California Legislature—2015–16 Regular Session

Assembly BillNo. 731


Introduced by Assembly Member Gallagher

February 25, 2015


An act to amend Sections 4115, 4120, 4201, 7590.2, 8538, 12518, 19556, 19599, 19605.7, 25350, 25503.6, and 25608 of, to amend and renumber Sections 1626.5, 7588.2, and 17550.42 of, to repeal Sections 125.3, 1917.2, 4945, 5082.5, 5095, 7000.6, 17530.6, and 18897.8 of, and to repeal the heading of Article 3.5 (commencing with Section 316) of Chapter 4 of Division 1 of, the Business and Professions Code, to amend Sections 56.36, 3486, 5910, and 5915 of, to repeal Sections 1936.5, 2923.55, 2924.19, 2924.20, and 2934a of, and to repeal Title 17 (commencing with Section 3272) of Part 4 of Division 3 of, the Civil Code, to amend Section 398, 629, 1277, and 2030.010 of, to repeal Section 116.222 of, to repeal the heading of Article 5 (commencing with Section 142) of Chapter 6 of Title 1 of Part 1 of, and to repeal the heading of Chapter 1 (commencing with Section 156) of Title 2 of Part 1 of, the Code of Civil Procedure, to amend Section 9321.1 of, and to amend the heading of Part 6 (commencing with Section 3601) of Division 3 of, the Commercial Code, to amend Sections 5047, 25620, 31116, 31121, and 31158 of, and to amend and renumber Section 12637 of, the Corporations Code, to amend Sections 1313, 2575, 2577, 8261, 8273.1, 8363.1, 8450, 8483.55, 8490.1, 9004, 17199.4, 17592.74, 32282, 35035, 35735.1, 41020, 42127, 42238.15, 42800, 44252, 44277, 44932, 44939, 44940, 44944, 44944.05, 44944.3, 46116, 47605, 47605.1, 47605.6, 47614.5, 47651, 48003, 48297, 48321, 48900.9, 49452.9, 51747.3, 52064.5, 52852, 66281.7, 67386, 69437, 70022, 70037, 76030, 78261.5, 82542, 87782, 87784.5, 88207.5, 89005, 89295, 89500.7, 89770, 92611.7, 92675, 94143, 94145.5, and 94880 of, to amend and renumber Sections 38047.5, 38047.6, 39672, 41207.3, and 66261.5 of, to amend and renumber the heading of Article 7 (commencing with Section 66080) of Chapter 2 of Part 40 of Division 5 of Title 3 of, to amend and renumber the heading of Chapter 11 (commencing with Section 19900) of Part 11 of Division 1 of Title 1 of, to repeal Sections 8350.5 and 41851.1 of, to repeal the heading of Article 2 (commencing with Section 12210) of Chapter 2 of Part 8 of Division 1 of Title 1 of, to repeal the heading of Article 1 (commencing with Section 32200) of Chapter 2 of Part 19 of Division 1 of Title 1 of, to repeal the heading of Article 7 (commencing with Section 33390) of Chapter 3 of Part 20 of Division 2 of Title 2 of, to repeal the headings of Article 3 (commencing with Section 46330) and Article 4 (commencing with Section 46340) of Chapter 3 of Part 26 of Division 4 of Title 2 of, to repeal the heading of Article 2 (commencing with Section 48810) of Chapter 5 of Part 27 of Division 4 of Title 2 of, to repeal the heading of Article 8 (commencing with Section 54750) of Chapter 9 of Part 29 of Division 4 of Title 2 of, to repeal the heading of Article 7 (commencing with Section 68090) of Chapter 1 of Part 41 of Division 5 of Title 3 of, to repeal the heading of Article 3 (commencing with Section 72632) of Chapter 6 of Part 45 of Division 7 of Title 3 of, to repeal the heading of Article 8 (commencing with Section 78310) of Chapter 2 of Part 48 of Division 7 of Title 3 of, to repeal the heading of Article 3 (commencing with Section 78440) of Chapter 3 of Part 48 of Division 7 of Title 3 of, to repeal the heading of Article 4 (commencing with Section 82360) of Chapter 7 of Part 49 of Division 7 of Title 3 of, to repeal the heading of Article 1 (commencing with Section 84300) of Chapter 3 of Part 50 of Division 7 of Title 3 of, to repeal the heading of Article 2 (commencing with Section 85210) of Chapter 8 of Part 50 of Division 7 of Title 3 of, to repeal the heading of Chapter 3 (commencing with Section 37400) of Part 22 of Division 3 of Title 2 of, to repeal the heading of Chapter 14 (commencing with Section 52980) of Part 28 of Division 4 of Title 2 of, to repeal the heading of Chapter 8.5 (commencing with Section 56867) of Part 30 of Division 4 of Title 2 of, to repeal the heading of Chapter 4 (commencing with Section 78600) of Part 48 of Division 7 of Title 3 of, to repeal Chapter 17 (commencing with Section 11600) of Part 7 of Division 1 of Title 1 of, and to repeal and amend Section 32289 of, the Education Code, to amend Sections 2150, 2157, and 8040 of the Elections Code, to amend Sections 6203, 6301, 7613.5, 8712, 8811, and 8908 of, to amend and renumber Section 3201 of, to repeal Sections 3690 and 4051 of, and to repeal the heading of Article 3 (commencing with Section 3780) of Chapter 7 of Part 1 of Division 9 of, the Family Code, to amend Sections 12201, 17201, 22066, 22101, 23005, and 32208 of, to amend and renumber Section 23015 of, to repeal Section 24058 of, to repeal the headings of Article 1 (commencing with Section 32700) and Article 2 (commencing with Section 32710) of Chapter 6 of Division 15.5 of, and to repeal the heading of Chapter 8 (commencing with Section 50601) of Division 20 of, the Financial Code, to amend Sections 1652, 1653, 1654, 1745.2, and 12002 of the Fish and Game Code, to amend Sections 6045, 6047.9, 12996, 12999.5, 13186.5, 19227, and 78579 of, to amend and renumber the heading of Article 5 (commencing with Section 491) of Chapter 3 of Part 1 of Division 1 of, and to repeal Sections 55462 and 77103 of, the Food and Agricultural Code, to amend Sections 6254, 6276.22, 6700, 8753.6, 11146.2, 13956, 15155, 15814.22, 16183, 17581.6, 18720.45, 53398.52, 53398.75, 56378, 65352.5, 65583.2, 65995.7, 75070, 75521, 82015, and 95014 of, to amend and renumber Sections 13994, 13994.1, 13994.2, 13994.3, 13994.4, 13994.5, 13994.6, 13994.7, 13994.8, 13994.9, 13994.10, 13994.11, 13994.12, 14670.2, 22960.51, 31685.96, 53216.8, and 65080.1 of, to amend and renumber the heading of Chapter 14 (commencing with Section 5970) of Division 6 of Title 1, to amend and renumber Article 6 (commencing with Section 12099) of Chapter 1.6 of Part 2 of Division 3 of Title 2, to amend and renumber Article 18 (commencing with Section 14717) of Chapter 2 of Part 5.5 of Division 3 of Title 2 of, to repeal Sections 4420.5, 12804, 13312, 14254.5, 14829.2, 19995.5, and 43009 of, to repeal the heading of Article 8.5 (commencing with Section 8601) of Chapter 7 of Division 1 of Title 2 of, to repeal the heading of Article 8 (commencing with Section 11351) of Chapter 3.5 of Part 1 of Division 3 of Title 2 of, to repeal the heading of Article 1 (commencing with Section 11370) of Chapter 4 of Part 1 of Division 3 of Title 2 of, to repeal the heading of Article 7 (commencing with Section 13968) of Chapter 5 of Part 4 of Division 3 of Title 2 of, to repeal the heading of Article 2 (commencing with Section 72054) of Chapter 8 of Title 8 of, to repeal the heading of Article 4 (commencing with Section 72150) of Chapter 8 of Title 8 of, to repeal the heading of Chapter 3 (commencing with Section 980) of Part 5 of Division 3.6 of Title 1 of, to repeal the heading of Chapter 4 (commencing with Section 14730) of Part 5.5 of Division 3 of Title 2 of, to repeal the heading of Chapter 5.5 (commencing with Section 19994.20) of Part 2.6 of Division 5 of Title 2 of, to repeal the heading of Chapter 10 (commencing with Section 95030) of Title 14 of, and to repeal Article 12 (commencing with Section 16429.30) of Chapter 2 of Part 1 of Division 4 of Title 2 of, the Government Code, amend Sections 678.3, 1159.2, and 6087 of, and to repeal Section 1159.1 of, the Harbors and Navigation Code, to amend Sections 442.5, 1347.5, 1357.504, 1358.18, 1367.004, 1367.035, 1367.25, 1368.05, 1389.4, 1389.5, 1389.7, 1399.836, 1399.855, 1502, 1522, 1534, 1546.1, 1546.2, 1562, 1567.62, 1567.69, 1568.07, 1569.335, 1569.481, 1569.482, 1569.525, 1569.682, 1597.58, 1635.1, 1796.17, 1796.23, 1796.25, 1796.26, 1796.29, 1796.34, 1796.37, 1796.38, 1796.41, 1796.44, 1796.45, 4730.65, 16500, 25163.3, 25262, 25507.2, 33492.78, 34177, 39945, 42301.16, 50561, 51505, 101661, 101850, 101853, 101853.1, 101855, 101855.1, 102430, 111825, 115880, 119316, 120393, 121025, 123223, 124995, 125125, 125130, 125160, 125175, 125190, 125191, 130060, and 136000 of, to amend the heading of Chapter 2 (commencing with Section 104145) of Part 1 of Division 103 of, to amend the heading of Part 8 (commencing with Section 125700) of Division 106 of, to amend and renumber Sections 1339.9, 1531.2, 1568.0823, 4766.5, 13143.5, 25997, 25997.1, and 120155 of, to amend and renumber the heading of Chapter 3 (commencing with Section 16500) of Division 12.5 of, to amend and renumber the heading of Article 5.5 (commencing with Section 25159) of Chapter 6.5 of Division 20 of, to amend and renumber the heading of Article 4 (commencing with Section 128454) of Chapter 5 of Part 3 of Division 107 of, to repeal Sections 1317.5, 1367.20, 1371.36, 1371.37, 1371.38, 1371.39, 8650.5, 44246, 44525.5, 44525.7, and 116283 of, to repeal the heading of Article 2.6 (commencing with Section 1528) of Chapter 3 of Division 2 of, to repeal the heading of Article 3 (commencing with Section 11140) of Chapter 3 of Division 10 of, to repeal the heading of Article 2 (commencing with Section 11760.5) of Chapter 1 of Part 2 of Division 10.5 of, to repeal the heading of Article 6 (commencing with Section 11780) of Chapter 2 of Part 2 of Division 10.5 of, to repeal the heading of Article 8 (commencing with Section 25299.80) of Chapter 6.75 of Division 20 of, to repeal the heading of Article 12 (commencing with Section 25299.97) of Chapter 6.75 of Division 20 of, to repeal the heading of Article 5 (commencing with Section 101150) of Chapter 2 of Part 3 of Division 101 of, to repeal the heading of Chapter 3 (commencing with Section 101000) of Part 2 of Division 101 of, to repeal the heading of Chapter 4 (commencing with Section 101500) of Part 3 of Division 101 of, to repeal Division 10.10 (commencing with Section 11999.30) of, to repeal Chapter 6 (commencing with Section 101860) of Part 4 of Division 101 of, to repeal Chapter 4 (commencing with Section 128200) of Part 3 of Division 107 of, and to repeal and amend Sections 25299.97 and 116612 of, the Health and Safety Code, to amend Sections 926.1, 926.2, 1215.8, 10112.26, 10112.35, 10123.196, 10192.18, 10753.06.5, and 12880.4 of, to amend and renumber Section 10123.21 of, and to repeal the heading of Chapter 17 (commencing with Section 12693.99) of Part 6.2 of Division 2 of, the Insurance Code, to amend Sections 1019, 1311.5, 1741.1, 5406, 6319, 6404.5, 6625, and 7873 of the Labor Code, to amend Sections 19.8, 132.5, 264.2, 295.2, 308, 602, 626.9, 814, 830.14, 1191.15, 2905, 3016, 3043, 3063.1, 3440, 4501, 4852.08, 4852.11, 4852.12, 4852.14, 4852.18, 13510.5, 18115, 18150, 18155, 18175, 27210, and 30625 of, to amend and renumber Sections 300.2 and 13980 of, to amend and renumber the heading of Chapter 5a (commencing with Section 852) of Title 3 of Part 2 of, to repeal Section 11105.5 of, and to repeal the heading of Title 6.7 (commencing with Section 13990) of Part 4 of, the Penal Code, to repeal the heading of Part 14 (commencing with Section 900) of Division 2 of, and to repeal the heading of Article 1 (commencing with Section 7200) of Chapter 3 of Part 1 of Division 7 of, the Probate Code, to amend Section 20427 of, and to repeal Section 10299 of, the Public Contract Code, to amend Sections 541.5, 4598.1, 4598.6, 4598.7, 5080.16, 14591.2, 21082.3, 30103, 42356, 42649.82, 42987, 42987.1, 42989.1, 44107, and 75220 of, to amend and renumber Sections 5096.955 and 21080.35 of, to repeal Section 6217.2 of, to repeal the heading of Chapter 6 (commencing with Section 12292) of Division 10.5 of, and to repeal Chapter 1 (commencing with Section 32600) of Division 22.8 of, the Public Resources Code, to amend Sections 765, 960, and 120260 of, to amend and renumber Section 5384.2 of, to repeal Sections 957, 125450, and 125500 of, and to repeal the heading of Article 5 (commencing with Section 125300) of Chapter 4 of Division 11.5 of, the Public Utilities Code, to amend Sections 441, 17053.34, 17053.46, 17053.73, 17053.74, 17058, 17207.7, 17207.8, 17276.21, 18805, 18807, 18808, 19183, 19191, 19255, 23151, 23610.5, 23622.7, 23626, 23634, 23732, 24347.6, 24347.10, and 24416.21 of, to amend and renumber Sections 17141, 17276.20, 24355.4, 24416.20, 32432, 40069, 45752, and 55262 of, to amend and renumber the heading of Part 5.5 (commencing with Section 11151) of Division 2 of, to repeal Sections 54, 196.91, 196.92, 6051.7, 17132.6, 17155, 17507.6, 17565, 18407, 24661.3, 24685.5, and 24989 of, to repeal the heading of Article 1.5 (commencing with Section 7063) of Chapter 8 of Part 1 of Division 2 of, to repeal the heading of Article 3 (commencing with Section 23571) of Chapter 3 of Part 11 of Division 2 of, to repeal the heading of Chapter 10.5 (commencing with Section 17940) of Part 10 of Division 2 of, and to repeal Chapter 3.5 (commencing with Section 7288.1) of Part 1.7 of Division 2 of, and to repeal Chapter 9.5 (commencing with Section 19778) of Part 10.2 of Division 2 of, the Revenue and Taxation Code, to amend Section 2192 of, to amend and renumber Section 5132.1 of, to repeal the heading of Article 6.5 (commencing with Section 217) of Chapter 1 of Division 1 of, and to repeal the heading of Division 6 (commencing with Section 4000) of, the Streets and Highways Code, to amend Sections 125.4, 135, 605, 634.5, 710.6, 802, 803, 804, 1086, 1119, 1128.1, 1141.1, 1145, 1253.92, 1326.5, 1735.1, 3655, and 14013 of the Unemployment Insurance Code, to amend Sections 2480, 5156.7, 12801, 12801.9, 15210, 34500, 35401.7, and 40303.5 of, to repeal and amend Sections 612 and 2501 of, to repeal Sections 241, 241.1, 1803.5, 1808.7, and 42002.1 of, to repeal the heading of Article 1.7 (commencing with Section 23145) of Chapter 12 of Division 11 of, and to repeal Chapter 5 (commencing with Section 10900) of Division 4 of, the Vehicle Code, to amend Sections 9650, 10725.8, 10735.2, 20560.2, 37921, 37954, and 73502 of, to amend and renumber Sections 12938.2 and 21065 of, to repeal Sections 8612, 8613, 12585.12, 13272.1, and 21562.5 of, to repeal the heading of Article 5 (commencing with Section 36459) of Chapter 6 of Part 6 of Division 13 of, to repeal the heading of Article 1 (commencing with Section 42500) of Chapter 3 of Part 5 of Division 14 of, and to repeal Article 2 (commencing with Section 8580) of Chapter 2 of Part 4 of Division 5 of, to repeal Part 8 (commencing with Section 9650) of Division 5 of, the Water Code, to amend Sections 213.5, 258, 300, 319, 361.2, 391, 1767, 1984, 4142, 4144, 4512, 4520, 4520.5, 4521, 4540, 4541, 4648, 5840.2, 5892.5, 10104, 11253.5, 11325.24, 11363, 11403, 11460, 11461.3, 11477, 12300.4, 12300.41, 12301.1, 14005.271, 14011.10, 14021.6, 14022, 14029.91, 14105.18, 14124.24, 14132.277, 14148.67, 14154, 14165.50, 14166.22, 15151, 15862, 15885.5, 15894.5, 16120, 16500.5, 16524.7, 16524.8, 16524.9, 17603, 18901.2, and 18901.11 of, to amend the heading of Article 8 (commencing with Section 5869) of Chapter 1 of Part 4 of Division 5 of, to amend and renumber Sections 9757.5, 14005.75, 14011.2, 14132.99, 14148.9, 16513, and 16517 of, to amend and renumber the heading of Chapter 6 (commencing with Section 17500) of Part 5 of Division 9 of, to amend and renumber the heading of Chapter 4.5 (commencing with Section 18260) of Part 6 of Division 9 of, to add the heading of Article 1 (commencing with Section 6331) to Chapter 2 of Part 2 of Division 6 of, to add the heading of Article 5.22 (commencing with Section 14167.35) to Chapter 7 of Part 3 of Division 9 of, to repeal Sections 14103, 14105.336, 14105.337, and 14132.90 of, to repeal the heading of Article 2.93 (commencing with Section 14091.3) of Chapter 7 of Part 3 of Division 9 of, to repeal the heading of Chapter 7 (commencing with Section 16997.1) of Part 4.7 of Division 9 of, and to repeal and amend Section 12104 of, the Welfare and Institutions Code, to amend Section 25 of Chapter 279 of the Statutes of 2005, to amend Section 1 of Chapter 15 of the Statutes of 2014, and to amend Section 1 of Chapter 243 of the Statutes of 2014, relating to the maintenance of the codes.

LEGISLATIVE COUNSEL’S DIGEST

AB 731, as introduced, Gallagher. Maintenance of the codes.

Existing law directs the Legislative Counsel to advise the Legislature from time to time as to legislation necessary to maintain the codes.

This bill would make nonsubstantive changes in various provisions of law to effectuate the recommendations made by the Legislative Counsel to the Legislature.

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

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

P7    1

SECTION 1.  

Section 125.3 of the Business and Professions
2Code
, as added by Section 1 of Chapter 1059 of the Statutes of
31992, is repealed.

begin delete
4

125.3.  

(a) Except as otherwise provided by law, in any order
5issued in resolution of a disciplinary proceeding before any board
6within the department or before the Osteopathic Medical Board,
7upon request of the entity bringing the proceeding may request the
8administrative law judge to direct a licentiate found to have
9committed a violation or violations of the licensing act to pay a
10sum not to exceed the reasonable costs of the investigation and
11enforcement of the case.

12(b) In the case of a disciplined licentiate that is a corporation or
13a partnership, the order may be made against the licensed corporate
14entity or licensed partnership.

P8    1(c) A certified copy of the actual costs, or a good faith estimate
2of costs where actual costs are not available, signed by the entity
3bringing the proceeding or its designated representative shall be
4prima facie evidence of reasonable costs of investigation and
5prosecution of the case. The costs shall include the amount of
6investigative and enforcement costs up to the date of the hearing,
7including, but not limited to, charges imposed by the Attorney
8General.

9(d) The administrative law judge shall make a proposed finding
10of the amount of reasonable costs of investigation and prosecution
11of the case when requested pursuant to subdivision (a). The finding
12of the administrative law judge with regard to costs shall not be
13reviewable by the board to increase the cost award. The board may
14reduce or eliminate the cost award, or remand to the administrative
15law judge where the proposed decision fails to make a finding on
16costs requested pursuant to subdivision (a).

17(e) Where an order for recovery of costs is made and timely
18payment is not made as directed in the board’s decision, the board
19may enforce the order for repayment in any appropriate court. This
20right of enforcement shall be in addition to any other rights the
21board may have as to any licentiate to pay costs.

22(f) In any action for recovery of costs, proof of the board’s
23decision shall be conclusive proof of the validity of the order of
24payment and the terms for payment.

25(g) (1) Except as provided in paragraph (2), the board shall not
26renew or reinstate the license of any licentiate who has failed to
27pay all of the costs ordered under this section.

28(2) Notwithstanding paragraph (1), the board may, in its
29discretion, conditionally renew or reinstate for a maximum of one
30year the license of any licentiate who demonstrates financial
31hardship and who enters into a formal agreement with the board
32to reimburse the board within that one-year period for the unpaid
33costs.

34(h) All costs recovered under this section shall be considered a
35reimbursement for costs incurred and shall be deposited in the
36fund of the board recovering the costs to be available upon
37appropriation by the Legislature.

38(i) Nothing in this section shall preclude a board from including
39the recovery of the costs of investigation and enforcement of a
40case in any stipulated settlement.

P9    1(j) This section does not apply to any board if a specific statutory
2provision in that board’s licensing act provides for recovery of
3costs in an administrative disciplinary proceeding.

end delete
4

SEC. 2.  

The heading of Article 3.5 (commencing with Section
5316) of Chapter 4 of Division 1 of the Business and Professions
6Code
is repealed.

begin delete

7 

8Article 3.5.  Consumer Advisory Council
9

 

end delete
10

SEC. 3.  

Section 1626.5 of the Business and Professions Code,
11as added by Section 6 of Chapter 655 of the Statutes of 1999, is
12amended and renumbered to read:

13

begin delete1626.5.end delete
14begin insert1626.1.end insert  

In addition to the exemptions set forth in Section 1626,
15the operations by bona fide students of registered dental assisting,
16registered dental assisting in extended functions, and registered
17dental hygiene in extended functions in the clinical departments
18or the laboratory of an educational program or school approved
19by the board, including operations by unlicensed students while
20engaged in clinical externship programs that have been approved
21by an approved educational program or school, and that are under
22the general programmatic and academic supervision of that
23educational program or school, are exempt from the operation of
24this chapter.

25

SEC. 4.  

Section 1917.2 of the Business and Professions Code
26 is repealed.

begin delete
27

1917.2.  

(a) The committee shall license as a registered dental
28hygienist a third- or fourth-year dental student who is in good
29standing at an accredited California dental school and who satisfies
30the following requirements:

31(1) Satisfactorily performs on a clinical examination and an
32examination in California law and ethics as prescribed by the
33committee.

34(2) Satisfactorily completes a national written dental hygiene
35examination approved by the committee.

36(b) A dental student who is granted a registered dental hygienist
37license pursuant to this section may only practice in a dental
38practice that serves patients who are insured under Denti-Cal, the
39Healthy Families Program, or other government programs, or a
40dental practice that has a sliding scale fee system based on income.

P10   1(c) Upon receipt of a license to practice dentistry pursuant to
2Section 1634, a registered dental hygienist license issued pursuant
3to this subdivision is automatically revoked.

4(d) The dental hygienist license is granted for two years upon
5passage of the dental hygiene examination, without the ability for
6renewal.

7(e) Notwithstanding subdivision (d), if a dental student fails to
8remain in good standing at an accredited California dental school,
9or fails to graduate from the dental program, a registered dental
10hygienist license issued pursuant to this section shall be revoked.
11The student shall be responsible for submitting appropriate
12verifying documentation to the committee.

13(f) The provisions of this section shall be reviewed pursuant to
14Division 1.2 (commencing with Section 473). However, the review
15shall be limited to the fiscal feasibility and impact on the
16committee.

17(g) This section shall become inoperative as of January 1, 2014.

end delete
18

SEC. 5.  

Section 4115 of the Business and Professions Code is
19amended to read:

20

4115.  

(a) A pharmacy technician may perform packaging,
21manipulative, repetitive, or other nondiscretionarybegin delete tasks,end deletebegin insert tasksend insert only
22while assisting, and while under the direct supervision and control
23begin delete ofend deletebegin insert of,end insert a pharmacist. The pharmacist shall be responsible for the
24duties performed under his or her supervision by a technician.

25(b) This section does not authorize the performance of any tasks
26specified in subdivision (a) by a pharmacy technician without a
27pharmacist on duty.

28(c) This section does not authorize a pharmacy technician to
29perform any act requiring the exercise of professional judgment
30by a pharmacist.

31(d) The board shall adopt regulations to specify tasks pursuant
32to subdivision (a) that a pharmacy technician may perform under
33the supervision of a pharmacist. Any pharmacy that employs a
34pharmacy technician shall do so in conformity with the regulations
35adopted by the board.

36(e) begin deleteNo end deletebegin insertA end insertperson shallbegin insert notend insert act as a pharmacy technician without
37first being licensed by the board as a pharmacy technician.

38(f) (1) A pharmacy with only one pharmacist shall have no
39more than one pharmacy technician performing the tasks specified
40in subdivision (a). The ratio of pharmacy technicians performing
P11   1the tasks specified in subdivision (a) to any additional pharmacist
2shall not exceed 2:1, except that this ratio shall not apply to
3personnel performing clerical functions pursuant to Section 4116
4or 4117. This ratio is applicable to all practice settings, except for
5an inpatient of a licensed health facility, a patient of a licensed
6home health agency, as specified in paragraph (2), an inmate of a
7correctional facility of the Department of Corrections and
8Rehabilitation, and for a person receiving treatment in a facility
9operated by the State Department of State Hospitals, the State
10Department of Developmental Services, or the Department of
11Veterans Affairs.

12(2) The board may adopt regulations establishing the ratio of
13pharmacy technicians performing the tasks specified in subdivision
14(a) to pharmacists applicable to the filling of prescriptions of an
15inpatient of a licensed health facility and for a patient of a licensed
16home health agency. Any ratio established by the board pursuant
17to this subdivision shall allow, at a minimum, at least one pharmacy
18technician for a single pharmacist in a pharmacy and two pharmacy
19technicians for each additional pharmacist, except that this ratio
20shall not apply to personnel performing clerical functions pursuant
21to Section 4116 or 4117.

22(3) A pharmacist scheduled to supervise a second pharmacy
23technician may refuse to supervise a second pharmacy technician
24if the pharmacist determines, in the exercise of his or her
25professional judgment, that permitting the second pharmacy
26technician to be on duty would interfere with the effective
27performance of the pharmacist’s responsibilities under this chapter.
28A pharmacist assigned to supervise a second pharmacy technician
29shall notify the pharmacist in charge in writing of his or her
30determination, specifying the circumstances of concern with respect
31to the pharmacy or the pharmacy technician that have led to the
32determination, within a reasonable period, but not to exceed 24
33hours, after the posting of the relevant schedule.begin delete Noend deletebegin insert Anend insert entity
34employing a pharmacistbegin delete mayend deletebegin insert shall notend insert discharge, discipline, or
35otherwise discriminate against any pharmacist in the terms and
36conditions of employment for exercising or attempting to exercise
37in good faith the right established pursuant to this paragraph.

38(g) Notwithstanding subdivisions (a) and (b), the board shall
39by regulation establish conditions to permit the temporary absence
40of a pharmacist for breaks and lunch periods pursuant to Section
P12   1512 of the Labor Code and the orders of the Industrial Welfare
2Commission without closing the pharmacy. During these temporary
3absences, a pharmacy technician may, at the discretion of the
4pharmacist, remain in the pharmacy but may only perform
5nondiscretionary tasks. The pharmacist shall be responsible for a
6pharmacy technician and shall review any task performed by a
7pharmacy technician during the pharmacist’s temporary absence.
8begin delete Nothing in thisend deletebegin insert Thisend insert subdivision shallbegin insert notend insert be construed to authorize
9a pharmacist to supervise pharmacy technicians in greater ratios
10than those described in subdivision (f).

11(h) The pharmacist on duty shall be directly responsible for the
12conduct of a pharmacy technician supervised by that pharmacist.

13(i) In a health care facility licensed under subdivision (a) of
14Section 1250 of the Health and Safety Code, a pharmacy
15technician’s duties may include any of the following:

16(1) Packaging emergency supplies for use in the health care
17facility and the hospital’s emergency medical system or as
18authorized under Section 4119.

19(2) Sealing emergency containers for use in the health care
20facility.

21(3) Performing monthly checks of the drug supplies stored
22throughout the health care facility. Irregularities shall be reported
23within 24 hours to the pharmacist in charge and the director or
24chief executive officer of the health care facility in accordance
25with the health care facility’s policies and procedures.

26

SEC. 6.  

Section 4120 of the Business and Professions Code is
27amended to read:

28

4120.  

(a) A nonresident pharmacy shall not sell or distribute
29dangerous drugs or dangerous devices in this state through any
30person orbegin delete mediaend deletebegin insert media,end insert other than a wholesaler or third-party
31logistics provider who has obtained a license pursuant to this
32chapter or through a selling or distribution outlet that is licensed
33as a wholesaler or third-party logistics provider pursuant to this
34begin delete chapterend deletebegin insert chapter,end insert without registering as a nonresident pharmacy.

35(b) Applications for a nonresident pharmacy registration shall
36be made on a form furnished by the board. The board may require
37any informationbegin delete asend delete the board deems reasonably necessary to carry
38out the purposes of this section.

39(c) The Legislature, by enacting this section, does not intend a
40license issued to any nonresident pharmacy pursuant to this section
P13   1to change or affect the tax liability imposed by Chapter 3
2(commencing with Section 23501) of Part 11 of Division 2 of the
3Revenue and Taxation Code on any nonresident pharmacy.

4(d) The Legislature, by enacting this section, does not intend a
5license issued to any nonresident pharmacy pursuant to this section
6to serve as any evidence that the nonresident pharmacy is doing
7business within this state.

8

SEC. 7.  

Section 4201 of the Business and Professions Code is
9amended to read:

10

4201.  

(a) Each application to conduct a pharmacy, wholesaler,
11third-party logistics provider, or veterinary food-animal drug
12begin delete retailer,end deletebegin insert retailerend insert shall be made on a form furnished by thebegin delete board,end delete
13begin insert boardend insert and shall state the name, address, usual occupation, and
14professional qualifications, if any, of the applicant. If the applicant
15is other than a natural person, the application shall state the
16information as to each person beneficially interested therein.

17(b) As used in this section, and subject to subdivision (c), the
18term “person beneficially interested” means and includes:

19(1) If the applicant is a partnership or other unincorporated
20association, each partner or member.

21(2) If the applicant is a corporation, each of its officers, directors,
22and stockholders, provided thatbegin delete noend deletebegin insert aend insert natural person shallbegin insert notend insert be
23deemed to be beneficially interested in a nonprofit corporation.

24(3) If the applicant is a limited liability company, each officer,
25manager, or member.

26(c) If the applicant is a partnership or other unincorporated
27association, a limited liability company, or a corporation, and the
28number of partners, members, or stockholders, as the case may
29be, exceeds five, the application shall so state, and shall further
30state the information required by subdivision (a) as to each of the
31five partners, members, or stockholders who own the five largest
32interests in the applicant entity. Upon request by the executive
33officer, the applicant shall furnish the board with the information
34required by subdivision (a) as to partners, members, or stockholders
35not named in the application, or shall refer the board to an
36appropriate source of that information.

37(d) The application shall contain a statement to the effect that
38the applicant has not been convicted of a felony and has not
39violated any of the provisions of this chapter. If the applicant
40cannot make this statement, the application shall contain a
P14   1statement of the violation, if any, or reasons which will prevent
2the applicant from being able to comply with the requirements
3with respect to the statement.

4(e) Upon the approval of the application by the board and
5payment of the fee required by this chapter for each pharmacy,
6wholesaler, third-party logistics provider, or veterinary food-animal
7drug retailer, the executive officer of the board shall issue a license
8to conduct a pharmacy, wholesaler, third-party logistics provider,
9or veterinary food-animal drugbegin delete retailer,end deletebegin insert retailerend insert if all of the
10provisions of this chapter have been complied with.

11(f) Notwithstanding any other law, the pharmacy license shall
12authorize the holder to conduct a pharmacy. The license shall be
13renewed annually and shall not be transferable.

14(g) Notwithstanding any other law, the wholesaler license shall
15authorize the holder to wholesale dangerous drugs and dangerous
16devices. The license shall be renewed annually and shall not be
17transferable.

18(h) Notwithstanding any other law, the third-party logistics
19provider license shall authorize the holder to provide or coordinate
20warehousing, distribution, or other similar services of dangerous
21drugs and dangerous devices. The license shall be renewed annually
22and shall not be transferable.

23(i) Notwithstanding any other law, the veterinary food-animal
24drug retailer license shall authorize the holder to conduct a
25veterinary food-animal drug retailer and to sell and dispense
26veterinary food-animal drugs as defined in Section 4042.

27(j) For licenses referred to in subdivisions (f), (g), (h), and (i),
28any change in the proposed beneficial ownership interest shall be
29reported to the board within 30 days thereafter upon a form to be
30furnished by the board.

31

SEC. 8.  

Section 4945 of the Business and Professions Code,
32as amended by Section 15 of Chapter 983 of the Statutes of 1991,
33is repealed.

begin delete
34

4945.  

(a) The committee shall establish standards for
35continuing education for acupuncturists.

36(b) The committee shall require each acupuncturist to complete
3715 hours of continuing education every year as a condition for
38renewal of his or her certificate. A provider of continuing education
39shall apply to the committee for approval to offer continuing
40education courses for credit toward this requirement on a form
P15   1developed by the committee, shall pay a fee covering the cost of
2approval and for the monitoring of the provider by the committee
3and shall set forth the following information on the application:

4(1) Course content.

5(2) Test criteria.

6(3) Hours of continuing education credit requested for the
7course.

8(4) Experience and training of instructors.

9(5) Other information as required by the committee.

10(6) That interpreters or bilingual instruction will be made
11available, when necessary.

12(c) Licensees residing out of state or out of the country shall
13comply with the continuing education requirements.

14(d) Providers of continuing education shall be monitored by the
15committee as determined by the committee.

16(e) If the committee determines that any acupuncturist has not
17obtained the required number of hours of continuing education, it
18may renew the acupuncturist’s license and require that the deficient
19hours of continuing education be made up during the following
20renewal period in addition to the current continuing education
21required for that period. If any acupuncturist fails to make up the
22deficient hours and complete the current requirement of hours of
23continuing education during the subsequent renewal period, then
24his or her license to practice acupuncture shall not be renewed
25until all the required hours are completed and documented to the
26committee.

27(f) This section shall remain in effect only until January 1, 1996,
28and shall have no force or effect on or after that date, unless a later
29enacted statute, which is enacted before January 1, 1996, deletes
30or extends that date.

end delete
31

SEC. 9.  

Section 5082.5 of the Business and Professions Code,
32as added by Section 10 of Chapter 704 of the Statutes of 2001, is
33repealed.

begin delete
34

5082.5.  

The board may give credit to a candidate who has
35passed all or part of the examination in another state or territory,
36if the members of the board determine that the standards under
37which the examination was held are as high as the standards
38established for examination in this chapter.

end delete
P16   1

SEC. 10.  

Section 5095 of the Business and Professions Code,
2as added by Section 20 of Chapter 704 of the Statutes of 2001, is
3repealed.

begin delete
4

5095.  

(a) To be authorized to sign reports on attest
5engagements, a licensee shall complete a minimum of 500 hours
6of experience, satisfactory to the board, in attest services.

7(b) To be qualifying under this section, attest experience shall
8have been performed in accordance with applicable professional
9standards. Experience in public accounting shall be completed
10under the supervision or in the employ of a person licensed or
11otherwise having comparable authority under the laws of any state
12or country to engage in the practice of public accountancy and
13provide attest services, and this experience shall be verified.
14Experience in private or governmental accounting or auditing shall
15be completed under the supervision of an individual licensed by
16a state to engage in the practice of public accountancy and perform
17attest services, and this experience shall be verified. An applicant
18may be required to present work papers or other evidence
19substantiating that the applicant has met the requirements of this
20section and applicable regulations.

21(c) An individual who qualified for licensure by meeting the
22requirements of Section 5083 shall be deemed to have satisfied
23the requirements of this section.

24(d) The board shall adopt regulations to implement this section,
25including, but not limited to, a procedure for applicants under
26Section 5092 or Section 5093 to qualify under this section.

end delete
27

SEC. 11.  

Section 7000.6 of the Business and Professions Code,
28as added by Section 27 of Chapter 107 of the Statutes of 2002, is
29repealed.

begin delete
30

7000.6.  

Protection of the public shall be the highest priority
31for the Contractors’ State License Board in exercising its licensing,
32regulatory, and disciplinary functions. Whenever the protection
33of the public is inconsistent with other interests sought to be
34promoted, the protection of the public shall be paramount.

end delete
35

SEC. 12.  

Section 7588.2 of the Business and Professions Code,
36as added by Section 3 of Chapter 689 of the Statutes of 2002, is
37amended and renumbered to read:

38

begin delete7588.2.end delete
39begin insert7588.6.end insert  

(a) A peace officer of this state or a political
40subdivision thereof who engages in off-duty employment solely
P17   1and exclusively as a security guard or security officer, and who is
2required to be registered as a security guard or security officer
3pursuant to this chapter, shall only be subject to the fees required
4by subdivision (h) of Section 7588.

5(b) A peace officer shall also be subject to the fees required by
6paragraphs (1) and (2) of subdivision (i) of Section 7588 if the
7peace officer carries or uses a firearm as part of the off-duty
8employment and has not received approval of his or her primary
9employer, as defined in paragraph (2) of subdivision (i) of Section
107583.9, to carry a firearm while working as a security guard or
11security officer, and has not submitted verification of that approval
12to the bureau pursuant to subdivision (i) of Section 7583.9.

13

SEC. 13.  

Section 7590.2 of the Business and Professions Code
14 is amended to read:

15

7590.2.  

(a) An “alarm company operator” means a person
16who, for any consideration whatsoever, engages in business or
17accepts employment to install, maintain, alter, sell on premises,
18monitor, or service alarm systems or who responds to alarm
19systems except for any alarm agent. “Alarm company operator,”
20includes any entity that is retained by a licensed alarm company
21operator, a customer, or any other person or entity, to monitor one
22or more alarm systems, whether or not the entity performs any
23other duties within the definition of an alarm company operator.
24The provisions of this chapter, to the extent that they can be made
25applicable, shall be applicable to the duties and functions performed
26in monitoring alarm systems.

27(b) A person licensed as an alarm company operatorbegin delete mayend deletebegin insert shallend insert
28 not conduct any investigation or investigations except those that
29are incidental to personal injury, or the theft, loss, embezzlement,
30misappropriation, or concealment of any property, or any other
31thing enumerated in this section, which he or she has been hired
32or engaged to protect.

33(c) A person who is licensed, certified, or registered pursuant
34to this chapter is exempt from locksmithing requirements, pursuant
35to subdivision (e) of Section 6980.12, if the duties performed that
36constitute locksmithing are performed in combination with the
37installation, maintenance, moving, repairing, replacing, servicing,
38or reconfiguration of an alarm system, as defined in subdivision
39(n) of Section 7590.1, and limited to work on electronic locks or
P18   1access control devices that are controlled by an alarm system
2control device, including the removal of existing hardware.

3

SEC. 14.  

Section 8538 of the Business and Professions Code
4 is amended to read:

5

8538.  

(a) A registered structural pest control company shall
6provide the owner, or owner’s agent, and tenant of the premises
7for which the work is to be done with clear written notice which
8contains the following statements and information using words
9with common and everyday meaning:

10(1) The pest to be controlled.

11(2) The pesticide or pesticides proposed to bebegin delete used,end deletebegin insert usedend insert and
12the active ingredient or ingredients.

13(3) “State law requires that you be given the following
14information: CAUTION--PESTICIDES ARE TOXIC
15CHEMICALS. Structural Pest Control Companies are registered
16and regulated by the Structural Pest Control Board, and apply
17pesticides which are registered and approved for use by the
18begin delete Californiaend delete Department of Pesticide Regulation and the United
19States Environmental Protection Agency. Registration is granted
20when the state finds that, based on existing scientific evidence,
21there are no appreciable risks if proper use conditions are followed
22or that the risks are outweighed by the benefits. The degree of risk
23depends upon the degree of exposure, so exposure should be
24minimized.

25“If within 24 hours following application you experience
26symptoms similar to common seasonal illness comparable to the
27flu, contact your physician or poison control center (telephone
28number) and your pest control company immediately.” (This
29statement shall be modified to include any other symptoms of
30overexposure which are not typical of influenza.)

31“For further information, contact any of the following: Your
32Pest Control Company (telephone number); for Health
33Questions--the County Health Department (telephone number);
34for Application Information--the County Agricultural
35Commissioner (telephone number), and for Regulatory
36Information--the Structural Pest Control Board (telephone number
37and address).”

38(4) If a contract for periodic pest control has been executed, the
39frequency with which the treatment is to be done.

P19   1(b) In the case of Branch 1 applications, the notice prescribed
2by subdivision (a) shall be provided at least 48 hours prior to
3application unless fumigation follows inspection by less than 48
4hours.

5In the case of Branch 2 or Branch 3 registered company
6applications, the notice prescribed by subdivision (a) shall be
7provided no later than prior to application.

8In either case, the notice shall be given to the owner, or owner’s
9agent, and tenant, if there is a tenant, in at least one of the following
10ways:

11(1) First-class or electronic mail, if an electronicbegin delete mailingend deletebegin insert mailend insert
12 address has been provided.

13(2) Posting in a conspicuous place on the real property.

14(3) Personal delivery.

15If the building is commercial or industrial, a notice shall be
16posted in a conspicuous place, unless the owner or owner’s agent
17objects, in addition to any other notification required by this
18section.

19The notice shall only be required to be provided at the time of
20the initial treatment if a contract for periodic service has been
21executed. If the pesticide to be used is changed, another notice
22shall be required to be provided in the manner previously set forth
23herein.

24(c) Any person or licensee who, or registered company which,
25violates any provision of this section is guilty of a misdemeanor
26begin delete and isend delete punishable as set forth in Section 8553.

27

SEC. 15.  

Section 12518 of the Business and Professions Code
28 is amended to read:

29

12518.  

A water submeter submitted to a sealer by an owner,
30user, or operator for inspection and testing before its initial
31installation that is found to be incorrect, as defined inbegin insert subdivision
32(d) ofend insert
Section 12500, shall be marked with thebegin delete words,end deletebegin insert wordsend insert “Out
33of Order,” in accordance with Section 12506, and shall be returned
34to a service agent only if both of the following conditions are met:

35(a) The water submeter has no signs of intentional tampering
36by which to facilitate fraud.

37(b) The water submeterbegin delete shallend deletebegin insert isend insert notbegin delete beend delete placed into service in
38California.

39

SEC. 16.  

Section 17530.6 of the Business and Professions
40Code
is repealed.

begin delete
P20   1

17530.6.  

(a) Any person, including an individual, firm,
2corporation, association, partnership, or joint venture, or any
3employee or agent thereof, shall dispose of any of the information
4described in Section 17530.5 in a manner including, but not limited
5to, burning, shredding, electronic deleting, or other appropriate
6means, so that the identity of the taxpayer may not be determined
7from the disposed information alone or in combination with other
8 publicly available information. A violation of this section
9constitutes a misdemeanor.

10(b) This section shall not become operative if Assembly Bill
112246 of the 1999-2000 Regular Session is enacted and becomes
12effective on or before January 1, 2001.

end delete
13

SEC. 17.  

Section 17550.42 of the Business and Professions
14Code
, as added by Section 11 of Chapter 196 of the Statutes of
152003, is amended and renumbered to read:

16

begin delete17550.42.end delete
17begin insert17550.42.5.end insert  

(a) Within 30 days of the close of the fiscal year
18or other reasonable period established by the board of directors,
19the Travel Consumer Restitution Corporation shall make publicly
20available a statement of the following information concerning the
21most recently concluded fiscal year:

22(1) The number of claims and approximate dollar amount of
23the claims received.

24(2) The total number of claims and total dollar amount of claims
25paid.

26(3) The approximate number and dollar amount of claims denied
27or abandoned.

28(4) The dollar balance in the restitution fund.

29(5) The amount of assessments received from participants and
30the operating and administrative costs and expenses of the
31corporation.

32(6) The number of new participants and the amount of
33assessments received from them.

34(b) The Travel Consumer Restitution Corporation shall make
35publicly available within 15 days of the board of directors’
36approval, or other reasonable period established by the board of
37directors, the following information:

38(1) The approved minutes of meetings of the board of directors.

P21   1(2) The approved estimated annual operational budget projecting
2the costs of operations and administration for the succeeding fiscal
3year, excluding the amount to be paid for claims.

4(3) The approved bylaws, as amended, of the Travel Consumer
5Restitution Corporation.

6(c) Information may be made publicly available as required by
7this section by disseminating the information on an Internet Web
8site or providing the information by electronic mail to any person
9who has requested the information and provided a valid electronic
10mail address.

11

SEC. 18.  

Section 18897.8 of the Business and Professions
12Code
, as added by Section 2 of Chapter 857 of the Statutes of
131996, is repealed.

begin delete
14

18897.8.  

(a) Any professional athlete, or any student athlete,
15or any elementary or secondary school, college, university, or other
16educational institution, or any league, conference, association, or
17federation of the preceding educational institutions, or any other
18person may bring a civil action for recovery of damages from an
19athlete agent, if that professional athlete, that student athlete, that
20institution, any member of that league, conference, association, or
21federation, or that other person is adversely affected by the acts
22of the athlete agent or of the athlete agent’s representative or
23employee in violation of this chapter. A student athlete is presumed
24to be adversely affected by the acts of an athlete agent,
25representative or employee in violation of this chapter if, because
26of those acts, the student athlete is suspended or disqualified from
27participation in one or more interscholastic or intercollegiate sports
28events by or pursuant to the rules of a state or national federation
29or association for the promotion and regulation of interscholastic
30or intercollegiate sports, or suffers financial damage, or suffers
31both suspension or disqualification and financial damage. An
32educational institution is presumed to be adversely affected by the
33acts of an athlete agent or of an athlete agent’s representative or
34employee in violation of this chapter if, because of those acts, the
35educational institution, or one or more student athletes admitted
36to or enrolled in the educational institution, is suspended or
37disqualified from participation in one or more interscholastic or
38intercollegiate athletic events by or pursuant to the rules of a state
39or national federation or association for the promotion and
40regulation of interscholastic or intercollegiate sports events by or
P22   1pursuant to the rules of a state or national federation or association
2for the promotion and regulation of interscholastic or intercollegiate
3sports, or suffers financial damage, or suffers both suspension or
4disqualification and financial damage.

5(b) A plaintiff that prevails in a civil action brought under this
6section may recover actual damages, or fifty thousand dollars
7($50,000), whichever is higher; punitive damages; court costs; and
8reasonable attorney’s fees. An athlete agent found liable under this
9section is also subject to forfeiture of any right of repayment for
10anything of benefit or value provided to a student athlete, and shall
11refund any consideration paid to that athlete agent by or on behalf
12of the student athlete.

13(c) It is the intent of the Legislature in enacting this section to
14encourage enforcement of this chapter through private civil actions.

end delete
15

SEC. 19.  

Section 19556 of the Business and Professions Code
16 is amended to read:

17

19556.  

(a) The distribution shall be made by the distributing
18agent to beneficiaries qualified under this article. For purposes of
19this article, a beneficiary shall be all of the following:

20(1) A nonprofit corporation or organization entitled by law to
21receive a distribution made by a distributing agent.

22(2) Exempt or entitled to an exemption from taxes measured by
23income imposed by this state and the United States.

24(3) Engaged in charitable, benevolent, civic, religious,
25educational, or veterans’ work similar to that of agencies
26recognized by an organized community chest in the State of
27California, except that the funds so distributed may be used by the
28beneficiary for capital expenditures.

29(4) Approved by the board.

30(b) At least 30 percent of the distribution shall be made to
31charities associated with the horse racing industry. In addition to
32this 30 percent of the distribution, another 5 percent of the
33distribution shall be paid to a welfare fund described in subdivision
34(b) of Section 19641 and another 5 percent of the distribution shall
35be paid to a nonprofit corporation, the primary purpose of which
36is to assist horsemen and backstretch personnel who are being
37affected adversely as a result of alcohol or substance abuse.begin delete Noend deletebegin insert Aend insert
38 beneficiary otherwise qualified under this section to receive charity
39day net proceeds shallbegin insert notend insert be excluded on the basis that the
40beneficiary provides charitable benefits to persons connected with
P23   1the care, training, and running of racehorses, except thatbegin insert thisend insert type
2of beneficiary shall make an accounting to the board within one
3calendar year of the date of receipt of any distribution.

4(c) (1) In addition to the distribution pursuant to subdivision
5(b), a separate 20 percent of the distribution shall be made to a
6nonprofit corporation or trust, the directors or trustees of which
7shall serve without compensation except for reimbursement for
8reasonable expenses, and that has as its sole purpose the
9accumulation of endowment funds, the incomebegin delete onend deletebegin insert ofend insert which shall
10be distributed to qualified disabled jockeys.

11(2) To receive a distribution under this subdivision, a nonprofit
12corporation or trustbegin delete mustend deletebegin insert shallend insert establish objective qualifications
13for disabledbegin delete jockeys,end deletebegin insert jockeysend insert and provide an annual accounting
14and report to the board on its activities indicating compliance with
15the requirements of this subdivision.

16(3) The nonprofit corporation or trust shall, in an amount
17proportional to the contributions received pursuant to this
18subdivision as a percentage of the total contributions received by
19thebegin insert nonprofitend insert corporation or trust, give preference in assisting
20qualified disabled jockeysbegin delete to the following:end deletebegin insert who meet either of the
21following criteria:end insert

22(A) Jockeys who were disabled while participating in the racing
23or training of horses at licensed racing associations or approved
24training facilities in California.

25(B) Jockeys licensed by the board who were disabled while
26participating in the racing or training of horses in a state other than
27California.

28(d) When the nonprofit corporation or trust described in
29subdivision (c) has received distributions in an amount equal to
30two million dollars ($2,000,000), the distribution mandated by
31subdivision (c) shall cease.

32

SEC. 20.  

Section 19599 of the Business and Professions Code
33 is amended to read:

34

19599.  

An association or fair may offer any form of parimutuel
35wagering, as defined by regulations adopted by the board, or as
36defined by Chapter 4, Pari-Mutuel Wagering, Model Rules of
37Racing, as published by the Association of Racing Commissioners
38International. The board may prohibit any form of parimutuel
39wagering if it determines that the proposed wagering would
40compromise the honesty and integrity of racing in the state. Each
P24   1racing association or fair shall include the types ofbegin delete conventional
2exoticend delete
begin insert conventional, exotic,end insert and other wagering it proposes to offer
3on its application to conduct a horse racing meeting.

4

SEC. 21.  

Section 19605.7 of the Business and Professions
5Code
is amended to read:

6

19605.7.  

The total percentage deducted from wagers at satellite
7wagering facilities in the northern zone shall be the same as the
8deductions for wagers at the racetrack where the racing meeting
9is being conducted and shall be distributed as set forth in this
10section. Amounts deducted under this section shall be distributed
11as follows:

12(a) (1) For thoroughbred meetings, 1.3 percent of the amount
13handled by the satellite wagering facility on conventional and
14exotic wagers shall be distributed to the racing association for
15payment to the state as a license fee, 2 percent shall be distributed
16to the satellite wagering facility as a commission for the right to
17dobegin delete business,end deletebegin insert businessend insert as a franchise,begin delete and this commission isend deletebegin insert butend insert
18 not for the use of any real property, 0.54 percent shall be deposited
19with the official registering agency pursuant to subdivision (a) of
20Section 19617.2 and shall thereafter be distributed in accordance
21with subdivisions (b),begin delete (c)end deletebegin insert (c),end insert and (d) of Section 19617.2, 0.033
22percent shall be distributed to the Center for Equine Health, and
230.067 percent shall be distributed to the California Animal Health
24and Food Safety Laboratory, School of Veterinary Medicine,
25University of California at Davis. It is the intent of the Legislature
26that the 0.033 percent of funds distributed to the Center for Equine
27Health shall supplement, and not supplant, other funding sources.

28(2) (A) In addition to the distributions specified in paragraph
29(1), for thoroughbred meetings, an amount not to exceed 4 percent
30of the amount handled by the satellite wagering facility on
31conventional and exotic wagers shall be distributed to an
32organization described in Section 19608.2 with the mutual consent
33of the racing association, the organization representing the
34horsemen participating in the meeting, and the board from January
351, 2010, until December 31, 2016. However, the amount shallbegin insert notend insert
36 bebegin delete noend delete less than that specified in subparagraph (B), and any amount
37greater than the amount specified in subparagraph (B) shall be
38approved by the board for no more than 12 months at a time, and
39only upon a determination by the board that the greater amount is
40in the economic interest of thoroughbred racing.

P25   1(B) Commencing January 1, 2017, an amount not to exceed the
2amount of actual operating expenses, as determined by the board,
3or 2.5 percent of the amount handled by the satellite wagering
4facility on conventional and exotic wagers, whichever is less, shall
5be distributed to an organization described in Section 19608.2.

6(C) A request to the board for a distribution pursuant to
7subparagraph (A) shall be accompanied by a report detailing all
8receipts and expenditures over the two prior fiscal years of the
9funds affected by the request.

10(D) The racing association whose request pursuant to
11subparagraph (A) has been approved by the board shall provide
12subsequent quarterly reports of receipts and expenditures of the
13affected funds if requested by the board.

14(b) For harness, quarter horse, Appaloosa, Arabian, or mixed
15breed meetings, 0.4 percent of the amount handled by the satellite
16wagering facility on conventional and exotic wagers shall be
17distributed to the racing association for payment to the state as a
18license fee, for fair meetings, 1 percent of the amount handled by
19the satellite wagering facility on conventional and exotic wagers
20shall be distributed to the fair association for payment to the state
21as a license fee, 2 percent shall be distributed to the satellite
22wagering facility as a commission for the right to dobegin delete business,end delete
23begin insert businessend insert as a franchise,begin delete and this commission isend deletebegin insert butend insert not for the use
24of any real property, and 6 percent of the amount handled by the
25satellite wagering facility or the amount of actual operating
26expenses, as determined by the board, whichever is less, shall be
27distributed to an organization described in Section 19608.2. In
28addition, in the case of quarter horses, 0.4 percent shall be
29deposited with the official registering agency pursuant to
30subdivision (b) of Section 19617.7 and shall thereafter be
31distributed in accordance with subdivisions (c), (d), and (e) of
32Section 19617.7; in the case of Appaloosas, 0.4 percent shall be
33deposited with the official registering agency pursuant to
34subdivision (b) of Section 19617.9 and shall thereafter be
35distributed in accordance with subdivisions (c), (d), and (e) of
36Section 19617.9; in the case of Arabians, 0.4 percent shall be held
37by the association to be deposited with the official registering
38agency pursuant to Section 19617.8, and shall thereafter be
39distributed in accordance with Section 19617.8; in the case of
40standardbreds, 0.4 percent shall be distributed for the California
P26   1Standardbred Sires Stakes Program pursuant to Section 19619; in
2the case of thoroughbreds, 0.48 percent shall be deposited with
3the official registering agency pursuant to subdivision (a) of Section
419617.2 and shall thereafter be distributed in accordance with
5subdivisions (b), (c), and (d) of Section 19617.2; 0.033 percent
6shall be distributed to the Center for Equine Health; and 0.067
7percent shall be distributed to the California Animal Health and
8Food Safety Laboratory, School of Veterinary Medicine, University
9of California at Davis. It is the intent of the Legislature that the
100.033 percent of funds distributed to the Center for Equine Health
11shall supplement, and not supplant, other funding sources.

