BILL NUMBER: AB 1794 ENROLLED
BILL TEXT
PASSED THE SENATE AUGUST 28, 2012
PASSED THE ASSEMBLY AUGUST 29, 2012
AMENDED IN SENATE AUGUST 23, 2012
AMENDED IN SENATE AUGUST 6, 2012
AMENDED IN SENATE JUNE 21, 2012
AMENDED IN ASSEMBLY MAY 25, 2012
AMENDED IN ASSEMBLY APRIL 9, 2012
INTRODUCED BY Assembly Member Williams
FEBRUARY 21, 2012
An act to amend Section 1088.5 of the Unemployment Insurance Code,
relating to employers.
LEGISLATIVE COUNSEL'S DIGEST
AB 1794, Williams. Unemployment insurance: use of employer
reports: reporting and payroll: enforcement.
(1) Existing law provides for the payment of unemployment
compensation benefits to eligible unemployed individuals, and
requires the Employment Development Department to implement and
administer the unemployment insurance system in the state. Existing
law requires each employer to file with the department a report of
wages paid to his or her workers and to furnish to each employee a
written statement showing, among other things, the total amount of
wages, and total wages subject to personal income tax, as provided.
Existing law also requires each employer to file with the department
specified information on new employees, and authorizes the use of
that information for specified purposes including, among other
things, administration of the law regarding unemployment compensation
benefits. Existing law provides that a person who knowingly
accesses, uses, or discloses confidential information without
authorization is guilty of a misdemeanor.
This bill would, until January 1, 2019, also authorize the
Employment Development Department to provide the specified new
employee information to the Joint Enforcement Strike Force on the
Underground Economy, the Contractors' State License Board, and the
State Compensation Insurance Fund, as provided. By expanding the
crime of knowingly and wrongfully accessing, using, or disclosing
specified information, this 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.
(2) Existing law imposes specified regulatory and enforcement
responsibilities relating to employers on the Employment Development
Department, the Contractors' State License Board, and the State
Compensation Insurance Fund.
This bill would require the Employment Development Department, the
Contractors' State License Board, and the State Compensation
Insurance Fund to execute, on or before July 1, 2013, a memorandum of
understanding regarding the administration and enforcement of
reporting and payroll duties relating to contractors.
(3) This bill would incorporate additional changes in Section
1088.5 of the Unemployment Insurance Code, proposed by AB 174 and AB
1845 that would become operative only if this bill and either or both
of those bills are chaptered and become effective January 1, 2013,
and this bill is chaptered last.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 1088.5 of the Unemployment Insurance Code is
amended to read:
1088.5. (a) In addition to information reported in accordance
with Section 1088, effective July 1, 1998, each employer shall file,
with the department, the information provided for in subdivision (b)
on new employees.
(b) Each employer shall report the hiring of any employee who
works in this state and to whom the employer anticipates paying
wages.
(c) (1) This section shall not apply to any department, agency, or
instrumentality of the United States.
(2) State agency employers shall not be required to report
employees performing intelligence or counterintelligence functions,
if the head of the agency has determined that reporting pursuant to
this section would endanger the safety of the employee or compromise
an ongoing investigation or intelligence mission.
(d) (1) Employers shall submit a report as described in paragraph
(4) within 20 days of hiring any employee whom the employer is
required to report pursuant to this section.
(2) Notwithstanding subdivision (a), employers transmitting
reports magnetically or electronically shall submit the report by two
monthly transmissions not less than 12 days and not more than 16
days apart.
(3) For purposes of this section, an employer that has employees
in two or more states and that transmits reports magnetically or
electronically may designate one state in which the employer has
employees to which the employer will transmit the report described in
paragraph (4). Any employer that transmits reports pursuant to this
paragraph shall notify the Secretary of Health and Human Services in
writing as to which state the employer designates for the purpose of
sending reports.
(4) The report shall contain the following:
(A) The name, address, and social security number of the
employees.
(B) The employer's name, address, state employer identification
number (if one has been issued), and identifying number assigned to
the employer under Section 6109 of the Internal Revenue Code of 1986.
(C) The first date the employee worked.
(5) Employers may report pursuant to this section by submitting a
copy of the employee's W-4 form, a form provided by the department,
or any other hiring document transmitted by first-class mail,
magnetically, or electronically.
