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CC SR 20161004 01 - Oppose Prop 53 Support Prop 54RANCHO PALOS VERDES CITY COUNCIL MEETING DATE: 10/04/2016 AGENDA REPORT AGENDA HEADING: Regular Business AGENDA DESCRIPTION: Consideration and possible action to take positions regarding Proposition 53 ("California Voter Approval Requirement for Revenue Bonds above $2 Billion Initiative") and Proposition 54 ("California Legislature Transparency Act of 2016") on the November 8, 2016, statewide ballot. RECOMMENDED COUNCIL ACTION: (1) Adopt Resolution No. 2016-_, thereby opposing Proposition 53; and, (2) Adopt Resolution No. 2016-, thereby supporting Proposition 54. FISCAL IMPACT: None Amount Budgeted: N/A Additional Appropriation: N/A Account Number(s): N/A ORIGINATED BY: Kit Fox, AICP, Senior Administrative Analyst(4) REVIEWED BY: Gabriella Yap, Deputy City Manager:' APPROVED BY: Doug Willmore, City Manager ATTACHED SUPPORTING DOCUMENTS: A. Draft Resolution No. 2016-_, opposing Proposition 53 (page A-1) B. "NO on 53" fact sheet (page B-1) C. Text of Proposition 53 (page C-1) D. Draft Resolution No. 2016-, supporting Proposition 54 (page D-1) E. "YES on 54" fact sheet (page E-1) F. Text of Proposition 54 (page F-1) BACKGROUND AND DISCUSSION: On September 8, 2016, the League of California Cities (League) contacted Staff and asked the City Council to consider adopting resolutions opposing Proposition 53 and supporting Proposition 54 on the upcoming statewide ballot. Pror,osition 53 Proposition 53 (Attachment C) would require statewide voter approval prior to the State issuing or selling any revenue bonds of $2 billion or more for State projects that are 1 financed, owned, operated or managed by the State or a joint agency created by or for the State. The League argues that this measure would make it more difficult for State, regional, and local public agencies to use revenue from a common funding source to finance critical infrastructure projects (Attachment B). This concern is valid since cities and counties could also be members to joint powers agencies created by the State. Additionally, the broadest interpretation of the proposition language could prevent critical State improvements in a community, even under the $2 billion threshold, as long as they're "proximate, physically joined/connected, and/or cannot be complete without the other project." Regional projects subject to the threshold would require a statewide vote. As such, regional and local projects would be subject to the control of voters in other areas of the State even when they are neither impacted by the projects nor required to pay for them. While the immediate impact on a city from this proposal can be debated, its enactment would set a legal and policy precedent of having revenue bonds subject to public votes. Such a precedent could lead to future efforts to expand such a requirement to apply to local government revenue bonds in the future, further limiting local flexibility. Therefore, Staff has prepared a draft resolution opposing Proposition 53 (Attachment A) for the City Council's consideration and possible adoption. Proposition 54 Proposition 54 (Attachment F) would prohibit the Legislature from passing legislation until it has been in print and published online for at least seventy-two (72) hours prior to a vote, expect in cases of public emergency. The Legislature would be required to record all proceedings (except closed sessions) and make recordings available online. The League supports this measure because it will improve the transparency of California's legislative process (Attachment E). Last-minute bills and amendments can often be harmful to local agencies and communities. Complex measures are often passed before members of the Legislature have any realistic opportunity to review or debate them, resulting in ill-considered legislation. The opportunity for an orderly and detailed review of bills by the public, the press, and legislators will result in better laws, while thwarting political favoritism and power grabs. Additional access for the public to recordings of legislative proceedings will enhance transparency and accountability. Therefore, Staff has prepared a draft resolution supporting Proposition 54 (Attachment D) for the City Council's consideration and possible adoption. ALTERNATIVES: In addition to the Staff recommendations, the following alternative actions are available for the City Council's consideration: 2 1. Take no position on either Proposition 53 or Proposition 54. 2. Take a position on either Proposition 53 or Proposition 54. 3. Direct Staff to further research these propositions, and continue this matter to a future agenda on or before November 1, 2016. 9 RESOLUTION NO. 2016- A RESOLUTION OF THE CITY COUNCIL OF RANCHO PALOS VERDES IN OPPOSITION TO PROPOSITION 53, THE "CALIFORNIA VOTER APPROVAL REQUIREMENT FOR REVENUE BONDS ABOVE $2 BILLION INITIATIVE" THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES DOES RESOLVE AS FOLLOWS: WHEREAS, California and its local communities have a backlog of essential infrastructure, needs, including crumbling local streets and roads, unsafe bridges and overpasses, aging water supply infrastructure, inadequate public transportation systems, and overcrowded hospitals and universities; and, WHEREAS, Proposition 53 on the November 2016 ballot would erode local control and undermine the ability of cities, counties and other local agencies and the state to form partnerships to finance the construction of some critical public infrastructure projects; and, WHEREAS, this initiative would require a statewide vote on certain local infrastructure projects financed through revenue bonds, where local governments have joined in a Joint Powers Authority (JPA) in partnership with the state or where the state was involved in the creation of the JPA; and, WHEREAS, by requiring a statewide vote on some local or regional projects, this initiative would erode local control by empowering voters in distant communities to reject projects which they do not use and do not fund; and, WHEREAS, this measure could derail and delay Rancho Palos Verdes' ability to make improvements to critical infrastructure, including after emergencies and natural disasters; and, WHEREAS, "NO on 53" is a growing coalition of organizations representing local governments, water agencies, public safety leaders, businesses, labor unions, hospitals, family farmers, environmentalists and educators that have come together to officially oppose this initiative. NOW, THEREFORE, the City Council of the City of Rancho Palos Verdes does hereby resolve as follows: