BILL ANALYSIS Ó AB 1695 Page 1 (Without Reference to File) CONCURRENCE IN SENATE AMENDMENTS AB 1695 (Bonta) As Amended June 22, 2016 Majority vote -------------------------------------------------------------------- |ASSEMBLY: | | (June 1, |SENATE: | | (June 30, 2016) | | |51-28 |2016) | |23-14 | | | | | | | | | | | | | | | | -------------------------------------------------------------------- Original Committee Reference: PUB. S. SUMMARY: Expands the existing misdemeanor of making a false report to law enforcement to include that a firearm has been lost or stolen, and institutes a 10-year ban on owning a firearm for those convicted of making a false report. The Senate amendments modify the bill from creating a new misdemeanor for falsely reporting that a firearm that has been lost or stolen, and instead expands an existing misdemeanor for making false reports to law enforcement. AB 1695 Page 2 EXISTING LAW: 1)Requires that handgun purchasers must take an exam on handgun safety from an instructor and obtain a minimum 75% passing score to receive a certificate. 2)Provides that the sale, loan or transfer of firearms in almost all cases must be processed by, or through, a state-licensed dealer or a local law enforcement agency with appropriate transfer forms being used, as specified. In those cases where dealer or law enforcement processing is not required, as of today a handgun change of title report must still be sent to the Department of Justice (DOJ) and will require that as to all firearms as of January 1, 2014. 3)Requires photo identification for the purchase of a firearm. Additionally requires that persons purchasing a handgun be 21 years of age and those purchasing a long gun be 18 years of age. 4)Requires the completion of the Alcohol Tobacco and Firearms (ATF) Form 4473 and California Dealer's Record of Sale (DROS) form and pass a background check. 5)Provides on or after January 1, 1998, that persons establishing residency within California who bring with them and store firearms within California after that date to report the same to DOJ. This reporting requirement will apply to all firearms as of January 1, 2014. FISCAL EFFECT: According to the Senate Appropriations Committee: 1)New misdemeanor: Potential non-reimbursable local costs for enforcement and incarceration offset to a degree by fine revenue for convictions for falsely reporting to a local law enforcement agency that a firearm has been lost or stolen. AB 1695 Page 3 2)Armed Prohibited Persons System (APPS) enforcement administration: Potential increase in DOJ administration and enforcement costs (Special Fund*) for increases to the APPS list resulting from the expanded application of the 10-year firearms prohibition. The workload impact would be dependent on the number of persons convicted of the new misdemeanor established by this measure. 3)Violations of the 10-year firearms ban: Potential increase in state (General Fund) and local (Local Funds) incarceration costs for violations of the 10-year firearms ban, which is an alternate felony-misdemeanor punishable by imprisonment in state prison for 16 months, two years, or three years, or in county jail for up to one year. California Department of Corrections and Rehabilitation (CDCR) data indicates only 20 commitments per year for violations of the 10-year firearms prohibition. While the impact of this measure on the state prison population is likely minor, even two commitments to state prison in any one year would cost $58,000 based on the estimated contract bed cost of $29,000 per inmate. *Dealers' Record of Sale (DROS) Account -Staff notes the DROS Account is structurally imbalanced, with an estimated reserve balance of less than $1 million by year-end Fiscal Year (FY) 2016-17. Current revenues to the DROS Account may be insufficient to cover the additional costs resulting from this bill in conjunction with the numerous other legislative measures requiring funding from the DROS Account, should they be enacted. AS PASSED BY THE ASSEMBLY, this bill: 1)Created a misdemeanor to make a false report to law enforcement that a firearm has been lost or stolen, knowing that report to be false. a) Created a 10-year ban on owning a firearm following a AB 1695 Page 4 conviction of this provision; and b) Possession of a firearm in violation of the 10-year ban is punishable as a misdemeanor. 2)Defined "firearm" for these purposes of a lost or stolen firearm to include the frame or receiver of the weapon, and to include a rocket, rocket propelled projectile launcher, or similar device containing an explosive or incendiary material. COMMENTS: According to the author, "AB 1695, the Stop Illegal Gun Sales Act (the Act), seeks to reduce the flow of firearms onto the black market. The Act targets straw purchases, instances in which a person who can pass a background check legally buys a gun and then resells it to someone who was prohibited from purchasing a firearm. Additionally, the Act would make knowingly falsely reporting a gun as lost or stolen a misdemeanor, a tactic of straw purchasers seeking to distance themselves from the gun. "In 2007, the Los Angeles City Attorney's office notified firearm purchasers of their rights and responsibilities during California's mandatory waiting period. This notification was attempted to deter straw purchasers from illegally transferring firearms, either through failing to complete the transaction or declining to resell the firearm. "According to a 2010 RAND [Corporation] study, the notification significantly increased the number of firearms reported lost and stolen-more than doubling the reporting. However, it is not clear whether the increased reporting was from increased compliance with the law or straw purchasers covering their tracks. This is remedied by the second provision of the Act, making the knowingly false reporting of a firearm as lost or stolen a misdemeanor, to ensure only true reports are made. Additionally, the RAND study found there was an increase in approved firearms transactions not being completed, suggesting a deterrent effect, though those results require further research." AB 1695 Page 5 Analysis Prepared by: Gabriel Caswell / PUB. S. / (916) 319-3744 FN: 0003563