BILL ANALYSIS                                                                                                                                                                                                    �




                   Senate Appropriations Committee Fiscal Summary
                            Senator Kevin de Le�n, Chair


          SB 1363 (Hancock) - Parole.
          
          Amended: April 21, 2014         Policy Vote: Public Safety 4-2
          Urgency: No                     Mandate: No
          Hearing Date: May 12, 2014      Consultant: Jolie Onodera
          
          This bill meets the criteria for referral to the Suspense File.


          Bill Summary: SB 1363 would make various changes to the parole  
          process conducted by the Board of Parole Hearings (BPH), as  
          specified.

          Fiscal Impact: 
              Additional direct administrative costs to BPH of about  
              $775,000 (General Fund) annually to provide counsel, make  
              transcriptions of consultations, and document reasons "on  
              the record" for parole denials, including substantial  
              evidence for denials of inmates serving beyond their base  
              terms, as adjusted. 
              Potential resource costs of $185,000 (General Fund) for one  
              commissioner to cover the workload associated with mandated  
              calculations of adjusted base terms at consultations.
              Potentially significant litigation costs in excess of $1  
              million (General Fund), based on historical experience from  
              the previous change to the standard of parole suitability  
              under In re Lawrence 190 P.3d 535, 539  (Cal. 2008). 
              Unknown, potentially significant future state cost savings  
              (General Fund) in shorter incarceration terms to the extent  
              inmates are granted earlier release dates to parole than  
              otherwise would have occurred under existing law. To the  
              extent 10 inmates are paroled one year earlier would result  
              in cost savings of over $250,000.
              Additional one-time and ongoing costs (General Fund) to BPH  
              to collect and report the specified data to the Legislature.

          Background: Under existing law, an inmate can be found suitable  
          for parole by the BPH but remain incarcerated due to various  
          enhancements that can be added to a term. Existing law provides  
          that one year prior to an inmate's minimum eligible parole  
          release date, a panel of two or more commissioners or deputy  
          commissioners shall meet with the inmate and shall normally set  








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          a parole release date.

          Under existing state regulations, based on facts from the  
          underlying crime, an inmate can be held for a longer period of  
          time once they are found suitable for parole. This bill provides  
          that if an inmate remains incarcerated beyond his or her base  
          term, a decision by BPH to deny parole shall be supported on the  
          record by substantial evidence and with respect to the entire  
          record. 

          Proposed Law: This bill would make the following changes with  
          respect to state parole: 
              Requires the BPH to establish criteria for the setting of  
              parole release dates, as specified.
              Requires an inmate found suitable for parole to be paroled,  
              subject to review by the Governor. 
              Requires BPH to state on the record for each of its  
              decisions to grant or deny parole, to demonstrate that an  
              individualized consideration of all relevant factors was  
              provided. In the case of an inmate who has served beyond his  
              or her base term of incarceration, a decision by BPH to deny  
              parole must be supported by substantial evidence with  
              respect to the entire board. 
              Requires BPH to collect and maintain annual statistics on  
              the number of inmates serving a term in excess of their base  
              term, as adjusted by applicable enhancements or credits, and  
              the percentage of all cases decided each year in which BPH  
              in a final decision, by a panel or the BPH sitting en banc  
              has declined to find an inmate suitable for parole, despite  
              the fact that the inmate has served a sentence beyond the  
              base term of incarceration, as adjusted.
              Requires BPH to submit a report to the Legislature by  
              January 1, 2016, and annually thereafter, on the information  
              collected.

          Staff Comments: The BPH estimates the following fiscal impact,  
          as specified below:

           Direct Administrative Costs
           The bill requires BPH to calculate adjusted base terms at  
          consultations. Currently, inmates do not have legal counsel for  
          consultations, nor are consultations recorded and transcribed.  
          BPH believes if terms are calculated at consultations, inmates  
          would be entitled to legal counsel, prompting the need to record  








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          and transcribe consultations. In FY 2014-15, BPH projects 824  
          consultations are to be conducted. Provision of counsel and  
          transcription costs for the 824 consultations is estimated at  
          $750,000. 

          While consultations may be performed by either a commissioner or  
          a deputy commissioner, because term calculations will be  
          required at consultations, those calculations must be performed  
          by a commissioner. The BPH estimates a resource need of one  
          commissioner to cover this workload at a cost of $185,000. 

          The bill would also mandate the BPH to demonstrate, on the  
          record, an individualized consideration of all relevant factors.  
          The additional time added to each hearing is estimated to result  
          in new costs of about $25,000.

           Litigation Costs
           The bill would change the standard for inmates who have served  
          past their adjusted base term. In order for an inmate to be  
          denied, the BPH would have to determine there is "substantial  
          evidence" to deny parole. BPH indicates that any change in the  
          standard for parole suitability is likely to result in an  
          increase in litigations costs, potentially in the low millions  
          of dollars. BPH indicates that when the standard for denying  
          parole was changed as a result of the decision in In re Lawrence  
          190 P.3d 535, 539  (Cal. 2008), BPH litigation costs increased  
          substantially the following year (2009). In In re Lawrence, the  
          court required the BPH or the Governor to present "some  
          evidence" indicating that an inmate is currently dangerous to  
          withstand judicial review of a decision denying parole.


          Currently, inmates cannot "appeal" or file writs as a result of  
          a consultation. Moving term calculations to consultations would  
          open consultations to the writ process, further increasing  
          potential BPH litigation costs. For every five percent of  
          consultations that result in a writ being filed, an additional  
          $140,000 in litigation costs could be incurred.

          BPH believes additional litigation would occur as a result of  
          the provision requiring that the "BPH stated reasons [for  
          denial] shall demonstrate, on the record, an individualized  
          consideration of all relevant factors." Litigation could  
          potentially be brought to challenge whether BPH successfully  








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          stated on the record an individualized consideration of all  
          relevant factors. Currently, the standard of review for the BPH  
          decision is whether there is "some evidence" to support the BPH  
          decision.  The BPH projects it will schedule 4,900 suitability  
          hearings during FY 2014-15. To the extent five percent of those  
          decisions result in a writ would result in litigation costs of  
          over $800,000.

          The provisions of this measure could result in potentially  
          significant future state cost savings (General Fund) in shorter  
          incarceration terms to the extent inmates are granted earlier  
          release dates to parole than otherwise would have occurred under  
          existing law. To the extent 10 inmates are paroled one year  
          earlier would result in cost savings of over $250,000 annually.

          Recommended Amendments: The bill references PC section 3042.2,  
          which does not exist. Staff recommends the following technical  
          amendment:

          On page 6, in line 5, delete "3042.2" and replace with "3041.2".