BILL ANALYSIS �
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|SENATE RULES COMMITTEE | SB 1553|
|Office of Senate Floor Analyses | |
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THIRD READING
Bill No: SB 1553
Author: Lowenthal (D)
Amended: 4/9/12
Vote: 27
SENATE ELECTIONS & CONSTIT. AMEND. COMM. : 5 -0, 4/19/12
AYES: Correa, La Malfa, De Le�n, Gaines, Lieu
SENATE APPROPRIATIONS COMMITTEE : Senate Rule 28.8
SUBJECT : Political Reform Act of 1974: campaign
statements:
electronic filing
SOURCE : City of Long Beach
DIGEST : This bill creates a pilot program for the 2013
through 2014 Political Reform Act campaign committee
reporting periods that authorizes the City of Long Beach to
permit any person who files a campaign statement with the
city clerk to file online or electronically, consistent
with specified requirements. In addition, it requires the
City of Long Beach, if it chooses to participate in the
pilot program, to prepare a report evaluating the program
under specified criteria, and further requires the
Legislative Analyst's Office to prepare a report evaluating
the program.
ANALYSIS : Existing law requires elected officers,
candidates for elective office, and campaign committees to
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file campaign statements reporting contributions and
expenditures for specified reporting periods. City elected
officers, candidates for city office, their controlled
committees and committees formed to support or oppose
candidates or local ballot measures to be voted upon in one
city are required to file campaign statements with the
clerk of the city.
Existing law requires all candidates and committees who are
required to file campaign reports in connection with a
state elective office or state ballot measure to file those
reports online or electronically with the Secretary of
State (SOS) if the cumulative amount of contributions
received, expenditures made, loans made, or loans received
is $25,000 or more.
This bill would create a pilot program for the 2013 through
2014 reporting periods that authorizes the City of Long
Beach to permit any person who files a campaign statement
with the city clerk to file online or electronically,
consistent with the following requirements:
The online or electronic filing system shall accept a
filing only in a standardized record format developed by
the SOS pursuant to existing law and that is compatible
with the SOS's system for receiving an online or
electronic filing.
The online or electronic filing system shall ensure the
integrity of the data transmitted and shall include
safeguards against efforts to tamper with, manipulate,
alter, or subvert the data.
The date of filing for a statement, report, or other
document that is filed online or electronically shall be
the day that it is received by the city clerk.
The city clerk shall make all the data filed available on
the Internet in an easily understood format that provides
the greatest public access free of charge and as soon as
possible after receipt. The data made available on the
Internet shall not contain the street name and building
number of the persons or entity representatives listed on
the electronically filed forms or any bank account number
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required to be disclosed by the filer.
The online or electronic filing system shall include a
procedure for filers to comply with the requirement that
they sign statements and reports under penalty of
perjury.
The city clerk shall enable filers to submit filings free
of charge.
The city clerk shall maintain, for a period of 10 years
commencing from the date filed, a secured, official
version of each online or electronic statement, report,
or other document filed pursuant to this section, which
shall serve as the official version of that record for
purpose of audits and any other legal purpose.
Any statement, report, or other document filed online or
electronically pursuant to this pilot program shall not
be required to be filed with the city clerk in paper
format.
This bill requires the City of Long Beach, if it chooses to
participate in the pilot program, to prepare a report
evaluating the program under specified criteria by July 1,
2015, and would also require the Legislative Analyst's
Office to prepare a report evaluating the program by
February 1, 2016. The report from the City of Long Beach
must include all of the following:
A listing and estimate of associated operational
efficiencies and related savings.
A listing and estimate of associated costs from
implementing and operating the pilot program.
A listing of safety, security, or privacy issues
encountered and an explanation of the manner in which
those issues were addressed.
Available information relating to feedback from
electronic filing participants.
Any other relevant information on the implementation of
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the pilot program.
Background
Similar Pilot Project for SEIs . Existing law provides for
a pilot project which permits Los Angeles, Merced, Orange,
Santa Clara, Stanislaus, and Ventura counties and the City
of Long Beach to permit the electronic filing of a
statement of economic interest (SEI) in accordance with
regulations adopted by the Fair Political Practices
Commission. The pilot project began on January 1, 2009 and
will end on December 31, 2012.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
SUPPORT : (Verified 5/7/12)
City of Long Beach
Fair Political Practices Commission
ARGUMENTS IN SUPPORT : According to the author's office,
the Political Reform Act (PRA) of 1974 requires elected
officers, candidates for elective office and campaign
committees to file campaign statements and report
contributions and expenditures for specified reporting
periods. Under this Act, city elected officers, candidates
for city office, their controlled committees; committees
formed or existing primarily to support or oppose
candidates or local measures are required to file campaign
statements with the clerk of the city. Currently this
process is strictly in paper format. Paper reports can be
confusing at times. Candidates may inadvertently miss a
particular field of information, or misinterpret the
information required. Further, paper reports must be
transported from the location at which they were prepared
to the City Clerk's Office. These steps have little to do
with meeting core goals of the PRA but are fraught with
opportunities for error and can be a factor in reporting
delays.
In contrast, electronically filing minimizes the
opportunities for error on the part of the candidate, as
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the software program provided by the City Clerk's Office
can prevent a form from being submitted by highlighting
fields of information that still need to be addressed
before the candidate is allowed to click "submit." This
ensures the form was filled out completely and can promote
local candidate compliance with requirements of state law.
The electronic filing of campaign statements will:
Securely and accurately, further enhance compliance,
accountability and understanding of the Political Reform
Act and City of Long Beach filing and disclosure
requirements.
Strengthen established business rules and process
workflows, with capacities for increased transparency,
report query capabilities, filer account management and
compliance monitoring.
Apply productivity savings towards other City Clerk
Department workload demands, i.e., municipal elections,
citywide records management, Public Records Act support,
Long Beach City Charter and Municipal Code administration
and support of the City's legislative process and
systems.
The City of Long Beach expects that this bill will lead to
benefits similarly achieved via its AB 1921 (Davis) of 2010
Statements of Economic Interest (SEI) Form 700 Electronic
Filing Pilot Project, a program that generated $42,000 in
productivity savings as well as significant operational
efficiencies for designated filers and department filing
officers.
With the use of modern and secure e-filing technology,
local governments can enhance compliance with the Political
Reform Act while simultaneously generating productivity
savings that would otherwise be consumed by paper-based and
wet signature processes.
The City of Long Beach believes that its experience with
electronic filing of SEI Form 700s demonstrates a highly
successful track record of launching innovative business
processes; and they believe that this experience warrants
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consideration for adoption of a pilot electronic filing
campaign finance reporting program that someday can be
authorized throughout the State of California.
DLW:nl 5/8/12 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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