BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                            



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                                    THIRD READING


          Bill No:  SB 1253
          Author:   Steinberg (D), et al.
          Amended:  5/27/14
          Vote:     21

           
           SENATE ELECTIONS & CONSTITUTIONAL AMEND. COMM.  :  4-1, 4/22/14
          AYES:  Torres, Hancock, Jackson, Padilla
          NOES:  Anderson

           SENATE APPROPRIATIONS COMMITTEE  :  5-2, 5/23/14
          AYES:  De León, Hill, Lara, Padilla, Steinberg
          NOES:  Walters, Gaines


           SUBJECT  :    Initiative measures

           SOURCE  :     California Common Cause
                      League of Women Voters of California


           DIGEST  :    This bill makes several changes to the initiative  
          process including providing a 30-day public review process,  
          extending the timeframe allowed for circulating a petition, and  
          allowing the withdrawal of a petition at any time before the  
          measure qualifies for the ballot; and makes several other  
          changes to the procedures and requirements for placing an  
          initiative petition measure on the ballot. 

           ANALYSIS  :    Existing law:

          1.Establishes specific procedures and requirements for placing  
            an initiative petition measure on the ballot.
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          2.Requires the Secretary of State (SOS) to transmit copies of an  
            initiative measure and its circulating title and summary to  
            the Senate and the Assembly after the measure is certified to  
            appear on the ballot for consideration by the voters.

          3.Requires that each house of the Legislature assign the  
            initiative measure to its appropriate committees, and that the  
            committees hold joint public hearings on the subject of the  
            proposed measure prior to the date of the election at which  
            the measure is to be voted upon, as specified.

          4.Requires the SOS to disseminate the complete state ballot  
            pamphlet over the Internet and to establish a process to  
            enable a voter to opt out of receiving the state ballot  
            pamphlet by mail.

          5.Requires the SOS to develop a program to utilize modern  
            communications and information processing technology to  
            enhance the availability and accessibility of information on  
            statewide candidates and ballot initiatives, including making  
            information available online as well as through other  
            information processing technology.

          6.Authorizes the proponents of a statewide initiative or  
            referendum measure to withdraw the measure at any time before  
            filing the petition with the appropriate elections official.

          7.Requires that state initiative petitions circulated for  
            signature include a prescribed notice to the public.

          8.Makes certain activities relating to the circulation of an  
            initiative referendum, or recall petition a criminal offense. 

          This bill:

           1. Imposes specified requirements with respect to the ballot  
             materials required to be prepared by the Attorney General  
             (AG).  This bill requires the AG to do the following:

             A.   Upon receipt of a request from the proponents of a  
               proposed initiative measure for a circulating title and  
               summary, the AG shall initiate a 30-day public review  
               process of the proposal.

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             B.   Post the text of the proposed initiative measure on the  
               AG's Internet Web site.

             C.   Promote public participation by inviting on the AG's  
               Internet Web site written public comments on the proposed  
               initiative measure, and allow the site to accept written  
               public comments for the duration of the public review  
               period.  Public comments may address perceived errors in  
               the drafting of, or perceived unintended consequences of,  
               the proposed initiative measure.  Requires the AG to  
               transmit any written public comments received during the  
               public review period to the proponents of the proposed  
               initiative measure.

             D.   Allow proponents of the proposed initiative measure,  
               during the public review period, to submit amendments to  
               the measure.  An amendment shall be submitted to the AG's  
               Sacramento Office via United States Postal Service.   
               Provides that an amendment shall not be accepted more than  
               five days after the public review period is concluded,  
               however a proponent is not prohibited from proposing a new  
               initiative measure and requesting that a circulating title  
               and summary be prepared for that measure.

           1. Requires the AG to provide a ballot title and summary  
             written in clear and concise terms, understandable to the  
             average voter, and in an objective and nonpartisan manner,  
             avoiding the use of technical terms whenever possible, and  
             also requires the following be satisfied:

             A.   If the measure imposes or increases a tax or fee, the  
               type and amount of the tax or fee shall be described.

             B.   If the measure repeals existing law in any substantial  
               manner, that fact shall be included.

             C.   If the measure is contingent on the passage or defeat of  
               another measure or statute, that fact shall be included.

           1. Requires the AG to invite and consider public comment in  
             preparing each ballot title and summary.

           2. Requires the Legislature to provide the AG with sufficient  

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             funding for administrative and other support relating to  
             preparation of the ballot title and summary for initiative  
             measures, including, but not limited to, plain-language  
             specialists.

           3. Provides that the submission of an amendment shall not  
             extend the period to prepare the fiscal estimate.

           4. Requires the prepared circulating title and summary to be  
             not less than 25 words and not more than 150 words in length.  
              

