BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 812
                                                                  Page  1

          Date of Hearing:  July 3, 2007

                  ASSEMBLY COMMITTEE ON ELECTIONS AND REDISTRICTING
                                 Curren Price, Chair
                    SB 812 (Correa) - As Amended:  April 23, 2007

           SENATE VOTE  :  22-13
           
          SUBJECT  :  Voter registration: paid registration activities.

           SUMMARY  :  Makes it an infraction to pay a person on a  
          per-registration basis to assist another person to register to  
          vote.  Specifically,  this bill  :

          1)Provides that any person who offers to pay or pays money or  
            other valuable consideration to another person, either  
            directly or indirectly, on a per-affidavit basis to assist  
            another person to register to vote by receiving the completed  
            affidavit of registration is guilty of an infraction,  
            punishable by a fine not to exceed $500.

          2)Provides that any person who receives money or other valuable  
            consideration, either directly or indirectly, on a  
            per-affidavit basis to assist another person to register to  
            vote by receiving the completed affidavit of registration is  
            guilty of an infraction, punishable by a fine not to exceed  
            $500.

          3)Specifies that the prohibition on paying a person on a  
            per-affidavit basis for registering voters does not apply to  
            any state political party that reimburses its central  
            committees and clubs on a per-affidavit basis.

          4)Specifies that the provisions of this bill shall not be  
            construed to prohibit payment for assisting another person to  
            register to vote by receiving the completed affidavit if that  
            payment is not, either directly or indirectly, on a  
            per-affidavit basis.

          5)Makes various conforming changes to existing law.

           EXISTING LAW  :

          1)Requires any person who accepts money or other valuable  
            consideration in return for assisting with voter registration  








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            to sign and affix on the voter registration form his or her  
            full name, telephone number, address, and the name and phone  
            number of the person, company, or organization, if any, that  
            agrees to pay money or valuable consideration for the  
            completed affidavit of registration.

          2)Requires any person, company, or other organization that  
            agrees to pay money or other valuable consideration to a  
            person for assisting with voter registration to maintain  
            specific records.

          3)Establishes penalties for fraudulent activity related to  
            signature gathering and voter registration.

           FISCAL EFFECT  :  According to the Senate Appropriations  
          Committee, pursuant to Senate Rule 28.8, negligible state costs.

           COMMENTS  :   

           1)Purpose of the Bill  :  According to the author:

               Currently, some partisan groups and campaigns have adopted  
               a business model that pays a direct commission or "bounty"  
               to individuals to register voters with their party.   
               Unfortunately, this method of payment per-affidavit  
               encourages rampant fraud and forgery, including tampering  
               with party affiliation, registration of non-existent  
               persons, registration of non-citizens, and countless other  
               violations of election code.

               This bill would remedy much of those problems by banning  
               the per-affidavit payment for soliciting voter  
               registrations.  Anyone paid to solicit voter's  
               registrations would have to be paid in some other manner  
               than commission, (hourly wage, salary, stipend, etc.).   

           2)Orange County Voter Registration  :  In March 2006, the Orange  
            County Register and the Los Angeles Times reported that Orange  
            County elections officials received several complaints about a  
            voter registration campaign for the Republican Party of Orange  
            County from voters who were re-registered with the Republican  
            Party without their permission.  According to press reports,  
            the company in charge of the registration drive was paying  
            workers as much as $10 for every completed voter registration  
            card.  A payment made to an individual that is based on the  








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            number of individuals who are registered to vote is commonly  
            called a "bounty," and this practice is regularly employed in  
            voter registration drives.  While such programs create  
            incentives to register people, they also create financial  
            incentives for the individuals who are registering voters to  
            commit fraud.

          As of May 2006, Orange County elections officials reported  
            receiving about 450 complaints of illegal voter registrations.  
             Similar complaints were made about voter registration  
            campaigns in Riverside and San Bernardino counties.

          In January 2007, two of the twelve individuals involved in the  
            Orange County scandal admitted their roles and were sentenced  
            to three years formal probation and time already served.  The  
            remaining ten individuals charged in the case are awaiting  
            court appearances.  
           
           3)Labor Law Implications  :  This bill prohibits the payment of  
            individuals on a per-piece basis for voter registration.   
            Typically, in California, those individuals who are paid to  
            register voters on a per-piece basis are independent  
            contractors.  However, to the extent that this bill forces  
            individuals who are paid to register voters to be paid an  
            hourly wage, this bill could also result in these individuals  
            being considered employees under California law.  As such, the  
            individual, corporation, or group paying individuals to  
            register voters may be required to pay minimum wage, provide  
            workers compensation insurance and unemployment insurance for  
            its employees, and maintain a payroll system.

           4)Increased Costs  :  As noted in comment #3, those individuals or  
            groups paying people to register voters may be required to  
            provide certain benefits such as unemployment insurance and  
            workers compensation insurance.  This may result in higher  
            costs to those groups that pay individuals to register voters.  
             In addition, prohibiting payment of individuals on a  
            per-registration basis could increase costs because it may  
            become more difficult to measure the work product of employees  
            who are being paid to register voters.  Potential increased  
            costs may be partially offset if, by reducing the incentive to  
            submit fraudulent registrations, this legislation results in  
            individuals submitting fewer invalid registrations.

           5)Related Legislation  :  AB 452 (Arambula), pending in the Senate  








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            Appropriations Committee, changes the current voter  
            notification card to also notify voters of any change in their  
            personal party affiliation upon re-registration and requires  
            that there be specific procedures to address complaints  
            related to voter registration.  AB 452 is a response, in part,  
            to the voter registration complaints in Orange County that are  
            described above.  
           
           6)Previous Legislation  :  AB 2946 (Leno) of 2006 would have  
            prohibited the payment of an individual to register voters if  
            that payment was on a per-registration basis, among other  
            provisions.  AB 2946 was vetoed by the Governor, though his  
            veto message focused on other parts of that bill, and did not  
            address the provisions of the bill that would have prohibited  
            bounty payments for registering voters.

           REGISTERED SUPPORT / OPPOSITION :

           Support 
           
          Conference of Delegates of the California Bar Associations
          People for the American Way
           
            Opposition 
           
          Howard Jarvis Taxpayers Association

           Analysis Prepared by  :    Ethan Jones / E. & R. / (916) 319-2094