BILL ANALYSIS                                                                                                                                                                                                    





               SENATE COMMITTEE ON ELECTIONS, REAPPORTIONMENT AND  
                           CONSTITUTIONAL AMENDMENTS
                          Senator Loni Hancock, Chair


          BILL NO:   SCA 16                             HEARING DATE:  
          7/7/09
          AUTHOR:    DeSAULNIER                         ANALYSIS BY:   
             Darren Chesin
          AMENDED:   AS INTRODUCED 
          FISCAL:    YES
          
                                     SUBJECT

           Indirect initiatives
           
                                  DESCRIPTION  
          
           The California Constitution  requires the Secretary of State  
          (SOS) to submit statewide initiative measures at the next  
          General Election held at least 131 days after they qualify  
          or at any special statewide election held prior to that  
          General Election. The Governor may also call a special  
          statewide election on the measure.  In order to qualify for  
          the ballot, a statutory initiative must have been signed by  
          registered voters equal in number to 5% of the votes for  
          all candidates for Governor at the last election.  The  
          signature threshold to qualify initiatives proposing  
          constitutional amendments is 8%.  There is no mechanism for  
          amending an initiative once it has been approved for  
          circulation by the SOS or once it has qualified for the  
          ballot.

           Existing statutory law  requires the appropriate committees  
          of the Legislature to conduct joint public hearings of any  
          initiative measure which has qualified for the ballot.   
          These hearings are for informational purposes only and must  
          be held at least 30 days prior to the election. 

           This Constitutional Amendment  would provide an alternative  
          to the existing procedure for pursuing and enacting  
          initiative statutes and constitutional amendments commonly  
          known as an "indirect" initiative process.  Specifically,  
          this measure would provide for all of the following:

           An initiative measure may be proposed by presenting to  









            the SOS, at any time while the Legislature is in session,  
            an initiative petition signed by electors equal in number  
            to 3 percent in the case of a statute, and 6 percent in  
            the case of an amendment to the Constitution, of the  
            votes for all candidates for Governor at the last  
            gubernatorial election.  The Secretary of State must then  
            transmit those petitions to the Legislature within 10  
            days.

           The Legislature may amend the proposed statute or  
            amendment to the Constitution set forth in the initiative  
            measure. 
           If the proposed statute, with or without change, is  
            enacted by the Legislature, the statute will go into  
            effect on the applicable date.  A statute so enacted  
            could still be subject to a referendum.

           If the Legislature approves the proposed Constitutional  
            initiative, with or without change, by a 2/3 vote of each  
            house, the proposed amendment will be submitted to the  
            electors for approval at the first statewide election  
            occurring an unspecified number of days later.

           If by an unspecified number of days, the Legislature  
            rejects the initiative measure or has taken no action on  
            the initiative measure, the SOS must submit the  
            initiative measure to the electors for approval at the  
            first statewide election occurring an unspecified number  
            of days after the above deadline if the SOS is presented  
            by the sponsors of the initiative with an additional  
            petition that sets forth the original text of the  
            proposal and is certified to have been signed by electors  
            who did not previously sign the petition equal in number  
            to 2 percent of the votes for all candidates for Governor  
            at the last gubernatorial election.

                                    BACKGROUND  
          
           Other States  .  According to the National Conference of  
          State Legislatures (NCSL), eight states currently offer  
          some form of an "indirect" initiative process.  Maine,  
          Michigan, Nevada, Ohio, Utah, and Washington provide for an  
          indirect initiative process for statutory initiatives only,  
          Mississippi provides the process only for constitutional  
          amendment initiatives while Massachusetts includes both  
          SCA 16 (DeSAULNIER)                                    Page  
          2  
           







          statutory and constitutional amendment initiatives.

          In the indirect initiative process, a proposed initiative  
          is referred to the legislature after proponents have  
          gathered the required number of signatures. The legislature  
          has the option to enact, defeat or amend the measure.  
          Depending on the legislature's action, the proponents may  
          continue to pursue placement on the ballot for a popular  
          vote. In three states (Massachusetts, Ohio and Utah),  
          proponents must gather additional signatures to place the  
          measure on the ballot; in the others, it automatically goes  
          to the ballot.

          In several states (Maine, Massachusetts, Michigan, Nevada  
          and Washington), it is specifically provided for in law  
          that the legislature may place an alternate proposition on  
          the ballot with the initiative. Voters may vote for one or  
          the other or for neither.

          Alaska's and Wyoming's initiative processes are sometimes  
          cited as indirect. However, instead of requiring that an  
          initiative be submitted to the legislature for action, they  
          require only that an initiative cannot be placed on the  
          ballot until after a legislative session has convened and  
          adjourned, thus providing the legislature with the  
          opportunity to address the issue if it so chooses.

