A new government-run retirement program: On Thursday, Gov. Brown signed Senate Bill 1234, which gives legislative approval to the state’s continuing efforts to create a new government-run retirement program for private-sector employees. Once it is up and running, private employers (with five or more employees) will be required to offer this program, whereby 3 percent of each employees’ earnings will be deducted and invested by a state-selected investment group – possibly, the California Public Employees’ Retirement System (CalPERS).

Employees can opt out. The details are not yet certain, but the goal is to invest the money in a low-risk investment tied to the Treasury bond. Supporters say the law protects taxpayers from incurring more than minimal costs, but critics insist the program could grow and change in ensuing years – and that there’s no way of creating a massive new government program without imposing risks on the state budget.

The idea, which is being pitched in other states too, grew out of union activism. Several years ago, when publicity over unfunded public-pension liabilities began creating pressure for pension reform, union allies wanted to come up with a “positive” rebuttal to all those news stories about six-figure pensions and pension-spiking gimmicks. This idea is designed help private workers.

Putting limits on ‘policing for profit’: One of the most controversial policing strategies in recent years has been “civil asset forfeiture.” Born out of the nation’s drug war in the 1980s, forfeiture was designed to help police agencies crack down on drug kingpins by allowing departments to grab the cash, cars and properties gained through their illegal activities. But like many government programs, asset forfeiture morphed into something its creators never envisioned.

Two of the men who helped create the program in the U.S. Department of Justice, John Yoder and Brad Cates, wrote an op-ed in The Washington Post in 2014 pointing to the corruption engendered by this process: “Law enforcement agents and prosecutors began using seized cash and property to fund their operations, supplanting general tax revenue, and this led to the most extreme abuses: law enforcement efforts based upon what cash and property they could seize to fund themselves, rather than on an even-handed effort to enforce the law.”

Basically, police agencies came to depend on the revenue and they distorted their law-enforcement priorities based on the chance to grab more cash. There’s no due process here, given that police agencies file suit against the property itself, alleging it was involved in a drug crime. No conviction is necessary. California had previously passed reforms that mostly required a conviction, but police agencies got around that by partnering with the feds (and operating under looser federal standards) and then splitting the seized property.

Senate Bill 443 was killed last year after lobbying efforts by police chiefs and other law-enforcement agencies. But a fairly recent amendment – allowing cops to still take large amounts of cash without a conviction, but limiting smaller amounts of cash and property takings – eliminated most opposition from law enforcement. The new law is meaningful, and one of the more substantive compromises to take place in Sacramento this year.

Giving the terminally ill the right to try: One of the more significant “freedom” battles this year was over the so-called “right to try” – i.e., the ability of terminally ill patients to try experimental drug treatments that have yet to gain final approval from the Food and Drug Administration. Similar measures have been approved by 31 other states.

The Goldwater Institute, a Phoenix-based free-market think tank, has been championing these measures across the country. As Goldwater explains: “The FDA … often stands between the patients and the treatments that may alleviate their symptoms or provide a cure. To access these treatments, patients must either go through a lengthy FDA exemption process or wait for the treatments to receive FDA approval, which can take a decade or more and cost hundreds of millions of dollars.”

The California law, Assembly Bill 1668, passed overwhelmingly. According to the official bill analysis, it authorizes drug manufacturers to make investigational treatment available “to a patient with a serious or immediately life-threatening disease, when that patient has considered all other treatment options currently approved by the FDA, has been unable to participate in a relevant clinical trial, and for whom the investigational drug has been recommended by the patient’s primary physician and a consulting physician.”

Allowing felons to vote: One of the more controversial new laws, Assembly Bill 2466 by Assemblywoman Shirley Weber, D-San Diego, allows felons who are serving their sentence in county jails to vote. The measure was opposed by law-enforcement groups, but Weber argued it would stop discrimination in voting and make it less likely that prisoners would commit new offenses.

“Civic participation can be a critical component of re-entry and has been linked to reduced recidivism,” Weber said, according to a Los Angeles Times report. “For me, this bill is not about second chances, but about maintaining the integrity of elections,” said Sen. Pat Bates, R-Laguna Niguel, in a statement. “Close elections, especially at the local level, could now turn on a handful of ballots cast by people in jail. This new law is bad for democracy and will further erode trust in government.”