           5. Requires the fiscal estimate be prepared jointly by the DOF  
             and the Legislative Analyst and further provides that the  
             fiscal estimate be delivered to the AG within 45 days of the  
             date of receipt of the proposed initiative measure.

           6. Extends the date that a petition with signatures on a  
             proposed initiative measure is required to be filed with the  
             county elections official to not later than 180 days from the  
             official summary date.

           7. Requires the SOS, on the 131st day before an election, to  
             issue a certificate identifying each initiative measure for  
             which he or she issued a notice of qualification for a given  
             election.

           8. Requires the SOS to transmit copies of the initiative  
             measure and circulating title and summary to the Legislature  
             after receiving a certification from the initiative  
             proponents, signed under penalty of perjury, upon collection  
             of 25 percent of the number of signatures needed to qualify  
             the initiative measure for the ballot.

           9. Requires the appropriate committees of the Senate and  
             Assembly to hold joint public hearing on the subject of the  
             measure not later than 131 days before the date of the  
             election at which the measure is to be voted upon.

           10.Requires the SOS to establish processes to enable a voter to  
             receive the state ballot pamphlet in an electronic format  
             instead of by mail, and also requires the SOS to create an  
             Internet Web site, or use other available technology, to  
             consolidate information about each ballot measure in a manner  

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             that is easy for voters to access and understand.  The  
             information shall include:

             A.   A summary of each ballot measure's content.

             B.   A list of each committee formed or existing primarily to  
               support or oppose the ballot measure, and a means to access  
               information about the sources of contributions reported for  
               each committee.

             C.   Information about the sources of contributions is  
               required to be updated as new information becomes available  
               to the public pursuant to the Political Reform Act of 1974.

             D.   If a committee receives at least $1 million in  
               contributions for an election, the SOS shall also list the  
               committee's top 10 contributors reported to the FPPC.

             E.   The FPPC shall automatically provide the list of top 10  
               contributors, and any subsequent updates to that list, to  
               the SOS for purposes of compliance.

             F.   Any other Internet Web site hyperlinks to other relevant  
               information.

           1. Authorizes the proponents of a statewide initiative or  
             referendum measure to have the measure withdrawn from the  
             ballot at any time before the SOS certifies that the measure  
             has qualified for the ballot.

           2. Requires a petition for a statewide initiative measure to  
             contain additional prescribed language in its notice to the  
             public describing the right of proponents to withdraw the  
             measure from the ballot.

           3. Makes it a crime, for a proponent of a statewide initiative  
             measure to seek, solicit, bargain for, or obtain any money or  
             thing of value of or from any person, firm, or corporation  
             for the purpose of withdrawing an initiative petition after  
             filing it with the appropriate elections official.

           4. Finds and declares all of the following:

             A.   Initiative measures, also known as ballot measures or  

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               propositions, allow California voters to participate  
               directly in lawmaking.  California voters have enjoyed the  
               right to enact laws through the initiative process since  
               1911.  However, many voters find it difficult to understand  
               the language of an initiative measure and to learn who is  
               behind an initiative measure.

             B.   It is the intent of the Legislature in enacting the  
               Ballot Initiative Transparency Act (Act) to update the  
               initiative process, which is more than 100 years old, by  
               doing all of the following:

               (1)    Providing voters with more useful information so  
                 that they are able to make an informed decision about an  
                 initiative measure.  Under this Act, the SOS will be  
                 required to give voters one-stop access to a clear  
                 explanation of each measure and information about the  
                 individuals and groups behind each measure.  This gives  
                 voters updated information about who is spending large  
                 sums of money to support or oppose each initiative  
                 measure.  Voters will also be allowed to request an  
                 electronic copy of ballot materials, thereby reducing the  
                 expenses of printing and mailing.

               (2)    Providing a voter-friendly explanation of each  
                 initiative measure.  This Act requires that ballot  
                 materials be drafted in clear and impartial language.

               (3)    Identifying and correcting flaws in an initiative  
                 measure before it appears on the ballot.  Currently,  
                 proponents of an initiative measure have few options to  
                 correct the language of an initiative measure or to  
                 withdraw a petition for a proposed initiative measure,  
                 even when flaws are identified.  This Act gives voters an  
                 opportunity to comment on an initiative measure before  
                 the petition is circulated for signatures.  By extending  
                 the time for gathering signatures, this act would give  
                 the Legislature the opportunity to hold earlier public  
                 hearings to review initiative measures.  This Act also  
                 allows the proponents of an initiative measure to  
                 withdraw the measure after the petition and signatures  
                 are submitted to elections officials, but before the  
                 measure qualifies for the ballot.


