BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 2633
                                                                  Page  1

          Date of Hearing:   May 19, 2010

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Felipe Fuentes, Chair

                    AB 2633 (Davis) - As Amended:  April 28, 2010 

          Policy Committee:                              Governmental  
          Organization Vote:                            15 - 5 

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:              

           SUMMARY  

          This bill requires the California Lottery Commission to report  
          to the Legislature twice a year (once in April and once in  
          October) detailing the purchase of any goods and services  
          through the Department of General Services. Specifically, this  
          bill: 

          1)Changes the reporting requirements from once per year to twice  
            per year. 

          2)Requires that the report must include information on any  
            advertising services that have been purchased. 

          3)Reduces the threshold for the contracts that need to be  
            included in the report from $100,000 to $10,000. 

           FISCAL EFFECT  

          Workload costs associated with producing the semi-annual report  
          would be in the range of $75,000 per year. [California Lottery  
          Revenue]

           COMMENTS  

           1)Purpose  . This bill expands the reporting requirements of the  
            California State Lottery Commission to include information on  
            any contracts with advertising agencies and any contract over  
            $10,000.  In addition, it increases the current annual report  
            to a semi-annual report. The author hopes that this bill will  
            increase transparency in the contracting practices of the  
            Commission and will increase the Commission's accountability. 








                                                                  AB 2633
                                                                  Page  2

           
          2)Clarification  . The author might want to clarify in the bill  
            whether he wants the Lottery Commission to report biannually  
            (every two years) or semi-annually (every six months).  The  
            current language in the bill is unclear. 

           Analysis Prepared by  :    Julie Salley-Gray / APPR. / (916)  
          319-2081