Putting self-driving cars on the road: Autonomous vehicle technology has been advancing rapidly, and California is, not surprisingly, ground zero for the development of this important new technology. Gov. Brown signed a bill Thursday “that for the first time allows testing on public roads of self-driving vehicles with no steering wheels, brake pedals or accelerators,” according to a San Jose Mercury News article. “A human driver as backup is not required, but the vehicles will be limited to speeds of less than 35 mph.”

Assembly Bill 1592 itself is rather modest. It provides two spots for such testing – in a San Ramon business park and at the former Concord Naval Weapons Station. And Friday, the California Department of Motor Vehicles released new regulations that are far friendlier toward self-driving cars than the DMV’s previous regulations. So while the new law itself isn’t particularly significant, the state’s new legislative and regulatory approach certainly is. If that approach continues, we’ll be seeing rapid expansion of autonomous vehicles here.

Greenlighting granny flats: The governor’s signing of Senate Bill 1069 shows increasing bipartisan understanding of the state’s skyrocketing home prices. The bill would relax standards for creating ADUs (accessory dwelling units), better known as granny flats.

“Eliminating barriers to ADU construction is a common-sense, cost-effective approach that will permit homeowners to share empty rooms in their homes and property, add incomes to meet family budgets, and make good use of the property in the Bay Area and across California while easing the housing crisis,” according to the bill analysis’ summary of the author’s arguments. The bill embraces a regulatory approach that could be tried with other types of housing.

Steven Greenhut is Western region director for the R Street Institute. He is based in Sacramento. Write to him at sgreenhut@rstreet.org.

The measure narrows a loophole allowing local law enforcement agencies to seize citizens’ property without a criminal conviction — a practice dubbed “policing for profit.”

Under a compromise struck in the last weeks of the legislative session, law enforcement officials would not need a conviction to seize property, like cash and houses, valued above $40,000 — but 80 percent of cash seizures are below that amount. 

Civil asset forfeiture was originally used to seize the property of criminal enterprises, toppling them in the process. As law enforcement budgets were cut, they became more dependent on forfeitures as a steady revenue stream and the claims of abuses piled up.

California law already bars the practice of seizing property without a conviction for assets valued at under $25,000 and requires “clear and convincing evidence” of a connection to a crime for assets exceeding $25,000 in value, but law enforcement can sidestep state law if it’s done in partnership with the federal government.

Local agencies can kick 20 percent of the proceeds to the federal government as part of the “equitable sharing” program, which does not require an arrest. In fact, there really only needs to be a suspicion that the property, not necessarily the person, is attached to some criminal activity.

Opponents say that law enforcement does not “police for profit” and civil asset forfeiture is one of the many tools used to fight large criminal enterprises. 

The measure died previously under major opposition from law enforcement. However, the bill’s sponsors, Sen. Holly Mitchell, D-Los Angeles, and Assemblyman David Hadley, R-Torrance, were able to negotiate the compromise with the help of a diverse group of supporters. The measure ultimately sailed through the Legislature.

The high-profile coalition of supporters — which spans the partisan divide with powerful advocacy groups and influential members of both parties — is aiming for a vote in the Assembly next week to block law enforcement from circumventing strict state law by partnering with the federal government in a program called “equitable sharing.”

On the right, Republican consultant Mike Madrid and Shawn Steel, a former chairman of the California Republican Party, are urging Republican support while California Democratic Party Chairman John Burton is working with Democrats. 

It’s uncommon for Madrid, who specializes in Latino issues, to weigh in so heavily on policy issues inside the Capitol. But, as he told CalWatchdog, Senate Bill 443 is a “no-brainer” because it upholds the core Republican values of “not preying on the poor” and the right to due process, and, politically, it could make inroads in minority communities that have been disproportionately affected by the current civil asset forfeiture system.

“If you can’t do this, you don’t have a shot at expanding the base,” Madrid said of Republican lawmakers.

Madrid said Republican lawmakers who opposed the measure lacked a “political backbone” because they are “afraid of offending law enforcement,” which is a historically strong ally on the right. 

Madrid added that Assembly Republican Leader Chad Mayes has a “unique opportunity” to help the poor, which has been a central theme of the Yucca Valley Republican’s agenda since becoming leader in January.

A Mayes spokesperson on Monday told CalWatchdog he had not announced how he would proceed. Mayes voted against the measure in September.  

Those affected

A report issued this month by the ACLU of California showed 85 percent of proceeds from equitable sharing in California go to law enforcement agencies in communities with a majority of people of color.

