BILL ANALYSIS                                                                                                                                                                                                    






                                                       Bill No:  AB  
          579
          
                 SENATE COMMITTEE ON GOVERNMENTAL ORGANIZATION
                       Senator Roderick D. Wright, Chair
                           2009-2010 Regular Session
                                 Staff Analysis



          AB 579  Author:  Huber
          As Amended:  June 30, 2009
          Hearing Date:  July 8, 2009
          Consultant:  Chris Lindstrom


                                     SUBJECT  

                     State boards and commissions: audits.

                                   DESCRIPTION
           
          AB 579 requires the State Auditor (SA) to annually audit  
          the workload of at least two boards and commissions to  
          which the state pays an annual salary for the services of  
          the members.  AB 579 requires the SA to begin with the  
          California Integrated Waste Management Board (CIWMB) and  
          the California Unemployment Insurance Appeals Board  
          (CUIAB).  Specifically, the bill:

          1)Requires the SA, upon appropriation by the Legislature,  
            to annually audit the workload of at least two boards and  
            commissions to whom the state pays an annual salary for  
            the services of the members.

          2)Provides that, for each state board or commission  
            audited, the SA shall make findings regarding the  
            workload of that state board or commission and the number  
            of hours necessary for each board member or commissioner  
            to work to fulfill his or her duties to that state board  
            or commission.

          3)Requires the SA to complete the audits and report its  
            findings to the Legislature and the Governor on or before  
            December 31st of each year.





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          4)Requires the SA to begin with the CIWMB and the CUIAB  
            with audit reports for these two boards due by December  
            31, 2010.

                                   EXISTING LAW

          Existing law provides for the salaries and raises of  
          various exempt state employees, including board members and  
          commissioners that receive an annual salary from the state  
          for their service on a state board or commission.








































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                                    BACKGROUND
           
          Purpose of the bill.  According to the author's office,  
          "The state does not have a mechanism in place to examine  
          the work performed by individuals appointed to boards and  
          commissions to ensure that these salaried appointees are  
          paid salaries commensurate with their duties.  To ensure  
          that state boards and commissions are neither performing  
          superfluous tasks nor providing excessive salaries with  
          taxpayer funds, the state must develop a process to provide  
          an independent, non-partisan assessment of their activities  
          and the salaries paid to appointees."

          Joint Legislative Sunset Review Committee (JLSRC).  The  
          JLSRC reviews the mission and accomplishments of several  
          state consumer protection boards.  The primary goal of the  
          JLSRC is to systematically examine and evaluate all boards  
          and commissions within the Department of Consumer Affairs  
          to ensure that they are effectively, efficiently, and  
          transparently administered in the public interest.  

          The scope of the work of the JLSRC is broader than the  
          requirements placed upon the SA by AB 579.  The rationale  
          for the sunset review law is to place a termination date on  
          a particular program or agency, and in the meantime, review  
          it to determine if it is still operating in an effective  
          and efficient manner, and whether it should continue to  
          exist.  AB 579 is narrowly focused to examine the workload  
          of state boards or commissions and the number of hours of  
          work necessary for each board member or commissioner to  
          fulfill his or her duties to the state boards or  
          commissions.  The requirements of AB 579 could be deemed as  
          complementary to the work of the JLSRC.

                            PRIOR/RELATED LEGISLATION
           
           SB 685 (Strickland), 2009-2010 Legislative Session  .  Would  
          suspend the salaries of the members serving on specific  
          state boards and commissions for three consecutive fiscal  
          years, beginning with the 2010-11 fiscal year.  Provides  
          that a board or commission member who is prohibited from  
          receiving a salary may receive $100 daily per diem  
          allowance during those fiscal years in which their salaries  
          are suspended.  (Failed passage in Senate Governmental  
          Organization Committee.  Reconsideration granted.)
          




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           AB 2539 (Strickland), 2007-2008 Legislative Session  .   
          Eliminates the salary of any member of a state board or  
          commission that received a salary in excess of $100,000 in  
          2007 if a state law or regulation requires the board to  
          meet two or less times per month.  (Died in Assembly  
          Business and Professions Committee.)

           AB 309 (Tran), 2007-2008 Legislative Session  .  Similar to  
          SB 685 (Strickland) of 2009.  (Died in Assembly Business  
          and Professions Committee.)
           
          AB 38 (Tran), 2005-2006 Legislative Session  .  Similar to SB  
          685 (Strickland) of 2009.  (Died in Assembly Business and  
          Professions Committee.)
           
          AB 556 (Strickland), 2003-2004 Legislative Session  .   
          Similar to SB 685 (Strickland) of 2009.  (Died in Assembly  
          Business and Professions Committee.)

           SB 2036 (McCorquodale), Chapter 908, Statutes of 1994  .   
          Provides for cyclical (every four years) performance review  
          and elimination of regulatory boards and commissions in the  
          Department of Consumer Affairs and creates a Joint  
          Legislative Sunset Review Committee.

           SUPPORT:   None on file as of July 6, 2009.

           OPPOSE:   None on file as of July 6, 2009.

           FISCAL COMMITTEE:   Senate Appropriations Committee



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