BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                  AB 1049|
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                                 THIRD READING


          Bill No:  AB 1049
          Author:   Torrico (D), et al
          Amended:  9/1/09 in Senate
          Vote:     21

           
           SENATE REVENUE & TAXATION COMMITTEE  :  6-1, 7/8/09
          AYES:  Wolk, Walters, Alquist, Florez, Padilla, Wiggins
          NOES:  Ashburn
          NO VOTE RECORDED:  Runner

           SENATE APPROPRIATIONS COMMITTEE  :  12-1, 8/27/09
          AYES:  Kehoe, Cox, Corbett, Denham, Hancock, Leno, Oropeza,  
            Price, Walters, Wolk, Wyland, Yee
          NOES:  Runner
           
          ASSEMBLY FLOOR  :  78-0, 6/2/09 - See last page for vote


           SUBJECT  :    Income tax check-off:  Safely Surrendered Baby  
          Fund

           SOURCE  :     Author


           DIGEST  :    This bill authorizes the addition of the Safely  
          Surrendered Baby Fund check-off to the personal income tax  
          form upon the removal of another voluntary contribution  
          fund from the form.

           ANALYSIS  :    Existing law (1) allows taxpayers to designate  
          on their personal income tax (PIT) returns a contribution  
          to any of 15 voluntary contribution funds (VCFs); (2)  
                                                           CONTINUED





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          provides a specific sunset date for each VCF, except the  
          California Seniors Special Fund; (3) provides that each VCF  
          must meet a minimum annual contribution amount to remain in  
          effect, except for the California Seniors Special fund, the  
          California firefighters' Memorial Fund, and the California  
          Peace Officer Memorial Foundation Fund; and (4) allows  
          parents or other person with lawful custody to surrender an  
          infant 72 hours old or younger to safe-surrender sites  
          without facing prosecution for child abandonment.

          This bill:

          1.Establishes the Safely Surrendered Baby Fund (Fund) in  
            the State Treasury.

          2.Provides that all monies transferred to the Fund, upon  
            appropriation by the Legislature, shall be allocated as  
            follows:

             A.    To the Franchise Tax Board (FTB) and the State  
                Controller for reimbursement of costs incurred in  
                administering the check-off.

             B.    To the Department of Social Services (DSS) for  
                programs to increase public awareness and outreach  
                regarding the Safely Surrendered Baby Law, including  
                public service announcements in English and Spanish,  
                safe surrender hotlines, a DSS Internet web site with  
                a comprehensive list of safe-surrender sites,  
                education, and training for communities and schools.

          3.Specifies that DSS is not required to expend any funds  
            other than those funds allocated to DSS by the  
            Legislature pursuant to this section for the Safely  
            Surrendered Baby Fund-related activities.  DSS is not  
            required to utilize any resources for Safely Surrendered  
            Baby Fund-related activities other than those provided  
            pursuant to this section.

          4.Provides for the Fund provisions' automatic repeal on  
            either January 1 of the fifth taxable year following the  
            taxable year the VCF first appears on the PIT return or  
            on January 1 of an earlier year, if FTB estimates that  
            the annual contribution amount will be less than  







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            $250,000, or an adjusted amount for subsequent years.

          The author's office states, "this bill is needed to provide  
          an ongoing Fund for the protection of innocent lives of  
          babies.  According to the State Auditor's report released  
          in 2008, it indicates that over 400 babies have been found  
          to be abandoned illegally in California.  The purpose of  
          this bill is to fund outreach, to expand awareness on the  
          Safely Surrendered Baby Law, and to ensure the law is  
          effectively enforced."

          The Safely Surrendered Baby Law allows a parent or other  
          persons with lawful custody to confidentially surrender an  
          infant 72 hours old or younger to designated safe-surrender  
          sites without facing prosecution for child abandonment.   
          DSS reports that as of June 30, 2008, 251 newborns have  
          been safely surrendered in California and another 149  
          infants have been found alive following illegal  
          abandonment.  A recent report by the State Auditor  
          highlighted a number of issues related to the program,  
          including the lack of state involvement and public outreach  
          funding, as well as violations of confidentiality  
          provisions and incorrect classifications of babies as  
          safely surrendered.

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

          Assuming the check-off appears on the 2009 tax return and  
          the minimum donation amount is achieved, the estimated tax  
          revenue loss would be approximately $15,625 annually  
          (applying the average marginal tax rate of 6.25 percent),  
          beginning in 2010-11, because contributions would be  
          claimed as an itemized deduction in the following tax year.  
           Costs for the FTB to administer the program are minor and  
          are reimbursed from donated amounts.


           ASSEMBLY FLOOR  : 
          AYES:  Adams, Ammiano, Anderson, Arambula, Beall, Tom  
            Berryhill, Blakeslee, Blumenfield, Brownley, Buchanan,  
            Caballero, Charles Calderon, Carter, Chesbro, Conway,  
            Cook, Coto, Davis, De La Torre, De Leon, DeVore, Duvall,  
            Emmerson, Eng, Evans, Feuer, Fletcher, Fong, Fuentes,  







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            Fuller, Furutani, Gaines, Galgiani, Garrick, Gilmore,  
            Hagman, Hall, Harkey, Hayashi, Hernandez, Hill, Huber,  
            Huffman, Jeffries, Jones, Knight, Krekorian, Lieu, Logue,  
            Bonnie Lowenthal, Ma, Mendoza, Miller, Monning, Nava,  
            Nestande, Niello, Nielsen, John A. Perez, V. Manuel  
            Perez, Portantino, Price, Ruskin, Salas, Saldana, Silva,  
            Skinner, Smyth, Solorio, Audra Strickland, Swanson,  
            Torlakson, Torres, Torrico, Tran, Villines, Yamada, Bass
          NO VOTE RECORDED:  Bill Berryhill, Block


          DLW:cm  9/1/09   Senate Floor Analyses 

                       SUPPORT/OPPOSITION:  NONE RECEIVED

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