BILL ANALYSIS Ó Senate Appropriations Committee Fiscal Summary Senator Christine Kehoe, Chair AB 1443 (Logue) - Home furnishings: inspections: reimbursement Amended: As Introduced Policy Vote: B,P&ED 9-0 Urgency: No Mandate: No Hearing Date: June 25, 2012 Consultant: Bob Franzoia This bill does not meet the criteria for referral to the Suspense File. Bill Summary: AB 1443 would require the Bureau of Electronic and Appliance Repair, Home Furnishings, and Thermal Insulation (bureau) to reimburse the manufacturer, distributer, or retailer for the actual cost of the article or sample taken for analysis. No reimbursement would be made if the article or sample is found to be in violation of the Home Furnishing and Thermal Insulation Act or a regulation of the bureau. Fiscal Impact: Estimated $100,000 to $115,000 annually from the Bureau of Home Furnishings and Thermal Insulation Fund. Background: The Home Furnishing and Thermal Insulation Act provides for the licensure and regulation of various manufacturers, sellers, upholsterers, and sanitizers of home furnishings, such as furniture and bedding. Bureau staff may open any article of upholstered furniture or bedding for the purpose of inspection and to take any part for analysis. The bureau may condemn, withhold from sale, seize, or destroy any upholstered furniture or bedding or any filling material or insulation that is found to be in violation of the Home Furnishing and Thermal Insulation Act. Staff Comments: AB 1443 requires the bureau to reimburse the manufacturer, distributor, or retailer of any article or sample taken for analysis, unless the article or sample is found to be in violation of the act or bureau regulation. Currently, the bureau does not have the statutory authority to reimburse manufacturers, and accordingly is unable to adopt clear > (>) Page 1 implementing regulations. However, The Department of Consumer Affairs indicates that the bureau is currently compensating manufacturers, distributors and retailers for furniture and bedding taken for analysis.