BILL ANALYSIS Ó AB 2486 Page 1 Date of Hearing: May 18, 2016 ASSEMBLY COMMITTEE ON APPROPRIATIONS Lorena Gonzalez, Chair AB 2486 (Baker) - As Amended April 25, 2016 ----------------------------------------------------------------- |Policy |Business and Professions |Vote:|16 - 0 | |Committee: | | | | | | | | | | | | | | ----------------------------------------------------------------- Urgency: No State Mandated Local Program: NoReimbursable: No SUMMARY: This bill requires the Contractors' State License Board (Board), by January 1, 2019, to update its website to allow consumers to search for a licensed contractor by zip code or geographic locator. FISCAL EFFECT: The Board indicates minor and absorbable costs of approximately $90,000 (special fund) for two internal IT staff to complete the custom programming changes to the Board's IT system and website. AB 2486 Page 2 Alternatively, the Board could use one IT consultant at a cost of approximately $100,000 (special fund). The Board estimates the work would take four to six months under either scenario. COMMENTS: 1)Purpose. According to the author, "This bill will help combat the use of unlicensed contractors operating in the multi-billion dollar underground economy and will help further the Board's mission of consumer protection by making it easier for consumers to get information about licensed contractors in their area. This bill also will support the Board's 2015- 2016 Strategic Plan recommendation to develop ways to make their website more user-friendly by providing a search by location function." 2)Background. The Board is the regulatory entity responsible for licensing contractors and enforcing the Contractors State License Law. Board licenses approximately 290,000 contractors in 44 license classifications and two certifications. California requires licensed contractors to be used on any construction project that costs more than five hundred dollars. The Board currently collects information about its licensees that it publishes to its website. Currently, the Board's website permits a consumer to search for a contractor by personal name, business name, or license number. The Board's 2015-2016 Strategic Plan outlines a goal to add a licensee search feature to the Board's website, similar to the feature proposed by this bill. The Board planned to have a schedule adopted by February of 2016, for the implementation of an opt-in "Find a Contractor" feature to help consumers locate nearby licensees. The project is still AB 2486 Page 3 outstanding. Analysis Prepared by:Jennifer Swenson / APPR. / (916) 319-2081