12(c) In addition to the distributions specified in subdivisions (a)
13and (b), for mixed breed meetings, 1 percent of the total amount
14handled by each satellite wagering facility shall be distributed to
15an organization described in Section 19608.2 for promotion of the
16program at satellite wagering facilities. For harness meetings, 0.5
17percent of the total amount handled by each satellite wagering
18facility shall be distributed to an organization described in Section
1919608.2 for the promotion of the program at satellite wagering
20facilities, and 0.5 percent of the total amount handled by each
21satellite wagering facility shall be distributed according to a written
22agreement for each race meeting between the licensed racing
23association and the organization representing the horsemen
24participating in the meeting. If, with respect to harness meetings,
25there are funds unexpended from this 1 percent, these funds may
26be expended for other purposes with the consent of the horsemen
27and the racing association to benefit the horsemen, or the racing
28association, or both, pursuant to their agreement. For quarter horse
29meetings, 0.5 percent of the total amount handled by each satellite
30wagering facility on races run in California shall be distributed to
31an organization described in Section 19608.2 for the promotion
32of the program at satellite wagering facilities, 0.5 percent of the
33total amount handled by each satellite wagering facility on
34out-of-state and out-of-country imported races shall be distributed
35to the official quarter horse registering agency for the purposes of
36Section 19617.75, and 0.5 percent of the total amount handled by
37each satellite wagering facility on all races shall be distributed
38according to a written agreement for each race meeting between
39the licensed racing association and the organization representing
40the horsemen participating in the meeting.

P27   1(d) Additionally, for thoroughbred, harness, quarter horse, mixed
2breed, and fair meetings, 0.33 percent of the total amount handled
3by each satellite wagering facility shall be paid to the city or county
4in which the satellite wagering facility is located pursuant to
5Section 19610.3 or 19610.4.

6(e) Notwithstanding any other law, a racing association is
7responsible for the payment of the state license fee as required by
8this section.

9

SEC. 22.  

Section 25350 of the Business and Professions Code
10 is amended to read:

11

25350.  

The department may seize the following alcoholic
12beverages:

13(a) Alcoholic beverages manufactured or produced in this State
14by any person other than licensed manufacturer or wine grower,
15regardless of where found.

16(b) Beer and wine upon the sale of which the excise tax imposed
17by Part 14begin insert (commencing with Section 32001)end insert of Division 2 of the
18Revenue and Taxation Code has not been paid, regardless of where
19found.

20(c) Distilled spirits except (1) distilled spirits located upon
21premises for which licenses authorizing the sale of the distilled
22spirits have been issued; (2) distilled spirits consigned to and in
23the course of transportation to a licensee holding licenses
24authorizing the sale of the distilled spirits or for delivery without
25this State; (3) distilled spirits upon the sale of which the excise
26tax imposed by Part 14begin insert (commencing with Section 32001)end insert of
27Division 2 of the Revenue and Taxation Code has been paid;
28(4) alcohol or distilled spirits in the possession of a person who
29has lawfully purchased it for use in the trades, professions, or
30industries and not for beverage use.

31(d) Any alcoholic beverage possessed, kept, stored, or owned
32with the intent to sell it without a license in violation of this
33division.

34(e) Notwithstanding any other provision of this section, any
35alcoholic beverage acquired, exchanged, purchased, sold, delivered,
36or possessed in violation of Sections 23104.2, 23104.3, 23394,
3723402,begin delete or 24879, or Chapter 10 (commencing with Section 24749),
3811 (commencing with Section 24850),end delete
orbegin insert Chapterend insert 12 (commencing
39with Sectionbegin delete 25000) of this division,end deletebegin insert 25000),end insert except that seizures
40under this subdivision shall be limited to the actual package or
P28   1case of alcoholic beverage acquired, exchanged, purchased, sold,
2delivered, or possessed in violation of the foregoing provisions.
3Any seizure under this subdivision shall not exceed one hundred
4dollars ($100) of alcoholic beverages at retail price.

5

SEC. 23.  

Section 25503.6 of the Business and Professions
6Code
is amended to read:

7

25503.6.  

(a) Notwithstanding any other provision of this
8chapter, a beer manufacturer, the holder of a winegrower’s license,
9a distilled spirits rectifier, a distilled spirits manufacturer, or
10distilled spirits manufacturer’s agent may purchase advertising
11space and time from, or on behalf of, an on-sale retail licensee
12subject to all of the following conditions:

13(1) The on-sale licensee is the owner, manager, agent of the
14owner, assignee of the owner’s advertising rights, or the major
15tenant of the owner of any of the following:

16(A) An outdoor stadium or a fully enclosed arena with a fixed
17seating capacity in excess of 10,000 seats located in Sacramento
18County or Alameda County.

19(B) A fully enclosed arena with a fixed seating capacity in
20excess of 18,000 seats located in Orange County or Los Angeles
21County.

22(C) An outdoor stadium or fully enclosed arena with a fixed
23seating capacity in excess of 8,500 seats located in Kern County.

24(D) An exposition park of not less than 50 acres that includes
25an outdoor stadium with a fixed seating capacity in excess of 8,000
26seats and a fully enclosed arena with an attendance capacity in
27excess of 4,500 people, located in San Bernardino County.

28(E) An outdoor stadium with a fixed seating capacity in excess
29of 10,000 seats located in Yolo County.

30(F) An outdoor stadium and a fully enclosed arena with fixed
31seating capacities in excess of 10,000 seats located in Fresno
32County.

33(G) An athletic and entertainment complex of not less than 50
34acres that includes within its boundaries an outdoor stadium with
35a fixed seating capacity of at least 8,000 seats and a second outdoor
36stadium with a fixed seating capacity of at least 3,500 seats located
37within Riverside County.

38(H) An outdoor stadium with a fixed seating capacity in excess
39of 1,500 seats located in Tulare County.

P29   1(I) A motorsports entertainment complex of not less than 50
2acres that includes within its boundaries an outdoor speedway with
3a fixed seating capacity of at least 50,000 seats, located within San
4Bernardino County.

5(J) An exposition park, owned or operated by a bona fide
6nonprofit organization, of not less than 400 acres with facilities
7including a grandstand with a seating capacity of at least 8,000
8people, at least one exhibition hall greater than 100,000 square
9feet, and at least four exhibition halls, each greater than 30,000
10square feet, located in the City of Pomona or the City of La Verne
11in Los Angeles County.

12(K) An outdoor soccer stadium with a fixed seating capacity of
13at least 25,000 seats, an outdoor tennis stadium with a fixed
14capacity of at least 7,000 seats, an outdoor track and field facility
15with a fixed seating capacity of at least 7,000 seats, and an indoor
16velodrome with a fixed seating capacity of at least 2,000 seats, all
17located within a sports and athletic complex built before January
181, 2005, within the City of Carson in Los Angeles County.

19(L) An outdoor professional sports facility with a fixed seating
20capacity of at least 4,200 seats located within San Joaquin County.

21(M) A fully enclosed arena with a fixed seating capacity in
22excess of 13,000 seats in the City of Inglewood.

23(N) (i) An outdoor stadium with a fixed seating capacity of at
24least 68,000 seats located in the City of Santa Clara.

25(ii) A beer manufacturer, the holder of a winegrower’s license,
26a distilled spirits rectifier, a distilled spirits manufacturer, or
27distilled spirits manufacturer’s agent may purchase advertising
28space and time from, or on behalf of, a major tenant of an outdoor
29stadium described in clause (i), provided the major tenant does not
30hold a retail license, and the advertising may include the placement
31of advertising in an on-sale licensed premises operated at the
32outdoor stadium.

33(2) The outdoor stadium or fully enclosed arena described in
34paragraph (1) is not owned by a community college district.

35(3) The advertising space or time is purchased only in connection
36with the events to be held on the premises of the exposition park,
37stadium, or arena owned by the on-sale licensee. With respect to
38an exposition park as described in subparagraph (J) of paragraph
39(1) that includes at least one hotel, the advertising space or time
40shall not be displayed on or in any hotel located in the exposition
P30   1park, or purchased in connection with the operation of any hotel
2located in the exposition park.

3(4) The on-sale licensee serves other brands of beer distributed
4by a competing beer wholesaler in addition to the brand
5manufactured or marketed by the beer manufacturer, other brands
6of wine distributed by a competing wine wholesaler in addition to
7the brand produced by the winegrower, and other brands of distilled
8spirits distributed by a competing distilled spirits wholesaler in
9addition to the brand manufactured or marketed by the distilled
10spirits rectifier, the distilled spiritsbegin delete manufacturerend deletebegin insert manufacturer,end insert or
11the distilled spirits manufacturer’s agent that purchased the
12advertising space or time.

13(b) Any purchase of advertising space or time pursuant to
14subdivision (a) shall be conducted pursuant to a written contract
15entered into by the beer manufacturer, the holder of the
16winegrower’s license, the distilled spirits rectifier, the distilled
17spirits manufacturer, or the distilled spirits manufacturer’s agent
18and the on-sale licensee, or with respect to clause (ii) of
19subparagraph (N) of paragraph (1) of subdivision (a), the major
20tenant of the outdoor stadium.

21(c) Any beer manufacturer or holder of a winegrower’s license,
22any distilled spirits rectifier, any distilled spirits manufacturer, or
23any distilled spirits manufacturer’s agent who, through coercion
24or other illegal means, induces, directly or indirectly, a holder of
25a wholesaler’s license to fulfill all or part of those contractual
26obligations entered into pursuant to subdivision (a) or (b) shall be
27guilty of a misdemeanor and shall be punished by imprisonment
28in the county jail not exceeding six months, or by a fine in an
29amount equal to the entire value of the advertising space, time, or
30costs involved in the contract, whichever is greater, plus ten
31thousand dollars ($10,000), or by both imprisonment and fine. The
32person shall also be subject to license revocation pursuant to
33Section 24200.

34(d) Any on-sale retail licensee, as described in subdivision (a),
35who, directly or indirectly, solicits or coerces a holder of a
36wholesaler’s license to solicit a beer manufacturer, a holder of a
37winegrower’s license, a distilled spirits rectifier, a distilled spirits
38manufacturer, or a distilled spirits manufacturer’s agent to purchase
39advertising space or time pursuant to subdivision (a) or (b) shall
40be guilty of a misdemeanor and shall be punished by imprisonment
P31   1in the county jail not exceeding six months, or by a fine in an
2amount equal to the entire value of the advertising space or time
3involved in the contract, whichever is greater, plus ten thousand
4dollars ($10,000), or by both imprisonment and fine. The person
5shall also be subject to license revocation pursuant to Section
624200.

7(e) For the purposes of this section, “beer manufacturer” includes
8any holder of a beer manufacturer’s license, any holder of an
9out-of-state beer manufacturer’s certificate, or any holder of a beer
10and wine importer’s general license.

11

SEC. 24.  

Section 25608 of the Business and Professions Code
12 is amended to read:

13

25608.  

(a) Every person who possesses, consumes, sells, gives,
14or delivers tobegin delete any other person, anyend deletebegin insert another person anend insert alcoholic
15beverage in or onbegin delete anyend deletebegin insert aend insert public schoolhouse orbegin delete any ofend delete the grounds
16of the schoolhouse, is guilty of a misdemeanor. This section does
17not, however, make it unlawful forbegin delete anyend deletebegin insert aend insert person to acquire, possess,
18or usebegin delete anyend deletebegin insert anend insert alcoholic beverage in or onbegin delete anyend deletebegin insert aend insert public schoolhouse,
19or onbegin delete anyend deletebegin insert theend insert grounds of the schoolhouse, if any of the following
20applies:

21(1) The alcoholic beverage possessed, consumed, or sold,
22pursuant to a license obtained under this division, is wine that is
23produced by a bonded winery owned or operated as part of an
24instructional program in viticulture and enology.

25(2) The alcoholic beverage is acquired, possessed, or used in
26connection with a course of instruction given at the school and the
27person has been authorized to acquire, possess, or use it by the
28governing body or other administrative head of the school.

29(3) The public schoolhouse is surplus school property and the
30grounds of the schoolhouse are leased to a lessee that is a general
31law city with a population of less than 50,000, or the public
32schoolhouse is surplus school property and the grounds of the
33schoolhouse are located in an unincorporated area and are leased
34to a lessee that is a civic organization, and the property is to be
35used for community center purposes and no public school education
36is to be conducted on the property by either the lessor or the lessee
37and the property is not being used by persons under the age of 21
38years for recreational purposes at any time during which alcoholic
39beverages are being sold or consumed on the premises.

P32   1(4) The alcoholic beverages are acquired, possessed, or used
2during events at a college-owned or college-operated veterans
3stadium with a capacity of over 12,000 people, located in a county
4with a population of over 6,000,000 people. As used in this
5paragraph, “events” mean football games sponsored by a college,
6other than a public community college, or other events sponsored
7by noncollege groups.

8(5) The alcoholic beverages are acquired, possessed, or used
9during an event not sponsored by any college at a performing arts
10facility built on property owned by a community college district
11and leased to a nonprofit organization that is a public benefit
12corporation formed under Part 2 (commencing with Section 5110)
13of Division 2 of Title 1 of the Corporations Code. As used in this
14paragraph, “performing arts facility” means an auditorium with
15more than 300 permanent seats.

16(6) The alcoholic beverage is wine for sacramental or other
17religious purposes and is used only during authorized religious
18services held on or before January 1, 1995.

19(7) The alcoholic beverages are acquired, possessed, or used
20during an event at a community center owned by a community
21services district or a city and the event is not held at a time when
22students are attending a public school-sponsored activity at the
23center.

24(8) The alcoholic beverage is wine that is acquired, possessed,
25or used during an event sponsored by a community college district
26or an organization operated for the benefit of the community
27college district where the college district maintains both an
28instructional program in viticulture on no less than five acres of
29land owned by the district and an instructional program in enology,
30which includes sales and marketing.

31(9) The alcoholic beverage is acquired, possessed, or used at a
32professional minor league baseball game conducted at the stadium
33of a community college located in a county with a population of
34less than 250,000 inhabitants, and the baseball game is conducted
35pursuant to a contract between the community college district and
36a professional sports organization.

37(10) The alcoholic beverages are acquired, possessed, or used
38during events at a college-owned or college-operated stadium or
39other facility. As used in this paragraph, “events” means fundraisers
40held to benefit a nonprofit corporation that has obtained a license
P33   1pursuant to this division for the event. “Events” does not include
2football games or other athletic contests sponsored by any college
3or public community college. This paragraphbegin delete shallend deletebegin insert doesend insert not apply
4to any public education facility in which any grade from
5kindergarten to grade 12, inclusive, is schooled.

6(11) The alcoholic beverages are possessed, consumed, or sold,
7pursuant to a license, permit, or authorization obtained under this
8division, for an event held at an overnight retreat facility owned
9and operated by a county office of education or a school district
10at times when pupils are not on the grounds.

11(12) The grounds of the public schoolhouse on which the
12alcoholic beverage is acquired, possessed, used, or consumed is
13property that has been developed and is used for residential
14facilities or housing that is offered for rent, lease, or sale
15exclusively to faculty or staff of a public school or community
16college.

17(13) The grounds of a public schoolhouse on which the alcoholic
18beverage is acquired, possessed, used, or consumed is property of
19a community college that is leased, licensed, or otherwise provided
20for use as a water conservation demonstration garden and
21community passive recreation resource by a joint powers agency
22comprised of public agencies, including the community college,
23and the event at which the alcoholic beverage is acquired,
24possessed, used, or consumed is conducted pursuant to a written
25policy adopted by the governing body of the joint powers agency
26and no public funds are used for the purchase or provision of the
27alcoholic beverage.

28(14) The alcoholic beverage is beer or wine acquired, possessed,
29used, sold, or consumed only in connection with a course of
30instruction, sponsored dinner, or meal demonstration given as part
31of a culinary arts program at a campus of a California community
32college and the person has been authorized to acquire, possess,
33use, sell, or consume the beer or wine by the governing body or
34other administrative head of the school.

35(15) The alcoholic beverages are possessed, consumed, or sold,
36pursuant to a license or permit obtained under this division for
37special events held at the facilities of a public community college
38during the special event. As used in this paragraph, “special event”
39means events that are held with the permission of the governing
40board of the community college district that are festivals, shows,
P34   1private parties, concerts, theatrical productions, and other events
2held on the premises of the public community college and for
3which the principal attendees are members of the general public
4or invited guests and not students of the public community college.

5(16) The alcoholic beverages are acquired, possessed, or used
6during an event at a community college-owned facility in which
7any grade from kindergarten to grade 12, inclusive, is schooled,
8if the event is held at a time when students in any grades from
9kindergarten to grade 12, inclusive, are not present at the facility.
10As used in this paragraph, “events” include fundraisers held to
11benefit a nonprofit corporation that has obtained a license pursuant
12to this division for the event.

13(17) The alcoholic beverages are acquired, possessed, used, or
14consumed pursuant to a license or permit obtained under this
15division for special events held at facilities owned and operated
16by an educational agency, a county office of education,
17superintendent of schools, school district, or community college
18district at a time when pupils are not on the grounds. As used in
19this paragraph, “facilities”begin delete includes,end deletebegin insert include,end insert but are not limited
20to, office complexes, conference centers, or retreat facilities.

21(b) Any person convicted of a violation of this section shall, in
22addition to the penalty imposed for the misdemeanor, be barred
23from having or receiving any privilege of the use of public school
24propertybegin delete whichend deletebegin insert thatend insert is accorded by Article 2 (commencing with
25Section 82537) of Chapter 8 of Part 49 of Division 7 of Title 3 the
26Education Code.

27

SEC. 25.  

Section 56.36 of the Civil Code is amended to read:

28

56.36.  

(a) begin deleteAny end deletebegin insertA end insertviolation of the provisions of this part that
29results in economic loss or personal injury to a patient is punishable
30as a misdemeanor.

31(b) In addition to any other remedies available at law,begin delete anyend deletebegin insert anend insert
32 individual may bring an action againstbegin delete anyend deletebegin insert aend insert person or entity who
33has negligently released confidential information or records
34concerning him or her in violation of this part, for either or both
35of the following:

36(1) Except as provided in subdivision (e), nominal damages of
37one thousand dollars ($1,000). In order to recover under this
38paragraph, itbegin delete shallend deletebegin insert isend insert notbegin delete beend delete necessary that the plaintiff suffered or
39was threatened with actual damages.

P35   1(2) The amount of actual damages, if any, sustained by the
2patient.

3(c) (1) In addition,begin delete anyend deletebegin insert aend insert person or entity that negligently
4discloses medical information in violation of the provisions of this
5part shall also be liable, irrespective of the amount of damages
6suffered by the patient as a result of that violation, for an
7administrative fine or civil penalty not to exceed two thousand
8five hundred dollars ($2,500) per violation.

9(2) (A) begin deleteAny end deletebegin insertA end insertperson or entity, other than a licensed health
10care professional, who knowingly and willfully obtains, discloses,
11or uses medical information in violation of this part shall be liable
12for an administrative fine or civil penalty not to exceed twenty-five
13thousand dollars ($25,000) per violation.

14(B) begin deleteAny end deletebegin insertA end insertlicensed health carebegin delete professional,end deletebegin insert professionalend insert who
15knowingly and willfully obtains, discloses, or uses medical
16information in violation of this part shall be liable on a first
17begin delete violation,end deletebegin insert violationend insert for an administrative fine or civil penalty not
18to exceed two thousand five hundred dollars ($2,500) per violation,
19begin delete orend delete on a second violation for an administrative fine or civil penalty
20not to exceed ten thousand dollars ($10,000) per violation, or on
21a third and subsequent violation for an administrative fine or civil
22penalty not to exceed twenty-five thousand dollars ($25,000) per
23violation.begin delete Nothing in thisend deletebegin insert Thisend insert subdivision shallbegin insert notend insert be construed
24to limit the liability of a health care service plan, a contractor, or
25a provider of health care that is not a licensed health care
26professional forbegin delete anyend deletebegin insert aend insert violation of this part.

27(3) (A) begin deleteAny end deletebegin insertA end insertperson or entity, other than a licensed health
28care professional, who knowingly or willfully obtains or uses
29medical information in violation of this part for the purpose of
30financial gain shall be liable for an administrative fine or civil
31penalty not to exceed two hundred fifty thousand dollars ($250,000)
32per violation and shall also be subject to disgorgement of any
33proceeds or other consideration obtained as a result of the violation.

34(B) begin deleteAny end deletebegin insertA end insertlicensed health carebegin delete professional,end deletebegin insert professionalend insert who
35knowingly and willfully obtains, discloses, or uses medical
36information in violation of this part for financial gain shall be liable
37on a firstbegin delete violation,end deletebegin insert violationend insert for an administrative fine or civil
38penalty not to exceed five thousand dollars ($5,000) per violation,
39begin delete orend delete on a second violation for an administrative fine or civil penalty
40not to exceed twenty-five thousand dollars ($25,000) per violation,
P36   1or on a third and subsequent violation for an administrative fine
2or civil penalty not to exceed two hundred fifty thousand dollars
3($250,000) per violation and shall also be subject to disgorgement
4of any proceeds or other consideration obtained as a result of the
5violation.begin delete Nothing in thisend deletebegin insert Thisend insert subdivision shallbegin insert notend insert be construed
6to limit the liability of a health care service plan, a contractor, or
7a provider of health care that is not a licensed health care
8professional for any violation of this part.

9(4) begin deleteNothing in this end deletebegin insertThis end insertsubdivision shallbegin insert notend insert be construed as
10authorizing an administrative fine or civil penalty under both
11paragraphs (2) and (3) for the same violation.

12(5) begin deleteAny end deletebegin insertA end insertperson or entity who is not permitted to receive
13 medical information pursuant to this part and who knowingly and
14willfully obtains, discloses, or uses medical information without
15written authorization from the patient shall be liable for a civil
16penalty not to exceed two hundred fifty thousand dollars ($250,000)
17per violation.

18(d) In assessing the amount of an administrative fine or civil
19penalty pursuant to subdivision (c), the State Department of Public
20Health, licensing agency, or certifying board or court shall consider
21anybegin delete one or moreend delete of the relevant circumstances presented by any
22of the parties to the case including, but not limited to, the following:

23(1) Whether the defendant has made a reasonable, good faith
24attempt to comply with this part.

25(2) The nature and seriousness of the misconduct.

26(3) The harm to the patient, enrollee, or subscriber.

27(4) The number of violations.

28(5) The persistence of the misconduct.

29(6) The length of time over which the misconduct occurred.

30(7) The willfulness of the defendant’s misconduct.

31(8) The defendant’s assets, liabilities, and net worth.

32(e) (1) In an action brought by an individual pursuant to
33subdivision (b) on or after January 1, 2013, in which the defendant
34establishes the affirmative defense in paragraph (2), the court shall
35award any actual damages and reasonable attorney’s fees and costs,
36butbegin delete mayend deletebegin insert shallend insert not award nominal damages for a violation of this
37part.

38(2) The defendant is entitled to an affirmative defense if all of
39the following are established, subject to the equitable
40considerations in paragraph (3):

P37   1(A) The defendant is a covered entity or business associate, as
2defined in Section 160.103 of Title 45 of the Code of Federal
3Regulations, in effect as of January 1, 2012.

4(B) The defendant has complied with any obligations to notify
5all persons entitled to receive notice regarding the release of the
6information or records.

7(C) The release of confidential information or records was solely
8to another covered entity or business associate.

9(D) The release of confidential information or records was not
10an incident of medical identity theft. For purposes of this
11subparagraph, “medical identity theft” means the use of an
12individual’s personal information, as defined in Section 1798.80,
13without the individual’s knowledge or consent, to obtain medical
14goods or services, or to submit false claims for medical services.

15(E) The defendant took appropriate preventive actions to protect
16the confidential information or records against release consistent
17with the defendant’s obligations under this part or other applicable
18state law and the Health Insurance Portability and Accountability
19Act of 1996 (Public Law 104-191) (HIPAA) and all HIPAA
20Administrative Simplification Regulations in effect on January 1,
212012, contained in Parts 160, 162, and 164 of Title 45 of the Code
22of Federalbegin delete Regulationsend deletebegin insert Regulations,end insert and Part 2 of Title 42 of the
23Code of Federal Regulations, including, but not limitedbegin delete to:end deletebegin insert to, all
24of the following:end insert

25(i) Developing and implementing security policies and
26procedures.

27(ii) Designating a security official who is responsible for
28developing and implementing its security policies and procedures,
29including educating and training the workforce.

30(iii) Encrypting the information or records, and protecting
31against the release or use of the encryption key and passwords, or
32transmitting the information or records in a manner designed to
33provide equal or greater protections against improper disclosures.

34(F) The defendant took reasonable and appropriate corrective
35action after the release of the confidential information or records,
36and the covered entity or business associate that received the
37confidential information or records destroyed or returned the
38confidential information or records in the most expedient time
39possible and without unreasonable delay, consistent with any
40measures necessary to determine the scope of the breach and restore
P38   1the reasonable integrity of the data system. A court may consider
2this subparagraph to be established if the defendant shows in detail
3that the covered entity or business associate could not destroy or
4return the confidential information or records because of the
5technology utilized.

6(G) The covered entity or business associate that received the
7confidential information or records, or any of its agents,
8 independent contractors, or employees, regardless of the scope of
9the employee’s employment, did not retain, use, or release the
10information or records.

11(H) After the release of the confidential information or records,
12the defendant took reasonable and appropriate action to prevent a
13future similar release of confidential information or records.

14(I) The defendant has not previously established an affirmative
15defense pursuant to this subdivision, or the court determines, in
16its discretion, that application of the affirmative defense is
17compelling and consistent with the purposes of this section to
18promote reasonable conduct in light of all the facts.

19(3) (A) In determining whether the affirmative defense may be
20established pursuant to paragraph (2), the court shall consider the
21equity of the situation, including, but not limited to, (i) whether
22the defendant has previously violated this part, regardless of
23whether an action has previously been brought, and (ii) the nature
24of the prior violation.

25(B) To the extent the court allows discovery to determine
26whether there has been any other violation of this part that the
27court will consider in balancing the equities, the defendant shall
28not provide any medical information, as defined in Section 56.05.
29The court, in its discretion, may enter a protective order prohibiting
30the further use of any personal information, as defined in Section
311798.80, about the individual whose medical information may
32have been disclosed in a prior violation.

33(4) In an action under this subdivision in which the defendant
34establishes the affirmative defense pursuant to paragraph (2), a
35plaintiff shall be entitled to recover reasonable attorney’s fees and
36costs without regard to an award of actual or nominal damages or
37the imposition of administrative fines or civil penalties.

38(5) In an action brought by an individual pursuant to subdivision
39(b) on or after January 1, 2013, in which the defendant establishes
40the affirmative defense pursuant to paragraph (2), a defendant shall
P39   1not be liable for more than one judgment on the merits under this
2subdivision for releases of confidential information or records
3arising out of the same event, transaction, or occurrence.

4(f) (1) The civil penalty pursuant to subdivision (c) shall be
5assessed and recovered in a civil action brought in the name of the
6people of the State of California in any court of competent
7jurisdiction by any of the following:

8(A) The Attorney General.

9(B) begin deleteAny end deletebegin insertA end insertdistrict attorney.

10(C) begin deleteAny end deletebegin insertA end insertcounty counsel authorized by agreement with the
11district attorney in actions involving violation of a county
12ordinance.

13(D) begin deleteAny end deletebegin insertA end insertcity attorney of a city.

14(E) begin deleteAny end deletebegin insertA end insertcity attorney of a city and county having a population
15in excess of 750,000, with the consent of the district attorney.

16(F) A city prosecutor inbegin delete anyend deletebegin insert aend insert city having a full-time city
17prosecutor or, with the consent of the district attorney, by a city
18attorney inbegin delete anyend deletebegin insert aend insert city and county.

19(G) The State Public Health Officer, or his or her designee, may
20recommend thatbegin delete anyend deletebegin insert aend insert person described in subparagraphs (A) to
21(F), inclusive, bring a civil action under this section.

22(2) If the action is brought by the Attorney General, one-half
23of the penalty collected shall be paid to the treasurer of the county
24in which the judgment was entered, and one-half to the General
25Fund. If the action is brought by a district attorney or county
26counsel, the penalty collected shall be paid to the treasurer of the
27county in which the judgment was entered. Except as provided in
28paragraph (3), if the action is brought by a city attorney or city
29prosecutor, one-half of the penalty collected shall be paid to the
30treasurer of the city in which the judgment was entered and one-half
31to the treasurer of the county in which the judgment was entered.

32(3) If the action is brought by a city attorney of a city and
33county, the entire amount of the penalty collected shall be paid to
34the treasurer of the city and county in which the judgment was
35entered.

36(4) begin deleteNothing in this end deletebegin insertThis end insertsection shallbegin insert notend insert be construed as
37authorizing both an administrative fine and civil penalty for the
38same violation.

P40   1(5) Imposition of a fine or penalty provided for in this section
2shall not preclude imposition ofbegin delete anyend delete other sanctions or remedies
3authorized by law.

4(6) Administrative fines or penalties issued pursuant to Section
51280.15 of the Health and Safety Code shall offset any other
6administrative fine or civil penalty imposed under this section for
7the same violation.

8(g) For purposes of this section, “knowing” and “willful” shall
9have the same meanings as in Section 7 of the Penal Code.

10(h) begin deleteNo end deletebegin insertA end insertperson who discloses protected medical information
11in accordance with the provisions of this partbegin delete shall beend deletebegin insert is notend insert subject
12to the penalty provisions of this part.

13

SEC. 26.  

Section 1936.5 of the Civil Code, as added by Section
141 of Chapter 406 of the Statutes of 2012, is repealed.

begin delete
15

1936.5.  

A “rental company” as defined in paragraph (1) of
16subdivision (a) of Section 1936 is not subject to the requirements
17of Section 14608 of the Vehicle Code if the rental is subject to the
18terms of a membership agreement that allows the renter to gain
19physical access to a car without a key through use of a code, use
20of a key card, or by other means that allow the car to be accessed
21at a remote location, or at a business location of the rental company
22outside of that location’s regular hours of operation.

end delete
23

SEC. 27.  

Section 2923.55 of the Civil Code, as amended by
24Section 14 of Chapter 76 of the Statutes of 2013, is repealed.

begin delete
25

2923.55.  

(a) A mortgage servicer, mortgagee, trustee,
26beneficiary, or authorized agent may not record a notice of default
27pursuant to Section 2924 until all of the following:

28(1) The mortgage servicer has satisfied the requirements of
29paragraph (1) of subdivision (b).

30(2) Either 30 days after initial contact is made as required by
31paragraph (2) of subdivision (b) or 30 days after satisfying the due
32diligence requirements as described in subdivision (f).

33(3) The mortgage servicer complies with subdivision (c) of
34Section 2923.6, if the borrower has provided a complete application
35as defined in subdivision (h) of Section 2923.6.

36(b) (1) As specified in subdivision (a), a mortgage servicer shall
37send the following information in writing to the borrower:

38(A) A statement that if the borrower is a servicemember or a
39dependent of a servicemember, he or she may be entitled to certain
40protections under the federal Servicemembers Civil Relief Act (50
P41   1U.S.C. Appen. Sec. 501 et seq.) regarding the servicemember’s
2interest rate and the risk of foreclosure, and counseling for covered
3servicemembers that is available at agencies such as Military
4OneSource and Armed Forces Legal Assistance.

5(B) A statement that the borrower may request the following:

6(i) A copy of the borrower’s promissory note or other evidence
7of indebtedness.

8(ii) A copy of the borrower’s deed of trust or mortgage.

9(iii) A copy of any assignment, if applicable, of the borrower’s
10mortgage or deed of trust required to demonstrate the right of the
11mortgage servicer to foreclose.

12(iv) A copy of the borrower’s payment history since the
13borrower was last less than 60 days past due.

14(2) A mortgage servicer shall contact the borrower in person or
15by telephone in order to assess the borrower’s financial situation
16and explore options for the borrower to avoid foreclosure. During
17the initial contact, the mortgage servicer shall advise the borrower
18that he or she has the right to request a subsequent meeting and,
19if requested, the mortgage servicer shall schedule the meeting to
20occur within 14 days. The assessment of the borrower’s financial
21situation and discussion of options may occur during the first
22contact, or at the subsequent meeting scheduled for that purpose.
23In either case, the borrower shall be provided the toll-free telephone
24number made available by the United States Department of
25Housing and Urban Development (HUD) to find a HUD-certified
26housing counseling agency. Any meeting may occur telephonically.

27(c) A notice of default recorded pursuant to Section 2924 shall
28include a declaration that the mortgage servicer has contacted the
29borrower, has tried with due diligence to contact the borrower as
30required by this section, or that no contact was required because
31the individual did not meet the definition of “borrower” pursuant
32to subdivision (c) of Section 2920.5.

33(d) A mortgage servicer’s loss mitigation personnel may
34participate by telephone during any contact required by this section.

35(e) A borrower may designate, with consent given in writing,
36a HUD-certified housing counseling agency, attorney, or other
37adviser to discuss with the mortgage servicer, on the borrower’s
38behalf, the borrower’s financial situation and options for the
39borrower to avoid foreclosure. That contact made at the direction
40of the borrower shall satisfy the contact requirements of paragraph
P42   1(2) of subdivision (b). Any foreclosure prevention alternative
2offered at the meeting by the mortgage servicer is subject to
3approval by the borrower.

4(f) A notice of default may be recorded pursuant to Section 2924
5when a mortgage servicer has not contacted a borrower as required
6by paragraph (2) of subdivision (b), provided that the failure to
7contact the borrower occurred despite the due diligence of the
8mortgage servicer. For purposes of this section, “due diligence”
9shall require and mean all of the following:

10(1) A mortgage servicer shall first attempt to contact a borrower
11by sending a first-class letter that includes the toll-free telephone
12number made available by HUD to find a HUD-certified housing
13counseling agency.

14(2) (A) After the letter has been sent, the mortgage servicer shall
15attempt to contact the borrower by telephone at least three times
16at different hours and on different days. Telephone calls shall be
17made to the primary telephone number on file.

18(B) A mortgage servicer may attempt to contact a borrower
19using an automated system to dial borrowers, provided that, if the
20telephone call is answered, the call is connected to a live
21representative of the mortgage servicer.

22(C) A mortgage servicer satisfies the telephone contact
23requirements of this paragraph if it determines, after attempting
24contact pursuant to this paragraph, that the borrower’s primary
25telephone number and secondary telephone number or numbers
26on file, if any, have been disconnected.

27(3) If the borrower does not respond within two weeks after the
28telephone call requirements of paragraph (2) have been satisfied,
29the mortgage servicer shall then send a certified letter, with return
30receipt requested, that includes the toll-free telephone number
31made available by HUD to find a HUD-certified housing
32counseling agency.

33(4) The mortgage servicer shall provide a means for the borrower
34to contact it in a timely manner, including a toll-free telephone
35number that will provide access to a live representative during
36business hours.

37(5) The mortgage servicer has posted a prominent link on the
38homepage of its Internet Web site, if any, to the following
39information:

P43   1(A) Options that may be available to borrowers who are unable
2to afford their mortgage payments and who wish to avoid
3foreclosure, and instructions to borrowers advising them on steps
4to take to explore those options.

5(B) A list of financial documents borrowers should collect and
6be prepared to present to the mortgage servicer when discussing
7options for avoiding foreclosure.

8(C) A toll-free telephone number for borrowers who wish to
9discuss options for avoiding foreclosure with their mortgage
10servicer.

11(D) The toll-free telephone number made available by HUD to
12find a HUD-certified housing counseling agency.

13(g) This section shall not apply to entities described in
14subdivision (b) of Section 2924.18.

15(h) This section shall apply only to mortgages or deeds of trust
16described in Section 2924.15.

17(i)  This section shall remain in effect only until January 1, 2018,
18and as of that date is repealed, unless a later enacted statute, that
19is enacted before January 1, 2018, deletes or extends that date.

end delete
20

SEC. 28.  

Section 2924.19 of the Civil Code, as amended by
21Section 10 of Chapter 401 of the Statutes of 2014, is repealed.

begin delete
22

2924.19.  

(a) (1) If a trustee’s deed upon sale has not been
23recorded, a borrower may bring an action for injunctive relief to
24enjoin a material violation of Section 2923.5, 2924.17, or 2924.18.

25(2) An injunction shall remain in place and any trustee’s sale
26shall be enjoined until the court determines that the mortgage
27servicer, mortgagee, beneficiary, or authorized agent has corrected
28and remedied the violation or violations giving rise to the action
29for injunctive relief. An enjoined entity may move to dissolve an
30injunction based on a showing that the material violation has been
31corrected and remedied.

32(b) After a trustee’s deed upon sale has been recorded, a
33mortgage servicer, mortgagee, beneficiary, or authorized agent
34shall be liable to a borrower for actual economic damages pursuant
35to Section 3281, resulting from a material violation of Section
362923.5, 2924.17, or 2924.18 by that mortgage servicer, mortgagee,
37beneficiary, or authorized agent where the violation was not
38corrected and remedied prior to the recordation of the trustee’s
39deed upon sale. If the court finds that the material violation was
40intentional or reckless, or resulted from willful misconduct by a
P44   1mortgage servicer, mortgagee, beneficiary, or authorized agent,
2the court may award the borrower the greater of treble actual
3damages or statutory damages of fifty thousand dollars ($50,000).

4(c) A mortgage servicer, mortgagee, beneficiary, or authorized
5agent shall not be liable for any violation that it has corrected and
6remedied prior to the recordation of the trustee’s deed upon sale,
7or that has been corrected and remedied by third parties working
8 on its behalf prior to the recordation of the trustee’s deed upon
9sale.

10(d) A violation of Section 2923.5, 2924.17, or 2924.18 by a
11person licensed by the Department of Business Oversight or the
12Bureau of Real Estate shall be deemed to be a violation of that
13person’s licensing law.

14(e) A violation of this article shall not affect the validity of a
15sale in favor of a bona fide purchaser and any of its encumbrancers
16for value without notice.

17(f) A third-party encumbrancer shall not be relieved of liability
18resulting from violations of Section 2923.5, 2924.17, or 2924.18,
19committed by that third-party encumbrancer, that occurred prior
20to the sale of the subject property to the bona fide purchaser.

21(g) The rights, remedies, and procedures provided by this section
22are in addition to and independent of any other rights, remedies,
23or procedures under any other law. Nothing in this section shall
24be construed to alter, limit, or negate any other rights, remedies,
25or procedures provided by law.

26(h) A court may award a prevailing borrower reasonable
27attorney’s fees and costs in an action brought pursuant to this
28section. A borrower shall be deemed to have prevailed for purposes
29of this subdivision if the borrower obtained injunctive relief or
30damages pursuant to this section.

31(i) This section shall apply only to entities described in
32subdivision (b) of Section 2924.18.

33(j)  This section shall remain in effect only until January 1, 2018,
34and as of that date is repealed, unless a later enacted statute, that
35is enacted before January 1, 2018, deletes or extends that date.

end delete
36

SEC. 29.  

Section 2924.20 of the Civil Code, as amended by
37Section 12 of Chapter 401 of the Statutes of 2014, is repealed.

begin delete
38

2924.20.  

Consistent with their general regulatory authority,
39and notwithstanding subdivisions (b) and (c) of Section 2924.18,
40the Department of Business Oversight and the Bureau of Real
P45   1Estate may adopt regulations applicable to any entity or person
2under their respective jurisdictions that are necessary to carry out
3the purposes of the act that added this section. A violation of the
4regulations adopted pursuant to this section shall only be
5enforceable by the regulatory agency.

end delete
6

SEC. 30.  

Section 2934a of the Civil Code, as amended by
7Section 1 of Chapter 839 of the Statutes of 1996, is repealed.

begin delete
8

2934a.  

(a) (1) The trustee under a trust deed upon real property
9or an estate for years therein given to secure an obligation to pay
10money and conferring no other duties upon the trustee than those
11which are incidental to the exercise of the power of sale therein
12conferred, may be substituted by the recording in the county in
13which the property is located of a substitution executed and
14acknowledged by: (A) all of the beneficiaries under the trust deed,
15or their successors in interest, and the substitution shall be effective
16notwithstanding any contrary provision in any trust deed executed
17on or after January 1, 1968; or (B) the holders of more than 50
18percent of the record beneficial interest of a series of notes secured
19by the same real property or of undivided interests in a note secured
20by real property equivalent to a series transaction, exclusive of
21any notes or interests of a licensed real estate broker that is the
22issuer or servicer of the notes or interests or of any affiliate of that
23licensed real estate broker.

24(2) A substitution executed pursuant to subparagraph (B) of
25paragraph (1) is not effective unless all the parties signing the
26substitution sign, under penalty of perjury, a separate written
27document stating the following:

28(A) The substitution has been signed pursuant to subparagraph
29(B) of paragraph (1).

30(B) None of the undersigned is a licensed real estate broker or
31an affiliate of the broker that is the issuer or servicer of the
32obligation secured by the deed of trust.

33(C) The undersigned together hold more than 50 percent of the
34record beneficial interest of a series of notes secured by the same
35real property or of undivided interests in a note secured by real
36property equivalent to a series transaction.

37(D) Notice of the substitution was sent by certified mail, postage
38prepaid, with return receipt requested to each holder of an interest
39in the obligation secured by the deed of trust who has not joined
40in the execution of the substitution or the separate document.

P46   1The separate document shall be attached to the substitution and
2be recorded in the office of the county recorder of each county in
3which the real property described in the deed of trust is located.
4Once the document required by this paragraph is recorded, it shall
5constitute conclusive evidence of compliance with the requirements
6of this paragraph in favor of substituted trustees acting pursuant
7to this section, subsequent assignees of the obligation secured by
8the deed of trust, and subsequent bona fide purchasers or
9encumbrancers for value of the real property described therein.

10(3) For purposes of this section, “affiliate of the licensed real
11estate broker” includes any person as defined in Section 25013 of
12the Corporations Code that is controlled by, or is under common
13control with, or who controls, a licensed real estate broker.
14“Control” means the possession, direct or indirect, of the power
15to direct or cause the direction of management and policies.

16(4) The substitution shall contain the date of recordation of the
17trust deed, the name of the trustor, the book and page or instrument
18number where the trust deed is recorded, and the name of the new
19trustee. From the time the substitution is filed for record, the new
20trustee shall succeed to all the powers, duties, authority, and title
21granted and delegated to the trustee named in the deed of trust. A
22substitution may be accomplished, with respect to multiple deeds
23of trust which are recorded in the same county in which the
24substitution is being recorded and which all have the same trustee
25and beneficiary or beneficiaries, by recording a single document,
26complying with the requirements of this section, substituting
27trustees for all those deeds of trust.

28(b) If the substitution is effected after a notice of default has
29been recorded but prior to the recording of the notice of sale, the
30beneficiary or beneficiaries shall cause a copy of the substitution
31to be mailed, prior to the recording thereof, in the manner provided
32in Section 2924b, to the trustee then of record and to all persons
33to whom a copy of the notice of default would be required to be
34mailed by the provisions of Section 2924b. An affidavit shall be
35attached to the substitution that notice has been given to those
36persons and in the manner required by this subdivision.

37(c) Notwithstanding any provision of this section or any
38provision in any deed of trust, unless a new notice of sale
39containing the name, street address, and telephone number of the
P47   1substituted trustee is given pursuant to Section 2924f, any sale
2conducted by the substituted trustee shall be void.

3(d) This section shall remain in effect only until January 1, 1998,
4and shall have no force or effect after that date, unless a later
5enacted statute, which is enacted before January 1, 1998, deletes
6or extends that date.

end delete
7

SEC. 31.  

Title 17 (commencing with Section 3272) of Part 4
8of Division 3 of the Civil Code, as added by Section 2 of Chapter
9698 of the Statutes of 1999, is repealed.

10

SEC. 32.  

Section 3486 of the Civil Code is amended to read:

11

3486.  

(a) To abate the nuisance caused by illegal conduct
12involving a controlled substance purpose on real property, the city
13prosecutor or city attorney may file, in the name of the people, an
14action for unlawful detainer against any person who is in violation
15of the nuisance or illegal purpose provisions of subdivision 4 of
16Section 1161 of the Code of Civil Procedure, with respect to that
17controlled substance purpose. In filing this action, which shall be
18based upon an arrest report by a law enforcement agency, reporting
19an offense committed on the property and documented by the
20observations of a police officer, the city prosecutor or city attorney
21shall use the procedures set forth in Chapter 4 (commencing with
22Section 1159) of Title 3 of Part 3 of the Code of Civil Procedure,
23except that in cases filed under this section, the following also
24shall apply:

25(1) (A) Prior to filing an action pursuant to this section, the city
26prosecutor or city attorney shall give 30 calendar days’ written
27notice to the owner, requiring the owner to file an action for the
28removal of the person who is in violation of the nuisance or illegal
29purpose provisions of subdivision 4 of Section 1161 of the Code
30of Civil Procedure with respect to a controlled substance purpose.

31(B) This notice shall include sufficient documentation
32establishing a violation of the nuisance or illegal purpose provisions
33of subdivision 4 of Section 1161 of the Code of Civil Procedure
34and an advisement to the owner of the assignment provision
35contained in subparagraph (D). The notice shall be served upon
36the owner and the tenant in accordance with subdivision (e).

37(C) The notice to the tenant shall, in at least 14-point bold type,
38meet the following requirements:

39(i) The notice shall contain the following language:

40

P48   1“(Date)

2

3(Name of tenant)

4(Address of tenant)

5

6Re: Civil Code Section 3486

7

8Dear (name of tenant):

9

10This letter is to inform you that an eviction action may soon be
11filed in court against you for suspected drug activity. According
12to state law, Civil Code Section 3486 provides for eviction of
13persons engaging in such conduct, as described below.

14

15(Name of police department) records indicate that you, (name
16of arrestee), were arrested on (date) for violations of (list violations)
17on (address of property).

18

19A letter has been sent to the property owner(s) advising of your
20arrest and the requirements of state law, as well as the landlord’s
21option to assign the unlawful detainer action to the (name of city
22attorney or prosecutor’s office).

23

24A list of legal assistance providers is provided below. Please
25note, this list is not exclusive and is provided for your information
26only; the (name of city attorney or prosecutor’s office) does not
27endorse or recommend any of the listed agencies.

28

29Sincerely,

30

31(Name of deputy city attorney or city prosecutor)

32Deputy City (Attorney or Prosecutor)

33

34Notice to Tenant: This notice is not a notice of eviction. You
35should call (name of the city attorney or prosecutor pursuing the
36action) at (telephone number) or a legal assistance provider to stop
37the eviction action if any of the following is applicable:

38(1) You are not the person named in this notice.

39(2) The person named in the notice does not live with you.

40(3) The person named in the notice has permanently moved.

P49   1(4) You do not know the person named in the notice.

2(5) You want to request that only the person involved in the
3nuisance be evicted, allowing the other residents to stay.

4(6) You have any other legal defense or legal reason to stop the
5eviction action.

6A list of legal assistance providers is attached to this notice.
7Some provide free legal assistance if you are eligible.”

8

9(ii) The notice shall be provided to the tenant in English and,
10as translated, in all of the languages identified in subdivision (a)
11of Section 1632 of the Civil Code.

12(D) The owner shall, within 30 calendar days of the mailing of
13the written notice, either provide the city prosecutor or city attorney
14with all relevant information pertaining to the unlawful detainer
15case, or provide a written explanation setting forth any
16safety-related reasons for noncompliance, and an assignment to
17the city prosecutor or city attorney of the right to bring an unlawful
18detainer action against the tenant.

19(E) The assignment shall be on a form provided by the city
20prosecutor or city attorney and may contain a provision for costs
21of investigation, discovery, and reasonable attorney’s fees, in an
22amount not to exceed six hundred dollars ($600). An owner shall
23only be required to pay the costs or fees upon acceptance of the
24assignment and the filing of the action for unlawful detainer by
25the city prosecutor or city attorney.

26(F) If the city prosecutor or city attorney accepts the assignment
27of the right of the owner to bring the unlawful detainer action, the
28owner shall retain all other rights and duties, including the handling
29of the tenant’s personal property, following issuance of the writ
30of possession and its delivery to and execution by the appropriate
31agency.

32(2) Upon the failure of the owner to file an action pursuant to
33this section, or to respond to the city prosecutor or city attorney
34as provided in paragraph (1), or having filed an action, if the owner
35fails to prosecute it diligently and in good faith, the city prosecutor
36or city attorney may file and prosecute the action, and join the
37owner as a defendant in the action. This action shall have
38precedence over any similar proceeding thereafter brought by the
39owner, or to one previously brought by the owner and not
40prosecuted diligently and in good faith. Service of the summons
P50   1and complaint upon the defendant owner shall be in accordance
2with Sections 415.10, 415.20, 415.30, 415.40, and 415.50 of the
3Code of Civil Procedure.

4(3) If a jury or court finds the defendant tenant guilty of unlawful
5detainer in a case filed pursuant to paragraph (2), the city
6prosecutor or city attorney may be awarded costs, including the
7costs of investigation and discovery and reasonable attorney’s fees.
8These costs shall be assessed against the defendant owner, to whom
9notice was directed pursuant to paragraph (1), and once an abstract
10of judgment is recorded, it shall constitute a lien on the subject
11real property.

12(4) begin deleteNothing in this section shall end deletebegin insertThis section does not end insertprevent
13a local governing body from adopting and enforcing laws,
14consistent with this article, relating to drug abatement.begin delete Whereend deletebegin insert Ifend insert
15 local laws duplicate or supplement this section, this section shall
16be construed as providing alternative remedies and not preempting
17the field.

18(5) begin deleteNothing in this section shall end deletebegin insertThis section does not end insertprevent
19a tenant from receiving relief against a forfeiture of a lease pursuant
20to Section 1179 of the Code of Civil Procedure.

21(b) In any proceeding brought under this section, the court may,
22upon a showing of good cause, issue a partial eviction ordering
23the removal of any person, including, but not limited to, members
24of the tenant’s household if the court finds that the person has
25engaged in the activities described in subdivision (a). Persons
26removed pursuant to this section may be permanently barred from
27returning to or reentering any portion of the entire premises. The
28court may further order as an express condition of the tenancy that
29the remaining tenants shall not give permission to or invite any
30person who has been removed pursuant to this subdivision to return
31to or reenter any portion of the entire premises.

32(c) For the purposes of this section, “controlled substance
33purpose” means the manufacture, cultivation, importation into the
34state, transportation, possession, possession for sale, sale,
35furnishing, administering, or giving away, or providing a place to
36use or fortification of a place involving, cocaine, phencyclidine,
37heroin, methamphetamine, or any other controlled substance, in a
38violation of subdivision (a) of Section 11350, Section 11351,
3911351.5, 11352, or 11359, subdivision (a) of Section 11360, or
P51   1Section 11366, 11366.6, 11377, 11378, 11378.5, 11379, 11379.5,
211379.6, or 11383 of the Health and Safety Code.

3(d) Notwithstanding subdivision (b) of Section 68097.2 of the
4Government Code, a public entity may waive all or part of the
5costs incurred in furnishing the testimony of a peace officer in an
6unlawful detainer action brought pursuant to this section.

7(e) The notice and documentation described in paragraph (1)
8of subdivision (a) shall be given in writing and may be given either
9by personal delivery or by deposit in the United States mail in a
10sealed envelope, postage prepaid, addressed to the owner at the
11address known to the public entity giving the notice, or as shown
12on the last equalized assessment roll, if not known. Separate notice
13of not less than 30 calendar days and documentation shall be
14provided to the tenant in accordance with this subdivision. Service
15by mail shall be deemed to be completed at the time of deposit in
16the United States mail. Proof of giving the notice may be made by
17a declaration signed under penalty of perjury by any employee of
18the public entity which shows service in conformity with this
19section.

20(f) In an unlawful detainer action filed pursuant to this section,
21the court shall make one of the following orders:

22(1) If the grounds for an eviction have not been established
23pursuant to this section, the court shall dismiss, without prejudice,
24the unlawful detainer action.

25(2) If the grounds for an eviction have been established pursuant
26to this section, the court shall do either of the following:

27(A) Order that the tenant and all occupants be immediately
28evicted from the property.

29(B) Dismiss the unlawful detainer action with or without
30prejudice or stay execution of an eviction order for a reasonable
31length of time if the tenant establishes by clear and convincing
32evidence that the immediate eviction would pose an extreme
33hardship to the tenant and that this hardship outweighs the health,
34safety, or welfare of the neighbors or surrounding community.
35However, the courtbegin delete mayend deletebegin insert shallend insert not find an extreme hardship solely
36on the basisbegin delete onend deletebegin insert ofend insert an economic hardship or the financial inability
37of the tenant to pay for and secure other housing or lodging
38accommodations.

39(3) If the grounds for a partial eviction have been established
40pursuant to subdivision (b), the court shall order that those persons
P52   1be immediately removed and barred from the property, but the
2courtbegin delete mayend deletebegin insert shallend insert not order the tenancy be terminated.

3(g) This sectionbegin delete shall applyend deletebegin insert appliesend insert only in the County of Los
4Angeles tobegin delete anyend deletebegin insert aend insert court having jurisdiction over unlawful detainer
5cases involving real property situated in the City of Los Angeles.

6(h) This section shall become operative on January 1, 2014,
7only if the City of Los Angeles has regularly reported to the
8California Research Bureau as required by this section as it read
9during the period from January 1, 2010, to January 1, 2014,
10inclusive. For purposes of this section, the City of Los Angeles
11shall be deemed to have complied with this reporting requirement
12if the 2013 report to the Legislature by the California Research
13Bureau indicates that the City of Los Angeles has regularly reported
14to the bureau.

15

SEC. 33.  

Section 5910 of the Civil Code is amended to read:

16

5910.  

A fair, reasonable, and expeditious dispute resolution
17procedurebegin delete shallend deletebegin insert shall,end insert at abegin delete minimumend deletebegin insert minimum,end insert satisfy all of the
18following requirements:

19(a) The procedure may be invoked by either party to the dispute.
20A request invoking the procedure shall be in writing.

21(b) The procedure shall provide for prompt deadlines. The
22procedure shall state the maximum time for the association to act
23on a request invoking the procedure.

24(c) If the procedure is invoked by a member, the association
25shall participate in the procedure.

26(d) If the procedure is invoked by the association, the member
27may elect not to participate in the procedure. If the member
28participates but the dispute is resolved other than by agreement of
29the member, the member shall have a right of appeal to the board.

30(e) A written resolution, signed by both parties, of a dispute
31pursuant to the procedure that is not in conflict with the law or the
32governing documents binds the association and is judicially
33enforceable. A written agreement, signed by both parties, reached
34pursuant to the procedure that is not in conflict with the law or the
35governing documents binds the parties and is judicially enforceable.

36(f) The procedure shall provide a means by which the member
37and the association may explain their positions. The member and
38association may be assisted by an attorney or another person in
39explaining their positions at their own cost.

P53   1(g) A member of the association shall not be charged a fee to
2participate in the process.

3

SEC. 34.  

Section 5915 of the Civil Code is amended to read:

4

5915.  

(a) This section applies to an association that does not
5otherwise provide a fair, reasonable, and expeditious dispute
6resolution procedure. The procedure provided in this section is
7fair, reasonable, andbegin delete expeditious,end deletebegin insert expeditiousend insert within the meaning
8of this article.

9(b) Either party to a dispute within the scope of this article may
10invoke the following procedure:

11(1) The party may request the other party to meet and confer in
12an effort to resolve the dispute. The request shall be in writing.

13(2) A member of an association may refuse a request to meet
14and confer. The associationbegin delete mayend deletebegin insert shallend insert not refuse a request to meet
15and confer.

16(3) The board shall designate a director to meet and confer.

17(4) The parties shall meet promptly at a mutually convenient
18time and place, explain their positions to each other, and confer
19in good faith in an effort to resolve the dispute. The parties may
20be assisted by an attorney or another person at their own cost when
21conferring.

22(5) A resolution of the dispute agreed to by the parties shall be
23memorialized in writing and signed by the parties, including the
24board designee on behalf of the association.

