BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 1625
                                                                  Page  1

          Date of Hearing:   March 25, 2014


           ASSEMBLY COMMITTEE ON ARTS, ENTERTAINMENT, SPORTS, TOURISM, AND  
                                   INTERNET MEDIA
                               Ian C. Calderon, Chair

                AB 1625 (Nazarian) - As Introduced:  February 10, 2014
           
          SUBJECT  :   California Arts Council Contribution and Donations  
          Fund

           SUMMARY  :   This bill establishes the Arts Council Contribution  
          and Donations Fund to receive money directed to the California  
          Arts Council (CAC), and allows for continuous appropriation to  
          the CAC from the fund, as specified.  Specifically,  this bill  :  

          1)Creates the California Arts Council Contribution and Donations  
            Fund in the State Treasury to receive funds, as specified. 

          2)Declares that the moneys in the fund are continuously  
            appropriated, without regard to fiscal years, to the CAC for  
            the purposes of this chapter.

          3)States any moneys in the Art Council Donations Account in the  
            Special Deposit Fund shall be transferred to the California  
            Arts Council Contribution and Donations Fund.

           EXISTING LAW  : 

          1)Establishes the CAC to consist of 11 appointed members and  
            sets forth the duties of the council, including authorization  
            to receive moneys for the purpose of promoting arts in the  
            state.  Existing law does not establish a specific fund into  
            which these moneys are to be deposited.  

          2)Establishes the Special Deposit Fund in the State Treasury,  
            consisting of moneys paid in trust to fulfill the purposes for  
            which payments are made.  The Art Council Donations Account is  
            currently housed within this Special Deposit Fund.  

           FISCAL EFFECT  :   Unknown

           COMMENTS  :   









                                                                  AB 1625
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           Author's statement  :  According to the author, "Governor Edmund  
          G. Brown created the CAC almost 40 years ago to encourage public  
          participation in the arts; help build strong arts organizations  
          to assist with the professional development of arts leaders;  
          promote awareness of the value of the arts and directly fund art  
          programs in California's communities. 

          "In May 2013, the CAC was given a two year extension on its  
          Special Deposit Fund account, with instructions from the State  
          Controller's Office and the Department of Finance for the CAC to  
          establish a new Continuous Special Revenue Fund in statute.   
          Consequently, AB 1625 was introduced to establish a continuous  
          Special Revenue Fund, titled the Arts Council Contributions and  
          Donations Fund, to replace the Special Deposit Fund.  This  
          change will create a continuous Special Revenue Fund and allow  
          the CAC program expenditures to be accounted for in the state  
          budget and provide a more effective administration of private  
          and public donations."

           Background: The Art Council Donations Account Within the Special  
          Deposit Fund  :  According to information provided by the author,  
          "Under the Arts Council statutory authority, the CAC is able to  
          receive gifts and donations.  Pursuant to the State  
          Administrative Manual, in order to receive donations the CAC  
          must first request and DOF must approve a Special Deposit Fund  
          account where these donations can be stored.  

          "A Special Deposit Fund is a trust fund in the State Treasury  
          and provides a depository for money received for a specific  
          liability and is considered a temporary fund.  The CAC currently  
          has an active Special Deposit Fund titled California Arts  
          Council Donations that must be renewed every two years."

           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          California Alliance for Arts Education

           Opposition 
           
          None on file

           
          Analysis Prepared by  :    Dana Mitchell / A.,E.,S.,T. & I.M. /  








                                                                  AB 1625
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          (916) 319-3450