AB 137

Bill Subjects

Abstract

(1) The California Consumer Privacy Act of 2018 (CCPA) grants to a consumer various rights with respect to personal information, as defined, that is collected by a business, as defined, including the right to request that a business delete personal information about the consumer that the business has collected from the consumer. The California Privacy Rights Act of 2020, an initiative measure approved by the voters as Proposition 24 at the November 3, 2020, statewide general election, amended, added to, and reenacted the CCPA. The CCPA establishes the California Privacy Protection Agency with full administrative power, authority, and jurisdiction to implement and enforce the CCPA. The CCPA creates the Consumer Privacy Fund in the State Treasury and makes moneys in the fund available upon appropriation by the Legislature first to offset any costs incurred by the state courts in connection with actions brought to enforce the CCPA, the costs incurred by the Attorney General in carrying out the Attorney General's duties under the CCPA, and then for the purposes of establishing an investment fund in the State Treasury, with any earnings or interest from the fund to be deposited into the General Fund, and making grants to promote and protect consumer privacy, educate children in the area of online privacy, and fund cooperative programs with international law enforcement organizations to combat fraudulent activities with respect to consumer data breaches, as prescribed. This bill would revise and restructure the Consumer Privacy Fund by creating the Consumer Privacy Subfund, the Attorney General Consumer Privacy Enforcement Subfund, and the Consumer Privacy Grant Subfund within the fund. The bill would require moneys in the fund and each subfund to be used for prescribed purposes, and make moneys in the fund and each subfund available upon appropriation by the Legislature. The bill would require 95% of any administrative fine recovered in an action brought by the agency for a violation of the CPPA, and of the proceeds of any settlement of those actions, to be deposited into the Consumer Privacy Subfund to be used exclusively by the agency in carrying out its duties under the CCPA, and 95% of any civil penalty recovered in an action brought by the Attorney General for a violation of the CCPA to be deposited into the Attorney General Consumer Privacy Enforcement Subfund to be used exclusively by the Attorney General in carrying out its duties under the CCPA. The bill would require 5% of any administrative fine recovered in an action brought by the agency for a violation of the CCPA, and of the proceeds of any settlement of those actions, to be deposited into the Consumer Privacy Grant Subfund, and 5% of any civil penalty recovered in an action brought by the Attorney General for a violation of the CCPA to be deposited into that subfund. The bill would require funds deposited into the Consumer Privacy Grant Subfund to be used exclusively by the agency to administer and distribute grants to promote and protect consumer privacy, educate children in the area of online privacy, and fund cooperative programs with international law enforcement organizations to combat fraudulent activities with respect to consumer data breaches. The bill would require the agency, subject to that provision, to make grants from the subfund by distributing 13 of the amount allocated for grant funding to specified grant recipients, including nonprofit organizations to promote and protect consumer privacy. The bill would require the agency to begin administering the grant program when the amount of funds within the subfund exceeds $300,000. The bill would require specified percentages of any remaining funds in the Consumer Privacy Fund that were not appropriated as part of the 2025 Budget Act to be transferred on a one-time basis in the 2025–26 fiscal year to each subfund, including that 45% is transferred to the Consumer Privacy Subfund, 45% is transferred to the Attorney General Consumer Privacy Enforcement Subfund, and 10% is transferred to the Consumer Privacy Grant Subfund. This bill would declare that the above provisions further the purposes and intent of the California Privacy Rights Act of 2020. (2) Existing law establishes the Department of Financial Protection and Innovation and gives the department the responsibility for administering various laws. Existing law establishes the Financial Protection Fund to support the department in the administration of these laws, and requires that all expenses and salaries of the department be paid out of the fund, upon appropriation by the Legislature for these purposes. Existing law provides that the chief officer of the department is the Commissioner of Financial Protection and Innovation. Existing law requires various entities to pay various fees to the commissioner for various services or licenses provided by the commissioner and the department. This bill would change some of those fees, as specified. The bill would also make other technical changes. (3) When a state or local agency is required or requested by law to submit a report to the Legislature, existing law requires submission of the report as a printed copy to the Secretary of the Senate, an electronic copy to the Chief Clerk of the Assembly, and an electronic or printed copy to the Legislative Counsel. This bill would instead require a state or local agency report to the Legislature to be submitted as electronic copies to the Secretary of the Senate, the Chief Clerk of the Assembly, and the Legislative