BILL ANALYSIS                                                                                                                                                                                                    �



                                                                            



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                                 UNFINISHED BUSINESS


          Bill No:  SB 384
          Author:   Gaines (R) and DeSaulnier (D), et al.
          Amended:  8/4/14
          Vote:     27 - Urgency

           
          PRIOR VOTES NOT RELEVANT

           SENATE EDUCATION COMMITTEE  :  9-0, 6/5/13
          AYES:  Liu, Wyland, Block, Correa, Hancock, Hueso, Huff,  
            Monning, Torres

           SENATE APPROPRIATIONS COMMITTEE  :  7-0, 8/30/13
          AYES:  De Le�n, Walters, Gaines, Hill, Lara, Padilla, Steinberg

           SENATE FLOOR  :  37-0, 9/4/13
          AYES:  Anderson, Beall, Berryhill, Block, Calderon, Cannella,  
            Corbett, De Le�n, DeSaulnier, Emmerson, Evans, Fuller, Gaines,  
            Galgiani, Hancock, Hernandez, Hill, Hueso, Huff, Jackson,  
            Knight, Lara, Leno, Lieu, Liu, Monning, Nielsen, Pavley, Roth,  
            Steinberg, Torres, Vidak, Walters, Wolk, Wright, Wyland, Yee
          NO VOTE RECORDED:  Correa, Padilla, Vacancy

           ASSEMBLY FLOOR  :  77-0, 8/7/14 (Consent) - See last page for vote


           SUBJECT  :    California Memorial Scholarship Program

           SOURCE  :     Author


           DIGEST  :    This bill extends, until July 1, 2016, the deadline  
          for execution of agreements by those eligible to participate in  
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          the California Memorial Scholarship Program (CMSP).

           Assembly Amendments  1) change the deadline for execution of  
          agreements by those eligible to participate in the CMSP from  
          July 1, 2014 to July 1, 2016; 2) require the California Victim  
          Compensation and Government Claims Board (VCGCB) use various  
          methods to identify those persons, as specified; 3) require the  
          VCGCB after creating a new list of eligible persons for the  
          program notify these persons or, in the case of minors, the  
          parents or guardians of these persons, of their eligibility for  
          scholarships under the program, as specified; and 4) add a  
          coauthor. 

           ANALYSIS :    Existing provisions in the California Constitution  
          state that all persons who suffer losses as a result of criminal  
          activity shall have the right to restitution from the  
          perpetrators of these crimes.  Restitution shall be ordered in  
          every case unless compelling and extraordinary reasons exist to  
          the contrary.  The Legislature shall adopt provisions to  
          implement this section during the calendar year following  
          adoption of this section.

          Existing law:

          1.States legislative intent that a victim of crime who incurs  
            any economic loss as a result of the commission of a crime  
            shall receive restitution directly from any defendant  
            convicted of that crime.

          2.Directs the court to order a defendant to make restitution to  
            the victim or victims of the defendant's crime.  The court  
            shall order full restitution for the losses caused by the  
            defendant's crime unless the court finds and states compelling  
            and extraordinary reasons for not doing so. 

          3.Creates the Victims of Crime Program, administered by the  
            VCGCB, to reimburse victims of crime for the pecuniary losses  
            they suffer as a direct result of criminal acts.   
            Indemnification is made from the Restitution Fund, which is  
            continuously appropriated to the VCGCB for these purposes.  

          4.Creates the California Memorial Scholarship Program  
            administered by the Scholarshare Investment Board (SIB) to  
            provide scholarships for surviving dependents of California  

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            residents killed as a result of injuries sustained during the  
            Terrorist attacks of September 11, 2001. 

          5.Provides that the VCGCB will identify all persons who are  
            eligible for scholarships under the California Memorial  
            Scholarship Program by July 1, 2003. 

          6.Provides that persons eligible, or the parent or guardian of  
            an eligible person, shall inform the SIB of their decision on  
            whether to participate in the program and shall execute  
            agreements no later than July 1, 2005.

