1 BEFORE THE CALIFORNIA STATE BOARD OF EQUALIZATION 2 450 N STREET 3 SACRAMENTO, CALIFORNIA 4 5 6 7 REPORTER'S TRANSCRIPT 8 JANUARY 26, 2017 9 10 11 12 ITEM H 13 TAX PROGRAM NONAPPEARANCE MATTERS - ADJUDICATORY 14 ITEM H2 15 FRANCHISE AND INCOME TAX MATTERS 16 SECTION 40 (AB 2323) MATTER 17 3. ROBERT H. LOWE and SHERYL L. BERKOFF, 571973 18 19 20 21 22 23 24 25 26 27 REPORTED BY: Kathleen Skidgel 28 CSR NO. 9039 1 1 P R E S E N T 2 3 For the Board of Equalization: Fiona Ma, CPA 4 Chairwoman 5 Diane L. Harkey Vice Chair 6 Jerome E. Horton 7 Member 8 Sen. George Runner (Ret.) Member 9 Yvette Stowers 10 Appearing for Betty T. Yee, State Controller 11 (per Government Code Section 7.9) 12 Joann Richmond 13 Chief Board Proceedings 14 Division 15 For Board of Equalization Staff: Amy Kelly 16 Acting Chief Counsel Legal Department 17 18 ---oOo--- 19 20 21 22 23 24 25 26 27 28 2 1 450 N STREET 2 SACRAMENTO, CALIFORNIA 3 JANUARY 26, 2017 4 ---oOo--- 5 MS. MA: Thank you all for coming out 6 today. 7 This is day three of our Board of 8 Equalization meeting. We went into a recess 9 yesterday; we did not adjourn. And we just have one 10 item of business that's continued from yesterday. 11 So, Ms. Kelly. 12 MS. KELLY: Thank you, Chairwoman Ma. 13 It's my understanding that a Member would 14 like to make a motion to rescind the vote on the 15 Section 40, Rob Lowe, matter from yesterday. That's 16 permissible. 17 MS. MA: Okay. 18 MR. HORTON: Yes, Madam Chair. I'd like to 19 motion that we rescind H2 subitem 3 and then take 20 the matter up, to allow me to be consistent with my 21 previous vote on the matter. 22 MR. RUNNER: Okay. 23 MS. STOWERS: Second. 24 MS. MA: Okay. So without further 25 discussion, let's just take a roll call for the 26 vote. 27 Ms. Richmond, please call the roll. 28 MS. RICHMOND: Chairwoman Ma. 3 1 MS. MA: Aye. 2 MR. RUNNER: This is just -- 3 MS. RICHMOND: Ms. Harkey. 4 MR. RUNNER: This is to -- 5 MS. HARKEY: Aye. 6 MR. HORTON: Section 40. 7 MS. MA: Oh, is this to, uh -- to rescind 8 the vote first? 9 MS. KELLY: Yes. 10 MS. MA: Okay. To rescind the vote, aye. 11 MS. HARKEY: Aye. 12 MS. RICHMOND: Mr. Horton. 13 MR. HORTON: Aye. 14 MS. RICHMOND: Mr. Runner. 15 MR. RUNNER: Aye. 16 MS. RICHMOND: Ms. Stowers. 17 MS. STOWERS: Aye. 18 MS. MA: Okay. And on the matter, right, 19 H2.3, to adopt the -- 20 MS. KELLY: So -- yes. So a motion may now 21 be made to vote on the matter. 22 MS. MA: So adopt staff recommendation on 23 the Section 40 summary decision. 24 MS. HARKEY: I'll make the motion. 25 MR. RUNNER: Second. 26 MS. MA: Okay. Ms. Harkey moves, 27 Mr. Runner seconds. 28 MS. STOWERS: Objection. 4 1 MS. MA: Can we call the roll again, Ms. 2 Richmond, on this? 3 MS. RICHMOND: Chairwoman Ma. 4 MS. MA: Aye. 5 MS. RICHMOND: Ms. Harkey. 6 MS. HARKEY: Aye. 7 MS. RICHMOND: Mr. Horton. 8 MR. HORTON: No. 9 MS. RICHMOND: Mr. Runner. 10 MR. RUNNER: Aye. 11 MS. RICHMOND: Ms. Stowers. 12 MS. STOWERS: No. 13 MS. RICHMOND: Motion carries. 14 MR. HORTON: Thank you, Madam Chair. 15 MS. MA: Thank you very much. 16 ---oOo--- 17 18 19 20 21 22 23 24 25 26 27 28 5 1 REPORTER'S CERTIFICATE 2 3 State of California ) 4 ) ss 5 County of Sacramento ) 6 7 I, Kathleen Skidgel, Hearing Reporter for 8 the California State Board of Equalization certify 9 that on January 26, 2017 I recorded verbatim, in 10 shorthand, to the best of my ability, the 11 proceedings in the above-entitled hearing; that I 12 transcribed the shorthand writing into typewriting; 13 and that the preceding pages 1 through 5 constitute 14 a complete and accurate transcription of the 15 shorthand writing. 16 17 Dated: February 17, 2017 18 19 20 ____________________________ 21 KATHLEEN SKIDGEL, CSR #9039 22 Hearing Reporter 23 24 25 26 27 28 6