BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                    AB 1493


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          Date of Hearing:   April 22, 2015


                        ASSEMBLY COMMITTEE ON APPROPRIATIONS


                                 Jimmy Gomez, Chair


          AB  
          1493 (Cooper) - As Amended March 26, 2015


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          Urgency:  No  State Mandated Local Program:  NoReimbursable:  No


          SUMMARY:


          This bill establishes the California High Technology Crimes Task  
          Force (HTCTF) to, among other tasks, examine existing statutes  
          for adequacy in addressing identity theft, Internet crimes,  
          credit card fraud, and to develop recommendations to prevent and  








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          prosecute those crimes, and report the findings to the Governor  
          and the Legislature by December 31, 2017.  Specifically, this  
          bill requires the HTCTF, with specified membership, to conduct a  
          study to accomplish the following:


          1)Analyze existing statutes for adequacy in addressing identity  
            theft, Internet crimes, and credit card fraud.  If the  
            analysis determines that those statutes are inadequate, the  
            task force is required to recommend revisions or new  
            provisions that specifically address identity theft, Internet  
            crimes, and credit card fraud;
          2)Collect and organize data on the nature and extent of identity  
            theft, Internet crimes, and credit card fraud;


          3)Examine collaborative models between governmental and  
            nongovernmental organizations for prevention and prosecution  
            of identity theft, Internet crimes, and credit card fraud;


          4)Measure and evaluate the progress of the state in prosecuting  
            identity theft, Internet crimes, and credit card fraud, and  
            protecting and providing assistance to the victims of those  
            crimes;


          5)Evaluate approaches to increase public awareness of preventing  
            identity theft, Internet crimes, and credit card fraud;


          6)Consult with governmental and nongovernmental organizations in  
            developing recommendations to strengthen state and local  
            efforts to prevent and prosecute identity theft, Internet  
            crimes, and credit card fraud, and to assist victims of those  
            crimes; and,


          7)Identify available federal, state, and local funding and grant  








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            opportunities to prevent and prosecute identity theft,  
            Internet crimes, and credit card fraud, and to assist victims  
            of those crimes.


          FISCAL EFFECT:


          1)Significant one-time costs, in the range of $500,000 - $1  
            million (GF), over two years, to the new HTCTF to contract for  
            the comprehensive study.  


          2)Moderate ongoing costs to the HTCTF, in the range of  
            $300,000-$500,000 (GF), for the administrative support needs  
            of the new state agency and to manage the contract for the  
            study.  The assumption is made that representatives of the 11  
            agencies specified will cover their own travel costs, and  
            other expenses associated with the membership in the HTCTF.   
            Also, the assumption is the HTCTF will continue in some  
            capacity after the study is concluded.


          COMMENTS:


          1)Author's Statement: According to the author, "AB 1493  
            establishes the High Technology Crimes Task Force to tackle  
            the issue of high technology crime, identity theft, and credit  
            card fraud which continues to pose major threats to  
            California, its citizens, its industries, and its enterprises.  
             Convening a task force will help establish collaborative  
            model between governmental and nongovernmental organizations  
            to prevent and prosecute identity theft, internet crimes, and  
            credit card fraud."

          2)Background.  Current law establishes the High Technology Theft  
            Apprehension and Prosecution Program (HTTAPP), a program of  
            financial and technical assistance for law enforcement and  








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            district attorneys' offices, and for the distribution of funds  
            to develop regional high technology crime units in California  
            law enforcement agencies.  Funds distributed under these  
            provisions are required to be expended for the exclusive  
            purpose of deterring, investigating, and prosecuting high  
            technology related crimes.
            
          3)Prior Legislation:

             a)   AB 49 (Simitian), Chapter 618, Statutes of 2003, created  
               the HTCTF comprised of each regional task force  
               participating in the HTTAPP, and added a representative of  
               the Office of Privacy Protection and a designee of the  
               Department of Finance (DOF) to the High Crime Advisory  
               Committee.

             b)   AB 821 (Simitian), Chapter 556, Statutes of 2001,  
               authorized the Office of Criminal Justice Planning to  
               allocate up to five percent of the funds available in the  
               HTTAPP Trust Fund in order to fund education and training  
               programs for prosecutors and law enforcement engaged in the  
               investigation and prosecution of high technology crime.



             c)   SB 1357 (Johnston), Chapter 654, Statutes of 2000,  
               required the appointment of a designee of the Department of  
               Information and Technology to the HTCAC, and deleted the  
               January 1, 2003 sunset date on the HTTAP making the program  
               permanent.



             d)   SB 157 (Johnston), Chapter 427, Statutes of 1999,  
               extended the HTTAPP until January 1, 2003.












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             e)   SB 438 (Johnston), Chapter 906, Statutes of 1997,  
               created the High Technology Theft Apprehension and  
               Prosecution Program (HTTAP) and provided cellular phone  
               cloning forfeiture after a conviction based on equipment  
               misuse
          Analysis Prepared by:Pedro R. Reyes / APPR. / (916)  
          319-2081