BILL ANALYSIS                                                                                                                                                                                                    






                                                       Bill No:  AB  
          1899
          
                 SENATE COMMITTEE ON GOVERNMENTAL ORGANIZATION
                       Senator Roderick D. Wright, Chair
                           2009-2010 Regular Session
                                 Staff Analysis



          AB 1899  Author:  Eng
          As Amended:  May 28, 2010
          Hearing Date:  June 29, 2010
          Consultant:  Art Terzakis


                                     SUBJECT  
                       State Agencies: Internet Web site

                                   DESCRIPTION
           
          AB 1899 requires state agencies, the Department of General  
          Services (DGS) and the Office of the Chief Information  
          Officer (OCIO) to post audits and summary data regarding  
          contracts valued at $5,000 or more to the State's Reporting  
          Transparency in Government Internet Web site.   
          Specifically, this measure:

          1.  Requires the OCIO to create and maintain a Reporting  
            Transparency in Government Internet Web site for purposes  
            of this measure and requires the Web site to include  
            instructions for the public on how to obtain more  
            detailed information for a contract.

          2.  Requires DGS and the OCIO, by February 15, 2011, to  
            post summary data regarding any contract awarded by the  
            state on or after March 31, 2009, valued at $5,000 or  
            more to the state's Reporting Transparency in Government  
            Internet Web site.  

          3.  Defines "summary data" to include, among other contract  
            characteristics: department name, total price, start and  
            termination dates, supplier name, quantity and  
            description. 

          4.  Requires a state agency to post to the Reporting Web  




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            site within 15 calendar days of signing by all parties to  
            the contract, any contract valued at $5,000 or more  
            awarded on and after January 1, 2011.

          5.  Requires state agencies, by February 15, 2011, to post  
            all audits of its operations as defined, finalized from  
            January 1, 2008, through December 31, 2010, to the  
            state's Reporting Transparency in Government Web site.
                                         
           6.  Requires state agencies to post to the Reporting Web  
            site within 15 calendar days every audit of its  
            operations finalized on and after January 1, 2011.
                                         
           7.  Requires DGS and the OCIO to assist state agencies in  
            complying with the requirements of this measure.
          8.  Requires the Office of the Governor to post every  
            statement of economic interest and travel expense report  
            of its staff, agency secretaries, department heads and  
            any official under the direct supervision of the Governor  
            to the Reporting Web site. 
                                         
           9.  Includes a provision that information deemed  
            confidential as specified would be exempt from the  
            posting requirements.  Makes it explicit that the  
            exemption is not meant to limit the rights of the public  
            to access information subject to the California Public  
            Records Act (CPRA) and any information withheld from the  
            posting must be replaced with the phrase "CPRA exemption  
            claimed."  
                                         
                                  EXISTING LAW

           Existing law requires public records to be open to public  
          inspection, subject to specific exemptions.

                                    BACKGROUND
           
           Purpose of AB 1899:   According to the author's office, this  
          measure is intended to mirror the Governor's existing  
          Executive Order on transparency and place it in statute.  
          The author contends, "There is a need for transparency in  
          order for Californians to have a window on how the State is  
          spending its resources and conducting the people's  
          business." 
          The author is concerned that information which is completed  
          and kept by individual departments is not readily  




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          accessible to the public.

           Governor's Executive Order S-20-09:   The executive order  
          requires that state agencies and departments post to the  
          Reporting Government Transparency Web site program reviews,  
          monitoring and accountability reports, evaluations,  
          inspections, assessments and studies of their operations  
          dating back to January 1, 2008. In addition, it requires  
          that agency and department web pages provide easy access to  
          these documents.  Departments and agencies are required to  
          post future documents to the Reporting Government  
          Transparency Web site within 5 working days of  
          finalization.
           
           Governor's Executive Order S-08-09:   This executive order  
          requires, starting June 19, 2009, DGS and the OCIO ensure  
          that all awarded contracts valued at $5,000 or more dating  
          to March 2009, are placed on the Reporting Government  
          Transparency Internet Web site.

                            PRIOR/RELATED LEGISLATION
           
           AB 2403 (Strickland) 2009-10 Session.   Would have required  
          state agencies, DGS and the OCIO to post specified audits  
          and contracts to the state's Reporting Transparency in  
          Government Web site.  (Held in Assembly Appropriations  
          Committee)
           
          AB 756 (Eng) 2009-10 Session.   Would have required every  
          state agency, except as specified, to provide a link to a  
          centrally located and accessible state-run Internet website  
          that includes a listing of personal services and consulting  
          services contracts that it entered into during the previous  
          fiscal year.  (Vetoed - Governor's message stated, "While I  
          am supportive of greater transparency in government, this  
          legislation would be duplicative of current reporting  
          practices and increases workload and costs to departments  
          at a time when the state continues to experience a  
          significant budget shortfall).  

          AB 1194 (Strickland) 2009-10 Session.   Would have required  
          each state department and agency to develop and operate an  
          Internet Web site accessible by the public that includes  
          specified information relating to expenditure of state  
          funds, defined to include, among other things, grants,  
          contracts, subcontracts, purchase orders, and tax refunds  




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          rebates, and credits.  (Held in Senate Appropriations  
          Committee)
           
          SB 502 (Walters) 2009-10 Session.   Would have required a  
          state agency to develop and operate a publicly accessible  
          and searchable Web site containing specified information  
          detailing expenditures by that agency of state funds.   
          (Held in this Committee at author's request)

           SB 719 (Huff) 2009-10 Session.   Would have enacted the  
          Taxpayer Transparency Act of 2009 and would have required  
          each state department and agency to develop and operate a  
          searchable Internet Web site accessible by the public that  
          includes specified information relating to expenditure of  
          state funds including contracts, grants, purchase orders,  
          subcontracts, and tax refunds, rebates and credits. (Held  
          in Senate Appropriations)
           
          AB 2603 (Eng) 2007-08 Session.   Would have required state  
          agencies to prepare an annual report for the Department of  
          Finance listing personal services and consulting services  
          contracts, entered into by the agency in the previous  
          fiscal year. (Held on Senate Appropriations Suspense File)
          
           SB 1331 (Oropeza) 2007-08 Session.   Would have required the  
          Governor to submit to the Legislature, as part of the state  
          budget, information regarding current and proposed service  
          contracts with a value of $5,001 or more.  (Held in Senate  
          Rules Committee) 
           
          SB 1494 (McClintock and Florez) 2007-08 Session.   Would  
          have required each state department and agency to publish a  
          Website that provides details on expenditures over $1,000  
          in a searchable format.  (Held on Senate Appropriations  
          Suspense File)

           SB 1596 (Yee) 2007-08 Session.    Would have required the  
          Regents of the University of California to establish a  
          contractor responsibility program and to establish a  
          centralized contract information data warehouse, as  
          specified.  (Held on Senate Appropriations Suspense File)

           SUPPORT:   As of June 25, 2010:

          Service Employees International Union (SEIU) Local 1000
          Californians Aware




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          California Labor Federation
          California Newspaper Publishers Association

           OPPOSE:   None on file as of June 25, 2010.

           FISCAL COMMITTEE:   Senate Appropriations Committee