BILL ANALYSIS                                                                                                                                                                                                    




                   Senate Appropriations Committee Fiscal Summary
                           Senator Christine Kehoe, Chair

                                           92 (De Leon)
          
          Hearing Date:  6/29/2009        Amended: 5/12/2009
          Consultant:  Bob Franzoia       Policy Vote: None
          _________________________________________________________________ 
          ____
          BILL SUMMARY: AB 92, an urgency measure, would appropriate  
          $617,711.41 from various funds to the Victim Compensation and  
          Government Claims Board to pay 120 claims (11 departments)  
          accepted by the board.
          _________________________________________________________________ 
          ____
                            Fiscal Impact (in thousands)

           Major Provisions         2009-10      2010-11       2011-12     Fund
           Appropriations         $617                              
          General$0.146                                 Special*

          * Motor Vehicle Account
          _________________________________________________________________ 
          ____

          STAFF COMMENTS: Pursuant to the committee's rules, the Suspense  
          File rule does not apply to the provisions of this bill as  
          claims are considered valid obligations of the state.   
          Additionally, claims may have time sensitivity.

          The State Board of Control was established in 1945.  It was  
          revised and renamed the California Victim Compensation and  
          Government Claims Board (board) by Chapter 1016/2000 (AB 2491,  
          Jackson).  Government Code 13928 requires the board to ensure  
          that all claims which have been approved by the board, and for  
          which there exists no legally available appropriation, are  
          submitted for legislative approval at least twice during each  
          calendar year.

          Of the 10 largest claims contained in this bill, five, for a  
          total of $384,975 are for unredeemed state treasury bonds and  
          five, for a total of $117,099.57 are for the re-issuance of  
          stale-dated warrants.  For stale-dated warrants, the Controller  
          must confirm that (1) the check was not cashed and has not been  
          issued and (2) more than three years have elapsed since the  
          check was issued and the monies have reverted to the General  










          Fund.  For these warrants an appropriation is needed to reissue  
          the payment.  A similar process is applied for state treasury  
          bonds that have not been redeemed within ten years of their  
          maturity date.  

          This bill contains one claim for a refund of $6,250.26.   
          Generally, an audit discovers the claimant overpaid and the  
          agency, in this case the Franchise Tax Board, acknowledges it  
          owes the refund, but the period for the claimant to file for a  
          refund has expired so the agency cannot disburse it  
          administratively.