BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  SB 722
                                                                  Page  1

          Date of Hearing:   April 29, 2014

                       ASSEMBLY COMMITTEE ON VETERANS AFFAIRS
                              Sharon Quirk-Silva, Chair
                    SB 722 (Correa) - As Amended:  April 22, 2014
           
          SENATE VOTE:  33-0  

          SUBJECT  :   California Mexican American Veterans' Memorial  
          Beautification and Enhancement Fund: extension of operation.

           SUMMARY  :   Extends the sunset date for the California Mexican  
          American Veterans' Memorial Beautification and Enhancement  
          Account, as specified.   Specifically,  this bill  :  

          1)Changes the sunset date for reversion to the General Fund of  
            any moneys remaining in the California Mexican American  
            Veterans' Memorial Beautification and Enhancement Account from  
            July 1, 2014 to July 1, 2016

          2)Contains an urgency clause.

          3)Specifies that in order to prevent the expiration of funding  
            needed for the beautification and enhancement of the  
            California Mexican American Veterans' Memorial, it is  
            necessary for this act to take effect immediately.

           EXISTING LAW  : 

          1)Establishes the California Mexican American Veterans' Memorial  
            Beautification and Enhancement Committee (Committee) under the  
            jurisdiction of the Department of Veterans Affairs (CALVET),  
            to oversee enhancement of an existing memorial on state  
            grounds, and provides for its composition (seven members) and  
            duties.

          2)Authorizes the Committee to, among other things, establish a  
            schedule for the design, construction, and dedication of the  
            memorial, solicit designs and devise a process for selection  
            of the final design, monitor construction, and consult with  
            and obtain final design and site orientation approval from the  
            Department of General Services and the CALVET Secretary.

          3)Requires the Committee to notify the Governor and the CALVET  
            Secretary when the beautification and enhancement of the  








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            memorial is complete.

          4)Provides that any monies remaining in the California Mexican  
            American Veterans' Memorial Beautification and Enhancement  
            Account will revert to the General Fund on July 1, 2014.

           FISCAL EFFECT  :   Unknown at this time.  However, according to  
          the Senate Appropriations Committee, "Potentially minor foregone  
          revenue to the General Fund."

           


          COMMENTS  :   

          Shortly after the World War II armistice, a group of  
          Mexican-American women, also known as the "Madres," banded  
          together to create a memorial that would honor their husbands  
          and sons who had died in the military service of the United  
          States during the War.

          Beginning in 1948, the Madres launched a fundraising drive to  
          finance the memorial. Their efforts included vending homemade  
          tamales and conducting raffle sales at their local church  
          parishes and other venues.

          Dedicated in May 1951, the memorial consisted of a statue of a  
          solitary infantryman. Known as "El Soldado," the statue stood on  
          the grounds of the Mexican American Center in Sacramento.

          Weathered and worn over time, El Soldado remained at this site  
          for decades until the location was rezoned by local government.  
          The statue was donated to the State of California with the  
          expectation that it would become an official and permanent state  
          memorial. In 1975 El Soldado was moved to its present location  
          across the street from the Main (West) entrance to the State  
          Capitol.

          Beginning with AB 1350 (Polanco) in1993, several legislative  
          measures addressed the modest statue memorial. AB 1350  
          authorized expansion and enhancement of El Soldado. The measure  
          also established the 11-member California Mexican American  
          Veterans' Memorial Beautification and Enhancement Commission as  
          a non-governmental committee of citizens authorized to establish  
          a schedule for its design, construction, and dedication; to  








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          solicit designs and devise a process for selection of the final  
          design; and to monitor construction.

          In addition, AB 1350 provided that funds for the enhancement  
          would come from individuals voluntarily designating an amount on  
          their state personal income tax returns (in excess of their tax  
          liability) to the California Mexican American Veterans' Memorial  
          Beautification and Enhancement Account, also created by the  
          legislation.

          This AB 1350 Commission had no significant activity for years,  
          including public meetings, fundraising or memorial enhancements.

          By the mid-2000s, community leaders, including members of the  
          existing Commission, were working to enact legislation that  
          would jumpstart the effort to enhance the El Soldado memorial.  
          Authored by Senator Gloria Negrete McLeod (D-Chino), AB 599 was  
          sponsored by the American G.I. Forum and the Mexican-American  
          Veterans Memorial, Inc. The bill received no formal opposition  
          and passed through both houses of the Legislature on consent.