Counsel. (4) Existing law requires a state agency to review all proprietary state lands under its jurisdiction, as specified, to determine what land is in excess of its needs, and to report on these lands to the Department of General Services. Existing law prescribes a process for the disposition of surplus state property. This bill would require the Secretary of the Department of Corrections and Rehabilitation, upon approval from the Department of Finance, to notify the Department of General Services and the Joint Legislative Budget Committee of any state real property under its jurisdiction that has been determined to be excess to its needs. The bill would authorize the Department of General Services, upon authorization by the Legislature, to sell, lease, exchange, or otherwise dispose of excess state real property under the jurisdiction of the Department of Corrections and Rehabilitation, as specified. Notwithstanding those provisions, the bill would authorize the Department of General Services to execute leases for those properties, as provided. The bill would require that revenues received pursuant to the bill's provisions, except those deposited into the Deficit Recovery Bond Retirement Sinking Fund Subaccount and the Special Fund for Economic Uncertainties, and those used to reimburse costs and expenses incurred by the Department of General Services, be deposited into the Property Acquisition Law Money Account and be available for transfer into the Architectural Revolving Fund for expenditure by the Department of General Services to improve the likelihood of successful redevelopment of the property, as provided. Because the bill would require revenues to be transferred into continuously appropriated accounts and funds, it would make an appropriation. (5) Existing law generally requires a state agency to obtain written consent of the Attorney General before employing in-house counsel, as defined, to represent a state agency or employee in any judicial or administrative adjudicative proceeding, or contracting with outside counsel, as defined. Existing law exempts specified circumstances from these requirements, including the employment by certain state officers and agencies or when specifically waived pursuant to other provisions. Existing law specifies that provisions relating to legal representation of state agencies do not prohibit a state agency from obtaining legal services from the Attorney General for any purpose. This bill would also exempt the employment of outside counsel for specified purposes relating to civil discovery from the above-described requirement to obtain written consent of the Attorney General. The bill would revise and recast the latter provision to instead specify these provisions do not prohibit a state agency from requesting legal representation or legal services from the Attorney General for any purpose. Existing law prohibits a state agency from employing any in-house counsel to act on behalf of the state agency or its employees in any judicial or administrative adjudicative proceeding in which, among other things, the agency is interested, or from contracting with outside counsel or any purpose, unless the agency has first obtained the written consent of the Attorney General, as described above. Existing law exempts from this prohibition, among other state officers and agencies, the Regents of the University of California. This bill would also include the office of the Governor among the state officers and agencies that are exempt from the prohibition on employing in-house counsel without obtaining written consent of the Attorney General as described above, and would also exempt from that prohibition the representation of a state agency related to civil discovery in any action brought by the Attorney General in their independent capacity on behalf of the people of the State of California or the State of California, as specified. The bill would specify that nothing in the latter exemption prohibits a state agency from requesting representation from the Attorney General in any other proceeding, and specify that the purpose of the prohibition is to promote fiscal efficiency and economy. Existing law states the intent of the Legislature that the overall efficiency and economy in state government is to be enhanced by the employment of the Attorney General as counsel for the representation of state agencies and employees in judicial and administrative adjudicative proceedings. This bill would specify that it is the overall fiscal efficiency and economy in state government that is to be enhanced as described above, and make additional findings and declarations related to its provisions. The bill would specify, among other things, that the Attorney General has no possession, custody, or control over any state agency's documents or electronically stored information for purposes of criminal or civil discovery or any other purpose. (6) Existing federal law, the Indian Gaming Regulatory Act, provides for the negotiation and execution of tribal-state gaming compacts for the purpose of authorizing certain types of gaming on Indian lands within a state. The California Constitution authorizes the Governor to negotiate and conclude compacts, subject to ratification by the Legislature. Existing law ratifies a number of tribal-state gaming compacts between the State of California and specified Indian tribes. Existing law creates in the State Treasury the Indian Gaming Special Distribution Fund for the receipt and deposit of moneys received by the state from Indian tribes pursuant to the terms of gaming compacts