BILL ANALYSIS                                                                                                                                                                                                    Ó


          |SENATE RULES COMMITTEE            |                       AB 1650|
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                                    THIRD READING

          Bill No:  AB 1650
          Author:   Jones-Sawyer (D)
          Amended:  8/18/14 in Senate
          Vote:     21

          AYES:  Correa, Cannella, De León, Galgiani, Hernandez, Padilla,  
          NOES:  Vidak
          NO VOTE RECORDED:  Berryhill, Lieu, Vacancy

           SENATE JUDICIARY COMMITTEE  :  5-1, 6/17/14
          AYES:  Jackson, Corbett, Lara, Leno, Monning
          NOES:  Vidak
          NO VOTE RECORDED:  Anderson

           SENATE APPROPRIATIONS COMMITTEE  :  5-0, 8/14/14
          AYES:  De León, Hill, Lara, Padilla, Steinberg
          NO VOTE RECORDED:  Walters, Gaines

           ASSEMBLY FLOOR  :  58-16, 5/29/14 - See last page for vote

           SUBJECT  :    Public contracts:  bidders:  employment practices

           SOURCE  :     Author

           DIGEST  :    This bill requires a person bidding on certain state  
          contracts to certify that the person will not ask job applicants  
          to disclose information concerning their conviction history.



                                                                    AB 1650

           ANALYSIS  :    

          Existing law:

          1.Regulates, under the State Contract Act, contracting between  
            state agencies and private contractors, and outlines  
            requirements for bidding and awarding of contracts for  

          2.Defines projects to include the construction or other  
            improvement to a state structure, building, road or other  
            state improvement of any kind that will exceed a total cost of  
            $250,000 for the 2010 calendar year, as adjusted every two  

          3.Prohibits employers from asking applicants for employment to  
            disclose information concerning convictions that have been  
            sealed, expunged, or statutorily eradicated, and certain  
            marijuana-related convictions if the convictions are more than  
            two years old. 

          4.Prohibits a state or local agency from asking an applicant to  
            disclose information regarding a criminal conviction, except  
            as specified, until the agency has determined the applicant  
            meets the minimum employment qualifications, as stated in any  
            notice issued for the position.

          This bill:

          1.Requires any person submitting a bid to the state on a  
            contract involving onsite construction-related services to  
            certify that the person will not ask an applicant for onsite  
            construction-related employment to disclose orally or in  
            writing information concerning the applicant's conviction  

          2.Does not require this certification if the bidder or state  
            agency is otherwise required by state or federal law to  
            conduct a conviction history background check, or in any  
            contract position with a "criminal justice agency." 

          3.Does not require this certification when the person submitting  
            the bid obtains workers from a hiring hall pursuant to a bona  
            fide collective bargaining agreement.



                                                                    AB 1650


           According to the author, "men and women released from prison  
          often face daunting obstacles as they return home to their  
          communities, however none can be more difficult than finding  
          employment.  Former prisoners are often concentrated in a  
          relatively small number of distressed urban neighborhoods that  
          lack the resources needed to assist them in the reentry process.  
           Not surprisingly, after being unable to find a job, many end up  
          returning to prison, a disastrous result for them, their  
          families, communities, taxpayers, and public safety.

          "Across California, felony convictions are often treated as an  
          automatic disqualification in employment application procedures.  
          Without much justification individuals with criminal records are  
          excluded from being considered for employment.  According to the  
          California Research Bureau, California parolees have an  
          unemployment rate of 80%.  

          "In order to fight this alarming trend six states, 32 U.S.  
          cities and 8 cities and counties across California including San  
          Francisco, Richmond & Alameda County have removed the conviction  
          history box from job applications in public employment and  
          contractors who conduct business with the public.  These  
          entities have recognized that stable employment is critical to a  
          successful transition into the community.  

          "Removing the conviction history box can give thousands of  
          individuals a fair shot at employment while simultaneously  
          decreasing the recidivism rate, increasing economic activity and  
          improving public safety."

           Scope and applicability  .  According to the Senate Governmental  
          Organization Committee, this bill concerns when, not whether,  
          state contractors may obtain criminal conviction information  
          from applicants for on-site construction-related employment.   
          Under this bill, this information may be sought and considered  
          after the state contractor has determined that the applicant  
          meets the minimum qualifications for the job.  This bill exempts  
          contract positions in all criminal justice agencies, as well as  
          all positions with any employer for which a criminal background  
          investigation is legally required. 



                                                                    AB 1650

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

          According to the Senate Appropriations Committee:

           This bill potentially dissuades noncompliant contractors from  
            bidding on certain state public works contracts.  To the  
            extent this occurs, competition will be reduced, resulting in  
            potentially higher contract costs than would have occurred  
            otherwise.  The amount of the increase is unknown, but given  
            the volume at state public works contracts, could exceed  
            $150,000 annually.

           The state may incur investigation-related costs associated  
            with information that a bidder was not in compliance with this  
            bill's requirements.  The number of such cases is unknown, but  
            could result in significant investigative and legal costs. 

           If a state contractor was later found to have been in  
            violation of this bill's requirements, there could be  
            additional costs to void the contract and rebid the project. 

          SUPPORT  :   (Verified  8/13/14)

          Legal Services for Prisoners with Children

           ARGUMENTS IN SUPPORT  :    Supporters note that California joined  
          a number of other states and local governments by adopting AB  
          218 (Dickinson, Chapter 669, Statutes of 2013) which established  
          a similar but more expansive policy for state and local  
          government as this bill proposes for state contractors.

           ASSEMBLY FLOOR  :  58-16, 5/29/14
          AYES:  Alejo, Ammiano, Bloom, Bocanegra, Bonilla, Bonta,  
            Bradford, Brown, Buchanan, Ian Calderon, Campos, Chau, Chávez,  
            Chesbro, Dababneh, Daly, Dickinson, Eggman, Fong, Fox,  
            Frazier, Garcia, Gomez, Gonzalez, Gordon, Gorell, Gray, Hall,  
            Roger Hernández, Holden, Jones, Jones-Sawyer, Levine,  
            Lowenthal, Medina, Mullin, Muratsuchi, Nazarian, Olsen, Pan,  
            Patterson, Perea, John A. Pérez, V. Manuel Pérez, Quirk,  
            Quirk-Silva, Rendon, Ridley-Thomas, Rodriguez, Salas, Skinner,  
            Stone, Ting, Weber, Wieckowski, Williams, Yamada, Atkins
          NOES:  Achadjian, Allen, Conway, Dahle, Donnelly, Beth Gaines,  



                                                                    AB 1650

            Gatto, Grove, Hagman, Harkey, Logue, Maienschein, Mansoor,  
            Wagner, Waldron, Wilk
          NO VOTE RECORDED:  Bigelow, Cooley, Linder, Melendez, Nestande,  

          MW:nl  8/17/14   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

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