BILL ANALYSIS                                                                                                                                                                                                    Ó



          SENATE COMMITTEE ON APPROPRIATIONS
                             Senator Ricardo Lara, Chair
                            2015 - 2016  Regular  Session

          AB 181 (Bonilla) - Professions and vocations:  barbering and  
          cosmetology
          
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          |Version: June 29, 2015          |Policy Vote: B., P. & E.D. 9 -  |
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          |Urgency: No                     |Mandate: No                     |
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          |Hearing Date: August 27, 2015   |Consultant: Brendan McCarthy    |
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          *********** ANALYSIS ADDENDUM - SUSPENSE FILE ***********
             The following information is revised to reflect amendments 
                     adopted by the committee on August 27, 2015


          Bill  
          Summary:  AB 181 would extend the operation of the California  
          State Board of Barbering and Cosmetology until January 1, 2020.  
          The bill would also require the Board to perform additional,  
          specified duties.


          Fiscal  
          Impact:  
           No significant costs are anticipated due to the extension of  
            the California State Board of Barbering and Cosmetology  
            (Barbering and Cosmetology Contingent Fund). Under current  
            law, the Board itself has a statutory sunset (including the  
            Board's authority to employ an executive officer). However,  
            the larger body of current law requiring licensure for barbers  
            and cosmetologists and authorizing the enforcement of those  







          AB 181 (Bonilla)                                       Page 1 of  
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            laws does not have a statutory sunset. If this bill was not  
            enacted and the Board itself sunset, the overall regulatory  
            program would still existing within the Department of Consumer  
            Affairs (less the costs associated with the Board itself).  
            Therefore, extending the sunset of the Board does not impose  
            any significant costs.

           One-time additional costs of about $510,000 for additional  
            requirements imposed in the bill (Barbering and Cosmetology  
            Contingent Fund). The Board would review the existing 1,600  
            hour training requirement for cosmetologists, conduct an  
            occupational analysis of the cosmetology profession, conduct a  
            review of the existing national written examination and  
            California practical examination for cosmetologists, and  
            conduct a review of the Spanish-language examination and  
            curriculum.

           Ongoing costs of about $70,000 per year for issuing new  
            personal service permits (Barbering and Cosmetology Contingent  
            Fund).

           Unknown costs for enforcing licensing requirements relating to  
            the new personal service permit (Barbering and Cosmetology  
            Contingent Fund).

           Anticipated ongoing fee revenues of about $5 million per year  
            for new personal service permits (Barbering and Cosmetology  
            Contingent Fund). The Board anticipates that about 15% of  
            licensees will seek the new permit.


          Author  
          Amendments:  Make technical and clarifying corrections.


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