          This bill:

          1.Requires the VCGCB to conduct outreach, as specified, and to  
            identify and confirm those eligible to participate in the CMSP  
            due to their being a dependent of a California resident killed  
            in the September 11, 2001 terrorist attacks. 

          2.Requires the VCGCB to notify in writing, by July 1, 2015,  
            those identified as eligible for scholarships under the  
            program. 

          3.Requires the SIB to service the scholarships for program  
            participants. 

          4.Extends, from July 1, 2015 to July 1, 2026, the deadline by  
            which a program participant must use their scholarship funds. 

           Comments
           
          According to the author:

               Per the recent Auditor's report on the specialty license  
               plate program, there have been inexcusable errors in the  
               implementation of the Memorial Scholarship Program which  
               provides educational scholarships to eligible dependents of  
               victims of the 9/11 attacks.  In 2002 the Memorial License  
               Plate was created with the accompanying fund and  
               scholarship program, with specific instructions to the  
               Victim's Compensation Board to identify and notify  
               potential scholarship recipients of their eligibility and  
               invite them to participate in the program.  There was a  
               deadline set out for not only notification, but then a  

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               follow-up date for which the students or their  
               parents/guardians had to notify the Board of their  
               acceptance of the scholarship and participation in the  
               program.  

               The Victim's Compensation Board did not meet their  
               statutory deadline for notification- in fact they far  
               surpassed it, only leaving a quarter of the time allotted  
               for students to not only realize they were eligible, but  
               then decide to participate.  The Board also did not do the  
               outreach that was instructed to be done to inform  
               potentially eligible dependents.  

               It is because of this lack of adherence to statute that the  
               authors of this bill want to re-open the Memorial  
               Scholarship Program and give eligible students who may not  
               have had the time or notification the first time around,  
               the ability to participate in a scholarship that was put in  
               place specifically to assist them.  This bill will give a  
               new window of time for the Victim's Compensation Board to  
               identify, outreach, and sign up eligible participants for  
               this scholarship program utilizing revenues still being  
               received from the specialty memorial license plates. 

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  Yes    
          Local:  No

          According to the Assembly Appropriations Committee:

               Special fund costs for the scholarships, which are up to  
               $5,000 per recipient, depends on the number of  
               participants, but given the limited pool of eligible  
               persons, will likely not exceed $50,000 in any fiscal year.

               Administrative costs to the VCGCB and the SIB will be minor  
               and absorbable. 

           ASSEMBLY FLOOR  :  77-0, 8/7/14
          AYES: Achadjian, Alejo, Allen, Ammiano, Bigelow, Bloom,  
            Bocanegra, Bonta, Bradford, Brown, Buchanan, Ian Calderon,  
            Campos, Chau, Ch�vez, Chesbro, Conway, Cooley, Dababneh,  
            Dahle, Daly, Dickinson, Donnelly, Eggman, Fong, Frazier, Beth  
            Gaines, Garcia, Gatto, Gomez, Gonzalez, Gordon, Gorell, Gray,  
            Grove, Hagman, Hall, Harkey, Roger Hern�ndez, Holden, Jones,  

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            Jones-Sawyer, Levine, Linder, Logue, Lowenthal, Maienschein,  
            Mansoor, Medina, Melendez, Mullin, Muratsuchi, Nazarian,  
            Nestande, Olsen, Pan, Patterson, Perea, John A. P�rez, V.  
            Manuel P�rez, Quirk, Quirk-Silva, Rendon, Ridley-Thomas,  
            Rodriguez, Salas, Skinner, Stone, Ting, Wagner, Waldron,  
            Weber, Wieckowski, Wilk, Williams, Yamada, Atkins
          NO VOTE RECORDED: Bonilla, Fox, Vacancy


          PQ:nl  8/8/14   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  NONE RECEIVED

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