BILL ANALYSIS                                                                                                                                                                                                    �







                      SENATE COMMITTEE ON PUBLIC SAFETY
                            Senator Loni Hancock, Chair              S
                             2013-2014 Regular Session               B

                                                                     9
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                                                                     0
          SB 930 (Berryhill)                                          
          As Introduced February 3, 2014
          Hearing date:  March 25, 2014
          Penal Code (Urgency)
          JM:mc

                               ARSON:  MONETARY DAMAGES  

                                       HISTORY

          Source:  Author

          Prior Legislation: AB 27 (Jeffries) - Ch. 71, Stats. 2009
                       AB 1907 (Pacheco) - Ch. 135, Stats. 2004
                       SB 555 (Karnette) - Ch. 518, Stats. 1999
                       SB 1309 (Craven) - Ch. 421, Stats. 1994

          Support: California District Attorneys Association; California  
                   Police Chiefs Association; California State Sheriffs'  
                   Association                        

          Opposition:None known



                                         KEY ISSUE
           
          SHOULD THE STATUTE PROVIDING THAT AGGRAVATED ARSON INCLUDES ARSON  
          CAUSING DAMAGES IN EXCESS OF $6,500,000 - A STATUTE THAT SUNSET ON  
          JANUARY 1, 2014 - BE REENACTED?







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                                                         SB 930 (Berryhill)
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                                       PURPOSE

          The purpose of this bill is to reenact the statute defining  
          aggravated arson to include arson in which the damages exceed  
          $6,500,000, as that provision sunset on January 1, 2014.

           Existing law  provides that arson that causes great bodily injury  
          is a felony, punishable by imprisonment in the state prison for  
          five, seven, or nine years.  (Pen. Code � 451, subd. (a).)

           Existing law  provides that arson of an inhabited dwelling or  
          inhabited structure is a felony, punishable by imprisonment in  
          the state prison for three, five, or eight years.  (Pen. Code �  
          451, subd. (b).)

           Existing law  provides that arson of a forestland or structure is  
          a felony punishable by imprisonment in the state prison for two,  
          four, or six years.  (Pen. Code � 451, subd. (c).)

           Existing law  provides that arson of property is a felony,  
          punishable by imprisonment in the state prison for 16 months, 2  
          or 3 years.  (Pen. Code � 451, subd. (d).)

           Existing law  provides that any person convicted of arson shall  
          be punished by a three, four, or five-year enhancement if one or  
          more of the following circumstances are found to be true:  a)  
          The defendant was previously convicted of felony arson; b) A  
          peace officer, firefighter, or other emergency personnel  
          suffered great bodily injury; c) The defendant proximately  
          caused great bodily injury to more than one victim in a single  
          incident; d) The defendant proximately caused multiple  
          structures to burn; and e) The defendant committed arson by use  
          of a device designed to accelerate the fire, or delay ignition.   
          (Pen. Code � 451.1.)

           Existing law  provides that a person is guilty of unlawfully  
          causing a fire when he or she recklessly sets fire to or causes  
          to be burned any structure, forestland, or property a)  
          unlawfully causing a fire that causes great bodily injury is a  
          felony, punishable by imprisonment in the state prison for two,  




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          four, or six years; by imprisonment in the county jail not to  
          exceed one year, by a fine, or by both imprisonment and a fine;  
          b) unlawfully causing a fire that causes an inhabited structure  
          or property to burn is a felony, punishable by imprisonment in  
          the state prison for two, three, or four years, by imprisonment  
          in the county jail not to exceed one year; by a fine, or by both  
          unlawfully causing a fire of property is a misdemeanor.  (Pen.  
          Code � 452.) 

          Existing law  provides that any person who willfully,  
          maliciously, or deliberately, with premeditation and with intent  
          to cause injury or to cause damage to property under  
          circumstances likely to produce injury or to cause damage to one  
          or more structures or inhabited dwellings, sets fire to, burns,  
          or causes to be burned any residence or structure is guilty of  
          aggravated arson, punishable by 10-years-to-life in the state  
          prison if one or more of the following aggravating factors  
          exist: 

          ] The defendant was previously convicted of arson on one or more  
            occasions within the past 10 years; or
          ] The fire caused damage to, or the destruction of, five or more  
            inhabited structures.  (Pen. Code � 451.5.)