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           Background
           
           The Initiative and Referendum Institute  .  According to the  
          iandrinstitute.org, although the initiative process is different  
          in every state, there are certain aspects of the process that  
          are common to all.  The five basic steps to any initiative are:

           Preliminary filing of a proposed initiative with a designated  
            state official;
           Review of the initiative for compliance with statutory  
            requirements prior to circulation;
           Circulation of the petition to obtain the required number of  
            signatures;
           Submission of the petition signatures to the state elections  
            official for verification of the signatures; and
           The placement of the initiative on the ballot and subsequent  
            vote.

          The following is a national comparison on pre-circulation filing  
          requirements and review processes:  Prior to circulating a  
          petition, the proposed initiative and a request to circulate  
          must be submitted to the designated public officer such as the  
          Lieutenant Governor, Attorney General or Secretary of State for  
          approval.  Nine states require the proposed initiative to be  
          submitted with a certain number of signatures, ranging from five  
          in Montana to 100 in Alaska.  Five states require a deposit that  
          is refunded when the completed petition has been filed.   
          Depending, on the state the petition may be reviewed for form,  
          language and/or constitutionality.  Ten states require the  
          Secretary of State's office or the Attorney General to review  
          initiatives for proper form only.  Twelve states require some  
          form of pre-circulation/certification review regarding language,  
          content or constitutionality. 

          However, in all but four of these states, the results of the  
          review are advisory only.  In Arkansas, the Attorney General has  
          authority to reject a proposal if it utilizes misleading  
          terminology.  In Utah, the Attorney General can reject an  
          initiative if it is patently unconstitutional, nonsensical, or  
          if the proposed law could not become law if passed.  In Oregon,  
          the Attorney General can stop an initiative from circulating if  
          he believes it violates the single amendment provision for  
          initiatives and in Florida, the State Supreme Court, during its  
          mandatory review, can stop an initiative if it is  

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          unconstitutional or violates the state's very strict single  
          subject requirement.

          Circulation periods range from as brief as 64 days in  
          Massachusetts to an unlimited duration, though there are limits  
          on how long a petition signature is valid.  Most states also  
          have deadlines for submitting initiative petitions, so that  
          officials will have time to verify the signatures, publish the  
          initiative, and prepare the ballot.  Arkansas, Ohio and Utah  
          have no time limit for signature gathering.  Oklahoma at 90  
          days, California at 150 days, and Massachusetts at 64 days have  
          the shortest circulation periods.  It is unknown if any of the  
          24 states provides opportunity during the process for the  
          proponent to withdraw a proposal at any time before the measure  
          qualifies for the ballot.

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  Yes

          According to the Senate Appropriations Committee, annual costs  
          of $114,326 to AG's Office (General Fund).

          The AG's Office indicates the need for one personnel year at  
          Associate Governmental Program Analyst position to handle the  
          additional workload related to monitoring the required public  
          comment section and associated duties.

          The SOS has indicated that amending the initiative qualification  
          process will have minor cost implications for providing notice  
          to the Legislature and providing a certification of all voter  
          initiated measures that qualify for the ballot.  

           SUPPORT  :   (Verified  5/27/14)

          California Common Cause (co-source) 
          League of Women Voters of California (co-source) 
          AARP
          California Calls
          California Chamber of Commerce
          California Church IMPACT
          California Forward Action Fund 
          California State Employees Association
          NAACP
          RFK Democratic Club

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          Think Long Committee for California
          Yucaipa-Calimesa Democratic Club

           ARGUMENTS IN SUPPORT  :    According to the author:

               The changes in this bill are similar to the recommendations  
               made twenty years ago by the Citizen's Commission on Ballot  
               Initiatives.  The current 150 days to gather signature does  
               not provide enough time for public input or changes to the  
               initiative language.  This bill extends the time allowed to  
               gather signatures and establishes a prequalification  
               process.  The prequalification process includes the ability  
               to amend an initiative before it appears on the ballot as  
               long as the changes are consistent with the original  
               intent.  The prequalification process also engages the  
               Legislature earlier in the process.

               Presently, there is not a sufficient review process of  
               initiatives by the public or the Legislature where either  
               is able to provide greater input and suggest amendments or  
               correct flaws before the measure is printed on the ballot.   
               Implementing a better public review process before the  
               title and summary process by the AG and allowing the  
               Legislature to hold a hearing after 25% of signatures are  
               collected helps address this deficiency.  Also, the concern  
               that voters are asked to decide important issues through  
               the initiative process without adequate information is  
               real.  This bill aims to provide clearer and more thorough  
               information.

               Another problem in current law is inability for a proponent  
               to withdraw their own initiative.  As described in the  
               previous section, if a proponent of an initiative pursues  
               an alternative path to solving an issue - specifically  
               through compromise through the legislative process - there  
               is no mechanism for the proponent to remove their own  
               ballot initiative after it's been qualified.


          RM:nl  5/27/14   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

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