BILL ANALYSIS                                                                                                                                                                                                    �



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          Date of Hearing:  April 24, 2012

                            ASSEMBLY COMMITTEE ON HEALTH
                              William W. Monning, Chair
                  AB 1657 (Wieckowski) - As Amended:  March 22, 2012
           
          SUBJECT  :  Traffic offenses: additional penalty: spinal cord 
          injury research.

           SUMMARY  :  Adds an additional penalty assessment of $1 for every 
          violation of the Vehicle Code, except parking violations, to 
          provide support to the spinal cord injury research program at 
          the University of California (UC).  Specifically,  this bill  :   

          1)Adds an additional penalty assessment of $1 for all Vehicle 
            Code violations, except parking offenses.

          2)Permits UC to create within the existing Roman Reed Spinal 
            Cord Injury Research Fund (Roman Reed Fund), the Roman Reed 
            Spinal Cord Injury Research Penalty Account to receive the 
            penalty assessments referenced in 1) above.

          3)Requires penalties imposed and collected to be deposited with 
            the county treasurer.  Requires the county treasurer to 
            transfer the moneys to the State Treasurer, to be made 
            available upon appropriation by the Legislature, for 
            allocation to the Roman Reed Spinal Cord Injury Research 
            Penalty Account within the Roman Reed Fund already existing 
            within UC.

          4)Permits the county treasurer, prior to the transfer of funds 
            to the State Treasurer, to withhold a sufficient amount 
            necessary to reimburse the county and the courts for their 
            actual, reasonable, and necessary costs associated with 
            administering the provisions in this bill.  Permits an 
            accounting report detailing these costs to be sent by the 
            county to the UC Regents.

           EXISTING LAW  :   

          1)Requires that all fines and forfeitures imposed and collected 
            for crimes, other than parking offenses, resulting from a 
            filing in a court to be deposited with the county treasurer 
            and distributed monthly, as required.









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          2)Establishes the Roman Reed Spinal Cord Injury Research Act and 
            authorizes UC to establish a spinal cord injury research fund 
            independent of the State Treasury, to accept public and 
            private funds for the purpose of injury research programs and 
            grants.  

           FISCAL EFFECT  :  This bill has not yet been analyzed by a fiscal 
          committee.

           COMMENTS  :

           1)PURPOSE OF THIS BILL  .  According to the author, there are 
            600,000 Californians living with paralysis.  The author argues 
            that nearly 46% of all reported spinal cord injuries are from 
            vehicle accidents and the number increases to 56% for 
            children.  The author maintains that the disability, loss of 
            earning power, and loss of personal freedom resulting from 
            spinal cord injury is devastating for the injured individual, 
            and creates a huge financial burden for the State.  The author 
            asserts that the associated rise in health care costs and lost 
            income potential for those with paralysis is well over $1 
            billion.  The author indicates that to improve the quality of 
            life of paralyzed individuals, the Roman Reed Spinal Cord 
            Injury Research Act was created in 2000 and renewed in 2005 
            and takes advantage of California's outstanding medical 
            research institutions to fund promising research-driven 
            therapies that have the potential to enhance the functionality 
            of people with paralysis.  The author indicates that State 
            funding for the Roman Reed Fund has been eliminated, 
            jeopardizing the research that this program undertakes in 
            spinal cord injuries and paralysis.  According to the author, 
            the state funding has leveraged roughly $60 million in federal 
            research funds over the years.  This bill, the author 
            maintains, will provide the critical funding needed to make 
            this program viable.

           2)ROMAN REED SPINAL CORD INJURY RESEARCH PROGRAM  .  AB 750 
            (Dutra), Chapter 777, Statutes of 2000, established the Roman 
            Reed Spinal Cord Injury Research Act to support scientific 
            research related to spinal cord injuries.  The original 
            five-year program was renewed for an additional five years 
            through AB 1794 (Dutra), Chapter 414, Statutes of 2004.  Over 
            its 10-year history, the fund provided approximately $1.5 
            million per year for spinal cord injury research in the State 
            of California.  The Roman Reed Spinal Cord Research funds were 








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            allocated to UC, and administered by the Reeve-Irvine Research 
            Center (Center) at UC Irvine.  

