BILL ANALYSIS Ó SB 152 Page 1 SENATE THIRD READING SB 152 (Roth) As Amended August 8, 2013 Majority vote SENATE VOTE : 35-1 BUSINESS & PROFESSIONS 9-3 APPROPRIATIONS 13-4 ----------------------------------------------------------------- |Ayes:|Gordon, Bocanegra, |Ayes:|Gatto, Bocanegra, | | |Campos, Dickinson, | |Bradford, Ian Calderon, | | |Eggman, Hagman, Mullin, | |Campos, Eggman, Gomez, | | |Skinner, Ting | |Hall, Holden, Linder, | | | | |Pan, Quirk, Weber | |-----+--------------------------+-----+--------------------------| |Nays:|Jones, Maienschein, Wilk |Nays:|Harkey, Bigelow, | | | | |Donnelly, Wagner | ----------------------------------------------------------------- SUMMARY : Deletes the current provisions allowing a temporary authorization to practice engineering, geology, and geophysics, and requires the use of a written contract when contracting to provide geological or geophysical services as specified. Specifically, this bill : 1)Repeals the authority of the Board for Professional Engineers, Land Surveyors and Geologists (Board) to issue a temporary authorization to practice engineering, as specified. 2)Repeals the authority of the Board to issue a temporary authorization to practice geology and geophysics, as specified. 3)Requires a geologist or geophysicist to use a written contract when contracting for geological or geophysical services, and requires the contract to be executed prior to the work commencing unless the client states otherwise in writing. 4)Requires the written contract for geographical or geophysical services to include: a) A description of the services to be provided to the client by the geologist or geophysicist; b) A description of any basis of compensation applicable to SB 152 Page 2 the contract and the method of payment agreed upon by the parties; c) The name, address and license or certificate number of the geologist or geophysicist and the name and address of the client; d) A description of the procedure the geologist, geophysicist and the client will use to accommodate additional services; and, e) A description of the procedure to be used by any party to terminate the contract. 5)Provides an exemption to the written contract requirement for any of the following circumstances: a) Geologic or geophysical services rendered by a geologist or geophysicist for which the client will not pay compensation; b) A geologist or geophysicist who has a current or prior contractual relationship with the client to provide geologic or geophysical services and who has already been paid the fees that are due under the contract by the client; c) If the client executes a waiver in writing after full disclosure as specified, that a contract is not required; or, d) Geological or geophysical services rendered by a geologist or geophysicist to any of the following: a licensed geologist or geophysicist; a licensed engineer; a licensed land surveyor; a licensed architect; a licensed contractor; or a public agency. 6)Specifies that a "written contract" includes a contract in electronic form. 7)Adds language to avoid chaptering out issues with SB 822 (Business, Professions and Economic Development Committee). 8)Makes other technical and clarifying changes. 9)States that no reimbursement is required by this bill pursuant to the California Constitution because the only costs that may SB 152 Page 3 be incurred by a local agency or a school district will be incurred because this bill creates a new crime or infraction, eliminates a crime or infraction, changes the penalty for a crime or infraction, or changes the definition of a crime. FISCAL EFFECT : According to the Assembly Appropriations Committee, costs associated with this legislation should be minor and absorbable within existing resources. COMMENTS : 1)Purpose of this bill . This bill would repeal the Board's current authority to issue a temporary authorization to out-of-state licensees to practice geology, geophysics or engineering in the state of California in order to ensure that those professionals have sufficient knowledge of California's unique seismic issues. In addition, this bill requires geologists and geophysicists to execute a written contract, similar to that currently required of engineers, prior to performing work in order to better protect consumers from unfair contracting or billing practices. This bill is sponsored by the Board. 2)Author's statement . According to the author, "Temporary authorizations [for the practice of engineering, geology or geophysics] can pose a risk to the health and safety of the consumers of California because individuals [who] are not licensed in California may not be familiar with the terrain, soils or seismic [issues] that are specific to California. Currently, there is no statutory requirement that professional geologists or geophysicists execute written contracts with their clients [as do] professional engineers and land surveyors [which] the board believes that the written contracts are beneficial to both the consumer and the licensee." 3)Temporary authorization . The Board does not currently issue temporary licenses, but it does allow certain out-of-state licensees to obtain a temporary authorization to practice in California. The temporary authorization allows an engineer, geologist, or geophysicists to work in California for a specified amount of time, up to 180 days for an engineer and up to 60 consecutive days for a geologist or geophysicist, extendable to 120 days. An applicant for a temporary authorization must submit an application and supporting documents, and is required to appear SB 152 Page 4 before the Board to demonstrate their competency and understanding of their specialty branch of engineering or geology and geophysics. The Board members may question applicants about the details of the specific project they will be working on or their overall experience to date, but issues related to California's unique seismic issues may be overlooked. The situations that might lead to a temporary authorization request include a case where a large, national engineering firm may decide, on short notice, to use a particular out-of-state licensee with specialized relevant experience. According to the Board, since 1995 there have been 40 temporary authorizations granted for engineers. Of those 40 temporary authorizations, 20 individuals became licensed in California and seven individuals failed the California licensing examination. There has been only one instance of the Board granting a temporary license to a geologist in 2012. The Board also has limited disciplinary recourse against a temporary authorization. While current law provides the Board with the authority to take administrative or disciplinary action (revocation or suspension) against a temporary authorization, by the time the Board is notified of a problem and goes through the investigatory and disciplinary process, the temporary authorization time period would likely have ended and the out-of-state practitioner would have returned to his or her home state, making it difficult and perhaps pointless to pursue disciplinary action. According to the sponsors, doing away with temporary authorization in favor of requiring professionals to take and pass the standardized exam necessary for licensure is a more appropriate way of measuring a particular licensee's ability. It will also ensure that engineering and geoscience professionals practicing in this state have sufficient knowledge about California's unique soil, terrain and seismic issues. In practice, it will also give the Board greater disciplinary power over the licensee. 4)Professional Contracts . Under current law, professionals such as engineers, land surveyors, contractors, and architects are required to use written contracts when contracting to provide professional services. A written contract can help protect the SB 152 Page 5 consumer and the professional by ensuring that both parties have a clear understanding of the services that will be provided, as well as clarifying the terms of the contract and helping to ensure fair pricing. This bill would put the geology and geophysics professions on par with other Department of Consumer Affairs (DCA) regulated professions, and even some of those already regulated by the Board. AB 20 X4 (Audra Strickland), Chapter 18, Statutes of 2009-10 Fourth Extraordinary Session, eliminated the Board for Geologists and Geophysicists and transferred all of its duties, powers, purposes, responsibilities, and jurisdiction to regulate the practices of geology and geophysics to the Board for Professional Engineers and Land Surveyors - but did not harmonize all of the provisions for each profession. This bill would impose uniform requirements for the contracts of all the professional licensees regulated by the Board. Analysis Prepared by : Elissa Silva / B.,P. & C.P. / (916) 319-3301 FN: 0001536