BILL NUMBER: SB 1349 AMENDED
BILL TEXT
AMENDED IN SENATE MARCH 28, 2016
INTRODUCED BY Senator Hertzberg
FEBRUARY 19, 2016
An act to add Section 84211.5 to amend
Sections 84601 and 84602 of the Government Code, relating to
the Political Reform Act of 1974.
LEGISLATIVE COUNSEL'S DIGEST
SB 1349, as amended, Hertzberg. Political Reform Act of 1974:
campaign disclosure. Secretary of State:
online filing system.
The Political Reform Act of 1974 generally requires elected
officials, candidates for elective office, and committees formed
primarily to support or oppose a candidate for public office or a
ballot measure, along with other entities, to file periodic campaign
statements. The act requires that these campaign statements contain
prescribed information related to campaign contributions and
expenditures of the filing entities. Existing law, the Online
Disclosure Act, requires the Secretary of State, in consultation with
the Fair Political Practices Commission, to develop online and
electronic filing processes for use by these persons and entities.
This bill bill, in addition, would
require the Secretary of State to develop a system to
identify filers of independent expenditure committee campaign
statements and major donor committee campaign statements that would
allow members of the public to search the Secretary of State's
database by filer to identify all expenditures or contributions made
by that filer. State, in consultation with the
Commission, to develop and certify for public use an online filing
system for campaign statements and reports that provides public
disclosure of campaign finance and lobbying information in a
user-friendly, easily understandable format.
The Political Reform Act of 1974, an initiative measure, provides
that the Legislature may amend the act to further the act's purposes
upon a 2/3 vote of each house and compliance with specified
procedural requirements.
This bill would declare that it furthers the purposes of the act.
Vote: 2/3. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 84601 of the
Government Code is amended to read:
84601. The Legislature finds and declares as follows:
(a) The people of California enacted one of the nation's most
comprehensive campaign and lobbying financial disclosure laws when
they voted for Proposition 9, the Political Reform Act of 1974, an
initiative statute.
(b) Public access to campaign and lobbying disclosure information
is a vital and integral component of a fully informed electorate.
(c) Advances in technology have made it viable for
disclosure statements and reports required by the Political Reform
Act to be filed online and placed on the Internet, thereby maximizing
availability to the public. necessary for the State
of California to develop a new, data-driven online filing system that
provides public disclosure of campaign finance and lobbying
information in a user-friendly, easily understandable format.
SEC. 2. Section 84602 of the Government
Code is amended to read:
84602. (a) To implement the Legislature's
intent, the Secretary of State, in consultation with the Commission,
notwithstanding any other provision of this code, shall do all of the
following:
(a)
(1) Develop online and electronic filing processes for
use by persons and entities specified in Section 84605 that are
required to file statements and reports with the Secretary of State's
office pursuant to Chapter 4 (commencing with Section 84100) and
Chapter 6 (commencing with Section 86100). Those processes shall each
enable a user to comply with all the disclosure requirements of this
title and shall include, at a minimum, the following:
(1)
(A) A means or method whereby filers subject to this
chapter may submit required filings free of charge. Any means or
method developed pursuant to this provision shall not provide any
additional or enhanced functions or services that exceed the minimum
requirements necessary to fulfill the disclosure provisions of this
title. At least one means or method shall be made available no later
than December 31, 2002.
(2)
(B) The definition of a nonproprietary standardized
record format or formats using industry standards for the
transmission of the data that is required of those persons and
entities specified Section 84605 and that conforms with the
disclosure requirements of this title. The Secretary of State shall
hold public hearings prior to before
development of the record format or formats as a means to ensure that
affected entities have an opportunity to provide input into the
development process. The format or formats shall be made public no
later than July 1, 1999, to ensure sufficient time to comply with
this chapter.
