BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 177
                                                                  Page  1

          Date of Hearing:   July 19, 2001
          Counsel:        Lucy Armendariz


                         ASSEMBLY COMMITTEE ON PUBLIC SAFETY
                               Carl Washington, Chair

                     SB 177 (Haynes) - As Amended:  July 5, 2001
                       As Proposed to Be Amended in Committee


           SUMMARY  :  Requires detailed notice to a property owner for  
          property seized without a warrant by a law enforcement agency.   
          Specifically,  this bill  :   

          1)Requires the seizing agency to advise the property owner and  
            the person from whom property was taken without a warrant of:

             a)   The reason for the seizure including, but not limited  
               to, descriptions such as pursuant to arrest, pursuant to  
               statute, evidence, contraband, for safekeeping with  
               consent, and/or for other reasons;

             b)   An inventory of the specific property taken;

             c)   The destination of the property, including contact  
               information for the property custodian;

             d)   Procedures for how and when to have the property  
               returned; and,

             e)   The right to notify the law enforcement agency of the  
               property owner's desire to have the property returned and  
               the option for notifying the law enforcement agency of the  
               individual's right not to have the seized property  
               returned.

          2)Requires the Department of Justice (DOJ) to promulgate a form  
            in order to implement the requirements of this section to be  
            used by all law enforcement agencies by January 1, 2003.

          3)Requires that (with the exception of contraband or property  
            ordered destroyed, confiscated or forfeited by a court) seized  
            property be returned by the seizing agency within 60 days from  
            the date the investigation is closed, the date the case is  








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            concluded by dismissal or acquittal, or the date of the  
            expiration of the applicable statute of limitations, whichever  
            is latest in occurrence.

          4)Provides that these provisions be liberally construed to  
            ensure the prompt, efficient, and inexpensive return of  
            non-contraband property to an individual or entity from whom  
            property is seized, or its lawful owner.

          5)Applies prospectively, not retroactively.

          6)Provides that these provisions shall not apply to the  
            California Department of Corrections (CDC) or the California  
            Youth Authority (CYA).

           EXISTING LAW  :

          1)Provides that where a law enforcement officer takes property  
            from a person arrested for a public offense, the officer must  
            give the defendant a receipt for the property and file a copy  
            of the receipt with the police department or the court clerk.   
            (Penal Code Section 1412.)

          2)Provides that stolen property may be returned to the owner  
            "upon application of the owner", providing the owner pays the  
            cost of preserving the property.  (Penal Code Section 1408.)

          3)Provides for the return of property held as an exhibit in a  
            criminal trial upon application made within 15 days of receipt  
            of notice that the exhibits shall be released.  The court  
            clerk shall dispose of all exhibits 60 days after a final  
            determination of the case.  (Penal Code Section 1417.5.)

          4)Provides that where evidence is seized pursuant to a warrant,  
            the officer must leave a detailed receipt with the person from  
            whom the property was taken or leave the receipt at the place  
            of seizure if no person is present.  (Penal Code Section  
            1535.)

          5)Provides that the officer must return the warrant to the  
            issuing court along with a written inventory of the property  
            taken that was compiled in public or in the presence of the  
            person from whom the property was taken.  The seizing officer  
            must affirm the truth of the inventory.  (Penal Code Section  
            1537.)








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          6)Provides that in circumstances where a law enforcement agency  
            has seized property pursuant to a warrant or alleged probable  
            cause, the court can order that a copy of the inventory of the  
            property seized be given to the person from whom the property  
            was seized and the applicant for the warrant under which it  
            was seized.  (Penal Code Section 1538.)

          7)Provides that where property has been taken in a search or  
            seizure, a criminal defendant may move for return of the  
            property or suppression of the property as evidence on the  
            ground that seizure of the property with or without warrant  
            was unreasonable or violated constitutional standards.  (Penal  
            Code Section 1538.5.)  Evidence may be suppressed only if the  
            evidence would be suppressed under federal constitutional law.  
             [California Constitution, Article 28, subdivision (d).]

          8)Provides that where property seized was not described in the  
            warrant allowing search and seizure, or there is no probable  
            cause to support the warrant, the magistrate must "cause [the  
            property] to be returned to the person from whom it was  
            taken."  (Penal Code Section 1540.)

          9)Provides that where an officer seizes property pursuant to the  
            drug asset forfeiture laws in the Health and Safety Code, the  
            officer shall provide the person from whom the property is  
            seized a receipt pursuant to Penal Code 1412.  [Health and  
            Safety Code Section 11488(b).]

