Amended in Senate August 21, 2014

Senate Bill No. 1376

Introduced by Senator Gaines

February 21, 2014

An act to begin delete add and repeal Section 17054.6 of the Revenue and Taxation Code, end delete begin insert amend Section 4004 of, and to add Section 4004.6 to, the Penal Code, end insert relating to begin delete taxation, end delete begin insert imprisonment, making an appropriation therefor, and declaring the urgency thereof, end insert to take effect begin delete immediately, tax levy. end delete begin insert immediately. end insert

LEGISLATIVE COUNSEL’S DIGEST

SB 1376, as amended, Gaines. begin delete Personal income taxes: credit: health care coverage. end delete begin insert County jail inmates: involuntary transfer. end insert

begin insert

Existing law provides for the commitment of persons to county jails upon conviction of a public offense. Existing law authorizes a sheriff, if facilities are no longer available in the county jail due to crowded conditions, to transfer a person committed to a county jail upon conviction for a public offense to facilities that are available in the city jail.

end insert begin insert

This bill would authorize the sheriff of a county to contract with any state, county, or private jail or prison system in the United States for the confinement of inmates on behalf of the county and to transfer inmates to those facilities, with or without the inmate’s permission. The bill would authorize the county to submit an invoice, and the department to pay, for the actual cost of housing and transportation of transferred inmates. The bill would appropriate an unspecified amount from the General Fund to the Department of Corrections and Rehabilitation for these purposes.

end insert begin insert

This bill would declare that it is to take effect immediately as an urgency statute.

end insert begin delete

The Personal Income Tax Law allow various credits against the taxes imposed by that law.

end delete begin delete

This bill, for taxable years beginning on or after January 1, 2014, and before January 1, 2016, would allow a credit equal to 50% of the annual premium amount paid or incurred for an individual health care service plan contract or individual policy of health insurance during the taxable year by a qualified taxpayer, which is defined as an individual whose individual health care service plan contract or individual policy of health insurance was canceled between December 31, 2013, and December 31, 2014, inclusive, and, with respect to the purchase of a new individual plan contract or policy, the individual was not eligible for a federal subsidy or a federal health care tax credit, as specified.

end delete begin delete

This bill would take effect immediately as a tax levy.

end delete

Vote:  begin delete majority end delete begin insert ²⁄₃ end insert . Appropriation:  begin delete no end delete begin insert yes end insert . Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

begin insert

begin insert SECTION 1. end insert   

end insert

begin insert Section 4004 of the end insert begin insert Penal Code end insert begin insert is amended to
read: end insert

4004.  

begin insert (a) end insert begin insert   end insert A begin delete prisoner end delete begin insert person end insert committed to the county jail for
examination, or upon conviction for a public offense, begin delete must end delete begin insert shall end insert
be actually confined in the jail until legally begin delete discharged; and if end delete
begin insert discharged. If end insert the prisoner is permitted to go at large out of the
jail, except by virtue of a legal order or process, it is an begin delete escape;
provided, however, that end delete begin insert escape. However, end insert during the pendency of
a criminal proceeding, the court before which begin delete said end delete begin insert the end insert proceeding
is pending may make a legal order, begin insert with end insert good cause begin delete appearing
therefor end delete , for the removal of the prisoner from the county jail in
custody of the sheriff. In courts where there is a marshal, the
marshal shall maintain custody of begin delete such end delete begin insert the end insert prisoner while the
prisoner is in the court facility pursuant to begin delete such end delete begin insert that end insert court order.
The superior court of the county may make a legal order, begin insert with end insert
good cause begin delete appearing therefor end delete , for the removal of prisoners
confined in the county jail, after conviction, in the custody of the
sheriff. begin delete If end delete

begin insert (b) end insert begin insert   end insert begin insert If end insert facilities are no longer available in the county jail due to
crowded conditions, a sheriff may transfer a person committed to
the county jail upon conviction for a public offense to facilities
begin delete which end delete begin insert that end insert are available in the city jail, as provided for in Section
4004.5 begin insert , or to another facility as provided in Section 4004.6 end insert .

begin insert

begin insert SEC. 2. end insert   

end insert

begin insert Section 4004.6 is added to the end insert begin insert Penal Code end insert begin insert , to read: end insert

begin insert

begin insert 4004.6. end insert   

(a) The sheriff of a county may contract with any state,
county, or private jail or prison system in the United States for the
confinement of inmates on behalf of the county.

