BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON APPROPRIATIONS
                             Senator Ricardo Lara, Chair
                            2015 - 2016  Regular  Session

          AB 165 (Gomez) - State claims
          
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          |Version: April 6, 2015          |Policy Vote: None               |
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          |Urgency: Yes                    |Mandate: No                     |
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          |Hearing Date: May 26, 2015      |Consultant: Mark McKenzie       |
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          This bill does not meet the criteria for referral to the  
          Suspense File. Pursuant to the Committee's rules, the Suspense  
          File rule does not apply to this bill as claims are considered  
          valid obligations of the state.  Additionally, claims may have  
          time sensitivity.


          Bill  
          Summary:  AB 165, an urgency measure, would appropriate  
          $504,743.99 from specified funds to the California Victim  
          Compensation and Government Claims Board (board) for the payment  
          of 110 state claims.  The bill would also appropriate $968,400  
          from the General Fund to the board for the payment of three  
          erroneous conviction claims.


          Fiscal  
          Impact:  
            Stale-dated warrants  : General Fund appropriations in the  
            amount of $227,308.96 to pay 105 claims, and special fund  
            appropriations in the amount of $277,435.03 to pay 5 claims.   
            All of these claims are for reissuance of stale-dated warrants  
            (expired checks).  The individual claim amounts range from $16  







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            to $274,117.66.

           Erroneous convictions  : 
          1) General Fund appropriation in the amount of $597,200 to pay  
            the claim of Susan Mellen, approved by the board on January  
            15, 2015.

          2) General Fund appropriation in the amount of $229,000 to pay  
            the claim of Ronald Ross, approved by the board on September  
            18, 2014.

          3) General Fund appropriation in the amount of $142,200 to pay  
            the claim of Brian Banks, approved by the board on March 19,  
            2015.


          Background:  The State Board of Control was established in 1945.  It was  
          revised and renamed the Victim Compensation and Government  
          Claims Board by Chapter 1016/2000 (AB 2491, Jackson).   
          Government Code 13928 requires the board to ensure that all  
          claims that have been approved by the board, and for which no  
          legally available appropriation exists, are submitted for  
          legislative approval at least twice during each calendar year.   
          In general, the board will approve claims in November and  
          February.  Those claims are reported to the chairs of the  
          Appropriations Committees who introduce bills appropriating  
          General Funds and special funds to pay the claims.  These bills  
          may appropriate funds in amounts to the penny for tens to  
          hundreds of claims.  Government Code 906 provides for the  
          payment of interest on claims approved by the board for which an  
          appropriation has been made beginning 30 days after the  
          effective date of the law by which the appropriation is enacted.

          The re-issuance of stale-dated warrants is the most prevalent  
          claim approved by the board.  For stale-dated warrants, the  
          Controller must confirm that (1) the check was not cashed and  
          has not been issued and (2) more than three years have elapsed  
          since the check was issued and the monies have reverted to the  
          General Fund or to the relevant special fund.  For these  
          warrants an appropriation is needed to reissue the payment.   
          This category also may include state treasury bonds that have  
          not been redeemed within ten years of their maturity date (there  
          are no such claims in this bill), but the majority of warrants  
          are payroll or tax refund checks.  








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          In addition to stale-dated warrants, existing law authorizes a  
          person convicted and imprisoned for a felony to submit a claim  
          to the board for pecuniary injury sustained as a result of  
          erroneous conviction and imprisonment. Recent changes to these  
          provisions, SB 618 (Leno), Chap. 800/2013, specifies that a  
          person who has secured a declaration of factual innocence from  
          the court after having his or her conviction set aside is  
          eligible  payment in a claim against the state.  Upon  
          application by the petitioner, the board shall, without a  
          hearing, recommend to the Legislature an appropriation to cover  
          the claim. Likewise, if the court finds the petitioner has  
          proven his or her innocence by a preponderance of the evidence,  
          or the court grants a writ of habeas corpus concerning a person  
          who is unlawfully imprisoned, or when the court vacates a  
          judgment for a person on the basis of new evidence concerning a  
          person who is no longer unlawfully imprisoned, and the court  
          finds the evidence points unerringly to innocence, the board  
          shall, upon application by the claimant, without a hearing,  
          recommend to the Legislature an appropriation to cover the  
          petitioner's claim.

          Otherwise, a claimant is required to introduce evidence in  
          support of his or her claim at a hearing before the board, and  
          the Attorney General may introduce evidence in opposition. The  
          claimant must prove, by a preponderance of the evidence: (a) the  
          crime was not committed at all, or, if committed, was not  
          committed by the claimant; (b) the claimant did not contribute  
          to the arrest or conviction for the crime; and (c) the claimant  
          sustained pecuniary injury though the erroneous conviction and  
          imprisonment. 

          If a claimant meets the burden of proof, the board shall  
          recommend to the Legislature an appropriation of $100 per day of  
          incarceration served in a state prison subsequent to the  
          claimant's conviction.


          Proposed Law:  
            AB 165 would appropriate $504,743.99 in various state funds,  
          including $227,308.96 from the General Fund, to the board for  
          the payment of 110 state claims for reissuance of stale-dated  
          warrants.  The bill would also appropriate $968,400 to the board  
          for payment of three specified erroneous conviction claims.  AB  








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          165 is an urgency measure.


          Related  
          Legislation:  SB 304 (Lara), a spot bill that is currently in  
          this Committee, will be the vehicle for the second batch of  
          claims that have yet to be approved by the board.


          Staff  
          Comments:  
           Background on Erroneous Conviction Claims  .
          
                 Ronald Ross, binding finding of factual innocence,  
               $229,300.  Mr. Ross was convicted of premeditated attempted  
               murder and assault with a firearm in 2006.  In February  
               2012, more than five years after his conviction, Mr. Ross  
               filed a habeas corpus petition.  Based new testimony, the  
               Alameda County District Attoney's Office believed that  
               false evidence was used against Mr. Ross and supported the  
               petition.  On February 20, 2013, the court granted the  
               writ.  

                 Susan Mellen, binding finding of factual innocence,  
               $597,200.  In 1998, Ms. Mellen was convicted of first  
               degree murder, and the jury found true to special  
               circumstances allegation that she tortured the victim.  On  
               September 18, 2014, Innocence Matters filed a habeas corpus  
               petition asserting Ms. Mellen was factually innocent.  On  
               October 10, 2014 the Los Angeles District Attorney's Office  
               conceded the merits of the petition and on November 21,  
               2014, the court granted the petition and reversed the  
               conviction.



                 Brian Banks, binding finding of factual innocence,  
               $142,200.  On January 22, 2003, sixteen-year-old old Brian  
               Banks was charged with forcible rape, forcible sodomy, and  
               kidnapping. On August 20, 2003, Mr. Banks pled no contest  
               to the charge of forcible rape and was sentenced to six  
               years in prison.  In 2006, Mr. Banks filed a habeas corpus  
               petition, but it was denied based on vagueness, failure to  
               state a claim, and failure to raise issues on direct  








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               appeal.  On August 15, 2011, Mr. Banks filed a habeas  
               corpus petition and the court granted the petition on May  
               24, 2012, reversing the rape conviction and all charges  
               were dismissed.   


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