           Existing law  provides that the provision defining aggravated  
          arson as including arson that caused damages in excess of $6.5  
          million - including the cost of fire suppression - shall sunset  
          on January 1, 2014.  (Pen. Code � 451.5, subd. (a)(1)(B).)

           Existing law  includes legislative intent, stated in 2004 and  
          2009, that the aggravated arson law be reviewed within five  
          years to determine the effect of inflation on the monetary  
          threshold for the crime.  A sunset clause was added to the  
          statute in each of those years.  (Pen. Code � 451.5, subd.  
          (b)(2)(B).)

           Existing law  provides that a person convicted of arson,  
          aggravated arson, and attempted arson must register with local  
          law enforcement.  The duty to register is a lifetime requirement  
          except for a person convicted before 1995.  The registration  




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          requirement applies to a conviction for Penal Code section 453 -  
          possession or manufacture or an incendiary device with intent to  
          maliciously burn any structure, forest land, or property.  (Pen.  
          Code � 457.1, subd. (b)(2).)

           This bill  reenacts the statutory provision defining aggravated  
          arson to include arson in which the damages exceed $6,500,000,  
          as that provision was repealed on January 1, 2014, by a sunset  
          clause.

                    RECEIVERSHIP/OVERCROWDING CRISIS AGGRAVATION

          For the last several years, severe overcrowding in California's  
          prisons has been the focus of evolving and expensive litigation  
          relating to conditions of confinement.  On May 23, 2011, the  
          United States Supreme Court ordered California to reduce its  
          prison population to 137.5 percent of design capacity within two  
          years from the date of its ruling, subject to the right of the  
          state to seek modifications in appropriate circumstances.   

          Beginning in early 2007, Senate leadership initiated a policy to  
          hold legislative proposals which could further aggravate the  
          prison overcrowding crisis through new or expanded felony  
          prosecutions.  Under the resulting policy, known as "ROCA"  
          (which stands for "Receivership/ Overcrowding Crisis  
          Aggravation"), the Committee held measures that created a new  
          felony, expanded the scope or penalty of an existing felony, or  
          otherwise increased the application of a felony in a manner  
          which could exacerbate the prison overcrowding crisis.  Under  
          these principles, ROCA was applied as a content-neutral,  
          provisional measure necessary to ensure that the Legislature did  
          not erode progress towards reducing prison overcrowding by  
          passing legislation, which would increase the prison population.  
            

          In January of 2013, just over a year after the enactment of the  
          historic Public Safety Realignment Act of 2011, the State of  
          California filed court documents seeking to vacate or modify the  
          federal court order requiring the state to reduce its prison  
          population to 137.5 percent of design capacity.  The State  




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          submitted that the, ". . .  population in the State's 33 prisons  
          has been reduced by over 24,000 inmates since October 2011 when  
          public safety realignment went into effect, by more than 36,000  
          inmates compared to the 2008 population . . . , and by nearly  
          42,000 inmates since 2006 . . . ."  Plaintiffs opposed the  
          state's motion, arguing that, "California prisons, which  
          currently average 150% of capacity, and reach as high as 185% of  
          capacity at one prison, continue to deliver health care that is  
          constitutionally deficient."  In an order dated January 29,  
          2013, the federal court granted the state a six-month extension  
          to achieve the 137.5 % inmate population cap by December 31,  
          2013.  

          The Three-Judge Court then ordered, on April 11, 2013, the state  
          of California to "immediately take all steps necessary to comply  
          with this Court's . . . Order . . . requiring defendants to  
          reduce overall prison population to 137.5% design capacity by  
          December 31, 2013."  On September 16, 2013, the State asked the  
          Court to extend that deadline to December 31, 2016.  In  
          response, the Court extended the deadline first to January 27,  
          2014 and then February 24, 2014, and ordered the parties to  
          enter into a meet-and-confer process to "explore how defendants  
          can comply with this Court's June 20, 2013 Order, including  
          means and dates by which such compliance can be expedited or  
          accomplished and how this Court can ensure a durable solution to  
          the prison crowding problem."

