BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON
          ELECTIONS AND CONSTITUTIONAL AMENDMENTS
                              Senator Ben Allen, Chair
                                2015 - 2016  Regular 

          Bill No:             AB 2002        Hearing Date:    6/21/16    
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          |Author:    |Mark Stone                                           |
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          |Version:   |4/12/16                                              |
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          |Urgency:   |No                     |Fiscal:    |Yes              |
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          |Consultant:|Darren Chesin                                        |
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             Subject:  Political Reform Act of 1974:  California Coastal  
                             Commission:  communications

           DIGEST
           
          This bill provides that communicating with the Coastal  
          Commission (Commission) in order to influence specified actions  
          can result in a person being considered a "lobbyist" under the  
          Political Reform Act (PRA) and prohibits an ex parte  
          communication with a member of the Commission regarding a matter  
          during the 24 hours before that matter will be discussed at a  
          Commission hearing. 

           ANALYSIS
           
          Existing law:
           
          1)Creates the Fair Political Practices Commission (FPPC) and  
            makes it responsible for the impartial, effective  
            administration and implementation of the PRA. 

          2)Defines a "lobbyist," for the purposes of the PRA, as an  
            individual who receives $2,000 or more in a calendar month, or  
            whose principal duties as an employee are, to communicate with  
            an agency official, elected state official, or legislative  
            official for the purpose of influencing legislative or  
            administrative action.  This definition does not apply to any  
            elected public official acting in her official capacity, or  
            any state employee acting within the scope of his or her  
            employment. 







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          3)Defines "administrative action," for the purposes of the PRA,  
            as either of the following: 

             a)   The proposal, drafting, development, consideration,  
               amendment, enactment, or defeat by any state agency of any  
               rule, regulation, or other action in any ratemaking  
               proceeding or a quasi-legislative proceeding, as specified;  
               or, 


             b)   With regard only to placement agents, as defined, the  
               decision by any state agency to enter into a contract to  
               invest state public retirement system assets on behalf of a  
               state public retirement system. 

          1)Defines "agency official," for the purposes of the PRA, as any  
            member, officer, employee, or consultant of any state agency  
            who as part of her official responsibilities participates in  
            any administrative action in other than a purely clerical,  
            secretarial, or ministerial capacity. 


          2)Requires a lobbyist to register as a lobbyist and to comply  
            with various ethics and reporting rules. 

          3)Requires lobbying firms and lobbyist employers to register  
            with the Secretary of State (SOS) and to file periodic  
            disclosure reports that contain information about the firms'  
            and employers' lobbying interests and agencies lobbied. 

          4)Permits any person to testify at a Commission hearing,  
            workshop, or other official proceeding, or submit written  
            comments for the record on a matter before the Commission. 


          5)Requires any person who applies to the Commission for approval  
            of a development permit to provide the Commission with the  
            names and addresses of all persons who, for compensation, will  
            be communicating with the Commission or its staff on the  
            applicant's behalf or on behalf of the applicant's business  
            partners. Requires that disclosure to be provided to the  
            Commission prior to any such communication. 








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          6)Requires Commissioners to disclose and make public any ex  
            parte communication by providing a full report of the  
            communication to the executive director within seven days of  
            the communication or, if the communication occurs within seven  
            days of the next Commission hearing, to the Commission on the  
            record of the proceeding at that hearing.  

          7)Defines an "ex parte communication," for the purposes of  
            communications related to actions of the Commission, as any  
            oral or written communication between a member of the  
            Commission and an interested person about a matter within the  
            Commission's jurisdiction, which does not occur in a public  
            hearing, workshop, or other official proceeding, or that is  
            not on the record at such a proceeding. 


          8)Defines an "interested person" as (a) any applicant,  
            applicant's agent or representative, or participant in a  
            Commission proceeding, (b) any person with a financial  
            interest in a matter before the Commission, or her agent or  
            employee, or (c) a representative acting on behalf of any  
            civic, environmental, neighborhood, business, labor, trade, or  
            similar organization who intends to influence the decision of  
            a Commissioner. 