Section 1: The City of Rancho Palos Verdes opposes Proposition 53. Section 2: The City of Rancho Palos Verdes will join the "NO on 53" coalition. Section 3: Staff is directed to email a copy of this adopted resolution to Kyle Griffith of the "NO on 53" campaign at kgriffith bcfpublicaffairs.com. A-1 PASSED, APPROVED and ADOPTED this to day of October 2016. Mayor ATTEST: City Clerk State of California ) County of Los Angeles ) ss City of Rancho Palos Verdes ) I, Teresa Takaoka, Acting City Clerk of the City of Rancho Palos Verdes, hereby certify that the above Resolution No. 2016-_, was duly and regularly passed and adopted by the said City Council at a regular meeting thereof held on October 4, 2016. City Clerk Resolution No. 2016 - Page 2 of 2 A-2 NO53 Stop Attack on local Control www.NoProp53.com PROP 53 UNDERMINES LOCAL CONTROL AND VITAL INFRASTRUCTURE Prop 53 is opposed by a broad, bipartisan coalition of organizations including the California Professional Firefighters, California Chamber of Commerce, California Hospital Association, California State Sheriffs Association, firefighters, paramedics, family farmers, environmentalists, law enforcement, and local governments. Prop 53 takes away local control by requiring a statewide vote even for some local infrastructure projects. The measure would add new layers of bureaucracy and red tape that will delay or derail needed improvements to critical infrastructure, including after emergencies and natural disasters. Here are some facts: Prop 53 Erodes Local Control by Requiring Statewide Vote for Some Local Projects • Under this measure, cities and towns that want to come together with the state and form a JPA to issue revenue bonds to upgrade local water systems, roads, bridges, and universities would have to put their project on a statewide ballot. • That means voters in faraway regions could veto some local projects your community needs and supports — even though those distant voters don't use, won't pay for, and don't care about your local community improvements. • That's why groups representing California's cities, counties and local water agencies, including the League of California Cities and Association of California Water Agencies, all oppose Prop 53. Prop 53 Jeopardizes Ability to Repair Outdated Infrastructure • Our communities already suffer from a massive backlog of local infrastructure needs, including outdated water supply and delivery systems, unsafe bridges, overpasses and freeways, and community hospitals that need to be upgraded to make them earthquake safe. Prop 53 Threatens Water Supply and Drought Preparedness Reliable Infrastructure is critical to public safety. This measure erodes local control and creates new hurdles that could block communities from upgrading critical infrastructure such as bridges, water systems and hospitals." - Sheriff Donny Youngblood, President, California State Sheriffs' Association The Association of California Water Agencies says: "Prop 53 could threaten a wide range of local water projects including storage, desalination, recycling and other vital projects to protect our water supply and access to clean, safe drinking water. Prop 53 will definitely impede our ability to prepare for future droughts." Prop 53 Contains No Exemptions for Emergencies or Natural Disasters • Because Prop 53 fails to contain an exemption for emergencies, in cases of an earthquake or flood, local governments and the state may need to wait as long as two years in order to get voter approval to begin rebuilding damaged or destroyed roads, freeways, bridges, hospitals and water delivery systems. California Professional Firefighters, representing 30,000 firefighters and paramedics, warns: "Prop 53 irresponsibly fails to contain an exemption for natural disasters or major emergencies. That flaw could delay our state's ability to rebuild critical infrastructure following earthquakes, wildfires, floods or other natural or man-made disasters. " As Page 2 of 2 Prop 53 Makes No Fiscal Sense. • Private investors bear the financial risk for revenue bonds, not the state or its general fund. And revenue bonds are repaid by users of a project who directly benefit, not taxpayers. For instance, repairs to a bridge would be paid by tolls on the bridge, or customers in a specific water district would pay to build a water recycling plant, not taxpayers. It makes no sense to have a statewide election on projects not financed by taxpayers for which the state and local governments bear none of the financial risk. Prop 53 is Financed and Promoted by Multi -millionaire with a Personal Agenda • This measure is financed entirely by one multi -millionaire and his family, who are spending millions in an attempt to disrupt a single water infrastructure project. Irrespective of one's position on that single project, his initiative has far-reaching, negative implications for other infrastructure projects throughout California. We cannot allow one wealthy person to abuse the initiative system to push his narrow personal agenda. Paid for by No on Prop 53 — Californians to Protect Local Control, a coalition of public safety, local government, business and labor organizations, and taxpayers. Major funding by California Construction Industry Labor Management Cooperation Trust and Members' Voice of the State Building and Construction Trades Council of California (Committee). MR anivary 1 , 2IC'15 VIA PBRSON AIL D®LIVERY Tr e Hor cuiak le Karrala ❑. Harrio Atioriney General 130C I Ctreet, Il1r Accui, P.O. Ba) 9443_` 5 Sacramerlo, CA 95814 Aliention: Ashlay c0 amiaan, Initiative Cooridinalor 1 5 - 00 c 3 INITIATI\ E WORM AICR ATTORNEY GENERAL'S CFFIICL Rle: REIqLesi lori Title aric Summary Ilan Prioposed Initiative Consliiuliaral Amendment Deari Ms. Harris: Pum an] 1a Arliale II, Ceation 'IC (d) of the Calillorinia Conslitulion, I hereby suLmil the atiaahec proposed Iriiiative CloretiluiianEl Amercmerit, entiilec the "No Blank Checks Iriiliali�Er," io your cfiice arc request 1ral you prepare a title anc sumrriary of tiEi rreasure as grovidec by law. Ircluded will- this Eiutmissiori i.i ire recluiried rpiarlarienl afficE%il signet by tre griogarienl of Iris measurie Flursuaril to Secliari 9K8 of 0e Califcrriia Eleclioris Code. My acciress as a riegisterec voter is atlaahed lo this leiter, alarc with Ei cIl eck 11cii $20C .00 . C-1 All inquires or corresponc ence relctive to d is inilialive 9hOLlc be c ireclec la NiE IsEiri, ME nksamer, PaimiriEdlo, Gnoss 81 Leoni, LLP, 1419 L Streel, Suite 120C, C acnamenlo, CA 99 E '141, (91E) 414E -E I52I, A1llEirilian: Kurt Oneto I lelEiklh one: 9'I E /414E - 6 715 21 ). -ll-ark you for your assislariae. Sincerely, q 3t Clean Clortarlagsi, Rroponew E riclasL ne: Proposed Ir ilialive C c r stitu liar al AmendmEir 1 C-2 5 -- 0 CI C 31 Sticidor 1. Tulle. This Aat shall b a known anc maM ba cliled ais the No plank Chleckls Initiat:iva. Sc cidor 2. Flihddygsi and Dleiclaaiations. The Peopla of 1ha Stata of C alifornia fine and c aclana as fb:llaws: (a, The politicians In Saanamenta hlavel mlor gaged ouii futures with long.