BILL ANALYSIS                                                                                                                                                                                                    





                                                                  AB 1135

                                                                  Page  1


          GOVERNOR'S VETO
          AB 1135 (Strickland)
          As Amended July 3, 2007
          2/3 vote

           ----------------------------------------------------------------- 
          |ASSEMBLY:  |72-0 |(May 21, 2007)  |SENATE: |35-2 |(September 4,  |
          |           |     |                |        |     |2007)          |
           ----------------------------------------------------------------- 
           
           
           ----------------------------------------------------------------- 
          |ASSEMBLY:  |73-1 |(September 5,   |        |     |               |
          |           |     |2007)           |        |     |               |
           ----------------------------------------------------------------- 
           
           Original Committee Reference:    B. & P.  

           SUMMARY  :   Requires written reports from the Executive Branch of  
          state government to the Legislature to include a signed  
          statement under penalty of perjury by the head of the agency  
          that the factual contents of the report are true, accurate, and  
          complete, to the best of his/her knowledge.  

           The Senate amendments  :

          1)Define "written report" to mean any document required by  
            statute to be prepared for the Legislature, or upon request of  
            a Member of the Legislature.

          2)State that the declaration in the signed statement as to the  
            truth, accuracy, and completeness of the factual contents of  
            the written report shall not apply to predictions, forecasts,  
            recommendations, or opinions contained in the written report.

           EXISTING LAW  establishes numerous requirements for state and  
          local government agencies to prepare and submit to the  
          Legislature, the Governor, and other governmental entities,  
          written reports on various subject matters of interest to  
          policymakers and regulatory entities.











                                                                  AB 1135

                                                                  Page  2


           AS PASSED BY THE ASSEMBLY  , this bill was substantially similar  
          to the bill as passed by the Senate.

           FISCAL EFFECT  :  According to the Assembly Appropriations  
          Committee, potential, likely minor, absorbable costs to the  
          Attorney General for investigation and prosecution, offset to  
          some extent by fine revenue.

           COMMENTS  :  According to the author:  "This bill would ensure  
          that all agencies, cities, counties, and the officials in charge  
          of them are held accountable to the same standards.  In  
          addition, the bill would bring state agency certification in  
          line with what public companies are already required to do by  
          federal law - remain accountable to their shareholders in  
          providing accurate financial information.  California taxpayers  
          are the shareholders in state and local entities.  They deserve  
          the same accountability from the officials appointed to manage  
          public funds."

          This bill contains provisions similar to AB 1625 (Klehs) of 2005  
          and AB 2404 (Klehs) of 2006, both of which were vetoed by the  
          Governor.  


           GOVERNOR'S VETO MESSAGE  :

               This bill requires written reports submitted to the  
               Legislature to include a signed statement by the head  
               of the agency or department that the contents of the  
               report are true, accurate, and complete.

               As I stated when I vetoed similar legislation last  
               year, I agree that the Legislature should base their  
               decisions on sound information that is true, accurate  
               and complete.  To that end, I noted that state law  
               already makes it a misdemeanor for a state or local  
               official to submit a written report containing false  
               information to the State Controller.  Further, the  
               Legislature already has the authority to question the  
               accuracy of any information presented to it.











                                                                  AB 1135

                                                                  Page  3


               Finally, this bill would create an inconsistent system  
               in which some of the information submitted by the  
               Administration is subject to declarations of truth  
               while all other information used in the legislature's  
               deliberative process is not.


           Analysis Prepared by  :    Ross Warren / B. & P. / (916) 319-3301 


                                                                FN: 0003675