BILL NUMBER: AB 2415	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  MAY 23, 2014
	AMENDED IN ASSEMBLY  APRIL 3, 2014

INTRODUCED BY   Assembly Member Ting
   (Principal coauthor: Assembly Member Cooley)
   (  Coauthor:   Assembly Member 
 Bocanegra   Coauthors:   Assembly
Members   Bocanegra   and Dababneh  )

                        FEBRUARY 21, 2014

   An act to add Chapter 14.5 (commencing with Section 22260) to
Division 8 of the Business and Professions Code, relating to property
tax agents.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 2415, as amended, Ting. Property tax agents.
   Existing law requires every assessor to assess all property
subject to general property taxation at its full value and to prepare
an assessment roll in which all property within the county that it
is the assessor's duty to assess is required to be listed. Existing
law requires a county board of equalization or an assessment appeals
board to equalize the assessment of property on the local roll for
the purpose of taxation. Existing law authorizes a taxpayer, with
respect to each assessment year, to file an application for a
reduction in an assessment, as provided, with the county board, which
is the county board of supervisors meeting as a county board of
equalization or an assessment appeals board.
   This bill would, commencing  September 1, 2015, 
 April 1, 2016,  prohibit a  property tax agent,
  Property Tax Agent,  defined as any individual
who is employed, under contract, or otherwise receives compensation,
from communicating directly with any county official for the purpose
of influencing official action relating to the establishment of a
taxable value for any property subject to taxation, and from
representing a taxpayer before a county official, without first being
registered and issued a registration number by the Secretary of
State.  The bill would provide that a violation of these
provisions is a misdemeanor.  The bill would require a Property
Tax Agent to  file   file, under penalty of
perjury, with the Secretary of State an application for
registration that includes specified information and a registration
 fee in the amount of $250   fee, as specified
  . Because this bill would create new crimes, this bill
would impose a state-mandated local program  .  This

    This  bill would make the registration subject to
biennial  renewal and require the payment of a $250 renewal
fee.   renewal.  This bill would  prohibit
a person from registering, renewing his or her registration, or
providing services as a Property Tax Agent   require the
Secretary of State to issue a cease and desist order to a person who
is subject to these provisions  if that person has been
convicted of a felony or certain other criminal offenses or has had
his or her professional license, as specified,  revoked. This
bill would authorize the Secretary of State to revoke a Property Tax
Agent's registration for any violation of these provisions subject
to specified procedures, and would require the Secretary of State to
send the Property Tax Agent a written notice of intent to revoke
prior to the revocation. This bill would also require the Secretary
of State to conduct a background check on each property tax agent in
accordance with regulations to be developed by the Secretary of
State.  revoked, and to provide a copy of the notice to
the Attorney General. 
   This bill would require the Secretary of State to develop a list
of registered property tax agents, and a list of registered property
tax agents who have been fined or whose license has been revoked, and
to make those lists publicly available on its Internet Web site, as
specified. The bill would prohibit a Property Tax Agent from engaging
in specified activities, including, but not limited to, representing
that the Property Tax Agent can control the official action of any
county official and making a gift, as defined, to any county
official. The bill would authorize the  Secretary of State to
pursue   imposition of  civil penalties not to
exceed $1,500 for  the failure to comply with, or a violation
of, these provisions subject to specified procedures, and would
require the Secretary of State to send the Property Tax Agent a
written notice of noncompliance or violation prior to the imposition
of these civil penalties   each violation of these
provisions  . 
   This bill would require the Attorney General, District Attorney,
or City Attorney, as applicable, to notify the Secretary of State of
any conviction of, or of any penalty imposed against, a Property Tax
Agent pursuant to these provisions. By imposing new duties on city
attorneys' offices, this bill would impose a state-mandate local
program. 
   This bill would preempt and supersede all local ordinances
regarding the registration of any individual who communicates
directly or indirectly with any county official for the purpose of
influencing official action regarding a property tax assessment. 

   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 with regard to certain mandates no
reimbursement is required by this act for a specified reason. 

   With regard to any other mandates, this bill would provide that,
if the Commission on State Mandates determines that the bill contains
costs so mandated by the state, reimbursement for those costs shall
be made pursuant to the statutory provisions noted above. 
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program:  no   yes  .


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Chapter 14.5 (commencing with Section 22260) is added
to Division 8 of the Business and Professions Code, to read:
      CHAPTER 14.5.  PROPERTY TAX AGENTS


   22260.  The following definitions apply for purposes of this
chapter:
   (a) "County official" means the county assessor, an assessment
appeals board member, an assessment hearing officer, and any other
county employee within those offices whose duties are not primarily
clerical or manual.
   (b) "Gift" shall be defined as set forth in the Political Reform
Act of 1974 (Title 9 (commencing with Section 81000) of the
Government Code) and the regulations adopted thereunder.
   (c) (1) "Influencing official action" means representing a
taxpayer as an agent in connection with any matter before any county
official by promoting, supporting, influencing, seeking modification
of, opposing, or seeking delay of any official action by any means.

