BILL ANALYSIS                                                                                                                                                                                                    




                   Senate Appropriations Committee Fiscal Summary
                           Senator Kevin Murray, Chairman

                                           1128 (Alquist)
          
          Hearing Date:  5/8/06           Amended: 4/18/06
          Consultant: Nora Lynn           Policy Vote: Public Safety 6-0














































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          _________________________________________________________________ 
          ____
          BILL SUMMARY:  SB 1128, an urgency measure, enacts the Sex  
          Offender Punishment, Control and Containment Act of 2006.
          _________________________________________________________________ 
          ____
                            Fiscal Impact (in thousands)

           Major Provisions         2006-07      2007-08       2008-09     Fund
           Incarceration, probation,         Annual costs in the tens of  
          millions range3        General
               parole

          Megan's Law, registration         $4,1815     $2,858     
          $2,115General

          STATIC-99 training,      Annual costs in the tens of millions  
          range3         General
             testing & offender oversight

          Facts of Offense Sheets$6,2463    $4,8583     $4,1153   General

          DOJ: SVP commitments   $1507      $3007       $3007     General

           DMH: SVP commitments   Annual costs in the tens of millions  
            range7                 General

          SAFE Teams             $6,2501,4  $8,0004     $8,000    General

          Courts (record retention)       Minor, absorbable costs General2

          Child safety program   $4956      $495        $495      General

          Capital outlay         Potentially several hundred millionBond
                                 in five years7                   
          _____
          1 Funding consistent with Governor's proposed 2006-07 budget
          2 Trial Court Trust Fund
          3 Requirements placed on probation programs (assessing and  
          monitoring sex offenders, training probation officers & Facts of  
          Offense sheets) constitute a state-mandated local program
          4 Offset by penalty revenues directed to these purposes by the  
          bill
          5 Partially funded in Governor's proposed 2006-07 budget







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          6 Appropriated in bill
          7 See staff comments throughout regarding different departments'  
          varying bases for estimates
          _________________________________________________________________ 
          ____

          STAFF COMMENTS: This bill meets the criteria to be placed on the  
          Suspense file.

          SB 1128 makes a number of changes to existing law pertaining to  
          sex crimes and sex offenders.

           NEW CRIMES/SENTENCE ENHANCEMENTS
           SB 1128:
                 creates new "child luring" crimes;
                 creates a new crime for sex offenses against very young  
               children with a punishment of 25 years to life;
                 creates a new loitering statute to prevent sex offenders  
               from loitering around school grounds and other places where  
               vulnerable persons congregate; 
                 increases penalties and statutes of limitations for  
               child pornography; and
                 extends parole periods for all violent sex offenses.

          There are an estimated 11,000 inmates currently in Department of  
          Corrections and Rehabilitation (CDCR) institutions for sex  
          offenses with more than 1,900 new admissions each year.

          It is unknown by what magnitude the new crimes and enhanced  
          sentences and lengths of parole will increase incarceration and  
          parole costs at CDCR. If SB 1128's new crimes and enhanced  
          sentences were to increase the number of sex offenders  
          imprisoned in state prison by 5% per year, or by 97 individuals,  
          annual incarceration costs associated with this measure would  
          exceed $3.4 million and more than $15 million by 2010-11.
           
          MEGAN'S LAW, REGISTRATION
           SB 1128:
                 requires the Department of Justice (DOJ) to update the  
               Megan's Law database and provide enhanced information on  
               the Megan's Law website; and
                 makes changes to sex offender registration practices.

          DOJ estimates hardware, software, staffing and project oversight  







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          costs associated with renovating the Megan's Law database and  
          adding information regarding sex offender conviction and release  
          dates of more than $4 million in the first year, $2.8 million in  
          2007-08 and $2.1 million in 2008-09. The Governor's proposed  
          2006-07 budget includes $1.9 million for database renovation,  
          costs that would be incurred regardless of SB 1128's enactment.

          Costs associated with any influx of new registrants as a result  
          of the enhanced criminal provisions of SB 1128 are absorbable.
           
          STATIC-99 
           SB 1128:
                 requires specified recidivism risk assessments  
               (STATIC-99) for all adult male registered sex offenders;  
               and
                 enhances parole and probation provisions for sex  
               offenders, including requiring those whose STATIC-99  
               assessment indicates a high risk of re-offense to be on  
               reduced caseloads.

          STATIC-99 is a widely accepted diagnostic tool to assess the  
          recidivism risk of adult males convicted of sex crimes.  
          Developed in Canada, STATIC-99 is used throughout North America  
          and around the world and is a component of the Department of  
          Mental Health (DMH) review of persons who face possible  
          commitment as sexually violent predators (SVPs). STATIC-99 is  
          also used by CDCR in determining which high-risk parolees should  
          be monitored by GPS.

