BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



           ------------------------------------------------------------ 
          |SENATE RULES COMMITTEE            |                   AB 658|
          |Office of Senate Floor Analyses   |                         |
          |1020 N Street, Suite 524          |                         |
          |(916) 651-1520         Fax: (916) |                         |
          |327-4478                          |                         |
           ------------------------------------------------------------ 
           
                                         
                                 THIRD READING


          Bill No:  AB 658
          Author:   Hayashi (D) and Lieu (D), et al
          Amended:  3/4/10 in Senate
          Vote:     21

           
           SENATE REVENUE & TAXATION COMMITTEE  :  3-0, 6/9/10
          AYES:  Wolk, Alquist, Padilla
          NO VOTE RECORDED:  Walters, Ashburn
           
          SENATE APPROPRIATIONS COMMITTEE  :  Senate Rule 28.8

           ASSEMBLY FLOOR  :  65-1, 1/25/10 - See last page for vote


           SUBJECT  :    Income tax checkoff:  California Police  
          Activities League

           SOURCE  :     Alameda County Deputy Sheriffs Activities  
          League, Inc.


           DIGEST  :    This bill allows taxpayers to make voluntary  
          contributions to the California Police Activities League  
          Fund on their personal income tax returns.

           ANALYSIS  :    Existing law allows taxpayers to contribute  
          money to one or more of 15 voluntary contribution funds by  
          checking a box on their state income tax return.   
          California law requires contributions made through  
          check-offs to be made from taxpayers' own resources (not  
          from their tax liability, as is possible on federal tax  
          returns).  Checkoff amounts may be claimed as charitable  
                                                           CONTINUED





                                                                AB 658
                                                                Page  
          2

          contributions on taxpayers' tax returns during the  
          subsequent year.  Existing law allows the Franchise Tax  
          Board (FTB) to design tax returns to provide for the  
          designation of contributions to specified funds either on  
          the return itself or on a separate schedule that must be  
          attached to the return.

          This bill creates the California Police Activities League  
          (CALPAL) check-off to the personal income tax form upon the  
          removal of another voluntary contribution fund (VCF).   
          Specifically, this bill: 

          1. Requires the State Controller to allocate the funds to  
             the state CALPAL (the statewide chapter of the nonprofit  
             organization).

          2. Requires the FTB to compile a report of the CALPAL  
             contributions received, by ZIP code, and distribute this  
             report to the state CALPAL and the chairs of the Senate  
             and Assembly Revenue and Taxation Committees. 

          3. Directs the state CALPAL, upon receipt of the FTB  
             information, to then allocate the funds to local   
             chapters in proportion to the voluntary contributions  
             made in the counties in which the local chapters reside.  
             Provides that a contribution made by a taxpayer in a ZIP  
             code that does not have a CALPAL chapter shall be  
             allocated to the state CALPAL to help establish CALPAL  
             chapters in that ZIP code, or to fund CALPAL activities  
             and programs. 

          4. Provides that the state CALPAL may use up to 15 percent  
             of the total funds to cover administrative costs of this  
             bill. 

          5. Sunsets in five years after becoming operative, or  
             whenever FTB estimates the annual contribution amount  
             will be less than $250,000, as adjusted for inflation. 

          This bill is intended to provide an additional funding  
          source for CALPAL. The author states that the program plays  
          a vital role in building relationships between law  
          enforcement personnel and community residents, particularly  
          at-risk youths. 







                                                                AB 658
                                                                Page  
          3


          CALPAL is a nonprofit organization founded over 35 years  
          ago by police officers and provides educational and  
          recreational programs for youth ages 5-18.  Over 300,000  
          youth actively participate in CALPAL's 130 local chapters.   
          Local CALPAL chapters are community-based organizations  
          started and operated through the voluntary efforts of law  
          enforcement officers.  CALPAL's mission is to effectively  
          connect local law enforcement officers with the communities  
          they serve.

          The program connects local law enforcement officers, paid  
          staff, and volunteers with youth.  CALPAL personnel and  
          volunteers serve as role models, coaches, tutors, mentors,  
          chaperones and program managers.  CALPAL chapters receive  
          no state funding and rely exclusively on contributions for  
          funding.   

           Related legislation  .  In addition to this bill, the  
          following bills have been introduced this year:

          AB 1008 (Block) creates a VCF designation on the personal  
          income tax form for taxpayers to contribute to the National  
          Guard Education Assistance Fund.  The bill is in the Senate  
          Revenue and Taxation Committee.

          AB 1088 (Fletcher) creates a VCF designation on the  
          personal income tax return in order for taxpayers to  
          contribute to the Morale, Welfare, and Recreation Fund for  
          each of the veterans' homes, as provided.  The bill is in  
          the Senate Appropriations Committee. 

          AB 1983 (Torrico) creates a VCF designation on the personal  
          income tax return for taxpayers to contribute to the Safely  
          Surrender Babies Fund.  The bill is in the Senate  
          Appropriations Committee.

          AB 2017 (Hall) creates a VCF designation on the personal  
          income tax return for taxpayers to contribute to the Young  
          Men's Christian Association (YMCA) Youth and Government  
          Fund.  The bill is in the Senate Revenue and Taxation  
          Committee.

          SB 1076 (Price) creates a VCF designation on the personal  







                                                                AB 658
                                                                Page  
          4

          income tax return for taxpayers to contribute to the Arts  
          Council Fund.  The bill is in the Assembly Revenue and  
          Taxation Committee. 

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  No

           SUPPORT  :   (Verified  6/28/10)

          Alameda County Deputy Sheriffs' Activities League, Inc.  
          (source)
          Antioch Police Activities League
          California Police Activities League
          Hollywood Police Activities League
          Industry Sheriff's Youth Activities League
          Los Angeles Police Department
          Rancho Cordova Police Activities League
          South Lake Tahoe Police Activities League
          Visalia Police Activities League
          Various other local Police Activities Leagues and police  
          departments 


           ASSEMBLY FLOOR  : 
          AYES:  Adams, Ammiano, Anderson, Beall, Bill Berryhill, Tom  
            Berryhill, Blakeslee, Block, Blumenfield, Bradford,  
            Brownley, Buchanan, Chesbro, Conway, Cook, Coto, De La  
            Torre, De Leon, DeVore, Emmerson, Eng, Evans, Feuer,  
            Fletcher, Fong, Fuentes, Fuller, Gaines, Galgiani,  
            Garrick, Gilmore, Hagman, Hayashi, Hernandez, Hill,  
            Huber, Huffman, Jeffries, Jones, Knight, Lieu, Logue,  
            Mendoza, Miller, Nava, Nielsen, John A. Perez, V. Manuel  
            Perez, Portantino, Ruskin, Salas, Saldana, Silva,  
            Skinner, Smyth, Solorio, Audra Strickland, Swanson,  
            Torlakson, Torres, Torrico, Tran, Villines, Yamada, Bass
          NOES:  Niello
          NO VOTE RECORDED:  Arambula, Caballero, Charles Calderon,  
            Carter, Davis, Furutani, Hall, Harkey, Bonnie Lowenthal,  
            Ma, Monning, Nestande


          DLW:mw  6/29/10   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE







                                                                AB 658
                                                                Page  
          5


                                ****  END  ****