BILL ANALYSIS Ó AB 1634 Page 1 Date of Hearing: April 9, 2014 ASSEMBLY COMMITTEE ON APPROPRIATIONS Mike Gatto, Chair AB 1634 (Skinner) - As Introduced: February 10, 2014 Policy Committee: LaborVote:5-1 Urgency: No State Mandated Local Program: No Reimbursable: No SUMMARY This bill provides that an appeal of a citation that is classified and cited as a serious, repeat serious, or willful serious violation shall not stay the abatement periods and requirements unless the Division of Occupational Safety and Health (DOSH) determines that a stay will not adversely affect the health and safety of employees. FISCAL EFFECT Ongoing costs of $1 million (special funds) to the Department of Industrial Relations (DIR) to support DOSH with stay determinations. DIR could incur additional costs to the extent stay decisions made by DOSH are challenged and appealed. COMMENTS 1)Purpose . Under current law, DOSH may issue a citation or notice of proposed penalty to an employer if it determines the employer has violated existing law. The citation is required to provide a reasonable time for the abatement of the alleged violation. An employer may appeal the citation with the Occupational Safety and Health Appeals Board (OSHAB) within 15 days of the receipt of the citation. Generally, there is no obligation for an employer to abate the alleged violation while the appeal is pending. The author contends that, in practice, many employers use the appeals process to delay abatement. Appeals can last for months or years after the original citation is issued. This bill requires an employer to abate the most serious workplace hazards, as required by DOSH, even during an employer's appeal. AB 1634 Page 2 2)Opponents , including the California Chamber of Commerce, contend that the bill would create a costly double-appeal process that presumes guilt for employers, undermines due process with regards to citations for workplace safety violations, and is unnecessary in light of recently adopted regulations for an expedited appeals process for these situations. 3)Prior legislation . AB 1165 (Skinner) of 2013, similar to this bill, authorized DOSH to stay the abatement of a serious, willful or repeat violation only if the employer had a high likelihood of successfully contesting the violation and if staying the abatement would not adversely impact the health or safety of employees. The bill also would have established an expedited appeal process under OSHAB. In his veto message, Governor Brown directed Cal/OSHA to "consult with the author to make sure the Appeals Board process is working as intended and, if necessary, to recommend any additional administrative or regulatory actions that may be needed." Analysis Prepared by : Misty Feusahrens / APPR. / (916) 319-2081