BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  AB 2320
                                                                  Page  1

          Date of Hearing:   April 9, 2014

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                  Mike Gatto, Chair

                 AB 2320 (Fong) - As Introduced:  February 21, 2014 

          Policy Committee:                              ElectionsVote:7-0  
          (Consent)

          Urgency:     No                   State Mandated Local Program:  
          Yes    Reimbursable:              No

           SUMMARY  

          This bill amends the Political Reform Act (PRA) to expand an  
          existing provision, which prohibits a spouse or domestic partner  
          of an elected officer or a candidate from receiving compensation  
          from campaign funds in exchange for services rendered in  
          connection with fundraising to benefit the elected officer of  
          candidate, to simply prohibit any compensation to the spouse or  
          domestic partner from campaign funds for any services rendered.

           FISCAL EFFECT  

          Minor absorbable costs to the Fair Political Practices  
          Commission (FPPC), which administers and enforces the PRA.

           COMMENTS  

           1)Background  . Candidates and officeholders often find themselves  
            the subject of scrutiny and controversy for paying a spouse or  
            other family member for professional services rendered to, and  
            paid by, their campaign committees. SB 739  
            (Strickland)/Statutes of 2009 prohibits a spouse or domestic  
            partner of an elected officer or a candidate for elective  
            office from receiving compensation from campaign funds held by  
            a controlled committee of the elected officer or candidate for  
            services rendered in connection with fundraising for the  
            benefit of the officeholder or candidate.

           2)Purpose  . According to the author, "Despite [the above]  
            restrictions, ethnical concerns may continue to arise, because  
            existing law allows a candidate or officeholder to pay a  
            spouse for services other than fundraising services that are  








                                                                  AB 2320
                                                                  Page  2

            rendered to, and paid by, the campaign.  Under such  
            circumstances, a candidate or officeholder can personally  
            benefit financially from contributions received by his or her  
            campaign.

            "AB 2320 improves transparency and strengthens campaign  
            integrity by prohibiting a candidate or officeholder from  
            paying his or her spouse or domestic partner from campaign  
            funds for providing services to the campaign."

           Analysis Prepared by  :    Chuck Nicol / APPR. / (916) 319-2081