BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 1170
                                                                  Page  1

          Date of Hearing:   May 6, 2009

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Kevin De Leon, Chair

                  AB 1170 (Calderon) - As Amended:  April 15, 2009 

          Policy Committee:                              Public  
          SafetyVote:  4-0

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:               

           SUMMARY  

          This bill requires the Department of Justice (DOJ), in  
          consultation with the Department of Consumer Affairs and public  
          and private organizations, to develop, publish and make  
          available to the public a consumer information booklet regarding  
          federal and state laws relating to sex offender registration as  
          it relates to the lease or rental of real property.  
          Specifically, this bill:  

          1)Requires the booklet to include the following: 

             a)   General information concerning federal and state laws  
               relating to persons required to register pursuant to Penal  
               Code Section 290 as specified sex offenders.
             b)   Information regarding specified statutory disclosure  
               duties contained in the Civil Code regarding prospective  
               residents.
             c)   Information regarding legal access and the use of  
               information on DOJ's Internet Web site.
             d)   Identification of constitutional, statutory, and  
               decisional law applicable to this section. 
             
          2)Creates the "Megan's Law Disclosure Booklet for Landlords and  
            Tenants Fund" and continuously appropriates voluntary  
            contributions or donations received into the fund to pay costs  
            directly associated with the booklet, and specifies that DOJ  
            need not incur any cost associated with the provisions of this  
            bill until sufficient contributions have been deposited.  

           FISCAL EFFECT  









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          Significant one-time and ongoing costs, in the hundreds of  
          thousands of dollars, to draft, produce and disseminate the  
          booklet. 

          Assuming one-time costs of about $75,000 to draft the booklet,  
          which requires considerable legal expertise, printing costs of  
          about $1 per booklet and postage cost of about 50 cents per  
          booklet (even assuming the information can be provided via DOJ's  
          website, thereby avoiding printing and postage costs, the bill  
          specifies a booklet, and in any case, presumably some number of  
          booklets would need to be published and mailed), assuming the  
          intent is to make the booklets widely available, the cost would  
          be in the range of $150,000 per 100,000 booklets.  

          In addition, as this booklet requires legal opinions and case  
          reviews, it will need to be updated annually by attorneys. 

          Though the bill specifies that DOJ "may delay incurring any cost  
          associated with implementation of this section until sufficient  
          voluntary contributions" are available, this bill still requires  
          DOJ to produce and make available the booklet, thereby creating  
          significant fiscal pressure to eventually comply with  
          legislative intent. 

           COMMENTS  

           1)Rationale  . The author seeks to inject some legal clarity into  
            the murky area of rental housing as it relates to registered  
            sex offenders. According to the author, "The DOJ maintains the  
            website and disclosure of the existence of the Web site is  
            required in all rental and lease contracts yet, there is no  
            additional information about what that means, what a consumer  
            may do with that information and what a consumer may do if he  
            or she has actual knowledge of the location of a registered  
            sex offender.  The maxim of knowledge is power would be  
            particularly helpful to consumers if that information is  
            presented in a consumer friendly manner.  Further, there are a  
            number of people offering different opinions as to current law  
            and it would be particularly helpful IF the DOJ were to  
            development a booklet as to the status of the law.  Some  
            people claim that there are certain aspects to Megan's Law  
            that are not clear, and if that is the case, we are asking the  
            DOJ to so simply state that fact."

           2)Megan's Law  . California requires individuals to register as  








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            sex offenders upon conviction of certain crimes. Convictions  
            that require registration as a sex offender include rape,  
            sexual battery, transporting a child for lewd or lascivious  
            acts, sexual assault of a child, incest, sodomy and indecent  
            exposure. In 2004, the Megan's Law website was established,  
            listing the convicted sex offenders and, in many cases, their  
            specific home addresses, and making this information available  
            to the public via the Internet. 

            The effects of posting home addresses of sex offenders on the  
            Internet is not yet fully known, although some groups have  
            speculated about potential economic damages and civil  
            liability of apartment house owners and nursing homes that  
            rent to or house sex offenders. In response, AB 2712 (Leno,  
            2006) was introduced to clarify the non-liability of a  
            residential property owner when he or she rents to a sex  
            offender and when he or she notifies other tenants of the  
            existence of the Megan's Law Web site. AB 2712 was vetoed.  

           3)Support  . According to the Apartment Association of Greater Los  
            Angeles and the Santa Barbara Rental Property Association,  
            "Owners often find themselves in a quandary in dealing with  
            these matters. Other tenants might discover a fellow tenant is  
            on the Megan's Law database and approach property managers to  
            request or demand some action. Also, a property manager might  
            also discover in some way that a tenant or prospective tenant  
            is on the data base. Unfortunately the state of the law puts  
            the owner in a no win situation in either case. If the owner  
            attempts to evict or to not rent to the person on the database  
            he or she faces the possibility of a large financial penalty  
            under existing law. On the other hand there is a common law  
            duty for an owner of rental property to take reasonable steps  
            to protect the safety and quiet enjoyment of residents.  It  
            has been extremely difficult to try and provide appropriate  
            advice to owners when these issues arise.

            "More information about the state of the law, and other issues  
            related to this area can do nothing but help both owners and  
            tenants to navigate this confusing and emotional subject.  It  
            is voluntary, will not have any cost to the state and will  
            provide much needed clarity in a decidedly unclear area."

           4)Opposition  :  According to the California Apartment  
            Association, "It is the Association's position that creation  
            and distribution of such a booklet is an inefficient use of  








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            tax payer dollars as well as government and private  
            organizations' time? California law is very clear that rental  
            property owners must provide specific language in their leases  
            pertaining to the availability of the Megan's Law data base.  
            This language has been in effect for 9 years, and is already  
            included in the leases available through the California  
            Association of Realtors. The law states that no other  
            disclosure is required.  We don't believe the DOJ booklet is  
            necessary to explain this.  

             Prior Legislation  . 

             a)   As mentioned earlier, AB 2712 (Leno, 2006) was vetoed.  
               The governor stated,  

                 "I sympathize with property owners who are faced with the  
            problems presented by                                        
            registered sex offenders. However, this bill would prioritize  
            property-owner liability                                     
            protection before tenant safety. I cannot support legislation  
            that may compromise the                                      
            safety of families and children. Protection of our children  
            from sexual predators should                                be  
            the top priority and I encourage the Legislature to revisit  
            this dilemma in more depth                                   
            next session to develop a solution that protects both families  
            and property owners. 

             b)   AB 438 (Parra, 2006) allowed a lessor of residential  
               real property to refuse to provide housing to, or to evict,  
               registered sex offenders whose address must be made public  
               pursuant to the Megan's Law Internet Web site.  AB 438  
               failed passage in Assembly Public Safety.    

             c)   AB 1197 (Aghazarian, 2007) would have stated that denial  
               or termination of tenancy in rental housing of a person who  
               has been conviction of the commission or attempted  
               commission of an offense requiring registration as a sex  
               offender is presumed to protect a person at risk. AB 1197  
               failed passage in Assembly Public Safety.  

           Analysis Prepared by  :    Geoff Long / APPR. / (916) 319-2081