BILL NUMBER: AB 992 INTRODUCED
BILL TEXT
INTRODUCED BY Assembly Member Lieu
FEBRUARY 27, 2009
An act to amend Section 17537.9 of the Business and Professions
Code, relating to unfair business practices.
LEGISLATIVE COUNSEL'S DIGEST
AB 992, as introduced, Lieu. Advertising: residential property
taxes: assessment appeal application filing services.
Existing law provides that certain advertising related practices
are unlawful and makes a violation of those provisions a crime.
Existing law makes it unlawful for a person to make any untrue or
misleading statements in any manner in connection with the offering
or performance of an assessment appeal application filing service, as
defined. Existing law exempts from the definition of an assessment
appeal application filing service any service performed by a person
who actively advocates, in person or by written and oral
communications, on the behalf of the person to whom a solication is
made before the assessment appeals board or the assessor's office.
This bill would delete that exemption and thereby include in the
definition of an assessment appeal application filing service those
services performed by a person who actively advocates, in person or
by written and oral communications, on the behalf of the person to
whom a solication is made before the assessment appeals board or the
assessor's office. The bill would prohibit an assessment appeal
filing service from charging, demanding, or collecting money until
after the assessment appeal application is filed with the property
tax assessor's office or clerk of the assessment appeals board.
Because a violation of this provision would be a crime, and because
this bill would expand the scope of services subject to the
provisions regulating assessment appeal application filing services,
a violation of which is a crime, the bill would impose a
state-mandated local program.
The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
This bill would provide that no reimbursement is required by this
act for a specified reason.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 17537.9 of the Business and Professions Code is
amended to read:
17537.9. (a) It is unlawful for any person to make any untrue or
misleading statements in any manner in connection with the offering
or performance of an assessment appeal application filing service.
For the purpose of this section, an "untrue or misleading statement"
includes, but is not limited to, any representation that any of the
following is true:
(1) The preparation of an assessment appeal application will
result in a guaranteed reduction of property taxes of a stated
amount.
(2) A fee is required in order for the county to process a
reduction of a property's value.
(3) The offeror of the assessment appeal application filing
service will be physically present to represent the person to whom a
solicitation is made before an assessment appeals board, county board
of equalization, or assessment hearing officer, unless the fee
includes this service.
(4) The offeror of the assessment appeal application filing
service will prepare or complete the application in full, with the
exception of the property owner's signature, on behalf of the person
to whom a solicitation is made, unless the fee includes this service.
(5) The offeror of the assessment appeal application filing
service has a file or record covering a person to whom a solicitation
is made.
(6) The offeror of the assessment appeal application filing
service is, or is affiliated with, any governmental entity. A
violation of this paragraph includes, but is not limited to, the
following:
(A) The misleading use of any governmental seal, emblem, or other
similar symbol.
(B) The use of a business name including the word "appeal" or "tax"
and the word "assessor," "agency," "bureau," "department,"
"division," "federal," "state," "county," "city," or "municipal," or
the name of any city, county, city and county, or any governmental
entity.
(C) The use of an envelope that simulates an envelope containing a
government check, tax bill, or government notice or an envelope that
otherwise has the capacity to be confused with, or mistaken for, an
envelope sent by a governmental entity.
(D) The use of an envelope or outside cover or wrapper in which a
solicitation is mailed that does not bear on its face in capital
letters and in conspicuous and legible type the following notice:
"THIS IS NOT A GOVERNMENT DOCUMENT."
(b) (1) It is unlawful to offer to perform an assessment appeal
filing service without making the following disclosure:
"THIS ASSESSMENT APPEAL APPLICATION FILING SERVICE IS NOT ASSOCIATED
WITH ANY GOVERNMENT AGENCY. IF YOU DISAGREE WITH THE ASSESSED VALUE
OF YOUR PROPERTY, YOU HAVE THE RIGHT TO AN INFORMAL ASSESSMENT
REVIEW, AT NO COST, BY CONTACTING THE ASSESSOR'S OFFICE DIRECTLY. IF
YOU AND THE ASSESSOR CANNOT AGREE TO THE VALUE OF THE PROPERTY OR IF
YOU DO NOT WISH TO CONTACT THE ASSESSOR YOU CAN OBTAIN AND FILE AN
APPLICATION, AT NO COST, ON YOUR OWN BEHALF. AN APPEALS BOARD HAS THE
AUTHORITY TO RAISE PROPERTY VALUES (BUT IN NO CASE HIGHER THAN THE
PROPOSITION 13 PROTECTED VALUE) AS WELL AS TO LOWER PROPERTY VALUES."
(2) The disclosures specified in paragraph (1) shall be placed at
the top of each page of every advertisement or promotional material
disseminated by an offeror of an assessment appeal application filing
service and shall be printed in 12-point boldface type enclosed in a
box formed by a heavy line.
(3) The disclosure specified in paragraph (1) shall be recited at
the beginning of every oral solicitation and every broadcast
advertisement and shall be delivered in printed form as prescribed by
paragraph (2) before the time each person who responds to the oral
solicitation or broadcast advertisement is obligated to pay for the
service.
(c) No offeror of an assessment appeal application filing service
shall charge, demand, or collect any money until after the assessment
appeal application is filed with the property tax assessor's
office or clerk of the assessment appeals board.
(d) For the purposes of this section, the following definitions
apply:
(1) "Assessment appeal application filing service" means any
service performed or offered to be performed for compensation in
connection with the preparation or completion of an application
of any kind for reduction in assessment of residential property
or in connection with the assistance in any manner of another person
to prepare or complete an application of any kind for
reduction in assessment of residential property. "Assessment
appeal application filing service" does not include any service
performed by a person who actively advocates, in person or by written
and oral communications, on the behalf of the person to whom a
solicitation is made before the assessment appeals board or the
assessor's office. "Actively advocate" does not include the act of
providing the person to whom a solicitation is made with a list of
comparable sales of residential property.
(2) "Assessment appeal application" has the meaning described in
Section 1603 of the Revenue and Taxation Code.
SEC. 2. No reimbursement is required by this act pursuant to
Section 6 of Article XIII B of the California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
infraction, eliminates a crime or infraction, or changes the penalty
for a crime or infraction, within the meaning of Section 17556 of the
Government Code, or changes the definition of a crime within the
meaning of Section 6 of Article XIII B of the California
Constitution.