BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 812
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          SENATE THIRD READING
          SB 812 (Correa)
          As Amended April 23, 2007
          Majority vote 

           SENATE VOTE  :22-13  
           
           ELECTIONS           5-2         APPROPRIATIONS      11-5        
           
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          |Ayes:|Price, Leno, Levine,      |Ayes:|Leno, Caballero, Davis,   |
          |     |Mendoza, Saldana          |     |DeSaulnier, Huffman,      |
          |     |                          |     |Karnette, Krekorian,      |
          |     |                          |     |Lieu, Ma, Nava, Solorio   |
          |     |                          |     |                          |
          |-----+--------------------------+-----+--------------------------|
          |Nays:|Adams, Niello             |Nays:|Walters, Emmerson, La     |
          |     |                          |     |Malfa, Nakanishi, Sharon  |
          |     |                          |     |Runner                    |
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           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.









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          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.

           FISCAL EFFECT  :  According to the Assembly Appropriations  
          Committee, potential minor nonreimbursable costs to cities and  
          counties for enforcement, offset to some extent by fine  
          revenues.

           COMMENTS  :  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.)."

          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 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.









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          In January 2007, two of the 12 individuals involved in the  
          Orange County scandal admitted their roles and were sentenced to  
          three years formal probation and time already served.  The  
          remaining 10 individuals charged in the case are awaiting court  
          appearances.  
           
          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.

          If individuals or groups paying people to register voters are  
          required to provide benefits such as unemployment insurance and  
          workers compensation insurance as a result of this bill, 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.

          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.


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



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