Assembly Member Dababneh bills make way to the Senate

Sacramento – The California Assembly approved two important bills by Assembly Member Matt Dababneh (D-Encino). The first, AB 2681, would make those convicted of selling counterfeit goods responsible for the taxes owed to the state for every transaction. The second measure, AB 2612, would alleviate barriers to treatment for California inmates who suffer from drug abuse, in order to keep them from re-offending. Assemblymember Dababneh also co-authored the Film Tax Credit, which also made its way to the Senate this week. 

“The distribution and sale of counterfeit goods have negative impacts on our economy,” said Assemblymember Dababneh. “AB 2681 would simply hold convicted counterfeiters responsible for taxes owed on those goods. This bill is another way for the state to crack down on illegal activity and enhance deterrence.”

To discourage this activity and level the playing field for producers and retailers of legitimate products, AB 2681 eliminates the tax break on the possession and sales of counterfeit goods and makes these illegal products subject to sales or use tax when the seller or purchaser has been convicted of trafficking in counterfeit goods under either state or federal law. The State Board of Equalization unanimously voted to sponsor this bill and it will have minor and absorbable costs. 

AB 2612 addresses the problem of drug and alcohol dependence among California’s inmate population. Left untreated, these issues can act as a driver of crime. This bill also would require the Department of Health Care Services (DHCS) to submit waivers in order to qualify for Medi-Cal funds that are typically excluded from federal reimbursement.

“Until recently, many jail inmates did not have access to health coverage, but there are new opportunities to rehabilitate these inmates under the Affordable Care Act,” said Assemblymember Dababneh. “This bill opens doors to the Department of Health Care Services to develop substance abuse treatments that fit within the existing federal framework.

The much-discussed Film Tax Credit also passed through the Assembly this week. Dababneh, an original co-author of the legislation, lauded his colleagues for passing this important bill. “AB 1839 will help keep California’s signature industry in the state. The economic impact of film and television production extends far beyond the movie sets and television studios, and has real, tangible effects on local businesses. I look forward to working with my counterparts in the Senate to ensure the Film Tax Credit is ready for the Governor’s signature this year.”

AB 2681, AB 2612 and AB 1839 have passed through the Assembly, and will be heard in the Senate in the coming weeks.