(b)
(2) Accept test files from software vendors and others
wishing to file reports electronically, for the purpose of
determining whether the file format is in compliance with the
standardized record format developed pursuant to subdivision (a) and
is compatible with the Secretary of State's system for receiving the
data. A list of the software and service providers who have submitted
acceptable test files shall be published by the Secretary of State
and made available to the public. Acceptably formatted files shall be
submitted by a filer in order to meet the requirements of this
chapter.
(c)
(3) Develop a system that provides for the online or
electronic transfer of the data specified in this section
utilizing using telecommunications technology
that assures the integrity of the data transmitted and that creates
safeguards against efforts to tamper with or subvert the data.
(d)
(4) Make all the data filed available on the Internet
in an easily understood format that provides the greatest public
access. The data shall be made available free of charge and as soon
as possible after receipt. All late contribution and late independent
expenditure reports, as defined by Sections 84203 and 84204,
respectively, shall be made available on the Internet within 24 hours
of receipt. The data made available on the Internet shall not
contain the street name and building number of the persons or entity
representatives listed on the electronically filed forms or any bank
account number required to be disclosed pursuant to this title.
(e)
(5) Develop a procedure for filers to comply with the
requirement that they sign under penalty of perjury pursuant to
Section 81004.
(f)
(6) Maintain all filed data online for 10 years after
the date it is filed, and then archive the information in a secure
format.
(g)
(7) Provide assistance to those seeking public access
to the information.
(h)
(8) Implement sufficient technology to seek to prevent
unauthorized alteration or manipulation of the data.
(i)
(9) Provide the Commission with necessary information
to enable it to assist agencies, public officials, and others with
the compliance with and administration of this title.
(j)
(10) Report to the Legislature on the implementation
and development of the online and electronic filing and disclosure
requirements of this chapter. The report shall include an examination
of system security, private security issues, software availability,
compliance costs to filers, use of the filing system and software
provided by the Secretary of State, and other issues relating to this
chapter, and shall recommend appropriate changes if necessary. In
preparing the report, the Commission may present to the Secretary of
State and the Legislature its comments regarding this chapter as it
relates to the duties of the Commission and suggest appropriate
changes if necessary. There shall be one report due before the system
is operational as set forth in Section 84603, one report due no
later than June 1, 2002, and one report due no later than January 31,
2003.
(k)
(11) Review the current filing and disclosure
requirements of this chapter and report to the Legislature, no later
than June 1, 2005, recommendations on revising these requirements so
as to promote greater reliance on electronic and online submissions.
(b) (1) To implement the Legislature's intent, as described in
Section 84601, the Secretary of State, in consultation with the
Commission, shall develop an online filing system for use by persons
and entities specified in Section 84605 that are required to file
statements and reports with the Secretary of State's office pursuant
to Chapter 4 (commencing with Section 84100) and Chapter 6
(commencing with Section 86100). The system shall enable a user to
comply with all of the disclosure requirements of this title and
shall include, at minimum, all of the following:
(A) A data-driven means or method that allows filers subject to
this chapter to submit required filings free of charge and does all
of the following:
(i) Enables a filer to comply with all of the disclosure
requirements of this title, including by entering or uploading
requisite data or by indicating that the filer had no reportable
activity during a particular reporting period.
(ii) Retains previously-submitted data so that a filer can access
that data to amend disclosures or prepare future disclosures.
(iii) Ensures the security of data entered and stored in the
system.
(iv) To the extent feasible, is compatible with potential future
capability to accept statements from filers specified in subdivisions
(b) to (e), inclusive, of Section 84215. No later than December 31,
2017, the Secretary of State shall provide a report to the Assembly
Committee on Elections and Redistricting and the Senate Committee on
Elections and Constitutional Amendments that includes a plan for
accepting these filings.
(B) The definition of a nonproprietary standardized record format
or formats using industry standards for the transmission of the data
that is required of those persons and entities specified in Section
84605 and that conforms with the disclosure requirements of this
title.
