BILL ANALYSIS Ó
AB 1123
Page 1
ASSEMBLY THIRD READING
AB
1123 (Mayes)
As Introduced February 27, 2015
Majority vote
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|Committee |Votes |Ayes |Noes |
|----------------+------+------------------------+-------------------|
|Judiciary |10-0 |Mark Stone, Wagner, | |
| | |Alejo, Chau, Chiu, | |
| | |Gallagher, Cristina | |
| | |Garcia, Holden, | |
| | |Maienschein, O'Donnell | |
| | | | |
|----------------+------+------------------------+-------------------|
|Appropriations |16-0 |Gomez, Bigelow, Bonta, | |
| | |Calderon, Chang, Daly, | |
| | |Eggman, Gallagher, | |
| | |Eduardo Garcia, Holden, | |
| | |Jones, Quirk, Rendon, | |
| | |Wagner, Weber, Wood | |
| | | | |
| | | | |
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SUMMARY: Permits a county to transfer the operations of an
established alternative dispute resolution program to the superior
court in the county. Specifically, this bill:
AB 1123
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1) Allows a county and the superior court of the same county to
formally agree to the transfer of the revenues and
responsibilities of an established dispute resolution program to
the court to operate the program.
2) Requires that upon transfer of the alternative dispute program
to the superior court, the court must operate the program in
compliance with requirements, rules and regulations associated
with the program.
3) Provides that a court which contracts to operate a dispute
resolution program assumes the relevant rights and
responsibilities connected with the program.
4) Requires the county to transfer, within a reasonable time, any
funds received for the administration of the program, and that
all future program funding to be provided directly to the court.
EXISTING LAW provides that local dispute resolution services
provide an alternative to formal court proceedings.
1)Provides for the establishment and funding of local dispute
resolution programs to be operated by counties and for
participating counties to receive funds to administer the
programs.
2)Provides that local dispute resolution programs are funded by
civil filing fee surcharges.
3)The Department of Consumer Affairs (DCA) is charged with the
oversight and enforcement of alternative dispute resolution
programs.
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FISCAL EFFECT: According to the Assembly Appropriations, any
costs to the DCA, which is charged with oversight and enforcement
of alternative dispute resolution programs, would be minor and
absorbable.
COMMENTS: The Dispute Resolution Programs Act of 1986 (Chapter
1313, Statutes of 1986 and Chapter 28, Statutes of 1987), or Act,
provides for the establishment, funding and use of local dispute
resolution programs. In considering the Act's implementation, the
Legislature determined that the resolution of disputes could be
unnecessarily costly, time-consuming, and complex when achieved
through formal court proceedings. In an attempt to achieve more
effective and efficient dispute resolution, the Legislature
encouraged greater use of alternatives to litigation, such as
mediation, conciliation, and arbitration. In order to achieve
effectiveness and efficiency and facilitate more flexible forums
to hash out disputes, the Legislature created the Act to encourage
counties to utilize these less formal, less costly programs for
the resolution of disputes. Since the Act was established, many
counties have created local alternative dispute resolution
programs to assist persons who wish to resolve disputes prior to
trial. (www.dca.ca.gov/publications)
Although some counties contract with their superior courts to
handle the operations of their alternative dispute resolution
programs, their authority to do so is not clear in the Act. This
bill will allow counties and courts to formalize their existing
practices of transferring the responsibility for operating such
programs to courts and will allow other counties and courts who
may wish to do so, to contract for the transfer of alternative
dispute resolution programs and their revenue, from the county to
the court.
In support the author writes:
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The Dispute Resolution Programs Act of 1986 provides for
the establishment and funding of local dispute
resolution programs. The purpose of the Act is to
encourage the use of local dispute resolution services
as an alternative to formal court proceedings. The
program is funded by civil filing fee surcharges.
In several counties, including the County of San
Bernardino, the program has been administered by the
local superior court. However, the County is required
to adopt the code sections and the funds are deposited
with the County.
Assembly Bill 1123 would allow counties and courts to
agree to formally transfer revenues and responsibilities
relating to the Dispute Resolution Programs Act of 1986.
This would formalize the current practice in several
counties, reduce staff time, and eliminate confusion
over program authority and procurement process. This
bill would not mandate any change, it would only allow
it.
Oversight of Alternative Dispute Resolution Programs. The Act
provides the framework for the statewide system of oversight.
Initially, a limited-term Dispute Resolution Advisory Council
(Council) was created in the Act to adopt temporary guidelines and
propose regulations to supplement the provisions of the Act.
After completion of its responsibilities, the Council was
disbanded on January 1, 1989. The DCA now has the responsibility
to oversee the local programs, review and modify the rules and
regulations governing the local programs, provide technical
assistance to counties and their programs, monitor local
government program compliance with the Act and applicable
regulations, and evaluate the programs and their impact on the
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state justice system. This bill does not change any oversight
provisions of the Act, except to the extent that existing
oversight of county alternative dispute resolution programs will
now extend to programs operated by county superior courts after
they are transferred to the local superior courts.
(www.dca.ca.gov/publications)
The sponsor of this bill, the County of San Bernardino writes in
support:
The County of San Bernardino operates a dispute
resolution program that has been administered by the San
Bernardino Court since 2004. This is particularly
important in the County of San Bernardino given the
limited number of judicial positions relative to
caseload.
The County of San Bernardino has maintained involvement
because the code sections require that the funds are
deposited with the County. However, in practice, the
funds are administered by the Court. Questions have
arisen regarding responsibility for procurement and
contracting authority, often resulting in duplicative
work performed by the Court and San Bernardino County.
AB 1123 would allow for the transfer of revenues and
responsibilities under the Act on a permissive basis to
formalize the County's current practice, whereby the
Court administers the funds and oversees operations,
reduce staff time, increase efficiencies and eliminate
confusion over program authority and procurement
processes.
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Analysis Prepared by:
Khadijah Hargett / JUD. / (916) 319-2334 FN:
0000286