BILL ANALYSIS                                                                                                                                                                                                    Ó






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          |SENATE RULES COMMITTEE            |                        SB 573|
          |Office of Senate Floor Analyses   |                              |
          |(916) 651-1520    Fax: (916)      |                              |
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                                   THIRD READING 


          Bill No:  SB 573
          Author:   Pan (D)
          Amended:  6/2/15  
          Vote:     21  

           SENATE GOVERNMENTAL ORG. COMMITTEE:  7-1, 4/28/15
           AYES:  Hall, Block, Hernandez, Hill, Hueso, Lara, McGuire
           NOES:  Berryhill
           NO VOTE RECORDED:  Gaines, Galgiani, Vidak

           SENATE APPROPRIATIONS COMMITTEE:  5-2, 5/28/15
           AYES:  Lara, Beall, Hill, Leyva, Mendoza
           NOES:  Bates, Nielsen

           SUBJECT:   Statewide open data portalStatewide open data  
                     portal.


          SOURCE:    Author
          
          DIGEST:    This bill requires the Governor, on or before January  
          1, 2016, to appoint a Chief Data Officer (CDO), who would report  
          to the Secretary of Government Operations and requires the CDO,  
          on or before January 1, 2017, to establish a statewide open data  
          portal.

          ANALYSIS:
          
          Existing law:
          
          1)Requires, under the California Public Records Act, for state  
            and local agencies to make their records available for public  
            inspection, unless an exemption from disclosure applies.








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          2)Declares that access to information concerning the conduct of  
            people's business is a fundamental and necessary right of  
            every person in this state.

          3)Requires every public agency to comply with the California  
            Public Records Act and with any subsequent statutory enactment  
            amending the act, or enacting or amending any successor act. 

          This bill:

            1)  Requires the Governor, on or before January 1, 2016, to  
              appoint a CDO, who would report to the Secretary of  
              Government Operations.

            2)  Requires the CDO, on or before January 1, 2017, in  
              cooperation with the Department of Technology (Caltech), to  
              create a statewide open data portal that is accessible to  
              the public.  The CDO may elect to utilize data.ca.gov to  
              satisfy the requirements of this section.

            3)  Requires the CDO to publish a listing of all data that may  
              be provided to the public, subject to any state or federal  
              privacy laws or regulations, including, but not limited to,  
              privacy provisions in the California Public Records Act and  
              the Health Insurance Portability and Accountability Act of  
              1996.

            4)  Requires the CDO, after each agency assesses its data  
              inventory, to create a statewide open data roadmap and shall  
              publish the open data roadmap on the statewide open data  
              portal.

            5)  Requires the CDO, on or after June 1, 2017, to ensure that  
              at least 150 data sets have been published on the statewide  
              open data portal.

            6)  Specifies that the statewide open data portal shall  
              include a link to the Internet Web site of any agency that  
              publishes its data on that site, including a link to any  
              existing open data Internet Web site, including, but not  
              limited to http://bythenumbers.sco.ca.gov/ and  
              https://chhs.data.ca.gov/.








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            7)  Requires the CDO to make the statewide open data portal  
              available to any city, county, city and county, district, or  
              other local agency interested in using the statewide open  
              data portal to publish its own data.  Any data published by  
              a city, county, city and county, district, or other local  
              agency shall comply with all state or federal privacy laws  
              or regulations, including, but not limited to, privacy  
              provisions in the California Public Records Act and the  
              Health Insurance Portability and Accountability Act of 1996.

            8)  Requires the CDO, on or after January 1, 2018, and each  
              year thereafter, to publish a progress report for open data  
              within the state.  The progress report shall include, but is  
              not limited to, an assessment of outcomes from the  
              implementation of this bill, innovation of the statewide  
              open data portal, whether there has been any cost savings as  
              a result of the implementation of this bill, and an  
              assessment of agency collaboration.

            9)  Requires the CDO, on or after January 1, 2017, in  
              consultation with the Attorney General, to publish a set of  
              guidelines for use by each agency.  The guidelines shall  
              include, but are not limited to, definitions and assessments  
              of security, privacy, and legal concerns related to the  
              creation of an inventory and publication of data. 

