BILL ANALYSIS Ó ----------------------------------------------------------------- |SENATE RULES COMMITTEE | AB 990| |Office of Senate Floor Analyses | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ----------------------------------------------------------------- THIRD READING Bill No: AB 990 Author: Bonilla (D) Amended: 8/20/15 in Senate Vote: 27 - Urgency SENATE ELECTIONS & C.A. COMMITTEE: 4-1, 8/18/15 AYES: Allen, Hancock, Hertzberg, Liu NOES: Anderson SENATE APPROPRIATIONS COMMITTEE: Senate Rule 28.8 ASSEMBLY FLOOR: 78-0, 5/14/15 (Consent) - See last page for vote SUBJECT: Political Reform Act of 1974: advertisement disclosures SOURCE: Contra Costa County Clerk-Recorder/Registrar of Voters DIGEST: This bill imposes new requirements regarding font size, font style, and location, for disclosure statements on specified political advertisements. ANALYSIS: Existing law: 1)Requires any advertisement for or against any ballot measure to include a disclosure statement identifying any person whose cumulative contributions are $50,000 or more, as specified. AB 990 Page 2 2)Requires an advertisement supporting or opposing a candidate or ballot measure that is paid for by an independent expenditure, to include a disclosure statement that identifies both of the following: a) The name of the committee making the independent expenditure. b) The names of the persons from whom the committee making the independent expenditure has received its two highest cumulative contributions of $50,000 or more during the 12-month period prior to the expenditure, as specified. 3)Requires an advertisement supporting or opposing a candidate that is paid for by an independent expenditure must include a statement that it was not authorized by a candidate or a committee controlled by a candidate. 4)Requires specified advertisements for or against a ballot measure that include individuals who have been paid for their appearance to include a disclosure statement stating "(spokesperson's name) is being paid by this campaign or its donors" in highly visible Roman font. 5)Requires specified advertisements for or against a ballot measure that include individuals who have been paid for their appearance that states or suggests that the individual is a member of a specified occupation to include a disclosure statement stating "Persons portraying members of an occupation in this advertisement are compensated spokespersons not necessarily employed in those occupations" in highly visible Roman font. 6)Requires the aforementioned disclosure statements to be printed clearly and legibly in no less than 10-point type where applicable. This bill: 1)Requires that any of the disclosure statements described above shall be printed in no less than 14-point, bold, sans serif type font instead of 10-point type. 2)Requires an advertisement supporting or opposing a candidate AB 990 Page 3 that is paid for by an independent expenditure to specifically include the following statement: "This advertisement was not authorized or paid for by a candidate for this office or a committee controlled by a candidate for this office." 3)Requires that when included in a mailed advertisement paid for by an independent expenditure, this statement must be located within one quarter of an inch of the recipient's name and address as printed on the advertisement and further requires that text of the statement must be contained in a box with an outline that has a line weight of at least 3.25 pt. The text, the interior of the box, the outline of the box, and the background of the advertisement must be in contrasting colors. 4)Includes an urgency clause. 5)Makes conforming changes to a related section of law. Background Definitions of "Advertisement" and "Independent Expenditure." Existing law defines "advertisement" as any general or public advertisement which is authorized and paid for by a person or committee for the purpose of supporting or opposing a candidate for elective office or a ballot measure or ballot measures. "Advertisement" does not include a communication from an organization other than a political party to its members, a campaign button smaller than 10 inches in diameter, a bumper sticker smaller than 60 square inches, or other advertisement as determined by regulations of the Fair Political Practices Commission (FPPC). "Independent expenditure" is defined as an expenditure made by any person in connection with a communication which expressly advocates the election or defeat of a clearly identified candidate or the qualification, passage or defeat of a clearly identified measure, or taken as a whole and in context, unambiguously