BILL ANALYSIS                                                                                                                                                                                                    �






                         SENATE COMMITTEE ON ELECTIONS 
                         AND CONSTITUTIONAL AMENDMENTS
                           Senator Lou Correa, Chair


          BILL NO:   AB 182                              HEARING 
          DATE: 6/21/11
          AUTHOR:    DAVIS                               ANALYSIS BY: 
             Darren Chesin
          AMENDED:   3/22/11
          FISCAL:    NO
          
                                     SUBJECT
           
          Political Reform Act: Statements of Economic Interest

                                   DESCRIPTION  
          
          Existing law  requires that candidates for, and current 
          holders of, specified elected or appointed state and local 
          offices and designated employees of state and local 
          agencies file Statements of Economic Interests (SEIs) 
          disclosing their financial interests, including 
          investments, real property interests, and income.

           Existing law  provides for a pilot project which permits Los 
          Angeles, Merced, Orange, Santa Clara, Stanislaus, and 
          Ventura counties and the City of Long Beach to permit the 
          electronic filing of an SEI in accordance with regulations 
          adopted by the Fair Political Practices Commission (FPPC).  
          The pilot project began on January 1, 2009 and will end on 
          January 1, 2012.

           This bill  permits participants in the aforementioned pilot 
          project to continue to receive electronic filings of SEIs 
          during the 2012 calendar year while the Legislature reviews 
          the results of the pilot project.

           This bill  also contains various findings and declarations 
          and makes specified technical changes.

                                    BACKGROUND  
          
           Statements of Economic Interests  .  As part of the Political 
          Reform Act's (PRA) comprehensive scheme to prevent 
          conflicts of interest by state and local public officials, 









          existing law identifies certain elected and other 
          high-level state and local officials who must file SEIs. 
          Similarly, candidates for those positions must also file 
          SEIs.  Other state and local public officials and employees 
          are required to file SEIs if the position they hold is 
          designated in an agency's conflict of interest code.  A 
          position is designated in an agency's conflict of interest 
          code when the position entails the making or participation 
          in the making of governmental decisions that may 
          foreseeably have a material financial effect on the 
          decision maker's financial interests.  While the exact 
          number of people that are required to file SEIs is unknown, 
          the FPPC has estimated that the number exceeds 200,000 
          officials and employees statewide.
          The information that must be disclosed on an SEI, and the 
          location at which an SEI is filed, varies depending on the 
          position held by the individual who is required to file an 
          SEI.  Although there are some exceptions, individuals who 
          are required to file an SEI typically must file that 
          document with the agency of which they are an elected 
          official or by which they are employed.  In some cases, 
          original SEIs or copies thereof are filed with the FPPC.  
           
                                     COMMENTS  
          
            1. According to the author  , California voters passed an 
             initiative, Proposition 9, in 1974 that created the FPPC 
             which requires candidates, current office holders and 
             designated employees of state and local agencies to file 
             SEIs disclosing their financial interests.  Assembly 
             Bill 2607 (Davis) provided Los Angeles, Orange, Merced 
             and Stanislaus Counties with the ability to participate 
             in a pilot program to provide constituents with the 
             option of filing their Form 700 SEI using a secure 
             electronic template.  The program provides a safe, 
             cost-effective and workload-reducing option for the 
             filer to utilize to fulfill their annual filing 
             obligation.  Assembly Bill 1921 (2010) added Santa Clara 
             and Ventura Counties, as well as the City of Long Beach, 
             to the existing pilot project.  This bill would extend 
             the sunset date for the pilot program from January 1, 
             2012 to December 31, 2012 while the Legislature reviews 
             the results of the pilot project.

          AB 182 (DAVIS)                                         Page 
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                                   PRIOR ACTION
           
          Assembly Elections and Redistricting Committee:  7-0
          Assembly Floor:                         74-0
                                         
                                   POSITIONS  

           Sponsor: California Association of Clerks and Election 
                   Officials

           Support: American Federation of State, County and 
                   Municipal Employees, 
                    AFL-CIO
                   City of Long Beach 
                    Fair Political Practices Commission
                    Los Angeles County Board of Supervisors
                    Monterey County Board of Supervisors
                    Orange County Board of Supervisors 
                    Santa Clara County Board of Supervisors
                    Urban Counties Caucus
                    Ventura County Board of Supervisors 
                    
           Oppose:  None received



















          AB 182 (DAVIS)                                         Page 
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