          The parties were not able to reach an agreement during the  
          meet-and-confer process.  As a result, the Court ordered  
          briefing on the State's requested extension and, on February 10,  
          2014, issued an order extending the deadline to reduce the  
          in-state adult institution population to 137.5% design capacity  
          to February 28, 2016.  The order requires the state to meet the  
          following interim and final population reduction benchmarks:

                 143% of design bed capacity by June 30, 2014;
                 141.5% of design bed capacity by February 28, 2015; and
                 137.5% of design bed capacity by February 28, 2016. 

          If a benchmark is missed the Compliance Officer (a position  




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          created by the February 10, 2016 order) can order the release of  
          inmates to bring the State into compliance with that benchmark.   


          In a status report to the Court dated February 18, 2014, the  
          state reported that as of February 12, 2014, California's 33  
          prisons were at 144.3 percent capacity, with 117,686 inmates.   
          8,768 inmates were housed in out-of-state facilities.

          The ongoing prison overcrowding litigation indicates that prison  
          capacity and related issues concerning conditions of confinement  
          remain unresolved.  While real gains in reducing the prison  
          population have been made, even greater reductions may be  
          required to meet the orders of the federal court.  Therefore,  
          the Committee's consideration of ROCA bills -bills that may  
          impact the prison population - will be informed by the following  
          questions:

                 Whether a measure erodes realignment and impacts the  
               prison population;
                 Whether a measure addresses a crime which is directly  
               dangerous to the physical safety of others for which there  
               is no other reasonably appropriate sanction; 
                 Whether a bill corrects a constitutional infirmity or  
               legislative drafting error; 
                 Whether a measure proposes penalties which are  
               proportionate, and cannot be achieved through any other  
               reasonably appropriate remedy; and,
                 Whether a bill addresses a major area of public safety  
               or criminal activity for which there is no other  
               reasonable, appropriate remedy.


                                      COMMENTS

          1.  Need for this Bill  

          According to the author:  

               Aggravated arsons are those which are intended to  




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               cause great bodily injury or damage to structures,  
               which cause more than $6.5 million, or were committed  
               by a recidivist arsonist.  In 2009, the Legislature  
               unanimously approved extending the "cost of fire  
               suppression" when calculating the total property  
               damage caused by arson until 2014.  The statute for  
               the ability to use the "cost of fire suppression" in  
               calculating the total amount of property damage in  
               meeting the $6,500,000 threshold for the crime of  
               "aggravated arson" was not extended when it was set to  
               sunset in January 1, 2014.

               Due to California's geography, climate, and urban  
               expansion, this state has a long history of problems  
               with wildfires.  Intentional fires can wreak havoc on  
               communities.  Wildland fires can have large fire  
               suppression costs (24 fires have had fire suppression  
               costs over $6.5 million since 2010), and these costs  
               should be considered when prosecuting aggravated arson  
               cases.  

               Law enforcement and prosecutors have been prudent, but  
               effective, when using this statute to prosecute a  
               defendant, protecting the communities and natural  
               resources of California.  Without legislative action,  
               law enforcement authorities will lose an important  
               tool in bringing arsonists to justice.

          2.  Consideration and Recalculation of Monetary Threshold for  
          Aggravated Arson  

          The aggravated arson statutes were last amended in 2009,  
          effective 2010.  The amendments included a sunset date of 2014  
          and a statement of legislative intent that the monetary  
          threshold be evaluated within five years to determine the effect  
          of inflation on that amount.  