(e) For each failure to report the hiring of an employee, as
required and within the time required by this section, unless the
failure is due to good cause, the department may assess a penalty of
twenty-four dollars ($24), or four hundred ninety dollars ($490) if
the failure is the result of conspiracy between the employer and
employee not to supply the required report or to supply a false or
incomplete report.
(f) (1) On and after January 1, 2013, and before January 1, 2019,
information collected pursuant to this section may be used for the
following purposes:
(A) Administration of this code, including, but not limited to,
providing employer or employee information to participating members
of the Joint Enforcement Strike Force on the Underground Economy
pursuant to Section 329 for the purposes of auditing, investigating,
and prosecuting violations of tax and cash-pay reporting laws.
(B) Locating individuals for purposes of establishing paternity
and establishing, modifying, and enforcing child support obligations.
(C) Administration of employment security and workers'
compensation programs.
(D) Providing employer or employee information to the Franchise
Tax Board and the State Board of Equalization for the purpose of tax
or fee enforcement.
(E) Verification of eligibility of applicants for, or recipients
of, the public assistance programs listed in Section 1320b-7(b) of
Title 42 of the United States Code.
(F) Providing employer or employee information to the Contractors'
State License Board and the State Compensation Insurance Fund for
the purpose of workers' compensation payroll reporting.
(2) On and after January 1, 2019, information collected pursuant
to this section may be used for the following purposes:
(A) Administration of this code.
(B) Locating individuals for purposes of establishing paternity
and establishing, modifying, and enforcing child support obligations.
(C) Administration of employment security and workers'
compensation programs.
(D) Providing employer or employee information to the Franchise
Tax Board and to the State Board of Equalization for the purposes of
tax or fee enforcement.
(E) Verification of eligibility of applicants for, or recipients
of, the public assistance programs listed in Section 1320b-7(b) of
Title 42 of the United States Code.
(g) For purposes of this section, "employer" includes a labor
union hiring hall.
(h) This section shall become operative on July 1, 1998.
SEC. 1.1. Section 1088.5 of the Unemployment Insurance Code is
amended to read:
1088.5. (a) In addition to information reported in accordance
with Section 1088, effective July 1, 1998, each employer shall file,
with the department, the information provided for in subdivision (b)
on new employees.
(b) Each employer shall report the hiring of any employee who
works in this state and to whom the employer anticipates paying
wages.
(c) (1) This section shall not apply to any department, agency, or
instrumentality of the United States.
(2) State agency employers shall not be required to report
employees performing intelligence or counterintelligence functions,
if the head of the agency has determined that reporting pursuant to
this section would endanger the safety of the employee or compromise
an ongoing investigation or intelligence mission.
(d) (1) Employers shall submit a report as described in paragraph
(4) within 20 days of hiring any employee whom the employer is
required to report pursuant to this section.
(2) Notwithstanding subdivision (a), employers transmitting
reports magnetically or electronically shall submit the report by two
monthly transmissions not less than 12 days and not more than 16
days apart.
(3) For purposes of this section, an employer that has employees
in two or more states and that transmits reports magnetically or
electronically may designate one state in which the employer has
employees to which the employer will transmit the report described in
paragraph (4). Any employer that transmits reports pursuant to this
paragraph shall notify the Secretary of Health and Human Services in
writing as to which state the employer designates for the purpose of
sending reports.
(4) The report shall contain the following:
(A) The name, address, and social security number of the
employees.
(B) The employer's name, address, state employer identification
number (if one has been issued), and identifying number assigned to
the employer under Section 6109 of the Internal Revenue Code of 1986.
(C) The first date the employee worked.
(5) Employers may report pursuant to this section by submitting a
copy of the employee's W-4 form, a form provided by the department,
or any other hiring document transmitted by first-class mail,
magnetically, or electronically.
(e) For each failure to report the hiring of an employee, as
required and within the time required by this section, unless the
failure is due to good cause, the department may assess a penalty of
twenty-four dollars ($24), or four hundred ninety dollars ($490) if
the failure is the result of conspiracy between the employer and
employee not to supply the required report or to supply a false or
incomplete report.
(f) (1) On and after January 1, 2013, and before January 1, 2019,
information collected pursuant to this section may be used for the
following purposes:
(A) Administration of this code, including, but not limited to,
providing employer or employee information to participating members
of the Joint Enforcement Strike Force on the Underground Economy
pursuant to Section 329 for the purposes of auditing, investigating,
and prosecuting violations of tax and cash-pay reporting laws.
