BILL ANALYSIS Ó SB 71 Page 1 SENATE THIRD READING SB 71 (Budget and Fiscal Review Committee) As Amended June 19, 2013 Majority vote. Budget Bill Appropriation Takes Effect Immediately SENATE VOTE :Vote not relevant SUMMARY : Contains necessary statutory and technical changes to implement the Budget Act of 2013 related to general government. Specifically, this bill : 1)Authorizes the Bureau of Private Postsecondary Education (Bureau) to regulate currently exempted private postsecondary educational institutions that apply to be subject to the Bureau's oversight. This ensures these institutions' ability to participate in federal student aid programs, and includes a sunset date of January 1, 2015. 2)Reduces the amount of bonded indebtedness authorized under the Public Education Facilities Bond Act of 1996, by $12.9 million and repeals the authority of the Director of General Services and the Public Works Board to issue up to $391 million in financing securities for facilities in the Capital Area Plan. 3)Creates the Women and Girls Fund for all fundraising efforts by the Commission on the Status of Women and Girls including gifts or donations. 4)Transfers the Public Safety Communications Office from the Department of Technology to the Office of Emergency Services. 5)Specifies that funds in the Disaster Response-Emergency Operations Account shall not be expended for conditions in the state's prisons, medical facilities, or youth correctional facilities resulting solely from the action or inaction of the Department of Corrections and Rehabilitation in administering those facilities. 6)Transfers responsibility for information technology procurement from the Department of General Services to the Department of Technology. 7)Creates a grant program in the California Victim Compensation SB 71 Page 2 and Government Claims Board (CVCGCB) to provide $2 million per year from the Restitution Fund, subject to appropriation by the Legislature, to Trauma Recovery Centers. Trauma Recovery Centers provide services directly to victims rather than requiring them to independently navigate the process of claiming benefits from the CVCGCB. 8)Updates references to the California Emergency Management Agency to recognize the name change to the Office of Emergency Services (OES). Allows the use of antiterrorism funds from license plate revenues (instead of the General Fund) in support of California Specialized Training Institute. 9)Authorizes the Department of General Services to structure, administer, and maintain the Golden State Financial Marketplace Program (GS $Mart Program). Requires the department to report annually to the Joint Legislative Budget Committee, the State Treasurer's Office, and the Department of Finance on the progress of the GS $Mart Program. 10)Authorizes the State Personnel Board (Board) to bill departments on a pro-rata basis for the costs of its Compliance Review Audit Program and requires the Board to report on an annual basis regarding the audit and special investigations. 11)Requires the Department of Human Resources to submit two reports to the Legislature reviewing the additional appointments by state agencies for supervisors, and rank and file employees. Requires the State Personnel Board to submit a report on the policies and practices included in the Personnel Management Policy and Procedures Manual. 12)Repeals five mandates by making them permissive; these five mandates have been suspended in the Budget each year since 1992. 13)Removes California Earthquake Authority's limit on civil service positions. 14)Eliminates the sunset dates and increases the annual revenue caps of the Occupational Safety and Health Fund and the Labor Enforcement and Compliance Fund, allowing the Department of Industrial Relations to enforce laws that protect employees SB 71 Page 3 and the public. 15)Eliminates the Targeted Inspection and Consultation Fund and provides a loan from the fund to the Compliance Monitoring Unit, to be repaid to the Occupational Safety and Health Fund. 16)Clarifies reforms to the Workers' Compensation program as required by SB 863 (De León), Chapter 363, Statutes of 2012, including that new programs apply to workers injured on or after January 1, 2013. 17)Eliminates the High Hazard Assessment and shifts the assessment into the Occupational Health and Safety Fund, streamlining assessment collection for both employers and the Department of Industrial Relations. 18)Prohibits the Honda Center, which is located in an enterprise zone in Southern California, from obtaining additional hiring credits if they lay off workers and later rehire workers for lower wages and benefits. 19)Stabilizes funding for the Compliance Monitoring Unit, which enforces prevailing wage requirements on public construction projects, by allowing costs of monitoring to be covered by non-bond funds that are used for projects. 20)Directs the Department of Industrial Relations to use its statutory authority to approve a fee by March 31, 2014, to support an increase in funding and at least 15 new positions for the Process Safety Unit, which inspects oil refineries and chemical plants. 21)Allows state agency contracts for services under $150,000 to be exempt from approval by the Department of General Services if the agency complies with certain requirements. 22)Adds the Secretary of Business, Consumer Services, and Housing to the Strategic Growth Council. 23)Contains an appropriation allowing this bill to take effect immediately upon enactment. COMMENTS : The provisions in this bill are identical to AB 76 (Budget Committee), which was passed by the Assembly on June 14, SB 71 Page 4 2013, with the following exceptions: 1)Preserves existing law relating to California Public Records Act by removing amendments contained in AB 76 that would have made portions of the California Public Records Act permissive. 2)Preserves existing law relating to the Local Government Ethics Training Requirements by removing amendments contained in AB 76 that would have made portions of the compensation and reimbursement activities permissive for specified local agencies. Additionally, this bill enacts various provisions to support the 2013 Budget Act, and among other things, creates the Women and Girls Fund, requires reporting on additional appointments by the Department of Human Resources, and directs the Department of Industrial Relations to increase oil refinery and chemical plant inspections. Analysis Prepared by : Genevieve Morelos / BUDGET / (916) 319-2099 FN: 0001247