   (2) The following shall not be considered to be influencing
official action:  
   (2) 
    (A)  The filing or submitting of required county forms
for compliance purposes and communication related to these filings
shall not be considered to be influencing official action. 
   (B) The act of contacting, or being contacted by, a county
official solely for the purpose of ascertaining the current status of
any of the following:  
   (i) A property's taxable value.  
   (ii) A pending property tax refund.  
   (iii) A pending property tax exemption application. 
   (d) "Official action" means establishing a taxable value for any
property subject to property taxation, including initial value,
declines in value, corrections to values and any other changes in the
taxable value set; completing an assessment roll showing the
assessed values of all property; applying all legal exemptions to
assessments; issuing refunds; and deciding all property assessment
disputes between taxpayers and a county official.
   (e) "Public official" and "public employee" mean any government
official or employee of any state or local government agency.
   (f) "Property Tax Agent" means any individual who is employed,
under contract, or otherwise receives compensation to communicate
directly, or through agents, employees, or subcontractors, with any
county official for the purpose of influencing official action. A
Property Tax Agent shall not include:
   (1) An elected or appointed public official or public employee
when acting in his or her official capacity.
   (2) A person representing any of the following:
   (A) Himself or herself.
   (B) An immediate family member.
   (C) An entity of which the person is a partner or owner of 10
percent or more of the value of the entity.
   (3) An in-house tax professional or in-house employee representing
his or her employer by influencing official action. 
   (4) A person who, accompanying the taxpayer or a registered
Property Tax Agent, only provides their expert opinion to a county
official. 
   22260.1.  (a) (1) Each Property Tax  Agent, within 30 days
of becoming a Property Tax Agent,   Agent  shall
file  , under penalty of perjury,  with the Secretary of
State an application for a registration containing the following
information:
   (A) The Property Tax Agent's full name, business address, business
telephone number,  and  business email address,
 date of birth, and previous Property Tax Agent number issued by
the Secretary of State,  if applicable.
   (B) The name of the Property Tax Agent's employing tax agent firm,
if applicable. 
   (C) A statement affirming that the person has not:  
   (i) Been convicted of any felony under state or federal tax laws.
 
   (ii) Been convicted of any other criminal offense involving
dishonesty, breach of trust, or moral turpitude.  
   (iii) Had his or her professional license to practice as an
attorney, certified public accountant, public accountant, or actuary
revoked by any duly constituted authority of any state, territory, or
possession of the United States, including a commonwealth, or the
District of Columbia, any court of record, or any agency, body, or
board.  
   (C) 
    (D)  A statement that the Property Tax Agent has read
and understands the duties and prohibitions contained in Section
22260.6. 
   (2) Providing false information on the application for
registration shall subject the Property Tax Agent to a cease and
desist order by the Secretary of State.  
   (2) 
    (3)  A Property Tax Agent shall also pay the Secretary
of State a registration fee in the amount of two hundred fifty
dollars  ($250).   ($250) or a fee not to exceed
the amount necessary to administer this c   hapter. 
   (b) If the requirements of subdivision (a) are satisfied, the
Secretary of State shall issue a Property Tax Agent registration
number to the Property Tax Agent within  5   ___
 business days. 
   (c) Beginning on January 1, 2016, the Secretary of State shall
accept applications for a registration from Property Tax Agents.
 
   (c) 
    (d)  Beginning  September 1, 2015, 
 April 1, 2016,  a Property Tax Agent shall not represent
taxpayers before a county official without first being registered and
issued a registration number pursuant to this section.  The
Secretary of State shall provide the Property Tax Agent the same
registration number should that Property Tax Agent reregister at a
subsequent date.  
   (d) 
    (e)  A registration issued pursuant to this section
shall expire two years from its date of issuance unless and until
that person terminates the registration or the registration is
revoked pursuant to Section 22260.8.  An expired registration
may be renewed biennially if the registrant pays an annual renewal
registration fee in the amount of two hundred fifty dollars ($250) to
the Secretary of State.  
   (e) A person may not register, renew his or her registration, or
provide services as a Property Tax Agent if that person: 

