BILL ANALYSIS Ó SENATE COMMITTEE ON APPROPRIATIONS Senator Ricardo Lara, Chair 2015 - 2016 Regular Session SB 1467 (Bates) - Political Reform Act of 1974: campaign prohibitions ----------------------------------------------------------------- | | | | | | ----------------------------------------------------------------- |--------------------------------+--------------------------------| | | | |Version: April 13, 2016 |Policy Vote: E. & C.A. 4 - 1 | | | | |--------------------------------+--------------------------------| | | | |Urgency: No |Mandate: Yes | | | | |--------------------------------+--------------------------------| | | | |Hearing Date: May 2, 2016 |Consultant: Robert Ingenito | | | | ----------------------------------------------------------------- This bill meets the criteria for referral to the Suspense File. Bill Summary: SB 1467 would prohibit a candidate-controlled ballot measure committee from expending campaign funds on an advertisement featuring the controlling candidate or another officeholder or candidate. Fiscal Impact: The Fair Political Practices Committee (FPPC) indicates that it would incur first-year costs of $266,000 and ongoing costs of $252,000 to implement the provisions of the bill (General Fund). Background: Under current law, a "controlled committee" is one that is (1) controlled directly or indirectly by a candidate or state measure proponent, or (2) acts jointly with a candidate, SB 1467 (Bates) Page 1 of ? controlled committee, or state measure proponent in connection with the making of expenditures. A candidate or state measure proponent controls a committee if he or she, his or her agent, or any other committee he or she controls has a significant influence on the committee's actions or decisions. Pursuant to regulations promulgated by FPPC, current law provides that candidate-controlled ballot measure committee funds shall be used only to make expenditures related to a state or local measure or potential measure anticipated by the committee, or to qualification or pre-qualification activities relating to such measures. Current law defines the term "advertisement," for purposes of the Political Reform Act (PRA), as any general or public advertisement which is authorized and paid for by a person or committee for the purpose of supporting or opposing a candidate for elective office or a ballot measure or ballot measures. The term does not include a communication from an organization other than a political party to its members, a campaign button smaller than 10 inches in diameter, a bumper sticker smaller than 60 square inches, or other advertisement as determined by FPPC regulations. Proposed Law: This bill would (1) prohibit a committee controlled by a candidate for elective office that is primarily formed to support or oppose one or more ballot measures from expending campaign funds on an advertisement featuring the controlling candidate or another officeholder or candidate, as specified, and (2) provide, for purposes of this bill, that "featuring a candidate or officeholder" means using any of the following belonging to the candidate or otherwise singling out the candidate or officeholder: name, signature, title, voice, or image. Related Legislation: AB 709 (Wolk, of 2006) and AB 1980 (Wolk, of 2004) would have applied existing contribution limits to candidate-controlled ballot measure committees. AB 709 failed SB 1467 (Bates) Page 2 of ? passage in this committee while the Conference Committee Report for AB 1980 was adopted in the Senate but failed in the Assembly. The version of AB 1980 that was heard in this committee was substantially different than the version contained in the Conference Committee report. Staff Comments: FPPC would require two positions and incur first-year costs of $266,000 and ongoing costs of $252,000 to implement the provisions of the bill (General Fund). Additional anticipated workload duties include amending regulations, responding to requests for advice, amending instruction materials, and potential litigation. Legislative Counsel and the bill analysis from the Senate Elections and Constitutional Amendments Committee note that the bill's prohibitions may be challenged in court. -- END --