-tarm bond c abt obligations that will takla taxpayars, ours ahildnan, and future ganeralionsi Cacadas 1a paM offl (b) Undar currient nil as, lhla sal a of stall a bonds onlM naac's to ba approvad bM votcrsl if I theM willl be rapaid oull of tha slata's gcrlaral ravanuas. But stala po:lit:ieians can ,iall bilhior s of dollars of aC d1iliona:l band dabt without ever getting the valars' approval if tha boric s wall ba rapaid with sipaaific Ilavenue stnaams or chargas imposiac directly on Cal:ifornians like taxes, fens, rates, tolls, or rents. '➢ha poliiliaiams should not ba allowad to issue blank ahlaalds Califcimiians flava to paM fbr. Votens must provide prior aplpnoval for all] mia'lor stala b and sala decisions, baaausa votars ara tha ones who ult:irriate]Iypay lhla brill. (a) According 1a a 2414 raport flrom Claliforniia's :indapcncant, noripartisan Bagislailive Ana -I Mst's Offiae, tha �1ate oflCa:lifarniapis carrying $I_l40 billion in public debt. (kcgiislcatlivc Anc �l I l%l's Officc, "Addrass:ing C alifbrnia's I lay Iliabi.litias," Mar. 7, 2014.) lnlarasl and principal paymarits on our ]long-tarm debil obligalions will cripple tha state if we kacip spanding tha way we c a riow raduaing cash available for public ;iaftit3j, sahao:ls, and alhlar vidal state programs. (C; Moraavan, votars aria raralM talc the truce aosts ofIboric 4unded prajacts. Wa ware originally told that lhla bul]lat train would oast $I9 bialiori. But now 1ha astimatac cost has balloonad ila naarly $1,0 billion. (Ilosl Angelc�i Amcs, "Aha H azM Future oflCal:iforn:ia's Bullas 'llrain," Jar. 14, 20]14.) (e; This maasurie pulse the brAk as on our stala's public c abt ars si;l by giving lhla vol ars a saM iri all miajor stala bond debt proposals lhlat must ba rapaid 1lulough specific ravanua straams or chlangas imposad dincatly an C alifbrmans ]likla laxos, fCias, rates, tol:Is, on rents. Page I of ,I C-3 Sectiicin .:I. Statemeni ofFlunposc. Zha purpose of this muasura :is 10 bring lila staila';i public ccbt crisisi unc ar controa by gav:ing tha vaturs a say iri aal major stats bond -funded projacils that wiill be paid off thrlough spac'if a nevanuas streams or higher taxes, faas, rates, tolls, or nenils ciollaated frarri Cal:ifurnians, thair chl:ilcnari, aric future gancmataans. S ectiian 4. Seciiion 1.6 its adde d to Aritiic le XVV c f the Caliifarniia Constliiutiion, to Ye ad: Sacilion ]I .E . (a; Notwithlstandmg any other i prclvi saani of law, aal revenua bonds issued or sold by ilho Stailc :in an zunount e:ilhor singly or in ilhu aggragale avar two billion dol] MIS ($2,000,000,000) fklr any sirig]a prajuat financed, ownac, aparated, on mar i agad by Zha Stale musl f rest b( approved by Zha votars at a stataw i da el aat i an. "el ate" maansi the State of Cali fcimJ a, any agancy or deparmant lhlaraof, and any joint powers aganay or similar body araatac by tha Stala on in wKahl thla S1 ata is a member. "S1 ata" as used harain dons nal 'inaluc a a c.iIy, aounlly, aity and aounly, school disilriat, community calllage ci;illrict, or special dislricil. For purposas of this suction, "special cisilriat" refers only to publ.ici entitias fklrmac for lila perfbrinanou of loaaa govarrimental functions within lirniitedboundaric11. (b) A sinigla projeci for wtiahl stala revanua bondsi ane issued or sale in an amclunil over two bialion dol:lans (J$:I,OaCI,0aCI,000; may rial be divided into, on decimad ila ba, multiple selparatu piio.jeals iri order to avoid thle vollciii aflproval naquiremarilsi cornitainad in thlis seclion. Far purpwias of ilhis seationi, multiiplo allagacly separate proleal,i shall ba deamad 1ci conislituilu a siiriglle prajeal in(i]ludin�l, tutrial aimitac to, in lila ftialciw:ing aircumstanaas: (]I) whlcne thle allagccly suparale pnojecls wall ba phly;i� dally or gaographlically proximate to miah ailhar; on (I3f Micro tha aJaged]ly supanata pno.jealsi will t a prlysiaally.joinied or connecilcd to aaah othlen; or (3) we lara ane aalegacly saparata pnojeal cannon acaamplish its stalad furposa without the ciompleillori of analhar allagcdly saparata projeol. (a; Thle two billion dollar ( $:1,aaCI,0aCI,00a; threshold aonlained in ilhi s siaatiani shla]I1 ba adjusted annually to ref] ciat any inaraasa or dacmaaso in inf ation a;i measurad t y tha Clonisumar F ri ae lnclux for A 11 Urban Corisiumars (CM -U) pub li sihac by tha L nited States Bureau of Labor S1aCstic,,i. Tha'llrcasurwi's Offica sheill aalaulata and pub:liishl lila acjusilmants raquirac by this sub div'isic ini. Pagci 7 0114 C-4 Stction 5. Libeiial Consitsiuction. This act shall ba Iibarally aanstruad in order to affticitua7la ills purposes. St aJon 6. Con fi ictir g Mi asiurien (a; Iri thla ement that this maasura avid anolhar maasure or maasuras ralatiiri8 to via71 or approval iiaquiiraments for stale bands shah appear an the samo stalewide aleolion balllot, tha other maasura or m aasuras shawl be doemad to ba in aoriflicl with this maasura. In thle emenit that this maasura reccames a 8raatar rumbar of affirmatiiva votos, the provisions of this maasura shlala premaill ini thair cinitiroly, and the provisions of lha othlor measure or maasures shlala be null] and void. (b) IfIthis maasure is approvad by ihla votcirs buil suparsedcid in whole or in part by any other aanfllictiirig iniiliatMi approved h y thla vcitcir,,i at tela same alactiion, and such cora citing iniilliat:iva _is hater Mold invalid, this m aasura stall ba se-&oxoauting and givon full florae and effect. Sc etion 1 S ew nabibity. Thla provisKins of lhlis Aol aro saverabla. If anyporlion, saation, subdlivisian, paragraph, clause, scintenaa, phtiase, word, or applicalion of lhlis Aol is fkir any raasan Mold to bo irvalid by a dcic'sioni aflany aaurt oflcompellcirit jurisd:iatian, thlal deais:i(in shall nal aff Licit lhla mall idity ofltha romainiiri8 portions of this Acyl. The Poapla of 111a Stala of C alifornia hloreby docilare thlal thay would havo adapilad this Act avid aaahl and every f artiian, secllion, subdivision, paragraph], cllausa, scinlaniae, phlnasci, ward, avid alp:liiaaliori riot dacdarad inmalk- or uniaanstlllulionial wilhoul regarc to whlelhEir any pardon of ihliis Acyl or apfIllicaliori