BILL NUMBER: AB 563 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY APRIL 2, 2009
INTRODUCED BY Assembly Member Cook
FEBRUARY 25, 2009
An act to amend Section 18707 of the Revenue and Taxation Code,
relating to taxation.
LEGISLATIVE COUNSEL'S DIGEST
AB 563, as amended, Cook. Personal income taxes: contributions:
California Military Family Relief Fund.
The Personal Income Tax Law allows taxpayers, until January 1,
2015, to designate on their tax returns that a specified amount in
excess of their tax liability be contributed to the California
Military Family Relief Fund to provide financial aid grants to
eligible reserve members of the Armed Forces of the United States who
are California residents and requires all moneys transferred to the
fund , upon appropriation by the Legislature, to be
allocated as specified.
This bill would make technical, nonsubstantive changes to those
provisions.
This bill would require moneys transferred to the fund, upon
appropriation by the Legislature and after allocations to the
Franchise Tax Board and the Controller, to be allocated to the
California National Guard for distribution to a nonprofit
organization selected by the California National Guard for the
establishment of financial aid grants, as specified. This bill would
also require the awarding of grants from the fund to be governed by a
Memorandum for Record.
Vote: majority. Appropriation: no. Fiscal committee: no
yes . State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 18707 of the Revenue and Taxation Code is
amended to read:
18707. All moneys transferred to the California Military Family
Relief Fund, upon appropriation by the Legislature, shall be
allocated as follows:
(a) To the Franchise Tax Board and the Controller for
reimbursement of all costs incurred by the Franchise Tax Board and
the Controller in connection with their duties pursuant to this
article.
(b) (1) (A) To the Military Department
California National Guard for distribution to a nonprofit
organization selected by the California National Guard
for the establishment of financial aid grants to reserve
members of the Armed Forces of the United States who are California
residents, and who have been called to active duty. Moneys
transferred to the California Military Family Relief Fund before
January 1, 2009, shall be reserved for the California National Guard.
Grants to the members of the California National Guard shall first
be distributed from moneys transferred to the California Military
Family Relief Fund before January 1, 2009, and only after these
moneys are exhausted shall these grants be awarded from moneys
transferred to the California Military Family Relief Fund on and
after January 1, 2009. The Military Department
nonprofit organization selected by the California National Guard
shall establish eligibility criteria for the grants.
(B) On or after January 1, 2009, the California National Guard may
make moneys transferred to the California Military Family Relief
Fund before January 1, 2009, up to one hundred thousand dollars
($100,000), available for distribution to qualified members of the
reserve component, excluding members of the California National
Guard, until adequate moneys are available to ensure that all
approved grants are funded. These distributed moneys shall be repaid
to the California National Guard with moneys transferred to the
California Military Family Relief Fund on and after January 1, 2009.
(2) It is the intent of the Legislature that every qualified
reserve member, regardless of branch, in need of emergency assistance
be able to receive a grant. In order to ensure that the grants
awarded pursuant to this article are administered objectively, the
awarding of grants from the California Military Family Relief Fund
shall be governed by a Memorandum of Agreement
for Record , developed by a working group comprised of
representatives from at least three reserve components
officers or members, or both, of the nonprofit
organization selected by the California National Guard , that
describes the procedures and requirements for participation in the
grant program. All organizations participating in the grant
program must be signatories of the Memorandum of Agreement.
A representative with authority to bind the nonprofit
organization selected by the California National Guard must sign the
Memorandum for Record.
(3) In addition to criteria established by the Military
Department nonprofit organization selected by the
California National Guard pursuant to paragraph (1), reserve
members of the Armed Forces of the United States who are California
residents shall show proof of all of the following to be eligible to
receive a grant:
(A) Membership in the Armed Forces of the United States.
(B) Residency in California.
(C) Deployment to active duty for at least 60 consecutive days.
(D) One of the following:
(i) The military salary of the member, combined with any ongoing
partial receipt of civilian salary, has decreased by 10 percent or
more from the member's civilian salary, or the household income of
the member's family has decreased by 10 percent or more from the
member's household income prior to deployment.
(ii) The member, within six months of returning from active duty,
has experienced a 10-percent loss, or greater, in income, compared to
predeployment income, as a direct result of deployment.
(4) Grants awarded pursuant to this article may only be used for
any of the following: food, housing, child care, utilities, medical
services, medical prescriptions, insurance, and vehicle-related
payments.
(5) Reserve members of the Armed Forces of the United States who
are California residents shall not be eligible to receive a grant if
the member receives a punitive discharge or an administrative
discharge with service characterized as under other than honorable
conditions.
(6) Reserve members of the Armed Forces of the United States who
are awarded grants pursuant to this article may be required to
receive counseling, within a specified time period, as a condition of
the grants.