          Two states - Utah and Washington - offer both the direct  
          and indirect initiative process; proponents have the option  
          of choosing either. In Utah, the initial signature  
          requirement is lower for the indirect process. This serves  
          as an incentive to proponents to choose the indirect route  
          and thus incorporate the legislature into the process.  
          Qualifying an initiative directly to the ballot requires  
          signatures equal to 10 percent of the votes cast for  
          governor in the last election; presenting an indirect  
          initiative to the Legislature requires signatures equal to  
          5 percent of the votes cast for governor in the last  
          election. However, if the indirect initiative is rejected  
          by the Legislature, proponents must gather additional  
          signatures equal to 10 percent of the votes cast for  
          governor, creating a total signature threshold for indirect  
          initiatives that is higher than that for direct  
          initiatives. As a consequence, use of Utah's indirect  
          initiative is significantly lower than use of the direct  
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          method.

          California had an indirect initiative process until 1966.  
          It was available in addition to the direct process, and  
          proponents were permitted to choose the process they would  
          use. The indirect option was rarely used, and voters  
          approved its abolition in 1966.

          Nevada currently has an indirect process for statutory  
          initiatives. At one time, it also had the indirect process  
          for initiative constitutional amendments, but it abolished  
          this option in 1962. Voters approved a constitutional  
          amendment referred by the Legislature that abolished the  
          indirect process for constitutional amendments and at the  
          same time imposed the requirement that any constitutional  
          amendment be approved by a majority vote in two successive  
          elections.
           
          The NCSL further states that the indirect initiative is  
          frequently offered as an improvement over the direct  
          initiative because it allows for legislative analysis,  
          committee hearings and floor debate. Legislative  
          deliberation and debate on the issue itself and its effect  
          on other existing policies may result in an improved  
          initiative proposal because unintended consequences and  
          errors may come to light.

          Pitfalls exist in the indirect initiative process, however,  
          which prevent it from being a panacea to the problems of  
          the initiative. The main argument against the indirect  
          initiative is that, where the process is currently offered,  
          legislatures rarely take up the initiative proposal and,  
          when they do, they almost always reject initiative  
          proposals. Rarely do they engage in negotiation with  
          initiative proponents and seek to craft a compromise.  Most  
          often, indirect initiatives are rejected by the legislature  
          and end up on the ballot for a popular vote; the indirect  
          process has done little but protract the initiative  
          process.

          In spite of its pitfalls, the indirect initiative process  
          is more desirable than the direct initiative process  
          because it allows for more public debate and deliberation,  
          and it involves the legislature, with its professional  
          research and bill drafting staff, in the process.
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                                    COMMENTS  
          
           1.According to the author  : 

          From 1879 to the mid-90's California ranked 1st in the  
            nation in proposed amendments (812) and 2nd in adopted  
            ones (485), averaging 4.29 constitutional amendments a  
            year. This has lead to a constitution that is now a  
            "Winchester House" of propositions and initiatives,  
            cobbled together in a piecemeal manner.  It is no longer  
            a coherent, effective document. The number of initiatives  
            that appear on ballots has also lead to voter fatigue. 

          A December 2008 Public Policy Institute of California  
            (PPIC) poll found that 63% of voters agree that ballot  
            wording was too complicated and confusing and 52% agree  
            that there were too many ballot initiatives on the  
            November 2008 ballot. 

          The same PPIC poll found that 77% of voters support having  
            a system of review and revision of proposed initiatives  
            to avoid legal issues and drafting errors. The same  
            number, 77% of voters, also favor having a time period  
            when the sponsor of the initiative and the legislature  
            could try to reach a compromise solution before the  
            initiative reaches the ballot. 

          There are currently 8 states (Maine, Massachusetts,  
            Michigan, Mississippi, Nevada, Ohio, Utah, and  
            Washington) that have an indirect initiative process.  
            California's constitution had a provision for an indirect  
            statutory initiative that was eliminated in 1966.

          SCA 16 will reinstate the indirect initiative process in  
            order to provide for legislative deliberation and debate  
            on the issue while also examining the effect it will have  
            on the state budget and other existing programs and state  
            policy. This will provide for a more open process and  
            ideally will end with the legislature enacting a reform  
            sufficient to the initiative proponents and will reduce  
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            the number of initiatives on the ballot.  

           2.You Want it When  ?  This measure does not specify the  
            deadlines by which certain procedures must occur.  These  
            deadlines should be included in the bill prior to  
            approval.

           3.Related Legislation  .  This bill is similar to SCA 10  
            (Ducheny) which passed this committee and is now pending  
            on the Senate Appropriations Committee suspense file and  
            ACA 13 (Hernandez) which is pending in the Assembly  
            Appropriations Committee. 
           
                                   POSITIONS  

          Sponsor: Author

           Support: None received

           Oppose:  None received
























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