BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  SB 1001
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          SENATE THIRD READING
          SB 1001 (Yee)
          As Amended  June 21, 2012
          2/3 vote 

           SENATE VOTE  :28-9  
           
           ELECTIONS           4-1         APPROPRIATIONS      12-5        
           
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          |Ayes:|Fong, Bonilla, Gatto,     |Ayes:|Fuentes, Blumenfield,     |
          |     |Swanson                   |     |Bradford, Charles         |
          |     |                          |     |Calderon, Campos, Davis,  |
          |     |                          |     |Gatto, Hall, Hill, Lara,  |
          |     |                          |     |Mitchell, Solorio         |
          |     |                          |     |                          |
          |-----+--------------------------+-----+--------------------------|
          |Nays:|Logue                     |Nays:|Harkey, Donnelly,         |
          |     |                          |     |Nielsen, Norby, Wagner    |
          |     |                          |     |                          |
           ----------------------------------------------------------------- 
           SUMMARY  :  Imposes fees on specified committees that are required 
          to file disclosure reports pursuant to the Political Reform Act 
          (PRA), increases fees on lobbying firms and lobbyist employers, 
          and requires the new fee revenue to be used for the online and 
          electronic disclosure of reports filed pursuant to the PRA.  
          Specifically,  this bill  :   

          1)Requires each committee that qualifies as a committee by 
            virtue of having received contributions totaling $1,000 or 
            more in a calendar year (known as a recipient committee) to 
            pay a fee of $50 per year to the Secretary of State (SOS), as 
            specified.  Imposes a penalty of $150 on any committee that 
            fails to timely pay this fee.

          2)Increases the fee required to be paid by each lobbying firm 
            and lobbyist employer from a maximum amount of $25 per year, 
            to a set amount of $50 per year, for each lobbyist required to 
            be listed on the registration statement of the firm or 
            employer.

          3)Creates the Political Disclosure, Accountability, 
            Transparency, and Access Fund (PDATA Fund) in the State 
            Treasury.  Requires the fees collected from recipient 








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            committees and one-half of the fees collected from lobbying 
            firms and lobbyist employers pursuant to this bill to be 
            deposited into the PDATA Fund.  Requires the other half of the 
            fees collected from lobbying firms and lobbyist employers to 
            be deposited in the General Fund.

          4)Provides that moneys deposited in the PDATA Fund are subject 
            to appropriation by the Legislature for the maintenance, 
            repair, and improvement of the online or electronic disclosure 
            program implemented by the SOS pursuant to existing law.  
            Permits the SOS to use moneys deposited in the PDATA Fund for 
            the purposes of implementing this bill.

          5)Provides that any expenditure from the PDATA Fund for the 
            maintenance, repair, and improvement of the online or 
            electronic disclosure program implemented by the SOS is 
            subject to the project approval and oversight process 
            established by the California Technology Agency pursuant to 
            existing law.



           FISCAL EFFECT  :  According to the Assembly Appropriations 
          Committee:

          1)Average annual revenue of $440,000 to the PDATA Fund:  
            $390,000 from the new fee on recipient committees and $50,000 
            from the increase in lobbyist registration fees.

          2)The SOS will incur annual costs of about $80,000 for one 
            position associated with collection of the fee and monitoring 
            of revenues in the account.  The bill earmarks revenues in the 
            new fund to maintenance, repair, and improvement of the 
            Cal-Access system.  The SOS estimates annual maintenance costs 
            for the system at about $60,000.  The remaining annual revenue 
            ($300,000) may accrue into the fund for up to several years, 
            as improvements to the system, or a new system, could cost in 
            excess of a million dollars.

          3)Any costs to the Fair Political Practices Commission for 
            enforcement will be minor and absorbable.

           COMMENTS  :  According to the author, "Existing law?requires the 
          �SOS]?to provide online and electronic filing processes for use 








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          by specified political committees, lobbyists, lobbying firms, 
          and lobbyist employers.  Those processes must enable a user to 
          comply with all relevant disclosure requirements.  The SOS must 
          also make all the data filed available on the Internet for 
          public viewing in an easily understood format.  This online 
          reporting and disclosure system is commonly referred to as the 
          Cal-Access system.  Cal-Access has had a slew of technical 
          issues recently that have resulted in a lack of access to this 
          information by the public.  This information is essential to 
          ensuring transparency and accountability in affairs that 
          directly impact the people of this state.  While the SOS has the 
          funding to maintain the existing hardware and software, because 
          of the nature of the antiquated and uncommon technology used, 
          finding parts and qualified people to do the maintenance on such 
          outdated equipment has been increasingly difficult.  This bill 
          seeks to raise additional funds to be used on the maintenance, 
          repair, and improvement of the state's online reporting and 
          disclosure system website to ensure that this information is 
          continuously available as it was intended to be."

          Created in 1999, Cal-Access is a database and filing system the 
          SOS has used to make much of the lobbying and campaign finance 
          information available online at no cost to users.  In November 
          2011, the Cal-Access system went down, and the system was 
          unavailable for most of the month of December.  

          Please see the policy committee analysis for a full discussion 
          of this bill.


           Analysis Prepared by  :    Ethan Jones / E. & R. / (916) 319-2094 


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