(B) Locating individuals for purposes of establishing paternity
and establishing, modifying, and enforcing child support obligations.
(C) Administration of employment security and workers'
compensation programs.
(D) Providing employer or employee information to the Franchise
Tax Board and the State Board of Equalization for the purpose of tax
or fee enforcement.
(E) Verification of eligibility of applicants for, or recipients
of, the public assistance programs listed in Section 1320b-7(b) of
Title 42 of the United States Code.
(F) Providing employer or employee information to the Contractors'
State License Board and the State Compensation Insurance Fund for
the purpose of workers' compensation payroll reporting.
(G) Providing employer or employee information to the State
Department of Health Care Services, the California Health Benefit
Exchange, the Managed Risk Medical Insurance Board, and county
departments and agencies for the purpose of:
(i) Verifying or determining the eligibility of an applicant for,
or a recipient of, state health subsidy programs, limited to the
Medi-Cal program, provided pursuant to Chapter 7 (commencing with
Section 14000) of Part 3 of Division 9 of the Welfare and
Institutions Code, the Healthy Families Program, provided pursuant to
Part 6.2 (commencing with Section 12693) of Division 2 of the
Insurance Code, and the Access for Infants and Mothers Program,
provided pursuant to Part 6.3 (commencing with Section 12695) of
Division 2 of the Insurance Code, where the verification or
determination is directly connected with, and limited to, the
administration of the state health subsidy programs referenced in
this clause.
(ii) Verifying or determining the eligibility of an applicant for,
or a recipient of, federal subsidies offered through the California
Health Benefit Exchange, provided pursuant to Title 22 (commencing
with Section 100500) of the Government Code, including federal tax
credits and cost-sharing assistance pursuant to the federal Patient
Protection and Affordable Care Act (Public Law 111-148), as amended
by the federal Health Care and Education Reconciliation Act of 2010
(Public Law 111-152), where the verification or determination is
directly connected with, and limited to, the administration of the
California Health Benefit Exchange.
(iii) Verifying or determining the eligibility of employees and
employers for health coverage through the Small Business Health
Options Program, provided pursuant to Section 100502 of the
Government Code, where the verification or determination is directly
connected with, and limited to, the administration of the Small
Business Health Options Program.
(2) On and after January 1, 2019, information collected pursuant
to this section may be used for the following purposes:
(A) Administration of this code.
(B) Locating individuals for purposes of establishing paternity
and establishing, modifying, and enforcing child support obligations.
(C) Administration of employment security and workers'
compensation programs.
(D) Providing employer or employee information to the Franchise
Tax Board and to the State Board of Equalization for the purposes of
tax or fee enforcement.
(E) Verification of eligibility of applicants for, or recipients
of, the public assistance programs listed in Section 1320b-7(b) of
Title 42 of the United States Code.
(F) Providing employer or employee information to the State
Department of Health Care Services, the California Health Benefit
Exchange, the Managed Risk Medical Insurance Board, and county
departments and agencies for the purpose of:
(i) Verifying or determining the eligibility of an applicant for,
or a recipient of, state health subsidy programs, limited to the
Medi-Cal program, provided pursuant to Chapter 7 (commencing with
Section 14000) of Part 3 of Division 9 of the Welfare and
Institutions Code, the Healthy Families Program, provided pursuant to
Part 6.2 (commencing with Section 12693) of Division 2 of the
Insurance Code, and the Access for Infants and Mothers Program,
provided pursuant to Part 6.3 (commencing with Section 12695) of
Division 2 of the Insurance Code, where the verification or
determination is directly connected with, and limited to, the
administration of the state health subsidy programs referenced in
this clause.
(ii) Verifying or determining the eligibility of an applicant for,
or a recipient of, federal subsidies offered through the California
Health Benefit Exchange, provided pursuant to Title 22 (commencing
with Section 100500) of the Government Code, including federal tax
credits and cost-sharing assistance pursuant to the federal Patient
Protection and Affordable Care Act (Public Law 111-148), as amended
by the federal Health Care and Education Reconciliation Act of 2010
(Public Law 111-152), where the verification or determination is
directly connected with, and limited to, the administration of the
California Health Benefit Exchange.
(iii) Verifying or determining the eligibility of employees and
employers for health coverage through the Small Business Health
Options Program, provided pursuant to Section 100502 of the
Government Code, where the verification or determination is directly
connected with, and limited to, the administration of the Small
Business Health Options Program.
