Amended in Senate April 8, 2013

Senate Bill No. 679

Introduced by Senator Berryhill

February 22, 2013

An act to amend begin delete Section 6770 end delete begin insert Sections 6770, 6770.1, 6770.2, 8776, 8776.1, and 8776.2 end insert of the Business and Professions Code, relating to begin delete professional engineers. end delete begin insert licensees. end insert

LEGISLATIVE COUNSEL’S DIGEST

SB 679, as amended, Berryhill. begin delete Professional engineers: licensees: end delete begin insert Licensees: end insert reporting requirements.

Existing law establishes, within the Department of Consumer Affairs, the Board begin delete of end delete begin insert for end insert Professional Engineers and Land Surveyors. Existing law prohibits, in order to safeguard life, health, property, and public welfare, any person from practicing civil, electrical, or mechanical begin delete engineering end delete begin insert engineering, or land surveying end insert unless appropriately licensed or specifically exempted from licensure, as specified. Existing law requires a licensee to report to the board in writing the occurrence of any of the specified events begin delete that occurred on or after January 1, 2008, end delete within 90 days of the date the licensee has knowledge of the event, including begin delete the conviction of the licensee of any felony or any other crime that is substantially related to the qualifications, functions, and duties of a licensed professional engineer. Existing law also requires a licensee to report to the board in writing, as specified end delete , begin insert but not limited to, end insert any civil action judgment, settlement, arbitration award, or administrative action resulting in a judgment, settlement, or arbitration award against the licensee in any action alleging fraud, deceit, misrepresentation, breach or violation of contract, negligence, incompetence, or recklessness by the licensee in the practice of professional engineering begin insert or land surveying end insert if the amount or value of the judgment, settlement, or arbitration award is $50,000 or greater.

This bill would begin delete increase the latter provision to require that end delete begin insert revise those provisions to instead require end insert a licensee begin insert to end insert report to the board begin delete in writing, as specified, end delete begin insert the occurrence of any indictment or information charging a felony, any conviction, any disciplinary action, or any civil action settlement or administrative action resulting in a settlement against the licensee, as specified, end insert if the amount or value of the begin insert settlement is greater than $50,000, and any civil action end insert judgment begin delete , settlement, end delete or begin insert binding end insert arbitration award begin insert or administrative action resulting in a judgment or binding arbitration award against the licensee, as specified, if the amount or value end insert is begin delete $55,0000 end delete begin insert $25,000 end insert or greater.

begin insert

Existing law requires a court that rendered a conviction or judgment against a licensee, as specified, to report that fact to the board and provide the board with various documents. Existing law requires a state or local government agency that self-insures a licensee or an insurer that provides professional liability insurance to a licensee to report to the board specified information when payment of a civil action judgment, settlement, or arbitration award, as specified, against a licensee of the board has been made.

end insert begin insert

This bill would require a court that entered a settlement against a licensee, as specified, to report that fact to the board and provide the board a copy of the settlement and any orders or opinions accompanying the settlement. The bill would require a state or local government agency that self insures a licensee or an insurer that provides professional liability insurance to a licensee to report to the board specified information when payment of a civil action judgment, settlement, or binding arbitration award, in an amount greater than $50,000 against a licensee of the board has been made.

end insert

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

SECTION 1.  

Section 6770 of the Business and Professions
Code is amended to read:

begin delete

6770.  

(a) A licensee shall report to the board in writing the
occurrence of any of the following events that occurred on or after
January 1, 2008, within 90 days of the date the licensee has
knowledge of the event:

(1) The conviction of the licensee of any felony.

(2) The conviction of the licensee of any other crime that is
substantially related to the qualifications, functions, and duties of
a licensed professional engineer.

(3) Any

end delete

begin insert

begin insert 6770. end insert   

end insert begin insert

(a) A licensee shall report to the board in writing the
occurrence of any of the following events that occurred on or after
January 1, 2008, within 90 days of the date the licensee has
knowledge of the event:

end insert begin insert

(1) The conviction of the licensee of any felony.

end insert begin insert

(2) The conviction of the licensee of any other crime that is
substantially related to the qualifications, functions, and duties of
a licensed professional engineer.