          SB 1128 would require all registered adult male sex offenders to  
          be assessed for risk of re-offense using STATIC-99 beginning  
          January 1, 2007. Training for probation department staff in  
          conducting STATIC-99 assessments, though, would be provided by  
          CDCR beginning in 2008. 

          CDCR estimates $3 million in one-time costs associated with  
          STATIC-99 training -- $1 million to develop the risk-assessment  
          training program and another $2 million to train parole officers  
          once the program is developed. 

          The department does not anticipate additional costs in  
          conjunction with SB 1128's requirements to perform prerelease  
          assessments of inmates as it currently assesses inmates for  
          high-risk sex offender parole caseloads and can replace existing  







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          assessment methodologies with STATIC-99. 

          Reimbursable costs to local agencies to receive mandated  
          training and conduct pre-sentencing assessments are unknown, but  
          are likely in excess of $5 million annually.

          SB 1128 requires CDCR and the Attorney General to develop a  
          schedule for all adult male sex offenders in the state who are  
          no longer in custody, on probation or on parole to be  
          administered a STATIC-99 assessment by January 1, 2012; costs to  
          do so are minor and absorbable. Costs to CDCR and DMH to  
          research assessment tools for female and juvenile sex offenders  
          are estimated at $250,000. Future year assessment costs for  
          unsupervised male, female and juvenile sex offenders are unknown  
          but will be significant. 

          STAFF NOTES the measure requires probation departments to  
          conduct a pre-sentencing STATIC-99 assessment of all persons  
          convicted of offenses requiring them to register as sex  
          offenders. The author may wish to clarify these pre-sentencing  
          assessments are to be conducted for all adult males who have  
          been so convicted. 
           
          PROBATION/PAROLE
           SB 1128:
                 requires all sex offenders on probation or parole who  
               are assessed at a high risk of recidivism to be placed on  
               reduced probation or parole caseloads.

          There are approximately 14,000 Megan's Law registrants on  
          probation (either for sex offenses or for other crimes) and  
          9,500 on parole. Of the parolees, 2,000 are currently on  
          high-risk reduced officer caseloads. 

          Based on results in other states using STATIC-99, an estimated  
          11% of sex offenders assessed using this methodology will test  
          at a high risk of re-offense and, therefore, require placement  
          on reduced probation and parole caseloads.

          Since the CDCR places approximately 20% of sex offenders on  
          reduced caseloads now, SB 1128 should not drive significantly  
          higher supervision costs. Since the bill requires probation  
          departments to place high-risk sex offenders on reduced  
          caseloads, however, supervision costs driven by SB 1128 will be  







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          reimbursable and likely significant. Costs to place 11% of  
          probationers with a sex offense in their criminal history on  
          reduced caseloads will likely exceed $10 million annually.

           DMH: SVP COMMITMENTS
           SB 1128:
                 imposes indeterminate terms for sexually violent  
               predators.

          In fiscal year 2004-05 DMH received 501 referrals from CDCR for  
          SVP screening and evaluation; of this number, 55 were committed  
          to the state hospital. 

          In formulating its cost estimates for this measure, DMH assumed  
          a ten-fold increase in the number of referrals it would receive  
          for SVP assessments and projects an overall annual cost estimate  
          of $40 million. Additional referrals would increase annual  
          screening costs by $2.3 million. Additionally, these 5007  
          individuals would each require evaluation by two separate  
          licensed clinicians. With each of these evaluations costing  
          $2,450, overall evaluation costs would exceed $24 million. DMH  
          further estimates that 40% of those evaluated will meet the  
          criteria for SVP commitment, requiring court appearances on the  
          part of the two clinical evaluators at $1,830 per appearance, or  
          $7.3 million annually. 

          The department further assumed the court system would not be  
          able to accommodate the influx of new cases each year and  
          projected that half of the SVP commitments will take more than a  
          year to be heard, necessitating these SVP candidates to be  
          re-evaluated at a $2.8 million cost. DMH further projects a 25%  
          increase in the number of commitments each year. At $107,000 per  
          state hospital patient per year, these additional commitments  
          would drive annual costs of $1.4 million. 

          DOJ, however, estimated its workload associated with SVP  
          commitments would increase by 25% (see below). If DOJ's  
          projected increase bears out, DMH would receive 625 referrals  
          each year, and its total costs for screening, evaluation, court  
          appearances and costs associated with increased commitments  
          would be closer to $4 million annually.

