BILL ANALYSIS �
SB 1426
Page 1
Date of Hearing: August 8, 2012
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Felipe Fuentes, Chair
SB 1426 (Blakeslee) - As Amended: June 21, 2012
Policy Committee: ElectionsVote:4-0
Urgency: No State Mandated Local Program:
Yes Reimbursable: No
SUMMARY
This bill prohibits lobbyists from giving certain types of gifts
to elected state officers and their immediate family members.
Specifically, this bill:
1)Prohibits a lobbyist, lobbying firm, or lobbyist employer from
giving an elected state officer or a member of their immediate
family:
a) A theme park or amusement park ticket.
b) A professional sporting event ticket.
c) A racetrack ticket.
d) A spa treatment, or other beauty or cosmetic service.
e) A golf, skiing, hunting, or fishing trip, or other
recreational outing or vacation.
f) A gift card.
2)Prohibits a lobbyist employer from giving an elected state
officer, and prohibits a lobbyist, a lobbying firm, or a
lobbyist employer from giving a member of the officer's
immediate family, either of the following gifts:
a) A collegiate or other amateur sporting event ticket with
a face value exceeding $25.
b) A theater, concert, or other entertainment ticket with a
face value exceeding $25.
3)Prohibits an elected state officer from receiving any of the
gifts described above from the time the officer is elected
until he or she vacates office.
4)Provides the above gift prohibitions do not apply to a
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fundraising event for a charitable organization.
FISCAL EFFECT
The Fair Political Practices Commission (FPPC) will incur annual
General Fund costs of about $200,000 for the equivalent of 2.5
positions to respond to an increase in requests for both
informal and formal advice; create a fact sheet and revise the
manuals for lobbyists and state elected officials; respond to an
anticipated significant increase in complaints/investigations;
and adopt regulations that ensure continuity with the other gift
rules.
COMMENTS
1)Purpose. According to the author, "Despite rigid laws defining
what gifts can or cannot be given to an elected official as
well as well-defined gift limits, lobbyists, lobbyists firms,
and lobbyist employers continue to lavish extraordinary gifts
of influence on elected officials with the intent to finance
access to legislators that is not available to other members
of the public.
"California's elected officials are the targets of entertainment
gifts unrelated to service by individual businesses and
organizations with interests before the Legislature. In 2008,
members of the State Legislature reported receiving $12,708.23
worth of theme park tickets. In 2009, $4,297.08 was spent on
sporting event tickets. Rounds of golf, tickets to the race
track and concert passes all are handed to State Senators and
Assembly Members with the intent to gain access and favor.
These egregious gifts do not help elected officials legislate
more effectively and ultimately damage public opinion of
Sacramento leadership?.
"SB 1426 keeps elected officials accountable and interested
parties transparent as to the types of gifts that are being
given and received. SB 1426 stops lobbyists, lobbyist firms,
and lobbyist employers from taking advantage of gift-giving
loopholes used to unduly influence members and bans elected
officials from receiving entertainment gifts unrelated to
policy, by specifying exactly what gifts are not appropriate
to be exchanged."
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2)Current Gift Limits . Existing law establishes two different
types of gift limits, depending on the source of the gift.
Most gifts made to public officials are limited to $420 from
any single source in a single year-an amount adjusted every
other year for inflation. Conversely, the value of a gift to a
state candidate, elected state officer, legislative official,
and certain agency officials from a lobbyist or lobbying firm
cannot exceed $10 in a calendar month-an amount that is not
adjusted for inflation, and hence has not changed since first
enacted in 1974.
3)Impact of SB 1426 . This bill imposes new restrictions on gifts
from lobbyists, lobbying firms, and lobbyist employers to
elected state officials. By creating new restrictions
specifically on gifts from lobbyist employers, this bill will
significantly expand the number of entities subject to gift
rules other than the general $420 gift limit. While
approximately 2,100 people have registered as lobbyists during
the 2011-12 Legislative Session, and there are about 440
lobbying firms in the state, there are more than 3,300
lobbyist employers, thus the number of entities subject to a
gift rules other than the general $420 gift limit, when those
gifts are made to elected state officials, will more than
double.
4)Prior Legislation . AB 1412 (Torrico) of 2009, and AB 2368
(Blakeslee) of 2010, would have prohibited a lobbyist employer
from making gifts aggregating more than $10 in a calendar
month to a Legislator. AB 1412 died on the inactive file on
the Assembly Floor, and AB 2368 failed passage in this
committee.
AB 2795 (Blakeslee) of 2008, which would have prohibited a
lobbyist employer from making gifts to state candidates,
elected state officers, legislative officials, and certain
agency officials aggregating more than $10 in a calendar month
with certain exceptions, was held on this committee's Suspense
file.
Analysis Prepared by : Chuck Nicol / APPR. / (916) 319-2081