thoraoflwauld bo subsaquaritly daalarad invalid. SE c tion 8. lk Ial DI efensc . If lhii:i Ad as approved by the ualcirs of ilha Slata of Calliforriia avid tharciafter subjoatod to a l agal ahlal l ango alleging a Vi a:l ation of l fcideriall lave, and both) thla Governior and Ai l ornay Gomer€ l rcifu:ia to doftiric thl:is Act, than the ffillowin8 aalions shall h a takan: (a) Notwithstanding anyhin8 to lila aanlrary aanitainad im Chaptar 6 of Part 2 of Div:is'ion 31 of Mtla 2 of Ito Govcirnmant C ode or any alhlcir -law, the Altorniay Gonerall shlall appoint Page] of 4 W, independent coumal to faithfully and vi€jarausly defand this Acit ori behlallf ofltha Slata of Ca_I J fcirnia. (b) Hufkire appointing cm thlareaiilur subsilituting inidupendent counsal, the Attumay Cunaral shlalll uxarciisu due diligenaa :in dutarmining tha qualificialions aflindependent counsal and shall cif tain wi tl cin affirmation from independent coun9ul that inc upundunt ciounse7 will falilhlfu',Ily and vigirausly def Lind this Acit. Thu writtan afErmiat:ian ,Mall ba mads publiclly available upon ruquusl . (c; A cionlinuous apprapr:iation is hlaneby miacu from iglu Genaral Burk to 1hlu Contra'Ier, withloul regard to fiscal years, in an amiaunt nucassary to uover lhlu oasts aflrataining indepandent caunsal to failhfully and vigarausly deftind this Aut an buhlalf oflthci Slata of Callifornia. Pap 4 of 4 C-6 RESOLUTION NO. 2016- A RESOLUTION OF THE CITY COUNCIL OF RANCHO PALOS VERDES IN SUPPORT OF PROPOSITION 54, THE "CALIFORNIA LEGISLATURE TRANSPARENCY ACT OF 2016" THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES DOES RESOLVE AS FOLLOWS: WHEREAS, it is essential to the maintenance of a democratic society that public business by the California Legislature be performed in an open and public manner and residents be given the opportunity to fully review every bill and express their views regarding the bill's merits to their elected representatives, before it is passed; and, WHEREAS, last-minute amendments to bills in the Legislature are frequently pushed through without sufficient opportunities for public comment, or advance notice, providing members of the Legislature with no realistic opportunity to review or debate them, resulting in ill-considered legislation; and, WHEREAS, few citizens have the ability to attend legislative proceedings in person, and many legislative proceedings go completely unobserved by the public and press, often leaving no record of what was said; and, WHEREAS, with the availability of modem recording technology and the Internet, there is no reason why public legislative proceedings should remain relatively inaccessible to the citizens that they serve; and, WHEREAS, California should also follow the lead of other states that require a 72 - hour advance notice period between the time a bill is printed and made available to the public and the time it is put to a vote, allowing an exception only in the case of a true emergency, such as a natural disaster; and, WHEREAS, Proposition 54, the California Legislature Transparency Act, prohibits the Legislature from voting on a bill until it has been published online in its final form for at least 72 hours. In addition, Proposition 54: a. Allows this 72 -hour notice period to be waived to address a state emergency declared by the Governor, followed by a two thirds vote of the legislative body, prior to action being taken on the measure for which the rules are being waived; and, b. Requires the Legislature, by January 1, 2019, to ensure audiovisual recordings of all public proceedings are publicly accessible on the Internet within 24 hours and archived for at least 20 years thereafter (excludes closed session meetings), and allows all recordings of public proceedings to be used for any legitimate purpose. D-1 NOW, THEREFORE, the City Council of the City of Rancho Palos Verdes does hereby resolve as follows: Section 1: The City of Rancho Palos Verdes supports Proposition 54. Section 2: The City of Rancho Palos Verdes will join the "YES on 54" coalition. Section 3: Staff is directed to email a copy of this adopted resolution to Kristi K. Thielen with the "YES on 54" Campaign at kristi acosta-consulting.com. PASSED, APPROVED and ADOPTED this _t" day of October 2016. Mayor ATTEST: City Clerk State of California ) County of Los Angeles ) ss City of Rancho Palos Verdes ) I, Teresa Takaoka, Acting City Clerk of the City of Rancho Palos Verdes, hereby certify that the above Resolution No. 2016-, was duly and regularly passed and adopted by the said City Council at a regular meeting thereof held on October 4, 2016. City Clerk Resolution No. 2016 - Page 2 of 2 D-2 Endorsements: League of Women Voters of California YES California State 0>n 54 Conference of the 1� VOTERS FIRST, NAACP • California Common Cause Californians Aware GIVE POWER BACK TO VOTERS, NOT THE SPECIAL INTERESTS League of California Cities Proposition 54 would rein in the special interests, give voters more access to the legislative First Amendment process, and make sure legislators are working for the voters, not the special interests. Coalition California Forward Special interests have too much influence in the Legislature California Chamber of Commerce Special interests at the State Capitol routinely make last-minute changes to legislation to California Black Chamber push through political favors without public comment or discussion. Hundreds of pages of of commerce legislation are drafted behind closed doors, dropped onto lawmakers' desks, and put to an immediate vote before anyone can read it. This creates reckless legislation benefiting a few California Business Roundtable special interests at the expense of voters. NFIB California Also, although the State Constitution says legislative meetings are supposed to be open to La Raza Roundtable de the public, few people are able to attend those meetings in person. Many proceedings go California completely unobserved by the public and press, often leaving no record of what was said. Latin Business These off-the-record meetings only benefit the lobbyists paid to strike backroom deals Association of California while the public interest is cut out of the process. Hispanic 100 Proposition 54 would give power back to the voters Howard Jarvis Taxpayers Association California Taxpayers Proposition 54 would restore legislative transparency and level the playing field for the Association average voter to hold politicians accountable — by doing three things: Small Business Action 1. Each bill must be in print and posted online for at least 72 hours before it may pass out Committee of either house Los Angeles