          There would be some small amount of offsetting savings realized  
          through indeterminate commitments and reduced court visits.







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           DOJ: SVP COMMITMENTS
           DOJ estimates SB 1128 will increase the number of DMH's  
          commitment hearings by approximately 25%. To meet the corollary  
          increase in workload, DOJ's Civil Division, which represents DMH  
          in these matters, will require additional staff at an annual  
          cost of approximately $300,000.
           
           If, however, caseloads and referrals increase by the ten-fold  
          increment projected by DMH, DOJ costs would be dramatically  
          higher, in the $2.4 million range each year. 

           SAFE TEAMS
           SB 1128:
                 creates a $6 million competitive grant program to fund  
               county SAFE teams.

          Existing law establishes the SAFE Team program, whose mission is  
          to reduce violent sexual assault offenses through "proactive  
          surveillance and arrest of habitual sex offenders ? and strict  
          enforcement of registration requirements for sex offenders? ."  
          SAFE Teams typically consist of representatives of police and  
          sheriff's departments, the participating county's district  
          attorney's Bureau of Investigations, and the county probation  
          department. 

          Staff estimates costs to the Corrections Standards Authority to  
          develop and administer the grant program should not exceed 5% of  
          the total amount appropriated. DOJ will incur some costs as  
          well, but those costs will depend on the amount allocated to the  
          department and the number of task forces funded. 

          STAFF NOTES the Governor's proposed budget for 2006-07 includes  
          $6 million for the Office of Emergency Services for SAFE Teams  
          grants. The Governor's proposed budget further proposes to  
          increase this funding by $2 million in 2007-08, for an ongoing  
          program of $8 million. The SAFE Team provisions in SB 1128 are  
          similar to those in SB 1240 (Hollingsworth), currently pending  
          on this committee's Suspense File.

           RECORD RETENTION AND FACTS OF OFFENSE SHEETS
           SB 1128:
                 requires all state and local agencies that maintain  
               records containing information on registered sex offenders  







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               to maintain those records for 75 years;
                 requires probation departments to compile Facts of  
               Offense Sheets for every adult male convicted of an offense  
               requiring him to register as a sex offender;
                 requires the Facts of Offense Sheet to contain specified  
               information; and
                 requires probation departments and CDCR to send Facts of  
               Offense Sheets to DOJ to be made part of the sex offenders'  
               files maintained in the Sex Offender Tracking Program and  
               to law enforcement in the jurisdiction where the sex  
               offender will be on probation or parole.

          DOJ projects document storage and processing, software, staff  
          and project oversight costs in excess of $5 million in 2006-07  
          with ongoing annual costs in the $2 million range associated  
          with these requirements. Costs to CDCR and local agencies  
          associated with preparation and transmittal of the Facts of  
          Offense Sheets as specified are unknown, but will likely exceed  
          several million dollars annually. 

          Judicial Council indicates court costs associated with retaining  
          sex offender records for 75 years are minor and absorbable.  
          STAFF NOTES the author may wish to clarify that the 75-year  
          record retention applies prospectively.
           
          PREVENTION EDUCATION
           SB 1128:
                 appropriates $495,000 to the Office of Emergency  
               Services (OES) to fund a child safety program.

          SB 1128 appropriates the specified funds to OES's Division of  
          Criminal Justice Programs for "child abuse and abduction  
          programs that provide prevention education to children in  
          schools, and parents, teachers, and service providers." SB 1128  
          states the objective of the program is to "increase awareness of  
          the problem of child abduction and basic knowledge of how  
          children can help to protect themselves from being abducted."

          OES costs to administer the grant program should not exceed 5%  
          of the total amount appropriated. Costs to DOJ to prepare and  
          print awareness and prevention materials for statewide  
          distribution are an estimated $1,800 and would be absorbable. 
           
          CAPITAL OUTLAY







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           In 1977, California's state corrections institutions housed  
          19,600 inmates; current population is close to 164,000. A July  
          2005 San Francisco Chronicle article describes the problem:


               ? The foundation of the current problems was laid in  
               the late 1970s, when Gov. Jerry Brown, a Democrat, and  
               Republican officials toughened the state's  
               criminal-justice policy. 


               As rising crime rates fed a law-and-order mood, Brown  
               signed legislation requiring judges to impose fixed  
               sentences. Other laws provided longer sentences for  
               drug crimes, sex crimes and for habitual offenders,  
               reaching a peak with "three strikes'' in 1994, which  
               mandated life sentences for some repeat offenders. 