urges a particular result in an election but which is not made to or at the behest of the affected candidate or committee. Proliferation of Independent Expenditures. According to a AB 990 Page 4 November 4, 2013 report by California Common Sense, (http://cacs.org/research/independent-expenditures-the-new-money- in-california-politics/), since the first campaign contribution limits were enacted in the 1970s, political money has increasingly taken the form of independent expenditures, political campaign spending that is not coordinated with a candidate's official campaign. Though independent expenditures have only received significant national attention in the wake of the U.S. Supreme Court's Citizens United v. FEC ruling in 2010, they have been a growing factor in California politics since Proposition 34 (2000) limited direct contributions to candidates. $220 million in independent expenditures was spent on candidate races in California between 2000 and late May 2012. More recently, according to the Sacramento Bee, the 2015 special elections to fill the vacancy in Senate District 7 generated $12.1 million in campaign spending, almost $9.6 million of which was in the form of independent expenditures. Comments 1)According to the author, campaign spending has significantly increased with the advent of independent expenditures. Leading up to the November 4, 2014 California state elections, independent expenditures had spent almost $32 million in that election cycle. It is vital for organizations and interest groups to be able to communicate their views to voters and more often than not, independent expenditures communicate with voters by mailing advertisements. When voters receive tons of advertisements from outside interest groups, in addition to advertisements from the candidate themselves, it becomes difficult for the voter to easily identify exactly who the message is coming from. The Political Reform Act requires all advertisements to include a statement detailing who paid for the advertisement. However, voters do not spend enough time looking at the advertisement to notice nor read the statement. When voters do not notice the disclosure statement it becomes unclear which advertisements are from the candidate and which ones are from independent expenditures. It is important that voters know which advertisements come from the candidate themselves. In recent elections, voters received over 60 campaign advertisements. This significantly decreased the likelihood AB 990 Page 5 the voter would examine the advertisement long enough to notice the disclaimer and created uncertainty regarding the candidate's own message. AB 990 will fix this problem by making it simple for voters to notice and read the disclosure statement. Current law requires the disclosure statement to be printed clearly, in no less than 10-point font and in a "conspicuous manner." The Fair Political Practices Commission defined "conspicuous manner" as printed in a contrasting color. AB 990 updates the way the disclosure statement must be displayed in order to increase the likelihood that voters see the statement. The font is not big enough and the statement is often hidden at the very bottom of the advertisement where the voter may not look. AB 990 increases the font size and requires the disclosure to be printed inside an outlined box. The box must be a contrasting color to the background of the advertisement and the text must be in a contrasting color to the box. The statement must be located within one quarter of an inch from the recipient's name and address on the advertisement. FISCAL EFFECT: Appropriation: No Fiscal Com.:YesLocal: Yes SUPPORT: (Verified8/24/15) Contra Costa County Clerk-Recorder/Registrar of Voters (source) OPPOSITION: (Verified8/24/15) None received AB 990 Page 6 ASSEMBLY FLOOR: 78-0, 5/14/15 AYES: Achadjian, Alejo, Travis Allen, Baker, Bigelow, Bloom, Bonilla, Bonta, Brough, Brown, Burke, Calderon, Campos, Chang, Chau, Chávez, Chiu, Chu, Cooley, Cooper, Dababneh, Dahle, Daly, Dodd, Eggman, Frazier, Beth Gaines, Gallagher, Cristina Garcia, Eduardo Garcia, Gatto, Gipson, Gomez, Gonzalez, Gordon, Gray, Grove, Hadley, Harper, Roger Hernández, Holden, Irwin, Jones, Jones-Sawyer, Kim, Lackey, Levine, Lopez, Low, Maienschein, Mathis, Mayes, McCarty, Melendez, Mullin, Nazarian, Obernolte, O'Donnell, Olsen, Patterson, Perea, Quirk, Rendon, Ridley-Thomas, Rodriguez, Salas, Santiago, Steinorth, Mark Stone, Thurmond, Ting, Wagner, Waldron, Weber, Wilk, Williams, Wood, Atkins NO VOTE RECORDED: Linder, Medina Prepared by:Darren Chesin / E. & C.A. / (916) 651-4106 8/25/15 15:20:01 **** END ****