Bill Text: CA SB911 | 2011-2012 | Regular Session | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: State contracts: multistate corporations.

Spectrum: Partisan Bill (Democrat 3-0)

Status: (Engrossed - Dead) 2012-08-13 - Re-referred to Com. on RLS. [SB911 Detail]

Download: California-2011-SB911-Amended.html

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BILL NUMBER: SB 911	AMENDED
	BILL TEXT

	AMENDED IN SENATE  APRIL 26, 2011
	AMENDED IN SENATE  APRIL 4, 2011
	AMENDED IN SENATE  MARCH 22, 2011

INTRODUCED BY   Senator De León
    (   Coauthors:   Assembly Members 
 Blumenfield   and Portantino   ) 

                        FEBRUARY 18, 2011

   An act to  amend Section 15280 of the Education Code, and to
 amend Section 53411 of  , and to add Section 53411.5
to,  the Government Code, relating to local agency finance.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 911, as amended, De León. Local agency bonds:  report
  reports  . 
    Existing 
    (1)     Existing  law requires the
chief fiscal officer of a local agency issuing bonds to file an
annual report with the governing body of the local agency with
respect to the amount of funds collected and expended generally, and
the status of any project required or authorized to be funded from
the proceeds of the bonds.
   This bill would additionally require the report to include a bond
fund transparency component, to include specified information for
each expenditure of bond proceeds  in excess of $5,000  .
 It   This bill  would require this
information to also be posted on the agency's Internet Web site. 
This bill would provide that failure to submit the report on time
shall result in a suspension of bond proceeds until the report is
submitted.  
   This bill would also require each issuing agency to develop and
implement a bond issuance ethics policy, to include specified
components, no later than January 1, 2013.  
   (2) Existing law requires that if a bond measure that provides
financing for certain types of school facilities is approved by
voters, then the governing board of a school district or community
college shall establish a citizens oversight committee. Existing law
requires the citizen oversight committee to issue a report on its
activities at least once a year.  
   This bill would provide that if the citizens oversight committee
fails to issue a report at least once a year, no bond proceeds may be
expended until a report is issued. 
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  It is the intent of the Legislature in enacting this
measure to provide greater transparency and accountability in the
bond financing process, so the public can readily review how the
proceeds of taxpayer-authorized bonds are spent.
   SEC. 2.    Section 15280 of the   Education
Code   is amended to read: 
   15280.  (a) The governing board of the district shall, without
expending bond funds, provide the citizens' oversight committee with
any necessary technical assistance and shall provide administrative
assistance in furtherance of its purpose and sufficient resources to
publicize the conclusions of the citizens' oversight committee.
   (b) All committee proceedings shall be open to the public and
notice to the public shall be provided in the same manner as the
proceedings of the governing board. The citizens' oversight committee
shall issue regular reports on the results of its activities. A
report shall be issued at least once a year. Minutes of the
proceedings of the citizens' oversight committee and all documents
received and reports issued shall be a matter of public record and be
made available on an Internet website maintained by the governing
board. 
   (c) If the citizens oversight committee fails to issue a report at
least once a year pursuant to subdivision (b), no bond proceeds may
be expended until a report is issued. 
   SEC. 2.   SEC. 3.   Section 53411 of the
Government Code is amended to read:
   53411.  The chief fiscal officer of the issuing local agency shall
file a report with its governing body no later than January 1, 2002,
and at least once a year thereafter.  Failure to file the report
by the annual deadline shall result in a suspension in the
expenditure of bond proceeds until the report is submitted.  The
annual report shall contain all of the following:
   (a) The amount of funds collected and expended.
   (b) The status of any project required or authorized to be funded
as identified in subdivision (a) of Section 53410.
   (c) (1) A bond fund transparency component, including all of the
following information for each expenditure of bond proceeds  in
excess of five thousand dollars ($5,000)  :
   (A) The name and principal location of each recipient of funds.
   (B) The amount of the expenditure.
   (C) The type of transaction.
   (D) The identity of the local agency or authorized entity making
the expenditure.
   (E) The funding source for the expenditure.
   (F) A brief description of any item or service purchased pursuant
to the expenditure.
   (2) This information shall also be posted on the agency's Internet
Web site in a format accessible to the public.
   (3) This subdivision shall not be construed to require the
disclosure of information deemed confidential or otherwise exempt
from disclosure under state or federal law. 
  SEC. 3.    Section 53411.5 is added to the
Government Code, to read:
   53411.5.  (a) Each issuing agency shall develop and implement a
bond issuance ethics policy, to do at least both of the following:
   (1) Address conflict of interest rules.
   (2) Provide for a process for ethics complaints and violations to
be reported and rules to be enforced.
   (b) The ethics policy shall be posted on the agency's Internet Web
site.
   (c) (1) The ethics policy shall be implemented no later than
January 1, 2013.
   (2) The proceeds of bonds approved after January 1, 2012 may not
be expended until the ethics policy has been implemented.