          10)Requires that where an officer seizes property under drug  
            asset forfeiture laws, the officer must provide the owner with  
            a notice of seizure and information about the right to file a  
            claim for redemption of seized property.  [Health and Safety  
            Code Sections 11488.4(c) - (j), and 11488.5.]  

          11)Provides that where a peace officer does not either hold  
            property for evidence or initiate forfeiture provisions within  
            15 days of seizure, the property must be released to the  
            person from whom it was seized, or to the registered owner in  
            the case of a vehicle, boat or airplane.  (Health and Safety  
            Code Section 11488.2.)

          12)Provides that agencies that seize property under the drug  
            asset forfeiture rules shall have a manual that includes  
            guidelines for notice to interest holders in property and the  








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            expeditious release of property.  (Health and Safety Code  
            Section 11469.)

          13)Provides that the profits of "criminal profiteering" can be  
            forfeited to the state.  Criminal profiteering is essentially  
            organized, ongoing criminal activity.  The criminal  
            profiteering law provides procedures for notice to owners and  
            procedures for making a claim for redemption of the seized  
            property.  (Penal Code Sections 186.2 - 186.8.)

           FISCAL EFFECT  :   Unknown

           COMMENTS  :   

           1)Author's Statement  :  According to the author, "This bill seeks  
            to establish uniform guidelines and time limitations for the  
            prompt return of property, seized by law enforcement entities  
            to its rightful owner."

           2)The United States Supreme Court Has Held that Due Process Does  
            Not Require Law Enforcement to Give Information about  
            Available Remedies to Owners of Seized Property  :  In the case  
            of  West Covina v. Perkins  (1999) 525 U.S. 234, the Supreme  
            Court held that due process does not require law enforcement  
            to give property owners information about the laws providing  
            for relief when property is seized.  "Once the property owner  
            is informed that his property has been seized, he can turn to  
            [state statutes and case law] to learn about the remedial  
            procedures available to him."  (Id, at 241.)

           3)Related or Similar Property Seizure Procedures Require Notice  
            of Remedies to Property Owners  :  Existing law relating to the  
            seizure of property requires notice to property owners of  
            remedies available to redeem property.  Drug forfeiture laws  
            require that seizure receipts include forms for claiming  
            redemption of property and information on how to proceed in  
            seeking redemption.  A Vehicle Code forfeiture notice must  
            include a form for contesting forfeiture.  Criminal  
            profiteering forfeiture statutes provide that notice of  
            seizure to property owners must include information about how  
            one would seek redemption.  This bill requires that law  
            enforcement provide specified information to facilitate the  
            return of property.

           4)Support  :  The California Attorneys for Criminal Justice  








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            states, "SB 177 neatly balances two competing interests by  
            creating a framework for citizens to petition for the return  
            of their property without interfering with law enforcement  
            needs.  Frequently, when law enforcement seizes property  
            claimed as evidence or contraband, the owner experiences  
            needless frustration while seeking its return.  By setting  
            forth uniform guidelines and time limits, SB 177 should  
            alleviate the frustration felt by thousands of Californian's  
            each year.

           5)Recent Legislation Intending to Increase Protection for Owners  
            of Seized Property have met With Vetoes  :  In recent years, the  
            Legislature has passed bills which would have increased  
            protections and rights for people who have had their property  
            seized by law enforcement.  The Governor has vetoed the bills,  
            largely finding them burdensome to law enforcement:

             a)   In 2000, SB 2106 (Lewis) imposed liability on law  
               enforcement agencies for damages caused to property in the  
               possession of a law enforcement officer if that property  
               was seized for purposes of forfeiture.

             b)   In 2000, SB 1866 (Vasconcellos) made various changes in  
               drug asset forfeiture law, including requiring that a law  
               enforcement agency obtain a court order prior to  
               transferring seized assets to a federal agency for  
               forfeiture.

             c)   In 1999, AB 662 (Wesson) applied civil discovery  
               procedures to criminal profiteering asset forfeiture  
               proceedings, allowed a court to stay an asset forfeiture  
               proceeding in a criminal profiteering case until a criminal  
               proceeding was completed, and required district attorneys  
               to locate parties who may hold security and ownership  
               interests in the property subject to forfeiture.
           
          REGISTERED SUPPORT / OPPOSITION  :

           Support 
           
          American Civil Liberties Union
          California Attorneys for Criminal Justice
          California Public Defenders Association

           Opposition 








                                                                 SB 177
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          None relevant to present version of this bill


           Analysis Prepared by  :    Lucy Armendariz / PUB. S. / (916)  
          319-3744