Area Chamber of Commerce This 72 -hour notice period would give legislators time to review the legislation, hear from San Francisco Chamber their constituents, and be held accountable for the votes they ultimately cast. of Commerce Fresno Chamber of The initiative would prohibit any bill from being passed by either house of the Legislature Commerce until it has been printed and posted online for at least 72 hours. The bill must be printed San Jose/Silicon Valley and posted in its final form before being voted on by either house, so that all amendments NAACP to the bill are made public for at least 72 hours before any floor vote. Monterey County Business Council This would end the practice of special interests sneaking new legislation through the process without public comment or review. And by bringing new legislation out into the Valley contractors Exchange light of day, this initiative would deter political favoritism and allow a responsible evaluation of new policies before they become law. The R Street Institute *Partial List E-1 Paid for by Yes on 54 — Voters First, Not Special Interests, sponsored by Hold Politicians Accountable, with major funding by Charles T. Munger, Jr. 12350 Kerner Blvd #250, San Rafael, CA 94901 The initiative would even specify that, if either house breaks the 72 -hour rule by passing a bill without 72 hours' notice, then the bill cannot become a statute. The initiative allows exceptions to the notice period for cases of emergency when legislation is needed immediately. 2. Requires the Legislature to post online a video record of every legislative meeting that is supposed to be open to the public The initiative would require the Legislature to post a complete video record of each meeting within 24 hours of the meeting's adjournment, allowing citizens to watch legislative meetings and keep informed. The videos would be kept online, freely available for public viewing, for at least 20 years. This would become a valuable resource for the public, the press, and the academic community. Hundreds of local governments already do this. So why can't the State Legislature? Any costs of making or keeping these videos would be absorbed by the Legislature's existing budget so there would be no impact on taxpayers. And these costs would be minor, according to the nonpartisan Legislative Analyst, comprising less than one -percent of the Legislature's existing budget. Plus the Legislature's budget is projected to grow independently next year by enough to easily absorb the costs of this initiative without compromising the level of resources currently available to lawmakers. 3. Allows all individuals to create and share their own recordings of legislative proceedings In addition to creating an official video record, this initiative would guarantee the right of all individuals to freely make their own recordings of any legislative meeting that is supposed to be open to the public, and share the video with any members of the public who are interested. This has been allowed in meetings of city councils and other local boards for years — So why can't the State Legislature catch up? This initiative would liberate the potential of basic modern technology to hold the Legislature accountable for its actions (and its required recording of those actions) and give all citizens the tools they need to be informed and participate in the political process. By enacting these commonsense reforms, Proposition 54 would ensure legislative proceedings are conducted fairly and openly, and enable the public to observe and share what is happening in the Legislature so citizens may more fully participate in the political process. E-2 Paid for by Yes on 54 — Voters First, Not Special Interests, sponsored by Hold Politicians Accountable, with major funding by Charles T. Munger, Jr. 12350 Kerner Blvd #250, San Rafael, CA 94901 November 16, 2015 Initiative Coordinator Office of the Attorney General State of California PO Box 994255 Sacramento, CA 94244-25550 Re: Amendments: Proposed Initiative 15-0083 Dear Initiative Coordinator: 1 vl- ,.ENE, NOV 16 20h INITIATIVE COORDIN 10 ATTORNEY GENE At ,fY ,#:. In accordance with subdivision (b) of Section 9002 of the Elections Code and in connection with the proposed statewide ballot measure ("California Legislature Transparency Act") filed with your office on October 12, 2015, the undersigned proponents submit the enclosed amended text. Please proceed to prepare the Circulating Title and Summary, in light of these amendments. Thank you for your time and attention to this important matter. SUBMITTED BY: CHARLES T. MUNGER, JR. Enclosures SAM BLAKESLEE F-1 November 16, 2015 Initiative Coordinator Office of the Attorney General State of California PO Box 994255 Sacramento, CA 94244-25550 Re: Amendments: Proposed Initiative 15-0083 Dear Initiative Coordinator: In accordance with subdivision (b) of Section 9002 of the Elections Code and in connection with the proposed statewide ballot measure ("California Legislature Transparency Act") filed with your office on October 12, 2015, the undersigned proponents submit the enclosed amended text. Please proceed to prepare the Circulating Title and Summary, in light of these amendments. Thank you for your time and attention to this important matter. SUBMITTED BY: Enclosures F-2 15-0083 AWL #) Initiative Measure to Be Submitted Directly to the Voters SECTION 1. Title. This act shall be known and may be cited as the California Legislature Transparency Act. SECTION 2. Findings and Declarations. The People of the State of California hereby find and declare that: a. It is essential to the maintenance of a democratic society that public business be performed in an open and public manner, and highly desirable that citizens be given the opportunity to fully review every bill and express their views regarding the bill's merits to their elected representatives, before it is passed. b. However, last-minute amendments to bills are frequently used to push through political favors without comment or with little advance notice. c. Moreover, complex bills are often passed before members of the Legislature have any realistic opportunity to review or debate them, resulting in ill-considered legislation. d. Further, although our Constitution currently provides that the proceedings of each house and the committees thereof shall be open and public, few citizens have the ability to attend legislative proceedings in person, and many legislative proceedings go completely unobserved by the public and press, often leaving no record of what was said. e. Yet, with the availability of modern recording technology and