BILL ANALYSIS
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THIRD READING
Bill No: SB 327
Author: Kehoe (D)
Amended: 3/31/09
Vote: 27 - Urgency
SENATE APPROPRIATIONS COMMITTEE : 11-0, 4/20/09
AYES: Kehoe, Cox, Corbett, Denham, DeSaulnier, Hancock,
Leno, Runner, Walter, Wolk, Yee
NO VOTE RECORDED: Oropeza, Wyland
SUBJECT : State claims bill
SOURCE : Calif. Victims Compensation and Government
Claims Board
DIGEST : This bill appropriates $601,473.21 from various
funds to the Victim Compensation and Government Claims
Board to pay 294 claims accepted by the Board.
ANALYSIS : The State Board of Control was established in
1945. It was revised and renamed the California Victim
Compensation and Government Claims Board (Board) by AB 2491
(Jackson), Chapter 1016, Statutes of 2000. Government Code
Section 13298 requires the Board to ensure that all claims
which have been approved by the Board, and for which there
exists no legally available appropriation, are submitted
for legislative approval at least twice during each
calendar year.
Of the 18 claims of $10,000 or more contained in this bill,
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nine, for a total of $142,189.60 are for the re-issuance of
stale-dated warrants. The re-issuance of stale-dated
warrants is the most prevalent claim to be paid pursuant to
this bill. For stale-dated warrants, the State Controller
must confirm that (1) the check was not cashed and has not
been issued and (2) more than three years have elapsed
since the check was issued and the monies have reverted to
the General Fund. For these warrants an appropriation is
needed to reissue the payment. This category also may
include state treasury bonds that have not been redeemed
within 10 years of their maturity date (there are four such
claims totaling $65,000), but the majority of warrants are
checks.
The remaining claims of $10,000 or more are:
1.$54,421.01 - During a Board of Equalization (BOE) audit
of the claimant, a waiver extended the deadline for the
claimant to file for a tax refund. However, BOE denied
the claim because it was not filed in a timely manner.
BOE acknowledged that its own misleading conduct during
the audit caused the claimant's failure to file timely
but was barred under the statute of limitations from
taking any further action on the claim.
2.$38,000 - The California Community Colleges Chancellor's
Office failed to pay in a timely manner invoices due San
Jose Evergreen Community College District before grant
funding reverted.
3.$20,000 - For the reimbursement of the Department of Fish
and Game for operating funds used in a settlement
payment.
4.$16,003.00 - Attorney's fees - mandated reporter.
5.$14,868.00 - A claimant filed 1993 California Tax on
March 15, 2007, with no tax liability. The Franchise Tax
Board accepted self addressed zero liability but could
not provide a refund because of statute of limitation
expiration.
The special funds are the Public Employees' Health Care
Fund, the State Highway Account in the State Transportation
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Fund, the Motor Vehicle Account in the State Transportation
Fund, the Employment Development Department (EDD)
Employment Development Contingent Fund and the EDD
Unemployment Administrative fund. The Health Care Deposit
Fund receives federal grants, county payments and General
Funds.
FISCAL EFFECT : Appropriation: Yes Fiscal Com.: Yes
Local: No
Appropriation of $101,473.21 from various funds.
SUPPORT : (Verified 4/19/09)
Calif. Victims Compensation and Government Claims Board
(source)
Department of Finance
DLW:cm 4/22/09 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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