          9)Defines a "matter within the commission's jurisdiction" as any  
            permit action, federal consistency review, appeal, local  
            coastal program, port master plan, public works plan, or any  
            other quasi-judicial matter requiring Commission action, for  
            which an application has been submitted to the Commission. 

          10)Prohibits a Commissioner who has knowingly had an ex parte  
            communication that has not been reported as required from  
            voting on the matter or influencing the Commission in any way.  
             Provides that knowing violations of the disclosure or recusal  
            requirements can result in fines of up to $7,500, and a court  
            order for the Commission to revoke its action and rehear the  
            matter. 












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          This bill:

          1)Provides that communications with Commissioners regarding  
            specified business before the Commission can result in a  
            person being considered a lobbyist under the PRA, pursuant to  
            the following: 

             a)   Expands the definition of "administrative action" to  
               also mean the proposal, drafting, development,  
               consideration, amendment, enactment, or defeat of any rule,  
               regulation, permit action, federal consistency review,  
               appeal, local coastal program, port master plan, public  
               works plan, long-range development plan, or categorical or  
               other exclusion from coastal development permit  
               requirements.


             b)   Provides, for the purposes of a quasi-judicial matter  
               before the Commission, that the term "agency official" only  
               means Commissioners, thereby generally excluding  
               communications with staff or consultants of the Commission  
               regarding matter before the Commission from the types of  
               communications that may result in a person being classified  
               as a lobbyist under this bill. 

             c)   Exempts from the definition of "lobbyist," for the  
               purposes of this bill, an employee of a local government  
               agency seeking, within the scope of his or her employment,  
               to influence quasi-judicial decisions of the Commission. 

          1)Requires Commissioners to disclose any ex parte communication  
            in writing as follows:

             a)   If the communication occurs more than seven days before  
               the next commission hearing, to the executive director  
               within seven days after the communication.

             b)   If the communication occurs within seven days of the  
               next commission hearing, to the commission on the record of  
               the proceeding at that hearing.

             c)   If the communication occurs within seven days of the  
               next commission hearing and relates to a matter that the  








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               commission will discuss at the hearing, to the commission  
               in writing at least 24 hours before that hearing.

             d)   No commission member, nor any interested person, shall  
               conduct an ex parte communication within 24 hours before a  
               commission hearing regarding a matter that the commission  
               will discuss at the hearing.

           BACKGROUND
           
           Coastal Commission  .  The Commission was established by voter  
          initiative in 1972 (Proposition 20) and later made permanent by  
          the Legislature through adoption of the California Coastal Act  
          of 1976 (Coastal Act).  In partnership with coastal cities and  
          counties, the Commission plans and regulates the use of land and  
          water in the coastal zone.  Development activities, which are  
          broadly defined by the Coastal Act to include construction of  
          buildings, divisions of land, and activities that change the  
          intensity of use of land or public access to coastal waters,  
          generally require a Coastal Development Permit (CDP) from either  
          the Commission or the local government with a certified Local  
          Coastal Program (LCP). 
          The Commission is an independent, quasi-judicial state agency,  
          and is composed of 12 voting members, appointed equally (4 each)  
          by the Governor, the Senate Rules Committee, and the Speaker of  
          the Assembly. Six of the voting commissioners are locally  
          elected officials and six are appointed from the public at  
          large.  Three ex officio (non-voting) members represent the  
          Natural Resources Agency, the Transportation Agency, and the  
          State Lands Commission.

          According to the Commission's mission statement, the Commission  
          is committed to protecting and enhancing California's coast and  
          ocean for present and future generations through careful  
          planning and regulation of environmentally-sustainable  
          development, rigorous use of science, strong public  
          participation, education, and effective intergovernmental  
          coordination.

           Ex parte communications  .  Ex parte communications refer to any  
          communication made in private (i.e., off the record and without  
          notice and opportunity for all parties to participate) between  
          an interested party in a decision-making process and any state  
          official in a decision-making position.  Ex parte communication  








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          disclosure requirements for state policy makers are intended to  
          provide the public with information regarding a decision and to  
          prevent bias in decision makers.  