the Internet, there is no reason why public legislative proceedings should remain relatively inaccessible to the citizens that they serve. f. Accordingly, to foster disclosure, deliberation, debate, and decorum in our legislative proceedings, to keep our citizens fully informed, and to ensure that legislative proceedings are conducted fairly and openly, our Constitution should guarantee the right of all persons, including members of the press, to freely record legislative proceedings and to broadcast, post, or otherwise transmit those recordings. g. To supplement this right to record legislative proceedings, the Legislature itself should also be required to make and post audiovisual recordings of all public proceedings to the Internet and to maintain an archive of these recordings, which will be a valuable resource for the public, the press, and the academic community for generations to come. h. California should also follow the lead of other states that require a 72 -hour advance notice period between the time a bill is printed and made available to the public and the time it is put to a vote, allowing an exception only in the case of a true emergency, such as a natural disaster. i. The opportunity for an orderly and detailed review of bills by the public, the press, and legislators will result in better bills while thwarting political favoritism and power grabs. j. These measures will have nominal cost to taxpayers, while promoting greater transparency in our legislative proceedings to benefit the People. SECTION 3. Statement of Purpose. In enacting this measure, the People of the State of California intend the following: a. To enable we, the People, to observe through the Internet what is happening and has happened in any and all of the Legislature's public proceedings so as to obtain the information necessary to participate in the political process and to hold our elected representatives accountable for their actions. F-3 b. To enable we, the People, to record and to post or otherwise transmit our own recordings of those legislative proceedings in order to encourage fairness in the proceedings, deliberation in our representatives' decision-making, and accountability. c. To give us, the People, and our representatives the necessary time to carefully evaluate the strengths and weaknesses of the final version of a bill before a vote by imposing a 72 - hour public notice period between the time that the final version is made available to the Legislature and the public, and the time that a vote is taken, except in cases of a true emergency declared by the Governor. SECTION 4. Amendments to Article IV of the California Constitution. Section 4.1. Section 7 of Article IV of the Constitution is amended to read: SEC. 7. (a) Each house shall choose its officers and adopt rules for its proceedings. A majority of the membership constitutes a quorum, but a smaller number may recess from day to day and compel the attendance of absent members. (b) Each house shall keep and publish a journal of its proceedings. The rollcall vote of the members on a question shall be taken and entered in the journal at the request of 3 members present. (c) (1) Except as provided in paragraph (3), Tthe proceedings of each house and the committees thereof shall be open and public. The right to attend open and public proceedings includes the right of any person to record by audio or video means any and all parts of the proceedings and to broadcast or otherwise transmit them; provided that the Legislature may adopt reasonable rules pursuant to paragraph 5 regulating the placement and use of the equipment for recording or broadcasting the proceedings for the sole purpose of minimizing disruption of the proceedings. Any aggrieved party shall have standing to challenge said rules in an action for declaratory and injunctive relief, and the Legislature shall have the burden of demonstrating that the rule is reasonable. (2) Commencing on January 1 of the second calendar year following the adoption of this paragraph, the Legislature shall also cause audiovisual recordings to be made of all proceedings subject to paragraph (l) in their entirety, shall make such recordings public through the Internet within 24 hours after the proceedings have been recessed or adjourned for the day, and shall maintain an archive of said recordings, which shall be accessible to the public through the Internet and downloadable for a period of no less than 20 years as specified by statute. (3) Notwithstanding paragraphs (1) and _(2)er, closed sessions may be held solely for any of the following purposes: (A) To consider the appointment, employment, evaluation of performance, or dismissal of a public officer or employee, to consider or hear complaints or charges brought against a Member of the Legislature or other public officer or employee, or to establish the classification or compensation of an employee of the Legislature. (B) To consider matters affecting the safety and security of Members of the Legislature or its employees or the safety and security of any buildings and grounds used by the Legislature. (C) To confer with, or receive advice from, its legal counsel regarding pending or reasonably anticipated, or whether to initiate, litigation when discussion in open session would not protect the interests of the house or committee regarding the litigation. 2 F-4 (9) A caucus of the Members of the Senate, the Members of the Assembly, or the Members of both houses, which is composed of the members of the same political party, may meet in closed session. (5-3) The Legislature shall implement this subdivision by concurrent resolution adopted by rollcall vote entered in the journal, two-thirds of the membership of each house concurring, or by statute, and in the case of a closed session is -held pursuant to paragraph (34), shall prescribe that reasonable notice of the closed session and the purpose of the closed session shall be provided to the public. If there is a conflict between a concurrent resolution and statute, the last adopted or enacted shall prevail. (d) Neither house without the consent of the other may recess for more than 10 days or to any other place. Section 4.2. Section 8 of Article IV of the Constitution is amended to read: SEC. 8. (a) At regular sessions no bill other than the budget bill may be heard or acted on by committee or either house until the 31 st day after the bill is introduced unless the house dispenses with this requirement by rollcall vote entered in the journal, three fourths of the membership concurring. (b)U1 The Legislature may make no law except by statute and may enact no