               There were warnings that the state was unprepared. In  
               1979 the head of the Corrections Department, Jiro  
               Enomoto, warned that the prison population could shoot  
               out of control, to 27,000 by 1986 from about 20,000.  
               By 1986 there were 54,000, and the state never caught  
               up. 


               Today the prisons hold nearly twice the number of  
               inmates they were designed for, many having converted  
               gyms and other areas into large dormitories. The  
               crowding has raised racial and other tensions, made  
               prisons more difficult to control, and hindered the  
               limited treatment and education programs that are  
               provided. ? 


          The state's 33 general population prisons are operating at 194%  
          capacity, and programming space is at a premium. While the state  
          hospital facility at Coalinga is not currently at capacity, DMH  
          staff indicates this is a result of challenges with staffing the  
          institution, not a lack of potential occupants. When these  
          factors are coupled with the impacts of Coleman v. Wilson, a  
          case in which CDCR was found to have failed to have provided a  
          constitutionally-adequate level of mental health care and a  







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          special master was appointed to oversee the department's  
          compliance with court orders, the need for additional space for  
          inmates and SVPs becomes clearer.

          Whether the additional inmates and SVPs that will enter the  
          correctional system as a result of SB 1128's additional crimes  
          and enhanced sentences will provide the tipping point or not is  
          uncertain, but the measure's focus on assessments and  
          programming for sex offenders does beg the question. 

          If a new prison facility is necessitated by SB 1128, costs  
          associated with its construction are estimated in the  
          mid-hundreds of millions. Delano II, a maximum security facility  
          prison built to hold 5,000 inmates and the most recently  
          completed facility in the system, cost nearly $382 million to  
          construct in 2003 dollars. 

           JESSICA'S LAW
           Jessica's Law, an initiative measure slated for the November  
          2006 ballot, proposes increased criminal penalties, lengthened  
          parole and increased use of GPS monitoring technology for sex  
          offenders. Implementation costs to the Department of Corrections  
          and Rehabilitation alone for the initiative have been projected  
          at more than $800 million over five years. The Secretary of  
          State's website contains the following descriptor about the  
          initiative:

               Increases penalties for violent and habitual sex  
               molesters. Prohibits registered sex offenders from  
               residing within 2,000 feet of any school or park,  
               and requires lifetime Global Positioning System  
               monitoring of felony registered sex offenders.  
               Expands the definition of a sexually violent  
               predator, and changes the current two-year  
               involuntary civil commitment for a sexually violent  
               predator to an indeterminate commitment, subject to  
               annual review by the Director of Mental Health and  
               petition by the sexually violent predator for  
               conditional release or unconditional discharge.  
               Summary of estimate by Legislative Analyst and  
               Director of Finance of fiscal impact on state and  
               local governments: Unknown net costs to the state,  
               within a few years, potentially in the low hundreds  
               of millions of dollars annually due primarily to  







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               increased state prison, parole supervision, and  
               mental health program costs. These costs would grow  
               significantly in the long term. Potential one-time  
               state capital outlay costs, within a few years, in  
               the low hundreds of millions of dollars for  
               construction of additional state mental hospital and  
               prison beds. Unknown but potentially significant net  
               operating costs or savings to counties for jail,  
               probation supervision, district attorneys, and  
               public defenders. The portion of costs related to  
               changes in the Sexual Violent Predators program  
               would be reimbursed by the state.


          STAFF RECOMMENDS THE FOLLOWING AMENDMENTS:
             1.   Delete Section 58, which is largely duplicative of  
               Section 18 as narrowed in the author's most recent set of  
               amendments. 
             2.   Clarify that retention of sex offenders' court records  
               for 75 years shall be prospective;
             3.   Delay implementation of its sex offender assessment  
               provisions until July 1, 2008, (to permit training in  
               assessment methodologies to be completed) and clarify that  
               nothing in this measure prevents probation or parole  
               authorities from utilizing electronic monitoring technology  
               pursuant to any other provision of law;
             4.   Clarify that STATIC-99 pre-sentencing assessments are to  
               be conducted on all adult males convicted of a crime  
               requiring them to register as a sex offender;
             5.   Require CDCR and local authorities to report to the  
               Legislature and the Governor beginning January 1, 2009, on  
               the effectiveness of mandated electronic monitoring for  
               medium-high and high-risk sex offenders, including  
               programmatic costs and recidivism rates of those monitored;  

             6.   Given the substantial costs of this measure as well as  
               those of Jessica's Law, members may wish to consider  
               whether SB 1128, for fiscal reasons, should be amended to  
               become inoperative if Jessica's Law is approved by the  
               voters.