(2) The Secretary of State shall do all of the following with
respect to the online filing system developed pursuant to this
subdivision:
(A) Accept test files from software vendors and others wishing to
file reports electronically for the purpose of determining whether
the file format is in compliance with the standardized record format
developed pursuant to this subdivision and is compatible with the
Secretary of State's system for receiving the data. The Secretary of
State shall publish and make available to the public a list of the
software and service providers who have submitted acceptable test
files. A filer shall submit acceptably formatted files in order to
meet the requirements of this chapter.
(B) Make the data filed available on the Internet as follows:
(i) In a user-friendly, easily understandable format that provides
the greatest public access, including online searches and
machine-readable downloads.
(ii) Free of charge and as soon as possible after receipt, or, in
the case of late contribution and late independent expenditure
reports, as defined by Sections 84203 and 84204, respectively, within
24 hours of receipt.
(iii) Not containing the street name or building number of the
persons or entity representatives listed on the electronically filed
forms or any bank account number required to be disclosed pursuant to
this title.
(iv) In a manner that allows the public to track and aggregate
contributions from the same contributor across filers using a
permanent unique identifier assigned by the Secretary of State for
this purpose to, at minimum, each contributor who makes contributions
totaling ten thousand dollars ($10,000) or more in a calendar year
to, or at the behest of, candidates or committees that file
electronically with the Secretary of State pursuant to subdivision
(a) of Section 84215.
(C) Develop a procedure for filers to comply electronically with
the requirement to sign under penalty of perjury pursuant to Section
81004. The electronic signature procedure shall allow the filer to
file with the Secretary of State and shall not require an original
signature to be filed.
(D) Maintain all filed data online for at least 10 years after the
date it is filed, and then archive the information in a secure
format.
(E) Provide assistance to those seeking public access to the
information.
(F) Implement sufficient technology to seek to prevent
unauthorized alteration or manipulation of the data.
(G) Provide the Commission with necessary information to enable it
to assist agencies, public officials, and others in complying with
and administering this title.
(3) In consultation with the Commission, the Secretary of State
shall, no later than July 31, 2017, hold at least one public hearing
to receive input on development of the online filing system and
record format pursuant to paragraph (1).
(4) The Secretary of State shall make the online filing system
developed pursuant to this subdivision available for use no later
than February 1, 2019. The Secretary of State may extend this date to
a date no later than December 31, 2019 after consulting with the
Assembly Committee on Elections and Redistricting and the Senate
Committee on Elections and Constitutional Amendments and providing to
those committees a report that explains the need for the extension
and includes a plan for completion.
(5) The Secretary of State may accept any funds, services,
equipment or grants to further this subdivision.
(6) Because the provisions of this chapter need to be implemented
as expeditiously as possible, the information technology procurement
requirements described in Chapter 5.6 (commencing with Section 11545)
of Part 1 of Division 3 of Title 2, and in Section 12100 of the
Public Contract Code, do not apply to development of the online
filing system pursuant to this subdivision.
(7) (A) Before making the system developed pursuant to this
subdivision available for public use, the Secretary of State shall
test the system to ensure its functionality and then certify that the
system accurately tracks and aggregates contributions from the same
contributor across filers. The Secretary of State may consult with
the Department of Technology as needed to fulfill his or her duties
under this paragraph.
(B) After the system developed pursuant to this subdivision is
certified, the system described in subdivision (a) shall no longer be
used.
SECTION 1. Section 84211.5 is added to the
Government Code, to read:
84211.5. The Secretary of State shall develop a system to
identify each filer of an independent expenditure committee campaign
statement or major donor committee campaign statement that allows the
public to search the Secretary of State's database by filer to
identify all expenditures or contributions made by that filer.
SEC. 2. SEC. 3. The Legislature finds
and declares that this bill furthers the purposes of the Political
Reform Act of 1974 within the meaning of subdivision (a) of Section
81012 of the Government Code.