BILL ANALYSIS                                                                                                                                                                                                    Ó



                                                                            



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          |SENATE RULES COMMITTEE            |                       SB 1244|
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                                 UNFINISHED BUSINESS


          Bill No:  SB 1244
          Author:   Lieu (D), et al.
          Amended:  8/26/14
          Vote:     21

           
           SENATE BUSINESS, PROF. & ECON. DEV.COMMITTEE  :  9-0, 4/28/14
          AYES:  Lieu, Wyland, Berryhill, Block, Corbett, Galgiani,  
            Hernandez, Hill, Padilla

           SENATE APPROPRIATIONS COMMITTEE  :  7-0, 5/23/14
          AYES:  De León, Walters, Gaines, Hill, Lara, Padilla, Steinberg

           SENATE FLOOR  :  36-0, 5/27/14
          AYES:  Anderson, Beall, Berryhill, Block, Cannella, Corbett,  
            Correa, De León, DeSaulnier, Evans, Fuller, Gaines, Galgiani,  
            Hancock, Hernandez, Hill, Hueso, Huff, Jackson, Knight, Lara,  
            Leno, Lieu, Mitchell, Monning, Morrell, Nielsen, Padilla,  
            Pavley, Roth, Steinberg, Torres, Vidak, Walters, Wolk, Wyland
          NO VOTE RECORDED:  Calderon, Liu, Wright, Yee

           ASSEMBLY FLOOR  :   Not available


           SUBJECT  :    Structural Pest Control Board

           SOURCE  :     Author


           DIGEST  :    This bill extends, until January 1, 2019, the  
          provisions establishing the Structural Pest Control Board (SPCB)  
          and the term of the executive officer of the SPCB, and makes  
          numerous technical, updating and correcting changes to the  
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          structural pest control law.

           Assembly Amendments  delete a provision prohibiting a limited  
          liability company from providing structural pest control  
          services; authorize the use of pesticide stamp numbers in  
          reports; delete specified pesticide application reporting  
          requirements; establish maintenance requirements of specified  
          reports; prescribes a $2 fee for pesticide use stamp numbers;  
          delete provisions relating to the deposit of stamp and stamp  
          number fees; double-joint this bill with AB 1685 (Williams); and  
          make conforming changes.

           ANALYSIS  :    

          Existing law:

           1. Establishes, until January 1, 2015, the SPCB, within the  
             Department of Consumer Affairs (DCA), and authorizes the  
             Director of DCA to appoint a registrar to be the executive  
             officer of the SPCB.  Requires the SPCB to license and  
             regulate structural pest control operators, as specified.

           2. Provides that structural pest control includes, with respect  
             to household pests and wood destroying pests or organisms, or  
             other pests which may invade households or other structures,  
             the engaging in, offering to engage in, advertising for,  
             soliciting, or the performance of, among other things, the  
             identification of infestations, or the use of insecticides,  
             pesticides, rodenticides, fumigants, or allied chemicals or  
             substances for the purpose of eliminating, exterminating,  
             controlling, or preventing infestations or infections of  
             those pests, or organisms.  Specifies that an applicator's  
             license expires three years from the date the license is  
             issued.

           3. Requires registered structural pest control companies to  
             submit monthly reports to the county agricultural  
             commissioner reporting the name and registration number of  
             each pesticide, the amount used, and the number of  
             applications made, and requires the report to have a  
             pesticide stamp issued by the SPCB, as specified.

           4. Prescribes various fees for licensing, registration,  
             examinations, and other purposes pertaining to structural  

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             pest control matters, and authorizes a fee of $2 for a  
             pesticide use stamp in connection with a monthly pesticide  
             report.  Provides that those fees may be deposited in the  
             Structural Pest Control Research Fund, or with a bank or  
             other depository, as specified.

           5. Authorizes suspension and fines to be imposed on a  
             registered structural pest control company for specified  
             violations.

           6. Establishes a disciplinary review committee, in connection  
             with disciplinary procedures against structural pest control  
             licensees and registered companies, which requires as a  
             member of the committee, a person representing the Secretary  
             of the Department of Food and Agriculture.

          This bill:

           1. Extends the operation of the SPCB and its authority to  
             appoint an executive officer until January 1, 2019. 

           2. Deletes sulfur dioxide and propylene oxide from the list of  
             lethal fumigants. 

           3. Requires automatic notice to be given, rather than upon  
             request, to the agricultural commissioner in the county where  
             fumigation is to be performed. 

           4. Eliminates provisions regarding the practice of fumigating a  
             single apartment within a larger complex. 

           5. States that the text of fumigation warning signs indicating  
             the date and time fumigant was injected, and the name,  
             address and telephone number of the registered company  
             performing the fumigation to be printed in legible ink of any  
             color, rather than just red on white. 

           6. Requires a waiver from the state regulatory authority if a  
             registered company performing fumigation finds that the use  
             of chloropicrin is not possible, as specified. 

           7. Requires all home solicitation contracts to be subject to a  
             three-day right to cancel, as specified in existing law. 