           According to a report produced by the Roman Reed Spinal Cord 
            Injury Program, the Center serves as the hub of UC and 
            statewide on spinal cord injury research.  The Center 
            encourages cooperation and collaboration of scientists around 
            the world seeking treatments for spinal cord dysfunction 
            produced by injury or disease.  The core of the Center is the 
            research laboratory of approximately 6,000 square feet located 
            in UC, Irvine, School of Medicine.  Faculty housed in the 
            Center use state-of-the-art molecular biological, cellular 
            biological, and genetic techniques to study responses of the 
            nervous system to injury and basic cellular and molecular 
            processes that are involved in nerve regeneration and repair.  
            The Center also trains graduate and postdoctoral students and 
            provides hands-on training to an international group of 
            students, medical doctors and professors wishing to learn how 
            to carry out spinal cord injury research.

           3)EXISTING PENALTY ASSESSMENTS  .  With State and local budget 
            constraints in recent years, penalty assessments have become a 
            way for California and its counties to raise needed funds.  
            Currently, penalty assessments are 270% of a base fine, with a 
            flat $103 added to each fine.  For example, a $500 criminal 
            fine with current maximum assessments is now $1,953.  

          Current law provides for a series of intertwined and complex 
            penalty assessments.  As noted by a 2006 California Research 
            Bureau report (CRB Report) entitled "Who Pays For Penalty 
            Assessment Programs in California," California has dedicated 
            funding streams for over 269 separate court fines, fees, 
            forfeitures, surcharges and penalty assessments that may be 
            levied on offenders and violators.  The CRB found that 86% of 
            penalty assessments are paid by Vehicle Code violators.  The 
            CRB Report also reports that high penalty assessments may 
            result in higher rates of default by guilty parties with some 
            offenders spending time in jail, or accepting a plea for 
            community service, rather than paying fines and penalty 
            assessments.  CRB states the end result may be that a 
            substantial amount of fines, fees, and revenue is not 
            collected.  Current major assessments include: 

              a)   A State penalty assessment  of $10 for every $10 on every 
               fine, penalty, or forfeiture imposed and collected by the 








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               courts for all criminal offenses, including vehicle 
               offenses except parking fines.  Of the funds collected, 70% 
               goes to the State and 30% to counties.  The State portion 
               is distributed as follows: 

                 i)       Fish and Game Preservation Fund: .33%;
                 ii)                                Restitution Fund:  
                   32.02%;
                 iii)                               Peace Officers 
                   Training Fund:  23.99%;            
                 iv)                                          Driver 
                   Training Penalty Assessment Fund: 25.70%;    
                 v)       Correction's Training Fund: 7.88%;
                 vi)      Local Public Prosecutors and Public Defenders 
                   Fund: 78%, not to exceed $850,000;
                 vii)     Victim-Witness Assistance Fund: 8.64%; and,
                 viii)    Traumatic Brain Injury Fund: .66%. 

              a)   A county penalty assessment  of $7 for every $10 on every 
               fine, penalty, or forfeiture imposed and collected by the 
               courts for criminal offenses, including vehicle offenses, 
               except parking fines.  Proceeds are distributed to funds 
               established by county boards of supervisors: Courthouse 
               Construction, Criminal Justice Facilities Construction, 
               Automated Fingerprint Identification, Emergency Medical 
               Services (EMS), and DNA; 

              b)   A state surcharge of 20%  on every base fine collected by 
               the court, deposited in the General Fund;
                
               c)   A State Court Facilities Construction penalty assessment  
               of up to $5 for every $10 upon every fine, penalty, or 
               forfeiture collected by the courts for criminal offenses;
                
               d)   A court security fee  of $40 on every conviction for a 
               criminal offense for court security;
                
               e)   A $4 penalty assessment on every $10  in fines and 
               forfeitures resulting from criminal and traffic offenses 
               and dedicates these revenues to state and local governments 
               for DNA identification and databank implementation;
                
               f)   The EMS Fund  provides supplemental financing for local 
               emergency services via a $2 penalty assessment for each $10 
               of traffic fines; 








