BILL ANALYSIS                                                                                                                                                                                                    �



                                                                            



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          |SENATE RULES COMMITTEE            |                        SB 844|
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                                 UNFINISHED BUSINESS


          Bill No:  SB 844
          Author:   Pavley (D), et al.
          Amended:  8/21/14
          Vote:     21

           
           SENATE ELECTIONS & CONST. AMEND. COMM.  :  5-0, 3/18/14
          AYES:  Torres, Anderson, Hancock, Padilla, Yee

           SENATE APPROPRIATIONS COMMITTEE :  6-1, 5/23/14
          AYES:  De Le�n, Walters, Hill, Lara, Padilla, Steinberg
          NOES:  Gaines

           SENATE FLOOR  :  35-0, 5/28/14
          AYES:  Anderson, Beall, Berryhill, Block, Cannella, Corbett,  
            Correa, De Le�n, DeSaulnier, Evans, Fuller, Gaines, Galgiani,  
            Hernandez, Hill, Hueso, Huff, Jackson, Knight, Lara, Leno,  
            Lieu, Mitchell, Monning, Morrell, Nielsen, Padilla, Pavley,  
            Roth, Steinberg, Torres, Vidak, Walters, Wolk, Wyland
          NO VOTE RECORDED:  Calderon, Hancock, Liu, Wright, Yee

           ASSEMBLY FLOOR  :  78-1, 8/25/14 - See last page for vote


           SUBJECT  :    Ballot measure contributions

           SOURCE  :     Author


           DIGEST  :    This bill requires the Secretary of State (SOS) to  
          create an Internet Web site, or use other available technology,  
          to consolidate information about each state ballot measure in a  
          manner that is easy for voters to access and understand, as  
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          specified.

           Assembly Amendments  update the information required to be  
          contained in an online ballot pamphlet; require the Internet Web  
          site include information about contribution made in support and  
          opposition to a ballot measure, as specified; add  
          double-jointing language with SB 1253 (Steinberg), and SB 1442  
          (Lara); and make other conforming and technical changes.

           ANALYSIS  :    

          Existing law:

           1. Provides, pursuant to the Political Reform Act (PRA), for  
             the comprehensive regulation of campaign financing, including  
             requiring the reporting of campaign contributions and  
             expenditures, as defined, and imposing other reporting and  
             recordkeeping requirements on campaign committees, as  
             defined.

           2. Requires each campaign committee formed or existing  
             primarily to support or oppose a statewide ballot measure to  
             file with the SOS periodic reports identifying the sources  
             and amounts of contributions received during specified  
             periods. 

           3. Specifies what information must be included in the statewide  
             ballot pamphlet, including, but not limited to:

                   A complete copy of each measure.

                   A copy of the arguments and rebuttals for and against  
                each state measure.

                   A copy of the analysis of each state measure by the  
                Legislative Analyst.

                   Tables of contents, indexes, art work, graphics, and  
                other materials that the SOS determines will make the  
                ballot pamphlet easier to understand or more useful for  
                the average voter.

          This bill:


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          1.Requires the online version of the state ballot pamphlet to  
            contain all of the following: 

             A.   For each candidate listed in the pamphlet, a means to  
               access campaign contribution disclosure reports for the  
               candidate that are available online; and 

             B.   For each state ballot measure listed in the pamphlet, a  
               means to access the consolidated information, described  
               below. 

          1.Requires the SOS to create an Internet Web site, or use other  
            available technology, to consolidate information about each  
            ballot measure in a manner that is easy for voters to access  
            and understand.  Requires the information to include all of  
            the following: 

             A.   A summary of the ballot measure's content. 

             B.   The total amount of reported contributions made in  
               support of and opposition to a ballot measure calculated  
               and updated as specified. 

             C.   A current list of the top 10 contributors supporting and  
               opposing a ballot measure, if compiled by the Fair  
               Political Practices Commission (FPPC) pursuant to existing  
               law. 

             D.   A list of each committee primarily formed to support or  
               oppose the ballot measure, as described by existing law,  
               and a means to access information about the sources of  
               funding reported for each committee. 

          1.Requires information about the sources of contributions to be  
            updated as new information becomes available to the public  
            pursuant the PRA. 

          2.Requires the SOS, if a committee primarily formed to support  
            or oppose a ballot measure receives $1 million or more in  
            contributions for an election, to provide a means to access  
            online information about the committee's top 10 contributors  
            reported to the FPPC as required by existing law. 

          3.Requires the FPPC to automatically provide any list of the top  

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            10 contributors created pursuant to existing law, and any  
            subsequent updates to that list, to the SOS. 

          4.Requires the ballot pamphlet, for each state measure to be  
            voted upon, to contain, immediately below the analysis  
            prepared by the Legislative Analyst's Office, a printed  
            statement that refers voters to the SOS's Internet Web site  
            for a list of committees primarily formed to support or oppose  
            a ballot measure, and information on how to access the  
            committee's top 10 contributors. 

