BILL ANALYSIS �
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THIRD READING
Bill No: SB 803
Author: DeSaulnier (D)
Amended: 1/10/12
Vote: 21
SENATE GOVERNANCE & FINANCE COMMITTEE : 7-2, 4/27/11
AYES: Wolk, DeSaulnier, Hancock, Hernandez, Kehoe, La
Malfa, Liu
NOES: Huff, Fuller
SENATE APPROPRIATIONS COMMITTEE : 6-2, 1/19/12
AYES: Kehoe, Alquist, Lieu, Pavley, Price, Steinberg
NOES: Walters, Emmerson
NO VOTE RECORDED: Runner
SUBJECT : California Youth Leadership Project
SOURCE : Author
DIGEST : This bill establishes the California Youth
Leadership Project under the California Department of
Education and creates a new scholarship program to support
youth who participate in civic engagement programs that
meet specified criteria. This bill also establishes the
California Youth Leadership Project Fund tax checkoff
program for up to five years to allow taxpayers to
designate contributions to the Fund on their income tax
returns to support the scholarship program.
ANALYSIS : Existing state law allows taxpayers to
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contribute money to one or more of 15 voluntary
contribution funds (VCFs) by checking a box on their state
income tax return. California law requires contributions
made through check-offs to be made 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 establishes the California Youth Leadership
Project under the California Department of Education (CDE)
for the purpose of supporting and promoting youth civic
engagement, and creates the California Youth Leadership
Project Committee, chaired by the Superintendent of Public
Instruction and composed of specified appointed members.
This bill authorizes the Committee to accept gifts and
grants from any source to help perform its functions. The
Committee determines, based on funding, when the activities
of the California Youth Leadership Project cease.
This bill also creates a new VCF, the California Youth
Leadership Fund, to receive contributions for the support
of the California Youth Leadership Project. This bill also
provides for the repeal of the Fund on January 1 of the
fifth taxable year following the first appearance of the
fund on the return or earlier if the Franchise Tax Board
(FTB) estimates that the annual contribution amount will
not be met.
The Fund will be added to the tax return when another VCF
is removed or as soon as space is available on the tax
return.
Comments
Tax check-off program . Currently, there are 15 "check-off"
programs on the personal income tax return which allow
taxpayers to donate their own funds for various purposes.
Generally, each tax check-off program has a specific sunset
date and an initial contribution limit of $250,000,
adjusted annually for inflation, with specified exceptions.
Donations to check-off programs are deductible as
charitable contributions on taxpayers' tax returns during
the subsequent tax year.
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Prior Legislation
This bill is similar to SB 516 (DeSaulnier), 2009-10
Session, which would have established the California Youth
Legislature supported by the California Youth Leadership
Fund created by AB 2017 (Hall), 2009-10 Session. However,
both bills were vetoed by the Governor.
In his veto message of SB 516 (DeSaulnier), Governor
Schwarzenegger stated: "This bill is similar to a measure
I vetoed in 2008 �AB 2252 (DeSaulnier)]. I still encourage
California youth to engage in the public policy issues that
directly impact their lives such as education, employment,
foster care, homelessness, and more. However, as most
parents and adults can attest, I would also argue that
youth do not need statutory authorization to have their
voices and opinions heard. There are numerous
organizations, entities and communications in which youth
can be engaged in our legislative process."
In his veto message of AB 2017 (Hall), 2009-10 Session, the
Governor stated, "This bill is contingent on the enactment
of Senate Bill 516, which I cannot support. I would ask
that the authors of these bills reconcile their efforts to
support greater youth involvement in public policy without
creating additional organizations when there are numerous
organizations and entities already dedicate to working with
youth from all backgrounds."
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
According to the Senate Appropriations Committee:
Fiscal Impact (in thousands)
Major Provisions 2012-13 2013-14 2014-15 Fund
CDE: program $50-75 $50-75
Special*
administration
Taxpayer donations ($250)
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($250) Special*
(revenue)
Tax revenue loss $16 $16
General
FTB administration minor annual administrative
costs, General
reimbursed from donations
Scholarship program future cost pressures of
$250-$300 after General
the repeal of the tax check-off
provisions
* California Youth Leadership Project Fund (established by
this bill)
SUPPORT : (Verified 1/19/12)
American Federation of State, County and Municipal
Employees
California Coalition for Youth
California Youth Empowerment Network
Los Angeles Unified School District
Mental Health Association in California
San Diego Youth Services
ARGUMENTS IN SUPPORT : The author states, "SB 803
establishes the California Youth Leadership Project to
support and promote youth civic engagement by awarding
scholarships to youth. These scholarships will support
opportunities through which disconnected and disadvantaged
youth can discuss and develop their legislative priorities
and advocate throughout the legislative session for the
passage of key policy changes to improve the quality of
life for California's youth."
AGB:mw 1/23/12 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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