   (1) Has been convicted of any felony under state or federal tax
laws.  
   (2) Has been convicted of any other criminal offense involving
dishonesty, breach of trust, or moral turpitude.  
   (3) Has had his or her professional license to practice as an
attorney, certified public accountant, public accountant, or actuary
revoked by any duly constituted authority of any state, territory, or
possession of the United States, including a commonwealth, or the
District of Columbia, any court of record, or any agency, body, or
board.  
   (f) The Secretary of State shall conduct a background check on
each Property Tax Agent applicant in accordance with rules and
regulations developed by the Secretary of State.  
   (f) The Secretary of State, 30 days prior to the expiration of the
registration, shall send to the Property Tax Agent a notice of the
registration's expiration. 
   (g) Registration fees collected pursuant to this chapter shall be
deposited in the Secretary of State's Business Fees Fund established
in Section 12176 of the Government Code.
   22260.2.  A county supervisor or a member of a county assessment
appeals board shall not act as a Property Tax Agent in the county in
which they currently serve as a county supervisor or as a member of a
county assessment appeals board.
   22260.3.  (a) Within  30   10  days of
any change in any of the registration information submitted pursuant
to Section 22260.1, a Property Tax Agent shall file updated
registration information with the Secretary of State.
   (b) When a Property Tax Agent ceases all activities related to
influencing official action, this fact shall be reported to the
Secretary of State.
   (c) It shall be a  violation of this chapter 
 misdemeanor  for any person to act as a Property Tax Agent
if that person is not registered as a Property Tax Agent pursuant to
Section 22260.1 or if that person was previously registered as a
Property Tax Agent pursuant to Section 22260.1 but that person is no
longer registered as a Property Tax Agent.
   22260.4.  This chapter shall not be construed to prohibit a county
from, by ordinance, enacting Property Tax Agent reporting
requirements for campaign contributions to elected officials in that
 county.   county or prohibiting such campaign
contributions. 
   22260.5.  (a) The  secretary   Secretary of
State  shall develop a list of registered Property Tax Agents
and make that list available to the public on its Internet Web site.
   (b) The  secretary  Secretary of State 
shall develop a list of registered Property Tax Agents, who after
exhausting their administrative remedies, have been  fined
  fined, or whose license has been revoked, and
post the names and business addresses of those Property Tax Agents on
the secretary's Internet Web site.
   22260.6.  A property tax agent shall not engage in any of the
following activities:
   (a) Use, or participate in the use of, any public communication or
private solicitation containing false, misleading, fraudulent, or
deceptive representations, or intimate that the Property Tax Agent is
able to improperly obtain special consideration or action from the
county of any county official.
   (b) Act as or attempt to act as, or claim to be the Property Tax
Agent of a taxpayer, or represent a taxpayer before a county or any
county official, without the authorization of that taxpayer.
   (c) Violate Section 17533.6 or 17537.9 of the California Business
and Professions Code.
   (d) Knowingly aid and abet another person to practice as a
Property Tax Agent before the county or a county official during a
period when the other person has been deregistered as a Property Tax
Agent or otherwise is ineligible to lawfully act as a Property Tax
Agent.
   (e) Directly or indirectly attempt to influence, or offer or agree
to attempt to influence, the official action of any county official
by the use of threats, false accusations, duress, or coercion, by the
offer of any special inducement or promise of an advantage or by
bestowing any gift, campaign contribution, favor, or thing of value.
   (f) Do anything with the purpose of placing any county official
under personal obligation to the Property Tax Agent or another.
   (g) Represent, either directly or indirectly, that the Property
Tax Agent can control the official action of any county official.
   (h) Make a gift or gifts of any monetary value to a county
official. A Property Tax Agent shall not act as an agent or
intermediary in the making of any gift or arrange for the making of
any gift from any other person. 
   22260.7.  (a) If, after investigation, it is determined by the
Secretary of State that any Property Tax Agent fails to comply with,
or is in violation of, this chapter, the Secretary of State shall
send the Property Tax Agent a written notice of Property Tax Agent
noncompliance or violation.
   (b) Any person may file a complaint with the Secretary of State
that any Property Tax Agent has not complied with, or has violated
this, chapter.
   (c) The Secretary of State shall have the discretion to pursue
civil penalties for noncompliance with, or violation of, this
chapter. The Secretary of State shall be designated as the
enforcement officer for determination and imposition of the civil
penalties.
   (d) Notwithstanding subdivision (c), a civil penalty shall not be
imposed if the first noncompliance with, or violation of this,
chapter is cured within 30 days of the date on which the Secretary of
State sends written notice of the noncompliance with, or violation
of, this chapter to the Property Tax Agent.
   (e) Any noncompliance with, or violation of, this chapter is
punishable by a civil penalty not to exceed one thousand five hundred
dollars ($1,500).
   (f) The civil penalty may be imposed by the Secretary of State if
a hearing is not requested pursuant to Section 22260.9. If a hearing
is requested, the hearing officer shall make the determination.
   (g) Any civil penalties collected pursuant to this section shall
be transferred to the General Fund.  
   22260.8.  (a) Notwithstanding any other provision of this chapter,
if, after investigation, it is determined by the Secretary of State
that any Property Tax Agent, subsequent to his or her registration,
is ineligible to renew his or her registration or is unable to
provide services as a Property Tax Agent due to any of the reasons
specified in subdivision (e) of Section 22260.1, the Secretary of
State shall send the Property Tax Agent a written notice of intent to
revoke that Property Tax Agent's registration within 30 days of the
issuance of the notice of intent to revoke.
   (b) Any person may file a complaint with the Secretary of State
that any Property Tax Agent has violated subdivision (e) of Section
22260.1.
   (c) The Secretary of State shall have the discretion to revoke any
Property Tax Agent's registration if a Property Tax Agent is
ineligible to renew his or her registration or is unable to provide
services as a Property Tax Agent due to any of the reasons specified
in subdivision (e) of Section 22260.1. The Secretary of State shall
be designated as the enforcement officer for determination of
revocation of a Property Tax Agent's registration.
   (d) The registration may be revoked by the Secretary of State if a
hearing is not requested pursuant to Section 22260.9. If a hearing
is requested, the hearing officer shall make the determination.
 
