BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 9
                                                                  Page  1

          CONCURRENCE IN SENATE AMENDMENTS
          AB 9 (John A. Perez)
          As Amended  June 24, 2009
          2/3 vote
           
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          |ASSEMBLY:  |72-3 |(May 18, 2009)  |SENATE: |38-0 |(September 3,  |
          |           |     |                |        |     |2009)          |
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           Original Committee Reference:    E. & R.  

           SUMMARY  :  Provides that a payment of public moneys by a state or  
          local government agency can be a contribution or an independent  
          expenditure for the purposes of the Political Reform Act (PRA)  
          if certain conditions are met.  

           The Senate amendments  delete the Assembly version of this bill,  
          and instead:

          1)Provide that a contribution, for the purposes of the PRA,  
            includes the payment of public moneys by a state or local  
            governmental agency for a communication to the public that  
            satisfies both of the following conditions: 

             a)   The communication expressly advocates the election or  
               defeat of a clearly identified candidate or the  
               qualification, passage, or defeat of a clearly identified  
               measure, or, taken as a whole and in context, unambiguously  
               urges a particular result in an election; and, 

             b)   The communication is made at the behest of the affected  
               candidate or committee. 

          1)Provide that an independent expenditure, for the purposes of  
            the PRA, includes a payment of public moneys by a state or  
            local government agency if that payment would otherwise be an  
            independent expenditure under existing law.

           EXISTING LAW  makes it unlawful for any elected state or local  
          officer to use or permit others to use public resources for a  
          campaign activity.

           AS PASSED BY THE ASSEMBLY  , this bill provided that a payment of  
          public moneys by a state or local government agency for a  








                                                                  AB 9
                                                                  Page  2

          communication regarding a ballot measure was an expenditure for  
          the purposes of the PRA unless certain conditions were met.
           
          FISCAL EFFECT  :  According to the Senate Appropriations  
          Committee, pursuant to Senate Rule 28.8, negligible state costs.

           COMMENTS  :  According to the author, "Existing law states that no  
          agency or department of the state may use its publications to  
          advise state employees of any constitutional officer's choice of  
          candidates for public office or for recommending positions on  
          specific ballot propositions not related to the functions of  
          that agency or department. (Elections Code Section 18390.)  This  
          past election cycle concerns were raised that some local  
          agencies were blurring the line between providing information  
          and "advocating" on behalf of certain measures on the ballot.   
          In Los Angeles, the LA Metropolitan Transit Authority (MTA) has  
          posted a page on its website devoted to the Measure R half-cent  
          sales tax increase campaign.  It stopped short of urging people  
          to vote for Measure R but said of transit resources, "more is  
          needed" to reduce traffic congestion.  Under pressure, MTA  
          removed the [Web page].  Similar concerns were raised by the  
          Fair Political Practices Commission (FPPC) on campaigns across  
          the state.  In order to address this issue, AB 9 clarifies  
          existing law that an expenditure includes the payment of public  
          moneys by a state agency or local government agency, or by an  
          agent of that agency, for a communication to the electorate  
          within the jurisdiction of that agency regarding a clearly  
          identified measure, except if the communication constitutes a  
          fair and impartial presentation of the facts relating to the  
          measure or the communication is otherwise required by law."

          At its December 2008 meeting, the FPPC adopted a regulation that  
          is similar to the policy proposed by this bill, and the FPPC is  
          considering amendments to that regulation that would make it  
          even more similar to the policy proposed by this bill.  Given  
          the FPPC's actions, the need for this bill is unclear.  
           
          California voters passed an initiative, Proposition 9, in 1974  
          that created the FPPC and codified significant restrictions and  
          prohibitions on candidates, officeholders, and lobbyists.  That  
          initiative is commonly known as the PRA.  Amendments to the PRA  
          that are not submitted to the voters generally must further the  
          purposes of the initiative and require a two-thirds vote of both  
          houses of the Legislature.









                                                                  AB 9
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          This bill was substantially amended in the Senate and the  
          Assembly-approved provisions of this bill were deleted.   
          However, while the text of this bill has changed entirely from  
          the text of the Assembly-approved version, this bill, as amended  
          in the Senate, is consistent with Assembly actions.  As approved  
          by the Assembly, this bill would have explicitly specified that  
          certain payments by governmental entities may be considered  
          expenditures under the PRA if certain conditions are met; as  
          amended in the Senate, this bill instead provides that such  
          payments are either contributions or independent expenditures  
          under the PRA.  Both versions of the bill have the same effect  
          of explicitly specifying in state law that certain payments made  
          by governmental entities in connection with candidates or ballot  
          measures may be subject to the requirements and restrictions of  
          the PRA.


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

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