BILL ANALYSIS                                                                                                                                                                                                    

                   Senate Appropriations Committee Fiscal Summary
                           Senator Christine Kehoe, Chair

                                           202 (Harman)
          Hearing Date:  5/11/2009        Amended: 5/5/2009
          Consultant:  Bob Franzoia       Policy Vote: B,P&ED 10-0
          BILL SUMMARY: SB 202, relating to private investigators, would  
          do the following:
          - Beginning January 1, 2013, require any licensed private  
          investigator to complete 12 hours of continuing education, as  
          specified, in order to renew his or her license.
          - Provide that licensees renewing between January 1, 2012 and  
          January 1, 2013 shall complete six hours of continuing  
          - Exempt specified licensees based on age and activity status.
          - Permit the Department of Consumer Affairs (DCA) to suspend a  
          licensee found not to be in compliance with the continuing  
          education requirements.
          - Permit DCA to audit the records of any licensee to verify  
          compliance with the continuing education requirements.
          - Require continuing education providers (CEPs) to obtain DCA  
          - Require DCA to convene a review panel to consult in the  
          approval of CEPs and course content and to develop criteria for  
          course providers and course content.
          - Authorize DCA to charge a fee to CEPs, in an amount not to  
          exceed DCA's direct costs and for no more than an unspecified  
          amount of dollars per CEP.
          - Specify that the fee for a license may not exceed $195 (up  
          from $175) and the fee for a license renewal may not exceed $145  
          (up from $125).
                            Fiscal Impact (in thousands)

           Major Provisions         2009-10      2010-11       2011-12     Fund
           Development of criteria for       $17         $41        
          continuing education courses                            $212  
          and course providers

          Increase in license and($55)      ($110)      ($145)    Special*


          license renewal fees                          ($179 ongoing)

          * Private Investigator Fund

          STAFF COMMENTS:  

          On page 5, lines 6 to 12, this bill grants DCA the discretion to  
          establish and charge a fee to cover the direct costs of the  
          statutorily required activities of approving CEPs, performing  
          audits, and developing criteria for CEPs and course content.   
          Staff notes the discretionary nature of the fee and unnecessary  
          and unspecified dollar amount per CEP creates uncertainty.   
          Staff recommends this provision be amended as follows to require  
          the fee, thus ensuring funding, and to reduce potentially  
          conflicting provisions:

                (4) The department  may  shall establish and charge a fee,  
          to be paid by CEPs, in an amount not to exceed the department's  
          direct costs,  and for no more than ____ ($___) 
           Page 2
          SB 202 (Harman)
          dollars per CEP,  in implementing the provisions of this section  
          that require the department to approve CEPs and to perform  
          audits, as described in subdivision (g), and to develop criteria  
          for course providers and course content, as described in  
          subdivision (h).

          This bill is similar to SB 1282 (Margett) which was vetoed by  
          the Governor with the following message:

          The historic delay in passing the 2008-09 State Budget has  
          forced me to prioritize the bills sent to my desk at the end of  
          the year's legislative session.  Given the delay, I am only  
          signing bills that are the highest priority for California.   
          This bill does not meet that standard and I cannot sign it at  
          this time.