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               g)   An additional 20% assessment  of $2 for every $10 on 
               every fine, penalty, forfeiture or criminal offenses and 
               all offenses dealing with the Vehicle Code except parking 
               offenses for EMS, in addition to the EMS Fund; 
                
               h)   An additional $30 for every felony or misdemeanor 
               criminal conviction and $35  for every criminal infraction, 
               including traffic offenses, but not including parking 
               offenses, for the Immediate and Critical Needs Account 
               within the existing State Court Facilities Construction 
               Fund; and,
                
               i)   Emergency air ambulance transportation  assessment of $4 
               for every Vehicle Code violation, except parking, for 
               supplemental payments for air ambulance providers who serve 
               Medi-Cal patients.  

           4)JUDICIAL COUNCIL EVALUATING PENALTY ASSESSMENTS  .  Pursuant to 
            a 2010 Budget Trailer Bill, the Judicial Council has convened 
            a task force to identify and evaluate the fees, fines, 
            forfeitures, penalties, and assessments currently in place.  
            Task force recommendations are likely to be released this 
            summer.  

           5)SUPPORT  .  UC and the University of Alabama write in support 
            that the Roman Reed Spinal Cord Injury Research Act has been 
            of enormous importance in terms of advancing research on 
            spinal cord injury and bringing new funding to the State from 
            the National Institutes of Health and other entities.  UC 
            maintains that promising research-driven therapies could 
            greatly improve the quality of life and functional capacity of 
            individuals with spinal cord injuries.  The University of 
            Alabama writes that the Roman Reed Spinal Cord Injury Research 
            Act has been a great inspiration in Alabama and across the 
            world and that efforts are currently underway to model 
            California in the Alabama State Legislature to pass the TJ 
            Atchison Spinal Cord Injury Act. 

          Members of the biotechnology community write in support of this 
            measure and applaud the model of the Roman Reed Fund for its 
            success in advancing California-based research and attracting 
            more external investment to the State.

           6)OPPOSITION  .   The Automobile Club of Southern California 








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            (ACSC), the California Public Defenders Association (CPDA), 
            and the California Catholic Conference, Inc. (CCC) write in 
            opposition to this bill.  ACSC states the original purpose of 
            penalty assessments, when established in the 1950's, was to 
            fund drivers training in public schools.  However, over time 
            the assessments have increased exponentially and today fund a 
            plethora of programs unrelated to traffic safety.  ACSC 
            maintains that although some people involved in motor vehicle 
            collisions sustain spinal cord injuries, there are a number of 
            other causes such as violent crimes, equestrian and other 
            sporting activities, or general illness. ACSC asserts that 
            while spinal cord injury research is a necessary and laudable 
            effort to support, funding the program through assessments on 
            Vehicle Code violations places a disproportionate burden upon 
            the motoring public to achieve this goal.  

          The CPDA writes that while there are individual criminal acts 
            that result in spinal cord injury, there is no nexus between 
            such injury and all of the crimes to which the $1 assessment 
            would attach.  CPDA asserts that in the cases where such 
            injury is caused by crime the convicted individual can be made 
            to pay restitution to the victim for the harm caused, 
            including medical care, rehabilitation, and lost wages.  CPDA 
            maintains that requiring every defendant to pay such a fine 
            attenuates the connection culpability and penalty.  According 
            to CPDA, the punishment should fit the crime and should not 
            include a revenue raising measure.  CPDA indicates that 
            penalty assessments have proliferated wildly over the past few 
            decades, to the point where a typical total fine is now triple 
            or quadruple the base fine.  CPDA argues that an inevitable 
            side effect of these ballooning fines is that fewer and fewer 
            criminal defendants can afford to pay them and, when 
            defendants cannot pay, the fine goes uncollected.