            10) Requires the CDO, on or before October 1, 2016, to create  
              an open data working group. The open data working group  
              shall consist of state agencies' data coordinators, and  
              shall be headed by the CDO.  The open data working group  
              shall meet at least quarterly, and shall do, but is not  
              limited to, all of the following:

                a)      Assess progress on the open data roadmap.
                b)      Discuss and recommend statewide policies and  
                  guidelines.
                c)      Share best practices across agencies.
                d)      Coordinate data sharing between agencies.

            11) Requires state agencies identified by the CDO, on or  
              before August 1, 2016, to appoint a data coordinator who  
              shall be responsible for compliance with the provisions of  
              this bill.  The data coordinator may appoint a data steward  
              for each data set the agency intends to publish.







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            12) Specifies that the agency shall publish its inventory on  
              the statewide open data portal and may additionally publish  
              its inventory on its own Internet Web site.  If the agency  
              chooses to publish the inventory on its own Internet Web  
              site, the agency shall include on that site a link to the  
              statewide open data portal site. 

            13) Specifies that agencies are authorized to apply for and  
              accept public, private, and not-for-profit funding for the  
              purpose of developing, implementing, or managing the  
              statewide open data portal infrastructure and software. 

            14) Defines an "Agency" as a state agency, authority, board,  
              bureau, commission, council, department, division, or  
              office. 

            15) Defines a "Data set" as any information comprising  
              collection of information held in electronic form where all  
              or most of the information in the collection has been  
              obtained or recorded for the purpose of providing an agency  
              with information in connection with the provision of a  
              service by the agency or the carrying out of any other  
              function of the agency, is factual information that is not  
              the product of analysis of interpretation other than  
              calculation, and remains presented in a way that has not  
              been organized, adapted, or otherwise materially altered  
              since it was obtained or recorded. 

            16) Defines "inventory" as a summary listing of all available  
              data sets within an agency.  The listing should include, but  
              is not limited to, a descriptive title of the data set as  
              well as a brief informative description of what information  
              may be found within the data set.

            17) Defines "Open Data roadmap" as a strategic plan describing  
              the process by which 100 percent of the data held by an  
              agency will be made publicly available, subject to any state  
              or federal law or regulation relating to privacy.  The  
              roadmap shall include, but is not limited to, and agency's  
              data inventory, a proposed timeline for the release of data  
              sets on a statewide or agency basis, and a methodology for  
              compliance with any state or federal law or regulation  
              relating to privacy.







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            18) Defines a "Statewide open data portal" as a centralized  
              data Internet Web site, with the ability to display and  
              export data published from state agencies.  The bill  
              specifies that data.ca.gov may be utilized as the statewide  
              open data portal.

          Background

          Purpose of the bill.  According to the author, in 2009  
          California launched an ambitious initiative, intending to open  
          up over 100 million data records, however, since then,  
          California has lagged behind in opening state-level datasets.

          The author further argues that despite being the home of some of  
          the most innovative technology ideas in the world, California  
          has not established itself as a leader in developing a unified  
          open state-wide data policy.  While some entities in the state  
          have developed independent open data projects, California still  
          lacks a cohesive state policy that standardizes this data and  
          makes it readable across multiple platforms.

          The author concludes that SB 573 would improve California's goal  
          to be transparent and accountable, increase efficiency and  
          cost-savings, and foster economic development.

          Open Data.  Open data is the raw data generated or collected by  
          government agencies made freely available for use by the public,  
          subject only to valid privacy, confidentiality, security, and  
          other legal restrictions.  In addition, open data is the concept  
          that certain data should be freely available to everyone to use  
          and reuse as individuals see fit without restrictions from  
          copyright, patents, or any other restriction mechanism.  

          Most often than not, open data is collected by a government  
          entity at a particular Internet Web site.  Such a website is  
          available to the public who is free to use all data without  
          restrictions.  Most, if not all, of these open data portals are  
          managed by a particular individual and or agency to ensure that  
          the data available does not violate any state and privacy laws. 

          Currently 10 states have mandated statewide open data portal.   
          In California the cities of San Francisco and Los Angeles have  
          established open data portals.  In addition, California  







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          currently has the California Health and Human Services Open Data  
          Portal that includes open data by the California Department of  
          Public Health, the Office of Statewide Health Planning and  
          Development and the Department of Health Care Services.