statute except by bill. No bill may be passed unless it is read by title on 3 days in each house except that the house may dispense with this requirement by rollcall vote entered in the journal, two thirds of the membership concurring. GINo bill may be passed or ultimately become a statute unless ul the bill with ggy amendments has been printed, -and -distributed to the members, and published on the Internet, in its final form, for at least 72 hours before the vote, except that this notice period may be waived if the Governor has submitted to the Legislature a written statement that dispensing; with this notice period for that bill is necessary to address a state of emergency, as defined in paragraph (2) of subdivision (c) of Section 3 of Article XIII B, that has been declared by the Governor, and the house considering the bill thereafter dispenses with the notice period for that bill by separate rollcall vote entered in the journal, two thirds of the membership concurring, prior to the vote on the bill. QJNo bill may be passed unless, by rollcall vote entered in the journal, a majority of the membership of each house concurs. (c) (1) Except as provided in paragraphs (2) and (3) of this subdivision, a statute enacted at a regular session shall go into effect on January 1 next following a 90 -day period from the date of enactment of the statute and a statute enacted at a special session shall go into effect on the 91 st day after adjournment of the special session at which the bill was passed. (2) A statute, other than a statute establishing or changing boundaries of any legislative, congressional, or other election district, enacted by a bill passed by the Legislature on or before the date the Legislature adjourns for a joint recess to reconvene in the second calendar year of the biennium of the legislative session, and in the possession of the Governor after that date, shall go into effect on January 1 next following the enactment date of the statute unless, before January 1, a copy of a referendum petition affecting the statute is submitted to the Attorney General pursuant to subdivision (d) of Section 10 of Article II, in which event the statute shall go into effect on the 91 st day after the enactment date unless the petition has been presented to the Secretary of State pursuant to subdivision (b) of Section 9 of Article II. 3 F-5 (3) Statutes calling elections, statutes providing for tax levies or appropriations for the usual current expenses of the State, and urgency statutes shall go into effect immediately upon their enactment. (d) Urgency statutes are those necessary for immediate preservation of the public peace, health, or safety. A statement of facts constituting the necessity shall be set forth in one section of the bill. In each house the section and the bill shall be passed separately, each by rollcall vote entered in the journal, two thirds of the membership concurring. An urgency statute may not create or abolish any office or change the salary, term, or duties of any office, or grant any franchise or special privilege, or create any vested right or interest. SECTION 5. Amendments of the Government Code Section 5.1. Section 9026.5 of the Government Code is amended to read as follows: 9026.5. Televised or other audiovisual recordings of public proceedings or -a ibitea ttse; vielatiee (a) Televised or other audiovisual recordings of the public proceedings of each house of the Legislature and the committees thereof may be used for any legitimate purpose and without the imposition of anX fee due to the State or any public agency or public corporation thereof. No t_l _-,,_.,_,.ii sigi,, l ,.o,..ef to by the Assembly shall be used fef any polifiea4 . a! pwpose, > bu4 not limited to, to the eleeterte (2) As atithefized by the Assembly, the tfafisffiissien by a third pafty to paid subsefibefs ef an Unedited (b) The Legislature's costs of complying with para rgph (2) of subdivision (c) of Section 7 and of para rg_aph (2) of subdivision (b) of Section 8 of Article IV of the California Constitution shall be included as part of the total aggregate expenditures allowed under Section 7.5 of Article IV of the California Constitution. A,-,yE)f pefsenz„+;,,,, who violates this so„+;,,,, ; guilty „r., sde Section 5.2. Section 10248 of the Government Code is amended to read as follows: 10248. Public computer network; required legislative information (a) The Legislative Counsel shall, with the advice of the Assembly Committee on Rules and the Senate Committee on Rules, make all of the following information available to the public in electronic form: (1) The legislative calendar, the schedule of legislative committee hearings, a list of matters pending on the floors of both houses of the Legislature, and a list of the committees of the Legislature and their members. (2) The text of each bill introduced in each current legislative session, including each amended, enrolled, and chaptered form of each bill. (3) The bill history of each bill introduced and amended in each current legislative session. (4) The bill status of each bill introduced and amended in each current legislative session. 4 F-6 (5) All bill analyses prepared by legislative committees in connection with each bill in each current legislative session. (6) All audiovisual recordings of legislative proceedings that have been caused to be made by the Legislature in accordance with paragraph (2) of subdivision (c) of Section 7 of Article IV. Each recording shall remain accessible to the public through the Internet and downloadable for a minimum period of 20 years following the date on which the recording was made and shall then be archived in a secure format. (6)(7) All vote information concerning each bill in each current legislative session. (7)(8) Any veto message concerning a bill in each current legislative session. (8)(9) The California Codes. (9)(10) The California Constitution. ("(11) All statutes enacted on or after January 1, 1993. (b) The information identified in subdivision (a) shall be made available to the public by means of access by way of the largest nonproprietary, nonprofit cooperative public computer network. The information shall be made available in one or more formats and by one or more means in order to provide the greatest feasible access to the general public in this state. Any person who accesses the information may access all or any part of the information. The information may also be made available by any other means of access that would facilitate public access to the information. The information that is maintained in the legislative information system that is