BILL ANALYSIS �
SB 801
Page 1
Date of Hearing: June 21, 2011
ASSEMBLY COMMITTEE ON ELECTIONS AND REDISTRICTING
Paul Fong, Chair
SB 801 (Kehoe) - As Amended: June 13, 2011
SENATE VOTE : 37-0
SUBJECT : Political Reform Act of 1974: statement of economic
interests.
SUMMARY : Requires an original or a copy of any statement of
economic interests (SEI) filed by an appointee to a state board,
commission, or similar multimember body of the state to be filed
with the Fair Political Practices Commission (FPPC). Revises
and streamlines the process by which copies of SEIs are filed
with the FPPC by specified persons and state elected officers.
Specifically, this bill :
1)Requires persons appointed to state boards, commissions, or
similar multimember bodies of the state, that are not already
specified under current law, to file original SEIs with the
respective board, commission or body. Requires the original
SEI to be handled as set forth in the conflict-of-interest
code of the respective board, commission, or body. Provides
that if the respective board, commission, or body is not
required to send the original to the FPPC, it shall make a
copy and forward it to the FPPC.
2)Deletes requirements in current law that copies of SEIs from
statewide elected officers and candidates for statewide
elective office be sent to the Secretary of State, the
Registrar-Recorder of Los Angeles County, and the Clerk of the
City and County of San Francisco.
3)Deletes requirements in current law that copies of SEIs from
members of the Legislature, members of the State Board of
Equalization, and candidates for those offices, be sent to the
Secretary of State, the elections official of the county that
contains the largest percentage of registered voters in the
district that the officeholder represents or candidate seeks
nomination, and the elections official of the county in which
the officeholder or candidate resides.
EXISTING LAW :
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1)Creates the FPPC, and makes it responsible for the impartial,
effective administration and implementation of the Political
Reform Act of 1974 (PRA).
2)Identifies certain high-ranking public officials, who are
subject to the most expansive disclosure requirements under
the PRA. Requires these officials to file periodic SEIs
disclosing investments, interests in real property, and income
(including gifts).
3)Requires every state and local governmental agency to adopt
and promulgate a Conflict of Interest Code. Requires each
Conflict of Interest Code to include a specific enumeration of
the positions within the agency that involve the making or
participation in the making of decisions which may foreseeably
have a material effect on any financial interest. Requires
each person who holds such an enumerated position to file
periodic SEIs disclosing his or her financial interests in
accordance with the provisions of the Conflict of Interest
Code.
4)Specifies the manner in which original SEIs are filed and the
entities to whom copies of SEIs are required to be sent for
specific office holders and candidates, including, but not
limited to, statewide elected officers, members of the Public
Utilities Commission, judges and court commissioners, heads of
local government agencies, and designated employees of the
Legislature.
5)Prohibits a public official at any level of state or local
government from making, participating in the making, or in any
way attempting to use his or her official position to
influence a governmental decision in which the official knows
or has reason to know that he or she has a financial interest,
as defined.
FISCAL EFFECT : Unknown. State-mandated local program;
contains a crimes and infractions disclaimer.
COMMENTS :
1)Purpose of the Bill : According to the author:
The Political Reform Act of 1974 (PRA), among other things,
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established a detailed process to protect against
intentional and accidental conflicts of interest among
state and local elected leaders, political appointees and
key staff members. In order to further the purposes of the
PRA, it is important to maximize conflict of interest
oversight policies regarding political appointees of the
governor and legislature to boards, commissions and similar
multimember bodies of the state. Appointees of the
legislature and governor often serve in sensitive positions
where they initiate, make or are asked to approve financial
decisions regarding the use of public funds?
SB 801 furthers the goals and purposes of the PRA by
ensuring that the Fair Political Practices Commission
receives either an original or copy of all Statements of
Economic Interests (SEIs) filed by governor or legislative
appointees to the entities named above. The FPPC would
provide greater strength for the PRA by disseminating SEIs
that it receives pursuant to this bill upon the request of
interested persons or groups and will be able to review
those filings at the Commission's discretion.
2)The Other Guys : As noted above, current law specifies the
manner in which SEIs are required to be filed by most public
officials. Generally, specified elected state, county, and
city officers, as well as members of certain state licensing
or regulatory boards, bureaus, or commissions are required to
file their SEIs with their respective agencies or their
county/city clerks, who are required to make and retain a copy
and forward the original to the FPPC, who acts as the filing
officer. Most other individuals who are required to file SEIs
must file the original SEIs with their agencies or with the
agencies' code reviewing bodies as provided by the agencies'
conflict of interest codes. This bill requires the original
or a copy of any SEI filed by a public officer who is
appointed to a position on a state board, commission or
similar multimember body to be sent to the FPPC.
3)Consolidated Information : Given that the appointed officers
affected by this bill are already required to complete and
file SEIs with their respective agencies, the only changes
this bill is making to current law is the requirement that
these agencies forward a copy of SEIs to the FPPC, and
deleting requirements that copies of SEIs from statewide
elected officials be sent to specified locations. According
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to the author, now that the FPPC is posting SEIs on its
website, the need to file copies in multiple locations is
diminished.
REGISTERED SUPPORT / OPPOSITION :
Support
Fair Political Practices Commission
Opposition
None on file.
Analysis Prepared by : Maria Garcia / E. & R. / (916) 319-2094