end insert

begin insert (3) end insert begin insert   end insert begin insert A end insert civil action begin delete judgment, end delete settlement begin delete , arbitration award, end delete or
administrative action resulting in a begin delete judgment, settlement, or
arbitration award end delete begin insert settlement end insert against the licensee in any action
alleging fraud, deceit, misrepresentation, breach or violation of
contract, negligence, incompetence, or recklessness by the licensee
in the practice of professional engineering if the amount or value
of the begin delete judgment, settlement, or arbitration award end delete begin insert settlement end insert is
begin delete fifty-five thousand dollars ($55,000) or greater. end delete begin insert greater than fifty
thousand dollars ($50,000). end insert

begin insert

(4) A civil action judgment or binding arbitration award or
administrative action resulting in a judgment or binding arbitration
award against the licensee in any action alleging fraud, deceit,
misrepresentation, breach or violation of contract, negligence,
incompetence, or recklessness by the licensee in the practice of
professional engineering if the amount or value of the judgment
or binding arbitration award is twenty-five thousand dollars
($25,000) or greater.

end insert

(b) The report required by subdivision (a) shall be signed by
the licensee and set forth the facts that constitute the reportable
event. If the reportable event involves the action of an
administrative agency or court, the report shall set forth the title
of the matter, court or agency name, docket number, and the date
the reportable event occurred.

(c) A licensee shall promptly respond to oral or written inquiries
from the board concerning the reportable events, including inquiries
made by the board in conjunction with license renewal.

(d) Nothing in this section shall impose a duty upon any licensee
to report to the board the occurrence of any of the events set forth
in subdivision (a) either by or against any other licensee.

(e) Failure of a licensee to report to the board in the time and
manner required by this section shall be grounds for disciplinary
action.

(f) For the purposes of this section, a conviction includes the
initial plea, verdict, or finding of guilt; a plea of no contest; or
pronouncement of sentence by a trial court even though the
conviction may not be final or sentence actually imposed until all
appeals are exhausted.

begin insert

begin insert SEC. 2 end insert begin insert . end insert   

end insert

begin insert Section 6770.1 of the end insert begin insert Business and Professions Code end insert
begin insert is amended to read: end insert

6770.1.  

Within 30 days of entry of a conviction described in
paragraphs (1) and (2) of subdivision (a) of Section begin delete 6770 or end delete begin insert 6770,
a settlement described in paragraph (3) of subdivision (a) of
Section 6770, or end insert a judgment described in paragraph begin delete (3) end delete begin insert (4) end insert of
subdivision (a) of Section 6770 by a court of this state that has
been notified that the defendant is a licensee of the board, the court
that rendered the begin delete conviction end delete begin insert conviction, settlement, end insert or judgment
shall report that fact to the board and provide the board with a copy
of the begin delete conviction end delete begin insert conviction, settlement, end insert or judgment and any orders
or opinions of the court accompanying or ordering the begin delete conviction end delete
begin insert conviction, settlement, end insert or judgment.

begin insert

begin insert SEC. 3. end insert   

end insert

begin insert Section 6770.2 of the end insert begin insert Business and Professions Code end insert
begin insert is amended to read: end insert

6770.2.  

(a) Within 30 days of payment of all or any portion
of any civil action judgment, settlement, or begin insert binding end insert arbitration
award described in Section 6770 against a licensee of the board
in which the amount or value of the judgment, settlement, or
begin insert binding end insert arbitration award is begin insert greater than end insert fifty thousand dollars
begin delete ($50,000) or greater, end delete begin insert ($50,000), end insert any insurer providing professional
liability insurance to that licensee shall report to the board the
name of the licensee; the amount or value of the judgment,
settlement, or begin insert binding end insert arbitration award; the amount paid by the
insurer; and the identity of the payee.

(b) Within 30 days of payment of all or any portion of any civil
action judgment, settlement, or begin insert binding end insert arbitration award described
in Section 6770 against a licensee of the board in which the amount
or value of the judgment, settlement, or begin insert binding end insert arbitration award
is begin insert greater than end insert fifty thousand dollars begin delete ($50,000) or greater, end delete
begin insert ($50,000), end insert any state or local government agency that self insures
that licensee shall report to the board the name of the licensee; the
amount or value of the judgment, settlement, or begin insert binding end insert arbitration
award; the amount paid; and the identity of the payee.

begin insert

begin insert SEC. 4. end insert   

end insert

begin insert Section 8776 of the end insert begin insert Business and Professions Code end insert begin insert is
amended to read: end insert

begin delete

8776.  

(a) A licensee shall report to the board in writing the
occurrence of any of the following events that occurred on or after
January 1, 2008, within 90 days of the date the licensee has
knowledge of the event:

(1) The conviction of the licensee of any felony.

