BILL ANALYSIS Ó AB 1648 Page 1 Date of Hearing: May 11, 2016 ASSEMBLY COMMITTEE ON APPROPRIATIONS Lorena Gonzalez, Chair AB 1648 (Wilk) - As Amended March 15, 2016 ----------------------------------------------------------------- |Policy |Accountability and |Vote:|8 - 0 | |Committee: |Administrative Review | | | | | | | | | | | | | ----------------------------------------------------------------- Urgency: No State Mandated Local Program: NoReimbursable: No SUMMARY: This bill expands the definition of "state publication" to include publications issued by the state on the internet and allows a member of the public to copy, share, distribute, or republish a state publication authored by the state. FISCAL EFFECT: AB 1648 Page 2 1)Estimated one-time information technology costs of approximately $975,000 (GF) to make the California Regulatory Notice Register (Register) available in a web-based searchable format. Additional ongoing IT support costs of approximately $410,000 dollars annually (Gf), to update the codes weekly and maintain the site. 2)On-going loss of up to $570,000 (GF) in forgone revenue from the renegotiation or loss of the California Code of Regulations (CCR) service contract with West Publishing Corporation (West). 3)Unknown, but likely significant costs (GF) associated with finding a new publisher for the CCR that is willing to provide 100 free copies to depository libraries (as required under existing law) and that is willing to maintain the CCR on the internet free of charge. COMMENTS: 1)Purpose. This bill seeks to include publications that are issued by the state on the internet within the definition of "state publication." The bill would also allow any member of the public to copy or republish this material. The author states that, "any practice that at all limits the public's access to public documents should not be tolerated." The author cites specifically the current contract involving the CCR. 2)Background. Existing law requires the Office of Administrative Law (OAL) to provide the full text of the CCR, including an index of links to the full text of each regulation, and on a weekly basis, to post a copy of the Register and links to regulations proposed by state agencies, on its Website, free of charge. OAL may contract with another state agency or a private entity in order to provide this AB 1648 Page 3 service. While this bill applies statewide, it raises a particular issue with the CCR because OAL contracts with a private entity to provide the required public access to the CCR. Based on the copyright held by the State of California of the CCR, compensation for the service provided by the private entity comes from the ability of this entity to charge individuals, businesses and others for ancillary services, including enhanced search functions and notifications of changes or additions to the regulations. The state expects approximately $570,000 in 2016 from this contract. Pursuant to the terms of the current contract, effective January 1, 2016, West pays the state $350,000 annually, plus 8.1% royalties per year, for the privilege of publishing the Register and CCR and providing a few related services. The contract includes a provision specifying that if there are changes to California law that alter the publication services and lead to increased costs to the contractor (West), an equitable adjustment to the compensation must be negotiated. 3)Prior Legislation: a) AB 1612 (Donnelly) of 2014, in its original form, would have required the OAL to provide the "greatest feasible access" to the CCR. In its final form, it prohibited OAL from charging users with disabilities a fee for access to the free online CCR. The bill was vetoed by the Governor, who stated it was unnecessary because any problems with accessibility can be quickly corrected by the OAL. AB 1648 Page 4 b) SB 1091 (Galgiani, 2014) among other provisions, requires OAL to make the Register available in an electronically searchable Web based format by January 1, 2017, and include the ability for interested parties to subscribe to an email notification of the Register and specific notices. This bill was held on the Senate Appropriations Suspense File. Analysis Prepared by:Jennifer Swenson / APPR. / (916) 319-2081