The study also reported that the counties with higher per capita seizure rates have below average median household incomes and that the number of California law enforcement agencies participating in the equitable sharing program increased from 200 to 232 over the last two years.

Who cares? Isn’t it just drug dealers?

The program was designed to seize the assets of large criminal enterprises, toppling them in the process — which the law would still allow if SB443 were to pass. But as budgets were cut, law enforcement saw it as a viable revenue stream, and the claims of abuse started piling up.

One notable example was the attempted seizure of a $1.5 million building in Anaheim because the landlord rented space to a medical marijuana dispensary (which was legal in CA).

Another case involved Bob Alexander, who had $10,788 in cash that he was about to use to purchase a car for his daughter before the money was seized in Mendocino County because he had medical marijuana on him (along with the doctor’s recommendation for the marijuana, which was shown to police).

Alexander did get his money back eight months later. No charges were ever filed.

Current law

Current California law already bars the practice of seizing property without a conviction for assets valued at under $25,000, and requires “clear and convincing evidence” of a connection to a crime for assets exceeding $25,000 in value.

Law enforcement can get around that if the seizure is done in coordination with federal law enforcement and 20 percent of the proceeds are kicked up to the federal government. Yet there’s often not even an arrest because federal law doesn’t require it. Instead, there only needs to be suspicion that the property, not necessarily the person, is attached to some criminal activity.

People often get their property back after considerable time and frustration — but sometimes they don’t. So the bill, sponsored by Sen. Holly Mitchell, D-Los Angeles, and Asm. David Hadley, R-Torrance, would close that loophole and require a conviction for seizure of assets of any amount. Proponents like Mitchell and others say the practice often violates the Fourth and Fifth Amendments.

Support builds

It’s not just Republicans whose support is being whipped. A large share of Assembly Democrats either voted against the measure or just didn’t vote, after nearly unanimous support in the Senate.

Burton — who as a member of the Legislature decades ago and authored the bill that established much of the state’s relatively strict civil asset forfeiture laws—- has been reaching out to Democrats.

“I am especially disheartened and disappointed to learn that the state reforms that I and your predecessors worked so hard to put in place have been cast aside by California law enforcement agencies in favor of less protective federal laws,” Burton wrote last week in a letter to Speaker Anthony Rendon, D-Paramount. Rendon voted in favor of the bill in September.

However, Republicans are in a tighter squeeze than Democrats, wedged between law enforcement and limited government intrusion. But the right-leaning Howard Jarvis Taxpayers Association gave lawmakers political cover on Monday when it issued a letter of support, pointing to the sharp increase in seizures from the federally-supported equitable sharing program.

“(T)here is also no denying the fact that law enforcement is largely to blame for the situation that SB443 aims to fix,” wrote David Wolfe, legislative director for HJTA. “Rather than use the federal law selectively, they have overplayed their hand.”

Law enforcement’s position

Opponents of the bill argue that law enforcement doesn’t police for profit, and asset seizure is a vital tool used to cripple criminal organizations, partially by funding costly investigations. The California District Attorneys Association claimed the bill would “deny every law enforcement agency in California direct receipt of any forfeited assets.”

“California’s asset forfeiture law will be changed for the worse, and it will cripple the ability of law enforcement to forfeit assets from drug dealers when arrest and incarceration is an incomplete strategy for combating drug trafficking,” Sean Hoffman, CDAA’s director of legislation argued in a letter against SB443.

“Narcotics investigations are costly, and the California asset forfeiture law’s dedication of forfeiture proceeds to the seizing law enforcement agencies speaks to the serious resource needs involved when drug traffickers and their ill-gotten gains are pursued,” Hoffman added.

A CDAA spokesperson on Tuesday said the group was still opposed to the measure, but did not lobby against “inactive” bills, which SB443 is at the moment. 

Current California law already bars the practice of seizing property without a conviction for assets valued at under $25,000 and requires “clear and convincing evidence” of a connection to a crime for assets exceeding $25,000 in value.

Law enforcement can get around that if the seizure is done in coordination with federal law enforcement and 20 percent of the proceeds are kicked up to the federal government — yet often there’s not even an arrest because federal law doesn’t require it. Instead there’s just a suspicion that the property, not necessarily the person, is attached to some criminal activity.

People often get their property back, but after considerable time and hassle. Or sometimes they don’t. So the bill, sponsored by Sen. Holly Mitchell, D-Los Angeles, and Asm. David Hadley, R-Torrance, would close that loophole and require a conviction for seizure of assets of any amount. Proponents like Mitchell and others say the practice often violates the Fourth and Fifth Amendments.