entered into with the state. Existing law authorizes moneys in the Indian Gaming Special Distribution Fund to be appropriated for certain purposes, including, among others, for programs designed to address gambling addiction, support of state and local governmental agencies impacted by tribal government gaming, and compensation for regulatory costs incurred in connection with implementing and administering tribal-state gaming compacts. Existing law establishes an order of priority for funding in the Indian Gaming Special Distribution Fund. This bill would delete the authorization for moneys in the fund to be appropriated for support of state and local governmental agencies impacted by tribal government gaming. The bill would authorize moneys in the fund to be appropriated for compensation for regulatory costs incurred in connection with implementing and administering class III gaming secretarial procedures. The bill would delete the order of priority for funding. (7) Existing law creates the California Small Business Technical Assistance Program within the California Office of Small Business Advocate, under the direct authority of the Small Business Advocate. Existing law requires the office to administer the program to provide grants to expand the capacity of small business development technical assistance centers in California, as specified. Existing law also requires the office, subject to appropriation of necessary funds by the Legislature, to establish a supplemental grant program designated as the California Dream Fund Program to provide microgrants disbursed through California Small Business Technical Assistance Program grantees to seed entrepreneurship and small business creation. Existing law sets forth the criteria that an applicant must meet to be eligible to participate in these programs. This bill would, if an applicant's federal contract was canceled, frozen, or rescinded, except as specified, in the 2024–25 fiscal year, for grants made in fiscal years 2025–26 to 2027–28, inclusive, establish, until June 30, 2029, specified exceptions and modifications to the eligibility criteria. The bill would require the office to review and confirm that the applicant continues to meet state performance standards and provides high-quality, equitable technical assistance services, and to report its findings and actions to the Legislature. (8) The Bergeson-Peace Infrastructure and Economic Development Bank Act establishes the Infrastructure and Economic Development Bank (I-Bank) in the Governor's Office of Business and Economic Development, that is governed by a board of directors. Existing law, the Climate Catalyst Revolving Loan Fund Act of 2020, authorizes the I-Bank, under the Climate Catalyst Revolving Loan Fund Program, to provide financial assistance to any eligible sponsor or participating party for eligible climate catalyst projects, either directly to the sponsor or participating party or to a lending or financial institution, as specified. Existing law establishes the Climate Catalyst Revolving Loan Fund within the State Treasury, which is continuously appropriated for purposes of the program, except as specified. Existing law requires the I-Bank to adopt a climate catalyst financing plan, as defined, in consultation with specified state agencies. Existing law identifies areas of climate catalyst projects and consulting agencies for each area. This bill would revise and recast the above-described climate catalyst financing plan provisions to instead require the I-Bank to adopt a climate catalyst plan for each category of climate catalyst projects identified, in consultation with the corresponding consulting agencies. The bill would rename the act, program, and fund, as specified, and would make conforming changes throughout. Existing law requires the I-Bank by January 1 of each year, to submit to prescribed recipients a report containing information on the I-Bank's activities relating to the infrastructure bank fund and programs for the preceding fiscal year. This bill would additionally require the I-Bank to submit the above-described report to the legislative budget subcommittees related to the climate. The bill would also require the I-Bank to provide written notification to the Joint Legislative Budget Committee when federal funds are fully recycled into state dollars before committing to any additional financing projects. Existing law requires the I-Bank, in each fiscal year following the adoption of the initial climate catalyst financing plan, to contact each consulting agency to discuss potential revisions to the plan and requires the I-Bank to consider adopting a revised plan reflecting any material revisions. This bill would instead authorize the I-Bank to consider adopting a revised climate catalyst financing plan if consultation with the consulting agencies results in proposed revisions. The bill would require any revisions to, or repeals of, a climate catalyst financing plan to take effect 30 days after the I-Bank provides written notice to the Joint Legislative Budget Committee, or not sooner than whatever lesser time after that notification the chairperson of the joint committee, or the chairperson's designee, may determine. The bill would remove the State Energy Resources Conservation and Development Commission, the State Air Resources Board, the Department of Conservation, and the Department of Resources, Recycling, and Recovery as consulting agencies for climate catalyst projects relating to the federal Greenhouse Gas Reduction Fund. Existing law requires the I-Bank, by January 1 of each year, to