(g) For purposes of this section, "employer" includes a labor
union hiring hall.
(h) This section shall become operative on July 1, 1998.
SEC. 1.2. Section 1088.5 of the Unemployment Insurance Code is
amended to read:
1088.5. (a) In addition to information reported in accordance
with Section 1088, effective July 1, 1998, each employer shall file,
with the department, the information provided for in subdivision (b)
on new employees.
(b) Each employer shall report the hiring of any employee who
works in this state and to whom the employer anticipates paying
wages, and also shall report the hiring of any employee who
previously worked for the employer but had been separated from that
prior employment for at least 60 consecutive days.
(c) (1) This section shall not apply to any department, agency, or
instrumentality of the United States.
(2) State agency employers shall not be required to report
employees performing intelligence or counterintelligence functions,
if the head of the agency has determined that reporting pursuant to
this section would endanger the safety of the employee or compromise
an ongoing investigation or intelligence mission.
(d) (1) Employers shall submit a report as described in paragraph
(4) within 20 days of hiring any employee whom the employer is
required to report pursuant to this section.
(2) Notwithstanding subdivision (a), employers transmitting
reports magnetically or electronically shall submit the report by two
monthly transmissions not less than 12 days and not more than 16
days apart.
(3) For purposes of this section, an employer that has employees
in two or more states and that transmits reports magnetically or
electronically may designate one state in which the employer has
employees to which the employer will transmit the report described in
paragraph (4). Any employer that transmits reports pursuant to this
paragraph shall notify the Secretary of Health and Human Services in
writing as to which state the employer designates for the purpose of
sending reports.
(4) The report shall contain the following:
(A) The name, address, and social security number of the
employees.
(B) The employer's name, address, state employer identification
number (if one has been issued), and identifying number assigned to
the employer under Section 6109 of the Internal Revenue Code of 1986.
(C) The first date the employee worked.
(5) Employers may report pursuant to this section by submitting a
copy of the employee's W-4 form, a form provided by the department,
or any other hiring document transmitted by first-class mail,
magnetically, or electronically.
(e) For each failure to report the hiring of an employee, as
required and within the time required by this section, unless the
failure is due to good cause, the department may assess a penalty of
twenty-four dollars ($24), or four hundred ninety dollars ($490) if
the failure is the result of conspiracy between the employer and
employee not to supply the required report or to supply a false or
incomplete report.
(f) (1) On and after January 1, 2013, and before January 1, 2019,
information collected pursuant to this section may be used for the
following purposes:
(A) Administration of this code, including, but not limited to,
providing employer or employee information to participating members
of the Joint Enforcement Strike Force on the Underground Economy
pursuant to Section 329 for the purposes of auditing, investigating,
and prosecuting violations of tax and cash-pay reporting laws.
(B) Locating individuals for purposes of establishing paternity
and establishing, modifying, and enforcing child support obligations.
(C) Administration of employment security and workers'
compensation programs.
(D) Providing employer or employee information to the Franchise
Tax Board and the State Board of Equalization for the purpose of tax
or fee enforcement.
(E) Verification of eligibility of applicants for, or recipients
of, the public assistance programs listed in Section 1320b-7(b) of
Title 42 of the United States Code.
(F) Providing employer or employee information to the Contractors'
State License Board and the State Compensation Insurance Fund for
the purpose of workers' compensation payroll reporting.
(2) On and after January 1, 2019, information collected pursuant
to this section may be used for the following purposes:
(A) Administration of this code.
(B) Locating individuals for purposes of establishing paternity
and establishing, modifying, and enforcing child support obligations.
(C) Administration of employment security and workers'
compensation programs.
(D) Providing employer or employee information to the Franchise
Tax Board and to the State Board of Equalization for the purposes of
tax or fee enforcement.
(E) Verification of eligibility of applicants for, or recipients
of, the public assistance programs listed in Section 1320b-7(b) of
Title 42 of the United States Code.
(g) For purposes of this section, "employer" includes a labor
union hiring hall.
(h) This section shall become operative on July 1, 1998.
SEC. 1.3. Section 1088.5 of the Unemployment Insurance Code is
amended to read:
1088.5. (a) In addition to information reported in accordance
with Section 1088, effective July 1, 1998, each employer shall file,
with the department, the information provided for in subdivision (b)
on new employees.
(b) Each employer shall report the hiring of any employee who
works in this state and to whom the employer anticipates paying
wages, and also shall report the hiring of any employee who
previously worked for the employer but had been separated from that
prior employment for at least 60 consecutive days.
