BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                      



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          |SENATE RULES COMMITTEE            |                   AB 417|
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                                    CONSENT


          Bill No:  AB 417
          Author:   Bill Berryhill (R)
          Amended:  6/20/11 in Senate
          Vote:     21

           
           SENATE BUSINESS, PROF. & ECON. DEV. COMM.  :  9-0, 6/27/11
          AYES:  Price, Emmerson, Corbett, Correa, Hernandez, Negrete 
            McLeod, Vargas, Walters, Wyland

           ASSEMBLY FLOOR  :  71-2, 5/19/11 - See last page for vote


           SUBJECT  :    Structural pest control

           SOURCE  :     Pest Control Operators of California


           DIGEST  :    This bill prohibits a city, county, or city and 
          county from prohibiting a licensee of the Structural Pest 
          Control Board from engaging in the particular business, 
          occupation, or profession for which he or she is licensed 
          under the Structural Pest Control law.

           ANALYSIS  :    

           Existing law  :

          1. Prohibits a city or county from prohibiting a person or 
             group of persons, authorized by one of the agencies in 
             the Department of Consumer Affairs (DCA) by a license, 
             certificate, or other such means to engage in a 
             particular business, from engaging in that business, 
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             occupation, or profession or any portion thereof.

          2. Provides for the licensing and regulation of more than 
             24,000 structural pest control operators, field 
             representatives, applicators and registered structural 
             pest control companies by the Structural Pest Control 
             Board (SPCB or Board) within the Department of Pesticide 
             Regulation (DPR).

          3. Provides that the practice of structural pest control 
             includes engaging in, offering, advertising, soliciting, 
             or the performance of:  identification of infestations 
             or infections; making an inspection to identify 
             infestations or infections of structures by pests or 
             organisms; making inspection reports, recommendations, 
             estimates, and bids; making contracts, or bidding for, 
             or the performance of any work including, making 
             structural repairs or replacements, or the use of 
             pesticides, insecticides, rodenticides, fumigants, or 
             allied chemicals or substances, or mechanical devices 
             for the purpose of eliminating, exterminating, 
             controlling or preventing infestations or infections of 
             pests, or organisms.

          4. Provides for structural pest control operators, field 
             representatives, and applicators to be licensed in as 
             many as three specified areas of pest control:  Branch 1 
             - Fumigation, Branch 2 - General pest, and Branch 3 - 
             Termite.

          5. Specifically provides that the practice of the Branch 3 
             - Termite license relates to the control of 
             wood-destroying pests or organisms by the use of 
             insecticides, or structural repairs and corrections, 
             excluding fumigation with poisonous or lethal gases.

          6. Licenses and regulates contractors by the Contractors 
             State License Board within the DCA and exempts from the 
             licensing requirement, a licensed structural pest 
             control operator acting within the scope of his or her 
             license. 

          This bill prohibits a city, county, or city and county from 
          prohibiting a licensee of the SPCB from engaging in the 

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          particular business, occupation, or profession for which he 
          or she is licensed under the Structural Pest Control law.

           Background

           General provisions of the Business and Professions Code 
          prohibit a city or county from prohibiting a person 
          licensed by a board or bureau under DCA to engage in that 
          licensed business, occupation, or profession or any portion 
          thereof.  

          AB 20 X4 (Strickland), Chapter 18, Statutes of 2009, makes 
          a number of changes to several regulatory agencies, 
          including, moving the SPCB from the DCA into the DPR.  In 
          transferring the Board outside of DCA it has been argued 
          that the licensed pest control operators no longer meet the 
          criteria of Section 460 (a), since the SPCB is no longer 
          under DCA.  This has direct impact on the ability of pest 
          control operators, operating under their licenses, to 
          obtain building permits and have their modifications and 
          repairs signed off on by local building inspectors.  

          This bill addresses this issue by mirroring the provisions 
          of Business and Professions Code Section 460 (a) in the 
          Structural Pest Control Act.

           Repairs by Pest Control Licensees  .  The Structural Pest 
          Control Act provides for the licensing and regulation of 
          structural pest control operators, field representatives, 
          and applicators and the registration of structural pest 
          control companies by the SPCB.  The SPCB was created by the 
          California Legislature in 1935.  Prior to that time 
          structural pest control was regulated by the Contractors 
          State License Board.  By application and examination, the 
          SPCB issues licenses in three specified areas of pest 
          control.  All companies and their branch offices must be 
          registered by the SPCB.

               Branch 1 - Fumigation.  The control of household and 
              wood destroying pests or organisms by fumigation with 
              poisonous or lethal gases.
               Branch 2 - General pest.  The control of household 
              pests, but excludes fumigation.
               Branch 3 - Termite.  The control of wood destroying 

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              pests or organisms by use of insecticides, or 
              structural repairs and corrections, excluding 
              fumigation.

          When an inspection finds wood destroying pests in a 
          structure, the report must include recommendations for 
          corrective measures.  Corrective measures may include the 
          repair or replacement of structural elements which have 
          been damaged by pests or organisms.  At the consumers 
          choice, the consumer may make the necessary corrective 
          repairs in any of several ways, including:  using the 
          services of a licensed contractor, or contracting with a 
          Branch 3 licensee for those repairs and corrections.

          The Contractors State License (CSLB) law exempts pest 
          control operators acting with the scope of their license 
          from the contractor licensing requirement.  The CSLB's 
          Building Official Information Guide states, "Structural 
          Pest Control Operators are not required to hold a 
          contractor's license when operating within the scope of 
          their license.  Only a Branch 3 Licensed Structural Pest 
          Control Operator may contract and pull permits for the 
          repair or replacement of wood damaged by wood-destroying 
          pests or organisms."

           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  No   
          Local:  No

           SUPPORT  :   (Verified  6/30/11)

          Pest Control Operators of California (source)

           ARGUMENTS IN SUPPORT  :    According to the author, "AB 417 
          simply clarifies to local building inspectors in statute 
          the ability to make repairs which were lost when the 
          Structural Pest Control Board was removed from the 
          jurisdiction of the Department of Consumer Affairs and 
          placed under the authority of the Department of Pesticide 
          Regulation."


           ASSEMBLY FLOOR  : 
          AYES: Achadjian, Allen, Atkins, Beall, Bill Berryhill, 
            Blumenfield, Bonilla, Bradford, Brownley, Buchanan, 

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            Charles Calderon, Campos, Carter, Cedillo, Chesbro, 
            Conway, Cook, Davis, Dickinson, Donnelly, Eng, Feuer, 
            Fletcher, Fuentes, Beth Gaines, Galgiani, Garrick, Gatto, 
            Gordon, Grove, Hagman, Halderman, Hall, Harkey, Hayashi, 
            Roger Hernández, Hill, Huber, Hueso, Jeffries, Jones, 
            Knight, Lara, Logue, Ma, Mansoor, Mendoza, Miller, 
            Mitchell, Monning, Morrell, Nestande, Nielsen, Norby, 
            Olsen, Pan, Perea, V. Manuel Pérez, Portantino, Silva, 
            Skinner, Smyth, Solorio, Swanson, Torres, Valadao, 
            Wagner, Wieckowski, Williams, Yamada, John A. Pérez
          NOES: Ammiano, Huffman
          NO VOTE RECORDED: Alejo, Block, Butler, Fong, Furutani, 
            Gorell, Bonnie Lowenthal


          JJA:do  6/30/11   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

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