BILL ANALYSIS �
AB 2105
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Date of Hearing: April 9, 2014
ASSEMBLY COMMITTEE ON APPROPRIATIONS
Mike Gatto, Chair
AB 2105 (Frazier) - As Amended: April 2, 2014
Policy Committee: Water, Parks and
Wildlife Vote: 13-0
Urgency: No State Mandated Local Program:
No Reimbursable:
SUMMARY
This bill allows a nonprofit organization designated by the
Department of Fish and Wildlife (DFW) to retain five percent
proceeds plus any applicable credit card fees from the sale of
big game mammal hunting tags auctioned or sold on behalf of DFW
for fundraising purposes. This bill also modifies the fees for
Nelson bighorn ram hunting tags. Specifically, this bill:
1)Authorizes a nonprofit organization designated by DFW to
assist in the sale of deer, elk, antelope, or bighorn sheep
fundraising tags on behalf of DFW to retain 5% of the amount
of the sale price of the tag, plus any applicable credit card
fees, as a reasonable vendor fee.
2)Requires that the fee for a tag to take a Nelson bighorn ram
tag shall be $400 for a resident of the state, adjusted
annually to reflect changes in the Implicit Price Deflator.
Requires the Fish and Game Commission (FGC) by July 1, 2015 to
fix the fee for a nonresident tag, by regulation, at not less
than $1,500, which would also be adjusted annually to reflect
changes in the Implicit Price Deflator.
3)Makes various legislative findings and declarations.
FISCAL EFFECT
1)Minor revenue decreases in the $30,000 (Big Game Management
Account) range for the nonprofit vendor fees. Revenue
generated from big-game license tags for fundraising averages
about $330,000 per year. The resulting revenue loss estimate
is based on the 5% sales price retention and 2.5% credit card
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transaction fee.
2)Minor revenue increases of less than $2,000 (Big Game
Management Account) initially from increases in the Nelson big
horn ram hunting tags increasing in subsequent years due to
annual price adjustments.
COMMENTS
1)Purpose. According to the author, the partnership between DFW
and nonprofit organizations is vital for the sale of
fundraising tags. Nonprofit organizations are able to reach
target communities to market the tag and sell it at a maximum
price. This bill allows nonprofits to be compensated.
California's Nelson bighorn ram tag for residents and
nonresidents is statutorily capped at $500. The Department
currently charges $383 for resident fees and $500 for
nonresident fees with an additional $7.50 administrative
surcharge for both. In 2013, only 20 tags were offered for
public draw and one was offered for fundraising purposes.
According to the author, the applications for Nelson bighorn
ram tags exceeded 13,000 last year, up from less than 5,000 15
years ago. Despite the demand increase, the fee has remained
the same.
2)Background. DFW sells tags, stamps and licenses for the
hunting of antelope, elk, deer, wild pigs, bear and Nelson
bighorn ram. Proceeds from the fees are deposited in the Big
Game Management Account for use by the department to benefit
the game species. With the exception of the Nelson bighorn
ram, bighorn sheep are fully protected and hunting is
prohibited.
DFW determines how many tags will be offered to the public
each year for public draw and fundraising purposes, but is
prevented from offering more than 15 % of Nelson bighorn tags
for fundraising.
Each fall, DFW requests proposals from interested conservation
organizations and finalizes agreements for these organizations
to sell the tags. Auction proceeds are expended on management
programs for big game species.
3)Auction fee is not based on the cost of the fundraiser. This
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bill allows a nonprofit organization to retain 5% of auction
proceeds regardless of the cost of holding the fundraiser.
The last known auction for the Nelson bighorn ram tag raised
$170,000. Under the provisions of this bill, the nonprofit
would retain $8,500 plus credit card charges, if any. This
same 5% would be available to a nonprofit that hosted a gala
dinner and a nonprofit that hosted an internet action.
Analysis Prepared by : Jennifer Galehouse / APPR. / (916)
319-2081