operated and maintained by the Legislative Counsel shall be made available in the shortest feasible time after the information is available in the information system. The information that is not maintained in the information system shall be made available in the shortest feasible time after it is available to the Legislative Counsel. (c) Any documentation that describes the electronic digital formats of the information identified in subdivision (a) and is available to the public shall be made available by means of access by way of the computer network specified in subdivision (b). (d) Personal information concerning a person who accesses the information may be maintained only for the purpose of providing service to the person. (e) No fee or other charge may be imposed by the Legislative Counsel as a condition of accessing the information that is accessible by way of the computer network specified in subdivision (b). (f) The electronic public access provided by way of the computer network specified in subdivision (b) shall be in addition to other electronic or print distribution of the information. (g) No action taken pursuant to this section shall be deemed to alter or relinquish any copyright or other proprietary interest or entitlement of the State of California relating to any of the information made available pursuant to this section. SECTION 6. Defense of Initiative Measure. Section 6.1. Section 12511.5 is added to the Government Code to read as follows: Section 12511.5. Defense of the California Legislature Transparency If an action is brought challenging, in whole or in part, the validity of the California Legislature Transparency Act, the following shall apply: (a) The Legislature shall continue to comply with the act unless it is declared unconstitutional pursuant to a final judgment of an appellate court. F-7 (b) Except as set forth in subdivision (c), the Attorney General shall defend against an ay ction challenging, in whole or in part, the validity of the act, and shall have an unconditional right to intervene in any action addressing the validity of the act. (c) If the Attorney General declines to defend the validity of the act in any action, the Attorney General shall nonetheless file an appeal from, or seek review of, My judgment of any court that determines that the act is invalid, in whole or in part, if necessary or appropriate to preserve the State's standing to defend the law in conformity with the Attorney General's constitutional duty to see that the laws of the State are adequately enforced. (d) The official proponents of the act have an unconditional right to participate, either as interveners or real parties in interest, in any action affecting the validity or interpretation of the act. Where the Governor and Attorney General have declined to defend the validity of the act, the official proponents are also authorized to act on the State's behalf in asserting the State's interest in the validity of the act in any such action and to appeal from any judgment invalidating the act. (e) Nothing in this section precludes other public officials from asserting the State's interest in the validity of the act. SECTION 7. Repeal of any Conflicting Statute Proposed at the Primary Election. If the Legislature places a measure on the ballot for the June 2016 primary election that is approved by a majority of votes thereon, any provision of that measure that is inconsistent with, or interferes in any way with, the purpose or provisions adopted by this initiative measure shall be rendered void and without legal effect. SECTION 8. Severability. The provisions of this act are severable. If any provision of this act or its application is held to be invalid, that invalidity shall not affect the other provisions or applications that can be given effect in the absence of the invalid provision or application. Without limiting in any way the generality of the foregoing, the voters declare (1) that the amendments to Section 7 of Article IV of the California Constitution are severable from the amendments to Section 8 of Article IV of the California Constitution, (2) that the Legislature's obligations to cause to be made, to make public, and to maintain audiovisual recordings of legislative proceedings are severable from the right of any person to record the proceedings and broadcast or otherwise transmit such recordings pursuant to the amendments to Section 7 of Article IV, (3) that the right to record proceedings is severable from the right to broadcast or otherwise transmit the recordings, and (4) that the statutory amendments of this initiative measure are severable from the constitutional amendments. SECTION 9. Amendments. The statutory provisions of this act shall not be amended except upon approval of the voters, except that the Legislature may amend Government Code section 10248, subdivision (a)(6) to extend the time that recordings shall remain accessible to the public through the Internet and downloadable by passing a statute by a rollcall vote entered in the journal, a majority of the membership of each house concurring. 6 F-8 SECTION 10. Conflicting Ballot Propositions. (a) In the event that this initiative measure and any other measure or measures that relate to the transparency of the legislative process with respect to any of the matters addressed herein are approved by a majority of voters at the same election, and this initiative measure receives a greater number of affirmative votes than any other such measure or measures, this initiative measure shall control in its entirety and the other measure or measures shall be rendered void and without legal effect. (b) If this initiative measure and a statutory measure placed on the ballot by the Legislature are approved by a majority of voters at the same election, the constitutional amendments in this initiative measure shall control over any statutory measure placed on the ballot by the Legislature to the extent that the statutory measure conflicts with, is inconsistent with, or interferes with the purpose, intent, or provisions of this initiative measure. (c) If this initiative measure is approved by voters but is superseded in whole or in part by any other conflicting measure approved by the voters and receiving a greater number of affirmative votes at the same election, and the conflicting measure or superseding provisions thereof are subsequently held to be invalid, the formerly superseded provisions of this initiative measure, to the extent superseded by the subsequently invalidated provisions of the conflicting measure, shall be self-executing and given the full force of law. 7 F-9