BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                    AB 1050


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          Date of Hearing:  May 13, 2015


                        ASSEMBLY COMMITTEE ON APPROPRIATIONS


                                 Jimmy Gomez, Chair


          AB  
          1050 (Low) - As Amended April 21, 2015


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          Urgency:  No  State Mandated Local Program:  YesReimbursable:   
          No


          SUMMARY:


          This bill requires a charitable organization seeking to  
          participate in the employees' charitable giving program to  
          certify to the program administrator, the Victims Compensation  








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          and Government Claims Board (Board), under penalty of perjury  
          that it complies with the state's existing civil rights and  
          nondiscrimination statutes, as a condition of approval from the  
          Board.


          It further requires the charitable organization to provide the  
          Board with its written nondiscrimination policy or, if it does  
          not have one, a written statement indicating that it complies  
          with the state's existing civil rights laws.  


          FISCAL EFFECT:


          1)Minor, likely absorbable costs to the Board (special funds) to  
            modify its application forms and update regulations.



          2)Minor costs to the Board (special funds) to receive and  
            process written nondiscrimination policies or statements.  
            Staff notes that the Board has moved to a fully automated and  
            electronic application process, and that accepting paper  
            statements from 3,000 applicants burdens their existing  
            process.
          COMMENTS:


          1)Purpose. The author argues that although the organizations in  
            the program are vetted and approved by the Board, based on  
            their tax-exempt status and FEHA compliance, there are still  
            organizations approved that do not fully abide by the state's  
            nondiscrimination statutes.  The author cites the Boy Scouts  
            of America which had, until recently, denied membership to  
            youth on the basis of sexual orientation.  The author states  
            that, because the charities in this program are supported by  
            state employee contributions, they should be held to the same  
            standard of inclusiveness that is reflected in the state's  








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            existing civil rights and nondiscrimination laws.  





          2)Background. The "Our Promise: California State Employees  
            Giving at Work" program is a fundraising drive coordinated by  
            the Board that allows state employees to direct regular  
            contributions from their paychecks to participating charities.  
             According to the Board, approximately 35,000 to 40,000 state  
            employees participate in the program annually and provide  
            donations averaging about $6.5 million per year to nearly  
            3,000 designated charities.


            To qualify as a designated charity in the program, an  
            organization must submit an electronic application to the  
            Board, register as a non-profit 501(c)(3) organization, and  
            certify under penalty of perjury that it complies with FEHA.   
            The Board can disqualify any organization if it fails to  
            comply with these requirements or files an application  
            containing false or intentionally misleading information.  


            Currently, the Board verifies an organization's tax-exempt  
            status and the organization self-certifies its compliance with  
            FEHA in the application process.  This bill would additionally  
            require a charity to self-certify its compliance with the  
            state's existing civil rights laws under penalty of perjury,  
            and further requires organizations to provide a written  
            statement to the Board indicating their compliance with the  
            state's existing civil rights and nondiscrimination laws.  


          


          Analysis Prepared by:Jennifer Swenson / APPR. / (916)  








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          319-2081