          SB 599 repealed the 11-member California Mexican American  
          Veterans' Memorial Beautification and Enhancement Commission and  
          created a new seven-member committee under the jurisdiction of  
          the Department of Veterans Affairs.

          The new Committee is made up of five gubernatorial appointees  
          and one appointee each of the Senate President Pro Tempore and  
          the Assembly Speaker. The Committee is authorized to establish a  
          schedule for the design, construction and dedication of the  
          enhanced memorial; to solicit and select designs that may be  
          used to beautify the existing memorial; and to solicit and  
          receive contributions that will be used to off-set the costs of  
          the enhancements and beautification project. None of the members  
          receive compensation.

          In recent years the Memorial Committee had difficulty proceeding  
          on the project because there were not enough members to achieve  
          a voting quorum. At the start of calendar year 2013, Governor  
          Brown filled out the Committee by appointment and it began  
          making progress.

          The greatest challenge throughout the various life phases of the  
          Memorial project has been fundraising. Only private donations  
          can be used to support this state memorial.








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          Via SB 599, the Military and Veteran Code Section 1340  
          authorizes creation of the California Mexican American Veterans'  
          Memorial Beautification and Enhancement Account within the  
          General Fund. It specifies that all funds received by the  
          Department of Veterans Affairs shall be deposited in the account  
          for the design and construction of the California Mexican  
          American Veterans' Memorial as specified in Section 1341.

          Section 1341 provides for continuous appropriation of all funds  
          for the project, but also states that, on July 1, 2014, any  
          moneys remaining in the California Mexican American Veterans'  
          Memorial Beautification and Enhancement Account shall revert to  
          the General Fund.

          In February 2013 the Senate Veterans Affairs Committee held an  
          informational hearing on the status of the Memorial project. The  
          Memorial Committee and CALVET say they now are pursuing a plan  
          that would fund and construct the enhancements in three stages  
          at the following levels, respectively:  $300,000, $500,000, and  
          $800,000. According to their input, each stage would look like a  
          completed memorial, but each new stage would add significant  
          enhancements to the prior stage's design or landscaping. 

          During the informational hearing, the likely need to extend the  
          funds reversion deadline was discussed. At that hearing,  
          Senators Correa, Knight and senators in attendance agreed to  
          author  the extension. 

           Related Legislation
           
          SB 599 (Negrete McLeod, Ch. 588, Stats. 2007) Repealed the  
          original 11-member California Mexican American Veterans'  
          Memorial Beautification and Enhancement Commission and created a  
          new seven-member committee under the jurisdiction of the  
          Department of Veterans Affairs. Also repealed the defunct  
          associated tax check-off.

          SB 1064 (Perata, Ch. 989, Stat 1999) Amended the minimum  
          contribution section to specify that the California Mexican  
          American Veterans Memorial Beautification and Enhancement  
          Account would not be subject to the $250,000 minimum  
          contribution until 2001.

          AB 2366  (Cedillo, Ch. 818, Stats.1998) Provided that the  








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          California Mexican American Veterans Memorial Beautification and  
          Enhancement Account could be placed on the state income tax  
          return for voluntary contributions when the department upon  
          notification from the Veterans Memorial Commission that  
          construction of the Veterans Memorial had commenced. 

          AB 1350 (Polanco, Ch. 1221, Stats. 1993) Established the Mexican  
          American Veterans Memorial Beautification and Enhancement  
          Account. This fund could not be placed on the state income tax  
          return for voluntary contribution until the Veteran's Memorial  
          Fund came off the return, and the department was notified by the  
          Veterans Memorial Commission prior to September 1 of any taxable  
          year that the Veteran's Memorial had been completed.

           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          California State Treasurer's Office
          American Legion Department of California
          AMVETS Department of California
          California Association of County Veteran Service Officers
          Military Officers Association of America California Council of  
          Chapters 
          California State Commanders Veterans Council
          Veterans of Foreign Wars, Department of California
          Vietnam Veterans of America, California State Council
          Veterans Caucus of the California Democratic Party

           Opposition 
           
          None.
           
          Analysis Prepared by  :    John Spangler / V. A. / (916) 319-3550