          5.Contains double-jointing language to avoid chaptering problems  
            with SB 1253 (Steinberg) of the current legislative session. 

          6.Contains contingent enactment language to avoid implementation  
            problems with SB 1442 (Lara) of the current legislative  
            session.

           Background
           
           Contributor lists in the ballot pamphlet  .  Numerous prior bills  
          have attempted to add campaign contribution information to the  
          state ballot pamphlet.  Most recently, SB 334 (DeSaulnier,  
          2011), which was vetoed by Governor Brown, would have required  
          the state ballot pamphlet to contain a list of the five highest  
          contributors of $50,000 or more to each primarily formed  
          committee supporting or opposing each state measure appearing on  
          the ballot.  

          It should be noted however that this bill does not require the  
          ballot pamphlet itself to contain the contributor information.   
          Rather, it requires the statewide ballot pamphlet to include a  
          printed statement that refers voters to the SOS's Internet Web  
          site for the required lists of contributors.

           Primarily formed committee  .  The PRA defines a "primarily formed  
          committee" as a recipient committee which is formed or exists  
          primarily to support or oppose any of the following: 

           A single candidate. 

           A single measure. 

           A group of specific candidates being voted upon in the same  

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            city, county, or multicounty election. 

           Two or more measures being voted upon in the same city,  
            county, multicounty, or state election.

           Sponsored committee  .  The PRA defines "sponsored committee" as a  
          committee, other than a candidate controlled committee, which  
          has one or more sponsors.  Any person (organizations,  
          associations, business entities, etc.), except a candidate or  
          other individual, may sponsor a committee.  A person sponsors a  
          committee if any of the following apply: 

           The committee receives 80% or more of its contributions from  
            the person or its members, officers, employees, or  
            shareholders. 

           The person collects contributions for the committee by use of  
            payroll deductions or dues from its members, officers, or  
            employees. 

           The person, alone or in combination with other organizations,  
            provides all or nearly all of the administrative services for  
            the committee. 

           The person, alone or in combination with other organizations,  
            sets the policies for soliciting contributions or making  
            expenditures of committee funds.

           Related legislation  .  This bill is similar to provisions  
          contained in SB 27 (Correa, Chapter 16, Statutes of 2104) which  
          requires all primarily formed committees that raise $1 million  
          or more to maintain an accurate list of their top 10  
          contributors and requires those lists to be disclosed on the  
          FPPC's Web site.  SB 27 also requires committees to use  
          reasonable efforts to identify the individuals or corporations  
          that are the true source of contributions made to the committee  
          when listing the top contributors.

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

          According to the Assembly Appropriations Committee, ongoing  
          General Fund (GF) costs of $130,000 to the SOS for one full-time  
          and one part-time position to regularly compile reported  

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          contributions and top 10 contributors for each ballot measure,  
          plus one-time GF costs of $50,000 to develop regulations if  
          required.

           SUPPORT  :   (Verified  8/25/14)

          California Clean Money Campaign
          California Common Cause
          California Forward Action Fund
          California Voter Foundation
          League of Woman Voters of California 
          MapLight
          SEIU California

           ARGUMENTS IN SUPPORT  :    According to the author:

            Surveys conducted by the Public Policy Institute of California  
            have consistently found that more than 80 percent of likely  
            voters support requiring funding disclosure of donations  
            towards ballot initiatives.  According to MapLight, a  
            nonprofit elections research organization, in order to find  
            out campaign finance information for Proposition 30 (2012), it  
            took 460 mouse clicks to compile a complete list of  
            contributors for and against the ballot initiative. 

            The average voter does not have the time, nor the expertise to  
            parse through each individual committee to figure out who the  
            top cumulative contributors are for or against each  
            proposition.  Without easy-to-access and easy-to-use tools  
            that can identify the top contributors to campaigns for and  
            against ballot initiatives, voters will have a more difficult  
            time making an informed decision about state policy?  SB 844  
            would provide voters with the identities of large financial  
            contributors who pump millions of dollars into campaigns to  
            pass or defeat state ballot initiatives.  This information is  
            crucial to ensuring that voters make informed decisions at the  
            ballot box.


           ASSEMBLY FLOOR  :  78-1, 8/25/14
          AYES:  Achadjian, Alejo, Ammiano, Bigelow, Bloom, Bocanegra,  
            Bonilla, Bonta, Bradford, Brown, Buchanan, Ian Calderon,  
            Campos, Chau, Ch�vez, Chesbro, Conway, Cooley, Dababneh,  
            Dahle, Daly, Dickinson, Donnelly, Eggman, Fong, Fox, Frazier,  

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            Beth Gaines, Garcia, Gatto, Gomez, Gonzalez, Gordon, Gorell,  
            Gray, Grove, Hagman, Hall, Harkey, Roger Hern�ndez, Holden,  
            Jones, 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
          NOES:  Allen
          NO VOTE RECORDED:  Vacancy


          RM:k  8/26/14   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

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