“Our country and our state’s constitutions aim to protect the citizenry and this is a classic example of that,” Mitchell told CalWatchdog in an interview. “If folks love to promote the right to bear arms, I say we have the right to our own private property not being seized by law enforcement, (especially) when not even being charged with a crime.”

How it works

The program was designed to seize the assets of large criminal enterprises, toppling them in the process. But as budgets were cut, law enforcement saw it as a viable revenue stream, and the claims of abuse started piling up.

Some of the more egregious examples have been the attempted seizure of a $1.5 million building in Anaheim because the landlord rented space to a medical marijuana dispensary (which was legal in CA), and the story of Bob Alexander, who had $10,788 in cash that he was about to use to purchase a car for his daughter before the money was seized in Mendocino County because he had medical marijuana on him (along with the doctor’s recommendation for the marijuana, which was shown to police).

Alexander did get his money back eight months later. No charges were ever filed.

Opponents of the bill argue that law enforcement doesn’t police for profit, and asset seizure is a vital tool used to cripple criminal organizations, partially by funding costly investigations. The California District Attorneys Association claimed the bill would “deny every law enforcement agency in California direct receipt of any forfeited assets.”

“California’s asset forfeiture law will be changed for the worse, and it will cripple the ability of law enforcement to forfeit assets from drug dealers when arrest and incarceration is an incomplete strategy for combatting drug trafficking,” Sean Hoffman, CDAA’s director of legislation argued in a letter.

“Narcotics investigations are costly, and the California asset forfeiture law’s dedication of forfeiture proceeds to the seizing law enforcement agencies speaks to the serious resource needs involved when drug traffickers and their ill-gotten gains are pursued,” Hoffman added.

Revenue from the equitable sharing program exploded over the last decade as local agencies in California became more aware of the loophole and budgets were threatened as part of the recession. From 2002 to 2013, revenue from federal forfeitures (the ones that don’t need a conviction) tripled while revenue from state forfeitures (which often do require a conviction) stagnated, according to a study by the Drug Policy Alliance.

And it pays. The LAPD was able to purchase a $5 million helicopter with funds from its equitable sharing account.

There is also a difference between civil asset forfeiture and criminal forfeiture. According to the Department of Justice, criminal forfeiture comes as part of a criminal prosecution of a defendant. Yet in civil forfeiture cases, “the property is the defendant and no criminal charge against the owner is necessary.”

While this doesn’t easily explain how property can commit a crime, it does explain why there are cases have names like U.S. v. $4,000 and U.S. v. White Cadillac, as reported by NPR.

Building momentum

On Monday, Mitchell will join Alexander, the American Civil Liberties Union and a local Black Lives Matter chapter outside the Capitol building to push for the bill along with another, which would make public the details of investigations into use of force incidents and confirmed cases of misconduct by police.

The bill died on the Assembly floor last year under massive pressure from law enforcement groups, but is eligible for reconsideration, so supporters are building momentum. The bill already passed the Senate, and it’s unclear where Gov. Jerry Brown stands on the issue.

The bill is supported by groups on both sides of the political aisle — Mitchell and Hadley penned an op-ed last year. In fact, Grover Norquist, president of the conservative Americans for Tax Reform, came out in support of the bill last week, giving additional cover to Republicans.

“In America, the Fourth and Fifth Amendments are supposed to protect our due process and property rights, civil asset forfeiture in its current form undermines these principles,” Norquist said in his statement. “This status quo in the Golden State is unacceptable.”

Late last year, momentum for the bill dissipated as the DOJ put on hold the equitable sharing program. But just last week, the DOJ was “pleased” to announce the program was back on.

Mitchell told CalWatchdog that she’s not against the program in general, just when it’s used to take property without giving due process to the owner. She said many of the reports she’s read about and heard about from voters scared her into thinking about how her and her mother could have run into similar problems on one of their many trips back from Vegas, where her mother would win jackpots playing slots.

“When I thought about it and began to hear the stories I realized that I could have been a victim,” Mitchell said. “The kinds of scenarios are so commonplace.”

She applauded state lawmakers who years ago added the conviction requirement, but said it’s time to take it one step further.

“California legislators stepped up years ago to change law, but it’s this loophole that continues to cause problems for Califorina residents,” Mitchell said.