          The aggravated arson section (Pen. Code � 451.5) became  
          effective in 1995 through enactment of SB 1309 (Craven) Ch. 421,  
          Stats. 1994.  As originally enacted, Penal Code section 451.5  




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          provided, in relevant part (with bold typeface added):

               In calculating the total amount of property damage and  
               other losses under subparagraph (A) [which sets the  
               property damage element of aggravated arson at $5  
               million], the court shall consider the cost of fire  
               suppression.  It is the intent 





































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               of the Legislature that this paragraph be reviewed  
               within five years to consider the effects of inflation  
               on the dollar amount stated herein.  For that reason,  
               this paragraph shall remain in effect only until  
               January 1, 1999, and as of that date is repealed,  
               unless a later enacted statute, which is enacted  
               before January 1, 1999, deletes or extends that date.   


          The aggravated arson statute - particularly the threshold for  
          aggravated arson based on the amount of damages - has been  
          amended three times since its enactment.  In 2004, the threshold  
          was set at $5,600,000, and $6,500,500 in 2009.  According to the  
          calculator provided on the Website of the United States  
          Department of Labor, the value of $6,500,000 in 2010 is equal to  
          $6,973,000 in 2014, a rate of inflation of about $100,000 per  
          year.  As such, the value of the former aggravated arson  
          threshold by 2015 would be about $7 million. 

          The author has noted that since the monetary aggravated arson  
          threshold was set at $6.5 million, there have been 24 fires that  
          met that standard.  Data from across the west indicates that  
          fire suppression costs of $6.5 million are not unexpected.  The  
          Bureau of Land Management recently published a study<1> about  
          the costs of six wildfires across the Western United States.   
          Costs ranged from $9.5 million in a 2000 Montana wildfire to  
          $61.3 million in the 2003 Old, Grand- Prix, Padua California  
          wildfire, with the Grand Prix portion costing $11.6 million to  
          suppress and the Old Fire costing $37.7 million.  The Piru fire  
          in 2003 cost $7.7 million to suppress.<2>  

          Even where the cost of fire suppression is not considered,  
          commercial and residential fires can cause damages in excess of  
          the aggravated arson threshold.  For example, the Showcase.com  
          ---------------------------
          <1>  
          http://www.blm.gov/or/districts/roseburg/plans/collab_forestry/fi 
          les/TrueCostOfWilfire.pdf
          <2>  
          http://www.fire.ca.gov/fire_protection/downloads/siege/AppendixI. 
          pdf



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          commercial real estate Website<3> lists 375 commercial  
          properties in and around Sacramento being offered for between  
          $6.5 and $7.5 million.  The Zillow real estate Website<4> lists  
          seven houses in Placer County, two in El Dorado County, eight in  
          Marin County, seven in San Francisco, 14 in Santa Clara County,  
          31 in Los Angeles County, 38 in Orange County and 13 in San  
          Diego County selling for between $6.5 and $7 million.

          SHOULD THE FORM OF AGGRAVATED ARSON BASED ON A FINDING THAT THE  
          DEFENDANT CAUSED MORE THAN $6.5 MILLION IN DAMGES BE REENACTED?






          AS EXISTING LAW PROVIDES THAT THE LEGISLATURE SHOULD DETERMINE  
          THE EFFECT OF INFLATION ON THE MONETARY THRESHOLD FOR AGGRAVATED  
          ARSON, SHOULD THIS THRESHOLD BE SET AT $7,000,000 TO ACCOUNT FOR  
          INFLATION SINCE IT WAS SET IN 2010?

          SHOULD A FIVE-YEAR SUNSET AGAIN BE INCLUDED IN THE AGGRAVATED  
          ARSON LAW TO ALLOW THE LEGISLATURE TO CONSIDER THE EFFECTS OF  
          INFLATION ON THE AMOUNT OF DAMAGES ESTABLISHING THE CRIME?


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          1LTllN2Y3MTQxMTk0NClCvHDviNjoHQgSPz0ewQtioaWN
          <4>  
          http://www.zillow.com/ca/#/homes/for_sale/CA/9_rid/6000000-700000 
          0_price/23355-27247_mp/days_sort/43.044805,-116.746216,37.492294, 
          -122.107544_rect/6_zm/