25(c) A written agreement reached under this section binds the
26parties and is judicially enforceable if it is signed by both parties
27and both of the following conditions are satisfied:

28(1) The agreement is not in conflict with law or the governing
29documents of the common interest development or association.

30(2) The agreement is either consistent with the authority granted
31by the board to its designee or the agreement is ratified by the
32board.

33(d) A member shall not be charged a fee to participate in the
34process.

35

SEC. 35.  

Section 116.222 of the Code of Civil Procedure, as
36added by Section 3 of Chapter 600 of the Statutes of 2005, is
37repealed.

begin delete
38

116.222.  

If the action is to enforce the payment of a debt, the
39statement of calculation of liability shall separately state the
40original debt, each payment credited to the debt, each fee and
P54   1charge added to the debt, each payment credited against those fees
2and charges, all other debits or charges to the account, and an
3explanation of the nature of those fees, charges, debits, and all
4other credits to the debt, by source and amount.

end delete
5

SEC. 36.  

The heading of Article 5 (commencing with Section
6142) of Chapter 6 of Title 1 of Part 1 of the Code of Civil
7Procedure
is repealed.

begin delete

8 

9Article 5.  Provisions Respecting Places of Holding Courts
10

 

end delete
11

SEC. 37.  

The heading of Chapter 1 (commencing with Section
12156) of Title 2 of Part 1 of the Code of Civil Procedure is repealed.

begin delete

13 

14Chapter  1. Judicial Officers in General
15

 

end delete
16

SEC. 38.  

Section 398 of the Code of Civil Procedure is
17amended to read:

18

398.  

begin deleteIf, for any cause, specified in subdivisions 2, 3 and 4 of
19section 397, the court orders the transfer of an action or proceeding,
20it must end delete
begin insert(a)end insertbegin insertend insertbegin insertIf a court orders the transfer of an action or proceeding
21for a cause specified in subdivisions (b), (c), and (d) of Section
22397, the action or proceeding shall end insert
be transferred to a court having
23jurisdiction of the subject matter of the actionbegin delete which the parties
24may agree upon,end delete
begin insert upon agreement of the partiesend insert by stipulation in
25writing, orbegin delete madeend delete in open court and entered in the minutes orbegin delete docket;
26or, if theyend delete
begin insert docket. If the partiesend insert do not so agree,begin delete thenend deletebegin insert the action or
27proceeding shall be transferredend insert
to the nearest or most accessible
28begin delete court,end deletebegin insert courtend insert where the like objection or cause for making the order
29does not exist.

begin delete

30If

end delete

31begin insert(b)end insertbegin insertend insertbegin insertIfend insert an action or proceeding is commenced in abegin delete court,end deletebegin insert courtend insert
32 other than one designated as a proper court for the trial thereof by
33the provisions of this title, and the samebegin delete beend deletebegin insert isend insert ordered transferred
34for that reason,begin delete it mustend deletebegin insert the action or proceeding shallend insert be transferred
35tobegin delete any suchend deletebegin insert aend insert proper courtbegin delete which the parties may agree upon by
36stipulation in writing, or made in open court and entered in the
37minutes or docket; ifend delete
begin insert upon agreement of the parties by stipulation
38in writing, or in open court and entered in the minutes or docket.
39Ifend insert
the parties do not so agree,begin delete then to any suchend deletebegin insert the action or
40proceeding shall be transferred to aend insert
proper court in the county in
P55   1which the action or proceeding was commenced which the
2defendant maybegin delete designate,end deletebegin insert designateend insert or, if therebegin delete beend deletebegin insert isend insert nobegin delete suchend delete proper
3court inbegin delete suchend deletebegin insert thatend insert county, tobegin delete any suchend deletebegin insert aend insert proper court, in a proper
4county, designated by thebegin delete defendant; if the parties do not so agree,
5andend delete
begin insert defendant. Ifend insert the defendant does notbegin delete soend delete designate thebegin delete court,end delete
6begin insert courtend insert as herein provided, orbegin delete whereend deletebegin insert ifend insert the court orders the transfer
7of an action on its own motion as provided in this title,begin insert the action
8or proceeding shall be transferredend insert
tobegin delete suchend deletebegin insert theend insert proper court as
9begin insert determined byend insert the court in which the action or proceeding is
10begin delete pending may determine.end deletebegin insert pending.end insert

begin delete

11The

end delete

12begin insert(c)end insertbegin insertend insertbegin insertTheend insert designation of the court by the defendantbegin delete, hereinend deletebegin insert asend insert
13 providedbegin delete for,end deletebegin insert for in subdivision (b),end insert may be made in the notice of
14motion for change of venue or in openbegin delete court,end deletebegin insert court andend insert entered in
15the minutes orbegin delete docket,end deletebegin insert docketend insert at the time the order for transfer is
16made.

17

SEC. 39.  

Section 629 of the Code of Civil Procedure is
18amended to read:

19

629.  

(a) The court, before the expiration of its power to rule
20on a motion for a new trial, either of its own motion, after five
21days’ notice, or on motion of a party against whom a verdict has
22been rendered, shall render judgment in favor of the aggrieved
23party notwithstanding the verdict whenever a motion for a directed
24verdict for the aggrieved party should have been granted had a
25previous motion been made.

26(b) A motion for judgment notwithstanding the verdict shall be
27made within the period specified by Section 659 for the filing and
28service of a notice of intention to move for a new trial. The moving,
29opposing, and reply briefs and any accompanying documents shall
30be filed and served within the periods specified by Sectionbegin delete 659aend delete
31begin insert 659a,end insert and the hearing on the motion shall be set in the same manner
32as the hearing on a motion for new trial under Section 660. The
33making of a motion for judgment notwithstanding the verdict shall
34not extend the time within which a party may file and serve notice
35of intention to move for a new trial. The court shall not rule upon
36the motion for judgment notwithstanding the verdict until the
37expiration of the time within which a motion for a new trial must
38be served and filed, and if a motion for a new trial has been filed
39with the court by the aggrieved party, the court shall rule upon
40both motions at the same time. The power of the court to rule on
P56   1a motion for judgment notwithstanding the verdict shall not extend
2beyond the last date upon which it has the power to rule on a
3motion for a new trial. If a motion for judgment notwithstanding
4the verdict is not determined before that date, the effect shall be a
5denial of that motion without further order of the court.

6(c) If the motion for judgment notwithstanding the verdict is
7denied and if a new trial is denied, the appellate court shall,begin delete whenend delete
8begin insert ifend insert it appears that the motion for judgment notwithstanding the
9verdict should have been granted, order judgment to be so entered
10on appeal from the judgment or from the order denying the motion
11for judgment notwithstanding the verdict.

12(d) If a new trial is granted to the party moving for judgment
13notwithstanding the verdict, and the motion for judgment
14notwithstanding the verdict is denied, the order denying the motion
15for judgment notwithstanding the verdict shall nevertheless be
16reviewable on appeal from that order by the aggrieved party. If
17the court grants the motion for judgment notwithstanding the
18verdict or of its own motion directs the entry of judgment
19notwithstanding the verdict and likewise grants the motion for a
20new trial, the order granting the new trial shall be effective only
21if, on appeal, the judgment notwithstanding the verdict is reversed,
22and the order granting a new trial is not appealed from or, if
23appealed from, is affirmed.

24

SEC. 40.  

Section 1277 of the Code of Civil Procedure is
25amended to read:

26

1277.  

(a) (1) If a proceeding for a change of name is
27commenced by the filing of a petition, except as provided in
28subdivisions (b), (c), and (e), the court shall thereupon make an
29order reciting the filing of the petition, the name of the person by
30whom it is filed, and the name proposed. The order shall direct all
31persons interested in the matter to appear before the court at a time
32and place specified, which shall be not less than 6 weeks nor more
33than 12 weeks from the time of making the order, unless the court
34orders a different time, to show cause why the application for
35change of name should not be granted. The order shall direct all
36persons interested in the matter to make known any objection that
37they may have to the granting of the petition for change of name
38by filing a written objection, which includes the reasons for the
39objection, with the court at least two court days before the matter
40is scheduled to be heard and by appearing in court at the hearing
P57   1to show cause why the petition for change of name should not be
2granted. The order shall state that, if no written objection is timely
3filed, the court may grant the petition without a hearing. If the
4petition seeks to conform the petitioner’s name to his or her gender
5identity and no objection is timely filed, the court shall grant the
6petition without a hearing.

7(2) A copy of the order to show cause shall be published
8pursuant to Section 6064 of the Government Code in a newspaper
9of general circulation to be designated in the order published in
10the county. Ifbegin delete noend deletebegin insert aend insert newspaper of general circulation isbegin insert notend insert published
11in the county, a copy of the order to show cause shall be posted
12by the clerk of the court in three of the most public places in the
13county in which the court is located, for a like period. Proof shall
14be made to the satisfaction of the court of this publication or
15begin delete posting,end deletebegin insert postingend insert at the time of the hearing of the application.

16(3) Four weekly publications shall be sufficient publication of
17the order to show cause. If the order is published in a daily
18newspaper, publication once a week for four successive weeks
19shall be sufficient.

20(4) If a petition has been filed for a minor by a parent and the
21other parent, if living, does not join in consenting thereto, the
22petitioner shall cause, not less than 30 daysbegin delete prior toend deletebegin insert beforeend insert the
23hearing, to be served notice of the time and place of the hearing
24or a copy of the order to show cause on the other parent pursuant
25to Section 413.10, 414.10, 415.10, or 415.40. If notice of the
26hearing cannot reasonably be accomplished pursuant to Section
27415.10 or 415.40, the court may order that notice be given in a
28manner that the court determines is reasonably calculated to give
29actual notice to the nonconsenting parent. In that case, if the court
30determines that notice by publication is reasonably calculated to
31give actual notice to the nonconsenting parent, the court may
32determine that publication of the order to show cause pursuant to
33this subdivision is sufficient notice to the nonconsenting parent.

34(5) If the petition for a change of name is sought in order to
35conform the petitioner’s name to his or her gender identity, the
36action for a change of name is exempt from the requirement for
37publication of the order to show cause under this subdivision.

38(b) (1) If the petition for a change of name alleges a reason or
39circumstance described in paragraph (2), and the petitioner has
40established that he or she is an active participant in the address
P58   1confidentiality program created pursuant to Chapter 3.1
2(commencing with Section 6205) of Division 7 of Title 1 of the
3Government Code, and that the name he or she is seeking to acquire
4is on file with the Secretary of State, the action for a change of
5name is exempt from the requirement for publication of the order
6to show cause under subdivision (a), and the petition and the order
7of the court shall, in lieu of reciting the proposed name, indicate
8that the proposed name is confidential and is on file with the
9Secretary of State pursuant to the provisions of the address
10confidentiality program.

11(2) The procedure described in paragraph (1) applies to petitions
12alleging any of the following reasons or circumstances:

13(A) To avoid domestic violence, as defined in Section 6211 of
14the Family Code.

15(B) To avoid stalking, as defined in Section 646.9 of the Penal
16Code.

17(C) The petitioner is, or is filing on behalf of, a victim of sexual
18assault, as defined in Section 1036.2 of the Evidence Code.

19(3) For any petition under this subdivision, the current legal
20name of the petitioner shall be kept confidential by the court and
21shall not be published or posted in the court’s calendars, indexes,
22or register of actions, as required by Article 7 (commencing with
23Section 69840) of Chapter 5 of Title 8 of the Government Code,
24or by any means or in any public forum, including a hardcopy or
25an electronic copy, or any other type of public media or display.

26(4) Notwithstanding paragraph (3), the court may, at the request
27of the petitioner, issue an order reciting the name of the petitioner
28at the time of the filing of the petition and the new legal name of
29the petitioner as a result of the court’s granting of the petition.

30(5) A petitioner may request that the court file the petition and
31any other papers associated with the proceeding under seal. The
32court may consider the request at the same time as the petition for
33name change, and may grant the request in any case in which the
34court finds that all of the following factors apply:

35(A) There exists an overriding interest that overcomes the right
36of public access to the record.

37(B) The overriding interest supports sealing the record.

38(C) A substantial probability exists that the overriding interest
39will be prejudiced if the record is not sealed.

40(D) The proposed order to seal the records is narrowly tailored.

P59   1(E) No less restrictive means exist to achieve the overriding
2interest.

3(c) A proceeding for a change of name for a witness participating
4in the state Witnessbegin delete Protectionend deletebegin insert Relocation and Assistanceend insert Program
5established by Title 7.5 (commencing with Section 14020) of Part
64 of the Penal Code who has been approved for the change of name
7by the program is exempt from the requirement for publication of
8the order to show cause under subdivision (a).

9(d) If an application for change of name is brought as part of
10an action under the Uniform Parentage Act (Part 3 (commencing
11with Section 7600) of Division 12 of the Family Code), whether
12as part of a petition or cross-complaint or as a separate order to
13show cause in a pending action thereunder, service of the
14application shall be made upon all other parties to the action in a
15like manner as prescribed for the service of a summons, as set forth
16in Article 3 (commencing with Section 415.10) of Chapter 4 of
17Title 5 of Part 2. Upon the setting of a hearing on the issue, notice
18of the hearing shall be given to all parties in the action in a like
19manner and within the time limits prescribed generally for the type
20of hearing (whether trial or order to show cause) at which the issue
21of the change of name is to be decided.

22(e) If a guardian files a petition to change the name of his or her
23minor ward pursuant to Section 1276:

24(1) The guardian shall provide notice of the hearing to any living
25parent of the minor by personal service at least 30 daysbegin delete prior toend delete
26begin insert beforeend insert the hearing.

27(2) If either or both parents are deceased or cannot be located,
28the guardian shall cause, not less than 30 daysbegin delete prior toend deletebegin insert beforeend insert the
29hearing, to be served a notice of the time and place of the hearing
30or a copy of the order to show cause on the child’s grandparents,
31if living, pursuant to Section 413.10, 414.10, 415.10, or 415.40.

32(f) This section shall become operative on July 1, 2014.

33

SEC. 41.  

Section 2030.010 of the Code of Civil Procedure is
34amended to read:

35

2030.010.  

(a) Any party may obtain discovery within the scope
36delimited bybegin delete Chaptersend deletebegin insert Chapterend insert 2 (commencing with Section
37begin delete 2017.010) and 3 (commencing with Section 2017.710),end deletebegin insert 2017.010),end insert
38 and subject to the restrictions set forth in Chapter 5 (commencing
39with Section 2019.010), by propounding to any other party to the
40action written interrogatories to be answered under oath.

P60   1(b) An interrogatory may relate to whether another party is
2making a certain contention, or to the facts, witnesses, and writings
3on which a contention is based. An interrogatory is not
4objectionable because an answer to it involves an opinion or
5contention that relates to fact or the application of law to fact, or
6would be based on information obtained or legal theories developed
7in anticipation of litigation or in preparation for trial.

8

SEC. 42.  

Section 9321.1 of the Commercial Code is amended
9to read:

10

9321.1.  

A licensee of nonexclusive rights in a motion picture
11that is produced pursuant to one or more collective bargaining
12agreements governed by the laws of the United States takes its
13nonexclusive license inbegin delete suchend deletebegin insert thatend insert motion picture subject to any
14perfected security interest securing the obligation to pay residuals
15as set forth in the applicable collective bargaining agreement and
16arising from exploitation underbegin delete suchend deletebegin insert theend insert license. The terms “motion
17picture” and “residuals” have the meaning ascribed tobegin delete suchend deletebegin insert thoseend insert
18 terms under the applicable collective bargaining agreements.

19

SEC. 43.  

The heading of Part 6 (commencing with Section
203601) of Division 3 of the Commercial Code is amended to read:

begin delete

21 

22PART 6.  [Chapter 6.] Discharge and Payment

23
24

 

end delete

24 

begin insert
25Chapter  begin insert6.end insert begin insertDischarge and Paymentend insert
end insert
26

 

27

SEC. 44.  

Section 5047 of the Corporations Code is amended
28to read:

29

5047.  

Exceptbegin delete whereend deletebegin insert asend insert otherwise expressly provided,
30“directors” means natural persons, designated in the articles or
31bylaws or elected by the incorporators, and their successors and
32natural persons designated,begin delete electedend deletebegin insert elected,end insert or appointed by any
33other name or title to act as members of the governing body of the
34corporation. If the articles or bylaws designate that a natural person
35is a director or a member of the governing body of the corporation
36by reason of occupying a specified position within the corporation
37or outside the corporation, without limiting that person’s right to
38vote as a member of the governing body, that person shall be a
39director for all purposes and shall have the same rights and
40obligations, including voting rights, as the other directors. A person
P61   1who does not have authority to vote as a member of the governing
2body of the corporation, is not a director as that term is used in
3this division regardless of title.

4

SEC. 45.  

Section 12637 of the Corporations Code, as added
5by Section 54 of Chapter 589 of the Statutes of 1996, is amended
6and renumbered to read:

7

begin delete12637.end delete
8begin insert12638.end insert  

(a) A corporation in the process of winding up may
9dispose of the known claims against it by following the procedure
10described in this section.

11(b) The written notice to known creditors and claimants required
12by subdivision (c) of Section 12633 shall comply with all of the
13following requirements:

14(1) Describe any information that must be included in a claim.

15(2) Provide a mailing address where a claim may be sent.

16(3) State the deadline, whichbegin delete mayend deletebegin insert shallend insert not be fewer than 120
17days from the effective date of the written notice, by which the
18corporation must receive the claim.

19(4) State that the claim will be barred if not received by the
20deadline.

21(c) A claim against the corporation is barred if any of the
22following occur:

23(1) A claimant who has been given the written notice under
24subdivision (b) does not deliver the claim to the corporation by
25the deadline.

26(2) A claimant whose claim was rejected by the corporation
27does not commence a proceeding to enforce the claim within 90
28days from the effective date of the rejection notice.

29(d) For purposes of this sectionbegin insert,end insert “claim” does not include a
30contingent liability or a claim based on an event occurring after
31the effective date of dissolution.

32

SEC. 46.  

Section 25620 of the Corporations Code is amended
33to read:

34

25620.  

(a) Notwithstanding any other law, the commissioner
35may by rule or order prescribe circumstances under which to accept
36electronic records or electronic signatures. This sectionbegin delete shallend deletebegin insert doesend insert
37 not require the commissioner to accept electronic records or
38electronic signatures.

39(b) For purposes of this section, the following terms have the
40following meanings:

P62   1(1) “Electronic record” means a record created, generated, sent,
2communicated, received, or stored by electronic means. “Electronic
3record” also includes, but is not limited to, all of the following:

4(A) An application, amendment, supplement, and exhibit, filed
5for any qualification, registration, order, permit, certificate, license,
6consent, or other authority.

7(B) A financial statement,begin delete reports,end deletebegin insert report,end insert or advertising.

8(C) An order, permit, certificate, license, consent, or other
9authority.

10(D) A notice of public hearing, accusation, and statement of
11issues in connection with any application, qualification,
12registration, order, permit, certificate, license, consent, or other
13authority.

14(E) A proposed decision of a hearing officer and a decision of
15the commissioner.

16(F) The transcripts of a hearing.

17(G) A release, newsletter, interpretive opinion, determination,
18or specific ruling.

19(H) Correspondence between a party and the commissioner
20directly relating to any document listed in subparagraphs (A) to
21(G), inclusive.

22(2) “Electronic signature” means an electronic sound, symbol,
23or process attached to or logically associated with an electronic
24record and executed or adopted by a person with the intent to sign
25the electronic record.

26(c) The Legislature finds and declares that the Department of
27Business Oversight has continuously implemented methods to
28accept records filed electronically, including broker-dealer and
29investment adviser applications, and is encouraged to continue to
30expand its use of electronic filings to the extent feasible, as budget,
31resources, and equipment are made available to accomplish that
32goal.

33

SEC. 47.  

Section 31116 of the Corporations Code is amended
34to read:

35

31116.  

(a) Except as provided in subdivision (b), if no stop
36order under Section 31115 is in effect under this law, registration
37of the offer of franchises automatically becomes effective at 12
38begin delete o’clock noon,end deletebegin insert p.m.,end insert California time, of the 30th business day after
39the filing of a complete application for registration or the last
P63   1preeffective amendment thereto, or atbegin delete suchend deletebegin insert anend insert earlier timebegin delete asend deletebegin insert thatend insert
2 the commissioner determines.

3(b) With respect to any application for registration or the last
4amendment thereto filed between January 1, 1971, and March 15,
51971, if no stop order under Section 31115 is in effect under this
6law, registration becomes effective on April 15, 1971; with respect
7to any application filed after March 15, 1971 and before May 10,
81971, if no stop order under Section 31115 is in effect under this
9law, registration becomes effective on June 1, 1971, or the 15th
10business day after the filing, whichever is the later, or atbegin delete suchend deletebegin insert anend insert
11 earlier timebegin delete asend deletebegin insert thatend insert the commissioner determines.

12(c) For purposes of this section, “complete application” means
13an application that contains the appropriate filing fee, Uniform
14Franchise Disclosure Document, and all additional exhibits,
15including financial statements in conformity with regulations of
16the commissioner. “Preeffective amendment” means an amendment
17to an application that is filed before the effective date of the
18registration of the sale of franchises.

19

SEC. 48.  

Section 31121 of the Corporations Code is amended
20to read:

21

31121.  

(a) The registration may be renewed for additional
22periods of one year each, unless the commissioner by rule or order
23specifies a different period, by submitting to the commissioner a
24renewal application before the expiration of the registration. If no
25stop order or other order under Section 31115 is in effect under
26this law, registration of the offer of the franchises automatically
27becomes renewed effective at 12begin delete o'clock noon,end deletebegin insert p.m.,end insert California
28time, of the 30th business day after the filing of a complete
29application for registration or the last preeffective amendment or
30atbegin delete suchend deletebegin insert anend insert earlier timebegin delete asend deletebegin insert thatend insert the commissioner determines.

31(b) For purposes of this section, “complete application” means
32an application that contains the appropriate filing fee, Uniform
33Franchise Disclosure Document, and all additional exhibits,
34including financial statements in conformity with regulations of
35the commissioner. “Preeffective amendment” means an amendment
36to an application that is filed before the effective date of the
37registration of the sale of franchises.

38

SEC. 49.  

Section 31158 of the Corporations Code is amended
39to read:

P64   1

31158.  

(a) Notwithstanding any other law, the commissioner
2may by rule or order prescribe circumstances under which to accept
3electronic records or electronic signatures. This sectionbegin delete shallend deletebegin insert doesend insert
4 not require the commissioner to accept electronic records or
5electronic signatures.

6(b) For purposes of this section, the following terms have the
7following meanings:

8(1) “Electronic record” means an initial registration application,
9registration renewal statement, preeffective amendment,
10posteffective amendment, or material modification and any other
11record created, generated, sent, communicated, received, or stored
12by electronic means. “Electronic record” also includes, but is not
13limited to, all of the following:

14(A) An application, amendment, supplement, and exhibit, filed
15for any registration, order, license, consent, or other authority.

16(B) A financial statement,begin delete reports,end deletebegin insert report,end insert or advertising.

17(C) An order, license, consent, or other authority.

18(D) A notice of public hearing, accusation, and statement of
19issues in connection with any application, registration, order,
20license, consent, or other authority.

21(E) A proposed decision of a hearing officer and a decision of
22the commissioner.

23(F) The transcripts of a hearing.

24(G) A release, newsletter, interpretive opinion, determination,
25or specific ruling.

26(H) Correspondence between a party and the commissioner
27directly relating to any document listed in subparagraphs (A) to
28(G), inclusive.

29(2) “Electronic signature” means an electronic sound, symbol,
30or process attached to or logically associated with an electronic
31record and executed or adopted by a person with the intent to sign
32the electronic record.

33(c) The Legislature finds and declares that the Department of
34Business Oversight has continuously implemented methods to
35accept records filed electronically, including broker-dealer and
36investment adviser applications, and is encouraged to continue to
37expand its use of electronic filings to the extent feasible, as budget,
38resources, and equipment are made available to accomplish that
39goal.

P65   1

SEC. 50.  

Section 1313 of the Education Code is amended to
2read:

3

1313.  

Each county employee whose status is changed by this
4article, and who is in employment and a member of a county
5retirement system other than one provided by contract with the
6begin delete Stateend deletebegin insert Publicend insert Employees’ Retirement System on the date ofbegin delete suchend delete
7begin insert theend insert change, shall become eligible for membership in thebegin delete Stateend delete
8begin insert Publicend insert Employees’ Retirement System in accordance with the
9begin delete Stateend deletebegin insert Publicend insert Employees’ Retirement Law with respect to hisbegin insert or
10herend insert
employment thereafter, and shall be subject to the reciprocal
11benefits provided by said systems; provided, thatbegin delete suchend deletebegin insert theend insert employee
12may elect to continue in membership ofbegin delete suchend deletebegin insert theend insert county retirement
13system with respect tobegin delete suchend deletebegin insert his or herend insert employment thereafter, in
14which event the same appropriations and transfers of funds shall
15be made to the retirement fund of the county system forbegin delete suchend deletebegin insert theend insert
16 employee as those required of the county under the county
17retirement law, andbegin delete suchend deletebegin insert theseend insert amounts shall be legal charges
18against the county school service fund. The election authorized by
19this section shall be made no later than the date preceding the date
20upon which his status is changed in accordance with procedures
21to be established by the board of supervisors, which shall allow at
22least 30 days to make the election. The election once madebegin delete mayend delete
23begin insert shallend insert not be rescinded. An employee who does not elect to continue
24membership in the county system shall be deemed to have
25discontinued county employment for purposes of the county system
26at the close of the day preceding the date upon which his status
27changes.

28

SEC. 51.  

Section 2575 of the Education Code is amended to
29read:

30

2575.  

(a) Commencing with the 2013-14 fiscal year and for
31each fiscal year thereafter, the Superintendent shall calculate a
32base entitlement for the transition to the county local control
33funding formula for each county superintendent of schools based
34on the sum of the amounts computed pursuant to paragraphs (1)
35to (3), inclusive, as adjusted pursuant to paragraph (4):

36(1) Revenue limits in the 2012-13 fiscal year pursuant to Article
373 (commencing with Section 2550) of Chapter 12, as that article
38read on January 1, 2013, adjusted only for changes in average daily
39attendance claimed by the county superintendent of schools for
40pupils identified in clauses (i), (ii), and (iii) of subparagraph (A)
P66   1of paragraph (4) of subdivision (c) of Section 2574 and for pupils
2attending juvenile court schools. For purposes of this paragraph,
3the calculation of an amount per unit of average daily attendance
4for pupils attending juvenile court schools shall be considered final
5for purposes of this section as of the annual apportionment for the
62012-13 fiscal year, as calculated for purposes of the certification
7required on or before February 20, 2014, pursuant to Sections
841332 and 41339. All other average daily attendance claimed by
9the county superintendent of schools and any other average daily
10attendance used for purposes of calculating revenue limits pursuant
11to Article 3 (commencing with Section 2550) of Chapter 12, as
12that article read on January 1, 2013, shall be considered final for
13purposes of this section as of the annual apportionment for the
142012-13 fiscal year, as calculated for purposes of the certification
15required on or before February 20, 2014, pursuant to Sections
1641332 and 41339.

17(2) The sum of all of the following:

18(A) The amount of funding received from appropriations
19contained in Section 2.00 of the Budget Act of 2012, as adjusted
20by Section 12.42, in the following items: 6110-104-0001,
216110-105-0001, 6110-107-0001, 6110-108-0001, 6110-111-0001,
226110-124-0001, 6110-128-0001, 6110-137-0001, 6110-144-0001,
236110-156-0001, 6110-181-0001, 6110-188-0001, 6110-189-0001,
246110-190-0001, 6110-193-0001, 6110-195-0001, 6110-198-0001,
256110-204-0001, 6110-208-0001, 6110-209-0001, 6110-211-0001,
266110-212-0001, 6110-227-0001, 6110-228-0001, 6110-232-0001,
276110-240-0001, 6110-242-0001, 6110-243-0001, 6110-244-0001,
286110-245-0001, 6110-246-0001, 6110-247-0001, 6110-248-0001,
296110-260-0001, 6110-265-0001, 6110-266-0001, 6110-267-0001,
306110-268-0001, and 6360-101-0001, 2012-13 fiscal year funding
31for the Class Size Reduction Program pursuant to Chapter 6.10
32(commencing with Section 52120) of Part 28 of Division 4 of Title
332, as that chapter read on January 1, 2013, and 2012-13 fiscal year
34funding for pupils enrolled in community day schools who are
35mandatorily expelled pursuant to subdivision (d) of Section 48915.
36For purposes of this subparagraph, the 2012-13 fiscal year
37appropriations described in this subparagraph shall be considered
38final as of the annual apportionment for the 2012-13 fiscal year,
39as calculated for purposes of the certification required on or before
40February 20, 2014, pursuant to Sections 41332 and 41339.

P67   1(B) The amount of local revenues used to support a regional
2occupational center or program established and maintained by a
3county superintendent of schools pursuant to Section 52301.

4(3) For the 2014-15 fiscal year and for each fiscal year
5thereafter, the sum of the amounts apportioned to the county
6superintendent of schools pursuant to subdivision (f) in all prior
7years.

8(4) The revenue limit amount determined pursuant to paragraph
9(1) shall be increased by the difference determined by subtracting
10the amount provided per unit of average daily attendance in
11paragraph (1) for pupils attending a school that is eligible for
12funding pursuant to paragraph (2) of subdivision (b) of Section
1342285 from the amount of funding that was provided to eligible
14schools in the 2012-13 fiscal year pursuant to Sections 42284 and
1542238.146, as those sections read on January 1, 2013.

16(b) The Superintendent shall annually compute a county local
17control funding formula transition adjustment for each county
18superintendent of schools as follows:

19(1) Subtract the amount computed pursuant to subdivision (a)
20from the amount computed pursuant to subdivision (e) of Section
212574. A difference of less than zero shall be deemed to be zero.

22(2) Divide the difference for each county superintendent of
23schools calculated pursuant to paragraph (1) by the total sum of
24the differences for all county superintendents of schools calculated
25pursuant to paragraph (1).

26(3) Multiply the proportion calculated for each county
27superintendent of schools pursuant to paragraph (2) by the amount
28of funding specifically appropriated for purposes of subdivision
29(f). The amount calculated shall not exceed the difference for the
30county superintendent of schools calculated pursuant to paragraph
31(1).

32(c) The Superintendent shall subtract from the amount calculated
33pursuant to subdivision (a) the sum of each of the following:

34(1) Local property tax revenues received pursuant to Section
352573 in the then current fiscal year.

36(2) Any amounts that the county superintendent of schools was
37required to maintain as restricted and not available for expenditure
38in the 1978-79 fiscal year as specified in the second paragraph of
39subdivision (c) of Section 6 of Chapter 292 of the Statutes of 1978,
40as amended by Chapter 51 of the Statutes of 1979.

P68   1(3) The amount received pursuant to subparagraph (C) of
2paragraph (3) of subdivision (a) of Section 33607.5 of the Health
3and Safety Code that is considered property taxes pursuant to that
4section.

5(4) The amount, if any, received pursuant to Sections 34177,
634179.5, 34179.6, 34183, and 34188 of the Health and Safety
7Code.

8(5) The amount, if any, received pursuant to subparagraph (B)
9of paragraph (3) of subdivision (e) of Section 36 of Article XIII
10of the California Constitution.

11(d) The Superintendent shall subtract from the amount computed
12pursuant to subdivision (e) of Section 2574 the sum of the amounts
13computed pursuant to paragraphs (1) to (5), inclusive, of
14subdivision (c).

15(e) The Superintendent shall annually apportion to each county
16superintendent of schools the amount calculated pursuant to
17subdivision (c) unless the amount computed pursuant to subdivision
18(c) is negative. If the amount computed is negative, except as
19provided in subdivision (f), an amount of property tax of the county
20superintendent of schools equal to the negative amount shall be
21deemed restricted and not available for expenditure during the
22fiscal year. In the following fiscal year, that amount, excluding
23any amount of funds used for purposes of subdivision (f), shall be
24considered restricted local property tax revenue for purposes of
25subdivision (a) of Section 2578. State aid shall not be apportioned
26to the county superintendent of schools pursuant to this subdivision
27if the amount computed pursuant to subdivision (c) is negative.

28(f) (1) The Superintendent shall apportion, from an
29appropriation specifically made for this purpose, the amount
30computed pursuant to subdivision (b), or, if the amount computed
31pursuant to subdivision (c) is negative, the sum of the amounts
32computed pursuant to subdivisions (b) and (c) if the sumbegin delete ifend deletebegin insert isend insert
33 greater than zero.

34(2) The Superintendent shall apportion any portion of the
35appropriation made for purposes of paragraph (1) that is not
36apportioned pursuant to paragraph (1) pursuant to the following
37calculation:

38(A) Add the amount calculated pursuant to subdivision (b) to
39the amount computed pursuant to subdivision (a) for a county
40superintendent of schools.

P69   1(B) Subtract the amount computed pursuant to subparagraph
2(A) from the amount computed pursuant to subdivision (e) of
3Section 2574 for the county superintendent of schools.

4(C) Divide the difference for the county superintendent of
5schools computed pursuant to subparagraph (B) by the sum of the
6differences for all county superintendents of schools computed
7pursuant to subparagraph (B).

8(D) Multiply the proportion computed pursuant to subparagraph
9(C) by the unapportioned balance in the appropriation. That product
10shall be the county superintendent of schools’ proportion of total
11need.

12(E) Apportion to each county superintendent of schools the
13amount calculated pursuant to subparagraph (D), or if subdivision
14(c) is negative, apportion the sums of subdivisions (b) and (c) and
15subparagraph (D) of this subdivision if the sum is greater than
16zero.

17(F) The Superintendent shall repeat the computation made
18pursuant to this paragraph, accounting for any additional amounts
19apportioned after each computation, until the appropriation made
20for purposes of paragraph (1) is fully apportioned.

21(G) The total amount apportioned pursuant to this subdivision
22to a county superintendent of schools shall not exceed the
23difference for the county superintendent of schools calculated
24pursuant to paragraph (1) of subdivision (b).

25(H) For purposes of this paragraph, the proportion of need that
26is funded from any appropriation made specifically for purposes
27of this subdivision in the then current fiscal year shall be considered
28fixed as of the second principal apportionment for that fiscal year.
29Adjustments to a county superintendent of schools’ total need
30computed pursuant to subparagraph (D) after the second principal
31apportionment for the then current fiscal year shall be funded based
32on the fixed proportion of need that is funded for that fiscal year
33pursuant to this subdivision, and shall be continuously appropriated
34pursuant to Section 14002.

35(g) (1) For a county superintendent of schools for whom, in the
362013-14 fiscal year, the amount computed pursuant to subdivision
37(c) is less than the amount computed pursuant to subdivision (d),
38in the first fiscal year following the fiscal year in which the sum
39of the apportionments computed pursuant to subdivisions (e) and
40(f) is equal to, or greater than, the amount computed pursuant to
P70   1subdivision (d) of this section, the Superintendent shall apportion
2to the county superintendent of schools the amount computed in
3subdivision (d) in that fiscal year and each fiscal year thereafter
4instead of the amounts computed pursuant to subdivisions (e) and
5(f).

6(2) For a county superintendent of schools for whom, in the
72013-14 fiscal year, the amount computed pursuant to subdivision
8(c) is greater than the amount computed pursuant to subdivision
9(d), in the first fiscal year in which the amount computed pursuant
10to subdivision (c) would be less than the amount computed pursuant
11to subdivision (d), the Superintendent shall apportion to the county
12superintendent of schools the amount computed in subdivision (d)
13in that fiscal year and each fiscal year thereafter instead of the
14amounts computed pursuant to subdivisions (e) and (f).

15(3) In each fiscal year, the Superintendent shall determine the
16percentage of county superintendents of schools that are
17apportioned funding that is less than the amount computed pursuant
18to subdivision (d), as of the second principal apportionment of the
19fiscal year. If the percentage is less than 10 percent, the
20Superintendent shall apportion to those county superintendents of
21schools funding equal to the amount computed in subdivision (d)
22in that fiscal year and for each fiscal year thereafter instead of the
23amounts calculated pursuant to subdivisions (e) and (f).

24(4) Commencing with the first fiscal year after the
25 apportionments in paragraph (3) are made, the adjustments in
26paragraph (4) of subdivision (a) of Section 2574 and subparagraph
27(B) of paragraph (1) of subdivision (c) of Section 2574 shall be
28made only if an appropriation for those purposes is included in the
29annual Budget Act.

30(5) If the calculation pursuant to subdivision (d) is negative and
31the Superintendent apportions to a county superintendent of schools
32the amount computed pursuant to subdivision (d) pursuant to
33paragraph (1), (2), or (3) of this subdivision, an amount of property
34tax of the county superintendent of schools equal to the negative
35amount shall be deemed restricted and not available for expenditure
36during that fiscal year. In the following fiscal year the restricted
37amount shall be considered restricted local property tax revenue
38for purposes of subdivision (a) of Section 2578.

39(h) Commencing with the 2013-14 fiscal year, the
40Superintendent shall apportion to a county superintendent of
P71   1schools an amount of state aid, including any amount apportioned
2pursuant to subdivisions (f) and (g), that isbegin delete noend deletebegin insert notend insert less than the
3amount calculated in subparagraph (A) of paragraph (2) of
4subdivision (a).

5(i) (1) For the 2013-14 and 2014-15 fiscal years only, a county
6superintendent of schools who, in the 2012-13 fiscal year, from
7any of the funding sources identified in paragraph (1) or (2) of
8subdivision (a), received funds on behalf of, or provided funds to,
9a regional occupational center or program joint powers agency
10established in accordance with Article 1 (commencing with Section
116500) of Chapter 5 of Division 7 of Title 1 of the Government
12Code for purposes of providing instruction to pupils enrolled in
13grades 9 to 12, inclusive, shall not redirect that funding for another
14purpose unless otherwise authorized by law or pursuant to an
15agreement between the regional occupational center or program
16joint powers agency and the contracting county superintendent of
17schools.

18(2) For the 2013-14 and 2014-15 fiscal years only, if a regional
19occupational center or program joint powers agency established
20in accordance with Article 1 (commencing with Section 6500) of
21Chapter 5 of Division 7 of Title 1 of the Government Code for
22purposes of providing instruction to pupils enrolled in grades 9 to
2312, inclusive, received, in the 2012-13 fiscal year, an
24apportionment of funds directly from any of the funding sources
25identified in subparagraph (A) of paragraph (2) of subdivision (a),
26the Superintendent shall apportion that same amount to the regional
27occupational center or program joint powers agency.

28(j) For the 2013-14 and 2014-15 fiscal years only, a county
29superintendent of schools who, in the 2012-13 fiscal year, from
30any of the funding sources identified in paragraph (1) or (2) of
31subdivision (a), received funds on behalf of, or provided funds to,
32a home-to-school transportation joint powers agency established
33in accordance with Article 1 (commencing with Section 6500) of
34Chapter 5 of Division 7 of Title 1 of the Government Code for
35purposes of providing pupil transportation shall not redirect that
36funding for another purpose unless otherwise authorized by law
37or pursuant to an agreement between the home-to-school
38transportation joint powers agency and the contracting county
39superintendent of schools.

P72   1(k) (1) In addition to subdivision (j), of the funds a county
2superintendent of schools receives for home-to-school
3transportation programs, the county superintendent of schools shall
4expend, pursuant to Article 2 (commencing with Section 39820)
5of Chapter 1 of Part 23.5 of Division 3 of Title 2, Article 10
6(commencing with Section 41850) of Chapter 5 of Part 24 of
7Division 3 of Title 2, and the Small School District Transportation
8program, as set forth in Article 4.5 (commencing with Section
942290) of Chapter 7 of Part 24 of Division 3 of Title 2, no less for
10those programs than the amount of funds the county superintendent
11of schools expended for home-to-school transportation in the
122012-13 fiscal year.

13(2) For the 2013-14 and 2014-15 fiscal years only, if a
14home-to-school transportation joint powers agency established in
15accordance with Article 1 (commencing with Section 6500) of
16Chapter 5 of Division 7 of Title 1 of the Government Code for
17purposes of providing pupil transportation received, in the 2012-13
18fiscal year, an apportionment of funds directly from the
19Superintendent from any of the funding sources identified in
20subparagraph (A) of paragraph (2) of subdivision (a), the
21Superintendent shall apportion that same amount to the
22home-to-school transportation joint powers agency.

23(3) For the 2013-14 and 2014-15 fiscal years only, of the funds
24a county superintendent of schools receives for purposes of regional
25occupational centers or programs, or adult education, the county
26superintendent of schools shall expend no less for each of those
27programs than the amount of funds the county superintendent of
28schools expended for purposes of regional occupational centers
29or programs, or adult education, respectively, in the 2012-13 fiscal
30year. For purposes of this paragraph, a county superintendent of
31schools may include expenditures made by a school district within
32the county for purposes of regional occupational centers or
33programs so long as the total amount of expenditures made by the
34school districts and the county superintendent of schools equals
35or exceeds the total amount required to be expended for purposes
36of regional occupational centers or programs pursuant to this
37paragraph and paragraph (7) of subdivision (a) of Section 42238.03.

38(l) The funds apportioned pursuant to this section and Section
392574 shall be available to implement the activities required
P73   1pursuant to Article 4.5 (commencing with Section 52060) of
2Chapter 6.1 of Part 28 of Division 4 of Title 2.

3

SEC. 52.  

Section 2577 of the Education Code is amended to
4read:

5

2577.  

Notwithstanding any other law, revenue limit funding
6for county superintendents of schools for the 2012-13 fiscal year
7and prior fiscal years shall continue to be adjusted pursuant to
8Article 3 (commencing with Section 2550) of Chapter 12, as that
9begin delete sectionend deletebegin insert articleend insert read on January 1, 2013.

10

SEC. 53.  

Section 8261 of the Education Code is amended to
11read:

12

8261.  

(a) The Superintendent shall adopt rules and regulations
13pursuant to this chapter. The rules and regulations shall include,
14but not be limited to, provisionsbegin delete whichend deletebegin insert thatend insert do all of the following:

15(1) Provide clear guidelines for the selection of agencies when
16child development contracts are let, including, but not limited to,
17specification that any agency headquartered in the proposed service
18area on January 1, 1985, will be given priority for a new contract
19in that area, unless the department makes a written determination
20that (A) the agency is not able to deliver the level of services
21specified in the request for proposal, or (B) the department has
22notified the agency that it is not in compliance with the terms of
23its contract.

24(2) Provide for a contract monitoring system to ensure that
25agencies expend funds received pursuant to this chapter in
26accordance with the provisions of their contracts.

27(3) Specify adequate standards of agency performance.

28(4) Establish reporting requirements for service reports,
29including provisions for varying the frequency with which these
30reports are to be submitted on the basis of agency performance.

31(5) Specify standards for withholding payments to agencies that
32fail to submit required fiscal reports.

33(6) Set forth standards for department site visits to contracting
34agencies, including, but not limited to, specification as to the
35purpose of the visits, the personnel that will perform these visits,
36and the frequency of these visits which shall be as frequently as
37staff and budget resources permit. By September 1 of each year,
38the department shall report to the Senate Education, Senate Health
39and Human Services, Assembly Education, and Assembly Human
P74   1Services Committees on the number of visits conducted during
2the previous fiscal year pursuant to this paragraph.

3(7) Authorize the department to develop a process that requires
4every contracting agency to recompete for continued funding no
5less frequently than every five years.

6(b) The Superintendent shall consult with the State Department
7of Social Services with respect to rules and regulations adopted
8relative to the disbursal of federal funds under Title XX of the
9federal Social Security Act.

10(c) For purposes of expediting the implementation of state or
11federal legislation to expand child care services, the Superintendent
12may waive (1) the regulations regarding the point qualifications
13for, and the process and scoring of, interviews of contract
14applicants pursuant to Section 18002 of Title 5 of the California
15Code of Regulations, or (2) the time limitations for scheduling and
16notification of appeal hearings and their results pursuant to Section
1718003 of Title 5 of the California Code of Regulations. The
18Superintendent shall ensure that the appeal hearings provided for
19in Section 18003 of Title 5 of the California Code of Regulations
20are conducted in a timely manner.

21(d) (1) Child care and development programs operated under
22contract from funds made available pursuant to the federal Child
23Care and Development Fund, shall be administered according to
24begin delete Divisionend deletebegin insert Chapterend insert 19 (commencing with Section 17906) ofbegin delete Chapterend delete
25begin insert Divisionend insert 1 of Title 5 of the California Code of Regulations, unless
26provisions of these regulations conflict with federal regulations.
27If state and federal regulations conflict, the federal regulations
28shall apply unless a waiver of federal regulations is authorized.

29(2) For purposes of this section, “Child Care and Development
30Fund” has the same meaning as in Section 98.2 of Title 45 of the
31Code of Federal Regulations.

32

SEC. 54.  

Section 8273.1 of the Education Code is amended to
33read:

34

8273.1.  

(a) Families receiving services pursuant to
35subparagraph (B) of paragraph (1) of subdivision (b) of Section
368263 may be exempt from family fees for up to three months.

37(b) Families receiving services pursuant to subparagraph (C) of
38paragraph (1) of subdivision (b) of Section 8263 may be exempt
39from family fees for up to 12 months.

P75   1(c) The cumulative periodbegin insert ofend insert time of exemption from family
2fees for families receiving services pursuant to paragraph (1) of
3subdivision (b) of Section 8263 shall not exceed 12 months.

4(d) Notwithstanding any other law, a family receiving
5CalWORKs cash aid shall not be charged a family fee.

6(e) Notwithstanding any other law, commencing with the
72014-15 fiscal year, family fees shall not be assessed for the
8part-day California preschool program to income eligible families
9whose children are enrolled in that program pursuant to Article 7
10(commencing with Section 8235).

11

SEC. 55.  

Section 8350.5 of the Education Code, as added by
12Section 3 of Chapter 329 of the Statutes of 1998, is repealed.

begin delete
13

8350.5.  

Current CalWORKs recipients are eligible for all child
14care services under this article as long as they continue to receive
15aid under Chapter 2 (commencing with Section 11200) of Part 3
16of Division 9 of the Welfare and Institutions Code, or any successor
17program. Family size and income, for purposes of calculating
18family fees, shall be determined pursuant to Section 8263.

end delete
19

SEC. 56.  

Section 8363.1 of the Education Code is amended to
20read:

21

8363.1.  

(a) On orbegin delete before,end deletebegin insert beforeend insert July 1, 2016, the Commission
22on Teacher Credentialing shall review, and update if appropriate,
23the requirements for the issuance and renewal of permits
24authorizing service in the care, development, and instruction of
25children in child care and development programs and permits
26authorizing supervision of a child care and development program.

27(b) This section shall remain in effect only until January 1, 2017,
28and as of that date is repealed, unless a later enacted statute, that
29is enacted before January 1, 2017, deletes or extends that date.

30

SEC. 57.  

Section 8450 of the Education Code is amended to
31read:

32

8450.  

(a) All child development contractors are encouraged
33to develop and maintain a reserve within the child development
34fund, derived from earned but unexpended funds. Child
35development contractors may retain all earned funds. For purposes
36of this section, “earned funds” are those for which the required
37number of eligible service units have been provided.

38(b) (1) Earned funds shall not be expended for activities
39proscribed by Section 8406.7. Earned but unexpended funds shall
40remain in the contractor’s reserve account within the child
P76   1development fund and shall be expended only by direct service
2child development programs that are funded under contract with
3the department.

4(2) (A) Commencing July 1, 2011, a contractor may retain a
5reserve fund balance, separate from the reserve fund retained
6pursuant to subdivision (c) or (d), equal to 5 percent of the sum of
7the maximum reimbursable amounts of all contracts to which the
8contractor is a party, or two thousand dollars ($2,000), whichever
9is greater. Thisbegin delete paragraphend deletebegin insert subparagraphend insert applies to direct service
10child development contracting agencies that are funded under
11contract with the department and are not a California state
12preschool program contracting agency.

13(B) A California state preschool program contracting agency
14may retain a reserve fund balance, separate from the reserve fund
15retained pursuant to subdivision (c) or (d), equal to 15 percent of
16the sum of the maximum reimbursable amounts of all contracts to
17which the contractor is a party, or two thousand dollars ($2,000),
18whichever is greater. Of the 15 percent retained, 10 percent shall
19solely be used for purposes of professional development for
20California state preschool program instructional staff. This
21begin delete paragraphend deletebegin insert subparagraphend insert applies to California state preschool
22program contracting agencies that are funded under contract with
23the department.

24(c) Notwithstanding subdivisions (a) and (b), a contractor may
25retain a reserve fund balance for a resource and referral program,
26separate from the balance retained pursuant to subdivision (b) or
27(d), not to exceed 3 percent of the contract amount. Funds from
28this reserve account may be expended only by resource and referral
29programs that are funded under contract with the department.

30(d) Notwithstanding subdivisions (a) and (b), a contractor may
31retain a reserve fund balance for alternative payment model and
32certificate child care contracts, separate from the reserve fund
33retained pursuant to subdivisions (b) and (c). Funds from this
34reserve account may be expended only by alternative payment
35model and certificate child care programs that are funded under
36contract with the department. The reserve amount allowed by this
37begin delete sectionend deletebegin insert subdivisionend insert may not exceed either of the following,
38whichever is greater:

39(1) Two percent of the sum of the parts of each contract to which
40that contractor is a party that is allowed for administration pursuant
P77   1to Section 8276.7 and that is allowed for supportive services
2pursuant to the provisions of the contract.

3(2) One thousand dollars ($1,000).

4(e) Each contractor’s audit shall identify any funds earned by
5the contractor for each contract through the provision of contracted
6services in excess of funds expended.

7(f) Any interest earned on reserve funds shall be included in the
8fund balance of the reserve. This reserve fund shall be maintained
9in an interest-bearing account.

10(g) Moneys in a contractor’s reserve fund may be used only for
11expenses that are reasonable and necessary costs as defined in
12subdivision (n) of Section 8208.

13(h) Any reserve fund balance in excess of the amount authorized
14pursuant to subdivisions (b), (c), and (d) shall be returned to the
15department pursuant to procedures established by the department.

16(i) Upon termination of all child development contracts between
17a contractor and the department, all moneys in a contractor’s
18reserve fund shall be returned to the department pursuant to
19procedures established by the department.

20(j) Expenditures from, additions to, and balances in, the reserve
21fund shall be included in the contracting agency’s annual financial
22statements and audit.

23

SEC. 58.  

Section 8483.55 of the Education Code is amended
24to read:

25

8483.55.  

(a) From the funds appropriated pursuant to
26subdivision (b) of Section 8483.5, the department may spend 1.5
27percent to cover evaluation costs and to provide training and
28support to ensure quality program implementation, development,
29and sustainability and may pay its costs of awarding and monitoring
30grants.

31(b) Beginning with the 2006-07 fiscal year, 1.5 percent of the
32funds appropriated pursuant to this article shall be available to the
33department for purposes of providing technical assistance,
34evaluation, and training services, and for providing local assistance
35funds to support program improvement and technical assistance.

36(1) The department shall provide directly, or contract for,
37technical assistance for new programs and any program that is not
38meeting attendance or performance goals, or both, and requests
39that assistance. The department shall allocate an appropriate level
40of technical assistance funds to the regional system of support to
P78   1support program startup within 45 days after grant awards to
2programs.

3(2) (A) Training and support shall include, but is not limited
4to, the development and distribution of voluntary guidelines for
5physical activity programs established pursuant to paragraphbegin delete (2)end delete
6begin insert (1)end insert of subdivision (c) of Section 8482.3, that expand the learning
7opportunities of the schoolday.

8(B) The department shall distribute these voluntary guidelines
9for physical activity programs on or before July 1, 2009.

10(c) The department shall contract for an independent statewide
11evaluation of the effectiveness of programs funded pursuant to
12this article to be prepared and submitted to the Legislature. The
13evaluation shall include a comparison of outcomes for participating
14pupils and similarly situated pupils who did not participate in the
15program. A report shall be submitted to the Governor and the
16Legislature on or before October 1, 2011, providing data that
17includes, but is not limited to, all of the following:

18(1) Data collected pursuant to Section 8484.

19(2) Data adopted through the process outlined in subdivision
20(b) of Section 8421.5 and subdivision (g) of Section 8482.4.

21(3) Number and type of sites and grantees participating in the
22program.

23(4) Pupil program attendance, as reported semiannually, and
24pupil schoolday attendance, as reported annually.

25(5) Pupil program participation rates.

26(6) Quality of program drawing on the research of the Academy
27of Sciences on critical features of programs that support healthy
28youth development.

29(7) The participation rates of local educational agencies.

30(8) Local partnerships.

31(9) The academic performance of participating pupils in English
32language arts and mathematics, as measured by the results of the
33Standardized Testing and Reporting (STAR) Program established
34pursuant to Section 60640.

35(d) A final report shall be submitted to the Governor and the
36Legislature on or before December 1, 2011. The final report shall
37include, but not be limited to, all of the following:

38(1) Updated data on the measures specified in subdivision (b),
39including, but not limited to, changes in those measures.

P79   1(2) The prevalence and frequency of activities included in
2funded programs.

3

SEC. 59.  

Section 8490.1 of the Education Code is amended to
4read:

5

8490.1.  

For purposes of this article, the following definitions
6shall apply:

7(a) “After school program” meansbegin insert theend insert After School Education
8and Safety Program (ASES),begin insert theend insert 21st Century High School After
9School Safety and Enrichment for Teens (High School ASSETs)
10program, and other qualified out-of-school time programs that
11serve schoolage children outside of regular school hours, including
12before school and on weekends.

13(b) “DASH recognition program” means the Distinguished After
14School Health Recognition Programbegin delete enactedend deletebegin insert establishedend insert pursuant
15to this article.

16(c) “Program attendee” means a person enrolled in an after
17school program.

18(d) “Screen time” means time spent viewing or working on
19television, videos, computers, and hand-held devices, with or
20without Internet access.

21

SEC. 60.  

Section 9004 of the Education Code is amended to
22read:

23

9004.  

Thebegin delete State Department of Educationend deletebegin insert departmentend insert shall
24select grant recipients from the northern, southern, and central
25regions of the state and from urban, rural, and suburban areas, so
26that the recipients are broadlybegin delete representativesend deletebegin insert representativeend insert of
27the state.

28

SEC. 61.  

Chapter 17 (commencing with Section 11600) of Part
297 of Division 1 of Title 1 of the Education Code is repealed.

30

SEC. 62.  

The heading of Article 2 (commencing with Section
3112210) of Chapter 2 of Part 8 of Division 1 of Title 1 of the 32Education Code is repealed.

begin delete

33 

34Article 2.  Administration of Federal Funds by Chancellor
35

 

end delete
36

SEC. 63.  

Section 17199.4 of the Education Code is amended
37to read:

38

17199.4.  

(a) Notwithstanding any other law, any participating
39party, in connection with securing financing or refinancing of
40projects, or working capital pursuant to this chapter, may, in
P80   1accordance with this section, elect to provide for funding, in whole
2or in part, one or more of the following:

3(1) Payments on authority bonds.

4(2) Payments under credit enhancement or liquidity support
5agreements in connection with authority bonds.

6(3) Amounts pledged or assigned under one or more pledges or
7assignments to pay authority bonds or obligations under these
8credit enhancement or liquidity support agreements.

9(4) Payments to fund reserves available to pay any of the
10payments described in paragraphs (1), (2), and (3), exclusively
11until paid.

12(5) Fees and charges contemplated by the instruments of the
13authority, trustees, tender agents, remarketing agents, credit
14enhancement and liquidity support providers, and service providers.

15(6) Any other costs necessary or incidental to any financing or
16refinancing conducted under this chapter.

17(b) The payments made pursuant to subdivision (a) may be in
18connection with a financing or refinancing benefiting the
19participating party itself, one or more other participating parties,
20or any combination thereof.

21(c) To participate under this section, the participating party shall
22do all of the following:

23(1) Elect to participate by an action of its governing board taken
24in compliance with the rules of that board.

25(2) Provide written notice to the Controller, no later than the
26date of the issuance of the bonds or 60 days before the next
27payment, whichever is later, of all of the following:

28(A) Its election to participate.