(c) (1) This section shall not apply to any department, agency, or
instrumentality of the United States.
(2) State agency employers shall not be required to report
employees performing intelligence or counterintelligence functions,
if the head of the agency has determined that reporting pursuant to
this section would endanger the safety of the employee or compromise
an ongoing investigation or intelligence mission.
(d) (1) Employers shall submit a report as described in paragraph
(4) within 20 days of hiring any employee whom the employer is
required to report pursuant to this section.
(2) Notwithstanding subdivision (a), employers transmitting
reports magnetically or electronically shall submit the report by two
monthly transmissions not less than 12 days and not more than 16
days apart.
(3) For purposes of this section, an employer that has employees
in two or more states and that transmits reports magnetically or
electronically may designate one state in which the employer has
employees to which the employer will transmit the report described in
paragraph (4). Any employer that transmits reports pursuant to this
paragraph shall notify the Secretary of Health and Human Services in
writing as to which state the employer designates for the purpose of
sending reports.
(4) The report shall contain the following:
(A) The name, address, and social security number of the
employees.
(B) The employer's name, address, state employer identification
number (if one has been issued), and identifying number assigned to
the employer under Section 6109 of the Internal Revenue Code of 1986.
(C) The first date the employee worked.
(5) Employers may report pursuant to this section by submitting a
copy of the employee's W-4 form, a form provided by the department,
or any other hiring document transmitted by first-class mail,
magnetically, or electronically.
(e) For each failure to report the hiring of an employee, as
required and within the time required by this section, unless the
failure is due to good cause, the department may assess a penalty of
twenty-four dollars ($24) or four hundred ninety dollars ($490) if
the failure is the result of conspiracy between the employer and
employee not to supply the required report or to supply a false or
incomplete report.
(f) (1) On and after January 1, 2013, and before January 1, 2019,
information collected pursuant to this section may be used for the
following purposes:
(A) Administration of this code, including, but not limited to,
providing employer or employee information to participating members
of the Joint Enforcement Strike Force on the Underground Economy
pursuant to Section 329 for the purposes of auditing, investigating,
and prosecuting violations of tax and cash-pay reporting laws.
(B) Locating individuals for purposes of establishing paternity
and establishing, modifying, and enforcing child support obligations.
(C) Administration of employment security and workers'
compensation programs.
(D) Providing employer or employee information to the Franchise
Tax Board and the State Board of Equalization for the purpose of tax
or fee enforcement.
(E) Verification of eligibility of applicants for, or recipients
of, the public assistance programs listed in Section 1320b-7(b) of
Title 42 of the United States Code.
(F) Providing employer or employee information to the Contractors'
State License Board and the State Compensation Insurance Fund for
the purpose of workers' compensation payroll reporting.
(G) Providing employer or employee information to the State
Department of Health Care Services, the California Health Benefit
Exchange, the Managed Risk Medical Insurance Board, and county
departments and agencies for the purpose of:
(i) Verifying or determining the eligibility of an applicant for,
or a recipient of, state health subsidy programs, limited to the
Medi-Cal program, provided pursuant to Chapter 7 (commencing with
Section 14000) of Part 3 of Division 9 of the Welfare and
Institutions Code, the Healthy Families Program, provided pursuant to
Part 6.2 (commencing with Section 12693) of Division 2 of the
Insurance Code, and the Access for Infants and Mothers Program,
provided pursuant to Part 6.3 (commencing with Section 12695) of
Division 2 of the Insurance Code, where the verification or
determination is directly connected with, and limited to, the
administration of the state health subsidy programs referenced in
this clause.
(ii) Verifying or determining the eligibility of an applicant for,
or a recipient of, federal subsidies offered through the California
Health Benefit Exchange, provided pursuant to Title 22 (commencing
with Section 100500) of the Government Code, including federal tax
credits and cost-sharing assistance pursuant to the federal Patient
Protection and Affordable Care Act, (Public Law 111-148), as amended
by the federal Health Care and Education Reconciliation Act of 2010
(Public Law 111-152), where the verification or determination is
directly connected with, and limited to, the administration of the
California Health Benefit Exchange.
(iii) Verifying or determining the eligibility of employees and
employers for health coverage through the Small Business Health
Options Program, provided pursuant to Section 100502 of the
Government Code, where the verification or determination is directly
connected with, and limited to, the administration of the Small
Business Health Options Program.
