BILL ANALYSIS Ó AB 819 Page 1 Date of Hearing: May 6, 2015 ASSEMBLY COMMITTEE ON APPROPRIATIONS Jimmy Gomez, Chair AB 819 (Irwin) - As Introduced February 26, 2015 ----------------------------------------------------------------- |Policy |Higher Education |Vote:|13 - 0 | |Committee: | | | | | | | | | | | | | | |-------------+-------------------------------+-----+-------------| | | | | | | | | | | | | | | | |-------------+-------------------------------+-----+-------------| | | | | | | | | | | | | | | | ----------------------------------------------------------------- Urgency: No State Mandated Local Program: NoReimbursable: No SUMMARY: This bill removes the January 1, 2016 sunset date on provisions allowing the California State University (CSU), the University of California (UC), and Hastings College of the Law (HCL), to disclose the names, addresses, and e-mail addresses of alumni to AB 819 Page 2 their "affinity partners" -nonaffiliated businesses with whom the university has a contractual agreement to, among other things, offer commercial products and services to alumni, subject to specified privacy requirements, and modifies the existing disclosure form that the CSU, UC, and HCL must distribute, as specified. FISCAL EFFECT: Any costs would be absorbable to CSU, UC, and Hastings alumni and auxiliary organizations covered under the bill. Such organizations operate with non-state funds. COMMENTS: 1)Background. Affinity programs provide a means whereby a tax-exempt organization may generate funds by allowing the use of its name and/or logo to endorse products or services. In the case of UC and CSU, through partnerships with commercial entities, affinity programs allow alumni organizations to offer a variety of financial products to graduates and alumni members, such as group rates and discounts for home and auto insurance, mortgage programs, credit cards, and other credit lines. In return for allowing access to alumni association mailing lists, the affinity partner pays a fee to the campus association. SB 569 (Torlakson)/Chapter 498, Statutes of 2005, authorized CSU, UC, and HCL to allow the controlled disclosure of alumni names and addresses to businesses that are "affinity partners" of those universities. AB 1971 (Bonnie Lowenthal)/Chapter AB 819 Page 3 2014, Statutes of 2010, extended the authority provided in SB 569 until January 1, 2016. 2)Purpose. SB 819 is intended to allow the affinity programs and services to continue to provide CSU and UC campuses the ability to remain in contact with their alumni and keep them involved with the universities. Analysis Prepared by:Chuck Nicol / APPR. / (916) 319-2081