: The DOJ has indicated the AWR system  
          redesign will be a one-year project that cannot be implemented  
          until January 1, 2015. In order to accommodate the time  








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          necessary for development of the system, an amendment is  
          recommended to delay the date by which individuals must register  
          the assault weapons from July 1, 2014, to July 1, 2015.