BILL ANALYSIS                                                                                                                                                                                                    




                   Senate Appropriations Committee Fiscal Summary
                           Senator Christine Kehoe, Chair

                                           619 (Blumenfield)
          
          Hearing Date:  08/02/2010           Amended: 07/15/2010
          Consultant: Mark McKenzie       Policy Vote: T&H 
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          BILL SUMMARY:   AB 619 would require any entity that wishes to  
          contract with the High-Speed Rail Authority (HSRA) to disclose  
          any direct involvement in the deportation of individuals to  
          extermination camps, work camps, concentration camps, or  
          prisoner of war camps from 1942 through 1944.  HSRA would be  
          required to note the importance of compliance with these  
          requirements in its procurement solicitation documents, and  
          acknowledge disclosed information when awarding contracts.
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          ____
                            Fiscal Impact (in thousands)

           Major Provisions         2010-11      2011-12       2012-13     Fund
           HSRA administration    Unknown costs, potentially over $50   
          Bond*
          ____________
          *High-Speed Passenger Train Bond Fund
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          STAFF COMMENTS: 
          This bill is intended to create a public record of the  
          involvement of entities contracting with the HSRA in the  
          deportation of persons to specified camps during World War II.

          Prior to submitting a formal bid, AB 619 would require a  
          prospective bidder that wishes to contract with the HSRA to  
          certify whether it had any direct involvement in the deportation  
          of individuals to extermination camps, work camps, concentration  
          camps, prisoner of war camps, or other similar camps from  
          January 1, 1942 through December 31, 1944.  An entity that  
          acknowledges direct involvement would certify whether it has  
          records related to those deportations, whether it has taken any  
          remedial actions, and whether restitution has been provided to  
          all victims.  The entity may also provide any mitigating  
          information related to its involvement.  

          This bill would require the HSRA to note the importance of  










          complying with the disclosure requirements in its procurement  
          solicitation documents, and acknowledge the disclosed  
          information when awarding contracts.  Disclosure requirements  
          and notices of importance with compliance would need to be  
          included in all bid solicitations.  HSRA would have one-time  
          staff costs to establish procedures and guidelines for bidders  
          to follow for the disclosure and certification of information.   
          HSRA would also be required to review any documentation provided  
          by contractors and subcontractors, acknowledge receipt of any  
          disclosed information in contract award announcements, and  
          update internal recordkeeping procedures and provide public  
          access to disclosed information.  HSRA indicates that workload  
          created by the bill's requirements would be significant, but  
          specific costs are unknown.  Staff estimates these costs could  
          exceed $50,000

          Staff notes that Japanese and European firms with significant  
          experience in designing, constructing, and operating high-speed  
          train systems are likely to participate in this high-speed rail  
          project, and will be affected by the bill's disclosure  
          requirements.