BILL ANALYSIS Ó SB 820 Page 1 Date of Hearing: June 19, 2013 ASSEMBLY COMMITTEE ON ACCOUNTABILITY AND ADMINISTRATIVE REVIEW Jim Frazier, Chair SB 820 (Committee on Governmental Organization) - As Amended: April 29, 2013 SENATE VOTE : 34-0-4 SUBJECT : State government. SUMMARY : Makes changes in the statutes necessary to reflect the changes made by the Governor's Reorganization Plan 2 (GRP2) as introduced to the Legislature on May 3, 2012, and made effective on July 2, 2012. EXISTING LAW : 1)Grants the Governor the authority to reorganize the functions of executive officers and agencies. 2)Sets forth, beginning with Government Code Section 12080, definitions and procedures whereby the Legislature reviews and reports on the Governor's reorganization plan. 3)Permits the Legislature to choose to vote on the plan or allow the plan to become effective on the first day after 60 days of continuous session after receipt of the plan. Requires, once the plan becomes effective, a bill to be introduced, not later than the next regular session, effecting such changes in the statutes as may be necessary to reflect the changes made by the reorganization plan. 4)Clarifies that failure to enact such a bill shall not affect the validity of the plan. FISCAL EFFECT : According to the Senate Appropriations Committee, pursuant to Senate Rule 28.8, negligible state costs. COMMENTS : Governor Brown introduced GRP2 on March 30, 2012, and, after review by the Legislature, it took effect on July 3, 2012. This bill makes conforming changes in the statutes necessary to reflect the changes made by GRP2. SB 820 Page 2 The Governor's office states that GRP2 makes government less costly, more efficient and more sensible through changes, including, but not limited to, restructuring the State and Consumer Services and the Business, Transportation and Housing agencies and other scattered government entities into three agencies with coordinated and consolidated functions. These agencies are described below: 1)The Government Operations Agency - responsible for administering state operations, such as procurement, information technology, and human resources. 2)The Business, Consumer Services, and Housing Agency - responsible for licensing and oversight of industries, businesses, and other professionals. 3)The Transportation Agency - responsible for addressing the state's transportation needs. In addition to creating three new agencies, GRP2 restructures other parts of the State's organization. This bill is an urgency measure and contains the technical and conforming changes to effect the implementation of GRP2. REGISTERED SUPPORT / OPPOSITION : Support None on file Opposition None on file Analysis Prepared by : William Herms / A. & A.R. / (916) 319-3600