   22260.9.  (a) Prior to the imposition of a civil penalty pursuant
to Section 22260.7 or the revocation of a registration pursuant to
Section 22260.8, the person affected shall have a right to a hearing
on the matter. The request for a hearing shall be submitted in
writing within 15 days of the issuance of the notice of noncompliance
or violation or the notice of intent to revoke.
   (b) The hearing shall be conducted in accordance with Chapter 5
(commencing with Section 11500) of Part 1 of Division 3 of Title 2 of
the Government Code.  
   22260.10.  Subject to the Administrative Procedure Act (Chapter
3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title
2 of the Government Code), the Secretary of State may develop rules
and regulations for the administration of this chapter. 

   22260.7.  The Secretary of State shall issue a cease and desist
order to a person subject to the provisions of this chapter who had
his or her professional license to practice as an attorney, certified
public accountant, public accountant, or actuary revoked, or has
been convicted of any felony under state or federal tax laws, or has
been convicted of any other criminal offense involving dishonesty,
breach of trust, or moral turpitude, and shall provide a copy of the
notice to the Attorney General. Prior to issuing a cease and desist
order to a person pursuant to this subdivision, the Secretary of
State shall provide the person with written notice and an opportunity
to demonstrate that grounds for disqualification do not exist. 

   22260.8.  (a) A person who violates this chapter shall be subject
to a civil penalty not to exceed one thousand five hundred dollars
($1,500) in a civil action for each violation brought in the name of
the people of the State of California by the Attorney General, a
district attorney, or a city attorney.
   (b) The court shall impose a civil penalty for each violation of
this chapter. In assessing the amount of the civil penalty, the court
may consider relevant circumstances presented, including, but not
limited to, the following:
   (1) The nature and seriousness of the misconduct.
   (2) The number of violations.
   (3) The persistence of the misconduct.
   (4) The length of time over which the misconduct occurred.
   (5) The willfulness of the defendant's misconduct.
   (6) The defendant's assets, liabilities, and net worth.
   (c) If the Attorney General brings the action, one-half of the
civil penalty collected shall be paid to the treasurer of the county
in which the judgment was entered, and one-half to the General Fund.
If a district attorney brings the action, the civil penalty collected
shall be paid to the treasurer of the county in which the judgment
was entered. If a city attorney brings the action, one-half of the
civil penalty collected shall be paid to the treasurer of the city in
which the judgment was entered, and one-half to the treasurer of the
county in which the judgment was entered.
   (d) Notwithstanding subdivision (a), a penalty shall not be
imposed if the first noncompliance with, or violation of, this
chapter is cured within 30 days of the date on which the Secretary of
State issues a cease and desist order pursuant to Section 22260.7 to
a person subject to this chapter.  
   22260.9.  The Attorney General, District Attorney, or City
Attorney shall notify the Secretary of State of both of the
following:
   (a) Any conviction of a Property Tax Agent under Section 22260.3.
The prosecuting office shall make this notification.
   (b) Any civil penalty imposed against a Property Tax Agent
pursuant to Section 22260.8. The office bringing the action shall
make this notification. 
   22260.11.  The provisions of this chapter shall preempt and
supersede all local ordinances regarding the registration of any
individual who communicates directly or indirectly with any county
official for the purpose of influencing official action regarding a
property tax assessment.
   SEC. 2.    No reimbursement is required by this act
pursuant to Section 6 of Article XIII B of the California
Constitution for certain costs that may be incurred by a local agency
or school district because, in that regard, 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.  
   However, if the Commission on State Mandates determines that this
act contains other costs mandated by the state, reimbursement to
local agencies and school districts for those costs shall be made
pursuant to Part 7 (commencing with Section 17500) of Division 4 of
Title 2 of the Government Code.