29(B) A schedule of the payments subject to that election.

30(C) The payee or payees of those payments, or the trustee or
31agent on their behalf to receive those payments.

begin delete

32(i)

end delete

33begin insert(D)end insertbegin insert(i)end insertbegin insertend insert Payment delivery instructions, which may be by wire
34transfer or other method approved by the Controller.

35(ii) If the method of payment delivery is wire transfer, the
36participating party shall complete and submit the appropriate
37authorization form as prescribed by the Controller.

38(d) The participating party may amend, supplement, or restate
39the notice required pursuant to paragraph (2) of subdivision (c)
40for any reason, including, but not necessarily limited to, providing
P81   1 for new or increased payments. The participating party shall certify
2in the notice and in any amendment, supplement, or restatement
3of the notice that each and every payment reflected in the schedule
4is a payment described in subdivision (a) and the amounts
5scheduled do not exceed the actual or reasonably estimated
6payment obligations to be funded pursuant to this section. The
7participating party shall also represent in the notice that it is not
8submitting the notice for the purpose of accelerating a participating
9party’s receipt of its apportionments. Nothing in this section
10prohibits transfer by the recipient of an apportionment under this
11section to the participating party submitting the notice of the excess
12apportionment above the amount needed to fund actual payments
13where the excess resulted from erroneous estimation of scheduled
14payments or otherwise.

15(e) Upon receipt of the notice required by paragraph (2) of
16subdivision (c), the Controller shall make an apportionment to the
17indicated recipient on the date, or during the period, shown in the
18schedule in accordance with the following:

19(1) If the participating party requests transfers in full as
20scheduled, in the amount of the scheduled transfer or such lesser
21amount as is available from the sources indicated in subdivision
22(f).

23(2) If the participating party does not request transfers in full
24as scheduled, in the amount of the anticipated deficiency for the
25purpose of making the required payment indicated in a written
26request of the participating party to the Controller and in the
27amount of the actual shortfall in payment indicated in a written
28request of the recipient or the participating party to the Controller
29orbegin delete theend deletebegin insert whateverend insert lesser amountbegin delete thatend delete is available from the sources
30indicated in subdivision (f).

31(3) To the extent funds available for an apportionment are
32insufficient to pay the amount set forth in a schedule in any period,
33the Controller shall, if and as requested in the notice, reschedule
34the payment of all or a portion of the deficiency to a subsequent
35period.

36(4) In making apportionments under this section, the Controller
37may rely conclusively and without liability on any notice or request
38delivered under this section, including anybegin insert notice of requestend insert
39 deliveredbegin delete prior toend deletebegin insert beforeend insert enactment of the act that adds this
40paragraph. The Controller may make, but is not obligated to make,
P82   1apportionments not reflected on a notice or on an amended,
2supplemented, or restated notice delivered under this section that
3the Controller receives less than 20 daysbegin delete prior toend deletebegin insert beforeend insert when the
4apportionment would otherwise be required.

5(f) The Controller shall make an apportionment under this
6section only from moneys designated for apportionment to the
7participating party delivering the notice, and only from one or both
8of the following:

9(1) Any funding apportioned for purposes of revenue limits or
10the local control funding formula pursuant to Section 42238.02,
11as implemented by Section 42238.03, to a school district or county
12office of education without regard to the specific funding source
13of the apportionment.

14(2) Any funding apportioned for purposes of the charter school
15block grant or the local control funding formula pursuant to Section
1642238.02, as implemented by Section 42238.03, to a charter school
17without regard to the specific funding source of the apportionment.

18(g) (1) The amount apportioned for a participating party
19pursuant to this section shall be deemed to be an allocation to the
20participating party, and shall be included in the computation of
21allocation, limit, entitlement, or apportionment for the participating
22party.

23(2) The participating party and its creditors do not have a claim
24to funds apportioned or anticipated to be apportioned by the
25Controller pursuant to this section.

26(h) (1) The authority may require participation under this section
27under the terms of any financing or refinancing under this chapter
28to provide for one or more of the payments described in paragraphs
29(1), (2), (3), and (4) of subdivision (a). The authority may impose
30limits on new participation under this section. The authority may
31require participating parties to apply to the authority for
32participation. If the authority limits participation under this section,
33the authority shall consider each of the following priorities in
34making participation available:

35(A) First priority shall be given to participating parties that apply
36for funding for instructional classroom space under this chapter.

37(B) Second priority shall be given to participating parties that
38apply for funding of modernization of instructional classroom
39space under this chapter.

P83   1(C) Third priority shall be given to participating parties that
2apply for funding under this chapter for any other eligible costs,
3as defined in Section 17173.

4(2) The authority shall prioritize applications at appropriate
5intervals.

6(3) A school district electing to participate under this section
7that has applied for revenue bond moneys for purposes of joint
8venture school facilities construction projects, pursuant to Article
95 (commencing with Section 17060) of Chapter 12, shall not be
10subject to the priorities set forth in paragraph (1).

11(i) This section shall not be construed to make the State of
12California liable for any payments within the meaning of Section
131 of Article XVI of the California Constitution.

14(j) A school district that has a qualified or negative certification
15pursuant to Section 42131, or a county office of education that has
16a qualified or negative certification pursuant to Section 1240, may
17not participate under this section.

18(k) This section does not obligate the State of California to make
19available the sources of apportionment under subdivision (f) in
20any amount or at any time or, except as provided in this section,
21to fund any payment described in this section. The addition of this
22subdivision is intended solely to clarify existing law.

23

SEC. 64.  

Section 17592.74 of the Education Code is amended
24to read:

25

17592.74.  

Notwithstanding any other law, the funds provided
26to school districts from the School Facilities Emergency Repair
27Account pursuant to this article for the purpose of emergency repair
28grants shall not be deposited into a school district deferred
29maintenance fund for purposesbegin delete established pursuant toend deletebegin insert described
30inend insert
Section 17582.

31

SEC. 65.  

The heading of Chapter 11 (commencing with Section
3219900) of Part 11 of Division 1 of Title 1 of the Education Code,
33as enacted by Chapter 1010 of the Statutes of 1976, is amended
34and renumbered to read:

35 

36Chapter  begin delete11.end deletebegin insert10.5.end insert Miscellaneous Provisions
37

 

38

SEC. 66.  

The heading of Article 1 (commencing with Section
3932200) of Chapter 2 of Part 19 of Division 1 of Title 1 of the 40Education Code is repealed.

begin delete

P84   1 

2Article 1.  Fire Drills
3

 

end delete
4

SEC. 67.  

Section 32282 of the Education Code is amended to
5read:

6

32282.  

(a) The comprehensive school safety plan shall include,
7but not be limited to, both of the following:

8(1) Assessing the current status of school crime committed on
9school campuses and at school-related functions.

10(2) Identifying appropriate strategies and programs that will
11provide or maintain a high level of school safety and address the
12school’s procedures for complying with existing laws related to
13school safety, which shall include the development of all of the
14following:

15(A) Child abuse reporting procedures consistent with Article
162.5 (commencing with Section 11164) of Chapter 2 of Title 1 of
17Part 4 of the Penal Code.

18(B) Disaster procedures, routine and emergency, including
19adaptations for pupils with disabilities in accordance with the
20federal Americans with Disabilities Act of 1990 (42 U.S.C. Sec.
2112101 et seq.). The disaster procedures shall also include, but not
22be limited to, both of the following:

23(i) Establishing an earthquake emergency procedure system in
24every public school building having an occupant capacity of 50
25or more pupils or more than one classroom. A school district or
26county office of education may work with the Office of Emergency
27Services and thebegin insert Alfred E. Alquistend insert Seismic Safety Commission to
28develop and establish the earthquake emergency procedure system.
29The system shall include, but not be limited to, all of the following:

30(I) A school building disaster plan, ready for implementation
31at any time, for maintaining the safety and care of pupils and staff.

32(II) A drop procedure whereby each pupil and staff member
33takes cover under a table or desk, dropping to his or her knees,
34with the head protected by the arms, and the back to the windows.
35A drop procedure practice shall be held at least once each school
36quarter in elementary schools and at least once a semester in
37secondary schools.

38(III) Protective measures to be taken before, during, and
39following an earthquake.

P85   1(IV) A program to ensure that pupils and both the certificated
2and classified staff are aware of, and properly trained in, the
3earthquake emergency procedure system.

4(ii) Establishing a procedure to allow a public agency, including
5the American Red Cross, to use school buildings, grounds, and
6equipment for mass care and welfare shelters during disasters or
7other emergencies affecting the public health and welfare. The
8school district or county office of education shall cooperate with
9the public agency in furnishing and maintaining the services as
10the school district or county office of education may deem
11necessary to meet the needs of the community.

12(C) Policies pursuant to subdivision (d) of Section 48915 for
13pupils who committed an act listed in subdivision (c) of Section
1448915 and other school-designated serious acts which would lead
15to suspension, expulsion, or mandatory expulsion recommendations
16pursuant to Article 1 (commencing with Section 48900) of Chapter
176 of Part 27 of Division 4 of Title 2.

18(D) Procedures to notify teachers of dangerous pupils pursuant
19to Section 49079.

20(E) A discrimination and harassment policy consistent with the
21prohibition against discrimination contained in Chapter 2
22(commencing with Section 200) of Part 1.

23(F) The provisions of any schoolwide dress code, pursuant to
24Section 35183, that prohibits pupils from wearing “gang-related
25apparel,” if the school has adopted that type of a dress code. For
26those purposes, the comprehensive school safety plan shall define
27“gang-related apparel.” The definition shall be limited to apparel
28that, if worn or displayed on a school campus, reasonably could
29be determined to threaten the health and safety of the school
30environment.begin delete Anyend deletebegin insert Aend insert schoolwide dress code established pursuant
31to this section and Section 35183 shall be enforced on the school
32campus and at any school-sponsored activity by the principal of
33the school or the person designated by the principal. For purposes
34of this paragraph, “gang-related apparel” shall not be considered
35a protected form of speech pursuant to Section 48950.

36(G) Procedures for safe ingress and egress of pupils, parents,
37and school employees to and from school.

38(H) A safe and orderly environment conducive to learning at
39the school.

P86   1(I) The rules and procedures on school discipline adopted
2pursuant to Sections 35291 and 35291.5.

3(b) It is the intent of the Legislature that schools develop
4comprehensive school safety plans using existing resources,
5including the materials and services of the partnership, pursuant
6to this chapter. It is also the intent of the Legislature that schools
7use the handbook developed and distributed by the School/Law
8Enforcement Partnership Program entitled “Safe Schools: A
9Planning Guide for Action” in conjunction with developing their
10plan for school safety.

11(c) Each schoolsite council or school safety planningbegin delete committeeend delete
12begin insert committee,end insert in developing and updating a comprehensive school
13safetybegin delete planend deletebegin insert plan,end insert shall, where practical, consult, cooperate, and
14coordinate with other schoolsite councils or school safety planning
15committees.

16(d) The comprehensive school safety plan may be evaluated
17and amended, as needed, by the school safety planning committee,
18but shall be evaluated at least once a year, to ensure that the
19comprehensive school safety plan is properly implemented. An
20updated file of all safety-related plans and materials shall be readily
21available for inspection by the public.

22(e) As comprehensive school safety plans are reviewed and
23updated, the Legislature encourages all plans, to the extent that
24resources are available, to include policies and procedures aimed
25at the prevention of bullying.

26(f) The comprehensive school safety plan, as written and updated
27by the schoolsite council or school safety planning committee,
28shall be submitted for approvalbegin delete underend deletebegin insert pursuant toend insert subdivision (a)
29of Section 32288.

30

SEC. 68.  

Section 32289 of the Education Code, as added by
31Section 1 of Chapter 272 of the Statutes of 2004, is repealed.

begin delete
32

32289.  

A complaint of noncompliance with the school safety
33planning requirements of Title IV of the federal No Child Left
34Behind Act of 2001, 20 U.S.C. Sec. 7114(d)(7), may be filed with
35the department under the Uniform Complaint Procedures as set
36forth in Chapter 5.1 (commencing with Section 4600) of Title 5
37of the California Code of Regulations.

end delete
38

SEC. 69.  

Section 32289 of the Education Code, as added by
39Section 29 of Chapter 896 of the Statutes of 2004, is amended to
40read:

P87   1

32289.  

A complaint of noncompliance with the school safety
2planning requirements of Title IV of the federal No Child Left
3Behind Act of 2001 (20 U.S.C. Sec. 7114 (d)(7)) may be filed with
4the department under the Uniform Complaint Procedures as set
5forth in Chapter 5.1 (commencing withbegin delete Sectionsend deletebegin insert Sectionend insert 4600) of
6Title 5 of the California Code of Regulations.

7

SEC. 70.  

The heading of Article 7 (commencing with Section
833390) of Chapter 3 of Part 20 of Division 2 of Title 2 of the 9Education Code is repealed.

begin delete

10 

11Article 7.  California Maritime Academy
12

 

end delete
13

SEC. 71.  

Section 35035 of the Education Code is amended to
14read:

15

35035.  

The superintendent of each school district shall, in
16addition to other powers and duties granted to or imposed upon
17him or her:

18(a) Be the chief executive officer of the governing board of the
19school district.

20(b) Except in a school district where the governing board has
21appointed or designated an employee other than the superintendent,
22or a deputy, or assistant superintendent, to prepare and submit a
23budget, prepare and submit to the governing board of the school
24district, at the time it may direct, the budget of the school district
25for the next ensuing school year, and revise and take other action
26in connection with the budget as the governing board of the school
27district may desire.

28(c) Be responsible for the preparation and submission to the
29governing board of the school district, at the time the governing
30board may direct, the local control and accountability plan of the
31school district for the subsequent school year, and revise and take
32other action in connection with the local control and accountability
33plan as the governing board of the school district may desire.

34(d) Except in a school district where the governing board has
35appointed or designated an employee other than the superintendent,
36or a deputy, or assistant superintendent, ensure that the local control
37and accountability plan is implemented.

38(e) Subject to the approval of the governing board of the school
39district, assign all employees ofbegin delete schoolend delete thebegin insert schoolend insert district employed
40in positions requiring certificationbegin delete qualifications,end deletebegin insert qualificationsend insert to
P88   1the positions in which they are to serve. This power to assign
2includes the power to transfer a teacher from one school to another
3school at which the teacher is certificated to serve within the school
4district when the superintendent concludes that the transfer is in
5the best interest of the school district.

6(f) Uponbegin delete adoption,end deletebegin insert adoptionend insert by the school districtbegin delete board,end deletebegin insert boardend insert
7 of a school district policy concerning transfers of teachers from
8one school to another school within the school district, have
9authority to transfer teachers consistent with that policy.

10(g) Determine that each employee of the school district in a
11position requiring certification qualifications has a valid certificated
12document registered as required by law authorizing him or her to
13serve in the position to which he or she is assigned.

14(h) Enter into contracts for and on behalf of the school district
15pursuant to Section 17604.

16(i) Submit financial and budgetary reports to the governing
17board of the school district as required by Section 42130.

18

SEC. 72.  

Section 35735.1 of the Education Code is amended
19to read:

20

35735.1.  

(a) The local control funding formula allocation per
21unit of average daily attendance for newly organized school
22districts shall be equal to the total of the amount of the local control
23funding formula allocation pursuant to Section 42238.02, as
24implemented by Section 42238.03, per unit of average daily
25attendance of the affected school districts computed pursuant to
26the computations set forth below. The following computations
27shall be made to determine the local control funding formula
28allocation pursuant to Section 42238.02, as implemented by Section
2942238.03, per unit of average daily attendance forbegin delete theend delete newly
30organized school districts:

31(1) Based on the current information available for each affected
32school district for the second principal apportionment period for
33the fiscal year before the fiscal year in which the reorganization
34is to become effective, multiply the local control funding formula
35allocation pursuant to Section 42238.02, as implemented by Section
3642238.03, per unit of average daily attendance for that school
37district by the number of units of average daily attendance for that
38school district that the county superintendent of schools determines
39will be included in the proposed school district.

P89   1(2) Add the amounts calculated pursuant to paragraph (1) and
2divide that sum by the number of units of average daily attendance
3in the newly organized school districts.

4(b) The amount determined pursuant to subdivision (a) shall be
5the local control funding formula allocation pursuant to Section
642238.02, as implemented by Section 42238.03, per unit of average
7daily attendance forbegin delete theend delete newly organized school districts.

8(c) The average daily attendance of a newly organized school
9district, for purposes of Sections 42238.02 and 42238.03, shall be
10the average daily attendance that is attributable to the area
11reorganized for the fiscal year before the fiscal year in which the
12new school district becomes effective for all purposes.

13(d) Notwithstanding this section, commencing with the 2013-14
14fiscal year, a newly reorganized school district shall receive
15state-aid funding pursuant to paragraph (3) of subdivision (b) of
16Section 42238.03 or the total combined per pupil funding amount
17received by each school district pursuant to paragraphs (1) and (2)
18of subdivision (a) of Section 42238.03 for the fiscal year before
19the fiscal year in which the new school district becomes effective
20for all purposes, whichever is greater.

21(e) Notwithstanding any other law, this section shall not be
22subject to waiver by the state board pursuant to Section 33050 or
23by the Superintendent.

24(f) Upon a determination that all school districts or charter
25schools equal or exceed the local control funding formula target
26computed pursuant to Section 42238.02 as determined by the
27calculation of a zero difference pursuant to paragraph (1) of
28subdivision (b) of Section 42238.03, for all school districts and
29charter schools, this section shall not apply andbegin delete theend delete newly
30reorganized schoolbegin delete districtend deletebegin insert districtsend insert shall receive an allocation
31equal to the amount calculated under Section 42238.02 in that
32fiscal year and future fiscal years.

33

SEC. 73.  

The heading of Chapter 3 (commencing with Section
3437400) of Part 22 of Division 3 of Title 2 of the Education Code
35 is repealed.

begin delete

36 

37Chapter  3. Year-Round School Operation
38

 

end delete
39

SEC. 74.  

Section 38047.5 of the Education Code is amended
40and renumbered to read:

P90   1

begin delete38047.5.end delete
2begin insert39831.1.end insert  

Thebegin delete State Board of Educationend deletebegin insert state boardend insert shall adopt
3regulations to require a passenger in a schoolbus equipped with
4passenger restraint systems in accordance with Section 27316 of
5the Vehicle Code to use a passenger restraint system so that the
6passenger is properly restrained by that system.

7

SEC. 75.  

Section 38047.6 of the Education Code is amended
8and renumbered to read:

9

begin delete38047.6.end delete
10begin insert39831.2.end insert  

Thebegin delete State Board of Educationend deletebegin insert state boardend insert shall adopt
11regulations to require a passenger in a school pupil activity bus
12equipped with passenger restraint systems in accordance with
13Section 27316.5 of the Vehicle Code to use a passenger restraint
14system so that the passenger is properly restrained by that system.

15

SEC. 76.  

Section 39672 of the Education Code is amended
16and renumbered to read:

17

begin delete39672.end delete
18begin insert38001.6.end insert  

begin insert(a)end insertbegin insertend insert Every school peace officer first employed by a
19K-12 public school district before July 1, 1999, shall, in order to
20retain his or her employment, fulfill both of the following
21conditions:

begin delete

22(a)

end delete

23begin insert(1)end insert The employee shall submit to thebegin insert schoolend insert district one copy
24of his or her fingerprints on forms prescribed by the Department
25of Justice. The Department of Justice shall forward this copy to
26the United States Federal Bureau of Investigation.

begin delete

27(b)

end delete

28begin insert(2)end insert The employee shall be determined to be a person who is not
29prohibited from employment by a school district pursuant to
30Sections 44237 and 45122.1, and, if the employee is required to
31carry a firearm, shall be determined by the Department of Justice
32to be a person who is not prohibited from possessing a firearm.

begin delete

33The

end delete

34begin insert(b)end insertbegin insertend insertbegin insertTheend insert Department of Justice may participate in the National
35Instant Criminal Background Check System (NICS) in lieu of
36submitting fingerprints to the United States Federal Bureau of
37Investigation in order to meet the requirements of this section
38relating to firearms.

39

SEC. 77.  

Section 41020 of the Education Code is amended to
40read:

P91   1

41020.  

(a) It is the intent of the Legislature to encourage sound
2fiscal management practices among local educational agencies for
3the most efficient and effective use of public funds for the
4education of children in California by strengthening fiscal
5accountability at the school district, county, and state levels.

6(b) (1) Not later than the first day of May of each fiscal year,
7each county superintendent of schools shall provide for an audit
8of all funds under his or her jurisdiction and control and the
9governing board of each local educational agency shall either
10provide for an audit of the books and accounts of the local
11educational agency, including an audit of income and expenditures
12by source of funds, or make arrangements with the county
13 superintendent of schools having jurisdiction over the local
14educational agency to provide for that auditing.

15(2) A contract to perform the audit of a local educational agency
16that has a disapproved budget or has received a negative
17certification on any budget or interim financial report during the
18current fiscal year or either of the two preceding fiscal years, or
19for which the county superintendent of schools has otherwise
20determined that a lack of going concern exists, is not valid unless
21approved by the responsible county superintendent of schools and
22the governing board.

23(3) If the governing board of a local educational agency has not
24provided for an audit of the books and accounts of the local
25educational agency by April 1, the county superintendent of schools
26having jurisdiction over the local educational agency shall provide
27for the audit of each local educational agency.

28(4) An audit conducted pursuant to this section shall comply
29fully with the Government Auditing Standards issued by the
30Comptroller General of the United States.

31(5) For purposes of this section, “local educational agency” does
32not include community colleges.

33(c) Each audit conducted in accordance with this section shall
34include all funds of the local educational agency, including the
35student body and cafeteria funds and accounts and any other funds
36under the control or jurisdiction of the local educational agency.
37Each audit shall also include an audit of pupil attendance
38procedures. Each audit shall include a determination of whether
39funds were expended pursuant to a local control and accountability
40plan or an approved annual update to a local control and
P92   1accountability plan pursuant to Article 4.5 (commencing with
2Section 52060) of Chapter 6.1 of Part 28 of Division 4.

3(d) All audit reports for each fiscal year shall be developed and
4reported using a format established by the Controller after
5consultation with the Superintendent and the Director of Finance.

6(e) (1) The cost of the audits provided for by the county
7superintendent of schools shall be paid from the county school
8service fund and the county superintendent of schools shall transfer
9the pro rata share of the cost chargeable to each school district
10from school district funds.

11(2) The cost of the audit provided for by a governing board of
12a local educational agency shall be paid from local educational
13agency funds. The audit of the funds under the jurisdiction and
14control of the county superintendent of schools shall be paid from
15 the county school service fund.

16(f) (1) The audits shall be made by a certified public accountant
17or a public accountant, licensed by the California Board of
18Accountancy, and selected by the local educational agency, as
19applicable, from a directory of certified public accountants and
20public accountants deemed by the Controller as qualified to conduct
21audits of local educational agencies, which shall be published by
22the Controller not later than December 31 of each year.

23(2) Commencing with the 2003-04 fiscal year and except as
24provided in subdivision (d) of Section 41320.1, it is unlawful for
25a public accounting firm to provide audit services to a local
26educational agency if the lead audit partner, or coordinating audit
27partner, having primary responsibility for the audit, or the audit
28partner responsible for reviewing the audit, has performed audit
29services for that local educational agency in each of the six previous
30fiscal years. The Education Audits Appeal Panel may waive this
31requirement if the panel finds that no otherwise eligible auditor is
32available to perform the audit.

33(3) It is the intent of the Legislature that, notwithstanding
34paragraph (2), the rotation within public accounting firms conform
35to provisions of the federal Sarbanes-Oxley Act of 2002 (Public
36Law 107-204; 15 U.S.C. Sec. 7201 et seq.), and upon release of
37the report required by the act of the Comptroller General of the
38United States addressing the mandatory rotation of registered
39public accounting firms, the Legislature intends to reconsider the
40provisions of paragraph (2). In determining which certified public
P93   1accountants and public accountants shall be included in the
2directory, the Controller shall use the following criteria:

3(A) The certified public accountants or public accountants shall
4be in good standing as certified by the Board of Accountancy.

5(B) The certified public accountants or public accountants, as
6a result of a quality control review conducted by the Controller
7pursuant to Section 14504.2, shall not have been found to have
8conducted an audit in a manner constituting noncompliance with
9subdivision (a) of Section 14503.

10(g) (1) The auditor’s report shall include each of the following:

11(A) A statement that the audit was conducted pursuant to
12standards and procedures developed in accordance with Chapter
133 (commencing with Section 14500) of Part 9 of Division 1 of
14Title 1.

15(B) A summary of audit exceptions and management
16improvement recommendations.

17(C) Each audit of a local educational agency shall include an
18evaluation by the auditor on whether there is substantial doubt
19about the ability of the local educational agency to continue as a
20going concern for a reasonable period of time. This evaluation
21shall be based on the Statement on Auditing Standards (SAS) No.
2259, as issued by the AICPA regarding disclosure requirements
23relating to the ability of the entity to continue as a going concern.

24(2) To the extent possible, a description of correction or plan
25of correction shall be incorporated in the audit report, describing
26the specific actions that are planned to be taken, or that have been
27taken, to correct the problem identified by the auditor. The
28descriptions of specific actions to be taken or that have been taken
29shall not solely consist of general comments such as “will
30implement,” “accepted the recommendation,” or “will discuss at
31a later date.”

32(h) Not later than December 15, a report of each local
33educational agency audit for the preceding fiscal year shall be filed
34with the county superintendent of schools of the county in which
35the local educational agency is located, the department, and the
36Controller. The Superintendent shall make any adjustments
37necessary in future apportionments of all state funds, to correct
38any audit exceptions revealed by those audit reports.

39(i) (1) Commencing with the 2002-03 audit of local educational
40agencies pursuant to this section and subdivision (d) of Section
P94   141320.1, each county superintendent of schools shall be responsible
2for reviewing the audit exceptions contained in an audit of a local
3educational agency under his or her jurisdiction related to
4attendance, inventory of equipment, internal control, and any
5miscellaneous items, and determining whether the exceptions have
6been either corrected or an acceptable plan of correction has been
7developed.

8(2) Commencing with the 2004-05 audit of local educational
9agencies pursuant to this section and subdivision (d) of Section
1041320.1, each county superintendent of schools shall include in
11the review of audit exceptions performed pursuant to this
12subdivision those audit exceptions related to use of instructional
13materials program funds, teacher misassignments pursuant to
14Section 44258.9, information reported on the school accountability
15report card required pursuant to Section 33126 and shall determine
16whether the exceptions are either corrected or an acceptable plan
17of correction has been developed.

18(j) Upon submission of the final audit report to the governing
19board of each local educational agency and subsequent receipt of
20the audit by the county superintendent of schools having
21jurisdiction over the local educational agency, the county office
22of education shall do all of the following:

23(1) Review audit exceptions related to attendance, inventory of
24equipment, internal control, and other miscellaneous exceptions.
25Attendance exceptions or issues shall include, but not be limited
26to, those related to local control funding formula allocations
27pursuant to Section 42238.02, as implemented by Section 42238.03,
28and independent study.

29(2) If a description of the correction or plan of correction has
30not been provided as part of the audit required by this section,begin delete thenend delete
31 the county superintendent of schools shall notify the local
32educational agency and request the governing board of the local
33educational agency to provide to the county superintendent of
34schools a description of the corrections or plan of correction by
35March 15.

36(3) Review the description of correction or plan of correction
37and determine its adequacy. If the description of the correction or
38plan of correction is not adequate, the county superintendent of
39schools shall require the local educational agency to resubmit that
40portion of its response that is inadequate.

P95   1(k) Each county superintendent of schools shall certify to the
2Superintendent and the Controller, not later than May 15, that his
3or her staff has reviewed all audits of local educational agencies
4under his or her jurisdiction for the prior fiscal year, that all
5exceptions that the county superintendent was required to review
6were reviewed, and that all of those exceptions, except as otherwise
7noted in the certification, have been corrected by the local
8educational agency or that an acceptable plan of correction has
9been submitted to the county superintendent of schools. In addition,
10the county superintendent shall identify, by local educational
11agency, any attendance-related audit exception or exceptions
12involving state funds, and require the local educational agency to
13which the audit exceptions were directed to submit appropriate
14reporting forms for processing by the Superintendent.

15(l) In the audit of a local educational agency for a subsequent
16year, the auditor shall review the correction or plan or plans of
17correction submitted by the local educational agency to determine
18if the exceptions have been resolved. If not, the auditor shall
19immediately notify the appropriate county office of education and
20the department and restate the exception in the audit report. After
21receiving that notification, the department shall either consult with
22the local educational agency to resolve the exception or require
23the county superintendent of schools to follow up with the local
24educational agency.

25(m) (1) The Superintendentbegin delete shall beend deletebegin insert isend insert responsible for ensuring
26that local educational agencies have either corrected or developed
27plans of correction for any one or more of the following:

28(A) All federal and state compliance audit exceptions identified
29in the audit.

30(B) begin deleteAny exceptions end deletebegin insertExceptions end insertthat the county superintendent
31begin insert of schoolsend insert certifies as of May 15 have not been corrected.

32(C) begin deleteAny repeat end deletebegin insertRepeat end insertaudit exceptions that are not assigned to
33a county superintendentbegin insert of schoolsend insert to correct.

34(2) In addition, the Superintendentbegin delete shall beend deletebegin insert isend insert responsible for
35ensuring that county superintendents of schools and each county
36board of education that serves as the governing board of a local
37 educational agency either correct all audit exceptions identified in
38the audits of county superintendents of schools and of the local
39educational agencies for which the county boards of education
P96   1serve as the governing boards or develop acceptable plans of
2correction for those exceptions.

3(3) The Superintendent shall report annually to the Controller
4on his or her actions to ensure that school districts, county
5superintendents of schools, and each county board of education
6that serves as the governing board of a school district have either
7corrected or developed plans of correction for any of the exceptions
8noted pursuant to paragraph (1).

9(n) To facilitate correction of the exceptions identified by the
10audits issued pursuant to this section,begin delete commencing with 2002-03
11audits pursuant to this section,end delete
the Controller shall require auditors
12to categorize audit exceptions in each audit report in a manner that
13will make it clear to both the county superintendent of schools and
14the Superintendent which exceptions they are responsible for
15ensuring the correction of by a local educational agency. In
16addition, the Controller annually shall select a sampling of county
17superintendents of schools and perform a followup of the audit
18resolution process of those county superintendents of schools and
19report the results of that followup to the Superintendent and the
20county superintendents of schools that were reviewed.

21(o) County superintendents of schools shall adjust subsequent
22local property tax requirements to correct audit exceptions relating
23to local educational agency tax rates and tax revenues.

24(p) If a governing board or county superintendent of schools
25fails or is unable to make satisfactory arrangements for the audit
26pursuant to this section, the Controller shall make arrangements
27for the audit and the cost of the audit shall be paid from local
28educational agency funds or the county school service fund, as the
29case may be.

30(q) Audits of regional occupational centers and programs are
31subject tobegin delete the provisions ofend delete this section.

32(r) This section does not authorize examination of, or reports
33on, the curriculum used or provided for in any local educational
34agency.

35(s) Notwithstanding any otherbegin delete provision ofend delete law, a nonauditing,
36management, or other consulting service to be provided to a local
37educational agency by a certified public accounting firm while the
38certified public accounting firm is performing an audit of the
39agency pursuant to this section must be in accord with Government
P97   1Accounting Standards, Amendment No. 3, as published by the
2United States General Accounting Office.

3

SEC. 78.  

Section 41207.3 of the Education Code, as added by
4Section 11 of Chapter 12 of the Third Extraordinary Session of
5the Statutes of 2009, is amended and renumbered to read:

6

begin delete41207.3.end delete
7begin insert41207.25.end insert  

(a) If the Superintendent and the Director of Finance
8jointly determine that, for the 2008-09 fiscal year, the state has
9applied moneys for the support of school districts and community
10college districts in an amount that exceeds the minimum amount
11required for that fiscal year pursuant to Section 8 of Article XVI
12of the California Constitution, the excess, up to one billion one
13hundred million five hundred ninety thousand dollars
14($1,100,590,000), shall be deemed, as of June 30 of that fiscal
15year, a payment in satisfaction of the outstanding balance of the
16minimum funding obligation under that section for the 2002-03
17and 2003-04 fiscal years in accordance with the following:

18(1) The first four hundred eighty-three million sixteen thousand
19dollars ($483,016,000) in payment of the outstanding balance of
20the minimum funding obligation for the 2002-03 fiscal year.

21(2) The next six hundred seventeen million five hundred
22seventy-four thousand dollars ($617,574,000) in payment of the
23outstanding balance of the minimum funding obligation for the
242003-04 fiscal year.

25(b) For purposes of this section, the outstanding balance of the
26minimum funding obligation to school districts and community
27college districts pursuant to Section 8 of Article XVI of the
28California Constitution for a fiscal year is the amount, if any, by
29which the amount required to be applied by the state for the support
30of school districts and community college districts pursuant to
31Section 8 of Article XVI of the California Constitution, including
32any maintenance factor that should have been allocated in that
33fiscal year pursuant to subdivision (e) of Section 8 of Articlebegin delete XVI,end delete
34begin insert XVI of the California Constitution,end insert exceeds the amount applied
35by the state for the support of school districts and community
36college districts for that fiscal year.

37(c) The amounts allocated pursuant to this section shall be
38deemed, for purposes of Section 8 of Article XVI of the California
39Constitution, to be appropriations made and allocated in the fiscal
40year in which the deficiencies resulting in the outstanding balance
P98   1were incurred. When the amount determined to be owed for each
2such fiscal year is fully allocated pursuant to this subdivision, the
3data used in the computations made under this section with regard
4to the total amount owed by the state for the support of school
5districts and community college districts pursuant to Section 8 of
6Article XVI of the California Constitution for that fiscal year,
7including as much of the maintenance factor for that fiscal year
8determined pursuant to subdivision (d) of Section 8 of Article XVI
9begin insert of the California Constitutionend insert as has been allocated as required by
10subdivision (e) of Section 8 of Article XVIbegin insert of the California
11Constitutionend insert
by virtue of the allocations made under this section,
12shall be deemed certified for purposes of Section 41206.

13(d) The amount described in subdivision (a) shall be deemed a
14payment in full satisfaction of the amounts owed pursuant to
15Section 41207.

16

SEC. 79.  

Section 41851.1 of the Education Code, as added by
17Section 11 of Chapter 82 of the Statutes of 1989, is repealed.

begin delete
18

41851.1.  

(a) For the 1989-90 fiscal year, from Section A of
19the State School Fund, the Superintendent of Public Instruction
20shall apportion to each school district or county superintendent of
21schools, as appropriate, an amount computed pursuant to this
22section. School districts and county superintendents of schools
23that provide transportation services by means of a joint powers
24agreement, a cooperative pupil transportation program, or a
25consortium shall receive transportation allowances pursuant to this
26section.

27(b) For the 1989-90 fiscal year, each school district, joint powers
28agency, cooperative pupil transportation program, or consortium
29shall receive a transportation apportionment equal to the greater
30of the following:

31(1) Sixty-five percent of the prior year’s approved transportation
32costs.

33(2) The prior year’s transportation allowance.

34(c) For the 1989-90 fiscal year, each county office of education
35shall receive a transportation apportionment equal to the greater
36of the following:

37(1) Eighty percent of the prior year’s approved transportation
38costs.

39(2) The prior year’s transportation allowance.

P99   1(d) In the event that funds appropriated for the purposes of this
2section are not sufficient to fully fund the formula established by
3that section, the amounts apportioned shall be reduced on a
4proportionate basis.

end delete
5

SEC. 80.  

Section 42127 of the Education Code is amended to
6read:

7

42127.  

(a) On or before July 1 of each year, the governing
8board of each school district shall accomplish the following:

9(1) Hold a public hearing conducted in accordance with Section
1042103 on the budget to be adopted for the subsequent fiscal year.
11The budget to be adopted shall be prepared in accordance with
12Section 42126. The agenda for that hearing shall be posted at least
1372 hours before the public hearing and shall include the location
14where the budget will be available for public inspection.

15(2) (A) Adopt a budget. Not later than five days after that
16adoption or by July 1, whichever occurs first, the governing board
17of the school district shall file that budget with the county
18 superintendent of schools. The budget and supporting data shall
19be maintained and made available for public review. If the
20governing board of the school district does not want all or a portion
21of the property tax requirement levied for the purpose of making
22payments for the interest and redemption charges on indebtedness
23as described in paragraph (1) or (2) of subdivision (b) of Section
241 of Article XIII A of the California Constitution, the budget shall
25include a statement of the amount or portion for which a levy shall
26not be made. For the 2014-15 fiscal year and each fiscal year
27thereafter, the governing board of the school district shall not adopt
28a budget before the governing board of the school district adopts
29a local control and accountability plan, if an existing local control
30and accountability plan or annual update to a local control and
31accountability plan is not effective for the budget year. The
32governing board of a school district shall not adopt a budget that
33does not include the expenditures necessary to implement the local
34control and accountability plan or the annual update to a local
35control and accountability plan that is effective for the budget year.

36(B) Commencing withbegin delete budgetsend deletebegin insert the budgetend insert adopted for the
372015-16 fiscal year, the governing board of a school district that
38proposes to adopt a budget, or revise a budget pursuant to
39subdivision (e), that includes a combined assigned and unassigned
40ending fund balance in excess of the minimum recommended
P100  1reserve for economic uncertainties adopted by the state board
2pursuant to subdivision (a) of Section 33128, shall, at the public
3hearing held pursuant to paragraph (1), provide all of the following
4for public review and discussion:

5(i) The minimum recommended reserve for economic
6uncertainties for each fiscal year identified in the budget.

7(ii) The combined assigned and unassigned ending fund balances
8that are in excess of the minimum recommended reserve for
9economic uncertainties for each fiscal year identified in the budget.

10(iii) A statement of reasons that substantiates the need for an
11assigned and unassigned ending fund balance that is in excess of
12the minimum recommended reserve for economic uncertainties
13for each fiscal year that the school district identifies an assigned
14and unassigned ending fund balance that is in excess of the
15minimum recommended reserve for economic uncertainties, as
16identified pursuant to clause (ii).

17(C) The governing board of a school district shall include the
18information required pursuant to subparagraph (B) in its budgetary
19submission each time it files an adopted or revised budget with
20the county superintendent of schools. The information required
21pursuant to subparagraph (B) shall be maintained and made
22available for public review.

23(b) The county superintendent of schools may accept changes
24in any statement included in the budget, pursuant to subdivision
25(a), of the amount or portion for which a property tax levy shall
26not be made. The county superintendent of schools or the county
27auditor shall compute the actual amounts to be levied on the
28property tax rolls of the school district for purposes that exceed
29apportionments to the school district pursuant to Chapter 6
30(commencing with Section 95) of Part 0.5 of Division 1 of the
31Revenue and Taxation Code.begin delete Eachend deletebegin insert Theend insert school district shall provide
32all data needed by the county superintendent of schools or the
33county auditor to compute the amounts. On or before August 15,
34the county superintendent of schools shall transmit the amounts
35computed to the county auditor who shall compute the tax rates
36necessary to produce the amounts. On or before September 1, the
37county auditor shall submit the rate computed to thebegin insert countyend insert board
38of supervisors for adoption.

39(c) The county superintendent of schools shall do all of the
40following:

P101  1(1) Examine the adopted budget to determine whether it
2complies with the standards and criteria adopted by the state board
3pursuant to Section 33127 for application to final local educational
4agency budgets. The county superintendent of schools shall
5identify, if necessary, technical corrections that are required to be
6made to bring the budget into compliance with those standards
7and criteria.

8(2) Determine whether the adopted budget will allow the school
9district to meet its financial obligations during the fiscal year and
10is consistent with a financial plan that will enable the school district
11to satisfy its multiyear financial commitments. In addition to his
12or her own analysis of the budget ofbegin delete eachend deletebegin insert theend insert school district, the
13county superintendent of schools shall review and consider studies,
14reports, evaluations, or audits of the school district that were
15commissioned by the school district, the county superintendent of
16schools, the Superintendent, and state control agencies and that
17contain evidence that the school district is showing fiscal distress
18under the standards and criteria adopted in Sectionbegin delete 33127end deletebegin insert 33127,end insert
19 or that contain a finding by an external reviewer that more than 3
20of the 15 most common predictors of a school district needing
21intervention, as determined by the County Office Fiscal Crisis and
22Management Assistance Team, are present. The county
23superintendent of schools shall either conditionally approve or
24disapprove a budget that does not provide adequate assurance that
25the school district will meet its current and future obligations and
26resolve any problems identified in studies, reports, evaluations, or
27audits described in this paragraph.

28(3) Determine whether the adopted budget includes the
29 expenditures necessary to implement the local control and
30accountability plan or annual update to the local control and
31accountability plan approved by the county superintendent of
32schools.

33(4) Determine whether the adopted budget includes a combined
34assigned and unassigned ending fund balance that exceeds the
35minimum recommended reserve for economic uncertainties. If the
36adopted budget includes a combined assigned and unassigned
37ending fund balance that exceeds the minimum recommended
38reserve for economic uncertainties, the county superintendent of
39schools shall verify that the school district complied with the
P102  1requirements of subparagraphs (B) and (C) of paragraph (2) of
2subdivision (a).

3(d) (1) On or before August 15, the county superintendent of
4schools shall approve, conditionally approve, or disapprove the
5adopted budget for each school district. For the 2014-15 fiscal
6year and each fiscal year thereafter, the county superintendent of
7schools shall disapprove a budget if the county superintendent of
8schools determines that the budget does not include the
9expenditures necessary to implement a local control and
10accountability plan or an annual update to the local control and
11accountability plan approved by the county superintendent of
12schools. If the governing board of a school district does not submit
13a budget to the county superintendent of schools, the county
14superintendent of schools shall develop, at school district expense,
15a budget for that school district by September 15 and transmit that
16budget to the governing board of the school district. The budget
17prepared by the county superintendent of schools shall be deemed
18adopted, unless the county superintendent of schools approves any
19modifications made by the governing board of the school district.
20The budget prepared by the county superintendent of schools shall
21also comply with the requirements of subparagraph (B) of
22paragraph (2) of subdivision (a). The approved budget shall be
23used as a guide for the school district’s priorities. The
24Superintendent shall review and certify the budget approved by
25thebegin delete county.end deletebegin insert county superintendent of schools.end insert If, pursuant to the
26review conducted pursuant to subdivision (c), the county
27superintendent of schools determines that the adopted budget for
28a school district does not satisfy paragraph (1), (2), (3), or (4) of
29that subdivision, he or she shall conditionally approve or
30disapprove the budget and, not later than August 15, transmit to
31the governing board of the school district, in writing, his or her
32recommendations regarding revision of the budget and the reasons
33for those recommendations, including, but not limited to, the
34amounts of any budget adjustments needed before he or she can
35approve that budget. The county superintendent of schools may
36assign a fiscal adviser to assist the school district to develop a
37budget in compliance with those revisions. In addition, the county
38superintendent of schools may appoint a committee to examine
39and comment on the superintendent’s review and recommendations,
P103  1subject to the requirement that the committee report its findings
2to the county superintendent of schools no later than August 20.

3(2)  Notwithstanding any other provision of this article, for the
42014-15 fiscal year and each fiscal year thereafter, the budget
5shall not be adopted or approved by the county superintendent of
6schools before a local control and accountability plan or update to
7an existing local control and accountability plan for the budget
8year is approved.

9(3) If the adopted budget of a school district is conditionally
10approved or disapproved pursuant to paragraph (1), on or before
11September 8, the governing board of the school district, in
12conjunction with the county superintendent of schools, shall review
13and respond to the recommendations of the county superintendent
14of schools at a regular meeting of the governing board of the school
15district. The response shall include any revisions to the adopted
16budget and other proposed actions to be taken, if any, as a result
17of those recommendations.

18(e) On or before September 22, the county superintendent of
19schools shall provide a list to the Superintendent identifying all
20school districts for which budgets may be disapproved.

21(f) (1) The county superintendent of schools shall examine the
22revised budget as provided in paragraph (3) of subdivision (d) to
23determine whether it (A) complies with the standards and criteria
24adopted by the state board pursuant to Section 33127 for
25application to final local educational agency budgets, (B) allows
26the school district to meet its financial obligations during the fiscal
27year, (C) satisfies all conditions established by the county
28superintendent of schools in the case of a conditionally approved
29budget, (D) is consistent with a financial plan that will enable the
30school district to satisfy its multiyear financial commitments,begin insert and
31(E) complies with the requirements of subparagraph (B) of
32paragraph (2) of subdivision (a),end insert
and, not later than October 8,
33shall approve or disapprove the revisedbegin delete budget, and (E) whether
34the revised budget complies with the requirements of subparagraph
35(B) of paragraph (2) of subdivision (a).end delete
begin insert budget.end insert If the county
36superintendent of schools disapproves the budget, he or she shall
37call for the formation of a budget review committee pursuant to
38Section 42127.1, unless the governing board of the school district
39and the county superintendent of schools agree to waive the
40requirement that a budget review committee be formed and the
P104  1department approves the waiver after determining that a budget
2review committee is not necessary. Upon the grant of a waiver,
3the county superintendent of schools immediately has the authority
4and responsibility provided in Section 42127.3. Upon approving
5a waiver of the budget review committee, the department shall
6ensure that a balanced budget is adopted for the school district by
7November 30. Ifbegin delete noend deletebegin insert aend insert budget isbegin insert notend insert adopted by November 30, the
8Superintendent may adopt a budget for the school district. The
9Superintendent shall report to the Legislature and the Director of
10Finance by December 10 if any school district, including a school
11district that has received a waiver of the budget review committee
12process, does not have an adopted budget by November 30. This
13report shall include the reasons why a budget has not been adopted
14by the deadline, the steps being taken to finalize budget adoption,
15the date the adopted budget is anticipated, and whether the
16Superintendent has or will exercise his or her authority to adopt a
17budget for the school district.

18(2) Notwithstanding any other law, for the 2014-15 fiscal year
19and each fiscal year thereafter, if the county superintendent of
20schools disapproves the budget for the sole reason that the county
21superintendent of schools has not approved a local control and
22 accountability plan or an annual update to the local control and
23accountability plan filed by the governing board of the school
24district pursuant to Section 52070, the county superintendent of
25schools shall not call for the formation of a budget review
26committee pursuant to Section 42127.1.

27(g) Not later than October 8, the county superintendent of
28schools shall submit a report to the Superintendent identifying all
29school districts for which budgets have been disapproved or budget
30review committees waived. The report shall include a copy of the
31written response transmitted to each of those school districts
32pursuant to paragraph (1) of subdivision (d).

33(h) Not later than 45 days after the Governor signs the annual
34Budget Act, the school district shall make available for public
35review any revisions in revenues and expenditures that it has made
36to its budget to reflect the funding made available by that Budget
37Act.

38(i) begin deleteAny end deletebegin insertA end insertschool district for which the county board of education
39serves as the governing board of the school district is not subject
P105  1to subdivisions (c) to (h), inclusive, but is governed instead by the
2budget procedures set forth in Section 1622.

3

SEC. 81.  

Section 42238.15 of the Education Code is amended
4to read:

5

42238.15.  

(a) Notwithstanding any other law, and in lieu of
6any inflation or cost-of-living adjustment otherwise authorized for
7begin delete any ofend delete the programs enumerated in subdivision (b), state funding
8for the programs enumerated in subdivision (b) shall be increased
9annually by the product of the following:

10(1) The sum of 1.0 plus the percentage change determined under
11paragraph (2) of subdivision (d) of Section 42238.02.

12(2) The sum of 1.0 plus the percentage of increase, from the
13prior fiscal year to the current fiscal year, in each of the workload
14factors described in subdivision (b).

15(b) The programs for which annual state funding increases are
16determined under this section, and the factors used to measure
17workload for each of those programs, are as follows:

18(1) Special education programs and services,begin delete asend deletebegin insert with workloadend insert
19 measured by the regular second principal apportionment average
20daily attendance for kindergarten and grades 1 to 12, inclusive.

21(2) Child care and development programs, and preschool
22programs,begin delete asend deletebegin insert with workloadend insert measured by the state population of
23children up to and including four years of age.

24(c) Notwithstanding any other law, child care and development
25programs shall not receive a cost-of-living adjustment in the
262012-13, 2013-14, and 2014-15 fiscal years.

27

SEC. 82.  

Section 42800 of the Education Code is amended to
28read:

29

42800.  

(a) The governing board of a school district may, with
30the consent of the county superintendent of schools, establish a
31revolving cash fund for the use of the chief accounting officer of
32the school district, by adopting a resolution setting forth the
33necessity for the revolving cash fund, the officer for whom and
34the purposes for which the revolving cash fund shall be available,
35and the amount of the fund. The purposes for which the revolving
36cash fund shall be available shall include the purposes specified
37in Section 45167. Three certified copies of the resolution shall be
38transmitted to the county superintendent of schools. If hebegin insert or sheend insert
39 approves the establishment of the fund, the county superintendent
40begin insert of schoolsend insert shall endorse hisbegin insert or herend insert consent on the resolution and
P106  1return one copy to the governingbegin delete bodyend deletebegin insert boardend insert of the school district,
2and transmit one copy to the county auditor.

3(b) The maximum amount allowed for revolving cash funds
4established pursuant to subdivision (a) shall be the lesser of:

5(1) Two percent of thebegin insert schoolend insert district’s estimated expenditures
6for the current fiscal year, or

7(2) A dollar amount limit of seventy-five thousand dollars
8($75,000) for any elementary school or high school district and
9one hundred fifty thousand dollars ($150,000) for any unified
10school district for fiscal year 1990-91. The dollar amount limit
11for each school district shall, through the 2012-13 fiscal year, be
12increased annually by the percentage increase in thebegin insert schoolend insert
13 district’s revenue limit established by Section 42238, as that section
14read on January 1, 2013. The dollar amount limit for each school
15district shall thereafter be increased annually by the percentage
16increase in the school district’s local control funding formula
17allocation established pursuant to Section 42238.02, as
18implemented pursuant to Section 42238.03.

19

SEC. 83.  

Section 44252 of the Education Code is amended to
20read:

21

44252.  

(a) (1) The commission shall establish standards and
22 procedures for the initial issuance and renewal of credentials.

23(2) (A) The commission shall require an initial or renewal
24applicant who submits an initial or renewal applicationbegin insert forend insert his or
25her credential online, as part of the application process, to read
26and attest by electronic signature a statement that the applicant for
27the credential understands the duties imposed on a holder of a
28teaching credential or a services credential pursuant to the Child
29Abuse and Neglect Reporting Act (Article 2.5 (commencing with
30Section 11164) of Chapter 2 of Title 1 of Part 4 of the Penal Code),
31including, but not limited to, the duty of a holder of a teaching
32credential or a services credential to report to any police
33department, sheriff's department, county probation department
34authorized to receive reports, or county welfare department,
35whenever he or she, in his or her professional capacity or within
36the scope of his or her employment, has knowledge of or observes
37a child whom the holder of a teaching credential or a services
38credential knows or reasonably suspects has been the victim of
39child abuse or neglect.

P107  1(B) The commission shall require an initial applicant who
2submits an application in paper form, as part of the application
3process, to read and attest by signature a statement that the
4applicant understands the duties imposed on a holder of a teaching
5credential or a services credential pursuant to the Child Abuse and
6Neglect Reporting Act (Article 2.5 (commencing with Section
711164) of Chapter 2 of Title 1 of Part 4 of the Penal Code),
8including, but not limited to, the duty of a holder of a teaching
9credential or a services credential to report to any police
10department, sheriff’s department, county probation department
11authorized to receive reports, or county welfare department,
12whenever he or she, in his or her professional capacity or within
13the scope of his or her employment, has knowledge of or observes
14a child whom the holder of a teaching credential or a services
15credential knows or reasonably suspects has been the victim of
16child abuse or neglect.

17(C) The statement described in subparagraphs (A) and (B) shall
18be substantially in the following form:


20“As a documentholder authorized to work with children, it is
21part of my professional and ethical duty to report every instance
22of child abuse or neglect known or suspected to have occurred to
23a child with whom I have professional contact.

24I understand that I must report immediately, or as soon as
25practicably possible, by telephone to a law enforcement agency
26or a child protective agency, and will send a written report and
27any evidence relating to the incident within 36 hours of becoming
28aware of the abuse or neglect of the child.

29I understand that reporting the information regarding a case of
30possible child abuse or neglect to an employer, supervisor, school
31principal, school counselor, coworker, or other person is not a
32substitute for making a mandated report to a law enforcement
33agency or a child protective agency.

34I understand that the reporting duties are individual and no
35supervisor or administrator may impede or inhibit my reporting
36duties.

37I understand that once I submit a report, I am not required to
38disclose my identity to my employer.

39I understand that my failure to report an instance of suspected
40child abuse or neglect as required by the Child Abuse and Neglect
P108  1Reporting Act under Section 11166 of the Penal Code is a
2misdemeanor punishable by up to six months in jail or by a fine
3of one thousand dollars ($1,000), or by both that imprisonment
4and fine.

5I acknowledge and certify that as a documentholder, I will fulfill
6all the duties required of a mandated reporter.”


8(b) The commission shall not issue initially a credential, permit,
9certificate, or renewal of an emergency credential to a person to
10serve in the public schools unless the person has demonstrated
11proficiency in basic reading, writing, and mathematics skills in
12the English language as provided in Section 44252.5 or 44252.7.
13The commission shall exempt the following persons from the basic
14skills proficiency test requirement:

15(1) A person credentialed solely for the purpose of teaching
16adults in an apprenticeship program.

17(2) An applicant for an adult education designated subject
18credential for other than an academic subject.

19(3) A person credentialed in another state who is an applicant
20for employment in a school district in this state who has passed a
21basic skills proficiency examination administered by the state
22where the person is credentialed.

23(4) A person credentialed in another state who is an applicant
24for employment in a school district in this state who has passed a
25basic skills proficiency examination that has been developed and
26administered by the school district offering that person
27employment, by cooperating school districts, or by the appropriate
28county office of education. School districts administering a basic
29skills proficiency examination under this paragraph shall comply
30with the requirements of subdivision (h) of Section 44830. The
31applicant shall be granted a nonrenewable credential, valid for not
32longer than one year, pending fulfillment of the basic skills
33proficiency requirement pursuant to Section 44252.5.

34(5) An applicant for a child care center permit or a permit
35authorizing service in a development center for thebegin delete handicapped,
36so long asend delete
begin insert handicapped ifend insert the holder of the permit is not required
37to have a baccalaureate degree.

38(6) The holder of a credential, permit, or certificate to teach,
39 other than an emergency permit, who seeks an additional
40authorization to teach.

P109  1(7) An applicant for a credential to provide service in the health
2profession.

3(8) An applicant who achieves scores on the writing, reading,
4and mathematics sections of the College Board SAT Reasoning
5Test, the enhanced ACT Test, or the California State University
6Early Assessment Program that are sufficient to waive the English
7placement test and the entry level mathematics examination
8administered by the California State University.

9(9) An applicant for an eminence credential to be issued pursuant
10to Section 44262.

11(c) (1) The Superintendent shall adopt an appropriate state test
12to measure proficiency in these basic skills. In adopting the test,
13the Superintendent shall seek assistance from the commission and
14an advisory board. A majority of the members of the advisory
15board shall be classroom teachers. The advisory board also shall
16include representatives of school boards, school administrators,
17parents, and postsecondary educational institutions.

18(2) The Superintendent shall adopt a normed test that the
19Superintendent determines will sufficiently test basic skills for
20purposes of this section.

21(3) The Superintendent, in conjunction with the commission
22and approved teacher training institutions, shall take steps
23necessary to ensure the effective implementation of this section.

24(d) This section does not require the holders of, or applicants
25for, a designated subjects special subjects credential to pass the
26state basic skills proficiency test unless the requirements for the
27specific credential required the possession of a baccalaureate
28degree. The governing board of a school district, or the governing
29board of a consortium of school districts, or the governing board
30involved in a joint powers agreement, which employs a holder of
31a designated subjects special subjects credential, shall establish its
32own basic skills proficiency criteria for the holders of these
33credentials and shall arrange for those individuals to be assessed.
34The basic skills proficiency criteria established by the governing
35board shall be at least equivalent to the test required by the district,
36or in the case of a consortium or a joint powers agreement, by any
37of the participating districts, for graduation from high school. The
38governing board or boards may charge a fee to individuals being
39tested to cover the costs of the test, including the costs of
40developing, administering, and grading the test.

