BILL ANALYSIS Ó AB 410 Page 1 Date of Hearing: May 13, 2015 ASSEMBLY COMMITTEE ON APPROPRIATIONS Jimmy Gomez, Chair AB 410 (Obernolte) - As Amended April 27, 2015 ----------------------------------------------------------------- |Policy |Accountability and |Vote:|9 - 0 | |Committee: |Administrative Review | | | | | | | | | | | | | |-------------+-------------------------------+-----+-------------| | | | | | | | | | | | | | | | |-------------+-------------------------------+-----+-------------| | | | | | | | | | | | | | | | ----------------------------------------------------------------- Urgency: No State Mandated Local Program: NoReimbursable: No SUMMARY: This bill requires a state agency to post on its website any report the state agency is required by law to submit to a committee of the Legislature. Defines report as any study or audit, or any budget change proposal (BCP) that has been AB 410 Page 2 approved by the Department of Finance (DOF) and submitted to a budget committee of the Legislature. FISCAL EFFECT: Minor costs to state agencies to post additional documents to their websites. COMMENTS: 1)Purpose. According to the author, this bill is meant to increase transparency. A state agency that currently submits a report that is required or requested by law to the Legislature must also post the report on its website. This bill extends the posting requirement to reports submitted to a committee of the Legislature as well and adds BCPs to the definition of "report." 2)Background. This bill defines reports as any study or audit, or any BCP that has been approved by DOF and submitted to a budget committee of the Legislature. While the number of reports required by law to be submitted to committees is unknown, it appears as though many agencies already post many audits and studies on their websites. However, BCPs are not generally posted on agency websites. DOF defines a BCP as "a proposal to change the level of service or funding sources for activities authorized by the Legislature, or to propose new program activities not currently authorized." BCPs help shape the budget process. When preparing a BCP, a department is required to summarize the identified problem or issues the proposal is meant to resolve, specify resources needed, provide justification for AB 410 Page 3 the change, present expected outcomes, and analyze feasible alternatives. This bill will not change when BCPs become public. Instead, the author explains that the posting of BCPs required by this bill will allow for enhanced public access. Currently, DOF posts budget proposals, final budgets, and budget related documents like budget letters on its website. However, it does not post BCPs that have been submitted to budget committees of the Legislature. The fiscal portions of BCPs for all departments are available in the State's FI$Cal system, either entered directly by the department (Wave 1 departments) or uploaded by DOF (non-Wave 1 departments). However, the Analysis and Justification (narrative) portions of BCPs are not yet included in this system. For an approved BCP, the narrative portions would need to be scanned or otherwise included with the fiscal reports in order for a department to post the BCP in its entirety. As the FI$Cal system continues to be implemented over the next several years, more BCP information will be readily available by departments electronically. Analysis Prepared by:Jennifer Swenson / APPR. / (916) 319-2081 AB 410 Page 4