BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 1921
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          ASSEMBLY THIRD READING
          AB 1921 (Holden and Rendon)
          As Amended  April 28, 2014
          Majority vote 

           ADMINISTRATIVE REVIEW      8-2  APPROPRIATIONS      12-3        
           
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          |Ayes:|Frazier, Buchanan, Ian    |Ayes:|Gatto, Bocanegra,         |
          |     |Calderon, Cooley, Gorell, |     |Bradford,                 |
          |     |Lowenthal, Medina, Salas  |     |Ian Calderon, Campos,     |
          |     |                          |     |Eggman, Gomez, Holden,    |
          |     |                          |     |Pan, Quirk,               |
          |     |                          |     |Ridley-Thomas, Weber      |
          |     |                          |     |                          |
          |-----+--------------------------+-----+--------------------------|
          |Nays:|Hagman, Wagner            |Nays:|Donnelly, Jones, Wagner   |
          |     |                          |     |                          |
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           SUMMARY  :  Requires a contractor who has a service contract with  
          a state agency in excess of $25,000 to agree that the state  
          agency is entitled to receive a copy of records and files  
          related to the performance of the contract. Specifically,  this  
          bill  :  

          1)States that such records related to the performance of the  
            service contract may be disclosed by the state agency under  
            the requirements and exceptions of the California Public  
            Records Act (CPRA). 

          2)Requires those seeking these records under the CPRA to request  
            them directly from the state agency and not from the service  
            contractor. 

           EXISTING LAW  establishes the CPRA, which generally requires the  
          disclosure of state government records, but provides specific  
          exemptions from disclosure. 

           FISCAL EFFECT  :  According to the Assembly Appropriations  
          Committee, standard language in state service contracts requires  
          contractors to agree to allow the state to review and copy any  
          records related to the performance of the contract, thus this  
          information is already to be made available to state agencies  
          upon request.  By making this information subject to disclosure  








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          by state agencies, under the CPRA, this bill could result in  
          additional CPRA requests to be processed by departments  
          throughout state government.  Given the large number of personal  
          services contracts, these costs could be significant statewide,  
          but would mostly be absorbable within individual department  
          budgets.

           COMMENTS  :  This bill would require a contractor who has a  
          service contract with the state in excess of $25,000 to agree  
          that the state agency is entitled to receive a copy of records  
          and files related to the performance of the service contract.   
          According to the sponsor, the American Federation of State,  
          County and Municipal Employees, this bill would provide  
          transparency in the handling of taxpayer funds.

          The state currently has standard language in its service  
          contracts that requires contractors to agree to allow the state  
          to review and copy any records related to the performance of the  
          contract.  According to the author, this bill acts to codify  
          these access requirements in the Government Code section related  
          to service contracts.     

          This bill also specifies that records related to the performance  
          of the contract are subject to the CPRA, and may be subject to  
          public disclosure depending on the requirements and exceptions  
          stated in the CPRA.  The CPRA lists several exceptions to what  
          documents must be publicly disclosed.  Specifically, in  
          accordance to exceptions in Chapter 3.5, Inspection of Public  
          Records, of the Government Code, some personal, financial, and  
          trade secret information is protected from disclosure.      
           
          As this bill specifies what records would be subject to the  
          CPRA, it also denotes the process for requesting records under  
          the CPRA.  It requires that requests under CPRA must be  
          submitted directly to the agency and not its contractor.  This  
          requirement will ensure that contractors are not burdened by  
          requests for which they may not be qualified to respond.

          The impact of this bill is unclear since it generally mirrors  
          the state's current processes.  However, it could serve to  
          increase agencies' oversight of contractors and increase public  
          access to information related to the performance of these  
          contracts.       









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           Analysis Prepared by  :    Scott Herbstman / A. & A.R. / (916)  
          319-3600 


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