P110  1(e) The commission shall compile data regarding the rate of
2passing the state basic skills proficiency test by persons who have
3been trained in various institutions of higher education. The data
4shall be available to members of the public, including to persons
5who intend to enroll in teacher education programs.

6(f) (1) Each applicant to an approved credential program, unless
7exempted by subdivision (b), shall take the state basic skills
8proficiency test in order to provide both the prospective applicant
9and the program with information regarding the proficiency level
10of the applicant. Test results shall be forwarded to each California
11postsecondary educational institution to which the applicant has
12applied. The program shall use test results to ensure that, upon
13admission, each applicant receives appropriate academic assistance
14necessary to pass the state basic skills proficiency test. Persons
15residing outside the state shall take the test no later than the second
16available administration following their enrollment in a credential
17program.

18(2) It is the intent of the Legislature that applicants for admission
19to teacher preparation programs not be denied admission on the
20basis of state basic skills proficiency test results.

21

SEC. 84.  

Section 44277 of the Education Code is amended to
22read:

23

44277.  

(a) The Legislature recognizes that effective
24professional growth must continue to occur throughout the careers
25of all teachers, in order that teachers remain informed of changes
26in pedagogy, subject matter, and pupil needs. In enacting this
27section, it is the intent of the Legislature to encourage teachers to
28engage in an individual program of professional growth that
29extends their content knowledge and teaching skills and for school
30districts to establish professional growth programs that give
31individual teachers a wide range of options to pursue as well as
32significant roles in determining the course of their professional
33growth.

34(b) An individual program of professional growth may consist
35of activities that are aligned with the California Standards for the
36 Teaching Profession that contribute to competence, performance,
37or effectiveness in the profession of education and the classroom
38assignments of the teacher. Acceptable activities may include,
39among other acceptable activities, the completion of courses offered
40by regionally accredited colleges and universities, including
P111  1instructor-led interactive courses delivered through online
2technologies; participation in professional conferences, workshops,
3teacher center programs, staff development programs, or a
4California Reading Professional Developmentbegin delete Programend deletebegin insert Institute
5programend insert
operated pursuant to Article 2 (commencing with Section
699220) of Chapter 5 of Part 65; service as a mentor teacher;
7participation in school curriculum development projects;
8participation in systematic programs of observation and analysis
9of teaching; service in a leadership role in a professional
10organization; and participation in educational research or
11innovation efforts. Employing agencies and the bargaining agents
12of employees may negotiate to agree on the terms of programs of
13professional growth within their jurisdictions, provided that the
14agreements shall be consistent with this section.

15(c) An individual program of professional growth may include
16a basic course in cardiopulmonary resuscitation, which includes
17training in the subdiaphragmatic abdominal thrust (also known as
18the “Heimlich maneuver”) and meets or exceeds the standards
19established by the American Heart Association or the American
20Red Cross for courses in that subject or minimum standards for
21training programs established by the Emergency Medical Services
22Authority. An individual program of professional growth may also
23include a course in first aid that meets or exceeds the standards
24established by the American Red Cross for courses in that subject
25or minimum standards for training programs established by the
26Emergency Medical Services Authority.

27(d) (1) If a local educational agency offers a program of
28professional growth for teachers, administrators, paraprofessional
29educators, or other classified employees involved in the direct
30instruction of pupils, the local educational agency shall evaluate
31professional learning based on all of the following criteria, and
32the local educational agency is encouraged to choose professional
33learning that meets any of the following criteria:

34(A) Helps attract, grow, and retain effective educators.

35(B) Is a part of every educator’s experience in order to accelerate
36instructional improvement and support pupil learning.

37(C) Is based on needs assessment of educators and tied to
38supporting pupil learning.

39(D) Emphasizes the importance of meeting the needs of all
40pupils.

P112  1(E) Is grounded in a description of effective practice, as
2articulated in the California Standards for the Teaching Profession.

3(F) Affords educators opportunities to engage with others to
4develop their craft, including, but not limited to, opportunities to
5increase their content knowledge.

6(G) Ensures educators have adequate time to learn about,
7practice, reflect, adjust, critique, and share what educators need
8to ensure that all pupils, especially high-needs pupils, develop
9knowledge and lifelong learning skills that will help the pupils to
10be successful.

11(H) Recognizes and utilizes expertbegin delete teacher and leaderend deletebegin insert teaching
12and leadershipend insert
skills.

13(I) Attends to collective growth needs as well as educators’
14individual growth needs.

15(J) Contributes to a positive, collaborative, and supportive adult
16learning environment.

17(K) Contributes to cycles of inquiry and improvement.

18(L) Is not limited to a single instance, but supports educators
19through multiple iterations or engagements.

20(M) Is based on a coherent and focused plan.

21(2) Professional learning activities may also include
22collaboration time for teachers to develop new instructional lessons,
23to select or develop common formative assessments, to analyze
24pupil data, for mentoring projects for new teachers, or for extra
25support for teachers to improve practice. Appropriate professional
26learning may be part of a coherent plan that combines school
27activities within the school, including, but not limited to, lesson
28study or coteaching, and external learning opportunities that meet
29all of the following criteria:

30(A) Are related to the academic subjects taught.

31(B) Provide time to meet and work with other teachers.

32(C) Support instruction and pupil learning to improve instruction
33in a manner that is consistent with academic content standards.

34(e) For purposes of this section, “local educational agency”
35means a school district, county office of education, or charter
36school.

37

SEC. 85.  

Section 44932 of the Education Code is amended to
38read:

39

44932.  

(a) A permanent employee shall not be dismissed
40except for one or more of the following causes:

P113  1(1) Immoralbegin delete conductend deletebegin insert conduct,end insert including, but not limited to,
2egregious misconduct. Forbegin delete theend delete purposes of this chapter, “egregious
3misconduct” is defined exclusively as immoral conduct that is the
4basis for an offense described in Section 44010 or 44011 of this
5code, or in Sections 11165.2 to 11165.6, inclusive, of the Penal
6Code.

7(2) Unprofessional conduct.

8(3) Commission, aiding, or advocating the commission of acts
9of criminal syndicalism, as prohibited by Chapter 188 of the
10Statutes of 1919, or in any amendment to that chapter.

11(4) Dishonesty.

12(5) Unsatisfactory performance.

13(6) Evident unfitness for service.

14(7) Physical or mental condition unfitting him or her to instruct
15or associate with children.

16(8) Persistent violation of or refusal to obey the school laws of
17the state or reasonable regulations prescribed for the government
18of the public schools by the state board or by the governing board
19of the school district employing him or her.

20(9) Conviction of a felony or of any crime involving moral
21turpitude.

22(10) Violation of Section 51530 or conduct specified in Section
231028 of the Government Code, added by Chapter 1418 of the
24Statutes of 1947.

25(11) Alcoholism or other drug abuse that makes the employee
26unfit to instruct or associate with children.

27(b) The governing board of a school district may suspend
28without pay for a specific period of time on grounds of
29unprofessional conduct a permanent certificated employee or, in
30a school district with an average daily attendance of less than 250
31pupils, a probationary employee, pursuant to the procedures
32specified in Sections 44933, 44934, 44934.1, 44935, 44936, 44937,
3344943, and 44944. This authorizationbegin delete shallend deletebegin insert doesend insert not apply to a
34school district that has adopted a collective bargaining agreement
35pursuant to subdivision (b) of Section 3543.2 of the Government
36Code.

37

SEC. 86.  

Section 44939 of the Education Code is amended to
38read:

39

44939.  

(a) This sectionbegin delete shall applyend deletebegin insert appliesend insert only to dismissal
40or suspension proceedings initiated pursuant to Section 44934.

P114  1(b) Upon the filing of written charges, duly signed and verified
2by the person filing them with the governing board of a school
3district, or upon a written statement of charges formulated by the
4governing board of a school district, charging a permanent
5employee of the school district with immoral conduct, conviction
6of a felony or of any crime involving moral turpitude, with
7incompetency due to mental disability, with willful refusal to
8perform regular assignments without reasonable cause, as
9prescribed by reasonable rules and regulations of the employing
10school district, or with violation of Section 51530, the governing
11board of the school district may, if it deems that action necessary,
12immediately suspend the employee from his or her duties and give
13notice to him or her of his or her suspension, and that 30 days after
14service of the notice of dismissal, he or she will be dismissed,
15unless he or she demands a hearing.

16(c) (1) An employee who has been placed on suspension
17pursuant to this section may serve and file with the Office of
18Administrative Hearings a motion for immediate reversal of
19suspension. Review of a motion filed pursuant to this section shall
20be limited to a determination as to whether the facts as alleged in
21the statement of charges, if true, are sufficient to constitute a basis
22for immediate suspension under this section. The motion shall
23include a memorandum of points and authorities setting forth law
24and argument supporting the employee’s contention that the
25statement of charges does not set forth a sufficient basis for
26immediate suspension.

27(2) The motion shall be served upon the governing board of the
28school district and filed with the Office of Administrative Hearings
29within 30 days after service upon the employee of the initial
30pleading in the matter. The governing board of the school district
31begin delete shall haveend deletebegin insert hasend insert the right to serve and file a written response to the
32motion before or at the time of hearing.

33(3) The hearing on the motion for immediate reversal of
34suspension shall be held no later than 30 days after the motion is
35filed with the Office of Administrative Hearings.

36(4) The administrative law judge shall, no later than 15 days
37after the hearing, issue an order denying or granting the motion.
38The order shall be in writing, and a copy of the order shall be
39served by the Office of Administrative Hearings upon the parties.
40The grant or denial of the motion shall be without prejudice to
P115  1consideration by the Commission on Professionalbegin delete Competenceend delete
2begin insert Competence,end insert based upon the full evidentiary record before it, of
3the validity of the grounds for dismissal. The ruling shall not be
4considered by the commission in determining the validity of the
5grounds for dismissal, and shall not have any bearing on the
6commission’s determination regarding the grounds for dismissal.

7(5) An order granting a motion for immediate reversal of
8suspension shall become effective within five days of service of
9the order. The school district shall make the employee whole for
10any lost wages, benefits, and compensation within 14 days after
11service of an order granting the motion.

12(6) A motion made pursuant to this section shall be the exclusive
13means of obtaining interlocutory review of suspension pending
14dismissal. The grant or denial of the motionbegin delete shallend deletebegin insert isend insert notbegin delete beend delete subject
15to interlocutory judicial review.

16(d) A motion for immediate reversal of suspension pursuant to
17this sectionbegin delete shall have no bearing onend deletebegin insert does not affectend insert the authority
18of a governing board of a school district to determine the physical
19placement and assignment of an employee who is suspended or
20placed on administrative leave during the review of the motion or
21while dismissal charges are pending.

22

SEC. 87.  

Section 44940 of the Education Code is amended to
23read:

24

44940.  

(a) For purposes of this section, “charged with a
25mandatory leave of absence offense” is defined to mean charged
26by complaint, information, or indictment filed in a court of
27competent jurisdiction with the commission of any sex offense as
28defined in Section 44010, with a violation or attempted violation
29of Section 187 of the Penal Code, or with the commission of any
30offense involving aiding or abetting the unlawful sale, use, or
31exchange to minors of controlled substances listed in Schedule I,
32II, or III, as contained in Sections 11054, 11055, and 11056 of the
33Health and Safety Code.

34(b) For purposes of this section, “charged with an optional leave
35of absence offense” is defined to mean a charge by complaint,
36information, or indictment filed in a court of competent jurisdiction
37with the commission of any controlled substance offense as defined
38in Section 44011 orbegin delete 87011,end deletebegin insert 87011 of this code, orend insert Sections 11357
39to 11361, inclusive, or Section 11363, 11364, or 11370.1 of the
40Health and Safety Code, insofar as these sections relate to any
P116  1controlled substances except marijuana, mescaline, peyote, or
2tetrahydrocannabinols.

3(c) For purposes of this section and Section 44940.5, the term
4“school district” includes county offices of education.

5(d) (1) If a certificated employee of a school district is charged
6with a mandatory leave of absence offense, as defined in
7subdivision (a), upon being informed that a charge has been filed,
8the governing board of the school district shall immediately place
9the employee on compulsory leave of absence. The duration of
10the leave of absence shall be until a time not more than 10 days
11after the date of entry of the judgment in the proceedings. No later
12than 10 days after receipt of the complaint, information, or
13indictment described by subdivision (a), the school district shall
14forward a copy to the Commission on Teacher Credentialing.

15(2) Upon receiving a copy of a complaint, information, or
16indictment described in subdivision (a) and forwarded by a school
17district, the Commission on Teacher Credentialing shall
18automatically suspend the employee’s teaching or service
19credential. The duration of the suspension shall be until a time not
20more than 10 days after the date of entry of the judgment in the
21proceedings.

22(e) (1) If a certificated employee of a school district is charged
23with an optional leave of absence offense as defined in subdivision
24(b), the governing board of the school district may immediately
25place the employee upon compulsory leave in accordance with the
26procedure in this section and Section 44940.5. If any certificated
27employee is charged with an offense deemed to fall into both the
28mandatory and the optional leave of absence categories, as defined
29in subdivisions (a) and (b), that offense shall be treated as a
30mandatory leave of absence offense for purposes of this section.
31No later than 10 days after receipt of the complaint, information,
32or indictment described by subdivision (a), the school district shall
33forward a copy to the Commission on Teacher Credentialing.

34(2) Upon receiving a copy of a complaint, information, or
35indictment described in subdivision (a) and forwarded by a school
36district, the Commission on Teacher Credentialing shall
37automatically suspend the employee’s teaching or service
38credential. The duration of the suspension shall be until a time not
39more than 10 days after the date of entry of the judgment in the
40proceedings.

P117  1

SEC. 88.  

Section 44944 of the Education Code is amended to
2read:

3

44944.  

(a) This sectionbegin delete shall applyend deletebegin insert appliesend insert only to dismissal
4or suspension proceedings initiated pursuant to Section 44934.

5(b) (1) (A) In a dismissal or suspension proceeding initiated
6pursuant to Section 44934, if a hearing is requested by the
7employee, the hearing shall be commenced within six months from
8the date of the employee’s demand for a hearing. A continuance
9shall not extend the date for the commencement of the hearing
10more than six months from the date of the employee’s request for
11a hearing, except for extraordinary circumstances, as determined
12by the administrative law judge. If extraordinary circumstances
13are found that extend the date for the commencement of the
14hearing, the deadline for concluding the hearing and closing the
15record pursuant to this subdivision shall be extended for a period
16of time equal to the continuance. The hearing date shall be
17established after consultation with the employee and the governing
18board of the school district, or their representatives, except that if
19the parties are not able to reach an agreement on a date, the Office
20of Administrative Hearings shall unilaterally set a date in
21compliance with this section. The hearing shall be completed by
22a closing of the record within seven months of the date of the
23employee’s demand for a hearing. A continuance shall not extend
24the date for the close of the record more than seven months from
25the date of the employee’s request for a hearing, except for good
26cause, as determined by the administrative law judge.

27(B) begin deleteWhere end deletebegin insertIf end insertsubstantial progress has been made in completing
28the previously scheduled days of the hearing within the
29seven-month period but the hearing cannot be completed, for good
30cause shown, within the seven-month period, the period for
31completing the hearing may be extended by the presiding
32administrative law judge. If the administrative law judge grants a
33continuance under this subparagraph, he or she shall establish a
34reasonable timetable for the completion of the hearing and the
35closing of the record. The hearing shall be initiated and conducted,
36and a decision made, in accordance with Chapter 5 (commencing
37with Section 11500) of Part 1 of Division 3 of Title 2 of the
38Government Code, and the Commission on Professional
39Competence shall have all of the power granted to an agency
40pursuant to that chapter, except as described in this article.

P118  1(2) (A) A witness shall not be permitted to testify at the hearing
2except upon oath or affirmation.begin delete No testimonyend deletebegin insert Testimonyend insert shallbegin insert notend insert
3 be given or evidencebegin insert shall not beend insert introduced relating to matters
4that occurred more than four years before the date of the filing of
5the notice, except allegations of an act described in Section 44010
6of this code or Sections 11165.2 to 11165.6, inclusive, of the Penal
7Code.

8(B) Evidence of records regularly kept by the governing board
9of the school district concerning the employee may be introduced,
10but no decision relating to the dismissal or suspension of an
11employee shall be made based on charges or evidence of any nature
12relating to matters occurring more than four years before the filing
13of the notice, except allegations of an act described in Section
1444010 of this code or Sections 11165.2 to 11165.6, inclusive, of
15the Penal Code.

16(c) (1) The hearing provided for in this section shall be
17conducted by a Commission on Professional Competence, unless
18the parties submit a statement in writing to the Office of
19Administrative Hearings, indicating that both parties waive the
20right to convene a Commission on Professional Competence and
21stipulate to having the hearing conducted by a single administrative
22law judge. If the parties elect to waive a hearing before the
23Commission on Professional Competence, the hearing shall be
24initiated and conducted, and a decision made, in accordance with
25Chapter 5 (commencing with Section 11500) of Part 1 of Division
263 of Title 2 of the Government Code, and the administrative law
27judge conducting the hearing shall have all the powers granted to
28a Commission on Professional Competence pursuant to that
29chapter, except as described in this article.

30(2) If the parties elect not to waive a hearing before a
31Commission on Professional Competence, one member of the
32commission shall be selected by the employee, one member shall
33be selected by the governing board of the school district, and one
34member shall be an administrative law judge of the Office of
35Administrative Hearings who shall be chairperson and a voting
36member of the commission and shall be responsible for assuring
37that the legal rights of the parties are protected at the hearing.

38(3) The governing board of the school district and the employee
39shall select Commission on Professional Competence members
40no later than 45 days before the date set for hearing, and shall serve
P119  1notice of their selection upon all other parties and upon the Office
2of Administrative Hearings. Failure to meet this deadline shall
3constitute a waiver of the right to selection, and the county board
4of education or its specific designee shall immediately make the
5selection. If the county board of education is also the governing
6board of the school district or has by statute been granted the
7powers of a governing board, the selection shall be made by the
8Superintendent, who shall be reimbursed by the school district for
9all costs incident to the selection.

10(4) Any party who believes that a selected Commission on
11Professional Competence member is not qualified may file an
12objection, including a statement describing the basis for the
13objection, with the Office of Administrative Hearings and serve
14the objection and statement upon all other parties within 10 days
15of the date that the notice of selection is filed. Within seven days
16after the filing of any objection, the administrative law judge
17assigned to the matter shall rule on the objection or convene a
18teleconference with the parties for argument.

19(5) (A) The member selected by the governing board of the
20school district and the member selected by the employee shall not
21be related to the employee and shall not be employees of the school
22district initiating the dismissal or suspension. Each member shall
23hold a currently valid credential and have at least three years’
24experience within the past 10 years in the discipline of the
25employee.

26(B) For purposes of this paragraph, the following terms have
27 the following meanings:

28(i) For an employee subject to dismissal whose most recent
29teaching assignment is in kindergarten or any of the grades 1 to 6,
30inclusive, “discipline” means a teaching assignment in kindergarten
31or any of the grades 1 to 6, inclusive.

32(ii) For an employee subject to dismissal whose most recent
33assignment requires an education specialist credential or a services
34credential, “discipline” means an assignment that requires an
35education specialist credential or a services credential, respectively.

36(iii) For an employee subject to dismissal whose most recent
37teaching assignment is in any of the grades 7 to 12, inclusive,
38“discipline” means a teaching assignment in any of grades 7 to 12,
39inclusive, in the same area of study, as that term is used in Section
P120  151220, as the most recent teaching assignment of the employee
2subject to dismissal.

3(d) (1) The decision of the Commission on Professional
4Competence shall be made by a majority vote, and the commission
5shall prepare a written decision containing findings of fact,
6determinations of issues, and a disposition that shall be, solely,
7one of the following:

8(A) That the employee should be dismissed.

9(B) That the employee should be suspended for a specific period
10of time without pay.

11(C) That the employee should not be dismissed or suspended.

12(2) The decision of the Commission on Professional Competence
13that the employee should not be dismissed or suspended shall not
14be based on nonsubstantive procedural errors committed by the
15school district or governing board of the school district unless the
16errors are prejudicial errors.

17(3) The Commission on Professional Competence shall not have
18the power to dispose of the charge of dismissal by imposing
19probation or other alternative sanctions. The imposition of
20suspension pursuant to subparagraph (B) of paragraph (1) shall be
21available only in a suspension proceeding authorized pursuant to
22subdivision (b) of Section 44932 or Section 44933.

23(4) The decision of the Commission on Professional Competence
24shall be deemed to be the final decision of the governing board of
25the school district.

26(5) The governing board of the school district may adopt from
27time to time rules and procedures not inconsistent with this section
28as may be necessary to effectuate this section.

29(6) The governing board of the school district and the employee
30shall have the right to be represented by counsel.

31(e) (1) If the member selected by the governing board of the
32school district or the member selected by the employee is employed
33by any school district in this state, the member shall, during any
34service on a Commission on Professional Competence, continue
35to receive salary, fringe benefits, accumulated sick leave, and other
36leaves and benefits from the school district in which the member
37is employed, but shallbegin insert notend insert receivebegin delete noend delete additional compensation or
38honorariums for service on the commission.

39(2) If the member selected is a retired employee, the member
40shall receive pay at the daily substitute teacher rate in the school
P121  1district that is a party to the hearing. Service on a Commission on
2Professional Competence shall not be credited toward retirement
3benefits.

4(3) If service on a Commission on Professional Competence
5occurs during summer recess or vacation periods, the member shall
6receive compensation proportionate to that received during the
7current or immediately preceding contract period from the
8member’s employing school district, whichever amount is greater.

9(f) (1) If the Commission on Professional Competence
10determines that the employee should be dismissed or suspended,
11the governing board of the school district and the state shall share
12equally the expenses of the hearing, including the cost of the
13administrative law judge. The state shall pay any costs incurred
14under paragraphs (2) and (3) of subdivision (e), the reasonable
15expenses, as determined by the administrative law judge, of the
16member selected by the governing board of the school district and
17the member selected by the employee, including, but not limited
18to, payments or obligations incurred for travel, meals, and lodging,
19and the cost of the substitute or substitutes, if any, for the member
20selected by the governing board of the school district and the
21member selected by the employee. The Controller shall pay all
22claims submitted pursuant to this paragraph from the General Fund,
23and may prescribe reasonable rules, regulations, and forms for the
24submission of the claims. The employee and the governing board
25of the school district shall pay their own attorney’s fees.

26(2) If the Commission on Professional Competence determines
27that the employee should not be dismissed or suspended, the
28governing board of the school district shall pay the expenses of
29the hearing, including the cost of the administrative law judge, any
30costs incurred under paragraphs (2) and (3) of subdivision (e), the
31reasonable expenses, as determined by the administrative law
32judge, of the member selected by the governing board of the school
33district and the member selected by the employee, including, but
34not limited to, payments or obligations incurred for travel, meals,
35and lodging, the cost of the substitute or substitutes, if any, for the
36member selected by the governing board of the school district and
37the member selected by the employee, and reasonable attorney’s
38fees incurred by the employee.

39(3) As used in this section, “reasonable expenses” shall not be
40deemed “compensation” within the meaning of subdivision (e).

P122  1(4) If either the governing board of the school district or the
2employee petitions a court of competent jurisdiction for review of
3the decision of the Commission on Professionalbegin delete Competenceend delete
4begin insert Competence,end insert the payment of expenses to members of the
5commission required by this subdivision shall not be stayed.

6(5) If the decision of the Commission on Professional
7Competence is reversed or vacated by a court of competent
8jurisdiction, either the state, having paid the commission members’
9expenses, shall be entitled to reimbursement from the governing
10board of the school district for those expenses, or the governing
11board of the school district, having paid the expenses, shall be
12entitled to reimbursement from the state. If either the governing
13board of the school district or the employee petitions a court of
14competent jurisdiction for review of the decision to overturn the
15administrative law judge’s decision, the payment of the expenses
16of the hearing, including the cost of the administrative law judge
17required by this paragraph, shall be stayed until no further appeal
18is sought, or all appeals are exhausted.

19(g) The hearing provided for in this section shall be conducted
20in a place selected by agreement among the members of the
21Commission on Professional Competence. In the absence of
22agreement, the place shall be selected by the administrative law
23judge.

24

SEC. 89.  

Section 44944.05 of the Education Code is amended
25to read:

26

44944.05.  

(a) In a dismissal or suspension proceeding initiated
27pursuant to Section 44934, in lieu of written discovery required
28pursuant to Section 11507.6 of the Government Code, the parties
29shall make disclosures as described in this section. This section
30begin delete shallend deletebegin insert doesend insert not apply to dismissal or suspension proceedings
31initiated pursuant to Section 44934.1.

32(b) (1) An initial disclosure shall comply with the following
33requirements:

34(A) A party shall, without awaiting a discovery request, provide
35to the other parties both of the following:

36(i) The name and, if known, the address and telephone number
37of each individual likely to have discoverable information, along
38with the subjects of information relating to the allegations made
39in the charges and the parties’ claims and defenses, unless the use
40would be solely for impeachment purposes.

P123  1(ii) A copy of all documents, electronically stored information,
2and tangible items that the disclosing party has in its possession,
3custody, or control relating to the allegations made in the charges
4and the parties’ claims or defenses, unless the use would be solely
5for impeachment.

6(B) The school district and the employee shall make their initial
7disclosures within 45 days of the date of the employee’s demand
8for a hearing.

9(C) A party shall make its initial disclosures based on the
10information then reasonably available to it. A party is not excused
11from making its disclosures because it has not fully investigated
12the case or because it challenges the sufficiency of another party’s
13disclosures. A party’s failure to make initial disclosures within the
14deadlines set forth in this section shall preclude the party from
15introducing witnesses or evidence not disclosed at the hearing,
16unless the party shows good cause for its failure to timely disclose.

17(D) A party has an obligation to promptly supplement its initial
18disclosures as new information or evidence becomes known or
19available. Supplemental disclosures shall be made as soon as
20possible, and no later than 60 days before the date of
21commencement of the hearing. A party’s failure to make
22supplemental disclosures promptly upon discovery or availability
23of new information or evidence shall preclude the party from
24introducing witnesses or evidence not disclosed at the hearing,
25unless the party shows good cause for its failure to timely disclose.

26(2) The disclosure of expert testimony shall comply with the
27following requirements:

28(A) A party shall also disclose to the other parties the identities
29of any expert witnesses whose testimony it may use at the hearing.

30(B) The disclosure specified in subparagraph (A) shall be
31accompanied by a summary of the witness’ expected testimony,
32including a description of the facts and data considered by the
33witness; a description of the witness’ qualifications, including a
34list of all publications authored in the previous 10 years; a list of
35all other cases in which, during the previous four years, the witness
36testified as an expert at a hearing or by deposition; and a statement
37of the compensation to be paid to the expert witness.

38(C) Expert witness disclosures shall be made no later than 60
39days before the date of commencement of the hearing. A party’s
40failure to make full and timely expert witness disclosures shall
P124  1preclude the party’s use of the expert witness’ testimony or
2evidence at the hearing.

3(3) Prehearing disclosures shall comply with the following
4requirements:

5(A) In addition to the disclosures required in paragraphs (1) and
6(2), a party shall provide to the other parties the following
7information about the evidence that it may present at the hearing:

8(i) The name, and, if not previously provided, the address and
9telephone number of each witness, separately identifying those
10the party expects to present and those it may call if the need arises.

11(ii) An identification of each exhibit, separately identifying
12those items the party expects to offer and those it may offer if the
13need arises.

14(B) Prehearing disclosures shall be made at least 30 days before
15the hearing.

16(i) Within 14 days after prehearing disclosures are made, a party
17shall file and serve any objections, along with the grounds for each
18objection, to the admissibility of evidence.

19(ii) These objections shall be decided on the first day ofbegin insert theend insert
20 hearing, or at a prehearing conference conducted pursuant to
21Section 11511.5 of the Government Code. Documents and
22individuals not timely disclosed without good cause shall be
23precluded from admission at the hearing.

24(c) In addition to the disclosures required by subdivision (a),
25the parties may obtain discovery by oral deposition in California,
26in accordance with Sections 2025.010 to 2025.620, inclusive, of
27the Code of Civil Procedure, except as described in this article.
28The school district may take the depositions of the employee and
29no more than four other witnesses, and the employee may take
30depositions of no more than five witnesses. Each witness deposition
31is limited to seven hours. An administrative law judge may allow
32the parties to conduct additional depositions only upon a showing
33of good cause. If a motion to conduct additional depositions is
34granted by the administrative law judge, the employee shall be
35given a meaningful opportunity to respond to new evidence
36introduced as a result of the additional depositions. An order
37granting a motion for additional depositions shall not constitute
38an extraordinary circumstance or good cause for purposes of
39extending the deadlines set forth in paragraph (1) of subdivision
40(b) of Section 44944.

P125  1(d) If the right to disclosures or oral depositions is denied by
2either the employee or the governing board, the exclusive right of
3a party seeking an order compelling production of discovery shall
4be pursuant to Section 11507.7 of the Government Code. If a party
5seeks protection from unreasonable or oppressive discovery
6demands, the exclusive right of a party seeking an order for
7protection shall be pursuant to Section 11450.30 of the Government
8Code.

9

SEC. 90.  

Section 44944.3 of the Education Code is amended
10to read:

11

44944.3.  

At a hearing conducted pursuant to Section 44944 or
1244944.1, the administrative law judge, before admitting any
13testimony or evidence concerning an individual pupil, shall
14determine whether the introduction of the testimony or evidence
15at an open hearing would violate any provision of Article 5
16(commencing with Section 49073) of Chapter 6.5 of Part 27 of
17Division 4, relating to privacy of pupil records. If the administrative
18law judge, in his or her discretion, determines that any of those
19provisions would be violated, he or she shall order that the hearing,
20or any portionbegin delete thereofend deletebegin insert of the hearingend insert at which the testimony or
21evidence would be produced, be conducted in executive session.

22

SEC. 91.  

Section 46116 of the Education Code is amended to
23read:

24

46116.  

(a) No later than July 1, 2017, the Superintendent shall
25provide the Legislature with an evaluation of kindergarten program
26implementation in the state, including part-day and full-day
27kindergarten programs. The evaluation shall include recommended
28best practices for providing full-day kindergarten programs.

29(b) The evaluation shall include a sample of local educational
30agencies’begin delete full dayend deletebegin insert full-dayend insert and part-day kindergarten programs
31from across the state. It is the intent of the Legislature that this
32sample be representative of the diversity of the state, and shall
33include both urban and rural and small and large local educational
34agencies within school districts.

35(c) The report required pursuant to this section shall be submitted
36in compliance with Section 9795 of the Government Code.

37(d) This section shall not become operative until the Legislature
38makes an appropriation for these purposes in the annual Budget
39Act or in any other statute.

P126  1(e) This section shall become inoperative on July 1, 2017, and,
2as of January 1, 2018, is repealed, unless a later enacted statute,
3that becomes operative on or before January 1, 2018, deletes or
4extends the dates on which it becomes inoperative and is repealed.

5

SEC. 92.  

The heading of Article 3 (commencing with Section
646330) of Chapter 3 of Part 26 of Division 4 of Title 2 of the 7Education Code is repealed.

begin delete

8 

9Article 3.  High Schools
10

 

end delete
11

SEC. 93.  

The heading of Article 4 (commencing with Section
1246340) of Chapter 3 of Part 26 of Division 4 of Title 2 of the 13Education Code is repealed.

begin delete

14 

15Article 4.  Opportunity Schools
16

 

end delete
17

SEC. 94.  

Section 47605 of the Education Code is amended to
18read:

19

47605.  

(a) (1) Except as set forth in paragraph (2), a petition
20for the establishment of a charter school within a school district
21may be circulated by one or more persons seeking to establish the
22charter school. A petition for the establishment of a charter school
23shall identify a single charter school that will operate within the
24geographic boundaries of that school district. A charter school
25may propose to operate at multiple sites within the schoolbegin delete district,
26as long asend delete
begin insert district ifend insert each location is identified in the charter school
27petition. The petition may be submitted to the governing board of
28the school district for review after either of the following conditions
29is met:

30(A) The petition is signed by a number of parents or legal
31guardians of pupils that is equivalent to at least one-half of the
32number of pupils that the charter school estimates will enroll in
33the school for its first year of operation.

34(B) The petition is signed by a number of teachers that is
35equivalent to at least one-half of the number of teachers that the
36charter school estimates will be employed at the school during its
37first year of operation.

38(2) A petition that proposes to convert an existing public school
39to a charter school that would not be eligible for a loan pursuant
40to subdivisionbegin delete (b)end deletebegin insert (c)end insert of Section 41365 may be circulated by one
P127  1or more persons seeking to establish the charter school. The petition
2may be submitted to the governing board of the school district for
3review after the petition is signed by not less than 50 percent of
4the permanent status teachers currently employed at the public
5school to be converted.

6(3) A petition shall include a prominent statement that a
7signature on the petition means that the parent or legal guardian
8is meaningfully interested in having his or her child or ward attend
9the charter school, or in the case of a teacher’s signature, means
10that the teacher is meaningfully interested in teaching at the charter
11school. The proposed charter shall be attached to the petition.

12(4) After receiving approval of its petition, a charter school that
13proposes to establish operations at one or more additional sites
14shall request a material revision to its charter and shall notify the
15authority that granted its charter of those additional locations. The
16authority that granted its charter shall consider whether to approve
17those additional locations at an open, public meeting. If the
18additional locations are approved, they shall be a material revision
19to the charter school’s charter.

20(5) A charter school that is unable to locate within the
21jurisdiction of the chartering school district may establish one site
22outside the boundaries of the school district, but within the county
23in which that school district is located, if the school district within
24the jurisdiction of which the charter school proposes to operate is
25notified in advance of the charter petition approval, the county
26superintendent of schools and the Superintendent are notified of
27the location of the charter school before it commences operations,
28and either of the following circumstances exists:

29(A) The school has attempted to locate a single site or facility
30to house the entire program, but a site or facility is unavailable in
31the area in which the school chooses to locate.

32(B) The site is needed for temporary use during a construction
33or expansion project.

34(6) Commencing January 1, 2003, a petition to establish a charter
35school may not be approved to serve pupils in a grade level that
36is not served by the school district of the governing board
37considering the petition, unless the petition proposes to serve pupils
38in all of the grade levels served by that school district.

39(b) No later than 30 days after receiving a petition, in accordance
40with subdivision (a), the governing board of the school district
P128  1shall hold a public hearing on the provisions of the charter, at
2which time the governing board of the school district shall consider
3the level of support for the petition by teachers employed by the
4begin insert schoolend insert district, other employees of thebegin insert schoolend insert district, and parents.
5Following review of the petition and the public hearing, the
6governing board of the school district shall either grant or deny
7the charter within 60 days of receipt of the petition, provided,
8however, that the date may be extended by an additional 30 days
9if both parties agree to the extension. In reviewing petitions for
10the establishment of charter schools pursuant to this section, the
11chartering authority shall be guided by the intent of the Legislature
12that charter schools are and should become an integral part of the
13California educational system and thatbegin insert theend insert establishment of charter
14schools should be encouraged. The governing board of the school
15district shall grant a charter for the operation of a school under this
16part if it is satisfied that granting the charter is consistent with
17sound educational practice. The governing board of the school
18district shall not deny a petition for the establishment of a charter
19school unless it makes written factual findings, specific to the
20particular petition, setting forth specific facts to support one or
21more of the following findings:

22(1) The charter school presents an unsound educational program
23for the pupils to be enrolled in the charter school.

24(2) The petitioners are demonstrably unlikely to successfully
25implement the program set forth in the petition.

26(3) The petition does not contain the number of signatures
27required by subdivision (a).

28(4) The petition does not contain an affirmation of each of the
29conditions described in subdivision (d).

30(5) The petition does not contain reasonably comprehensive
31descriptions of all of the following:

32(A) (i) begin deleteA description of the end deletebegin insertThe end inserteducational program of the
33begin insert charterend insert school, designed, among other things, to identify those
34whom thebegin insert charterend insert school is attempting to educate, what it means
35to be an “educated person” in the 21st century, and how learning
36best occurs. The goals identified in that program shall include the
37objective of enabling pupils to become self-motivated, competent,
38and lifelong learners.

39(ii) begin deleteA description, end deletebegin insertThe annual goals end insertfor the charterbegin delete school, of
40annual goals,end delete
begin insert schoolend insert for all pupils and for each subgroup of pupils
P129  1identified pursuant to Section 52052, to be achieved in the state
2priorities, as described in subdivision (d) of Section 52060, that
3apply for the grade levels served, or the nature of the program
4operated, by the charter school, and specific annual actions to
5achieve those goals. A charter petition may identify additional
6school priorities, the goals for the school priorities, and the specific
7annual actions to achieve those goals.

8(iii) If the proposedbegin insert charterend insert school will serve high school pupils,
9begin delete a description ofend delete the manner in which the charter school will inform
10parents about the transferability of courses to other public high
11schools and the eligibility of courses to meet college entrance
12 requirements. Courses offered by the charter school that are
13accredited by the Western Association of Schools and Colleges
14may be considered transferable and courses approved by the
15University of California or the California State University as
16creditable under the “A” to “G” admissions criteria may be
17considered to meet college entrance requirements.

18(B) The measurable pupil outcomes identified for use by the
19charter school. “Pupil outcomes,” for purposes of this part, means
20the extent to which all pupils of the school demonstrate that they
21have attained the skills, knowledge, and attitudes specified as goals
22in the school’s educational program. Pupil outcomes shall include
23outcomes that address increases in pupil academic achievement
24both schoolwide and for all groups of pupils served by the charter
25school, as that term is defined in subparagraph (B) of paragraph
26(3) of subdivision (a) of Section 47607. The pupil outcomes shall
27align with the state priorities, as described in subdivision (d) of
28Section 52060, that apply for the grade levels served, or the nature
29of the program operated, by the charter school.

30(C) The method by which pupil progress in meeting those pupil
31outcomes is to be measured. To the extent practicable, the method
32for measuring pupil outcomes for state priorities shall be consistent
33with the way information is reported on a school accountability
34report card.

35(D) The governance structure of thebegin insert charterend insert school, including,
36but not limited to, the process to be followed by thebegin insert charterend insert school
37to ensure parental involvement.

38(E) The qualifications to be met by individuals to be employed
39by thebegin insert charterend insert school.

P130  1(F) The procedures that thebegin insert charterend insert school will follow to ensure
2the health and safety of pupils and staff. These procedures shall
3include the requirement that each employee of thebegin insert charterend insert school
4furnishbegin delete the schoolend deletebegin insert itend insert with a criminal record summary as described
5in Section 44237.

6(G) The means by which the school will achieve a racial and
7ethnic balance among its pupils that is reflective of the general
8population residing within the territorial jurisdiction of the school
9district to which the charter petition is submitted.

10(H) Admission requirements, if applicable.

11(I) The manner in which annual, independent financial audits
12shall be conducted, which shall employ generally accepted
13accounting principles, and the manner in which audit exceptions
14and deficiencies shall be resolved to the satisfaction of the
15chartering authority.

16(J) The procedures by which pupils can be suspended or
17expelled.

18(K) The manner by which staff members of the charter schools
19will be covered by the State Teachers’ Retirement System, the
20Public Employees’ Retirement System, or federal social security.

21(L) The public school attendance alternatives for pupils residing
22 within the school district who choose not to attend charter schools.

23(M) begin deleteA description of the end deletebegin insertThe end insertrights ofbegin delete anyend deletebegin insert anend insert employee of the
24school district upon leaving the employment of the school district
25to work in a charter school, and of any rights of return to the school
26district after employment at a charter school.

27(N) The procedures to be followed by the charter school and
28the entity granting the charter to resolve disputes relating to
29provisions of the charter.

begin delete

30(O) A declaration whether or not the charter school shall be
31deemed the exclusive public school employer of the employees of
32the charter school for purposes of Chapter 10.7 (commencing with
33Section 3540) of Division 4 of Title 1 of the Government Code.

end delete
begin delete

34(P) A description of the

end delete

35begin insert (O)end insertbegin insertend insertbegin insertTheend insert procedures to be used if the charter school closes. The
36procedures shall ensure a final audit of thebegin insert charterend insert school to
37determine the disposition of all assets and liabilities of the charter
38school, including plans for disposing of any net assets and for the
39maintenance and transfer of pupil records.

begin insert

P131  1(6) The petition does not contain a declaration of whether or
2not the charter school shall be deemed the exclusive public
3employer of the employees of the charter school for purposes of
4Chapter 10.7 (commencing with Section 3540) of Division 4 of
5Title 1 of the Government Code.

end insert

6(c) (1) Charter schools shall meet all statewide standards and
7conduct the pupil assessments required pursuant to Sections 60605
8and 60851 and any other statewide standards authorized in statute
9or pupil assessments applicable to pupils in noncharter public
10schools.

11(2) Charter schools shall, on a regular basis, consult with their
12parents, legal guardians, and teachers regarding thebegin insert charterend insert school’s
13educational programs.

14(d) (1) In addition to any other requirement imposed under this
15part, a charter school shall be nonsectarian in its programs,
16admission policies, employment practices, and all other operations,
17shall not charge tuition, and shall not discriminate againstbegin delete anyend deletebegin insert aend insert
18 pupil on the basis of the characteristics listed in Section 220. Except
19as provided in paragraph (2), admission to a charter school shall
20not be determined according to the place of residence of the pupil,
21or of his or her parent or legal guardian, within this state, except
22that an existing public school converting partially or entirely to a
23charter school under this part shall adopt and maintain a policy
24giving admission preference to pupils who reside within the former
25attendance area of that public school.

26(2) (A) A charter school shall admit all pupils who wish to
27attend the school.

28(B) If the number of pupils who wish to attend the charter school
29exceeds the school’s capacity, attendance, except for existing pupils
30of the charter school, shall be determined by a public random
31drawing. Preference shall be extended to pupils currently attending
32the charter school and pupils who reside in the district except as
33provided for in Section 47614.5. Other preferences may be
34permitted by the chartering authority on an individual school basis
35and only if consistent with the law.

36(C) In the event of a drawing, the chartering authority shall
37make reasonable efforts to accommodate the growth of the charter
38school andbegin delete in no eventend delete shallbegin insert notend insert take any action to impede the
39charter school from expanding enrollment to meet pupil demand.

P132  1(3) If a pupil is expelled or leaves the charter school without
2graduating or completing the school year for any reason, the charter
3school shall notify the superintendent of the school district of the
4pupil’s last known address within 30 days, and shall, upon request,
5provide that school district with a copy of the cumulative record
6of the pupil, including a transcript of grades or report card, and
7health information. This paragraph applies only to pupils subject
8to compulsory full-time education pursuant to Section 48200.

9(e) The governing board of a school district shall not require
10begin delete anyend deletebegin insert anend insert employee of the school district to be employed in a charter
11school.

12(f) The governing board of a school district shall not require
13begin delete anyend deletebegin insert aend insert pupil enrolled in the school district to attend a charter school.

14(g) The governing board of a school district shall require that
15the petitioner or petitioners provide information regarding the
16proposed operation and potential effects of thebegin insert charterend insert school,
17including, but not limited to, the facilities to be used by the school,
18the manner in which administrative services of the school are to
19be provided, and potential civil liability effects, if any, upon the
20school and upon the school district. The description of the facilities
21to be used by the charter school shall specify where the school
22intends to locate. The petitioner or petitioners shall also be required
23to provide financial statements that include a proposed first-year
24operational budget, including startup costs, and cashflow and
25financial projections for the first three years of operation.

26(h) In reviewing petitions for the establishment of charter
27schools within the school district, the governing board of the school
28district shall give preference to petitions that demonstrate the
29capability to provide comprehensive learning experiences to pupils
30identified by the petitioner or petitioners as academically low
31achieving pursuant to the standards established by the department
32under Section 54032, asbegin delete itend deletebegin insert that sectionend insert read before July 19, 2006.

33(i) Upon the approval of the petition by the governing board of
34the school district, the petitioner or petitioners shall provide written
35notice of that approval, including a copy of the petition, to the
36applicable county superintendent of schools, the department, and
37the state board.

38(j) (1) If the governing board of a school district denies a
39petition, the petitioner may elect to submit the petition for the
40establishment of a charter school to the county board of education.
P133  1The county board of education shall review the petition pursuant
2to subdivision (b). If the petitioner elects to submit a petition for
3establishment of a charter school to the county board of education
4and the county board of education denies the petition, the petitioner
5may file a petition for establishment of a charter school with the
6state board, and the state board may approve the petition, in
7accordance with subdivision (b). A charter school that receives
8approval of its petition from a county board of education or from
9the state board on appeal shall be subject to the same requirements
10concerning geographic location to which it would otherwise be
11subject if it received approval from the entity to which it originally
12submitted its petition. A charter petition that is submitted to either
13a county board of education or to the state board shall meet all
14otherwise applicable petition requirements, including the
15identification of the proposed site or sites where the charter school
16will operate.

17(2) In assuming its role as a chartering agency, the state board
18shall develop criteria to be used for the review and approval of
19charter school petitions presented to the state board. The criteria
20shall address all elements required for charter approval, as
21identified in subdivisionbegin delete (b)end deletebegin insert (b),end insert and shall define “reasonably
22comprehensive” as used in paragraph (5) of subdivision (b) in a
23way that is consistent with the intent of this part. Upon satisfactory
24completion of the criteria, the state board shall adopt the criteria
25on or before June 30, 2001.

26(3) A charter school for which a charter is granted by either the
27county board of education or the state board based on an appeal
28pursuant to this subdivision shall qualify fully as a charter school
29for all funding and other purposes of this part.

30(4) If either the county board of education or the state board
31fails to act on a petition within 120 days of receipt, the decision
32of the governing board of the school district to deny a petition
33begin delete shall, thereafter,end deletebegin insert shallend insert be subject to judicial review.

34(5) The state board shall adopt regulations implementing this
35subdivision.

36(6) Upon the approval of the petition by the county board of
37education, the petitioner or petitioners shall provide written notice
38of that approval, including a copy of the petition to the department
39and the state board.

P134  1(k) (1) The state board may, by mutual agreement, designate
2its supervisorial and oversight responsibilities for a charter school
3approved by the state board to any local educational agency in the
4county in which the charter school is located or to the governing
5board of the school district that first denied the petition.

6(2) The designated local educational agency shall have all
7monitoring and supervising authority of a chartering agency,
8including, but not limited to, powers and duties set forth in Section
947607, except the power of revocation, which shall remain with
10the state board.

11(3) A charter school that is granted its charter through an appeal
12to the state board and elects to seek renewal of its charter shall,
13before expiration of the charter, submit its petition for renewal to
14the governing board of the school district that initially denied the
15charter. If the governing board of the school district denies the
16begin insert charterend insert school’s petition for renewal, the school may petition the
17state board for renewal of its charter.

18(l) Teachers in charter schools shall hold a Commission on
19Teacher Credentialing certificate, permit, or other document
20equivalent to that which a teacher in other public schools would
21be required to hold. These documents shall be maintained on file
22at the charter school and are subject to periodic inspection by the
23chartering authority. It is the intent of the Legislature that charter
24schools be given flexibility with regard to noncore, noncollege
25preparatory courses.

26(m) A charter school shall transmit a copy of its annual,
27independent financial audit report for the preceding fiscal year, as
28described in subparagraph (I) of paragraph (5) of subdivision (b),
29to its chartering entity, the Controller, the county superintendent
30of schools of the county in which the charter school is sited, unless
31the county board of education of the county in which the charter
32school is sited is the chartering entity, and the department by
33December 15 of each year. This subdivision does not apply if the
34audit of the charter school is encompassed in the audit of the
35 chartering entity pursuant to Section 41020.

36

SEC. 95.  

Section 47605.1 of the Education Code is amended
37to read:

38

47605.1.  

(a) (1) Notwithstanding any other law, a charter
39school that is granted a charter from the governing board of a
40school district or county office of education after July 1, 2002, and
P135  1commences providing educational services to pupils on or after
2July 1, 2002, shall locate in accordance with the geographic and
3site limitations of this part.

4(2) Notwithstanding any other law, a charter school that is
5granted a charter by the state board after July 1, 2002, and
6commences providing educational services to pupils on or after
7July 1, 2002, based on the denial of a petition by the governing
8board of a school district or county board of education, as described
9in paragraphs (1) and (2) of subdivision (j) of Section 47605, may
10locate only within the geographic boundaries of the chartering
11entity that initially denied the petition for the charter.

12(3) A charter school that receives approval of its charter from
13a governing board of a school district, a county office of education,
14or the state board before July 1, 2002, but does not commence
15operations until after January 1, 2003, shall be subject to the
16geographic limitations of the part, in accordance with subdivision
17(e).

18(b) begin deleteNothing in this end deletebegin insertThis end insertsection isbegin insert notend insert intended to affect the
19admission requirements contained in subdivision (d) of Section
2047605.

21(c) Notwithstanding any other law, a charter school may
22establish a resource center, meeting space, or other satellite facility
23located in a county adjacent to that in which the charter school is
24authorized if the following conditions are met:

25(1) The facility is used exclusively for the educational support
26of pupils who are enrolled in nonclassroom-based independent
27study of the charter school.

28(2) The charter school provides its primary educational services
29in, and a majority of the pupils it serves are residents of, the county
30in which thebegin insert charterend insert school is authorized.

31(d) Notwithstanding subdivision (a) or subdivision (a) of Section
3247605, a charter school that is unable to locate within the
33geographic boundaries of the chartering school district may
34establish one site outside the boundaries of the school district, but
35within the county within which that school district is located, if
36the school districtbegin delete whereend deletebegin insert in whichend insert the charter school proposes to
37operate is notified in advance of the charter petition approval, the
38county superintendent of schools is notified of the location of the
39charter school before it commences operations, and either of the
40following circumstances exist:

P136  1(1) The school has attempted to locate a single site or facility
2to house the entire programbegin insert,end insert but such a facility or site is unavailable
3in the area in which the school chooses to locate.

4(2) The site is needed for temporary use during a construction
5or expansion project.

6(e) (1) For a charter school that was granted approval of its
7charter before July 1, 2002, and provided educational services to
8pupils before July 1, 2002, this sectionbegin delete shallend delete onlybegin delete applyend deletebegin insert appliesend insert to
9begin delete anyend delete new educational services or schoolsites established or acquired
10by the charter school on or after July 1, 2002.

11(2) For a charter school that was granted approval of its charter
12before July 1, 2002, but did not provide educational services to
13pupils before July 1, 2002, this sectionbegin delete shallend delete onlybegin delete applyend deletebegin insert appliesend insert
14 upon the expiration of a charter that is in existence on January 1,
152003.

16(3) Notwithstanding other implementation timelines in this
17section, by June 30, 2005, or upon the expiration of a charter that
18is in existence on January 1, 2003, whichever is later, all charter
19schools shall be required to comply with this section for schoolsites
20at which education services are provided to pupils before or after
21July 1, 2002, regardless of whether the charter school initially
22received approval of its charter school petition before July 1, 2002.
23To achieve compliance with this section, a charter school shall be
24required to receive approval of a charter petition in accordance
25with this section and Section 47605.

26(4) begin deleteNothing in this end deletebegin insertThis end insertsection isbegin insert notend insert intended to affect the
27authority of a governmental entity to revoke a charter that is
28granted on or before the effective date of this section.

29(f) A charter school that submits its petition directly to a county
30board of education, as authorized by Sections 47605.5 or 47605.6,
31may establish charter school operations only within the
32geographical boundaries of the county in which that county board
33of education has jurisdiction.

34(g) Notwithstanding any other law, the jurisdictional limitations
35set forth in this section do not apply to a charter school that
36provides instruction exclusively in partnership with any of the
37following:

38(1) The federal Workforce Investment Act of 1998 (29 U.S.C.
39Sec. 2801 et seq.).

40(2) Federally affiliated Youth Build programs.

P137  1(3) Federal job corps training or instruction provided pursuant
2to a memorandum of understanding with the federal provider.

3(4) The California Conservation Corps or local conservation
4corps certified by the California Conservation Corps pursuant to
5Sections 14507.5 or 14406 of the Public Resources Code.

6(5) Instruction provided to juvenile court school pupils pursuant
7to subdivision (b) of Section 42238.18 or pursuant to Section 1981
8for individuals who are placed in a residential facility.

9

SEC. 96.  

Section 47605.6 of the Education Code is amended
10to read:

11

47605.6.  

(a) (1) In addition to the authority provided by
12Section 47605.5, a county board of education may also approve a
13petition for the operation of a charter school that operates at one
14or more sites within the geographic boundaries of the county and
15that provides instructional services that are not generally provided
16by a county office of education. A county board of education may
17approve a countywide charter only if it finds, in addition to the
18other requirements of this section, that the educational services to
19be provided by the charter school will offer services to a pupil
20population that will benefit from those services and that cannot be
21served as well by a charter school that operates in only one school
22district in the county. A petition for the establishment of a
23countywide charter school pursuant to this subdivision may be
24circulated throughout the county by any one or more persons
25seeking to establish the charter school. The petition may be
26submitted to the county board of education for review after either
27of the following conditions is met:

28(A) The petition is signed by a number of parents or guardians
29of pupils residing within the county that is equivalent to at least
30one-half of the number of pupils that the charter school estimates
31will enroll in the school for its first year of operation and each of
32the school districts where the charter school petitioner proposes
33to operate a facility has received at least 30 days’ notice of the
34petitioner’s intent to operate a school pursuant to this section.

35(B) The petition is signed by a number of teachers that is
36equivalent to at least one-half of the number of teachers that the
37charter school estimates will be employed at the school during its
38first year of operation and each of the school districts where the
39charter school petitioner proposes to operate a facility has received
P138  1at least 30 days’ notice of the petitioner’s intent to operate a school
2pursuant to this section.

3(2) An existing public schoolbegin delete mayend deletebegin insert shallend insert not be converted to a
4charter school in accordance with this section.

5(3) After receiving approval of its petition, a charter school that
6proposes to establish operations at additional sites within the
7geographic boundaries of the county board of education shall notify
8the school districts where those sites will be located. The charter
9school shall also request a material revision of its charter by the
10 county board of education that approved its charter and the county
11board of education shall consider whether to approve those
12additional locations at an open, public meeting, held no sooner
13than 30 days following notification of the school districts where
14the sites will be located. If approved, the location of the approved
15sites shall be a material revision of the school’s approved charter.

16(4) A petition shall include a prominent statement indicating
17that a signature on the petition means that the parent or guardian
18is meaningfully interested in having his or her child or ward attend
19the charter school, or in the case of a teacher’s signature, means
20that the teacher is meaningfully interested in teaching at the charter
21school. The proposed charter shall be attached to the petition.

22(b) No later than 60 days after receiving a petition, in accordance
23with subdivision (a), the county board of education shall hold a
24public hearing on the provisions of the charter, at which time the
25county board of education shall consider the level of support for
26the petition by teachers, parents or guardians, and the school
27districts where the charter school petitioner proposes to place
28school facilities. Following review of the petition and the public
29hearing, the county board of education shall either grant or deny
30the charter within 90 days of receipt of the petition. However, this
31date may be extended by an additional 30 days if both parties agree
32to the extension. A county board of education may impose any
33additional requirements beyond those required by this section that
34it considers necessary for the sound operation of a countywide
35charter school. A county board of education may grant a charter
36for the operation of a school under this part only ifbegin delete the boardend deletebegin insert itend insert is
37satisfied that granting the charter is consistent with sound
38educational practice and that the charter school has reasonable
39justification for why it could not be established by petition to a
40school district pursuant to Section 47605. The county board of
P139  1education shall deny a petition for the establishment of a charter
2school ifbegin delete the boardend deletebegin insert itend insert finds one or more of the following:

3(1) The charter school presents an unsound educational program
4for the pupils to be enrolled in the charter school.