          The CCC writes in opposition that this bill would divert 
            enhanced traffic fine penalties to the funding of immoral and 
            scientifically unproven embryonic stem cell research instead 
            of much needed public safety concerns where customarily monies 
            generated by violations of public safety are targeted.  CCC 
            maintains that with the high employment numbers and the budget 
            deficit facing our State, levying more fines on Californians 
            in order to divert them to this type of research is both 
            morally and fiscally questionable.

           7)RELATED AND PREVIOUS LEGISLATION  .   








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             a)   AB 190 (Wieckowski) of 2011, proposed an additional $3 
               penalty assessment for every violation of the vehicle code, 
               except parking violations, to provide support to the spinal 
               cord injury research program at UC.  AB 190 was held in the 
               Assembly Appropriations Committee.

             b)   AB 1931 (Torrico), Chapter 457, Statutes of 2010, 
               eliminated the sunset date for the Roman Reed Spinal Cord 
               Injury Research Act and specified that the Roam Reed Spinal 
               Cord Injury Research Fund be located at UC, rather than the 
               State Treasury.

             c)   AB 1794 extended the sunset date for the Roman Reed 
               Spinal Cord Injury Research Act to January 1, 2011, and 
               extended the sunset date for the Traumatic Brain Injury 
               pilot project from July 1, 2007 to July 1, 2012.

             d)   AB 750 established the Roman Reed Spinal Cord Injury 
               Research Act and created the Roman Reed Fund within the 
               State Treasury.

           8)DOUBLE REFERRAL  .  This bill has been double referred.  It 
            passed the Assembly Committee on Public Safety with a vote of 
            4-2 on March 27, 2012.

           9)POLICY CONCERNS  .

             a)   The physical, emotional, and monetary devastation that 
               spinal cord injuries cause individuals and their families 
               cannot be understated and the innovation and strides in 
               research that have taken place through the great work that 
               is being done as a result of the Roman Reed Spinal Cord 
               Injury Research Act should be commended.  However, there 
               are a number of disabilities caused by Vehicle Code 
               violations.  The author may wish to explain, from a policy 
               perspective, why spinal cord injuries should be elevated 
               above any other devastating injury that is the result of a 
               Vehicle Code violation?

             b)   According to the CRB Report, initially, penalty 
               assessments were based on the concept of an "abuser's fee," 
               in which those who broke certain laws helped to finance 
               programs related to decreasing those violations.  For 
               example, drug and alcohol offenses and domestic violence 








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               offenses have special assessments or fines that directly 
               fund county programs designed to  prevent  those violations.  
               Over the years, the intended purpose for penalty 
               assessments has been expanded to include the following: a) 
               support for other county programs; b) providing 
               unreimbursed medical care or direct services related to a 
               violation; or, c) support for the adjudication of those 
               offenses such as through court house construction.  The 
               approach to fund  research  for the treatment and cure for 
               spinal cord injuries which may result from a Vehicle Code 
               violation is another policy departure and unprecedented.  
               The author may wish to explain why such a departure is 
               warranted, particularly when the existing penalty 
               assessments appear to be so burdensome?

             c)   The Judicial Council has established a task force to 
               review and evaluate fees, fines, forfeitures, penalties, 
               and assessments currently in place.  The task force is 
               expected to complete their evaluation and report final 
               recommendations to the Legislature this summer.  Is this 
               measure premature?  Should the Committee consider adding 
               additional penalty assessments prior to the completion of 
               the Judicial Council's evaluation of the current penalties?
           
          REGISTERED SUPPORT / OPPOSITION  :  

           Support 
           
          Boston Scientific
          California Healthcare Institute
          California Institute for Regenerative Medicine
          StemCyte
          University of Alabama at Birmingham, Department of Physical 
          Medicine and Rehabilitation
          University of California, Office of the President
          Several Individuals

           Opposition 
           
          Automobile Club of Southern California
          California Catholic Conference, Inc.
          California Public Defenders Association
           
          Analysis Prepared by  :  Tanya Robinson-Taylor / HEALTH / (916) 
          319-2097 








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