1 BEFORE THE CALIFORNIA STATE BOARD OF EQUALIZATION 2 450 N STREET 3 SACRAMENTO, CALIFORNIA 4 5 6 REPORTER'S TRANSCRIPT 7 OCTOBER 22, 2019 8 9 10 11 ITEM K 12 OTHER ADMINISTRATIVE MATTERS; 13 ITEM K4 14 LEGISLATIVE, RESEARCH & STATISTICS DIVISION 15 CHIEF'S REPORT 16 17 18 19 20 21 22 23 24 25 26 27 REPORTED BY: Jillian M. Sumner 28 CSR NO. 13619 1 1 P R E S E N T 2 3 For the Board of Honorable Malia S. Cohen Equalization: Chair 4 Honorable Antonio Vazquez 5 Vice Chair 6 Honorable Ted Gaines First District 7 Honorable Mike Schaefer 8 Fourth District 9 Yvette Stowers Appearing for Betty T. 10 Yee, State Controller (per Government Code 11 Section 7.9) 12 For the Board of 13 Equalization Staff: Mark Durham 14 Chief Legislative, Research & 15 Statistics Division 16 Toya Davis Clerk 17 Board Proceedings 18 ---oOo--- 19 20 21 22 23 24 25 26 27 28 2 1 450 N STREET 2 SACRAMENTO, CALIFORNIA 3 OCTOBER 22, 2019 4 ---oOo--- 5 MS. DAVIS: Our next item is K4a, 6 Legislative, Research and Statistics Division, 7 Chief's Report. 8 Mr. Durham will provide an update on 9 legislative bills impacting the BOE. 10 MR. DURHAM: Good afternoon. 11 MS. COHEN: Good afternoon. 12 MR. DURHAM: Good afternoon, Chair Cohen and 13 Honorable Members. I'm Mark Durham with the 14 Legislative, Research and Statistics Division. 15 As I usually do at these meetings, I'll just 16 give you a brief update on the legislative calendar. 17 October 13th was the last day for the 18 governor to sign or veto bills. 19 January 1st, 2020 is when the statutes 20 usually take effect, unless otherwise noted. 21 And then January 6th, 2020 is when the 22 Legislature reconvenes. 23 So what I want to do is give you kind of our 24 little section of accomplishments over the past year. 25 So we've tracked 128 bills; 48 of those 26 were property tax; 24 were alcoholic beverage; 3 were 27 tax on insurers; and 53 of those were administrative 28 bills. 3 1 We also did 8 position letters; 5 letters of 2 support; one for AB 872; one for SB 562; two for SB 3 577; and one for Senate Bill 791. 4 There are also three opposed letters; one 5 for AB 576; and two for ACA 2. 6 We've also prepared 42 weekly legislative 7 updates for the Board. And we're also tracking four 8 initiatives for the November 3rd, 2020 ballot. 9 So for the 2019 legislative session there 10 are 1,042 bills that were presented to the governor. 11 He signed 872 of those, or 83-and-a-half percent. He 12 vetoed 170 of those, or about 16.5 percent. 13 Looking at the 128 bills that the BOE 14 tracked for the property tax, of the 48 bills, 21 of 15 those were chaptered, 25 are carried over, and 2 of 16 those were vetoed. 17 For alcoholic beverage there are 24 bills; 18 11 of those were chaptered, 10 were carried over. 19 MS. COHEN: I'm sorry. When you say 20 "chaptered" -- 21 MR. HARRIS: Chaptered is he signed it, and 22 it was chaptered with the Secretary of State. 23 MS. COHEN: Oh, okay. 24 MR. HARRIS: And three of those failed. 25 For the tax on the insurers, there were 26 three of those; one was chaptered, and two were 27 carried over. 28 And then for the State Administration, of 4 1 the 53, 16 were chaptered, 30 were carried over, and 2 7 of those were vetoed. 3 Some of the bills that were of interest for 4 the Board of Equalization that were chaptered was 5 AB 608, Petrie-Norris, Chapter 92. This was the 6 low-value exemption. 7 AB 872, Aguiar-Curry, Chapter 685. This is 8 the change in ownership exclusion. 9 Senate Bill 196 was the Beall, Chapter 669. 10 This was the community land trust welfare exemption. 11 And the Senate Bill 791, the Governance and 12 Finance Committee Bill, Chapter 333. This is for the 13 valuation of the certificated aircraft. 14 Bills that were vetoed that were of interest 15 to the Board of Equalization was for property tax, 16 AB 885. This is the Irwin. It was the new 17 construction exclusion; misfortune and calamity. 18 Property Tax Senate Bill 294, which is Hill. 19 This is the welfare exemption for low-income housing. 20 And for Administration, Senate Bill 577, 21 Hueso Bill. This is for the BOE/CDTFA 22 administration. 23 And that concludes my update. 24 MS. COHEN: Colleagues, any other questions 25 or issues that you'd like to bring in front of 26 Mr. Durham? 27 I have none. 28 Ms. Stowers, do you have anything? 5 1 You, sir? 2 MR. VAZQUEZ: I'm good. 3 MS. COHEN: Okay. 4 All right. Thank you for your presentation. 5 We're going to move on. 6 ---o0o--- 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 6 1 REPORTER'S CERTIFICATE 2 3 State of California ) 4 ) ss 5 County of Sacramento ) 6 7 I, Jillian Sumner, Hearing Reporter for 8 the California State Board of Equalization, certify 9 that on October 22, 2019 I recorded verbatim, in 10 shorthand, to the best of my ability, the 11 proceedings in the above-entitled hearing; that I 12 transcribed the shorthand writing into typewriting; 13 and that the preceding pages 1 through 7 14 constitute a complete and accurate transcription of 15 the shorthand writing. 16 17 Dated: November 7, 2019 18 19 20 ____________________________ 21 JILLIAN SUMNER, CSR #13619 22 Hearing Reporter 23 24 25 26 27 28 7