5(2) The petitioners are demonstrably unlikely to successfully
6implement the program set forth in the petition.

7(3) The petition does not contain the number of signatures
8required by subdivision (a).

9(4) The petition does not contain an affirmation of each of the
10conditions described in subdivision (d).

11(5) The petition does not contain reasonably comprehensive
12descriptions of all of the following:

13(A) (i) begin deleteA description of the end deletebegin insertThe end inserteducational program of the
14begin insert charterend insert school, designed, among other things, to identify those
15pupils whom thebegin insert charterend insert school is attempting to educate, what it
16means to be an “educated person” in the 21st century, and how
17learning best occurs. The goals identified in that program shall
18include the objective of enabling pupils to become self-motivated,
19competent, and lifelong learners.

20(ii) begin deleteA description, end deletebegin insertThe annual goals end insertfor the charterbegin delete school, of
21annual goals,end delete
begin insert schoolend insert for all pupils and for each subgroup of pupils
22identified pursuant to Section 52052, to be achieved in the state
23priorities, as described in subdivision (d) of Section 52060, that
24apply for the grade levels served, or the nature of the program
25operated, by the charter school, and specific annual actions to
26achieve those goals. A charter petition may identify additional
27school priorities, the goals for the school priorities, and the specific
28annual actions to achieve those goals.

29(iii) If the proposed charter school will enroll high school pupils,
30begin delete a description ofend delete the manner in which the charter school will inform
31parents regarding the transferability of courses to other public high
32schools. Courses offered by the charter school that are accredited
33by the Western Association of Schools and Colleges may be
34considered to be transferable to other public high schools.

35(iv) If the proposed charter school will enroll high school pupils,
36information as to the manner in which the charter school will
37inform parents as to whether each individual course offered by the
38charter school meets college entrance requirements. Courses
39approved by the University of California or the California State
40University as satisfying their prerequisites for admission may be
P140  1considered as meeting college entrance requirements for purposes
2of this clause.

3(B) The measurable pupil outcomes identified for use by the
4charter school. “Pupil outcomes,” for purposes of this part, means
5the extent to which all pupils of the school demonstrate that they
6have attained the skills, knowledge, and aptitudes specified as
7goals in the school’s educational program. Pupil outcomes shall
8include outcomes that address increases in pupil academic
9achievement both schoolwide and for all groups of pupils served
10by the charter school, as that term is defined in subparagraph (B)
11of paragraph (3) of subdivision (a) of Section 47607. The pupil
12outcomes shall align with the state priorities, as described in
13subdivision (d) of Section 52060, that apply for the grade levels
14served, or the nature of the program operated, by the charter school.

15(C) The method by which pupil progress in meeting those pupil
16outcomes is to be measured. To the extent practicable, the method
17for measuring pupil outcomes for state priorities shall be consistent
18with the way information is reported on a school accountability
19report card.

20(D) The location of each charter school facility that the petitioner
21proposes to operate.

22(E) The governance structure of thebegin insert charterend insert school, including,
23but not limited to, the process to be followed by thebegin insert charterend insert school
24to ensure parental involvement.

25(F) The qualifications to be met by individuals to be employed
26by thebegin insert charterend insert school.

27(G) The procedures that thebegin insert charterend insert school will follow to ensure
28the health and safety of pupils and staff. These procedures shall
29include the requirement that each employee of thebegin insert charterend insert school
30furnishbegin delete the schoolend deletebegin insert itend insert with a criminal record summary as described
31in Section 44237.

32(H) The means by which thebegin insert charterend insert school will achieve a racial
33and ethnic balance among its pupils that is reflective of the general
34population residing within the territorial jurisdiction of the school
35district to which the charter petition is submitted.

36(I) The manner in which annual, independent, financial audits
37shall be conducted, in accordance with regulations established by
38the state board, and the manner in which audit exceptions and
39deficiencies shall be resolved.

P141  1(J) The procedures by which pupils can be suspended or
2expelled.

3(K) The manner by which staff members of the charterbegin delete schoolsend delete
4begin insert schoolend insert will be covered by the State Teachers’ Retirement System,
5the Public Employees’ Retirement System, or federal social
6security.

7(L) The procedures to be followed by the charter school and the
8county board of education to resolve disputes relating to provisions
9of the charter.

begin delete

10(M) A declaration whether or not the charter school shall be
11deemed the exclusive public school employer of the employees of
12the charter school for purposes of the Educational Employment
13Relations Act (Chapter 10.7 (commencing with Section 3540) of
14Division 4 of Title 1 of the Government Code).

end delete
begin delete

15(N)

end delete

16begin insert(M)end insert Admission requirements of the charter school, if applicable.

begin delete

17(O)

end delete

18begin insert(N)end insert The public school attendance alternatives for pupils residing
19within the county who choose not to attend the charter school.

begin delete

20(P) A description of the

end delete

21begin insert(O)end insertbegin insertend insertbegin insertTheend insert rights of an employee of the county office of education,
22upon leaving the employment of the county office of education,
23to be employed by the charter school, andbegin delete a description ofend delete any
24rights of return to the county office of education that an employee
25may have upon leaving the employ of the charter school.

begin delete

26(Q) A description of the

end delete

27begin insert(P)end insertbegin insertend insertbegin insertTheend insert procedures to be used if the charter school closes. The
28procedures shall ensure a final audit of the school to determine the
29disposition of all assets and liabilities of the charter school,
30including plans for disposing of any net assets and for the
31maintenance and transfer of public records.

begin insert

32(6) A declaration of whether or not the charter school shall be
33deemed the exclusive public school employer of the employees of
34the charter school for purposes of the Educational Employment
35Relations Act (Chapter 10.7 (commencing with Section 3540) of
36Division 4 of Title 1 of the Government Code).

end insert
begin delete

37(6)

end delete

38begin insert(7)end insert Any other basis that the county board of education finds
39justifies the denial of the petition.

P142  1(c) A county board of education that approves a petition for the
2operation of a countywide charter may, as a condition of charter
3approval, enter into an agreement with a third party, at the expense
4of the charter school, to oversee, monitor, and report to the county
5board of education on the operations of the charter school. The
6county board of education may prescribe the aspects of the charter
7school’s operations to be monitored by the third party and may
8prescribe appropriate requirements regarding the reporting of
9information concerning the operations of the charter school to the
10county board of education.

11(d) (1) Charter schools shall meet all statewide standards and
12conduct the pupil assessments required pursuant to Section 60605
13and any other statewide standards authorized in statute or pupil
14assessments applicable to pupils in noncharter public schools.

15(2) Charter schools shall on a regular basis consult with their
16parents and teachers regarding thebegin insert charterend insert school’s educational
17programs.

18(e) (1) In addition to any other requirement imposed under this
19part, a charter school shall be nonsectarian in its programs,
20admission policies, employment practices, and all other operations,
21shall not charge tuition, and shall not discriminate against any
22pupil on the basis of ethnicity, national origin, gender, gender
23identity, gender expression, or disability. Except as provided in
24paragraph (2), admission to a charter school shall not be determined
25according to the place of residence of the pupil, or of his or her
26parent or guardian, within this state.

27(2) (A) A charter school shall admit all pupils who wish to
28attend thebegin insert charterend insert school.

29(B) If the number of pupils who wish to attend the charter school
30exceeds the school’s capacity, attendance, except for existing pupils
31of the charter school, shall be determined by a public random
32drawing. Preference shall be extended to pupils currently attending
33the charter school and pupils who reside in the county except as
34provided for in Section 47614.5. Other preferences may be
35permitted by the chartering authority on an individual school basis
36and only if consistent with the law.

37(C) In the event of a drawing, the county board of education
38 shall make reasonable efforts to accommodate the growth of the
39charter school and in no event shall take any action to impede the
40charter school from expanding enrollment to meet pupil demand.

P143  1(f) The county board of education shall not requirebegin delete anyend deletebegin insert anend insert
2 employee of the county or a school district to be employed in a
3charter school.

4(g) The county board of education shall not requirebegin delete anyend deletebegin insert aend insert pupil
5enrolled in a county program to attend a charter school.

6(h) The county board of education shall require that the
7petitioner or petitioners provide information regarding the proposed
8operation and potential effects of thebegin insert charterend insert school, including,
9but not limited to, the facilities to be used by thebegin insert charterend insert school,
10the manner in which administrative services of thebegin insert charterend insert school
11are to be provided, and potential civil liability effects, if any, upon
12thebegin insert charterend insert school, any school district where the charter school
13may operate, and upon the county board of education. The
14petitioner or petitioners shall also be required to provide financial
15statements that include a proposed first-year operational budget,
16including startup costs, and cashflow and financial projections for
17the first three years of operation.

18(i) In reviewing petitions for the establishment of charter schools
19within the county, the county board of education shall give
20preference to petitions that demonstrate the capability to provide
21comprehensive learning experiences to pupils identified by the
22petitioner or petitioners as academically low achieving pursuant
23to the standards established by the department under Section 54032,
24asbegin delete itend deletebegin insert that sectionend insert read before July 19, 2006.

25(j) Upon the approval of the petition by the county board of
26education, the petitioner or petitioners shall provide written notice
27of that approval, including a copy of the petition, to the school
28districts within the county, the Superintendent, and to the state
29board.

30(k) If a county board of education denies a petition, the petitioner
31may not elect to submit the petition for the establishment of the
32charter school to the state board.

33(l) Teachers in charter schools shall be required to hold a
34Commission on Teacher Credentialing certificate, permit, or other
35document equivalent to that which a teacher in other public schools
36would be required to hold. These documents shall be maintained
37on file at the charter school and shall be subject to periodic
38inspection by the chartering authority.

39(m) A charter school shall transmit a copy of its annual,
40independent, financial audit report for the preceding fiscal year,
P144  1as described in subparagraph (I) of paragraph (5) of subdivision
2(b), to the county office of education, the Controller, and the
3department by December 15 of each year. This subdivisionbegin delete shallend delete
4begin insert doesend insert not apply if the audit of the charter school is encompassed in
5the audit of the chartering entity pursuant to Section 41020.

6

SEC. 97.  

Section 47614.5 of the Education Code is amended
7to read:

8

47614.5.  

(a) The Charter School Facility Grant Program is
9hereby established, and shall be administered by the California
10School Finance Authority. The grant program is intended to provide
11assistance with facilities rent and lease costs for pupils in charter
12schools.

13(b) Subject to the annual Budget Act, eligible charter schools
14shall receive an amount of up to, but not more than, seven hundred
15fifty dollars ($750) per unit of average daily attendance, as certified
16at the second principal apportionment, to provide an amount of up
17to, but not more than, 75 percent of the annual facilities rent and
18lease costs for the charter school. In any fiscal year, if the funds
19appropriated for purposes of this section by the annual Budget Act
20are insufficient to fully fund the approvedbegin delete amountsend delete amounts, the
21California School Finance Authority shall apportion the available
22funds on a pro rata basis.

23(c) For purposes of this section, the California School Finance
24Authority shall do all of the following:

25(1) Inform charter schools of the grant program.

26(2) Upon application by a charter school, determine eligibility,
27based on the geographic location of the charter schoolsite, pupil
28eligibility for free or reduced-price meals, and a preference in
29admissions, as appropriate. Eligibility for funding shall not be
30limited to the grade level or levels served by the school whose
31attendance area is used to determine eligibility. A charter schoolsite
32is eligible for funding pursuant to this section if the charter
33schoolsite meetsbegin delete eitherend deletebegin insert anyend insert of the following conditions:

34(A) The charter schoolsite is physically located in the attendance
35area of a public elementary school in which 70 percent or more of
36the pupil enrollment is eligible for free or reduced-price meals and
37the charter schoolsite gives a preference in admissions to pupils
38who are currently enrolled in that public elementary school and to
39pupils who reside in the elementary school attendance area where
40the charter schoolsite is located.

P145  1(B) Seventy percent or more of the pupil enrollment at the
2charter schoolsite is eligible for free or reduced-price meals.

3(C) In any year in which additional funds remain after state and
4federal funds have been allocated to applicants that meet the
5eligibility criteria in subparagraph (A) or (B), the California School
6Finance Authority shall expand eligibility to additional charter
7schools that are eligible pursuant to subparagraph (B) by reducing
8the free and reduced-price meals thresholdbegin delete oneend deletebegin insert 1end insert percentage point
9at a time, but in no case below 60 percent.

10(3) Inform charter schools of their grant eligibility.

11(4) Make apportionments to a charter school for eligible
12expenditures according to the following schedule:

13(A) An initial apportionment by August 31 of each fiscal year
14or 30 days after enactment of the annual Budget Act, whichever
15is later, provided the charter school has submitted a timely
16application for funding, as determined by the California School
17 Finance Authority. The initial apportionment shall be 50 percent
18of the charter school’s estimated annual entitlement as determined
19by this section.

20(B) A second apportionment by March 1 of each fiscal year.
21This apportionment shall be 75 percent of the charter school’s
22estimated annual entitlement, as adjusted for any revisions in cost,
23enrollment, and other data relevant to computing the charter
24school’s annual entitlement, less any funding already apportioned
25to the charter school.

26(C) A third apportionment within 30 days of the end of each
27fiscal year or 30 days after receiving the data and documentation
28needed to compute the charter school’s total annual entitlement,
29whichever is later. This apportionment shall be the charter school’s
30total annual entitlement less any funding already apportioned to
31the charter school.

32(D) Notwithstanding subparagraph (A), the initial apportionment
33in the 2013-14 fiscal year shall be made by October 15, 2013, or
34105 days after enactment of the Budget Act of 2013, whichever is
35later.

36(d) For purposes of this section:

37(1) The California School Finance Authority shall use prior year
38data on pupil eligibility for free or reduced-price meals for the
39charter schoolsite and prior year rent or lease costs provided by
40charter schools to determine eligibility for the grant program until
P146  1current year data and actual rent or lease costs become known or
2until June 30 of each fiscal year.

3(2) If prior year rent or lease costs are unavailable, and the
4current year lease and rent costs are not immediately available,
5the California School Finance Authority shall use rent or lease
6cost estimates provided by the charter school.

7(3) The California School Finance Authority shall verify that
8the grant amount awarded to each charter school is consistent with
9eligibility requirements as specified in this section and in
10regulations adopted by the authority. If it is determined by the
11California School Finance Authority that a charter school did not
12receive the proper grant award amount, either the charter school
13shall transfer funds back to the authority as necessary within 60
14days of being notified by the authority, or the authority shall
15provide an additional apportionment as necessary to the charter
16school within 60 days of notifying the charter school, subject to
17the availability of funds.

18(e) Funds appropriated for purposes of this section shall not be
19apportioned for any of the following:

20(1) Units of average daily attendance generated through
21nonclassroom-based instruction as defined by paragraph (2) of
22subdivision (e) of Section 47612.5 or that does not comply with
23conditions or limitations set forth in regulations adopted by the
24begin delete state boardend deletebegin insert California School Finance Authorityend insert pursuant to this
25section.

26(2) Charter schools occupying existing school district or county
27office of education facilities, except that charter schools shall be
28eligible for the portions of their facilities that are not existing
29school district or county office of education facilities.

30(3) Charter schools receiving reasonably equivalent facilities
31from their chartering authorities pursuant to Section 47614, except
32that charter schools shall be eligible for the portions of their
33facilities that are not reasonably equivalent facilities received from
34their chartering authorities.

35(f) Funds appropriated for purposes of this section shall be used
36for costs associated with facilities rents and leases, consistent with
37the definitions used in the California School Accounting Manual
38or regulations adopted by the California School Finance Authority.
39These funds also may be used for costs, including, but not limited
40to, costs associated with remodeling buildings, deferred
P147  1maintenance, initially installing or extending service systems and
2other built-in equipment, and improving sites.

3(g) If an existing charter school located in an elementary
4attendance area in which less than 50 percent of pupil enrollment
5is eligible for free or reduced-price meals relocates to an attendance
6area identified in paragraph (2) of subdivision (c), admissions
7preference shall be given to pupils who reside in the elementary
8school attendance area into which the charter school is relocating.

9(h) The California School Finance Authority annually shall
10report to the department and the Director of Finance, and post
11information on its Internet Web site, regarding the use of funds
12that have been made available during the fiscal year to each charter
13school pursuant to the grant program.

14(i) The California School Finance Authoritybegin delete shallend delete annuallybegin insert shallend insert
15 allocate the facilities grants to eligible charter schools according
16to the schedule in paragraph (4) of subdivision (c) for the current
17school year rent and lease costs. However, the California School
18Finance Authority shall first use the funding appropriated for this
19program to reimburse eligible charter schools for unreimbursed
20rent or lease costs for the prior school year.

21(j) It is the intent of the Legislature that the funding level for
22the Charter School Facility Grant Program for the 2012-13 fiscal
23year be considered the base level of funding for subsequent fiscal
24years.

25(k) The Controller shall include instructions appropriate to the
26enforcement of this section in the audit guide required by
27subdivision (a) of Section 14502.1.

28(l) The California School Finance Authority, effective with the
292013-14 fiscal year, shall be considered the senior creditor for
30purposes of satisfying audit findings pursuant to the audit
31instructions to be developed pursuant to subdivision (k).

32(m) The California School Finance Authority may adopt
33regulations to implement this section. Any regulations adopted
34pursuant to this section may be adopted as emergency regulations
35in accordance with the Administrative Procedure Act (Chapter 3.5
36(commencing with Section 11340) of Part 1 of Division 3 of the
37Title 2 of the Government Code). The adoption of these regulations
38shall be deemed to be an emergency and necessary for the
39immediate preservation of the public peace, health and safety, or
40general welfare.

P148  1(n) Notwithstanding any other law, a charter school shall be
2subject, with regard to this section, to audit conducted pursuant to
3Section 41020.

4

SEC. 98.  

Section 47651 of the Education Code is amended to
5read:

6

47651.  

(a) A charter school may receive the state aid portion
7of the charter school’s total local control funding formula allocation
8pursuant to Section 42238.02, as implemented by Section 42238.03,
9directly or through the local educational agency that either grants
10its charter or was designated by the state board.

11(1) In the case of a charter school that elects to receive its
12funding directly, the warrant shall be drawn in favor of the county
13superintendent of schools of the county in which the local
14educational agency that granted thebegin delete charterend deletebegin insert charter,end insert or was
15designated by the state board as the oversight agency pursuant to
16paragraph (1) of subdivision (k) of Sectionbegin delete 47605end deletebegin insert 47605,end insert is located,
17for deposit to the appropriate funds or accounts of the charter
18school in the county treasury. The county superintendent of schools
19is authorized to establish appropriate funds or accounts in the
20county treasury for each charter school.

21(2) In the case of a charter school that does not elect to receive
22its funding directly pursuant to this section, the warrant shall be
23drawn in favor of the county superintendent of schools of the
24county in which the local educational agency that granted the
25charter is located or was designated the oversight agency by the
26state board pursuant to paragraph (1) of subdivision (k) of Section
2747605, for deposit to the appropriate funds or accounts of the local
28educational agency.

29(3) In the case of a charter school, the charter of which was
30granted by the state board, but for which the state board has not
31delegated oversight responsibilities pursuant to paragraph (1) of
32subdivision (k) of Section 47605, the warrant shall be drawn in
33favor of the county superintendent of schools in the county where
34the local educational agency is located that initially denied the
35charter that was later granted by the state board. The county
36superintendent of schools is authorized to establish appropriate
37funds or accounts in the county treasury for each charter school.

38(b) On or before June 1 of each year, a charter school electing
39to receive its funding directly shall so notify the county
40superintendent of schools of the county in which the local
P149  1educational agency that granted the charter is located or, in the
2 case of charters for which the state board has designated an
3oversight agency pursuant to paragraph (1) of subdivision (k) of
4Section 47605, the county superintendent of schools of the county
5in which the designated oversight agency is located. An election
6to receive funding directlybegin delete shall applyend deletebegin insert appliesend insert to all funding that
7the charter school is eligible to receive including, but not limited
8to, the local control funding formula allocation pursuant to Section
942238.02, as implemented by Section 42238.03, other state and
10federal categorical aid, and lottery funds.

11

SEC. 99.  

Section 48003 of the Education Code is amended to
12read:

13

48003.  

Commencing with the 2015-16 school year, a local
14educational agency shall provide an annual report to thebegin delete State
15Department of Educationend delete
begin insert departmentend insert that contains information on
16the type of kindergarten program offered by the local educational
17agency, including part-day, full-day, or both, in a manner
18determined by the department.

19

SEC. 100.  

Section 48297 of the Education Code is amended
20to read:

21

48297.  

(a) (1) A state or local agency conducting a
22truancy-related mediation or prosecuting a pupil or a pupil’s parent
23or legal guardian pursuant to Article 5 (commencing with Section
2448260), this article, Section 48454, Section 270.1 or 272 of the
25Penal Code, or Section 601 of the Welfare and Institutions Code,
26as applicable, shall provide, using the most cost-effective method
27possible, including, but not limited to, bybegin delete electronic mailend deletebegin insert emailend insert or
28telephone, the school district, school attendance review board,
29county superintendent of schools, probation department, or any
30other agency that referred a truancy-related mediation, criminal
31complaint, or petition with the outcome of each referral. For
32purposes of this section, “outcome” means the imposed conditions
33or terms placed on a pupil or a pupil’s parent or legal guardian and
34the acts or actions taken by a state or localbegin delete authorityend deletebegin insert agencyend insert with
35respect to a truancy-related mediation, prosecution, criminal
36complaint, or petition.

37(2) This subdivisionbegin delete shall applyend deletebegin insert appliesend insert to, but is not limited to,
38the referrals referenced in Article 5 (commencing with Section
3948260), this article, Section 48454, Sections 270.1 and 272 of the
P150  1Penal Code, and Sections 601, 601.2, and 601.3 of the Welfare
2and Institutions Code.

3(b) It is the intent of the Legislature to determine the best
4evidence-based practices to reduce truancy.begin delete Nothing in thisend deletebegin insert Thisend insert
5 section isbegin insert notend insert intended to encourage additional referrals,
6complaints, petitions, or prosecutions, or to encourage more serious
7sanctions for pupils.

8

SEC. 101.  

Section 48321 of the Education Code is amended
9to read:

10

48321.  

(a) (1) A county school attendance review board may
11be established in each county. The county school attendance review
12board may accept referrals or requests for hearing services from
13one or more school districts within itsbegin delete jurisdiction,end deletebegin insert jurisdictionend insert
14 pursuant to subdivision (f). A county school attendance review
15board may be operated through a consortium or partnership of a
16county with one or more school districts or between two or more
17counties.

18(2) A county school attendance review board, if established,
19shall include, but need not be limited to, all of the following:

20(A) A parent.

21(B) A representative of school districts.

22(C) A representative of the county probation department.

23(D) A representative of the county welfare department.

24(E) A representative of the county superintendent of schools.

25(F) A representative of law enforcement agencies.

26(G) A representative of community-based youth service centers.

27(H) A representative of school guidance personnel.

28(I) A representative of child welfare and attendance personnel.

29(J) A representative of school or county health care personnel.

30(K) A representative of school, county, or community mental
31health personnel.

32(L) A representative of the county district attorney’s office. If
33more than one county is represented in a county school attendance
34review board, a representative from each county’s district attorney’s
35office may be included.

36(M) A representative of the county public defender’s office. If
37more than one county is represented in a county school attendance
38review board, a representative from each county’s public defender’s
39office may be included.

P151  1(3) Notwithstanding paragraph (2), for purposes of conducting
2hearings, the chairperson of the county school attendance review
3board is authorized to determine the members needed at a hearing,
4based on the needs of the pupil, in order to address attendance or
5behavioral problems.

6(4) The school district representatives on the county school
7attendance review board shall be nominated by the governing
8boards of school districts and shall be appointed by the county
9superintendent of schools. All other persons and group
10representatives shall be appointed by the county board of education.

11(5) (A) If a county school attendance review board exists, the
12county superintendent of schools shall, at the beginning of each
13school year, convene a meeting of the county school attendance
14review board for purposes of adopting plans to promote interagency
15and community cooperation and to reduce the duplication of
16services provided to youth who have serious school attendance
17and behavior problems.

18(B) Notwithstanding subparagraph (A), for purposes of
19conducting hearings, a county school attendance review board may
20meet as needed.

21(b) (1) Local school attendance review boards may include,
22but need not be limited to, all of the following:

23(A) A parent.

24(B) A representative of school districts.

25(C) A representative of the county probation department.

26(D) A representative of the county welfare department.

27(E) A representative of the county superintendent of schools.

28(F) A representative of law enforcement agencies.

29(G) A representative of community-based youth service centers.

30(H) A representative of school guidance personnel.

31(I) A representative of child welfare and attendance personnel.

32(J) A representative of school or county health care personnel.

33(K) A representative of school, county, or community mental
34health personnel.

35(L) A representative of the county district attorney’s office. If
36more than one county is represented in a local school attendance
37review board, a representative from each county’s district attorney’s
38 office may be included.

39(M) A representative of the county public defender’s office. If
40more than one county is represented in a county school attendance
P152  1review board, a representative from each county’s public defender’s
2office may be included.

3(2) Other persons or group representatives shall be appointed
4by the county board of education.

5(c) A county school attendance review board may elect, pursuant
6to regulations adopted pursuant to Section 48324, one member as
7chairperson with responsibility for coordinating services of the
8county school attendance review board.

9(d) A county school attendance review board may provide for
10the establishment of local school attendance review boards in any
11number as shall be necessary to carry out the intent of this article.

12(e) In any county in which there is no county school attendance
13review boardbegin delete, a school districtend deletebegin insert theend insert governing boardbegin insert of a school
14districtend insert
may elect to establish a local school attendance review
15board, which shall operate in the same manner and have the same
16authority as a county school attendance review board.

17(f) A county school attendance review board may provide
18guidance to local school attendance review boards.

19(g) If the county school attendance review board determines
20that the needs of pupils, as defined in this article, can best be served
21by a single board, the county school attendance review board may
22then serve as the school attendance review board for all pupils in
23the county, or, upon the request of any school district in the county,
24the county school attendance review board may serve as the school
25attendance review board for pupils of that school district.

26(h) begin deleteNothing in this end deletebegin insertThis end insertarticle isbegin insert notend insert intended to prohibit an
27agreement on the part of counties to provide these services on a
28regional basis.

29

SEC. 102.  

The heading of Article 2 (commencing with Section
3048810) of Chapter 5 of Part 27 of Division 4 of Title 2 of the 31Education Code is repealed.

begin delete

32 

33Article 2.  Vocational Education Classes
34

 

end delete
35

SEC. 103.  

Section 48900.9 of the Education Code is amended
36to read:

37

48900.9.  

(a) The superintendent of a school district, the
38principal of a school, or the principal’s designee may refer a victim
39of, witness to, or other pupil affected by, an act of bullying, as
40defined in paragraph (1) of subdivision (r) of Section 48900,
P153  1committed on or after January 1, 2015, to the school counselor,
2school psychologist, social worker, child welfare attendance
3personnel, school nurse, or other school support service personnel
4for case management, counseling, and participation in a restorative
5justice program, as appropriate.

6(b) Abegin delete studentend deletebegin insert pupilend insert who has engaged in an act of bullying, as
7defined in paragraph (1) of subdivision (r) of Section 48900, may
8 also be referred to the school counselor, school psychologist, social
9worker, child welfare attendance personnel, or other school support
10service personnel for case management and counseling, or for
11participation in a restorative justice program, pursuant to Section
1248900.5.

13

SEC. 104.  

Section 49452.9 of the Education Code is amended
14to read:

15

49452.9.  

(a) For purposes of the 2015-16, 2016-17, and
162017-18 school years, a public school, including a charter school,
17shall add an informational item to its enrollment forms, or amend
18an existing enrollmentbegin delete formend deletebegin insert form,end insert in order to provide the parent
19or legal guardian information about health care coverage options
20and enrollment assistance.

21(b) To satisfy the requirements of subdivision (a), a school may
22do either of the following:

23(1) Use a template developed pursuant to subdivision (d).

24(2) Develop an informational item or amend an existing
25enrollment form to provide information about health care coverage
26options and enrollment assistance.

27(c) A school may include a factsheet with its enrollment forms
28explaining basic information about affordable health care coverage
29options for children and families.

30(d) (1) Thebegin delete State Department of Educationend deletebegin insert departmentend insert shall
31develop a standardized template for both of the following:

32(A) The informational item or amendment required by
33subdivision (a).

34(B) The factsheet described in subdivision (c).

35(2) The department shall make any templates developed pursuant
36to this subdivision available on its Internet Web site on or before
37August 1, 2015, and shall, upon request, provide written copies of
38the template to a school district.

39(e) A school district shall not discriminate against a pupil who
40does not have health care coverage or use any information relating
P154  1to a pupil’s health care coverage or interest in learning about health
2care coverage in any manner that would bring harm to the pupil
3or the pupil’s family.

4(f) This section shall remain in effect only until January 1, 2019,
5and as of that date is repealed, unless a later enacted statute, that
6is enacted before January 1, 2019, deletes or extends that date.

7

SEC. 105.  

Section 51747.3 of the Education Code, as amended
8by Section 1 of Chapter 807 of the Statutes of 2014, is amended
9to read:

10

51747.3.  

(a) Notwithstanding any other law, a local educational
11agency, including, but not limited to, a charter school,begin delete mayend deletebegin insert shallend insert
12 not claim state funding for the independent study of a pupil,
13whether characterized as home study or otherwise, if the local
14educational agency has provided any funds or other thing of value
15to the pupil or his or her parent or guardian that the local
16educational agency does not provide to pupils who attend regular
17classes or to their parents or guardians. A charter schoolbegin delete mayend deletebegin insert shallend insert
18 not claim state funding for the independent study of a pupil,
19whether characterized as home study or otherwise, if the charter
20school has provided any funds or other thing of value to the pupil
21or his or her parent or guardian that a school district could not
22legally provide to a similarly situated pupil of the schoolbegin delete district,end delete
23begin insert districtend insert or to his or her parent or guardian.

24(b) (1) Notwithstanding paragraph (1) of subdivision (d) of
25Section 47605 or any other law, and except as specified in
26paragraph (2), community school and independent study average
27daily attendance shall be claimed by school districts, county
28superintendents of schools, and charter schools only for pupils
29who are residents of the county in which the apportionment claim
30is reported, or who are residents of a county immediately adjacent
31to the county in which the apportionment claim is reported.

32(2) In addition to claiming independent study average daily
33attendance pursuant to paragraph (1), a virtual or online charter
34school may also claim independent study average daily attendance
35for a pupil who is enrolled in the school and moves to a residence
36located outside of thebegin delete geographicalend deletebegin insert geographicend insert boundaries of the
37virtual or online charter school. The virtual or online charter school
38may claim independent study average daily attendance for the
39pupil under this paragraph only for the duration of the course or
P155  1courses in which the pupil is enrolled or until the end of the school
2year, whichever occurs first.

3(c) The Superintendent shall not apportion funds for reported
4average daily attendance, through full-time independent study, of
5pupils who are enrolled in school pursuant to subdivision (b) of
6Section 48204.

7(d) In conformity with Provisions 25 and 28 of Item
86110-101-001 of Section 2.00 of the Budget Act of 1992, this
9section is applicable to average daily attendance reported for
10apportionment purposes beginning July 1, 1992. The provisions
11of this section are not subject to waiver by the state board, by the
12 Superintendent, or under any provision of Part 26.8 (commencing
13with Section 47600).

14(e) For purposes of this section, “virtual or online charter school”
15means a charter school in which at least 80 percent of teaching
16and pupil interaction occurs via the Internet.

17(f) This section shall remain in effect only until January 1, 2018,
18and as of that date is repealed, unless a later enacted statute, that
19is enacted before January 1, 2018, deletes or extends that date.

20

SEC. 106.  

Section 52064.5 of the Education Code is amended
21to read:

22

52064.5.  

(a) On or before October 1, 2015, the state board
23shall adopt evaluation rubrics for all of the following purposes:

24(1) To assist a school district, county office of education, or
25charter school in evaluating its strengths, weaknesses, and areas
26that require improvement.

27(2) To assist a county superintendent of schools in identifying
28school districts and charter schools in need of technical assistance
29pursuant to Section 52071 or 47607.3, as applicable, and the
30specific priorities upon which the technical assistance should be
31focused.

32(3) To assist the Superintendent in identifying school districts
33for which intervention pursuant to Section 52072 is warranted.

34(b) The evaluation rubrics shall reflect a holistic,
35multidimensional assessment of school district and individual
36schoolsite performance and shall include all of the state priorities
37described in subdivision (d) of Section 52060.

38(c) As part of the evaluation rubrics, the state board shall adopt
39standards for school district and individual schoolsite performance
P156  1andbegin delete expectationend deletebegin insert expectationsend insert for improvement in regard to each
2of the state priorities described in subdivision (d) of Section 52060.

3

SEC. 107.  

Section 52852 of the Education Code is amended
4to read:

5

52852.  

begin insert(a)end insertbegin insertend insert A schoolsite council shall be established at each
6schoolbegin delete whichend deletebegin insert thatend insert participates in school-based program
7coordination. Thebegin insert schoolsiteend insert council shall be composed of the
8principal and representatives of: teachers selected by teachers at
9the school; other school personnel selected by other school
10personnel at the school; parents of pupils attending the school
11selected bybegin delete suchend deletebegin insert theend insert parents; and, in secondary schools, pupils
12selected by pupils attending the school.

begin delete

13At

end delete

14begin insert(b)end insertbegin insertend insertbegin insert(1)end insertbegin insertend insertbegin insertAtend insert the elementarybegin delete level theend deletebegin insert level, the schoolsiteend insert council
15shall be constituted to ensure parity betweenbegin delete (a)end deletebegin insert (A)end insert the principal,
16classroombegin delete teachersend deletebegin insert teachers,end insert and other school personnel; andbegin delete (b)end delete
17begin insert (B)end insert parents or other community members selected by parents.

begin delete

18At

end delete

19begin insert(2)end insertbegin insertend insertbegin insertAtend insert the secondarybegin delete level theend deletebegin insert level, the schoolsiteend insert council shall
20be constituted to ensure parity betweenbegin delete (a)end deletebegin insert (A)end insert the principal,
21classroombegin delete teachersend deletebegin insert teachers,end insert and other school personnel; andbegin delete (b)end delete
22begin insert (B) anend insert equalbegin delete numbersend deletebegin insert numberend insert of parents, or other community
23members selected by parents, and pupils.

begin delete

24At

end delete

25begin insert(3)end insertbegin insertend insertbegin insertAtend insert both the elementary and secondary levels, classroom
26teachers shall comprise the majority of persons represented under
27begin delete category (a).end deletebegin insert subparagraph (A) of paragraphs (1) and (2).end insert

begin delete

28Existing

end delete

29begin insert(c)end insertbegin insertend insertbegin insertExistingend insert schoolwide advisory groups or school support
30groups may be utilized as the schoolsite council if those groups
31conform to this section.

begin delete

32The Superintendent of Public Instruction shall

end delete

33begin insert(d)end insertbegin insertend insertbegin insertThe Superintendentend insert shall provide several examples of
34selection and replacement procedures that may be considered by
35schoolsite councils.

begin delete

36An

end delete

37begin insert(e)end insertbegin insertend insertbegin insertAnend insert employee of a school who is also a parent or guardian
38of a pupil who attends a school other than the school of the parent’s
39or guardian’sbegin delete employment,end deletebegin insert employmentend insert is not disqualified by virtue
40of this employment from serving as a parent representative on the
P157  1schoolsite council established for the school that his or her child
2or ward attends.

3

SEC. 108.  

The heading of Chapter 14 (commencing with
4Section 52980) of Part 28 of Division 4 of Title 2 of the Education
5Code
is repealed.

begin delete

6 

7Chapter  14. Pilot Projects in Applied Academic Areas
8and Programs
9

 

end delete
10

SEC. 109.  

The heading of Article 8 (commencing with Section
1154750) of Chapter 9 of Part 29 of Division 4 of Title 2 of the 12Education Code is repealed.

begin delete

13 

14Article 8.  College Admissions Test Preparation Pilot Projects
15

 

end delete
16

SEC. 110.  

The heading of Chapter 8.5 (commencing with
17Section 56867) of Part 30 of Division 4 of Title 2 of the Education
18Code
is repealed.

begin delete

19 

20Chapter  8.5. Special Education at the Youth Authority
21

 

end delete
22

SEC. 111.  

The heading of Article 7 (commencing with Section
2366080) of Chapter 2 of Part 40 of Division 5 of Title 3 of the 24Education Code, as added by Section 2 of Chapter 200 of the
25Statutes of 1995, is amended and renumbered to read:

26 

27Article begin delete7.end deletebegin insert8.end insert  English Proficiency in Higher Education
28

 

29

SEC. 112.  

Section 66261.5 of the Education Code, as added
30by Section 38 of Chapter 569 of the Statutes of 2007, is amended
31and renumbered to read:

32

begin delete66261.5.end delete
33begin insert66261.3.end insert  

“Nationality” includes citizenship, country of origin,
34and national origin.

35

SEC. 113.  

Section 66281.7 of the Education Code is amended
36to read:

37

66281.7.  

(a) It is the policy of the State of California, pursuant
38to Section 66251, that all persons, regardless of their sex, should
39enjoy freedom from discrimination of any kind, including, but not
40limited to, pregnancy discrimination as described in Title IX of
P158  1the Education Amendments of 1972 (20 U.S.C. Sec. 1681, et seq.),
2in the postsecondary educational institutions of the state.

3(b) Each of the following requirementsbegin delete shall be applicableend deletebegin insert applyend insert
4 to postsecondary educational institutions in this state:

5(1) A postsecondary educational institution, including the
6faculty, staff, or other employees of the institution, shall not require
7a graduate student to take a leave of absence, withdraw from the
8graduate program, or limit his or her graduate studies solely due
9to pregnancy or pregnancy-related issues.

10(2) A postsecondary educational institution, including the
11faculty, staff, or other employees of the institution, shall reasonably
12accommodate pregnant graduate students so they may complete
13their graduate courses of study and research. Reasonable
14accommodation within the meaning of this subdivision may
15include, but is not necessarily limited to, allowances for the
16pregnant student’s health and safety, such as allowing the student
17to maintain a safe distance from hazardous substances, allowing
18the student to make up tests and assignments that are missed for
19pregnancy-related reasons, or allowingbegin delete aend deletebegin insert theend insert student to take a leave
20of absence. Reasonable accommodation shall include the excusing
21of absences that are medically necessary, as required under Title
22IX.

23(3) A graduate student who chooses to take a leave of absence
24because she is pregnant or has recently given birth shall be allowed
25a period consistent with the policies of the postsecondary
26educational institution, or a period of 12 additional months,
27whichever period is longer, to prepare for and take preliminary
28and qualifying examinations and an extension of at least 12 months
29toward normative time to degree while in candidacy for a graduate
30degree, unless a longer extension is medically necessary.

31(4) A graduate student who is not the birth parent and who
32chooses to take a leave of absence because of the birth of his or
33her child shall be allowed a period consistent with the policies of
34the postsecondary educational institution, or a period of one month,
35whichever period is longer, to prepare for and take preliminary
36and qualifying examinations, and an extension of at least one month
37toward normative time to degree while in candidacy for a graduate
38degree, unless a longer period or extension is medically necessary
39to care for his or her partner or their child.

P159  1(5) An enrolled graduate student in good academic standing
2who chooses to take a leave of absence because she is pregnant or
3has recently given birth shall return to her program in good
4academic standing following a leave period consistent with the
5policies of the postsecondary educational institution or of up to
6one academic year, whichever period is longer, subject to the
7reasonable administrative requirements of the institution, unless
8there is a medical reason for a longer absence, in which case her
9standing in the graduate program shall be maintained during that
10period of absence.

11(6) An enrolled graduate student in good academic standing
12who is not the birth parent and who chooses to take a leave of
13absence because of the birth of his or her child shall return to his
14or her program in good academic standing following a leave period
15consistent with the policies of the postsecondary educational
16institution, or of up to one month, whichever period is longer,
17subject to the reasonable administrative requirements of the
18institution.

19(c) Each postsecondary educational institution shall have a
20written policy for graduate students on pregnancy discrimination
21and procedures for addressing pregnancy discrimination complaints
22under Title IX or this section. A copy of this policy shall be made
23available to faculty, staff, and employees in their required training.
24This policy shall be made available to all graduate students
25attending orientation sessions at a postsecondary educational
26institution.

27

SEC. 114.  

Section 67386 of the Education Code is amended
28to read:

29

67386.  

(a) In order to receive state funds for student financial
30assistance, the governing board of each community college district,
31the Trustees of the California State University, the Regents of the
32University of California, and the governing boards of independent
33postsecondary institutions shall adopt a policy concerning sexual
34assault, domestic violence, dating violence, and stalking, as defined
35in the federal Higher Education Act of 1965 (20 U.S.C. Sec.
36begin delete 1092(f))end deletebegin insert 1092(f)),end insert involving a student, both on and off campus.
37The policy shall include all of the following:

38(1) An affirmative consent standard in the determination of
39whether consent was given by both parties to sexual activity.
40“Affirmative consent” means affirmative, conscious, and voluntary
P160  1agreement to engage in sexual activity. It is the responsibility of
2each person involved in the sexual activity to ensure that he or she
3has the affirmative consent of the other or others to engage in the
4sexual activity. Lack of protest or resistance does not mean consent,
5nor does silence mean consent. Affirmative consent must be
6ongoing throughout a sexual activity and can be revoked at any
7time. The existence of a dating relationship between the persons
8involved, or the fact of past sexual relations between them, should
9never by itself be assumed to be an indicator of consent.

10(2) A policy that, in the evaluation of complaints in any
11disciplinary process, it shall not be a valid excuse to alleged lack
12of affirmative consent that the accused believed that the
13 complainant consented to the sexual activity under either of the
14following circumstances:

15(A) The accused’s belief in affirmative consent arose from the
16intoxication or recklessness of the accused.

17(B) The accused did not take reasonable steps, in the
18circumstances known to the accused at the time, to ascertain
19whether the complainant affirmatively consented.

20(3) A policy that the standard used in determining whether the
21elements of the complaint against the accused have been
22demonstrated is the preponderance of the evidence.

23(4) A policy that, in the evaluation of complaints in the
24disciplinary process, it shall not be a valid excuse that the accused
25believed that the complainant affirmatively consented to the sexual
26activity if the accused knew or reasonably should have known that
27the complainant was unable to consent to the sexual activity under
28any of the following circumstances:

29(A) The complainant was asleep or unconscious.

30(B) The complainant was incapacitated due to the influence of
31drugs, alcohol, or medication, so that the complainant could not
32understand the fact, nature, or extent of the sexual activity.

33(C) The complainant was unable to communicate due to a mental
34or physical condition.

35(b) In order to receive state funds for student financial assistance,
36the governing board of each community college district, the
37Trustees of the California State University, the Regents of the
38University of California, and the governing boards of independent
39postsecondary institutions shall adopt detailed and victim-centered
40policies and protocols regarding sexual assault, domestic violence,
P161  1dating violence, and stalking involving a student that comport with
2best practices and current professional standards. At a minimum,
3the policies and protocols shall cover all of the following:

4(1) A policy statement on how the institution will provide
5appropriate protections for the privacy of individuals involved,
6including confidentiality.

7(2) Initial response by the institution’s personnel to a report of
8an incident, including requirements specific to assisting the victim,
9providing information in writing about the importance of preserving
10evidence, and the identification and location of witnesses.

11(3) Response to stranger and nonstranger sexual assault.

12(4) The preliminary victim interview, including the development
13of a victim interview protocol, and a comprehensive followup
14victim interview, as appropriate.

15(5) Contacting and interviewing the accused.

16(6) Seeking the identification and location of witnesses.

17(7) Providing written notification to the victim about the
18availability of, and contact information for, on- and off-campus
19resources and services, and coordination with law enforcement,
20as appropriate.

21(8) Participation of victim advocates and other supporting
22people.

23(9) Investigating allegations that alcohol or drugs were involved
24in the incident.

25(10) Providing that an individual who participates as a
26complainant or witness in an investigation of sexual assault,
27domestic violence, dating violence, or stalking will not be subject
28to disciplinary sanctions for a violation of the institution’s student
29conduct policy at or near the time of the incident, unless the
30institution determines that the violation was egregious, including,
31but not limited to, an action that places the health or safety of any
32other person at risk or involves plagiarism, cheating, or academic
33dishonesty.

34(11) The role of the institutional staff supervision.

35(12) A comprehensive, trauma-informed training program for
36campus officials involved in investigating and adjudicating sexual
37assault, domestic violence, dating violence, and stalking cases.

38(13) Procedures for confidential reporting by victims and third
39parties.

P162  1(c) In order to receive state funds for student financial assistance,
2the governing board of each community college district, the
3Trustees of the California State University, the Regents of the
4University of California, and the governing boards of independent
5postsecondary institutions shall, to the extent feasible, enter into
6memoranda of understanding, agreements, or collaborative
7partnerships with existing on-campus and community-based
8organizations, including rape crisis centers, to refer students for
9assistance or make services available to students, including
10counseling, health, mental health, victim advocacy, and legal
11assistance, and including resources for the accused.

12(d) In order to receive state funds for student financial assistance,
13the governing board of each community college district, the
14Trustees of the California State University, the Regents of the
15University of California, and the governing boards of independent
16postsecondary institutions shall implement comprehensive
17prevention and outreach programs addressing sexual violence,
18domestic violence, dating violence, and stalking. A comprehensive
19prevention program shall include a range of prevention strategies,
20including, but not limited to, empowerment programming for
21victim prevention, awareness raising campaigns, primary
22prevention, bystander intervention, and risk reduction. Outreach
23programs shall be provided to make students aware of the
24institution’s policy on sexual assault, domestic violence, dating
25violence, and stalking. At a minimum, an outreach program shall
26include a process for contacting and informing the student body,
27campus organizations, athletic programs, and student groups about
28the institution’s overall sexual assault policy, the practical
29implications of an affirmative consent standard, and the rights and
30responsibilities of students under the policy.

31(e) Outreach programming shall be included as part of every
32incoming student’s orientation.

33

SEC. 115.  

The heading of Article 7 (commencing with Section
3468090) of Chapter 1 of Part 41 of Division 5 of Title 3 of the 35Education Code is repealed.

begin delete

36 

37Article 7.  Rules and Regulations
38

 

end delete
39

SEC. 116.  

Section 69437 of the Education Code is amended
40to read:

P163  1

69437.  

(a) Commencing with the 2001-02 academic year, and
2each academic year thereafter, there shall be established the
3Competitive Cal Grant A and B award program for students who
4did not receive a Cal Grant A or B entitlement award pursuant to
5Article 2 (commencing with Section 69434), Article 3
6(commencing with Section 69435), or Article 4 (commencing with
7Section 69436). Awards made under this section are not
8entitlements. The submission of an application by a student under
9this sectionbegin delete shallend deletebegin insert doesend insert not entitle that student to an award. The
10selection of students under this article shall be determined pursuant
11to subdivision (c) and other relevant criteria established by the
12commission.

13(b) A total of 22,500 Cal Grant A and B awards shall be granted
14annually under this article on a competitive basis for applicants
15who meet the general eligibility criteria established in Article 1
16(commencing with Section 69430) and the priorities established
17by the commission pursuant to subdivision (c).

18(1) Fifty percent of the awards referenced in this subdivision
19are available to all students, including California community
20college students, who meet the financial need and academic
21requirements established pursuant to this article. A student
22enrolling at a qualifying baccalaureate degree granting institution
23shall apply by the March 2 deadline. A California community
24college student is eligible to apply at the March 2 or the September
252 deadline.

26(2) Fifty percent of the awards referenced in this subdivision
27are reserved for students who will be enrolled at a California
28community college. The commission shall establish a second
29application deadline of September 2 for community college
30students to apply for these awards effective with the fall term or
31semester of the 2001-02 academic year.

32(3) If any awards are not distributed pursuant to paragraphs (1)
33and (2) upon initial allocation of the awards under this article, the
34commission shall make awards to as many eligible students as
35possible, beginning with the students with the lowest expected
36family contribution and highest academic merit, consistent with
37the criteria adopted by the commission pursuant to subdivision
38(c), as practicable without exceeding an annual cumulative total
39of 22,500 awards.

P164  1(c) (1) On or before February 1, 2001, acting pursuant to a
2public hearing process that is consistent with the Bagley-Keene
3Open Meeting Act (Article 9 (commencing with Section 11120)
4of Chapter 1 of Part 1 of Division 3 of Title 2 of the Government
5Code), the commission shall establish selection criteria for Cal
6Grant A and B awards under the competitive program that give
7special consideration to disadvantaged students, taking into
8consideration those financial, educational, cultural, language,
9home, community, environmental, and other conditions that hamper
10a student’s access to, and ability to persist in, postsecondary
11education programs.

12(2) Additional consideration shall be given tobegin delete eachend deletebegin insert bothend insert of the
13following:

begin delete

14(A) Students who graduated from high school or its equivalent
15prior to the 2000-01 academic year. This subparagraph shall not
16be applicable after the 2004-05 academic year.

end delete
begin delete

17(B)

end delete

18begin insert(A)end insert Students pursuing Cal Grant B awards who reestablish their
19grade point averages.

begin delete

20(C)

end delete

21begin insert(B)end insert Students who did not receive awards pursuant to Article 2
22(commencing with Section 69434), Article 3 (commencing with
23Section 69435), or Article 4 (commencing with Section 69436).

24(d) All other students who meet the eligibility requirements
25pursuant to Article 1 (commencing with Section 69430) are eligible
26to compete for an award pursuant to this article.

27

SEC. 117.  

Section 70022 of the Education Code is amended
28to read:

29

70022.  

(a) (1) Subject to an available and sufficient
30appropriation, commencing with the 2014-15 academic year, an
31undergraduate student enrolled in the California State University
32or the University of California who meets the requirements of
33paragraph (2) is eligible for a scholarship award as described in
34that paragraph.

35(2) Each academic year, except as provided in paragraphs (3)
36and (4), a student shall receive a scholarship award in an amount
37that, combined with other federal, state, or institutionally
38administered student grants or fee waivers received by an eligible
39student, is up to 40 percent of the amount charged to that student
P165  1in that academic year for mandatory systemwide tuition and fees,
2if all of the following requirements are met:

3(A) The student’s annual household income does not exceed
4one hundred fifty thousand dollars ($150,000). For purposes of
5this article, annual household income shall be calculated in a
6manner that is consistent with the requirements applicable to the
7Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant Program
8(Chapter 1.7 (commencing with Section 69430)) and Section
969506.

10(B) The student satisfies the eligibility requirements for a Cal
11Grant award pursuant to Section 69433.9, except that a student
12who is exempt from nonresident tuition under Section 68130.5
13shall not be required to satisfy the requirements of subdivision (a)
14of Section 69433.9.

15(C) The student is exempt from paying nonresident tuition.

16(D) The student completes and submits a Free Application for
17Federal Student Aid (FAFSA) application. The FAFSA must be
18submitted or postmarked by no later than March 2. If the student
19is not able to complete a FAFSA application, the student may
20satisfy this subparagraph by submitting an application determined
21by the commission to be equivalent to the FAFSA application for
22purposes of this article by March 2.

23(E) The student makes a timely application or applications for
24all other federal, state, or institutionally administered grants or fee
25waivers for which the student is eligible.

26(F) The student maintains satisfactory academic progress in a
27manner that is consistent with the requirements applicable to the
28Ortiz-Pacheco-Poochigian-Vasconcellos Cal Grant Program
29pursuant to subdivision (m) of Section 69432.7.

30(G) The student is pursuing his or her first undergraduate
31 baccalaureate degree or has completed a baccalaureate degree and
32has been admitted to, and is enrolled in, a program of professional
33teacher preparation at an institution approved by the California
34Commission on Teacher Credentialing.

35(H) The student is enrolled at least part time.

36(3)  (A)  The percentage specified in paragraph (2) shall be
37reduced by 0.6-percent increments per one thousand dollars
38($1,000) of annual household income in excess of one hundred
39thousand dollars ($100,000), to a minimum 10 percent of
40mandatory systemwide tuition and fees for an academic year,
P166  1provided that no scholarship award shall be provided to a student
2with an annual household income exceeding one hundred fifty
3thousand dollars ($150,000). This reduction shall be in addition
4to any reduction required by subdivision (e) of Section 70023.

5(B) Notwithstanding subparagraph (A), for any student who
6qualifies for a scholarship award of at least one dollar ($1), the
7minimum annual scholarship amount for full-time enrollment is
8ninety dollars ($90).

9(4) For the 2014-15, 2015-16, and 2016-17 academic years,
10the maximum amount of a student’s scholarship award shall be 35
11percent, 50 percent, and 75 percent, respectively, of the total
12scholarship award amount that the student would otherwise be
13eligible to receive.

14(b) In order for students enrolled in their respective segments
15to remain eligible to receive a scholarship award under this article,
16the University of California and the California State University
17shall not supplant their respective institutional need-based grants
18with the funds provided for scholarships under this article, and
19shall maintain their funding amounts at a level that, at a minimum,
20is equal to the level maintained for undergraduate students during
21the 2013-14 academic year.

22(c) The University of California and the California State
23University shall report on the implementation of this article as part
24of the report made pursuant to Section 66021.1.

25(d) A Middle Class Scholarship Program award authorized
26pursuant to this article shall be defined as a full-time equivalent
27grant. An award to a part-time student shall be a fraction of a
28full-time grant, as determined by the proportionate amount charged
29for systemwide tuition and fees. A part-time student shall not be
30discriminated against in the selection of Middle Class Scholarship
31Program awards. For purposes of this section,begin delete “full-time student”
32and “part-time student”end delete
begin insert “full-time” and “part-timeend insertbegin insertend insert have the same
33meaning as specified in subdivision (f) of Section 69432.7.

34

SEC. 118.  

Section 70037 of the Education Code is amended
35to read:

36

70037.  

(a) The Trustees of the California State University and
37the Regents of the University of California shall adopt regulations
38providing for the withholding of institutional services frombegin delete studentsend delete
39begin insert a studentend insert or formerbegin delete studentsend deletebegin insert studentend insert whobegin delete haveend deletebegin insert hasend insert been notified
40in writing at the student’s or former student’s last known address
P167  1that he or she is in default on a loan or loans under the DREAM
2Program.

3(b) (1) The regulations adopted pursuant to subdivision (a) shall
4provide that the services withheld may be provided during a period
5when the facts are in dispute or when the student or former student
6demonstrates to either the Trustees of the California State
7University or the Regents of the University of California, as
8applicable, that reasonable progress has been made to repay the
9loan or that there exists a reasonable justification for the delay as
10determined by the institution. The regulations shall specify the
11services to be withheld from the student, which may include, but
12are not limited to, the following:

13(A) The provision of grades.

14(B) The provision of transcripts.

15(C) The provision of diplomas.

16(2) The services withheld pursuant to paragraph (1) shall not
17include the withholding of registration privileges.

18(c) “Default,” for purposes of this section, means the failure of
19a borrower to make an installment payment when due, or to meet
20other terms of the promissory note under circumstancesbegin delete whereend deletebegin insert in
21whichend insert
the institution holding the loan finds it reasonable to
22conclude that the borrower no longer intends to honor the
23obligation to repay, provided that this failure persists for 180 days
24for a loan repayable in monthly installments, or 240 days for a
25loan repayable in less frequent installments.

26(d) This sectionbegin delete shallend deletebegin insert doesend insert not impose any requirement upon
27the University of California unless the Regents of the University
28of California, by resolution, makes this section applicable.

29

SEC. 119.  

The heading of Article 3 (commencing with Section
3072632) of Chapter 6 of Part 45 of Division 7 of Title 3 of the 31Education Code is repealed.

begin delete

32 

33Article 3.  Promoting Education
34

 

end delete
35

SEC. 120.  

Section 76030 of the Education Code is amended
36to read:

37

76030.  