(2) On and after January 1, 2019, information collected pursuant
to this section may be used for the following purposes:
(A) Administration of this code.
(B) Locating individuals for purposes of establishing paternity
and establishing, modifying, and enforcing child support obligations.
(C) Administration of employment security and workers'
compensation programs.
(D) Providing employer or employee information to the Franchise
Tax Board and to the State Board of Equalization for the purposes of
tax or fee enforcement.
(E) Verification of eligibility of applicants for, or recipients
of, the public assistance programs listed in Section 1320b-7(b) of
Title 42 of the United States Code.
(F) Providing employer or employee information to the State
Department of Health Care Services, the California Health Benefit
Exchange, the Managed Risk Medical Insurance Board, and county
departments and agencies for the purpose of:
(i) Verifying or determining the eligibility of an applicant for,
or a recipient of, state health subsidy programs, limited to the
Medi-Cal program, provided pursuant to Chapter 7 (commencing with
Section 14000) of Part 3 of Division 9 of the Welfare and
Institutions Code, the Healthy Families Program, provided pursuant to
Part 6.2 (commencing with Section 12693) of Division 2 of the
Insurance Code, and the Access for Infants and Mothers Program,
provided pursuant to Part 6.3 (commencing with Section 12695) of
Division 2 of the Insurance Code, where the verification or
determination is directly connected with, and limited to, the
administration of the state health subsidy programs referenced in
this clause.
(ii) Verifying or determining the eligibility of an applicant for,
or a recipient of, federal subsidies offered through the California
Health Benefit Exchange, provided pursuant to Title 22 (commencing
with Section 100500) of the Government Code, including federal tax
credits and cost-sharing assistance pursuant to the federal Patient
Protection and Affordable Care Act, (Public Law 111-148), as amended
by the federal Health Care and Education Reconciliation Act of
2010 (Public Law
111-152), where the verification or determination is directly
connected with, and limited to, the administration of the California
Health Benefit Exchange.
(iii) Verifying or determining the eligibility of employees and
employers for health coverage through the Small Business Health
Options Program, provided pursuant to Section 100502 of the
Government Code, where the verification or determination is directly
connected with, and limited to, the administration of the Small
Business Health Options Program.
(g) For purposes of this section, "employer" includes a labor
union hiring hall.
(h) This section shall become operative on July 1, 1998.
SEC. 2. On or before July 1, 2013, the Employment Development
Department, the Contractors' State License Board, and the State
Compensation Insurance Fund shall execute a memorandum of
understanding to share information and coordinate enforcement actions
against contractors that fail to report new employees to the
Employment Development Department and accurate payroll to the State
Compensation Insurance Fund.
SEC. 3. (a) Section 1.1 of this bill incorporates all of the
substantive amendments to Section 1088.5 of the Unemployment
Insurance Code proposed by both this bill and Assembly Bill 174. It
shall only become operative if (1) both bills are enacted and become
effective on or before January 1, 2013, (2) each bill amends Section
1088.5 of the Unemployment Insurance Code, and (3) Assembly Bill 1845
is not enacted or as enacted does not amend that section, and (4)
this bill is enacted after Assembly 174, in which case Sections 1,
1.2, and 1.3 of this bill shall not become operative.
(b) Section 1.2 of this bill incorporates amendments to Section
1088.5 of the Unemployment Insurance Code proposed by both this bill
and Assembly Bill 1845. It shall only become operative if (1) both
bills are enacted and become effective on or before January 1, 2013,
(2) each bill amends Section 1088.5 of the Unemployment Insurance
Code, (3) Assembly Bill 174 is not enacted or as enacted does not
amend that section, and (4) this bill is enacted after Assembly Bill
1845 in which case Sections 1, 1.1, and 1.3 of this bill shall not
become operative.
(c) Section 1.3 of this bill incorporates all of the substantive
amendments to Section 1088.5 of the Unemployment Insurance Code
proposed by this bill, Assembly Bill 174, and Assembly Bill 1845. It
shall only become operative if (1) all three bills are enacted and
become effective on or before January 1, 2013, (2) all three bills
amend Section 1088.5 of the Unemployment Insurance Code, and (3) this
bill is enacted after Assembly Bill 174 and Assembly Bill 1845, in
which case Sections 1, 1.1, and 1.2 of this bill shall not become
operative.
SEC. 4. 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.