prepare and submit a report regarding Climate Catalyst Revolving Loan Fund Program activity, including specified financing information. This bill would additionally require that the above-described report include the total amount of federal moneys applied to the climate catalyst project. Existing law authorizes the I-Bank to provide financial assistance only for climate catalyst projects that the I-Bank approved before July 1, 2025. This bill would extend the July 1, 2025, date to December 31, 2031, thereby extending the financial assistance authorization. By extending the operation of a continuously appropriated fund, this bill would make an appropriation. Existing law exempts from public disclosure specified financial information and records provided to the I-Bank on and after August 1, 2022, and before July 1, 2025. This bill would extend the July 1, 2025, date to January 1, 2032. Existing constitutional provisions require that a statute that limits the right of access to the meetings of public bodies or the writings of public officials and agencies be adopted with findings demonstrating the interest protected by the limitation and the need for protecting that interest. This bill would make legislative findings to that effect. (9) The Planning and Zoning Law requires each county and city to adopt a comprehensive, long-term general plan that includes, among other mandatory elements, a housing element. Existing law requires the city or county's planning agency, after the legislative body has adopted a general plan, to submit an annual report to the legislative body, the Office of Land Use and Climate Innovation, and the Department of Housing and Community Development. Existing law requires the housing element portion of the annual report to be prepared through the use of standards, forms, and definitions adopted by the Department of Housing and Community Development and exempts those standards, forms, and definitions from the rulemaking requirements of the Administrative Procedure Act. This bill would similarly require the annual report, except for the housing element portion as described above, to be prepared through the use of standards, forms, and definitions adopted by the Office of Land Use and Climate Innovation and would also exempt these standards, forms, and definitions from the rulemaking requirements of the Administrative Procedure Act. By imposing new duties on a city or county's planning agency, this bill would impose a state-mandated local program. Chapter 41 of the Statutes of 2024 renamed the Governor's Office of Planning and Research the Office of Land Use and Climate Innovation and requires all references to the Governor's Office of Planning and Research to be deemed references to the Office of Land Use and Climate Innovation. This bill would correct an outdated reference to the Office of Planning and Research. (10) Existing law establishes the Integrated Climate Adaptation and Resiliency Program, administered by the Office of Land Use and Climate Innovation, and requires the office to develop the California Climate Change Assessment to provide, among other products, reports that examine how climate change will affect the welfare of vulnerable communities and decision-support tools for organizations that serve vulnerable communities. For these and related purposes, existing law defines "vulnerable communities" as having the meaning of "vulnerable communities" that was adopted by the Integrated Climate Adaption and Resiliency Program Technical Advisory Council at the council's April 2, 2018, meeting and recorded in the "Defining Vulnerable Communities in the Context of Climate Adaptation" resource guide published by the office in July 2018. This bill would provide that, for these and related purposes, "vulnerable communities" has the meaning of "vulnerable communities" adopted by the council in the most up-to-date "Defining Vulnerable Communities in the Context of Climate Adaptation" resource guide published by the office. (11) Existing law, the California Hope, Opportunity, Perseverance, and Empowerment (HOPE) for Children Trust Account Act, establishes a program to provide a trust fund account to an eligible child. For purposes of that act, an "eligible child" is defined to include minor residents of California who are specified dependents or wards under the jurisdiction of the juvenile court in foster care with reunification services terminated by court order, or who have a parent, Indian custodian, or legal guardian who died due to COVID-19 during the federally declared COVID-19 public health emergency and meet a specified family household income limit. Existing law establishes the HOPE for Children Trust Account Fund in the State Treasury, and continuously appropriates moneys in the fund to the board and Treasurer for implementation of the program. This bill would expand the definition of "eligible child" to include residents of California who are 18 years of age or older who, prior to attaining 18 years of age, had a parent, Indian custodian, or legal guardian who died due to COVID-19 during the federally declared COVID-19 public health emergency and met the specified family household income limit, thereby expanding eligibility for a HOPE trust account. By expanding eligibility for HOPE trust accounts, which are funded through a continuously appropriated fund, this bill would make an appropriation. (12) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason. (13) This bill would declare that it is to take effect immediately as a bill providing for appropriations related to the Budget Bill.