BILL ANALYSIS                                                                                                                                                                                                    



                                                                       


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          |SENATE RULES COMMITTEE            |                   SB 126|
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                                 THIRD READING
                                        

          Bill No:  SB 126
          Author:   Polanco (D)
          Amended:  1/18/00
          Vote:     21

            
           SENATE PUBLIC SAFETY COMMITTEE  :  3-2, 3/23/99
          AYES:  Vasconcellos, Burton, Johnston
          NOES:  McPherson, Rainey
          NOT VOTING:  Polanco

           SENATE PUBLIC SAFETY COMMITTEE  :  5-0, 4/20/99
          AYES:  Vasconcellos, Burton, McPherson, Polanco, Rainey
          NOT VOTING:  Johnston

          SENATE APPROPRIATIONS COMMITTEE  :  Senate Rule 28.8
           

           SUBJECT  :    Purpose of incarceration:  Prison Industry  
          Authority

           SOURCE  :     Author

           
           DIGEST  :    This bill adds additional language pertaining to  
          vocational and drug treatment and reducing the rate of  
          recidivism to the existing purpose of incarceration  
          provisions of law and makes specified changes to the Prison  
          Industry Authority guidelines relative to their annual  
          budget.

           ANALYSIS  :    Existing law provides that the Legislature  
          finds and declares that the purpose of imprisonment for  
          crime is punishment and declares the importance of  
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          uniformity in sentencing and states; there is a further  
          statement that the general purpose of punishment "shall not  
          be construed to preclude programs, including educational  
          programs, that are designed to rehabilitate nonviolent,  
          first-time felony offenders.  The Legislature encourages  
          the development of policies and programs designed to  
          educate and rehabilitate nonviolent, first-time felony  
          offenders consistent with the purpose of imprisonment."   
          (Penal Code Section 1170)

          This bill additionally includes in the "shall not be  
          construed" provision "vocational and drug treatment";  
          programs that are designed to "reduce the rate of  
          recidivism"; and that the Legislature encourages policies  
          and programs "with the intent to reduce recidivism."

          Under existing law, the PIA is under the policy direction  
          of the Prison Industry Board.  This board consists of 11  
          members which include the director of California Department  
          of Corrections, the director of the State Department of  
          General Services (DGS), or his or her designee; the  
          secretary for the State Trade and Commerce Agency, or his  
          or her designee; two members appointed by the Speaker of  
          the Assembly; two members appointed by the Senate Rules  
          Committee; and four members appointed by the Governor.   
          (Penal Code Section 2802)

          Under current law, the board shall have all the powers and  
          do all the things that the board of directors of a private  
          corporation would do, with certain exceptions, including,  
          but not limited to:  (Penal Code Section 2808)

          1.Review and approve the annual budget of the authority in  
            order to ensure the financial solvency of the  
            organization.

          2.Employ a general manager to serve as the chief  
            administrative officer of the authority.  The general  
            manager shall have a wide and successful experience with  
            a productive enterprise and have a demonstrative  
            appreciation of the problems associated with prison  
            management.

          3.Establish, expand, diminish, or discontinue industrial,  







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            agricultural and service enterprises under its  
            jurisdiction to enable the authority to operate as a  
            self-supporting organization, to provide employment, to  
            provide as much employment for inmates as is feasible,  
            and to provide diversified work activities to minimize  
            the impact on existing private industry in the State.

          4.Periodically determine the prices at which activities,  
            supplies, and services shall be sold.

          Report to the Legislature in writing, or before February 1  
          of each year, regarding:  (1) the financial activity and  
          condition of the each enterprise under its jurisdiction;  
          (2) any plans of the board proposing significant changes in  
          existing operations; (3) any plans for developing new  
          enterprises; and, (4) a breakdown, by institution, of the  
          number of inmates working at a PIA enterprise, and the  
          number of said inmates who are not working full-time.

          This bill adds to the PIA provisions in current law a  
          requirement that requires the State Department of Finance,  
          in consultation with the PIA and the Legislative Analyst's  
          Office, to develop a display in the annual Budget Act of  
          specified projected expenditures and revenues.

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

           SUPPORT  :   (Verified  1/26/00)

          Little Hoover Commission
          California Attorneys for Criminal Justice
          California Public Defenders Association
          Friends Committee on Legislation
          Los Angeles County Municipal Court Judges
          California Manufacturers Association

           ARGUMENTS IN SUPPORT  :    According to the author's office,  
          this bill is designed to address several issues that have  
          been raised concerning the PIA by the Legislative Analyst,  
          the Bureau of State Audits and various private sector  
          entities.

          Furthermore, the PIA is currently "off budget" and,  







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          therefore, the Legislature has no direct oversight over its  
          operations.  The Legislative Analyst has recommended the  
          revenues and expenditures of the PIA be "displayed in the  
          Annual Budget Act."

          The Annual Budget Act of 1998-99, Chapter 324, Statutes of  
          1998, included language requiring the State Department of  
          Finance, in consultation with the Prison Industry Authority  
          and the Legislative Analyst's Office to develop a display  
          in the 1999-2000 Governor's Budget of projected  
          expenditures and revenues for the Prison Industry  
          Authority, the Prison Industry Board, and the Prison  
          Industries Revolving Fund.  (Reference:  page 396, Item 13  
          of Chapter 324, Statutes of 1998)  This budget provision  
          was vetoed by Governor Wilson.

          SB 126 requires a display of projected expenditures and  
          revenues for the Prison Industry Authority, the Prison  
          Industry Board, and the Prison Industries Revolving Fund to  
          appear in the annual Budget Act.


          RJG:kb  01/26/2000   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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