          Benefits of a Statewide Open Data Portal in California.  A March  
          2015 report by the Milken Institute California Center titled,  
          "Open Data in California: Why the State Needs a Unified Strategy  
          for Public Information," stated that California could benefit  
          from the implementation of a statewide open data portal in three  
          major ways.

          The first is that such a statewide open data portal would  
          increase government transparency.  Currently, the Milken  
          Institute argues, when individuals, such as researchers,  
          journalist, or other interested parties attempt to collect  
          information about government expenditures, they often find vague  
          or outdated information about how their tax dollars are spent.   
          The establishment of a statewide open data portal would  
          encourage citizen engagement and intellectual curiosity.

          Secondly, the Milken Institute argues that implementing a  
          statewide open data policy that requires participation by all  
          agencies has the potential to significantly streamline the  
          permitting process and reduce workloads across all agencies. In  
          other words, by having the data publicly available in a  
          centralized location, individuals would no longer be required to  
          call each particular agency and in turn that agency would not  
          need to take time to collect that data.

          Finally, the Milken Institute argues that such an open data  
          portal would create economic development by providing huge  
          amounts of data to would-be entrepreneurs.  California is  
          perfectly placed to take advantage of an open data portal due to  
          the tech hubs such as Silicon Valley.  Entrepreneurs could  
          easily use data that is freely available to create the next  
          great program and/or app.

          Prior/Related Legislation
          
          AB 1215 (Ting, 2015) requires the Governor to appoint a CDO and  
          requires the CDO to work with state agencies and experts to  
          create a California Open Data Standard and a centralized  
          Internet web portal for the public to access public data from  







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          state agencies.  (Held in Assembly Appropriations Committee)

          FISCAL EFFECT:                 Appropriation:  No    Fiscal  
          Com.:             Yes          Local:          No


          According to the Senate Appropriations Committee, annual  
          staffing costs of approximately $293,000 annually for an  
          appointed Chief Data Officer and one data liaison.  Costs to  
          create a statewide open data portal could be as low as $125,000  
          to update the existing data.ca.gov website, or approximately  
          $234,000 for the Department of Technology to create the portal.   
          Ongoing costs for maintenance and hosting could be in the range  
          of $500,000 to $1 million annually.  These operating costs could  
          eventually be spread to participating agencies through the  
          Office of Technology Services rate structure, but would  
          initially be from the General Fund.

          Unknown costs, potentially in the low millions, for over 200  
          state entities to appoint a data coordinator, identify data  
          sets, and create a plan for data publication.  Additional cost  
          pressures, potentially in the millions, for over 200 agencies to  
          post available data.  Actual costs upon full implementation  
          would vary among state agencies depending on each entity's  
          function and inventory of public data.  For illustrative  
          purposes, the Office of Statewide Planning and Development will  
          spend approximately $220,000 this year on its open data project.  
           Smaller state entities with limited public data sets would  
          likely incur expenditures in the tens of thousands annually,  
          while larger agencies are likely to incur costs in the hundreds  
          of thousands annually.  
          
          SUPPORT:  (Verified 6/2/15)

          Accela
          City of Los Angeles
          GROW Holdings
          Health Officers Association of California
          Los Angeles County Business Federation
          Milken Institute California Center
          Sunlight Foundation
          Urban Strategies Council

          OPPOSITION: (Verified 6/2/15)







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          None received

          ARGUMENTS IN SUPPORT:    The Health Officers Association of  
          California (HOAC) states that good data is crucial to good  
          public policy.  A CDO in each agency would help standardize the  
          state's data policies across all departments, making information  
          more accessible to California's public health leaders.  SB 573  
          would allow state departments to work together to recognize,  
          evaluate, and resolve pressing public health concerns. 

          The Sunlight Foundation argues that provisions envisioned by SB  
          573 are essential for moving open data forward at the state  
          level. The Sunlight Foundation further argues that this bill  
          emphasizes the state's capacity to serve as a platform for open  
          data across the state by ensuring that the state portal can host  
          California's open municipal, county, and district data as well,  
          magnifying the utility of both the portal and the local data it  
          hosts.

          Prepared by:Felipe Lopez / G.O. / (916) 651-1530
          6/2/15 21:15:58


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