BILL ANALYSIS Ó AB 804 Page 1 CONCURRENCE IN SENATE AMENDMENTS AB 804 (Roger Hernández) As Amended August 31, 2015 Majority vote -------------------------------------------------------------------- |ASSEMBLY: | 76-0 |(April 23, |SENATE: |28-12 |(September 2, | | | |2015) | | |2015) | | | | | | | | | | | | | | | -------------------------------------------------------------------- Original Committee Reference: B. & P. SUMMARY: Requires the Court Reporters Board of California (CRB) to establish continuing education (CE) requirements for renewal of a shorthand reporter certificate. Specifically, this bill: 1)Requires the CRB to adopt regulations that establish minimum CE requirements for renewal of a Certified Shorthand Reporter (CSR) certificate by July 1, 2017. 2)Requires certificate holders, six months after the effective AB 804 Page 2 date of the regulations, to certify completion of minimum CE requirements to the CRB when renewing a certificate. 3)Requires the CRB to ensure that the CE requirement is relevant to the practice of shorthand reporting. 4)Requires the CRB to ensure that the CE required includes a minimum of two hours of course credits in ethics and professional conduct of shorthand reporting. 5)Requires the CRB to ensure that the CE required is not less than eight hours and not more than 12 hours of course credits every two years. 6)Requires the CRB to establish a procedure for approving CE course providers, and requires CE providers to comply with procedures established by the CRB. AB 804 Page 3 7)Authorizes the CRB to establish a fee, as specified, for the approval of CE providers. 8)Permits the CRB to revoke or deny the right of a CE provider for failure to comply with requirements or regulations as specified. 9)Authorizes the CRB to establish exceptions to the CE requirements for individuals who cannot meet the CE requirements for reasons of health, military service, or undue hardship. 10)Requires that the requirements comply with the guidelines for mandatory CE established by the Department of Consumer Affairs (DCA). AB 804 Page 4 11)Requires the CRB, in collaboration with the Judicial Council, to develop a list of courses that satisfy both these CE requirements and the requirements of Rule 10.474 of Title 10 of the California Rules of Court. The courses on the list may be used to satisfy both these requirements and the requirements of Rule 10.474. 12)Authorizes the CRB to adopt regulations to implement the above provisions. The Senate amendments: 1)Add three additional obligations for the CRB, requiring that: a) The CRB ensure that the CE required includes a minimum of two hours of course credits in ethics and professional conduct of shorthand reporting; b) The CRB ensure that the CE required is not less than eight hours and not more than 12 hours of course credits every two years; and, AB 804 Page 5 c) The CRB, in collaboration with the Judicial Council, develop a list of courses that satisfy both these CE requirements and the requirements of Rule 10.474 of Title 10 of the California Rules of Court. The courses on the list may be used to satisfy both these requirements and Rule 10.474. FISCAL EFFECT: According to the Senate Appropriations Committee, one-time staff costs of $51,000 in 2016-17 and $43,000 in 2017-18 for the Board to develop and adopt regulations to establish continuing education requirements and establish a process for approving providers of continuing education. (Court Reporters Fund). Ongoing staff costs of $21,000 in 2017-18 and $34,000 annually thereafter to process continuing education documentation from licensees. (Court Reporters Fund) Negligible revenue increase to the extent the Board established the maximum fee of $40 to approve continuing education providers. The Board has only identified eight potential providers currently offering courses or seminars that would address the bill's continuing education requirements. COMMENTS: Purpose. This bill is co-sponsored by the California Court Reporters Association and the Deposition Reporters Association AB 804 Page 6 of California. According to the author, this bill "requires the [CRB] to adopt regulations to establish continuing education requirements for renewal of a shorthand reporter's certification that are relevant to the practice of shorthand reporting, and requires the board to establish a procedure for approving providers of [CE] courses. "Once a shorthand reporter passes their initial test for licensing, they do not ever have to be retested in order to renew their license. The only time a CSR is ever retested for a license is if the CSR relinquishes their licenses then decides down the road to begin working again or becomes re-licensed." Background. Currently, the CRB receives about 100 consumer complaints a year, which is divided between untimely production of transcripts, inaccuracy, and other deficiencies. In the 2013-14 Fiscal Year, the CRB received 106 complaints. For the same year, other similarly-sized boards received similar numbers: the acupuncture board received 189; the board of optometry received 238; the osteopathic medical board received 360; and the physician assistant board received 351. The CRB has noted industry changes that may lead to consumer harm. It noted that the court reporting business model has changed, which now results in a larger percentage of independent contractors working for large corporate firms owned by non-licensees. Because the larger conglomerates tend not to provide as much oversight of CSRs, CSRs working as independent contractors have less incentive to stay current with the profession. However, the CRB does not track the number of CSRs that work as independent contractors, for firms, or for courts. Further, the enforcement data shows that CRB has not received a particularly high number of consumer complaints. Therefore, it is not clear what impact this industry change has made. AB 804 Page 7 Nonetheless, imposing CE may be a useful preventive measure, given the risk to a litigant's legal rights. Therefore, the benefits to the profession and consumers will have to be weighed against the costs of a CE requirement to the consumers, licensees, and the CRB. Prior Veto. Legislation requiring CE's for CSRs has been passed and vetoed two separate times in past legislative sessions. The most recent was SB 671 (Price) of 2011. The provisions of SB 671 were substantially similar to those contained in this bill; however, it was vetoed by Governor Brown, citing concerns about the burden of CE requirements. Analysis Prepared by: Vincent Chee / B. & P. / (916) 319-3301 FN: 0002061