Press Release

Majority Leader Gonzalez’s Referendum Funding Transparency Act Passes Senate

Sacramento, Calif. – On May 21, 2024, Majority Leader Gonzalez’s (D-Long Beach) Senate Bill 1337 the Referendum Funding Transparency Act passed the Senate with a vote of 28-9. The bill will provide California voters with additional transparency about the entities and corporations that fund referendum measures to overturn existing laws. As large corporations increasingly exploit the referendum process for financial gain and to undermine the voices of Californians who rely on their elected leaders to enact beneficial legislation, it is more important than ever to safeguard voters from these misleading campaigns and to provide them with tools for more informed decision-making.

Recent attempts by large corporations to mislead the public and undermine the democratic legislative process for their own financial gain include Big Tobacco spending millions of dollars to overturn Senate Bill 793, the flavored tobacco ban, by getting Proposition 31 on the 2022 ballot. That same year, the fast food industry spent millions to qualify a referendum to overturn Assembly Bill 257, which established fair wages for fast food workers, before reaching an agreement that preserved workers' rights and incorporated industry input.

Specifically, Senate Bill 1337 the Referendum Funding Transparency Act will require that the top three funders of a referendum petition appear directly on the signature petition, rather than on a separate piece of paper. The bill will also require signers of the petition to mark their initials next to a statement that they have reviewed the top funders. Finally, SB 1337 will require that all petitions be updated to reflect changes in top funder information within five business days, when there is a new top funder.

“Empowering voters to transparently see who funds efforts to overturn state laws is critical to protecting voters’ rights,” said Majority Leader Gonzalez (D-Long Beach). “The referendum process was established to give voters a tool to counter the influence of greedy corporate interests. But the misleading tactics corporations use now create confusion and decrease transparency, undermining the referendum’s intended purpose, and its potential to uplift democracy for the people. I am grateful to my Senate colleagues who supported the bill today, and I urge my colleagues in the Assembly to vote in favor of this bill to safeguard democracy and the rights of California voters.”

“Information is power,” said Tia Orr, Executive Director of SEIU California, “and we need to empower California voters by providing the critical information about who is backing a referendum financially. Otherwise, Big Tobacco, Big Oil, corporate developers and other corporate interests will continue to hide their political agendas.”

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Majority Leader Gonzalez represents the 33rd Senate District, which encompasses the City of Long Beach and portions of South Los Angeles and Southeast Los Angeles, including the cities of Bell, Bell Gardens, Cudahy, Huntington Park, Lakewood, Lynwood, Maywood, Paramount, Signal Hill, and South Gate. In the Senate, she advocates for working families and champions various priorities, such as fighting for a clean environment, digital equity, LGBTQ+ and women's rights, and the economic prosperity of small businesses. Her landmark legislative achievements include bills enacted to end neighborhood oil drilling, provide broadband for all, and expand paid sick leave. Majority Leader Gonzalez also serves as Vice Chair of the California Latino Legislative Caucus. She lives in Long Beach with her family. To learn more about Majority Leader Gonzalez, visit her website at www.sen.ca.gov/gonzalez.

Over 700,000 Californians make up the Service Employees International Union (SEIU) in California; we work throughout the state, in all 58 counties, and we represent California in all of its diversity. We are social workers, nurses, classroom aides, state workers, security officers, college professors, home care workers, janitors, doctors, and more.