(2) The conviction of the licensee of any other crime that is
substantially related to the qualifications, functions, and duties of
a licensed land surveyor.

end delete

begin insert

begin insert 8776. end insert   

end insert begin insert

(a) A licensee shall report to the board in writing the
occurrence of any of the following events that occurred on or after
January 1, 2008, within 90 days of the date the licensee has
knowledge of the event:

end insert begin insert

(1) The conviction of the licensee of any felony.

end insert begin insert

(2) The conviction of the licensee of any other crime that is
substantially related to the qualifications, functions, and duties of
a licensed land surveyor.

end insert begin delete

(3) Any

end delete

begin insert (3) end insert begin insert   end insert begin insert A end insert civil action begin delete judgment, end delete settlement begin delete , arbitration award, end delete or
administrative action resulting in a begin delete judgment, settlement, or
arbitration award end delete begin insert settlement end insert against the licensee in any action
alleging fraud, deceit, misrepresentation, breach or violation of
contract, negligence, incompetence, or recklessness by the licensee
in the practice of land surveying if the amount or value of the
begin delete judgment, settlement, or arbitration award is fifty thousand dollars
($50,000) or greater. end delete begin insert settlement is greater than fifty thousand
dollars ($50,000). end insert

begin insert

(4) A civil action judgment or binding arbitration award or
administrative action resulting in a judgment or binding arbitration
award against the licensee in any action alleging fraud, deceit,
misrepresentation, breach or violation of contract, negligence,
incompetence, or recklessness by the licensee in the practice of
land surveying if the amount or value of the judgment or binding
arbitration award is twenty-five thousand dollars ($25,000) or
greater.

end insert

(b) The report required by subdivision (a) shall be signed by
the licensee and set forth the facts that constitute the reportable
event. If the reportable event involves the action of an
administrative agency or court, the report shall set forth the title
of the matter, court or agency name, docket number, and the dates
the reportable event occurred.

(c) A licensee shall promptly respond to oral or written inquiries
from the board concerning the reportable events, including inquiries
made by the board in conjunction with license renewal.

(d) Nothing in this section shall impose a duty upon any licensee
to report to the board the occurrence of any of the events set forth
in subdivision (a) either by or against any other licensee.

(e) Failure of a licensee to report to the board in the time and
manner required by this section shall be grounds for disciplinary
action.

(f) For purposes of this section, a conviction includes the initial
plea, verdict, or finding of guilt; a plea of no contest; or
pronouncement of sentence by a trial court even though the
conviction may not be final or sentence actually imposed until all
appeals are exhausted.

begin insert

begin insert SEC. 5. end insert   

end insert

begin insert Section 8776.1 of the end insert begin insert Business and Professions Code end insert
begin insert is amended to read: end insert

8776.1.  

Within 30 days of entry of a conviction described in
paragraphs (1) and (2) of subdivision (a) of Section begin delete 8776 or end delete begin insert 8776,
a settlement described in paragraph (3) of subdivision (a) of
Section 8776, or end insert a judgment described in paragraph begin delete (3) end delete begin insert (4) end insert of
subdivision (a) of Section begin delete 8776 end delete begin insert 8776 end insert by a court of this state that
has been notified that the defendant is a licensee of the board, the
court that rendered the conviction or judgment shall report that
fact to the board and provide the board with a copy of the
begin delete conviction end delete begin insert conviction, settlement, end insert or judgment and any orders or
opinions of the court accompanying or ordering the begin delete conviction end delete
begin insert conviction, settlement, end insert or judgment.

begin insert

begin insert SEC. 6. end insert   

end insert

begin insert Section 8776.2 of the end insert begin insert Business and Professions Code end insert
begin insert is amended to read: end insert

8776.2.  

(a) Within 30 days of payment of all or any portion
of any civil action judgment, settlement, or begin insert binding end insert arbitration
award described in Section 8776 against a licensee of the board
in which the amount or value of the judgment, settlement, or
begin insert binding end insert arbitration award is begin insert greater than end insert fifty thousand dollars
begin delete ($50,000) or greater, end delete begin insert ($50,000), end insert any insurer providing professional
liability insurance to that licensee shall report to the board the
name of the licensee; the amount or value of the judgment,
settlement, or begin insert binding end insert arbitration award; the amount paid by the
insurer; and the identity of the payee.

(b) Within 30 days of payment of all or any portion of any civil
action judgment, settlement, or begin insert binding end insert arbitration award described
in Section 8776 against a licensee of the board in which the amount
or value of the judgment, settlement, or begin insert binding end insert arbitration award
is begin insert greater than end insert fifty thousand dollars begin delete ($50,000) or greater, end delete
begin insert ($50,000), end insert any state or local government agency that self insures
that licensee shall report to the board the name of the licensee; the
amount or value of the judgment, settlement, or begin insert binding end insert arbitration
award; the amount paid; and the identity of the payee.