(a) Consistent with requirements of due process of law,
38with this article, and with the rules of student conduct adopted by
39the governing board under Section 66300, the governing board,
40the president of a community college or the president’s designee,
P168  1or an instructor shall suspend a student for good cause. In addition,
2the governing board is authorized to expel a student for good cause
3when other means of correction fail to bring about proper conduct,
4or when the presence of the student causes a continuing danger to
5the physical safety of the student or others. The suspension or
6expulsion of a student shall be accompanied by a hearing conducted
7pursuant to the requirements of Section 66017.

8(b) (1) Notwithstanding any other law, ifbegin delete good cause for the
9issuance ofend delete
anbegin delete order,end deletebegin insert orderend insert requested by a community college
10begin delete district,end deletebegin insert districtend insert to protect a campus of a community collegebegin delete district,end delete
11begin insert districtend insert or any person regularly present on a campus of thatbegin delete district,end delete
12begin insert districtend insert is issuedbegin insert upon a finding of good causeend insert by a court against
13a student of that community college district, andbegin insert the orderend insert prevents
14that student from attending classes and maintaining his or her
15academic standing, the community college district may require
16the student to apply for reinstatement after the expiration of that
17order. If the district requires the student to apply for reinstatement,
18it shall do so before the expiration of the protective order. If a
19student applies for reinstatement under this paragraph, a review
20with respect to the application shall be conducted. This review, at
21a minimum, shall include consideration of all of the following
22issues:

23(A) The gravity of the offense.

24(B) Evidence of subsequent offenses, if any.

25(C) The likelihood that the student would cause substantial
26disruption if he or she is reinstated.

27(2) The governing board of the community college district, or
28the person to whom authority is delegated pursuant to subdivision
29(f) of Section 76038, shall take one of the following actions after
30conducting a review under paragraph (1):

31(A) Deny reinstatement.

32(B) Permit reinstatement.

33(C) Permit conditionalbegin delete reinstatement,end deletebegin insert reinstatementend insert and specify
34the conditions under which reinstatement will be permitted.

35

SEC. 121.  

Section 78261.5 of the Education Code is amended
36to read:

37

78261.5.  

(a) A community college registered nursing program
38that determines that the number of applicants to that program
39exceeds its capacity may admit students in accordance with any
40of the following procedures:

P169  1(1) Administration of a multicriteria screening process, as
2authorized by Section 78261.3, in a manner that is consistent with
3the standards set forth in subdivision (b).

4(2) A random selection process.

5(3) A blended combination of random selection and a
6multicriteria screening process.

7(b) A community college registered nursing program that elects,
8on or after January 1, 2008, to use a multicriteria screening process
9to evaluate applicants pursuant to this article shall apply those
10measures in accordance with all of the following:

11(1) The criteria applied in a multicriteria screening process under
12this article shall include, but shall not necessarily be limited to, all
13of the following:

14(A) Academic degrees or diplomas, or relevant certificates, held
15by an applicant.

16(B) Grade-point average in relevant coursework.

17(C) Any relevant work or volunteer experience.

18(D) Life experiences or special circumstances of an applicant,
19including, but not necessarily limited to, the following experiences
20or circumstances:

21(i) Disabilities.

22(ii) Low family income.

23(iii) First generation of family to attend college.

24(iv) Need to work.

25(v) Disadvantaged social or educational environment.

26(vi) Difficult personal and family situations or circumstances.

27(vii) Refugee or veteran status.

28(E) Proficiency or advanced level coursework in languages other
29than English. Credit for languages other than English shall be
30received for languages that are identified by the chancellor as
31high-frequency languages, as based on census data. These
32languages may include, but are not necessarily limited to, any of
33the following:

34(i) American Sign Language.

35(ii) Arabic.

36(iii) Chinese, including its various dialects.

37(iv) Farsi.

38(v) Russian.

39(vi) Spanish.

40(vii) Tagalog.

P170  1(viii) The various languages of the Indian subcontinent and
2Southeast Asia.

3(2) Additional criteria, such as a personal interview, a personal
4statement, letter of recommendation, or the number of repetitions
5 of prerequisite classes, or other criteria, as approved by the
6chancellor, may be used, but are not required.

7(3) A community college registered nursing program using a
8multicriteria screening process under this article may use an
9approved diagnostic assessment tool, in accordance with Section
1078261.3, before, during, or after the multicriteria screening process.

11(4) As used in this section:

12(A) “Disabilities” has the same meaning as used in Section 2626
13of the Unemployment Insurance Code.

14(B) “Disadvantaged social or educational environment” includes,
15but is not necessarily limited to, the status of a student who has
16participated in Extended Opportunity Programs and Services
17(EOPS).

18(C) “Grade-point average” refers to the same fixed set of
19required prerequisite courses that all applicants to the nursing
20program administering the multicriteria screening process are
21required to complete.

22(D) “Low family income” shall be measured by a community
23college registered nursing program in terms of a student’s eligibility
24for, or receipt of, financial aid under a program that may include,
25but is not necessarily limited to, a fee waiver from the board of
26governors under Section 76300, the Cal Grant Program under
27Chapter 1.7 (commencing with Section 69430) of Part 42 of
28Division 5, the federal Pell Grant program, or CalWORKs.

29(E) “Need to work” means that the student is working at least
30part time while completing academic work that is a prerequisite
31for admission to the nursing program.

32(5) A community college registered nursing program that uses
33a multicriteria screening process pursuant to this article shall report
34its nursing program admissions policies to the chancellor annually,
35in writing. The admissions policies reported under this paragraph
36shall include the weight given to any criteria used by the program,
37and shall include demographic information relating to both the
38persons admitted to the program and the persons of that group who
39successfully completed that program.

P171  1(c) The chancellor is encouraged to develop, and make available
2to community college registered nursing programs by July 1, 2008,
3a model admissions process based on this section.

4(d) (1) The chancellor shall submit a report on or before March
51, 2015, and on or before each March 1 thereafter, to the
6Legislature and the Governor that examines and includes, but is
7not necessarily limited to, both of the following:

8(A) The participation, retention, and completion rates in
9community college registered nursing programs of students
10admitted through a multicriteria screening process, as described
11inbegin delete Section 78261.5,end deletebegin insert this section,end insert disaggregated by the age, gender,
12ethnicity, and the language spoken at the home of those students.

13(B) Information on the annual impact, if any, the
14Seymour-Campbell Student Success Act had on the matriculation
15services for students admitted through the multicriteria screening
16process, as described inbegin delete Section 78261.5.end deletebegin insert this section.end insert

17(2) The chancellor shall submit the annual report required in
18paragraph (1) in conjunction with its annual report on associate
19degree nursing programs required by subdivision (h) of Section
2078261.

21(e) This section shall remain in effect only until January 1, 2020,
22and as of that date is repealed, unless a later enacted statute, that
23is enacted before January 1, 2020, deletes or extends that date.

24

SEC. 122.  

The heading of Article 8 (commencing with Section
2578310) of Chapter 2 of Part 48 of Division 7 of Title 3 of the 26Education Code is repealed.

begin delete

27 

28Article 8.  Independent Study
29

 

end delete
30

SEC. 123.  

The heading of Article 3 (commencing with Section
3178440) of Chapter 3 of Part 48 of Division 7 of Title 3 of the 32Education Code is repealed.

begin delete

33 

34Article 3.  Education of Handicapped
35

 

end delete
36

SEC. 124.  

The heading of Chapter 4 (commencing with Section
3778600) of Part 48 of Division 7 of Title 3 of the Education Code
38 is repealed.

begin delete

39 

40Chapter  4. Programs for Handicapped Students

 

end delete
P172  1

SEC. 125.  

The heading of Article 4 (commencing with Section
282360) of Chapter 7 of Part 49 of Division 7 of Title 3 of the 3Education Code is repealed.

begin delete

4 

5Article 4.  Cafeterias--Establishment
6

 

end delete
7

SEC. 126.  

Section 82542 of the Education Code, as amended
8by Section 1 of Chapter 233 of the Statutes of 2014, is amended
9to read:

10

82542.  

(a) Except as provided in subdivision (b), the governing
11board of a community college district shall grant without charge
12the use of any college facilities or grounds under its control,
13pursuant to the requirements of this article, when an alternative
14location is not available, to nonprofit organizations and clubs and
15associations organized for general character building or welfare
16purposes, such as:

17(1) Student clubs and organizations.

18(2) Fundraising entertainments or meetings where admission
19fees charged or contributions solicited are expended for the welfare
20of the students of the district.

21(3) Parent-teachers’ associations.

22(4) School-community advisory councils.

23(5) Camp Fire Girls, Girl Scout troops, and Boy Scout troops.

24(6) Senior citizens’ organizations.

25(7) Other public agencies.

26(8) Organizations, clubs, or associations organized for cultural
27activities and general character building or welfare purposes, such
28as folk and square dancing.

29(9) Groups organized for the purpose specified in subdivision
30(k).

31(b) The governing board may charge those organizations and
32activities listed in subdivision (a) an amount not to exceed the
33following:

34(1) The cost of opening and closing the facilities, if no college
35employees would otherwise be available to perform that function
36as a part of their normal duties.

37(2) The cost of a college employee’s presence during the
38organization’s use of the facilities, if the governing board
39determines that the supervision is needed, and if that employee
40would not otherwise be present as part of his or her normal duties.

P173  1(3) The cost of janitorial services, if the services are necessary,
2and would not have otherwise been performed as part of the
3janitor’s normal duties.

4(4) The cost of utilities directly attributable to the organization’s
5use of the facilities.

6(c) The governing board may charge an amount not to exceed
7its direct costs or not to exceed fair rental value of college facilities
8and grounds under its control, and pursuant to the requirements of
9this article, for activities other than those specified in subdivision
10(a). A governing board that decides to levy these charges shall first
11adopt a policy specifying which activities shall be charged an
12amount not to exceed direct costs and which activities shall be
13charged an amount not to exceed fair rental value.

14(d) (1) As used in this section, “direct costs” to the district for
15the use of college facilities or grounds includes all of the following:

16(A) The share of the costs of supplies, utilities, janitorial
17services, services of any other district employees, and salaries paid
18to community college district employees to operate and maintain
19college facilities or grounds that is proportional to the
20 organization’s use of the college facilities and grounds of the
21district under this section.

22(B) The share of the costs for maintenance, repair, restoration,
23and refurbishment, proportional to the use of the college facilities
24or grounds by the organization using the college facilities or
25grounds under this section. For purposes of this subparagraph,
26“college facilities” shall be limited to only nonclassroom space,
27and “grounds” shall include, but not be limited to, playing fields,
28athletic fields, track and field venues, tennis courts, and outdoor
29basketball courts.

30(2) The share of the costs for maintenance, repair, restoration,
31and refurbishment shall not apply to either of the following:

32(A) Classroom-based programs that operate after school hours,
33including, but not limited to, after school programs, tutoring
34 programs, or child care programs.

35(B) Organizations retained by the college or community college
36district to provide instruction or instructional activities to students
37during school hours.

38(3) Funds collected pursuant to this subdivision shall be
39deposited into a special fund that shall only be used for purposes
40of this section.

P174  1(e) By December 31, 2015, the Chancellor of the California
2Community Colleges shall develop, and the Board of Governors
3of the California Community Colleges shall adopt, regulations to
4be used by a governing board of a community collegebegin insert districtend insert in
5determining the proportionate share and the specific allowable
6costs that a community college district may include as direct costs
7for the use of its college facilities or grounds.

8(f) As used in this section, “fair rental value” means the direct
9costs to the district, plus the amortized costs of the college facilities
10or grounds used for the duration of the activity authorized.

11(g) The governing board of a community college district that
12authorizes the use of college facilities or grounds for the purpose
13specified in subdivision (h) shall charge the church or religious
14denomination an amount at least equal to the fair rental value of
15the facilities or grounds.

16(h) The governing board of a community college district may
17grant the use of college facilities or grounds to any church or
18religious organization for the conduct of religious services for
19temporary periods where the church or organization has no suitable
20meeting place for the conduct of these services upon the terms and
21conditions as the board deems proper, and subject to the limitations,
22requirements, and restrictions set forth in this article. The governing
23board shall charge the church or religious organization using the
24property for the conduct of religious services a fee as specified in
25subdivision (g).

26(i) For entertainment or a meeting where an admission fee is
27charged or a contribution is solicited and the net receipts of the
28admission fees or contributions are not expended for the welfare
29of the students of the district or for charitable purposes, a charge
30equal to fair rental value shall be levied for the use of the college
31facilities, property, and grounds, as determined by the governing
32board of the district.

33(j) The governing board may permit the use, without charge,
34by organizations, clubs, or associations organized for senior citizens
35and for cultural activities and general character building or welfare
36purposes, when membership dues or contributions solely for the
37support of the organization, club, or association, or the
38advancement of its cultural, characterbegin delete buildingend deletebegin insert building,end insert or welfare
39work, are accepted.

P175  1(k) The governing board of a community college district may
2grant the use of college facilities, grounds, and equipment to public
3agencies, including the American Red Cross, for mass care and
4welfare shelters during disasters or other emergencies affecting
5the public health and welfare, and may cooperate with these
6agencies in furnishing and maintaining services deemed by the
7governing board to be necessary to meet the needs of the
8community.

9(l) This section shall remain in effect only until January 1, 2020,
10and as of that date is repealed, unless a later enacted statute, that
11is enacted before January 1, 2020, deletes or extends that date.

12

SEC. 127.  

Section 82542 of the Education Code, as added by
13Section 2 of Chapter 233 of the Statutes of 2014, is amended to
14read:

15

82542.  

(a) Except as provided in subdivision (b), the governing
16board of a community college district shall grant without charge
17the use of any college facilities or grounds under its control,
18pursuant to the requirements of this article, when an alternative
19location is not available, to nonprofit organizations and clubs and
20associations organized for general character building or welfare
21purposes, such as:

22(1) Student clubs and organizations.

23(2) Fundraising entertainments or meetings where admission
24fees charged or contributions solicited are expended for the welfare
25of the students of the district.

26(3) Parent-teachers’ associations.

27(4) School-community advisory councils.

28(5) Camp Fire Girls, Girl Scout troops, and Boy Scout troops.

29(6) Senior citizens’ organizations.

30(7) Other public agencies.

31(8) Organizations, clubs, or associations organized for cultural
32activities and general character building or welfare purposes, such
33as folk and square dancing.

34(9) Groups organized for the purpose specified in subdivision
35(g).

36(b) The governing board may charge those organizations and
37activities listed in subdivision (a) an amount not to exceed the
38following:

P176  1(1) The cost of opening and closing the facilities, if no college
2employees would otherwise be available to perform that function
3as a part of their normal duties.

4(2) The cost of a college employee’s presence during the
5organization’s use of the facilities, if the governing board
6determines that the supervision is needed, and if that employee
7would not otherwise be present as part of his or her normal duties.

8(3) The cost of janitorial services, if the services are necessary,
9and would not have otherwise been performed as part of the
10janitor’s normal duties.

11(4) The cost of utilities directly attributable to the organization’s
12use of the facilities.

13(c) The governing board may charge an amount not to exceed
14its direct costs or not to exceed fair rental value of college facilities
15and grounds under its control, and pursuant to the requirements of
16this article, for activities other than those specified in subdivision
17(a). A governing board that decides to levy these charges shall first
18adopt a policy specifying which activities shall be charged an
19amount not to exceed direct costs and which activities shall be
20charged an amount not to exceed fair rental value.

21(1) As used in this section, “direct costs” to the district for the
22use of college facilities or grounds means those costs of supplies,
23utilities, janitorial services, services of any other district employees,
24and salaries paid community college district employees necessitated
25by the organization’s use of the college facilities and grounds of
26the district.

27(2) As used in this section, “fair rental value” means the direct
28costs to the district, plus the amortized costs of the college facilities
29or grounds used for the duration of the activity authorized.

30(d) The governing board of a community college district that
31authorizes the use of college facilities or grounds for the purpose
32specified in subdivision (e) shall charge the church or religious
33denomination an amount at least equal to the fair rental value of
34the facilities or grounds.

35(e) The governing board of a community college district may
36grant the use of college facilities or grounds to any church or
37religious organization for the conduct of religious services for
38temporary periods where the church or organization has no suitable
39meeting place for the conduct of these services upon the terms and
40conditions as the board deems proper, and subject to the limitations,
P177  1requirements, and restrictions set forth in this article. The governing
2board shall charge the church or religious organization using the
3property for the conduct of religious services a fee as specified in
4subdivision (d).

5(f) For entertainment or a meeting where an admission fee is
6charged or a contribution is solicited and the net receipts of the
7admission fees or contributions are not expended for the welfare
8of the students of the district or for charitable purposes, a charge
9shall be made for the use of the college facilities, property, and
10grounds, which charge shall not be less than the fair rental value
11for the use of the college facilities, property, and grounds, as
12determined by the governing board of the district.

13(g) The governing board may permit the use, without charge,
14by organizations, clubs, or associations organized for senior citizens
15and for cultural activities and general character building or welfare
16purposes, when membership dues or contributions solely for the
17support of the organization, club, or association, or the
18advancement of its cultural, characterbegin delete buildingend deletebegin insert building,end insert or welfare
19work, are accepted.

20(h) The governing board of a community college district may
21grant the use of college facilities, grounds, and equipment to public
22agencies, including the American Red Cross, for mass care and
23welfare shelters during disasters or other emergencies affecting
24the public health and welfare, and may cooperate with these
25agencies in furnishing and maintaining services deemed by the
26governing board to be necessary to meet the needs of the
27community.

28(i) This section is operative on and after January 1, 2020.

29

SEC. 128.  

The heading of Article 1 (commencing with Section
3084300) of Chapter 3 of Part 50 of Division 7 of Title 3 of the 31Education Code is repealed.

begin delete

32 

33Article 1.  Maintenance, Disbursements and Sources
34

 

end delete
35

SEC. 129.  

The heading of Article 2 (commencing with Section
3685210) of Chapter 8 of Part 50 of Division 7 of Title 3 of the 37Education Code is repealed.

begin delete

38 

39Article 2.  Appropriation of Excess Income
40

 

end delete
P178  1

SEC. 130.  

Section 87782 of the Education Code is amended
2to read:

3

87782.  

(a) An academic employee of a community college
4district who has been an employee of that district for a period of
5one school year or more shall have transferred with him or her to
6a second district the total amount of leave of absence for illness
7or injury to which he or she is entitled under Section 87781 in any
8of the following circumstances:

9(1) The person accepts an academic position in a school district
10or community college district at any time during the second or any
11succeeding school year of his or her employment with the first
12district.

13(2) The person, within the three school years succeeding the
14school year in which the employment in the first district is
15terminated, signifies acceptance of his or her election or
16employment in an academic position in another district.

17(3) The person, prior to the expiration of a period greater than
18three years during which the employee’s reemployment rights are
19in effect under a local bargaining agreement in the first district,
20signifies acceptance of his or her election or employment in an
21academic position in another district.

22(b) The board of governors shall adopt rules and regulations
23prescribing the manner in which the first district shall certify to
24the second district the total amount of leave of absence for illness
25or injury to be transferred. No governing board shall adopt any
26policy or rule, written or unwritten,begin delete whichend deletebegin insert thatend insert requires any
27employee transferring to its district to waive any part or all of the
28leave of absencebegin delete whichend deletebegin insert thatend insert he or she may be entitled to have
29transferred in accordance with this section.

30

SEC. 131.  

Section 87784.5 of the Education Code is amended
31to read:

32

87784.5.  

(a) An academic employee may take up to 30 days
33of leave in a school year, lessbegin delete thanend delete any days of leave authorized
34pursuant to Sections 87781.5 and 87784, in either of the following
35circumstances:

36(1) A biological parent may use leave pursuant to this section
37within the first year of his or her infant’s birth.

38(2) A nonbiological parent may use leave pursuant to this section
39within the first year of legally adopting a child.

P179  1(b) If the provisions of this section are in conflict with the terms
2of a collective bargaining agreement in effect before January 1,
32015, the provisions of this sectionbegin delete shallend deletebegin insert doend insert not apply to the public
4employer and public employees subject to that agreement until the
5expiration or renewal of the agreement.

6

SEC. 132.  

Section 88207.5 of the Education Code is amended
7to read:

8

88207.5.  

(a) A contract or regular employee may use up to 30
9days of leave in a school year, lessbegin delete thanend delete any days of leave
10authorized pursuant to Section 88207, in either of the following
11circumstances:

12(1) A biological parent may use leave pursuant to this section
13within the first year of his or her infant’s birth.

14(2) A nonbiological parent may use leave pursuant to this section
15within the first year of legally adopting a child.

16(b) If the provisions of this section are in conflict with the terms
17of a collective bargaining agreement in effect before January 1,
18 2015, the provisions of this sectionbegin delete shallend deletebegin insert doend insert not apply to the public
19employer and public employees subject to that agreement until the
20expiration or renewal of the agreement.

21

SEC. 133.  

Section 89005 of the Education Code is amended
22to read:

23

89005.  

All references inbegin delete anyend delete law or regulation to the “California
24State Colleges,” to the “California State University and Colleges,”
25or to “state colleges” shall be deemed to refer to the California
26State University and to the system of institutions of higher
27educationbegin delete whichend deletebegin insert thatend insert comprises the California Statebegin delete Univerityend delete
28begin insert Universityend insert as authorized in Section 89001. The term “campus”
29shall mean any of the institutions included within the California
30State University specified in Section 89001.

31

SEC. 134.  

Section 89295 of the Education Code is amended
32to read:

33

89295.  

(a) For purposes of this section, the following terms
34are defined as follows:

35(1) The “four-year graduation rate” means the percentage of a
36cohort of undergraduate students who entered the university as
37freshmen at any campus and graduated from any campus within
38four years.

39(2) The “six-year graduation rate” means the percentage of a
40cohort of undergraduate students who entered the university as
P180  1freshmen at any campus and graduated from any campus within
2six years.

3(3) The “two-year transfer graduation rate” means the percentage
4of a cohort of undergraduate students who entered the university
5at any campus as junior-level transfer students from the California
6Community Colleges and graduated from any campus within two
7years.

8(4) The “three-year transfer graduation rate” means the
9percentage of a cohort of undergraduate students who entered the
10universitybegin insert at any campusend insert as junior-level transfer students from the
11California Community Collegesbegin delete at any campusend delete and graduated from
12any campus within three years.

13(5) The “four-year transfer graduation rate” means the
14percentage of a cohort of undergraduate students who entered the
15universitybegin insert at any campusend insert as junior-level transfer students from the
16California Community Collegesbegin delete at any campusend delete and graduated from
17any campus within four years.

18(6) “Low-income student” means an undergraduate student who
19has an expected family contribution, as defined in subdivision (g)
20of Section 69432.7, at any time during the student’s matriculation
21at the institution that would qualify the student to receive a federal
22Pell Grant. The calculation of a student’s expected family
23contribution shall be based on the Free Application for Federal
24Student Aid (FAFSA) application or an application determined by
25thebegin delete Californiaend delete Student Aid Commission to be equivalent to the
26FAFSA application submitted by that applicant.

27(b) Commencing with the 2013-14 academic year, the California
28State University shall report, by March 15 of each year, on the
29following performance measures for the preceding academic year,
30to inform budget and policy decisions and promote the effective
31and efficient use of available resources:

32(1) The number of California Community College transfer
33students enrolled and the percentage of California Community
34College transfer students as a proportion of the total number of
35undergraduate students enrolled.

36(2) The number of new California Community College transfer
37students enrolled and the percentage of new California Community
38College transfer students as a proportion of the total number of
39new undergraduate students enrolled.

P181  1(3) The number of low-income students enrolled and the
2percentage of low-income students as a proportion of the total
3number of undergraduate students enrolled.

4(4) The number of new low-income students enrolled and the
5percentage ofbegin insert newend insert low-income students as a proportion of the total
6number of new undergraduate students enrolled.

7(5) The four-year graduation rate for students who entered the
8university four years prior and, separately, for low-income students
9in that cohort.

10(6) The four-year and six-year graduation rates for students who
11entered the university six years prior and, separately, for
12low-income students in that cohort.

13(7) The two-year transfer graduation rate for students who
14entered the university two years prior and, separately, for
15low-income students in that cohort.

16(8) The two-year and three-year transfer graduation rates for
17students who entered the university three years prior and,
18separately, for low-income students in that cohort.

19(9) The two-year, three-year, and four-year transfer graduation
20rates for students who entered the university four years prior and,
21separately, for low-income students in that cohort.

22(10) The number of degree completions annually, in total and
23for the following categories:

24(A) Freshman entrants.

25(B) California Community College transfer students.

26(C) Graduate students.

27(D) Low-income students.

28(11) The percentage of freshman entrants who have earned
29sufficient course credits by the end of their first year of enrollment
30to indicate that they will graduate within four years.

31(12) The percentage of California Community College transfer
32students who have earned sufficient course credits by the end of
33their first year of enrollment to indicate that they will graduate
34within two years.

35(13) For all students, the total amount of funds received from
36all sources identified in subdivision (c) of Section 89290 for the
37year, divided by the number of degrees awarded that same year.

38(14) For undergraduate students, the total amount of funds
39received from all sources identified in subdivision (c) of Section
P182  189290 for the year expended for undergraduate education, divided
2by the number of undergraduate degrees awarded that same year.

3(15) The average number of California State University course
4credits and the total course credits, including credits accrued at
5other institutions, accumulated by all undergraduate students who
6graduated, and separately for freshman entrants and California
7Community College transfer students.

8(16) (A) The number of degree completions in science,
9technology, engineering, and mathematics (STEM) fields, in total,
10and separately for undergraduate students, graduate students, and
11low-income students.

12(B) For purposes of subparagraph (A), “STEM fields” include,
13but are not necessarily limited to, all of the following: computer
14and information sciences, engineering and engineering
15technologies, biological and biomedical sciences, mathematics
16and statistics, physical sciences, and science technologies.

17(c) It is the intent of the Legislature that the appropriate policy
18and fiscal committees of the Legislature review these performance
19measures in a collaborative process with the Department of
20Finance, the Legislative Analyst’s Office, individuals with
21expertise in statewide accountability efforts, the University of
22California, the California State University, and, for purposes of
23data integrity and consistency, the California Community Colleges,
24and consider any recommendations for their modification and
25refinement. It is further the intent of the Legislature that any
26modification or refinement of these measures be guided by the
27legislative intent expressed in Section 66010.93.

28

SEC. 135.  

Section 89500.7 of the Education Code is amended
29to read:

30

89500.7.  

(a) The trustees shall offer, on at least a semiannual
31basis, to each of the university’s filers, an orientation course on
32the relevant ethics statutes and regulations that govern the official
33conduct of university officials.

34(b) As used in this section, “filer” means each member, officer,
35or designated employee of the California State University,
36including a trustee, who, because of his or her affiliation with the
37university or any subdivision or campus thereof, is required to file
38a Statement of Economic Interests in accordance with Chapter 7
39(commencing with Section 87100) of Title 9 of the Government
40Code.

P183  1(c) The trustees shall maintain records indicating the specific
2attendees, each attendee’s job title, and dates of their attendance
3for each orientation course offered pursuant to this section. These
4records shall be maintained for a period of at least five years after
5each course is offered. These records shall be public records subject
6to inspection and copying in accordance withbegin delete subdivision (a) ofend delete
7 Section 81008 of the Government Code and any other public
8records disclosure laws that are applicable to the university.

9(d) Except as provided in subdivision (e), each filer shall attend
10the orientation course established pursuant to subdivision (a) in
11accordance with both of the following:

12(1) For a person who, as of January 1, 2005, is a filer, as defined
13in subdivision (b), not later than December 31, 2005, and thereafter,
14at least once during each consecutive period of two calendar years
15commencing on January 1, 2007.

16(2) For a person who becomes a filer, as defined in subdivision
17(b), after January 1, 2005, within six months after he or she
18becomes a filer, and at least once during each consecutive period
19of two calendar years commencing on January 1 of the first
20odd-numbered year thereafter.

21(e) The requirements of subdivision (d)begin delete shallend deletebegin insert doend insert not apply to a
22filer, as defined in subdivision (b), who has taken an ethics
23orientation course through another state agency or the Legislature
24within the periods set forth in paragraphs (1) and (2) of subdivision
25(d) if, in the determination of the trustees, that course covered
26substantially the same material as the course the university would
27offer to the filer pursuant to this section.

28

SEC. 136.  

Section 89770 of the Education Code is amended
29to read:

30

89770.  

(a) (1) The California State University may pledge,
31in addition to any of its other revenues that the university chooses
32to pledge, its annual General Fund support appropriation less the
33amount of that appropriation required to fund general obligation
34bond payments and State Public Works Board rental payments, to
35secure the payment of debt obligations issued by the Trustees of
36the California State University pursuant to the State University
37Revenue Bond Act of 1947 (Article 2 (commencing with Section
3890010) of Chapter 8).

39(2) To the extent the university pledges any part of its support
40appropriation as a source of revenue securing any obligation, it
P184  1shall provide that this commitment of revenue is subject to annual
2appropriation by the Legislature.

3(3) The university may fund debt service for capital expenditures
4defined in subdivision (b), and the costs or expenses incidental to
5the issuance and sale of bonds to finance those costs, including,
6but not limited to, capitalized interest on the bonds, from its
7General Fund support appropriation pursuant to Sections 89772
8and 89773.

9(4) The state hereby covenants with the holders of the
10university’s obligations, secured by the pledge of the university
11authorized by this section,begin insert thatend insert so long as any of the obligations
12referred to in this subdivision remain outstanding, the state will
13not impair or restrict the ability of the university to pledge any
14support appropriation or support appropriations that may be enacted
15for the university. The university may include this covenant of the
16state in the agreements or other documents underlying the
17university’s obligations to this effect.

18(b) For purposes of this section, “capital expenditures” means
19any of the following:

20(1) The costs to acquire real property to design, construct, or
21equip academic facilities to address seismic and life safety needs,
22enrollment growth, or modernization of out-of-date facilities, and
23renewal or expansion of infrastructure to serve academic programs.

24(2) The debt service amount associated with refunding,
25defeasing, or retiring State Public Works Board lease revenue
26bonds.

27(3) The costs to design, construct, or equip energy conservation
28projects.

29(4) The costs of deferred maintenance of academic facilities
30and related infrastructure.

31(c) begin deleteNothing in this end deletebegin insertThis end insertsectionbegin delete shallend deletebegin insert does notend insert require the
32Legislature to make an appropriation from the General Fund in
33any specific amount to support the California State University.

34(d) The ability to utilize its support appropriation as stated in
35this section shall not be used as a justification for future increases
36in student tuition, additional employee layoffs, or reductions in
37employee compensation at the California State University.

38

SEC. 137.  

Section 92611.7 of the Education Code is amended
39to read:

P185  1

92611.7.  

(a) The regents are urged to offer, on at least a
2semiannual basis, to each of the university’s filers, an orientation
3course on the relevant ethics statutes and regulations that govern
4the official conduct of university officials.

5(b) As used in this section, “filer” means each member, officer,
6or designated employee of the University of California, including
7a regent, who, because of his or her affiliation with the university
8or any subdivision or campus thereof, is required to file a statement
9of economic interests in accordance with Chapter 7 (commencing
10with Section 87100) of Title 9 of the Government Code.

11(c) The regents shall maintain records indicating the specific
12attendees, each attendee’s job title, and dates of their attendance
13for each orientation course offered pursuant to this section. These
14records shall be maintained for a period of at least five years after
15each course is offered. These records shall be public records subject
16to inspection and copying in accordance withbegin delete subdivision (a) ofend delete
17 Section 81008 of the Government Code and any other public
18records disclosure laws that are applicable to the university.

19(d) Except as provided in subdivision (e), each filer shall attend
20the orientation course established pursuant to subdivision (a) in
21accordance with both of the following:

22(1) For a person who, as of January 1, 2005, is a filer, as defined
23in subdivision (b), not later than December 31, 2005, and thereafter,
24at least once during each consecutive period of two calendar years
25commencing on January 1, 2007.

26(2) For a person who becomes a filer, as defined in subdivision
27(b), after January 1, 2005, within six months after he or she
28becomes a filer, and at least once during each consecutive period
29of two calendar years commencing on January 1 of the first
30odd-numbered year thereafter.

31(e) The requirements of subdivision (d)begin delete shallend deletebegin insert doend insert not apply to a
32filer, as defined in subdivision (b), who has taken an ethics
33orientation course through another state agency or the Legislature
34within the periods set forth in paragraphs (1) and (2) of subdivision
35(d) if, in the determination of the regents, that course covered
36 substantially the same material as the course the university would
37offer to the filer pursuant to this section.

38

SEC. 138.  

Section 92675 of the Education Code is amended
39to read:

P186  1

92675.  

(a) For purposes of this section, the following terms
2are defined as follows:

3(1) The “four-year graduation rate” means the percentage of a
4cohort of undergraduate students who entered the university as
5freshmen at any campus and graduated from any campus within
6four years.

7(2) The “two-year transfer graduation rate” means the percentage
8of a cohort of undergraduate students who entered the university
9at any campus as junior-level transfer students from the California
10Community Colleges and graduated from any campus within two
11years.

12(3) “Low-income student” means an undergraduate student who
13has an expected family contribution, as defined in subdivision (g)
14of Section 69432.7, at any time during the student’s matriculation
15at the institution that would qualify the student to receive a federal
16Pell Grant. The calculation of a student’s expected family
17contribution shall be based on the Free Application for Federal
18Student Aid (FAFSA) application or an application determined by
19thebegin delete Californiaend delete Student Aid Commission to be equivalent to the
20FAFSA application submitted by that applicant.

21(b) Commencing with the 2013-14 academic year, the
22University of California shall report, by March 15 of each year,
23on the following performance measures for the preceding academic
24year, to inform budget and policy decisions and promote the
25effective and efficient use of available resources:

26(1) The number of transfer students enrolled from the California
27Community Colleges, and the percentage of California Community
28College transfer students as a proportion of the total number of
29undergraduate students enrolled.

30(2) The number of new transfer students enrolled from the
31California Community Colleges, and the percentage ofbegin insert newend insert
32 California Community College transfer students as a proportion
33of the total number of new undergraduate students enrolled.

34(3) The number of low-income students enrolled and the
35percentage of low-income students as a proportion of the total
36number of undergraduate students enrolled.

37(4) The number of new low-income students enrolled and the
38percentage ofbegin insert newend insert low-income students as a proportion of the total
39number of new undergraduate students enrolled.

P187  1(5) The four-year graduation rate for students who entered the
2university four years prior and, separately, for low-income students
3in that cohort.

4(6) The two-year transfer graduation rate for students who
5entered the university two years prior and, separately, for
6low-income students in that cohort.

7(7) The number of degree completions, in total and for the
8following categories:

9(A) Freshman entrants.

10(B) California Community College transfer students.

11(C) Graduate students.

12(D) Low-income students.

13(8) The percentage of freshman entrants who have earned
14sufficient course credits by the end of their first year of enrollment
15to indicate they will graduate within four years.

16(9) The percentage of California Community College transfer
17students who have earned sufficient course credits by the end of
18their first year of enrollment to indicate they will graduate within
19two years.

20(10) For all students, the total amount of funds received from
21all sources identified in subdivision (c) of Section 92670 for the
22year, divided by the number of degrees awarded that same year.

23(11) For undergraduate students, the total amount of funds
24received from the sources identified in subdivision (c) of Section
2592670 for the year expended for undergraduate education, divided
26by the number of undergraduate degrees awarded that same year.

27(12) The average number of University of California course
28credits and total course credits, including credit accrued at other
29institutions, accumulated by all undergraduate students who
30graduated, and separately for freshman entrants and California
31Community College transfer students.

32(13) (A) The number of degree completions in science,
33technology, engineering, and mathematics (STEM) fields, in total,
34and separately for undergraduate students, graduate students, and
35low-income students.

36(B) For purposes of subparagraph (A), “STEM fields” include,
37but are not necessarily limited to, all of the following: computer
38and information sciences, engineering and engineering
39technologies, biological and biomedical sciences, mathematics
40and statistics, physical sciences, and science technologies.

P188  1(c) It is the intent of the Legislature that the appropriate policy
2and fiscal committees of the Legislature review these performance
3measures in a collaborative process with the Department of
4Finance, the Legislative Analyst’s Office, individuals with
5expertise in statewide accountability efforts, the University of
6California, the California State University, and, for purposes of
7data integrity and consistency, the California Community Colleges,
8and consider any recommendations for their modification and
9refinement. It is further the intent of the Legislature that any
10modification or refinement of these measures be guided by the
11legislative intent expressed in Section 66010.93.

12

SEC. 139.  

Section 94143 of the Education Code is amended
13to read:

14

94143.  

The authority is authorized from time to time to issue
15its notes for any corporate purpose and renew from time to time
16any notes by the issuance of new notes, whether the notes to be
17renewed have or have not matured. The authority may issue notes
18partly to renew notes or to discharge other obligations then
19outstanding and partly for any other purpose. The notes may be
20authorized, sold,begin delete executedend deletebegin insert executed,end insert and delivered in the same
21manner as bonds. A resolution or resolutions authorizing notes of
22the authority or any issue of notes of the authority may contain
23any provisions that the authority is authorized to include in a
24resolution or resolutions authorizing bonds of the authority or any
25issue of bonds of the authority, and the authority may include in
26the notes any terms,begin delete covenantsend deletebegin insert covenants,end insert or conditions that it is
27authorized to include in bonds. Notes issued by the authority shall
28be payable from revenues of the authority or other moneys
29available for payment of notes and not otherwise pledged, subject
30only to any contractual rights of the holders of its notes or other
31obligations then outstanding.

32

SEC. 140.  

Section 94145.5 of the Education Code is amended
33to read:

34

94145.5.  

begin deleteAny end deletebegin insertA end insertprovisionbegin insert thatend insert the authority may include in a
35trust agreementbegin delete ofend delete or resolution providing for the issuance of bonds
36pursuant to this chapter may also be included in a bond andbegin delete the
37provisionend delete
shall have the same effect.

38

SEC. 141.  

Section 94880 of the Education Code is amended
39to read:

P189  1

94880.  

(a) There is within the bureau a 14-member advisory
2committee. On or before July 1, 2015, the members of the
3committee shall be appointed as follows:

4(1) Three members, who shall have a demonstrated record of
5advocacy on behalf of consumers, of which the director, the Senate
6Committee on Rules, and the Speaker of the Assembly shall each
7appoint one member.

8(2) Two members, who shall be current or past students of
9institutions, appointed by the director.

10(3) Three members, who shall be representatives of institutions,
11appointed by the director.

12(4) Two members,begin delete whichend deletebegin insert whoend insert shall be employersbegin delete thatend deletebegin insert whoend insert hire
13students, appointed by the director.

14(5) One public member appointed by the Senate Committee on
15Rules.

16(6) One public member appointed by the Speaker of the
17Assembly.

18(7) Two nonvoting, ex officio members as follows:

19(A) The chair of the policy committee of the Assembly with
20jurisdiction over legislation relating to the bureau or designee
21appointed by the Speaker of the Assembly.

22(B) The chair of the policy committee of the Senate with
23jurisdiction over legislation relating to the bureau or designee
24appointed by the Senate Committee on Rules.

25(b) (1) A public member shall not, either at the time of his or
26her appointment or during his or her tenure in office, have any
27financial interest in any organization currently or previously subject
28to regulation by the bureau, be a close family member of an
29employee, officer, or the director of any institution subject to
30regulation by the bureau, or currently have, or previously have
31had, a business relationship, in the five years preceding his or her
32appointment, with any institution subject to regulation by the
33bureau.

34(2) A public member shall not, within the five years immediately
35preceding his or her appointment, have engaged in pursuits on
36behalf of an institution or institutional accreditor or have provided
37representation to the postsecondary educational industry or a
38profession regulated by the bureau, if he or she is employed in the
39industry or a member of the profession, respectively, and he or
P190  1she shall not engage in those pursuits or provide that representation
2during his or her term of office.

3(c) The advisory committee shall examine the oversight
4functions and operational policies of the bureau and advise the
5bureau with respect to matters relating to private postsecondary
6education and the administration of this chapter, including annually
7reviewing the fee schedule and the equity of the schedule relative
8to the way institutions are structured, and the licensing and
9enforcement provisions of this chapter. The advisory committee
10shall make recommendations with respect to policies, practices,
11and regulations relating to private postsecondary education, and
12shall provide any assistance as may be requested by the bureau.

13(d) The bureau shall actively seek input from, and consult with,
14the advisory committee regarding the development of regulations
15to implement this chapter prior to the adoption, amendment, or
16repeal of its regulations, and provide the advisory committee with
17sufficient time to review and comment on those regulations. The
18bureau shall take into consideration and respond to all feedback
19provided by members of the advisory committee.

20(e) The bureau chief shall attend all advisory committee
21meetings and shall designate staff to provide ongoing
22administrative support to the advisory committee.

23(f) Until January 1, 2017, the director shall personally attend,
24and testify and answer questions at, each meeting of the advisory
25committee.

26(g) The advisory committee shall have the same access to
27records within the Department of Consumer Affairs related to the
28operation and administration of this chapter as do members of
29constituent boards of the department in regard to records related
30to their functions.

31(h) Advisory committee meetings shall be subject to the
32Bagley-Keene Open Meetingbegin delete Act.end deletebegin insert Act (Article 9 (commencing
33with Section 11120) of Chapter 1 of Part 1 of Division 3 of Title
342 of the Government Code).end insert
Advisory committee meeting materials
35shall be posted on the Internet.

36(i) The advisory committee shall meet at least quarterly and
37shall appoint a member of the committee to represent the committee
38for purposes of communicating with the Legislature.

39(j) The Department of Consumer Affairs shall review, and revise
40if necessary, the department’s conflicts of interest regulations to
P191  1ensure that each advisory committee member is required to disclose
2conflicts of interest to the public.

3

SEC. 142.  

Section 2150 of the Elections Code, as amended by
4Section 3 of Chapter 619 of the Statutes of 2014, is amended to
5read:

6

2150.  

(a) The affidavit of registration shall show:

7(1) The facts necessary to establish the affiant as an elector.

8(2) The affiant’s name at length, including his or her given
9name, and a middle name or initial, or if the initial of the given
10name is customarily used, then the initial and middle name. The
11affiant’s given name may be preceded, at affiant’s option, by the
12designation of Miss, Ms., Mrs., or Mr. A person shall not be denied
13the right to register because of his or her failure to mark a prefix
14to the given name and shall be so advised on the voter registration
15card. This subdivision shall not be construed as requiring the
16printing of prefixes on an affidavit of registration.

17(3) The affiant’s place of residence, residence telephone number,
18if furnished, andbegin delete e-mailend deletebegin insert emailend insert address, if furnished. A person shall
19not be denied the right to register because of his or her failure to
20furnish a telephone number orbegin delete e-mailend deletebegin insert emailend insert address, and shall be
21so advised on the voter registration card.

22(4) The affiant’s mailing address, if different from the place of
23residence.

24(5) The affiant’s date of birth to establish that he or she will be
25at least 18 years of age on or before the date of the next election.
26In the case of an affidavit of registration submitted pursuant to
27subdivision (d) of Section 2102, the affiant’s date of birth to
28establish that he or she is at least 16 years of age.

29(6) The state or country of the affiant’s birth.

30(7) (A) In the case of an applicant who has been issued a current
31and valid driver’s license, the applicant’s driver’s license number.

32(B) In the case of any other applicant, other than an applicant
33to whom subparagraph (C) applies, the last four digits of the
34applicant’s social security number.

35(C) If an applicant for voter registration has not been issued a
36current and valid driver’s license or a social security number, the
37state shall assign the applicant a number that will serve to identify
38the applicant for voter registration purposes. To the extent that the
39state has a computerized list in effect under this subdivision and
40the list assigns unique identifying numbers to registrants, the
P192  1number assigned under this subparagraph shall be the unique
2identifying number assigned under the list.

3(8) The affiant’s political party preference.

4(9) That the affiant is currently not imprisoned or on parole for
5the conviction of a felony.

6(10) A prior registration portion indicating whether the affiant
7has been registered at another address, under another name, or as
8preferring another party. If the affiant has been so registered, he
9or she shall give an additional statement giving that address, name,
10or party.

11(b) The affiant shall certify the content of the affidavit as to its
12truth and correctness, under penalty of perjury, with the signature
13of his or her name and the date of signing. If the affiant is unable
14to write he or she shall sign with a mark or cross.

15(c) The affidavit of registration shall also contain a space that
16would enable the affiant to state his or her ethnicity or race, or
17both. An affiant shall not be denied the ability to register because
18he or she declines to state his or her ethnicity or race.

19(d) If a person, including a deputy registrar, assists the affiant
20in completing the affidavit, that person shall sign and date the
21affidavit below the signature of the affiant.

22(e) The affidavit of registration shall also contain a space to
23permit the affiant to apply for permanent vote by mail status.

24(f) The Secretary of State may continue to supply existing
25affidavits of registration to county elections officialsbegin delete prior toend deletebegin insert beforeend insert
26 printing new or revised forms that reflect the changes made to this
27section by the act that added this subdivision.

28

SEC. 143.  

Section 2157 of the Elections Code is amended to
29read:

30

2157.  

(a) Subject to this chapter, the paper affidavit of
31registration shall be in a form prescribed by regulations adopted
32by the Secretary of State. The affidavit shall comply with all of
33the following:

34(1) Contain the information prescribed in Section 2150.

35(2) Be sufficiently uniform among the separate counties to allow
36for the processing and use by one county of an affidavit completed
37in another county.

38(3) Allow for the inclusion of informational language to meet
39the specific needs of that county, including, but not limited to, the
40return address of the elections official in that county, and a
P193  1telephone number at which a voter can obtain elections information
2in that county.

3(4) Be included on one portion of a multipart card, to be known
4as a voter registration card, the other portions of which shall include
5information sufficient to facilitate completion and mailing of the
6affidavit. The affidavit portion of the multipart card shall be
7numbered according to regulations adopted by the Secretary of
8State. For purposes of facilitating the distribution of voter
9registration cards as provided in Section 2158, there shall be
10attached to the affidavit portion a receipt. The receipt shall be
11separated from the body of the affidavit by a perforated line.

12(5) Contain, in a type size and color of ink that is clearly
13distinguishable from surrounding text, a statement identical or
14substantially similar to the following:

15“Certain voters facing life-threatening situations may qualify
16 for confidential voter status. For more information, please contact
17the Secretary of State’s Safebegin delete Atend deletebegin insert atend insert Home program or visit the
18Secretary of State’s Web site.”

19(6) Contain, in a type size and color of ink that is clearly
20distinguishable from surrounding text, a statement that the use of
21voter registration information for commercial purposes is a
22misdemeanor pursuant to subdivision (a) of Section 2194 and
23Section 18109, and any suspected misuse shall be reported to the
24Secretary of State.

25(7) Contain a toll-free fraud hotline telephone number
26maintained by the Secretary of State that the public may use to
27report suspected fraudulent activity concerning misuse of voter
28registration information.

29(8) Be returnable to the county elections official as a
30self-enclosed mailer with postage prepaid by the Secretary of State.

31(b) begin deleteNothing contained in this end deletebegin insertThis end insertdivisionbegin delete shallend deletebegin insert does notend insert prevent
32the use of voter registration cards and affidavits of registration in
33existence on the effective date of this section and produced
34pursuant to regulations of the Secretary of State, and all references
35to voter registration cards and affidavits in this division shall be
36applied to the existing voter registration cards and affidavits of
37registration.

38(c) The Secretary of State may continue to supply existing
39affidavits of registrationbegin delete prior toend deletebegin insert beforeend insert printing new or revised
P194  1forms that reflect the changes required pursuant to this section,
2Section 2150, or Section 2160.

3(d)  An affidavit of registration shall not be submitted
4electronically on a county’s Internet Web site. However, a county
5may provide a hyperlink on the county’s Internet Web site to the
6Secretary of State’s electronic voter registration system.

7

SEC. 144.  

Section 8040 of the Elections Code is amended to
8read:

9

8040.  

(a) The declaration of candidacy by a candidate shall
10be substantially as follows:


11

 

DECLARATION OF CANDIDACY

 

 I hereby declare myself a candidate for nomination to the office of ________ District Number ________ to be voted for at the primary election to be held ________, 20__, and declare the following to be true:

My name is    .

 I want my name and occupational designation to appear on the ballot as follows: ______________________________________.

Addresses:

Residence   

   

Business   

   

Mailing    

   

 Telephone numbers: Day _________ Evening _________

 Web site: _______________________________________

 I meet the statutory and constitutional qualifications for this office (including, but not limited to, citizenship, residency, and party preference, if required).

 I am at present an incumbent of the following public office

(if any) __________.

 If nominated, I will accept the nomination and not withdraw.


           Signature of candidate   

P194 36P194 25P194 29

 

 

A candidate for voter-nominated office shall also complete all of the following:

   

(1) I hereby certify that:

(a)At the time of presentation of this declaration, as shown by my current affidavit of registration, I have disclosed the following political party preference, if any:    .

(b) My complete voter registration and party affiliation/preference history, from [10 years prior to current year] through the date of signing this document, is as follows:

 

Party Registration

County

Timeframe (by year)

   

   

   

   

   

   

   

   

   

   

(2) Pursuant to Section 8002.5 of the Elections Code, select one of the following:

   

______ Party Preference: _____________________ (insert the name of the qualified political party as disclosed upon your affidavit of registration).

   

______ Party Preference: None (if you have declined to disclose a preference for a qualified political party upon your affidavit of registration).

   
  

Dated this ___ day of _____, 20___.

  

   

  

  Signature of candidate

P194 29

 

 

State of California  

 )

 

County of    

 ) ss.

 

 

 )

 

 

 

 Subscribed and sworn to before me this ___ day of ________, 20____.


      Notary Public (or other official)   

 Examined and certified by me this ________ day of ________, 20____.


          County Elections Official   

 

WARNING: Every person acting on behalf of a candidate is guilty of a misdemeanor who deliberately fails to file at the proper time and in the proper place any declaration of candidacy in his or her possession which is entitled to be filed under the provisions of the Elections Code Section 18202.

 

P196  1(b) At the discretion of the electionsbegin delete official,aend deletebegin insert official, aend insert
2 candidate for a judicial office, or a candidate for any office whose
3voter registration information is confidential under Section 2166,
42166.5, or 2166.7, may withhold his or her residence address from
5the declaration of candidacy. If a candidate does not state his or
6her residence address on the declaration of candidacy, the elections
7official shall verifybegin delete whetherend deletebegin insert ifend insert the candidate’s address is within
8the appropriate political subdivision and add the notation “verified”
9where appropriate on the declaration.

10

SEC. 145.  

Section 3201 of the Family Code, as added by
11Section 2 of Chapter 1004 of the Statutes of 1999, is amended and
12renumbered to read:

13

begin delete3201.end delete
14begin insert3201.5.end insert  

(a) The programs described in this chapter shall be
15administered by the family law division of the superior court in
16the county.

17(b) For purposes of this chapter, “education about protecting
18children during family disruption” includes education on parenting
19skills and the impact of parental conflict on children, how to put
20a parenting agreement into effect, and the responsibility of both
21parents to comply with custody and visitation orders.

22

SEC. 146.  

Section 3690 of the Family Code, as added by
23Section 6 of Chapter 653 of the Statutes of 1999, is repealed.

begin delete
24

3690.  

(a) The court may, on any terms that may be just, relieve
25a party from a support order, or any part or parts thereof, after the
26six-month time limit of Section 473 of the Code of Civil Procedure
27has run, based on the grounds, and within the time limits, provided
28in this article.

29(b) In all proceedings under this division, before granting relief,
30the court shall find that the facts alleged as the grounds for relief
31materially affected the original order and that the moving party
32would materially benefit from the granting of the relief.

33(c) Nothing in this article shall limit or modify the provisions
34of Section 11356 or 11356.2 of the Welfare and Institutions Code.

35(d) This section shall not be operative if Assembly Bill 196, of
36the 1999-2000 Regular Session, is enacted and becomes operative.

end delete
37

SEC. 147.  

The heading of Article 3 (commencing with Section
383780) of Chapter 7 of Part 1 of Division 9 of the Family Code is
39repealed.

begin delete

P197  1 

2Article 3.  Assignment of Reimbursement Rights Under Health
3Plan
4

 

end delete
5

SEC. 148.  

Section 4051 of the Family Code is repealed.

begin delete
6

4051.  

This article takes effect on July 1, 1992.

end delete
7

SEC. 149.  

Section 6203 of the Family Code is amended to
8read:

9

6203.  

(a) For purposes of this act, “abuse” means any of the
10following:

11(1) begin deleteIntentionally end deletebegin insertTo intentionally end insertor recklesslybegin delete toend delete cause or
12attempt to cause bodily injury.

13(2) Sexual assault.

14(3) To place a person in reasonable apprehension of imminent
15serious bodily injury to that person or to another.

16(4) To engage in any behavior that has been or could be enjoined
17pursuant to Section 6320.

18(b) Abuse is not limited to the actual infliction of physical injury
19or assault.

20

SEC. 150.  

Section 6301 of the Family Code is amended to
21read:

22

6301.  

(a) An order under this part may be granted to any person
23described in Section 6211, including a minor pursuant to
24subdivision (b) of Section 372 of the Code of Civil Procedure.

25(b) The right to petition for relief shall not be denied because
26the petitioner has vacated the household to avoid abuse, and in the
27case of a marital relationship, notwithstanding that a petition for
28dissolution of marriage, for nullity of marriage, or for legal
29separation of the parties has not been filed.

30(c) The length of time since the most recent act of abuse is not,
31by itself, determinative. The court shall consider the totality of the
32circumstances in determining whetherbegin insert to grant or denyend insert a petition
33for reliefbegin delete will be granted or deniedend delete.

34

SEC. 151.  

Section 7613.5 of the Family Code is amended to
35read:

36

7613.5.  

(a) An intended parent may, but is not required to, use
37the forms set forth in this section to demonstrate his or her intent
38to be a legal parent of a child conceived through assisted
39reproduction. These forms shall satisfy the writing requirement
40specified in Section 7613, and are designed to provide clarity
P198  1regarding the intentions, at the time of conception, of intended
2parents using assisted reproduction. These forms do not affect any
3presumptions of parentage based on Section 7611, and do not
4preclude a court from considering any other claims to parentage
5under California statute or case law.

6(b) These forms apply only in very limited circumstances. Please
7read the forms carefully to see if you qualify for use of the forms.

8(c) These forms do not apply to assisted reproduction agreements
9for gestational carriers or surrogacy agreements.

10(d) begin deleteNothing in this end deletebegin insertThis end insertsection shallbegin insert notend insert be interpreted to require
11the use of one of these forms to satisfy the writing requirement of
12Section 7613.

13(e) The following are the optional California Statutory Forms
14for Assisted Reproduction:


15

 

California Statutory Forms for Assisted Reproduction, Form 1:

 

Married Spouses or Registered Domestic Partners Using Assisted Reproduction to Conceive a Child

Use this form if: (1) You and the other person are married spouses or registered domestic partners (including registered domestic partners or civil union partners from another jurisdiction); (2) you and the other person are conceiving a child through assisted reproduction using sperm and/or egg donation; and (3) one of you will be giving birth.

 

WARNING: Signing this form does not terminate the parentage claim of a sperm donor. A sperm donor’s claim to parentage is terminated if the sperm is provided to a licensed physician or surgeon or to a licensed sperm bank prior to insemination as required by Section 7613(b) of the Family Code.

 

The laws about parentage of a child are complicated. You are strongly encouraged to consult with an attorney about your rights. Even if you do not fill out this form, a spouse or domestic partner of the parent giving birth is presumed to be a legal parent of any child born during the marriage or domestic partnership.

 

______ ______

 

This form demonstrates your intent to be parents of the child you plan to conceive through assisted reproduction using sperm and/or egg donation.

 

I, ____________________ (print name of spouse/partner), am married to, or in a registered domestic partnership (including a registered domestic partnership or civil union from another jurisdiction) with, a person who will give birth to a child we plan to conceive through assisted reproduction using sperm and/or egg donation. I consent to the use of assisted reproduction by my spouse/domestic partner to conceive a child. I INTEND to be a parent of the child conceived.

