BILL ANALYSIS Appropriations Committee Fiscal Summary AB26 (Midgen) Hearing Date:9/1/99 Amended:8/16/99 Consultant: Maureen Brooks Policy Vote:Judiciary 6-3 ____________________________________________________________ BILL SUMMARY: AB 26 sets forth the requirements for a domestic partnership and provides for their registration with the Secretary of State (SOS). The bill specifies that the domestic partnership must be between two adults of the same sex who have a common residence and meet other criteria. In addition, AB 26 authorizes state and local employers to offer health care coverage and other benefits to domestic partners who have submitted certificates of eligibility or Declarations of Domestic Partnerships to the board. Fiscal Impact (in thousands) Major Provisions 1999-2000 2000-01 2001-02 Fund Registration SOS $118 $29 $54General Fee Revenue $50 $100 $150General Health benefits -----unknown, subject to employer option----------------Various STAFF COMMENTS: SUSPENSE FILE. AB 26 does not require employers to provide this coverage. However, if elected, the state contribution will be significant, determined by the number of participants. The Secretary of State will have to design two forms, the Registration of Domestic Partnership and the Termination of Domestic Partnership. Initial start-up costs result from developing the regulations for fees and the design, printing and distribution of the two forms. Ongoing costs include processing requests for registration. SOS expects the filing fee to be approximately $10 and the revenue generated will exceed costs after the initial start-up. AB 26 specifies the procedures for the termination of domestic partnerships and prohibits a person who has filed a Declaration from filing a new Declaration until at least 6 months after the date that a Notice of Termination has been filed. This bill preempts any local ordinance or law that provides for the creation of a domestic partnership but allows a local jurisdiction to retain policies that offer rights to domestic partners that are in addition to those established by state law. A similar bill, AB 107 (Knox), is pending on this Committee's Suspense File.