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           8. Extends the number of days from 30 days to 90 days that an  
             unlicensed individual, working for a registered company, may  
             apply pesticides for training purposes. 

           9. Eliminates the option for applicants to become certified in  
             the control of Africanized honey bees and the requirement  
             that the SPCB either develop or certify a program for the  
             certification. 

           10.Changes the expiration date of an operator, field  
             representative, and applicator license from 12 midnight three  
             years from the date of issue to 12 midnight on June 30 of  
             every third year. 

           11.Requires that certain enforcement actions be commenced by  
             the county agricultural commissioner within two years of the  
             violation.  If an agricultural commissioner submits a  
             completed investigation to the SPCB for action by the  
             registrar of the Attorney General, the action shall be  
             commenced within one year of that submission. 

           12.Authorizes SPCB to grant extensions to companies required to  
             bring noncompliant properties into compliance. 

           13.Allows individuals licensed as applicators to request an  
             earlier expiration date and have their fees prorated. 

           14.Defines "original applicator's license" as a license issued  
             to someone that did not have a license during the prior  
             licensing period, and defines a renewal applicator's license  
             as a license issued to someone that did. 

           15.Defines "pesticide" as any spray adjuvant and any substance,  
             or mixture of substances intended to be used for preventing,  
             destroying, repelling, or mitigating any pest or organism. 

           16.Requires a licensee to maintain for three years a copy of  
             the monthly report of all pesticides used in the county and  
             submitted to the county agricultural commissioner. 

           17.Deletes the requirement that a pesticide use stamp be  
             affixed to that report and authorizes the use of a pesticide  
             use stamp number. 


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           18.Deletes authorization for pesticide use stamp or stamp  
             number fees to be deposited with a bank or other depository,  
             approved by the Department of Finance and designated by the  
             Research Advisory Panel, instead of into the Structural Pest  
             Control Research Fund. 

           19.Makes other technical and conforming changes. 

           20.Adds double-jointing language with AB 1685 (Williams).

           Background
           
          This bill is one of six "sunset review bills" authored by the  
          Chair of the Senate Business, Professions and Economic  
          Development (BPED) Committee.  Unless legislation is carried  
          this year to extend the sunset dates for the SPCB and its  
          executive officer they will be repealed on January 1, 2015.   
          This bill extends those provisions to January 1, 2019, and makes  
          a number of legislative changes regarding the SPCB reflected in  
          the recommendations in the Committee's background paper.

          In 2014, the Senate BPED Committee and the Assembly Business,  
          Professions and Consumer Protection Committee conducted joint  
          oversight hearings to review nine regulatory entities:  Bureau  
          of Automotive Repair; Bureau of Home Furnishings and Thermal  
          Insulation; Bureau for Private Postsecondary Education;  
          California Massage Therapy Certification program; California  
          Board of Acupuncture; California Tax Preparer program; Dental  
          Hygiene Committee of California; Professional Fiduciaries  
          Bureau; and the SPCB.  

          The Committees began their review of the aforementioned  
          licensing agencies in March and conducted two days of hearings.   
          This bill, and the accompanying sunset bills, are intended to  
          implement legislative changes as recommended in the Committee's  
          Background Papers prepared for each agency and program reviewed  
          by the Committees for this year.

           NOTE:  For a summary of the issues and recommendations relating  
                 to the SPCB, refer to the Senate BPED Committee analysis  
                 of April 28, 2014.

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

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          According to the Assembly Appropriations Committee: 

           1. On-going Special Fund costs of approximately $4.85 million  
             annually (Structural Pest Control Fund, Structural Pest  
             Control Education and Enforcement Fund), supporting 29.9  
             personnel years until January 1, 2019, partially offset by  
             fee revenues of $4.24 million, based on the 2014-15 Budget. 

           2. AB 1685 (Williams) raises the maximum fees that the SPCB  
             could charge for licensure examinations.  The increased fees  
             are intended to provide sufficient resources to implement  
             computer based testing and allow the SPCB to set the fees at  
             a level sufficient to cover the reasonable costs of  
             administering licensing exams.  It is unclear whether the  
             increased fee authority, if enacted, will provide sufficient  
             resources to address the operating deficiencies in the  
             Structural Pest Control Fund. 

           3. Minor and absorbable costs to DCA to extend the operations  
             of the SPCB and its executive director, and make numerous  
             technical, clarifying, and non-substantive changes to the  
             Structural Pest Control Act.

           SUPPORT  :   (Verified  8/27/14)

          California Association of Realtors
          Cardinal Professional Products
          Pest Control Operators of California
          Structural Pest Control Board
          Western Exterminator Company

           ARGUMENTS IN SUPPORT  :    The Pest Control Operators of  
          California (PCOC) writes, "SB 1244 will include the Structural  
          Pest Control Board Act Review Committee's recommendations.  Our  
          members have been working with the Structural Pest Control Board  
          throughout the entire process to identify areas that require  
          updating and PCOC believes this is an important component of the  
          bill."


          MW:k  8/28/14   Senate Floor Analyses 

                           SUPPORT/OPPOSITION:  SEE ABOVE

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