BILL ANALYSIS
Senate Appropriations Committee Fiscal Summary
Senator Christine Kehoe, Chair
657 (Steinberg)
Hearing Date: 05/04/2009 Amended: As introduced
Consultant: Jacqueline Wong-HernandezPolicy Vote: Judiciary 3-2
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BILL SUMMARY: SB 657 would, beginning on January 1, 2001,
require retail sellers and manufacturers doing business in the
state to develop and implement policies related to their
compliance with federal and state law regarding the eradication
of slavery and human trafficking from their supply chain. This
bill would also establish the Commission to Combat Slavery and
Human Trafficking, a nine-member appointed commission empowered
to investigate complaints about slavery and human trafficking
and company compliance with this bill, as well as create
educational and training programs to assist businesses with
compliance.
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Fiscal Impact (in thousands)
Major Provisions 2009-10 2010-11 2011-12 Fund
Possible AG injunctions
against companies $0 $0
minor/absorbable General
Creates Commission to $295-470 $590-940
$590-940 Private*
Combat Slavery and Human
Trafficking
*The bill states that the commission will be a nonprofit public
benefit corporation, privately funded, but does not specify the
funds. The bill also states that it can be funded by any source.
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STAFF COMMENTS: This bill meets the criteria for referral to the
Suspense File.
Requiring retail sellers and manufacturers to develop and
implement policies related to their compliance with federal and
state law regarding the eradication of slavery and human
trafficking from their supply chain will not likely incur costs
for the state. This bill specifies that the exclusive remedy for
violation is an injunction brought by the Attorney General.
Since enforcement by the AG is discretionary, it would
presumably be accomplished within existing resources.
This bill also creates the Commission to Combat Slavery and
Human Trafficking (CCSHT), a nine-member appointed board charged
with investigating complaints related to slavery and human
trafficking. The Commission is also charged with creating
educational and training programs to assist businesses with
compliance to this law, reporting annually to the Governor and
Legislature on its activities, and making recommendations on the
implementation of this chapter. It is unclear whether Commission
members would be paid, what expenses they incur would be
reimbursed, and how many staff members would be needed to
support the Commission, and who would be responsible for
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SB 657 (Steinberg)
creating and implementing the initial 501(c)3 (nonprofit tax
exempt status) proposal creating the Commission.
The estimated cost for this new Commission is based on the
budgets of existing boards and commissions. The California Sex
Offender Management Board (SOMB) is a 16-member appointed
volunteer board responsible for conducting a thorough assessment
of current management practices for adult sex offenders, and
developing recommendations, based upon the findings in the
assessment, to improve management practices of adult sex
offenders under supervision in the community, with the goal of
improving community safety. The Board has three PYs and,
combined with administrative expenses, has a budget of $590,000
GF.
The Little Hoover Commission is a 13-member appointed volunteer
commission which investigates state government operations and -
through reports, recommendations and legislative proposals -
promotes efficiency, economy and improved service. The full
Commission selects study topics that come to its attention from
citizens, legislators and other sources. In addition, it has a
statutory obligation to review and make recommendations on
proposed government reorganization plans. The Commission has 9
PYs, and an operating budget of $941,000 GF. This budget also
pays for the travel expenses of members who are not elected
officials.
The duties of the Little Hoover Commission are more extensive
than the proposed CCSHT, which is more statutorily similar to
the SOMB. Due to the bill's lack of specificity regarding
staffing and compensation, however, it is impossible to
accurately determine the cost of this bill.
Staff notes that the author should consider adding language to
clarify the funding source. For example: The Commission on
Slavery and Human Trafficking is established in ____(branch of
government)____ and shall be convened pursuant to this article
only after a determination by the Department of Finance that
private donations in an amount sufficient to fully support the
activities of the commission have been deposited with the state.
The members of the commission shall serve without compensation,
and no public funds may be used to compensate the members for
expenses.