BILL ANALYSIS �
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|SENATE RULES COMMITTEE | AB 764|
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THIRD READING
Bill No: AB 764
Author: Swanson (D)
Amended: 7/5/11 in Senate
Vote: 21
SENATE GOVERNANCE & FINANCE COMMITTEE : 9-0, 06/29/11
AYES: Wolk, Huff, DeSaulnier, Fuller, Hancock, Hernandez,
Kehoe, La Malfa, Liu
SENATE APPROPRIATIONS COMMITTEE : Senate Rule 28.8
ASSEMBLY FLOOR : 74-2, 06/01/11 - See last page for vote
SUBJECT : Personal income taxes: voluntary
contributions: Child
Victims of Human Trafficking Fund
SOURCE : County of Alameda
District Attorney of Alameda County
DIGEST : This bill authorizes the addition of the Child
Victims of Human Trafficking Fund checkoff to the personal
income tax form upon the removal of another voluntary
contribution fund (VCF) from the form, or as soon as space
is available.
ANALYSIS : Existing state law allows taxpayers to
contribute money to one or more of 15 VCFs by checking a
box on their state income tax return. California law
requires contributions made through check-offs to be made
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from taxpayers' own resources and not from their tax
liability, as is possible on federal tax returns.
Check-off amounts may be claimed as charitable
contributions on taxpayers' tax returns during the
subsequent year.
This bill creates the Child Victims of Human Trafficking
Fund. The California Emergency Management Agency will
administer the fund monies granted to community-based
organizations that agree to serve minor victims of human
trafficking.
The fund will be added to the tax form when another VCF is
removed, or as soon as space is available, and shall remain
on the form for five years unless it is repealed earlier
for failing to meet the minimum contribution amount.
Comments
The Franchise Tax Board (FTB) designs tax returns to
provide for the designation of contributions to specified
funds either on the return itself or on a separate schedule
that must be attached to the return. With a few
exceptions, VCFs remain on the return until they are either
repealed or fail to meet their minimum contribution amount.
The minimum contribution amounts are adjusted annually
for inflation. For most VCFs, the minimum contribution
amount is $250,000 in the fund's second year. By September
1 of each year, the FTB must determine the minimum
contribution amount required for each fund to remain on the
form for the following calendar year and whether estimated
contributions to each fund will be less than the minimum
contribution amount for that calendar year. If the FTB
estimates that a fund will fail to meet the minimum
contribution amount, that fund is repealed effective for
taxable years beginning on or after January 1st of the
following calendar year.
Following is a list of 2011 check-offs and contribution
amounts received in 2010:
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|Alzheimer's Disease/Related |$426,417 |
|Disorders Fund | |
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|------------------------------+------------------------------|
|Arts Council Fund |Initial Tax Return 2010 |
|------------------------------+------------------------------|
|CA Breast Cancer Research |$519,728 |
|Fund | |
|------------------------------+------------------------------|
|CA Cancer Research Fund |$275,587 |
|------------------------------+------------------------------|
|CA Firefighters' Memorial |$207,455 |
|Fund | |
|------------------------------+------------------------------|
|CA Fund for Senior Citizens |$296,144 |
|------------------------------+------------------------------|
|CA Peace Officer Memorial |$135,250 |
|Foundation Fund | |
|------------------------------+------------------------------|
|CA Police Activities League |Initial Tax Return 2010 |
|(CALPAL) Fund | |
|------------------------------+------------------------------|
|CA Sea Otter Fund |$263,543 |
|------------------------------+------------------------------|
|CA Seniors Special Fund |$59,192 |
|------------------------------+------------------------------|
|CA Veterans Homes Fund |Initial Tax Return 2010 |
|------------------------------+------------------------------|
|Emergency Food for Families |$487,333 |
|Fund | |
|------------------------------+------------------------------|
|Rare & Endangered Species |$578,215 |
|Preservation Program | |
|------------------------------+------------------------------|
|Safely Surrendered Baby Fund |Initial Tax Return 2010 |
|------------------------------+------------------------------|
|State Children's Trust for |$448,081 |
|the Prevention of Child Abuse | |
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Related Legislation
In addition to this bill, the following bills have been
introduced this year:
SB 164 (Simitian) extends the repeal dates of both the
State Children's Trust Fund for the Prevention of Child
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Abuse and the Rare and Endangered Species Preservation
Program from January 1, 2013 to January 1, 2018.
SB 583 (Vargas) reestablishes the ALS/Lou Gehrig's Disease
Research Fund.
SB 803 (DeSaulnier) creates a VCF designation on the
personal income tax form for taxpayers to contribute to
California Youth Leadership Project.
SBX1 3 (LaMalfa) creates a VCF designation on the personal
income tax form, the Help Our State Fund, for taxpayers to
contribute to the General Fund.
AB 233 (Hall) creates a VCF designation on the personal
income tax form for taxpayers to contribute to the
California YMCA Youth and Government Fund.
AB 564 (Smyth) reestablishes the Municipal Shelter
Spay-Neuter Fund and encourages all persons who prepare
state income tax returns to inform their clients in writing
that they may contribute to any voluntary contribution
check-off on the return.
AB 971 (Monning) reestablishes the California Sea Otter
Fund.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
SUPPORT : (Verified 8/12/11)
County of Alameda (co-source)
District Attorney of Alameda County (co-source)
Alameda County Board of Supervisors
American Federation of State, County and Municipal
Employees, AFL-CIO
Berkeley City Council
California Catholic Conference
ARGUMENTS IN SUPPORT : According to the author, "Nearly
300,000 American children and youth are estimated to be at
risk of child sexual exploitation each year. There are
many organizations throughout the state that help to
provide support services to young men and woman who have
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been victimized by sexual exploitation. This bill will
facilitate these important treatment services by providing
a funding mechanism to support organizations that serve
sexually exploited minors. AB 764 authorizes individual
taxpayers to contribute amounts in excess of their tax
liability to the Child Victims of Human Trafficking Fund to
be allocated to community-based organizations that serve
minor victims of human trafficking."
ASSEMBLY FLOOR : 74-2, 06/01/11
AYES: Achadjian, Alejo, Allen, Ammiano, Atkins, Beall,
Bill Berryhill, Block, Blumenfield, Bonilla, Bradford,
Brownley, Buchanan, Butler, Charles Calderon, Campos,
Carter, Cedillo, Chesbro, Conway, Cook, Davis, Dickinson,
Donnelly, Eng, Feuer, Fletcher, Fong, Fuentes, Furutani,
Beth Gaines, Galgiani, Gatto, Gordon, Grove, Hagman,
Hall, Harkey, Hayashi, Roger Hern�ndez, Hill, Huber,
Hueso, Huffman, Knight, Lara, Logue, Bonnie Lowenthal,
Ma, Mansoor, Mendoza, Miller, Mitchell, Monning, Morrell,
Nestande, Nielsen, Norby, Olsen, Pan, Perea, Portantino,
Silva, Skinner, Smyth, Solorio, Swanson, Torres, Valadao,
Wagner, Wieckowski, Williams, Yamada, John A. P�rez
NOES: Halderman, Jones
NO VOTE RECORDED: Garrick, Gorell, Jeffries, V. Manuel
P�rez
AGB:nl 8/16/11 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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