          Prior to 1992, there was no mention of ex parte communications  
          in the Coastal Act.  In 1992, basic ex parte communications  
          reporting was added to the Coastal Act.  In 2014, AB 474 (Stone,  
          Chapter 125, Statutes of 2014), improved ex parte communications  
          reporting requirements.  The additions to the reporting  
          requirements included the identity of the person on whose behalf  
          the communication was made, the identity of all persons present  
          during the communication, and a complete, comprehensive  
          description of the content of the ex parte communication,  
          including a complete set of all text and graphic material that  
          was part of the communication.  This bill requires written  
          reports for all ex parte communications.  This bill also  
          prohibits ex parte communications within 24 hours of a  
          Commission hearing. 

           COMMENTS
           
           According to the author  : Currently members of the California  
          Coastal Commission are lobbied without the same level of  
          transparency that is met when other state officials are lobbied.  
           AB 2002 will amend the California Coastal Act and the  
          California Political Reform Act to require that those lobbying  
          the Commission must register with the Fair Political Practices  
          Commission as a lobbyist; they must disclose activities they are  
          pursuing on behalf of a client. 

          The decisions made by the Commission can have broad and lasting  
          impacts on coastal conservation and coastal access.  The  
          Commission works with cities and counties in the coastal zone to  
          approve land use policy that reflects the values put forth by  
          the voters in 1972.  Due to the gravity of these decisions,  
          transparency of the process is critical.
















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                               RELATED/PRIOR LEGISLATION
           
          SB 1190 (Jackson), which is pending in the Assembly Natural  
          Resources Committee, prohibits all ex parte communications at  
          the Commission. 

          AB 2658 (Maienschein), which was never voted on in the Assembly  
          Natural Resources Committee, would have required Commission  
          staff to disclose certain communications as specified and  
          imposed time limits for posting specified recordings and  
          materials on the Commission website.

           PRIOR ACTION
           
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          |Assembly Floor:                       |54 - 23                    |
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          |Assembly Appropriations Committee:    |14 - 6                     |
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          |Assembly Natural Resouces Committee:  |  7 - 2                    |
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          |Assembly Elections and Redistricting  |  6 - 1                    |
          |Committee:                            |                           |
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          POSITIONS
           
          Sponsor: Author 

           Support: Betty Yee, California State Controller 
                    Asian Pacific Policy & Planning Council
                    Audubon California 
                    Azul\Hispanic Access Foundation
                    Black Surfers Collective 
                    Blue Frontier
                    CA Native Plant Society
                    California Coastal Protection Network
                    California Coastkeeper Alliance
                    California League of Conservation Voters
                    California Public Interest Research Group
                    California Watershed Network








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                    City of West Hollywood
                    Climate Parents
                    Coastal Environmental Rights Foundation
                    Courage Campaign
                    Environment California
                    Environmental Defense Center
                    Environmental Justice Coalition for Water
                    Friends of Harbors, Beaches and Parks 
                    Hispanic Access Foundation
                    Humboldt Baykeeper
                    IDARE Sustainable Leadership
                    Inland Empire Waterkeeper
                    Klamath Riverkeeper
                    Los Angeles Waterkeeper
                    Los Cerritos Wetlands Land Trust
                    Monterey Coastkeeper & Otter Projects
                    National Parks Conservation Association
                    Orange County Coastkeeper
                    Petaluma River Council
                    Preserve Rural Sonoma County
                    Russian Riverkeeper
                    San Francisco Baykeeper
                    San Diego Coastkeeper
                    San Luis Obispo Channelkeeper
                    Santa Barbara Channelkeeper
                    Sierra Club California
                    Smith River Alliance
                    Sonoma County Conservation Action
                    Surfrider Foundation
                    The City Project
                    The Nature Conservancy
                    Turtle Island Restoration Network
                    Ventura Coastkeeper
                    Wallace J. Nicholas, Ph.D., Author, Blue Mind 
                    WildCoast
                    Wishotyo Chumash Foundation

           Oppose:  California Apartment Association
                    California Building Industry Association
                    California Business Properties Association
                    California Cattlemen's Association
                    California Chamber of Commerce
                    California Construction and Industrial Materials  
                   Association








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                    California Farm Bureau Federation
                    California Independent Petroleum Association
                    Loftin Firm, P.C.
                    National Federation of Independent Business
                    Western States Petroleum Association 

                                          
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