 

SIGNATURES

 

Intended parent who will give birth: ___________________ (print name)

________________________ (signature)  ____________(date)

 

Intended parent spouse or registered domestic partner: ____________ (print name)

_________________________ (signature)  ___________(date)

P199 18P199  2P199 1135P199 24

 

 

______ ______

 

NOTARY ACKNOWLEDGMENT

 

State of California

County of    )      

 

On     before me,
(insert name and title of the officer)

personally appeared    ,

who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity, and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

 

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

 

WITNESS my hand and official seal.

 

Signature     (Seal)

 
P199 1135P199 24

 

 

______ ______

 

California Statutory Forms for Assisted Reproduction, Form 2:

 

Unmarried, Intended Parents Using Intended Parent’s Sperm to Conceive a Child

Use this form if: (1) Neither you or the other person are married or in a registered domestic partnership (including a registered domestic partnership or civil union from another state); (2) one of you will give birth to a child conceived through assisted reproduction using the intended parent’s sperm; and (3) you both intend to be parents of that child.

 

Do not use this form if you are conceiving using a surrogate.

 

WARNING: If you do not sign this form, you may be treated as a sperm donor if your sperm is provided to a licensed physician or surgeon or to a licensed sperm bank prior to insemination according to Section 7613(b) of the Family Code.

 

The laws about parentage of a child are complicated. You are strongly encouraged to consult with an attorney about your rights.

 

______ ______

 

This form demonstrates your intent to be parents of the child you plan to conceive through assisted reproduction using sperm donation.

 

I, ____________________ (print name of parent giving birth), plan to use assisted reproduction with another intended parent who is providing sperm to conceive the child. I am not married and am not in a registered domestic partnership (including a registered domestic partnership or civil union from another jurisdiction), and I INTEND for the person providing sperm to be a parent of the child to be conceived.

 

I, ____________________ (print name of parent providing sperm), plan to use assisted reproduction to conceive a child using my sperm with the parent giving birth. I am not married and am not in a registered domestic partnership (including a registered domestic partnership or civil union from another jurisdiction), and I INTEND to be a parent of the child to be conceived.

 

SIGNATURES

 

Intended parent giving birth: ___________________ (print name)

________________________ (signature)  ____________(date)

 

Intended parent providing sperm: ____________ (print name)

_________________________ (signature)  ___________(date)

P199 24

 

 

______ ______

 

NOTARY ACKNOWLEDGMENT

 

State of California

County of    )      

 

On     before me,
(insert name and title of the officer)

personally appeared    ,

who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity, and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

 

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

 

WITNESS my hand and official seal.

 

Signature     (Seal)

 

 

 

______ ______

 

California Statutory Forms for Assisted Reproduction, Form 3:

 

Intended Parents Conceiving a Child Using Eggs from One Parent and the Other Parent Will Give Birth

Use this form if: You are conceiving a child using the eggs from one of you and the other person will give birth to the child; (2) and you both intend to be parents to that child.

 

Do not use this form if you are conceiving using a surrogate.

 

WARNING: Signing this form does not terminate the parentage claim of abegin delete spermdonor.end deletebegin insert sperm donor.end insert A sperm donor’s claim to parentage is terminated if the sperm is provided to a licensed physician or surgeon or to a licensed sperm bank prior to insemination as required by Section 7613(b) of the Family Code.

 

The laws about parentage of a child are complicated. You are strongly encouraged to consult with an attorney about your rights.

 

______ ______

 

This form demonstrates your intent to be parents of the child you plan to conceive through assisted reproduction using eggs from one parent and the other parent will give birth to the child.

 

I, ____________________ (print name of parent giving birth), plan to use assisted reproduction to conceive and give birth to a child with another person who will provide eggs to conceive the child. I INTEND for the person providing eggs to be a parent of the child to be conceived.

 

I, ____________________ (print name of parent providing eggs), plan to use assisted reproduction to conceive a child with another person who will give birth to the child conceived using my eggs. I INTEND to be a parent of the child to be conceived.

 

SIGNATURES

 

Intended parent giving birth: ___________________ (print name)

________________________ (signature)  ____________(date)

 

Intended parent providing eggs: ____________ (print name)

_________________________ (signature)  ___________(date)

 

 

______ ______

 

NOTARY ACKNOWLEDGMENT

 

State of California

County of    )      

 

On     before me,
(insert name and title of the officer)

personally appeared    ,

who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity, and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

 

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

 

WITNESS my hand and official seal.

 

Signature     (Seal)

 

 

25

SEC. 152.  

Section 8712 of the Family Code is amended to
26read:

27

8712.  

(a) The department, county adoption agency, or licensed
28adoption agency shall require each person who files an application
29for adoption to be fingerprinted and shall secure from an
30appropriate law enforcement agency any criminal record of that
31person to determine whether the person has ever been convicted
32of a crime other than a minor traffic violation. The department,
33county adoption agency, or licensed adoption agency may also
34secure the person’s full criminal record, if any, with the exception
35of any convictions for which relief has been granted pursuant to
36Section 1203.49 of the Penal Code. Any federal-level criminal
37offender record requests to the Department of Justice shall be
38submitted with fingerprint images and related information required
39by the Department of Justice for the purposes of obtaining
40information as to the existence and content of a record of an
P204  1out-of-state or federal conviction or arrest of a person or
2information regarding any out-of-state or federal crimes or arrests
3for which the Department of Justice establishes that the person is
4free on bail, or on his or her own recognizance pending trial or
5appeal. The Department of Justice shall forward to the Federal
6Bureau of Investigation any requests for federal summary criminal
7history information received pursuant to this section. The
8Department of Justice shall review the information returned from
9the Federal Bureau of Investigation and shall compile and
10disseminate a response to the department, county adoption agency,
11or licensed adoption agency.

12(b) Notwithstanding subdivision (c), the criminal record, if any,
13shall be taken into consideration when evaluating the prospective
14adoptive parent, and an assessment of the effects of any criminal
15history on the ability of the prospective adoptive parent to provide
16adequate and proper care and guidance to the child shall be
17included in the report to the court.

18(c) (1) begin deleteUnder no circumstances shall the end deletebegin insertThe end insertdepartment, county
19adoption agency, or licensed adoption agencybegin insert shall notend insert give final
20approval for an adoptive placement in any homebegin delete whereend deletebegin insert in whichend insert
21 the prospective adoptive parent or any adult living in the
22prospective adoptive home has either of the following:

23(A) A felony conviction for child abuse or neglect, spousal
24abuse, crimes against a child, including child pornography, or for
25a crime involving violence, including rape, sexual assault, or
26homicide, but not including other physical assault and battery. For
27purposes of this subdivision, crimes involving violence means
28those violent crimes contained in clause (i) of subparagraph (A),
29and subparagraph (B), of paragraph (1) of subdivision (g) of
30Section 1522 of the Health and Safety Code.

31(B) A felony conviction that occurred within the last five years
32for physical assault, battery, or a drug- or alcohol-related offense.

33(2) This subdivision shall become operative on October 1, 2008,
34and shall remain operative only to the extent that compliance with
35its provisions is required by federal law as a condition of receiving
36 funding under Title IV-E of the federal Social Security Act (42
37U.S.C. Sec. 670begin delete and following).end deletebegin insert et seq.).end insert

38(d) Any fee charged by a law enforcement agency for
39fingerprinting or for checking or obtaining the criminal record of
40the applicant shall be paid by the applicant. The department, county
P205  1adoption agency, or licensed adoption agency may defer, waive,
2or reduce the fee when its payment would cause economic hardship
3to prospective adoptive parents detrimental to the welfare of the
4adopted child, when the child has been in the foster care of the
5prospective adoptive parents for at least one year, or if necessary
6for the placement of a special-needs child.

7

SEC. 153.  

Section 8811 of the Family Code is amended to
8read:

9

8811.  

(a) The department or delegated county adoption agency
10shall require each person who files an adoption petition to be
11fingerprinted and shall secure from an appropriate law enforcement
12agency any criminal record of that person to determine whether
13the person has ever been convicted of a crime other than a minor
14traffic violation. The department or delegated county adoption
15agency may also secure the person’s full criminal record, if any,
16with the exception of any convictions for which relief has been
17granted pursuant to Section 1203.49 of the Penal Code. Any
18federal-level criminal offender record requests to the Department
19of Justice shall be submitted with fingerprint images and related
20information required by the Department of Justice for the purposes
21of obtaining information as to the existence and content of a record
22of an out-of-state or federal conviction or arrest of a person or
23information regarding any out-of-state or federal crimes or arrests
24for which the Department of Justice establishes that the person is
25free on bail, or on his or her own recognizance pending trial or
26appeal. The Department of Justice shall forward to the Federal
27Bureau of Investigation any requests for federal summary criminal
28history information received pursuant to this section. The
29Department of Justice shall review the information returned from
30the Federal Bureau of Investigation and shall compile and
31disseminate a response to the department or delegated county
32adoption agency.

33(b) Notwithstanding subdivision (c), the criminal record, if any,
34shall be taken into consideration when evaluating the prospective
35adoptive parent, and an assessment of the effects of any criminal
36history on the ability of the prospective adoptive parent to provide
37adequate and proper care and guidance to the child shall be
38included in the report to the court.

39(c) (1) begin deleteUnder no circumstances shall the end deletebegin insertThe end insertdepartment or a
40delegated county adoption agencybegin insert shall notend insert give final approval for
P206  1an adoptive placement in any homebegin delete whereend deletebegin insert in whichend insert the prospective
2adoptive parent or any adult living in the prospective adoptive
3home has either of the following:

4(A) A felony conviction for child abuse or neglect, spousal
5abuse, crimes against a child, including child pornography, or for
6a crime involving violence, including rape, sexual assault, or
7homicide, but not including other physical assault and battery. For
8purposes of this subdivision, crimes involving violence means
9those violent crimes contained in clause (i) of subparagraph (A),
10and subparagraph (B), of paragraph (1) of subdivision (g) of
11Section 1522 of the Health and Safety Code.

12(B) A felony conviction that occurred within the last five years
13for physical assault, battery, or a drug- or alcohol-related offense.

14(2) This subdivision shall become operative on October 1, 2008,
15and shall remain operative only to the extent that compliance with
16its provisions is required by federal law as a condition of receiving
17funding under Title IV-E of the federal Social Security Act (42
18U.S.C. 670begin delete and following).end deletebegin insert et seq.).end insert

19(d) Any fee charged by a law enforcement agency for
20fingerprinting or for checking or obtaining the criminal record of
21the petitioner shall be paid by the petitioner. The department or
22delegated county adoption agency may defer, waive, or reduce the
23fee when its payment would cause economic hardship to the
24prospective adoptive parents detrimental to the welfare of the
25adopted child, when the child has been in the foster care of the
26prospective adoptive parents for at least one year, or if necessary
27for the placement of a special-needs child.

28

SEC. 154.  

Section 8908 of the Family Code is amended to
29read:

30

8908.  

(a) A licensed adoption agency shall require each person
31filing an application for adoption to be fingerprinted and shall
32secure from an appropriate law enforcement agency any criminal
33record of that person to determine whether the person has ever
34been convicted of a crime other than a minor traffic violation. The
35licensed adoption agency may also secure the person’s full criminal
36record, if any, with the exception of any convictions for which
37relief has been granted pursuant to Section 1203.49 of the Penal
38Code. Any federal-level criminal offender record requests to the
39Department of Justice shall be submitted with fingerprint images
40and related information required by the Department of Justice for
P207  1the purposes of obtaining information as to the existence and
2content of a record of an out-of-state or federal conviction or arrest
3 of a person or information regarding any out-of-state or federal
4crimes or arrests for which the Department of Justice establishes
5that the person is free on bail, or on his or her own recognizance
6pending trial or appeal. The Department of Justice shall forward
7to the Federal Bureau of Investigation any requests for federal
8summary criminal history information received pursuant to this
9section. The Department of Justice shall review the information
10returned from the Federal Bureau of Investigation and shall compile
11and disseminate a fitness determination to the licensed adoption
12agency.

13(b) Notwithstanding subdivision (c), the criminal record, if any,
14shall be taken into consideration when evaluating the prospective
15adoptive parent, and an assessment of the effects of any criminal
16history on the ability of the prospective adoptive parent to provide
17adequate and proper care and guidance to the child shall be
18included in the report to the court.

19(c) (1) begin deleteUnder no circumstances shall a end deletebegin insertA end insertlicensed adoption
20agencybegin insert shall notend insert give final approval for an adoptive placement in
21any homebegin delete whereend deletebegin insert in whichend insert the prospective adoptive parent, or any
22adult living in the prospective adoptive home, has a felony
23conviction for either of the following:

24(A) Any felony conviction for child abuse or neglect, spousal
25abuse, crimes against a child, including child pornography, or for
26a crime involving violence, including rape, sexual assault, or
27homicide, but not including other physical assault and battery. For
28purposes of this subdivision, crimes involving violence means
29those violent crimes contained in clause (i) of subparagraph (A),
30and subparagraph (B), of paragraph (1) of subdivision (g) of
31Section 1522 of the Health and Safety Code.

32(B) A felony conviction that occurred within the last five years
33for physical assault, battery, or a drug- or alcohol-related offense.

34(2) This subdivision shall become operative on October 1, 2008,
35and shall remain operative only to the extent that compliance with
36its provisions is required by federal law as a condition of receiving
37funding under Title IV-E of the federal Social Security Act (42
38U.S.C. 670begin delete and following).end deletebegin insert et seq.).end insert

39(d) Any fee charged by a law enforcement agency for
40fingerprinting or for checking or obtaining the criminal record of
P208  1the applicant shall be paid by the applicant. The licensed adoption
2agency may defer, waive, or reduce the fee when its payment would
3cause economic hardship to the prospective adoptive parents
4detrimental to the welfare of the adopted child.

5

SEC. 155.  

Section 12201 of the Financial Code is amended to
6read:

7

12201.  

(a) An application for a license shall be in writing,
8under oath, and in a form prescribed by the commissioner and shall
9contain the name, and the address both of the residence and place
10of business, of the applicant and if the applicant is a partnership
11or association, of every member thereof, and if a corporation, of
12every officer and director thereof.

13(b) Notwithstanding any other law, the commissioner may by
14rule or order prescribe circumstances under which to accept
15electronic records or electronic signatures. This sectionbegin delete shallend deletebegin insert doesend insert
16 not require the commissioner to accept electronic records or
17electronic signatures.

18(c) For purposes of this section, the following terms have the
19following meanings:

20(1) “Electronic record” means an initial license application, or
21material modification of that license application, and any other
22record created, generated, sent, communicated, received, or stored
23by electronic means. “Electronic record” also includes, but is not
24limited to, all of the following:

25(A) An application, amendment, supplement, and exhibit, filed
26for any license, consent, or other authority.

27(B) A financial statement,begin delete reports,end deletebegin insert report,end insert or advertising.

28(C) An order, license, consent, or other authority.

29(D) A notice of public hearing, accusation, and statement of
30issues in connection with any application, license, consent, or other
31authority.

32(E) A proposed decision of a hearing officer and a decision of
33the commissioner.

34(F) The transcripts of a hearing.

35(G) A release, newsletter, interpretive opinion, determination,
36or specific ruling.

37(H) Correspondence between a party and the commissioner
38directly relating to any document listed in subparagraphs (A) to
39(G), inclusive.

P209  1(2) “Electronic signature” means an electronic sound, symbol,
2or process attached to or logically associated with an electronic
3record and executed or adopted by a person with the intent to sign
4the electronic record.

5(d) The Legislature finds and declares that the Department of
6Business Oversight has continuously implemented methods to
7accept records filed electronically, and is encouraged to continue
8to expand its use of electronic filings to the extent feasible, as
9budget, resources, and equipment are made available to accomplish
10that goal.

11

SEC. 156.  

Section 17201 of the Financial Code is amended to
12read:

13

17201.  

(a) An application for a license as an escrow agent
14shall be in writing and in such form as is prescribed by the
15commissioner. The application shall be verified by the oath of the
16applicant.

17(b) Notwithstanding any other law, the commissioner may by
18rule or order prescribe circumstances under which to accept
19electronic records or electronic signatures. This sectionbegin delete shallend deletebegin insert doesend insert
20 not require the commissioner to accept electronic records or
21electronic signatures.

22(c) For purposes of this section, the following terms have the
23following meanings:

24(1) “Electronic record” means an initial license application, or
25material modification of that license application, and any other
26record created, generated, sent, communicated, received, or stored
27by electronic means. “Electronic records” also includes, but is not
28limited to, all of the following:

29(A) An application, amendment, supplement, and exhibit, filed
30for any order, license, consent, or other authority.

31(B) A financial statement,begin delete reports,end deletebegin insert report,end insert or advertising.

32(C) An order, license, consent, or other authority.

33(D) A notice of public hearing, accusation, and statement of
34issues in connection with any application, registration, order,
35license, consent, or other authority.

36(E) A proposed decision of a hearing officer and a decision of
37the commissioner.

38(F) The transcripts of a hearing and correspondence between a
39party and the commissioner directly relating to the record.

P210  1(G) A release, newsletter, interpretive opinion, determination,
2or specific ruling.

3(H) Correspondence between a party and the commissioner
4directly relating to any document listed in subparagraphs (A) to
5(G), inclusive.

6(2) “Electronic signature” means an electronic sound, symbol,
7or process attached to or logically associated with an electronic
8record and executed or adopted by a person with the intent to sign
9the electronic record.

10(d) The Legislature finds and declares that the Department of
11Business Oversight has continuously implemented methods to
12accept records filed electronically, and is encouraged to continue
13to expand its use of electronic filings to the extent feasible, as
14budget, resources, and equipment are made available to accomplish
15that goal.

16

SEC. 157.  

Section 22066 of the Financial Code is amended to
17read:

18

22066.  

(a) The Legislature finds and declares that nonprofit
19organizations have an important role to play in helping individuals
20obtain access to affordable, credit-building small dollar loans.
21California law should refrain from creating statutory barriers that
22risk slowing the growth of these loans. This section shall be
23liberally construed to encourage nonprofit organizations to help
24facilitate the making of zero-interest, low-cost loans, through
25lending circles and other programs and services that allow
26individuals to establish and build credit histories or to improve
27their credit scores.

28(b) For the purposes of this section, an organization described
29in subdivision (c) shall be known as an exempt organization, and
30an organization described in subdivision (d) shall be known as a
31partnering organization.

32(c) There shall be exempted from this division a nonprofit
33organization that facilitates one or more zero-interest, low-cost
34loans, provided all of the following conditions are met:

35(1) The organization is exempt from federal income taxes under
36Section 501(c)(3) of the Internal Revenue Code and is organized
37and operated exclusively for one or more of the purposes described
38in Section 501(c)(3) of the Internal Revenue Code.

39(2) No part of the net earnings of the organization inures to the
40benefit of a private shareholder or individual.

P211  1(3) begin deleteNo end deletebegin insertA end insertbroker’s fee isbegin insert notend insert paid in connection with the making
2of the loan that is facilitated by the organization.

3(4)  begin deleteAny end delete begin insertAn end insertorganization wishing to operate pursuant to an
4exemption granted under this section shall file an application for
5exemption with the commissioner, in a manner prescribed by the
6commissioner, and shall pay a fee to the commissioner, in an
7amount calculated by the commissioner to cover his or her costs
8to administer this section and Section 22067. The commissioner
9may refuse to grant an exemption, or to suspend or revoke a
10previously issued exemption if he or she finds that one or more of
11the provisions of this section were not met or are not being met
12by the organization and that denial, suspension, or revocation of
13the exemption is in the best interests of the public.

14(5) Every organization whose exemption is approved by the
15commissioner shall file an annual report with the commissioner
16on or before March 15 of each year, containing relevant information
17that the commissioner reasonably requires concerning lending
18facilitated by the organization within the state during the preceding
19calendar year at all locations at which the organization facilitates
20lending. The commissioner shall compile the information submitted
21pursuant to this paragraph for use in preparing the report required
22by Section 22067.

23(6) Any loan made pursuant to this section shall comply with
24the following requirements:

25(A) The loan shall be unsecured.

26(B) begin deleteNo interest may end deletebegin insertInterest shall not end insertbe imposed.

27(C) An administrative fee may be charged in an amount not to
28exceed the following:

29(i) Seven percent of the principal amount, exclusive of the
30administrative fee, or ninety dollars ($90), whichever is less, on
31the first loan made to a borrower.

32(ii) Six percent of the principal amount, exclusive of the
33administrative fee, or seventy-five dollars ($75), whichever is less,
34on the second and subsequent loans made to that borrower.

35(D) An organization shall not charge the same borrower an
36administrative fee more than once in any four-month period. Each
37administrative fee shall be fully earned immediately upon
38consummation of a loan agreement.

39(E) Notwithstanding subdivision (a) of Section 22320.5 and in
40lieu of any other type of delinquency fee or late fee, an organization
P212  1may require reimbursement from a borrower of up to ten dollars
2($10) to cover an insufficient funds fee incurred by that
3organization due to actions of the borrower.begin delete Noend deletebegin insert Anend insert organization
4shallbegin insert notend insert charge more than two insufficient funds fees to the same
5borrower in a single month.

6(F) The following information shall be disclosed to the consumer
7in writing, in a typeface no smaller than 12-point type, at the time
8of the loan application:

9(i) The amount to be borrowed, the total dollar cost of the loan
10to the consumer if the loan is paid back on time, including the sum
11of the administrative fee and principal amount borrowed, the
12corresponding annual percentage rate, calculated in accordance
13with Federal Reserve Board Regulation Z (12 C.F.R. 226.1), the
14periodic payment amount, the payment frequency, and the
15insufficient funds fee, if applicable.

16(ii) An explanation of whether, and under what circumstances,
17a borrower may exit a loan agreement.

18(G) The loan shall have a minimum principal amount upon
19origination of two hundred fifty dollars ($250) and a maximum
20principal amount upon origination of two thousand five hundred
21dollars ($2,500), and a term of not less than the following:

22(i) Ninety days for loans whose principal balance upon
23origination is less than five hundred dollars ($500).

24(ii) One hundred twenty days for loans whose principal balance
25upon origination is at least five hundred dollars ($500), but is less
26than one thousand five hundred dollars ($1,500).

27(iii) One hundred eighty days for loans whose principal balance
28upon origination is at least one thousand five hundred dollars
29($1,500).

30(H) The loan shall not be refinanced.

31(I) begin deleteNeither the end deletebegin insertThe end insertorganizationbegin delete norend deletebegin insert orend insert any of its wholly owned
32subsidiaries shallbegin insert notend insert sell or assign unpaid debt to an independent
33party for collection before at least 90begin delete hasend deletebegin insert days haveend insert passed since
34the start of the delinquency.

35(7) Prior to disbursement of loan proceeds, the organization
36shall either (A) offer a credit education program or seminar to the
37borrower that has been previously reviewed and approved by the
38commissioner for use in complying with this section, or (B) invite
39the borrower to a credit education program or seminar offered by
40an independent third party that has been previously reviewed and
P213  1approved by the commissioner for use in complying with this
2section. A credit education program or seminar offered pursuant
3to this paragraph shall be provided at no cost to the borrower.

4(8) The organization shall report each borrower’s payment
5performance to at least one consumer reporting agency that
6compiles and maintains files on consumers on a nationwide basis,
7upon acceptance as a data furnisher by that consumer reporting
8agency. For purposes of this section, a consumer reporting agency
9that compiles and maintains files on consumers on a nationwide
10basis is one that meets the definition in Section 603(p) of the
11federal Fair Credit Reporting Act (15 U.S.C. Sec. 1681a(p)).begin delete Anyend delete
12begin insert Anend insert organization that is accepted as a data furnisher after being
13granted an exemption by the commissioner pursuant to this
14subdivision shall report all borrower payment performance since
15its inception of lending under the program, as soon as practicable
16after its acceptance into the program, but in no event more than
17six months after its acceptance into the program.

18(9) The organization shall underwrite each loan and shall ensure
19that a loan is not made if, through its underwriting, the organization
20determines that the borrower’s total monthly debt service payments,
21at the time of loan origination, including the loan for which the
22borrower is being considered, and across all outstanding forms of
23credit that can be independently verified by the organization,
24exceed 50 percent of the borrower’s gross monthly household
25income except as specified in clause (iii) of subparagraph (D).

26(A) The organization shall seek information and documentation
27pertaining to all of a borrower’s outstanding debt obligations during
28the loan application and underwriting process, including loans that
29are self-reported by the borrower but not available through
30 independent verification. The organization shall verify that
31information using a credit report from at least one consumer
32reporting agency that compiles and maintains files on consumers
33on a nationwide basis or through other available electronic debt
34verification services that provide reliable evidence of a borrower’s
35outstanding debt obligations.

36(B) The organization shall also request from the borrower and
37include all information obtained from the borrower regarding
38outstanding deferred deposit transactions in the calculation of the
39borrower’s outstanding debt obligations.

P214  1(C) The organization shall not be required to consider, for
2purposes of debt-to-income ratio evaluation, loans from friends or
3family.

4(D) The organization shall also verify the borrower’s household
5income that the organization relies on to determine the borrower’s
6debt-to-income ratio using information from any of the following:

7(i) Electronic means or services that provide reliable evidence
8of the borrower’s actual income.

9(ii) Internal Revenue Service Form W-2, tax returns, payroll
10receipts, bank statements, or other third-party documents that
11provide reasonably reliable evidence of the borrower’s actual
12income.

13(iii)  A signed statement from the borrower stating sources and
14amounts of income, if the borrower’s actual income cannot be
15independently verified using electronic means or services, Internal
16Revenue Service forms, tax returns, payroll receipts, bank
17statements, or other third-party documents. If income is verified
18using a signed statement from a borrower, a loan shall not be made
19if the borrower’s total monthly debt service payments, at the time
20of loan origination, including the loan for which the borrower is
21being considered, and across all outstanding forms of credit, exceed
2225 percent of the borrower’s gross monthly household income.

23(10) The organization shall notify each borrower, at least two
24days prior to each payment due date, informing the borrower of
25the amount due and the payment due date. Notification may be
26provided by any means mutually acceptable to the borrower and
27the organization. A borrower shall have the right to opt out of this
28notification at any time, upon electronic or written request to the
29organization. The organization shall notify each borrower of this
30right prior to disbursing loan proceeds.

31(11) Notwithstanding Sections 22311 to 22315, inclusive, no
32organization, in connection with, or incidental to, the facilitating
33of any loan made pursuant to this section, may offer, sell, or require
34 a borrower to contract for “credit insurance” as defined in
35paragraph (1) of subdivision (a) of Section 22314 or insurance on
36tangible personal or real property of the type specified in Section
3722313.

38(12) begin deleteNo end deletebegin insertAn end insertorganization shallbegin insert notend insert require, as a condition of
39making a loan, that a borrower waive any right, penalty, remedy,
40forum, or procedure provided for in any law applicable to the loan,
P215  1including the right to file and pursue a civil action or file a
2complaint with or otherwise communicate with the commissioner
3or any court or other public entity, or that the borrower agree to
4resolve disputes in a jurisdiction outside of California or to the
5 application of laws other than those of California, as provided by
6law. Any waiver by a borrower must be knowing, voluntary, and
7in writing, and expressly not made a condition of doing business
8with the organization. Any waiver that is required as a condition
9of doing business with the organization shall be presumed
10involuntary, unconscionable, against public policy, and
11unenforceable. The organization has the burden of proving that a
12waiver of any rights, penalties, forums, or procedures was knowing,
13voluntary, and not made a condition of the contract with the
14borrower.

15(13) begin deleteNo end deletebegin insertAn end insertorganization shallbegin insert notend insert refuse to do business with or
16discriminate against a borrower or applicant on the basis that the
17borrower or applicant refuses to waive any right, penalty, remedy,
18forum, or procedure, including the right to file and pursue a civil
19action or complaint with, or otherwise notify, the commissioner
20or any court or other public entity. The exercise of a person’s right
21to refuse to waive any right, penalty, remedy, forum, or procedure,
22including a rejection of a contract requiring a waiver, shall not
23affect any otherwise legal terms of a contract or an agreement.

24(14) This sectionbegin delete shallend deletebegin insert doesend insert not apply to any agreement to waive
25any right, penalty, remedy, forum, or procedure, including any
26agreement to arbitrate a claim or dispute, after a claim or dispute
27has arisen.begin delete Nothing in thisend deletebegin insert Thisend insert sectionbegin delete shallend deletebegin insert does notend insert affect the
28enforceability or validity of any other provision of the contract.

29(d) This division does not apply to a nonprofit organization that
30partners with an organization granted an exemption pursuant to
31subdivision (c) for the purpose of facilitating zero-interest, low-cost
32loans, provided that the requirements of paragraphs (6) to (14),
33inclusive, of subdivision (c), and the following additional
34conditions are met:

35(1) The partnership of each exempt organization and each
36partnering organization shall be formalized through a written
37agreement that specifies the obligations of each party. Each written
38agreement shall contain a provision establishing that the partnering
39organization agrees to comply with the provisions of this section
40and any regulations that may be adopted by the commissioner
P216  1pursuant to this section. Eachbegin delete suchend deletebegin insert writtenend insert agreement shall be
2provided to the commissioner upon request.

3(2) Each partnering organization shall meet the requirements
4for federal income tax exemption under Section 501(c)(3) of the
5Internal Revenue Code and shall be organized and operated
6exclusively for one or more of the purposes described in Section
7501(c)(3) of the Internal Revenue Code.

8(3) No part of the net earnings of the partnering organization
9shall inure to the benefit of a private shareholder or individual.

10(4) Each exempt organization shall notify the commissioner
11within 30 days of entering into a written agreement with a
12partnering organization, on such form and in such manner as the
13commissioner may prescribe. At a minimum, this notification shall
14include the name of the partnering organization, the contact
15information for a person responsible for the lending activities
16facilitated by that partnering organization, and the address or
17addresses at which the organization facilitates lending activities.

18(5) Upon a determination that a partnering organization has
19acted in violation of this section or any regulation adopted
20thereunder, the commissioner may disqualify that partnering
21organization from performing services under this section, bar that
22organization from performing services at one or more specific
23locations of that organization, terminate a written agreement
24between a partnering organization and an exempt organization,
25and, if the commissioner deems such action to be in the public
26interest, prohibit the use of that partnering organization by all
27organizations granted exemptions by the commissioner pursuant
28to subdivision (c).

29(6) The exempt organization shall include information regarding
30the loans facilitated by the partnering organization in the annual
31report required pursuant to paragraph (5) of subdivision (c).

32(e) The commissioner may examine each exempt organization
33and each partnering organization for compliance with the
34provisions of this section, upon reasonable notice to the party
35responsible for the lending activities facilitated by that
36organization.begin delete Anyend deletebegin insert Anend insert organization so examined shall make
37available to the commissioner or his or her representative all books
38and records requested by the commissioner related to the lending
39activities facilitated by that organization. The cost ofbegin delete any suchend deletebegin insert theend insert
40 examination shall be paid by the exempt organization.

P217  1(f) This sectionbegin delete shallend deletebegin insert doesend insert not apply to any loan of a bona fide
2principal amount of two thousand five hundred dollars ($2,500)
3or more as determined in accordance with Section 22251. For
4purposes of this subdivision, “bona fide principal amount” shall
5be determined in accordance with Section 22251.

6

SEC. 158.  

Section 22101 of the Financial Code is amended to
7read:

8

22101.  

(a) An application for a license as a finance lender or
9broker under this division shall be in the form and contain the
10information that the commissioner may by rule or order require
11and shall be filed upon payment of the fee specified in Section
1222103.

13(b) Notwithstanding any other law, an applicant who does not
14currently hold a license as a finance lender or broker under this
15division shall furnish, with his or her application, a full set of
16fingerprints and related information for purposes of the
17commissioner conducting a criminal history record check. The
18commissioner shall obtain and receive criminal history information
19from the Department of Justice and the Federal Bureau of
20Investigation pursuant to Section 22101.5.

21(c) This section shall not be construed to prevent a licensee from
22engaging in the business of a finance lender through a subsidiary
23corporation if the subsidiary corporation is licensed pursuant to
24this division.

25(d) For purposes of this section, “subsidiary corporation” means
26a corporation that is wholly owned by a licensee.

27(e) A new application shall not be required for a change in the
28address of an existing location previously licensed under this
29division. However, the licensee shall comply with the requirements
30of Section 22153.

31(f) Notwithstanding subdivisions (a) to (e), inclusive, the
32commissioner may by rule require an application to be made
33through the Nationwide Mortgage Licensing System and Registry,
34and may require fees, fingerprints, financial statements, supporting
35documents, changes of address, and any other information, and
36amendments or modifications thereto, to be submitted in the same
37manner.

38(g) Notwithstanding any other law, the commissioner may by
39rule or order prescribe circumstances under which to accept
40electronic records or electronic signatures. This sectionbegin delete shallend deletebegin insert doesend insert
P218  1 not require the commissioner to accept electronic records or
2electronic signatures.

3(h) For purposes of this section, the following terms have the
4following meanings:

5(1) “Electronic record” means an initial license application, or
6material modification of that license application, and any other
7record created, generated, sent, communicated, received, or stored
8by electronic means. “Electronic records” also includes, but is not
9limited to, all of the following:

10(A) An application, amendment, supplement, and exhibit, filed
11for any license, consent, or other authority.

12(B) A financial statement,begin delete reports,end deletebegin insert report,end insert or advertising.

13(C) An order, license, consent, or other authority.

14(D) A notice of public hearing, accusation, and statement of
15issues in connection with any application, license, consent, or other
16authority.

17(E) A proposed decision of a hearing officer and a decision of
18the commissioner.

19(F) The transcripts of a hearing and correspondence between a
20party and the commissioner directly relating to the record.

21(G) A release, newsletter, interpretive opinion, determination,
22or specific ruling.

23(H) Correspondence between a party and the commissioner
24directly relating to any document listed in subparagraphs (A) to
25 (G), inclusive.

26(2) “Electronic signature” means an electronic sound, symbol,
27or process attached to or logically associated with an electronic
28record and executed or adopted by a person with the intent to sign
29the electronic record.

30(i) The Legislature finds and declares that the Department of
31Business Oversight has continuously implemented methods to
32accept records filed electronically, and is encouraged to continue
33to expand its use of electronic filings to the extent feasible, as
34budget, resources, and equipment are made available to accomplish
35that goal.

36

SEC. 159.  

Section 23005 of the Financial Code is amended to
37read:

38

23005.  

(a) A person shall not offer, originate, or make a
39deferred deposit transaction, arrange a deferred deposit transaction
40for a deferred deposit originator, act as an agent for a deferred
P219  1deposit originator, or assist a deferred deposit originator in the
2origination of a deferred deposit transaction without first obtaining
3a license from the commissioner and complying with the provisions
4of this division. The requirements of this subdivision shall not
5apply to persons or entities that are excluded from the definition
6of “licensee” as set forth in Section 23001. This division shall not
7be construed to require the commissioner to create separate classes
8of licenses.

9(b) An application for a license under this division shall be in
10the form and contain the information that the commissioner may
11by rule require and shall be filed upon payment of the fee specified
12in Section 23006.

13(c) A licensee with one or more licensed locations seeking an
14additional location license may file a short form license application
15as may be established by the commissioner pursuant to subdivision
16(b) of this section.

17(d) Notwithstanding any other law, the commissioner may by
18rule or order prescribe circumstances under which to accept
19electronic records or electronic signatures. This sectionbegin delete shallend deletebegin insert doesend insert
20 not require the commissioner to accept electronic records or
21electronic signatures.

22(e) For purposes of this section, the following terms have the
23following meanings:

24(1) “Electronic record” means an initial license application, or
25material modification of that license application, and any other
26record created, generated, sent, communicated, received, or stored
27by electronic means. “Electronic records” also includes, but is not
28limited to, all of the following:

29(A) An application, amendment, supplement, and exhibit, filed
30for any license, consent, or other authority.

31(B) A financial statement,begin delete reports,end deletebegin insert report,end insert or advertising.

32(C) An order, license, consent, or other authority.

33(D) A notice of public hearing, accusation, and statement of
34issues in connection with any application, license, consent, or other
35authority.

36(E) A proposed decision of a hearing officer and a decision of
37the commissioner.

38(F) The transcripts of a hearing.

39(G) A release, newsletter, interpretive opinion, determination,
40or specific ruling.

P220  1(H) Correspondence between a party and the commissioner
2directly relating to any document listed in subparagraphs (A) to
3(G), inclusive.

4(2) “Electronic signature” means an electronic sound, symbol,
5or process attached to or logically associated with an electronic
6record and executed or adopted by a person with the intent to sign
7the electronic record.

8(f) The Legislature finds and declares that the Department of
9Business Oversight has continuously implemented methods to
10accept records filed electronically, and is encouraged to continue
11to expand its use of electronic filings to the extent feasible, as
12budget, resources, and equipment are made available to accomplish
13that goal.

14

SEC. 160.  

Section 23015 of the Financial Code, as added by
15Section 25 of Chapter 101 of the Statutes of 2007, is amended and
16renumbered to read:

17

begin delete23015.end delete
18begin insert23015.5.end insert  

(a) It is unlawful for any person to knowingly alter,
19destroy, mutilate, conceal, cover up, falsify, or make a false entry
20in any record, document, or tangible object with the intent to
21impede, obstruct, or influence the administration or enforcement
22of any provision of this division.

23(b) It is unlawful for any person to knowingly make an untrue
24statement to the commissioner during the course of licensing,
25investigation, or examination, with the intent to impede, obstruct,
26or influence the administration or enforcement of any provision
27of this division.

28

SEC. 161.  

Section 24058 of the Financial Code is repealed.

begin delete
29

24058.  

This division does not apply to any loans made or
30arranged by a licensed residential mortgage lender or servicer when
31acting under the authority of that license.

end delete
32

SEC. 162.  

Section 32208 of the Financial Code is amended to
33read:

34

32208.  

“Energy Commission” means thebegin delete Californiaend deletebegin insert Stateend insert
35 Energy Resources Conservation and Development Commission.

36

SEC. 163.  

The heading of Article 1 (commencing with Section
3732700) of Chapter 6 of Division 15.5 of the Financial Code is
38repealed.

begin delete

39 

40Article 1.  Office of Management Services

 

end delete
P221  1

SEC. 164.  

The heading of Article 2 (commencing with Section
232710) of Chapter 6 of Division 15.5 of the Financial Code is
3repealed.

begin delete

4 

5Article 2.  Alternative Energy Research
6

 

end delete
7

SEC. 165.  

The heading of Chapter 8 (commencing with Section
850601) of Division 20 of the Financial Code is repealed.

begin delete

9 

10Chapter  8. Operation of Division
11

 

end delete
12

SEC. 166.  

Section 1652 of the Fish and Game Code is amended
13to read:

14

1652.  

(a) A project proponent may submit a written request
15to approve a habitat restoration or enhancement project to the
16director pursuant to this section if the project has not received
17certification pursuant to the State Water Resources Control Board’s
18Order for Clean Water Act Section 401 General Water Quality
19Certification for Small Habitat Restoration Projects, or its current
20equivalent at the time the project proponent submits the written
21request. If the project has received certification pursuant to that
22order, or its current equivalent, the project proponent may submit
23a request for approval of the project pursuant to Section 1653.

24(b) A written request to approve a habitat restoration or
25enhancement project pursuant to this section shall contain all of
26the following:

27(1) The name, address, title, organization, telephone number,
28and email address of the natural person or persons who will be the
29main point of contact for the project proponent.

30(2) A full description of the habitat restorationbegin delete andend deletebegin insert orend insert
31 enhancement project that includes the designs and techniques to
32be used for the project, restoration or enhancement methods, an
33estimate of temporary restoration- or enhancement-related
34disturbance, project schedule, anticipated activities, and how the
35project is expected to result in a net benefit to any affected habitat
36and species, consistent with paragraph (4) of subdivision (c).

37(3) An assessment of the project area that provides a description
38of the existing flora and fauna and the potential presence of
39sensitive species or habitat. The assessment shall include preproject
40photographs of the project area that include a descriptive title, date
P222  1taken, the photographic monitoring point, and photographic
2orientation.

3(4) A geographic description of the project site including maps,
4land ownership information, and other relevant location
5information.

6(5) A description of the environmental protection measures
7incorporated into the project design, so that no potentially
8significant adverse effects on the environment, as defined in
9Section 15382 of Title 14 of the California Code of Regulations,
10are likely to occur with application of the specified environmental
11protection measures. Environmental protection measures may
12include, but are not limited to, appropriate seasonal work
13limitations, measures to avoid and minimize impacts to water
14quality and potentially present species protected by state and
15federal law, and the use of qualified professionals for standard
16preconstruction surveys where protected species are potentially
17present.

18(6) Substantial evidence to support a conclusion that the project
19meets the requirements set forth in this section. Substantial
20evidence shall include references to relevant design criteria and
21environmental protection measures found in the documents
22specified in paragraph (4) of subdivision (c).

23(7) A certifying statement that the project will comply with the
24California Environmental Quality Act (Division 13 (commencing
25with Section 21000) of the Public Resources Code), which may
26include, but not be limited to, the requirements of Section 15333
27of Title 14 of the California Code of Regulations.

28(c) Notwithstanding any other law, within 60 days after receiving
29a written request to approve a habitat restoration or enhancement
30project, the director shall approve a habitat restoration or
31enhancement project if the director determines that the written
32request includes all of the required information set forth in
33subdivision (b), and the project meets all of the following
34requirements:

35(1) The project purpose is voluntary habitat restoration and the
36project is not required as mitigation.

37(2) The project is not part of a regulatory permit for a nonhabitat
38restoration or enhancement construction activity, a regulatory
39settlement, a regulatory enforcement action, or a court order.

P223  1(3) The project meets the eligibility requirements of the State
2Water Resources Control Board’s Order for Clean Water Act
3Section 401 General Water Quality Certification for Small Habitat
4Restoration Projects, or its current equivalent at the time the project
5proponent submits the written request, but has not received
6certification pursuant to that order or its equivalent.

7(4) The project is consistent with, or identified in, sources that
8describe best available restoration and enhancement methodologies,
9including one or more of the following:

10(A) Federal- and state-listed species recovery plans or published
11protection measures, or previously approved department
12agreements and permits issued for voluntary habitat restoration or
13enhancement projects.

14(B) Department and National Marine Fisheries Service fish
15screening criteria or fish passage guidelines.

16(C) The department’s California Salmonid Stream Habitat
17Restoration Manual.

18(D) Guidance documents and practice manuals that describe
19best available habitat restoration or enhancement methodologies
20that are utilized or approved by the department.

21(5) The project will not result in cumulative adverse
22environmental impacts that are significant when viewed in
23connection with the effects of past, current, or probable future
24projects.

25(d) If the director determines that the written request does not
26contain all of the information required by subdivision (b), or fails
27to meet the requirements set forth in subdivision (c), or both, the
28director shall deny the written request and inform the project
29proponent of the reason or reasons for the denial.

30(e) The project proponent shall submit a notice of completion
31to the department no later than 30 days after the project approved
32pursuant to this section is completed. The notice of completion
33shall demonstrate that the project has been carried out in
34accordance with the project’s description. The notice of completion
35shall include a map of the project location, including the final
36boundaries of the restoration area or areas and postproject
37photographs. Each photograph shall include a descriptive title,
38date taken, photographic monitoring point, and photographic
39orientation.

P224  1(f) The project proponent shall submit a monitoring report
2describing whether the restoration project is meeting each of the
3restoration goals stated in the project application. Each report shall
4include photographs with a descriptive title, date taken,
5photographic monitoring point, and photographic orientation. The
6monitoring reports for Section 401 Water Quality Certification or
7waste discharge requirements of the State Water Resources Control
8Board or a regional water quality control board, or for department
9or federal voluntary habitat restoration programs, including, but
10not limited to, the Fisheries Restoration Grant Program, may be
11submitted in lieu of this requirement.

12

SEC. 167.  

Section 1653 of the Fish and Game Code is amended
13to read:

14

1653.  

(a) A project proponent may submit a written request
15to approve a habitat restoration or enhancement project to the
16director pursuant to this section if the project has received
17certification pursuant to the State Water Resources Control Board’s
18Order for Clean Water Act Section 401 General Water Quality
19Certification for Small Habitat Restoration Projects, or its current
20equivalent at the time the project proponent submits the written
21request.

22(b) A written request to approve a habitat restoration or
23enhancement project pursuant to this section shall include all of
24the following:

25(1) Notice that the project proponent has received a notice of
26applicability that indicates that the project is authorized pursuant
27to the State Water Resources Control Board’s Order for Clean
28Water Act Section 401 General Water Quality Certification for
29Small Habitat Restoration Projects, or its equivalent at the time
30the project proponent submits the written request.

31(2) A copy of the notice of applicability.

32(3) A copy of the notice of intent provided to the State Water
33Resources Control Board or a regional water quality control board.

34(4) A description of species protection measures incorporated
35into the project design, but not already included in the notice of
36intent, to avoid and minimize impacts to potentially present species
37protected by state and federal law, such as appropriate seasonal
38work limitations and the use of qualified professionals for standard
39preconstruction surveys where protected species are potentially
40 present.

P225  1(5) The fees required pursuant to Section 1655.

2(c) Upon receipt of the notice specified in paragraph (1) of
3subdivision (b), the director shall immediately have published in
4the General Public Interest section of the California Regulatory
5Notice Register the receipt of that notice.

6(d) Within 30 days after the director has received the notice of
7applicability described in subdivision (b), the director shall
8determine whether the written request accompanying the notice
9of applicability is complete.

10(e) If the director determines within that 30-day period, based
11upon substantial evidence, that the written request is not complete,
12then the project may be authorized under Section 1652.

13(f) The director shall immediately publish the determination
14pursuant to subdivision (d) in the General Public Interest section
15of the California Regulatory Notice Register.

16(g) The project proponent shall submit the monitoring plan,
17monitoring report, and notice of completion to the department as
18required by the State Water Resources Control Board’s Orderbegin insert forend insert
19 Clean Water Act Section 401 General Water Quality Certification
20for Small Habitat Restoration Projects, or its current equivalent at
21the time the project proponent submits the written request. The
22order or its current equivalent may include programmatic waivers
23or waste discharge requirements for small scale restoration projects.

24

SEC. 168.  

Section 1654 of the Fish and Game Code is amended
25to read:

26

1654.  

(a) The director’s approval of a habitat restoration or
27enhancement project pursuant to Section 1652 or 1653 shall be in
28lieu of any other permit, agreement, license, or other approval
29issued by the department, including, but not limited to, those issued
30pursuant to Chapter 6 (commencing with Section 1600) and
31Chapter 10 (commencing with Section 1900) of thisbegin delete Divisionend delete
32begin insert divisionend insert and Chapter 1.5 (commencing with Section 2050) of
33Division 3.

34(b) begin deleteNothing in this end deletebegin insertThis end insertchapter shallbegin insert notend insert be construed as
35expanding the scope of projects requiring a permit, agreement,
36license, or other approval issued by the department.

37(c) (1) If the director determines at any time that the project is
38no longer consistent with subdivision (c) of Section 1652 or
39subdivision (b) of Section 1653, as applicable, due to a material
40change between the project as submitted and the project being
P226  1implemented or a change in the environmental circumstances in
2the area of implementation, the director shall notify the project
3proponent in writing and project implementation shall be
4suspended. Written notice from the director shall be delivered in
5person, by certified mail, or by electronic communication to the
6project proponent and shall specify the reasons why approval of
7the project was suspended. The approval for a project shall not be
8revoked pursuant to this subdivision unless it has first been
9suspended pursuant to this subdivision.

10(2) Within 30 days of receipt of a notice of suspension, the
11project proponent may file an objection with the director. Any
12objection shall be in writing and state the reasons why the project
13proponent objects to the suspension. The project proponent may
14provide additional environmental protection measures, design
15modifications, or other evidence that the project is consistent with
16subdivision (c) of Section 1652 or subdivision (b) of Section 1653,
17as applicable, and request that the notice of suspension be lifted
18and approval granted.

19(3) The director shall revoke approval or lift the suspension of
20project approval within 30 days after receiving the project
21proponent’s objection pursuant to paragraph (2).

22(d) Pursuant to Section 818.4 of the Government Code, the
23department and any other state agency exercising authority under
24this section shall not be liable with regard to any determination or
25authorization made pursuant to this section.

26

SEC. 169.  

Section 1745.2 of the Fish and Game Code is
27amended to read:

28

1745.2.  

(a) The department shall do both of the following:

29(1) Consider permitting apiculture on department-managed
30wildlife areas, where deemed appropriate by the department.

31(2) Determine, when developing or amending its land
32management plans, the following:

33(A) If the department-managed wildlife areas, or anybegin delete portionend delete
34begin insert portionsend insert ofbegin delete theend delete those areas, are suitable for apiculture and whether
35apiculture is consistent with the management goals and objectives
36for those areas on a temporary, seasonal, or long-term basis.

37(B) If the administration of apiculture on department-managed
38wildlife areas, where deemed appropriate by the department, is
39meeting the management goals and objectives for those areas.

P227  1(C) The appropriate use or permit fee to be assessed for
2conducting apiculture on department-managed wildlife areas.

3(b) The department, in implementing this section, may consult
4with apiculture experts, including, but not limited to, the
5Department of Food and Agriculture, the University of California,
6other academic or professional experts, and interested stakeholders,
7for permitting apiculture on department-managed wildlife areas
8consistent with the respective management goals and objectives
9for those areas.

10(c) Moneys collected for conducting apiculture on
11department-managed wildlife areas pursuant to subparagraph (C)
12of paragraph (2) of subdivision (a) shall be deposited by the
13department into the Wildlife Restoration Fund and, upon
14appropriation by the Legislature, be used to support the
15management, maintenance, restoration, and operation of
16department-managed wildlife areas.

17

SEC. 170.  

Section 12002 of the Fish and Game Code is
18amended to read:

19

12002.  

(a) Unless otherwise provided, the punishment for a
20violation of this code that is a misdemeanor is a fine of not more
21than one thousand dollars ($1,000), imprisonment inbegin delete theend deletebegin insert aend insert county
22jail for not more than six months, or by both that fine and
23imprisonment.

24(b) The punishment for a violation of any of the following
25provisions is a fine of not more than two thousand dollars ($2,000),
26imprisonment inbegin delete theend deletebegin insert aend insert county jail for not more than one year, or
27both the fine and imprisonment:

28(1) Section 1059.

29(2) Subdivision (c) of Section 4004.

30(3) Section 4600.

31(4) Paragraph (1) or (2) of subdivision (a) of Section 5650.

32(5) A first violation of Section 8670.

33(6) Section 10500.

34(7) Unless a greater punishment is otherwise provided, a
35violation subject to subdivision (a) of Section 12003.1.

36(c) Except as specified in Sections 12001 and 12010, the
37punishment for violation of Section 3503, 3503.5, 3513, or 3800
38is a fine of not more than five thousand dollars ($5,000),
39imprisonment in the county jail for not more than six months, or
40by both that fine and imprisonment.

P228  1(d) (1) A license, tag, stamp, reservation, permit, or other
2entitlement or privilege issued pursuant to this code to a defendant
3who fails to appear at a court hearing for a violation of this code,
4or who fails to pay a fine imposed pursuant to this code, shall be
5immediately suspended or revoked. The license, tag, stamp,
6reservation, permit, or other entitlement or privilege shall not be
7reinstated or renewed, and no other license, tag, stamp, reservation,
8permit, or other entitlement or privilege shall be issued to that
9person pursuant to this code, until the court proceeding is
10completed or the fine is paid.

11(2) This subdivision does not apply to any violation of Section
121052, 1059, 1170, 5650, 5653.9, 6454, 6650, or 6653.5.

13

SEC. 171.  

The heading of Article 5 (commencing with Section
14491) of Chapter 3 of Part 1 of Division 1 of the Food and
15Agricultural Code
, as added by Section 1 of Chapter 589 of the
16Statutes of 2000, is amended and renumbered to read:

17 

18Article begin delete5.end deletebegin insert4.5.end insert  Food Biotechnology Task Force
19

 

20

SEC. 172.  

Section 6045 of the Food and Agricultural Code is
21amended to read:

22

6045.  

(a) The Legislature finds and declares that the plant
23killing bacterium, Xyellabegin delete Fastidiosaend deletebegin insert Fastidiosa,end insert and the resulting
24pathogen, Pierce’s disease, and its vectors present a clear and
25present danger to California’sbegin delete 60-billion-dollarend deletebegin insert sixty-billion-dollarend insert
26 grape industry, as well as to many other commodities and plant
27life.

28(b) There exists an ongoing need for at least fifteen million
29dollars ($15,000,000) annually in research and programs to combat
30Pierce’s disease and its vectors in California.

31

SEC. 173.  

Section 6047.9 of the Food and Agricultural Code
32 is amended to read:

33

6047.9.  

(a) For purposes of calculating the amount to be
34collected by the processor for purchased grapes, the assessment
35shall be based on the gross dollar value of the grapes, which is the
36gross dollar amount payable for the grapes before any deductions
37for governmental assessments and fees.

38(b) For purposes of calculating the assessment for grapes not
39purchased, the assessment shall be based on the following:

P229  1(1) The tonnage of grapes delivered less material other than
2grapes and defects or other weight adjustments deducted from
3gross weight.

4(2) The weighted average price per ton delivered basis purchased
5from all nonrelated sources for wine, concentrate, juice, wine
6vinegar, and beverage brandy by processors, by type,begin delete varietyend delete
7begin insert variety,end insert and reporting district where grown for the grapes delivered,
8sources as reported by the secretary pursuant to Section 55601.5
9for the immediately preceding marketing season.

10

SEC. 174.  

Section 12996 of the Food and Agricultural Code
11 is amended to read:

12

12996.  

(a) Every person who violates any provision of this
13division relating to pesticides, or any regulation issued pursuant
14to a provision of this division relating to pesticides, is guilty of a
15misdemeanor and upon conviction shall be punished by a fine of
16not less than five hundred dollars ($500) nor more than five
17thousand dollars ($5,000), or by imprisonment of not more than
18six months, or by both the fine and imprisonment. Upon a second
19or subsequent conviction of the same provision of this division
20relating to pesticides, a person shall be punished by a fine of not
21less than one thousand dollars ($1,000) nor more than ten thousand
22dollars ($10,000), or by imprisonment of not more than sixbegin delete monthsend delete
23begin insert months,end insert or by both the fine and imprisonment. Each violation
24constitutes a separate offense.

25(b) Notwithstanding the penalties prescribed in subdivision (a),
26if the offense involves an intentional or negligent violation that
27created or reasonably could have created a hazard to human health
28or the environment, the convicted person shall be punished by
29imprisonment in a county jail not exceeding one year or in the
30state prison or by a fine of not less than five thousand dollars
31($5,000) nor more than fifty thousand dollars ($50,000), or by both
32the fine and imprisonment.

33(c) This section does not apply to violations of Chapter 7.5
34(commencing with Section 15300) or Section 13186.5.

35

SEC. 175.  

Section 12999.5 of the Food and Agricultural Code
36 is amended to read:

37

12999.5.  

(a) In lieu of civil prosecution by the director, the
38county agricultural commissioner may levy a civil penalty against
39a person violating Division 6 (commencing with Section 11401),
40Article 10 (commencing with Section 12971) or Article 10.5
P230  1(commencing with Section 12980) of this chapter, Section 12995,
2Article 1 (commencing with Section 14001) of Chapter 3, Chapter
33.7 (commencing with Section 14160), Chapter 7.5 (commencing
4with Section 15300), or a regulation adopted pursuant to any of
5these provisions, of not more than one thousand dollars ($1,000)
6for each violation. Any violation determined by the county
7agricultural commissioner to be a Class A violation as defined in
8Section 6130 of Title 3 of the California Code of Regulations is
9subject to a fine of not more than five thousand dollars ($5,000)
10for each violation. It is unlawful and grounds for denial of a permit
11under Section 14008 for a person to refuse or neglect to pay a civil
12penalty levied pursuant to this section once the order is final.

13(b) If a person has received a civil penalty for pesticide drift in
14a school area subject to Section 11503.5 that results in a Class A
15violation as defined in subdivision (a), the county agricultural
16commissioner shall charge a fee, not to exceed fifty dollars ($50),
17for proc