BILL ANALYSIS Ó SENATE COMMITTEE ON APPROPRIATIONS Senator Ricardo Lara, Chair 2015 - 2016 Regular Session SB 1029 (Hertzberg) - California Debt and Investment Advisory Commission: accountability reports ----------------------------------------------------------------- | | | | | | ----------------------------------------------------------------- |--------------------------------+--------------------------------| | | | |Version: April 27, 2016 |Policy Vote: GOV. & F. 7 - 0 | | | | |--------------------------------+--------------------------------| | | | |Urgency: No |Mandate: Yes | | | | |--------------------------------+--------------------------------| | | | |Hearing Date: May 27, 2016 |Consultant: Mark McKenzie | | | | ----------------------------------------------------------------- Bill Summary: SB 1029 would require state and local agencies to submit an annual report to the California Debt and Investment Advisory Committee (CDIAC) that includes debt issuances, outstanding debt, and use of proceeds over the reporting period, as specified. The bill would also require CDIAC to track and report on all state and local outstanding debt until it is fully repaid or redeemed. *********** ANALYSIS ADDENDUM - SUSPENSE FILE *********** The following information is revised to reflect amendments adopted by the committee on May 27, 2016 Fiscal Impact: CDIAC administrative costs of approximately $132,000 in the first two years (1 PY), $261,000 in years three and four (2 PY), and $393,000 annually thereafter (3 PY) for new SB 1029 (Hertzberg) Page 1 of ? positions to receive, review, process, and include reported data on new debt issuances in its database. (California Debt and Investment Advisory Commission Fund) CDIAC indicates that any one-time costs for systems upgrades would be minor and absorbable. Staff notes that there could be future cost pressures to the extent the bill authorizes CDIAC to develop alternative reporting methods for data collection. CDIAC indicates it would absorb any future costs for these upgrades. (California Debt and Investment Advisory Commission Fund) Author Amendments: Limit the bill to only require state and local agencies to report annually on debt issued on or after January 21, 2017, rather than reporting on all outstanding and prospective debt issuances. -- END --