(b) The sheriff may transfer any person committed to the county
jail upon conviction for a public offense to a facility with which
the county has a contract, pursuant to subdivision (a), with or
without the inmate’s consent. Transfers shall be at the discretion
of the county sheriff.

(c) The county may submit to the Department of Corrections
and Rehabilitation an invoice showing the actual cost of housing
and transportation of the inmates, including, but not limited to,
personnel costs. The department shall reimburse the county for
all costs incurred to house and transport inmates who are relocated
pursuant to this section.

end insert

begin insert

begin insert SEC. 3. end insert   

end insert

begin insert The amount of ____dollars ($____) is hereby
appropriated from the General Fund to the Department of
Corrections and Rehabilitation to pay the cost of housing and
transportation of inmates end insert begin insert incurred pursuant to Section 4004.6 of
the Penal Code. end insert

begin insert

begin insert SEC. 4. end insert   

end insert begin insert

This act is an urgency statute necessary for the
immediate preservation of the public peace, health, or safety within
the meaning of Article IV of the Constitution and shall go into
immediate effect. The facts constituting the necessity are:

end insert begin insert

In order to preserve the safety of the people of California by
preventing early release of county jail inmates, it is necessary for
this measure to take effect immediately.

end insert

begin delete

SECTION 1.  

Section 17054.6 is added to the Revenue and
Taxation Code, to read:

17054.6.  

(a) For each taxable year beginning on or after
January 1, 2014, and before January 1, 2016, there shall be allowed
as a credit against the “net tax,” as defined in Section 17039, an
amount equal to 50 percent of the annual premium amount paid
or incurred during the taxable year by a qualified taxpayer for an
individual health care service plan contract or individual policy of
health insurance.

(b) For the purposes of this section, the following definitions
shall apply:

(1) “Individual health care service plan contract” means a plan
contract, as defined in Section 1345 of the Health and Safety Code,
issued to an individual.

(2) “Individual policy of health insurance” means a policy issued
to an individual for health insurance, as defined in Section 106 of
the Insurance Code.

(3) “Qualified taxpayer” means an individual, including an
individual with dependents, whose individual health care service
plan contract or individual policy of health insurance was canceled
between December 31, 2013, and December 31, 2014, inclusive,
pursuant to paragraph (5) or (6) of subdivision (a) of Section 1365
of the Health and Safety Code, or subdivision (d) or (e) of Section
10273.6 of the Insurance Code and, with respect to the purchase
of a new individual plan contract or policy, the individual was not
eligible for a federal subsidy for reduced cost sharing for
individuals enrolling in qualified health plans as described in
Section 18071 of Title 42 of the United States Code or a federal
health care tax credit as described in Section 36B of Title 26 of
the Internal Revenue Code.

(c) In the case where the credit allowed by this section exceeds
the “net tax,” the excess may be carried over to reduce the “net
tax” in the following year, and succeeding seven years if necessary,
until the credit is exhausted.

(d) A deduction otherwise allowed under this part for any
amount paid or incurred by the qualified taxpayer upon which the
credit is based shall be reduced by the amount of the credit allowed
by this section.

(e) Credit under this section shall be allowed only for credits
claimed on a timely filed original return of the qualified taxpayer.

(f) (1) The Franchise Tax Board may prescribe rules, guidelines,
or procedures necessary or appropriate to carry out the purposes
of this section.

(2) Chapter 3.5 (commencing with Section 11340) of Part 1 of
Division 3 of Title 2 of the Government Code does not apply to
any standard, criterion, procedure, determination, rule, notice, or
guideline established or issued by the Franchise Tax Board
pursuant to this section.

(g) This section shall be repealed on December 1, 2016.

SEC. 2.  

This act provides for a tax levy within the meaning of
Article IV of the Constitution and shall go into immediate effect.

end delete